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HomeMy WebLinkAboutAgenda Packet 1994/08/02 Tuesday, August 2, 1994 4:00 p.m. "\ declare wn1er penalty of perjury that I alf{ employed by the City of Chula Vista In the ('ffice of the City Clerk and thai;. I posted t'lls Agenda/Notice on the Bulletin B~ard at 1"e publie rvie ,s, uildin'l and_~t CI.3 Hall o:,....a>-~ [:.'\TED, 7..~ . SIGNED / Reilular Meetimz of the City of Chuta Vista City Council Council Chambers Public Services Building CALL TO ORDER 1. ROLL CALL: Councilmembers Fox _' Horton _, Moore _. Rindone _, and Mayor Nader _' 2. PLEDGE OF ALLEGIANCE TO THE FLAG. SILENT PRAYER July 19, 1994 (City Council) and July 19, 1994 (Joint Meeting of the City CounciliRedevelopment Agency) 3. APPROVAL OF MINUTES: 4. SPECIAL ORDERS OF THE DAY: None submitted. ***** 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 available in the City Clerk's Office. ***** CONSENT CALENDAR (Items 5 through 12) 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 Fonn" available in the lobby and submit it to the City Clerk prior to the meeting. (Complete the green fonn to speak in favor of the staff recommendation; complete the pink fonn to speak in opposition to the staff recommentlation.) Items pulled from the Consent Calentlar 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 requesting an O\IIlortunity to meet with the Mayor in the near future regarding a contract between the City of Chula Vista and the Solid Waste Authority - Henry D.l. Abarbanel, Member, City of Del Mar, and Dal Williams, Member, City of Vista, Solid Waste Authority, 1600 Pacific Highway, Room 215, San Diego, CA 92101-2470. It is recommended that Council designate one or two members to meet with the Solid Waste Authority representatives. b. Requesting a letter andlor resolution be sent to the Chairmen of the Assembly Public Safety Committee, Senate Judiciary Committee, Assembly Ways and Means Committee, and Senate Appropriations Committee to inlluence legislators to vote for crime bills which will make criminals fear the consequences of committing crimes - Collene Campbell, Mayor, City of San Juan Capistrano, 32400 Paseo Adelanto, San Juan Capistrano, CA 92675. It is recommended that Council support the list of Bills, as it may be amended by Council, and direct staff to send appropriate letters of support to the Legislature. Agenda -2- August 2, 1994 6. RESOLUTION 17591 REQUESTING THE BOARD OF SUPERVISORS OF THE COUNTY OF SAN DIEGO TO CONSOLIDATE A SPECIAL MUNICIPAL RUNOFF ELECTION TO BE HELD ON THE DATE PURSUANT TO SECTION 23302 OF THE ELECTIONS CODE AND FOR SUBMISSION TO THE VOTERS A QUESTION RELATING TO AMENDING THE CHARTER TO CAUSE THE DATE OF GENERAL MUNICIPAL ELECTIONS TO COINCIDE WITH THE DATE OF STATE PRIMARY ELECTIONS - Consolidation of elections saves the City thousands of dollars in operating expense. To consolidate the Special Municipal Runoff Election with the Statewide General Election the County Board of Supervisors must give their consent. An amendment to the Charter is proposed to automatically coincide the date of General Municipal Elections with the date of State Primary Elections in the future. Staff recommends approval of the resolution. (City Attorney and City Clerk) 7. RESOLUTION 17592 AMENDING FISCAL YEAR 1994/95 BUDGET, PROVIDING FOR A GENERAL FUND APPROPRIATION TO THE GENERAL LIABILITY INSURANCE ACCOUNT - Due to the settlement of the Janey Hummell lawsuit, an appropriation from the General Fund of $275,000 is needed. Staff recommends approval of the resolution. (Director of Personnel) 4/5th's vote required. 8. RESOLUTION 17593 ADOPTING NEGATIVE DECLARATION IS-94-26; APPROVING THE CLOSURE OF THIRD A VENUE TO VEmCULAR TRAFFIC BETWEEN "E" STREET ANDDA VIDSON A VENUE ON THURSDAY AFTERNOONS BETWEEN 2:00 P.M. AND 8:00 P.M. FOR A FARMERS' MARKET SPECIAL EVENT SUBJECT TO CONDITIONS, AND WAIVING BUSINESS LICENSE FEES FOR THE VENDORS PARTICIPATING IN THE SPECIAL EVENT - The Downtown Business Association is proposing to establish a certified Farmers' Market special event in Town Centre I. The Market is proposed to be conducted every Thursday between 3:30 p.m. and 7:00 p.m. and is planned to be located within the Third Avenue street right-of-way between "E" Street and Davidson A venue. Approximately 25 produce vendors will participate. Staff recommends approval of the resolution. (Director of Community Development) 9.A. RESOLUTION 17594 AUTHORIZING ISSUANCE OF BONDS, APPROVING FORMS OF BOND INDENTURE, BOND PURCHASE CONTRACT AND PRELIMINARY OFFICIAL STATEMENT FOR ASSESSMENT DISTRICT NUMBER 90-2 (OTAY VALLEY ROAD) LIMITED OBLIGATION IMPROVEMENT BONDS, SERIES B - On 6/23/92, Council approved the formation of the Assessment District for the widening of Otay Valley Road. On 6/30/92, Council authorized the issuance of bonds, approving the form of the bond indenture and related documents. The bond indenture was further modified on 7/27/93 to include the Limited City Pledge to provide security enhancement for parcels in Otay Rio Business Park. Present action will authorize the issuance and use of the second bond series, Series B, for Phase II construction. Staff recommends approval of the resolutions. (Director of Public Works, Director of Finance, and Director of Community Development) Agenda -3- August 2, 1994 B. RESOLUTION 17595 AUTHORIZING THE APPROPRIATION OF FUNDS FROM FUND 637, IMPROVEMENT FUND FOR ASSESSMENT DISTRICT NUMBER 90-2 (OTAY VALLEY ROAD), TO CIP PROJECT ST-l23 CONTINGENT UPON SERIES B BOND SALE; AND, RENEWING THE LIMITED CITY PLEDGE TO PROVIDE SECURITY ENHANCEMENT FOR PARCELS IN OTAY RIO BUSINESS PARK (ASSESSMENT NUMBERS 102-149)- 4/5th's vote required. C. RESOLUTION 17596 AUTHORIZING THE CITY ATTORNEY, OR HIS DESIGNEE, TO INITIATE FORECLOSURE PROCEEDINGS ON DELINQUENT PARCELS IN ASSESSMENT DISTRICT NUMBER 90-2 (OT A Y V ALLEY ROAD) 10. RESOLUTION 17597 AUTHORIZING ISSUANCE OF BONDS, APPROVING FORMS OF BOND INDENTURE, BOND PURCHASE CONTRACT AND PRELIMlNARY OFFICIAL STATEMENT FOR ASSESSMENT DISTRlCT NUMBER 92-02 (AUTO PARK) - On 3/23/93, Council adopted the resolution of intention to order the acquisition and financing of certain infrastructure serving the Auto Park development pursuant to the Municipal Improvement Act of 1913. The two public hearings required by law were held on 6/8/93 and 6/22/93. On 8/24/93, Council approved the Acquisition/Financing Agreement and on 9/28/93, confirmed the assessment and approved the Engineers Report for Assessment District 92-2 (Auto Park). Staff recommends approval of the resolution. (Director of Public Works) II.A. RESOLUTION 17598 APPROVING FINAL MAP OF TRACT 93-03, TELEGRAPH CANYON ESTATES NEIGHBORHOOD 2 UNIT 2, ACCEPTING ON BEHALF OF THE PUBLIC THE PUBLIC STREETS DEDICATED ON SAID MAP, AND THE EASEMENTS GRANTED ON SAID MAP WITHIN SAID SUBDIVISION, AND APPROVING SUBDIVISION IMPROVEMENT AGREEMENT FOR THE COMPLETION OF IMPROVEMENTS REQUIRED BY SAID SUBDIVISION, AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT - On 1119/93, Council approved the Tentative Subdivision Map for Tract 93-03, Telegraph Canyon Estates. Under consideration are the fifth and sixth final maps for said tentative map. Staff recommends approval of the resolutions. (Director of Public Works) B. RESOLUTION 17599 APPROVING FINAL MAP TRACT 93-03, TELEGRAPH CANYON EST A TES NEIGHBORHOOD 3 UNIT 2, ACCEPTING ON BEHALF OF THE PUBLIC THE PUBLIC STREETS DEDICATED ON SAID MAP, AND THE EASEMENTS GRANTED ON SAID MAP WITHIN SAID SUBDIVISION, AND APPROVING SUBDIVISION IMPROVEMENT AGREEMENT FOR THE COMPLETION OF IMPROVEMENTS REQUIRED BY SAID SUBDIVISION, AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT 12. REPORT GRADING MODIFICATIONS FOR ELEMENTARY SCHOOL SITE (EASTLAKE GREENS) - The Chula Vista Elementary School District is ready to begin construction for a new school in EastLake Greens. It is hoped that the school will be ready for classes at the beginning of the Fall 1995 term. In order to build the school, they need to modify the grading plan from the original grades shown in the tentative map for EastLake Greens. The report discusses the grading modification. Staff recommends Council accept the report. (Director of Public Works) * * END OF CONSENT CALENDAR * * Agenda -4- August 2, 1994 PUBLIC HEARINGS AND RELATED RESOLUTIONS AND ORDINANCES The following items have been advertised andlor posted as public hearings as required by law. If you wish to speak to any item, please fill out the "Request to Speak Fona" available in the lobby and submit it to the City Clerk prior to the meeting. (Complete the green fona to speak in favor of the staff recommendation; complete the pink fona to speak in opposition to the staff recommendation.) Comments are limited to five minutes per individual. 13. PUBLIC HEARING CONSIDERING TESTIMONY ON THE ESTABLISHMENT OF ZONE E WITHIN EASTLAKE MAINTENANCE DISTRICT NUMBER ONE, FOR THE PERPETUAL MAINTENANCE OF TELEGRAPH CANYON CHANNEL - On 5/24/94, Council declared the intention to establish Zone E within EastLake Maintenance District Number One (ELMDI) to provide for the maintenance of Telegraph Canyon channel. The public hearing will consider testimony for assessing benefitting properties within EastLake Maintenance District Number One for their pro rata share of the costs. Staff recommends approval of the resolution. (Director of Public Works) Continued from the meeting of 7/26/94. RESOLUTION 17588 ESTABLISHING ZONE E WITHIN EASTLAKE MAINTENANCE DISTRICT NUMBER ONE, CONFIRMING THE REPORT, ORDERING THE IMPROVEMENTS AND LEVYING THE FIRST YEAR ASSESSMENT FOR FISCAL YEAR 1994/95 ORAL COMMUNICATIONS This is an opportunity for the general public to OJidress the City Council on any subject matter within the Council's jurisdiction that is not an item on this agenda. (State law, however, generally prohibits the City Council from taking action on any issues not included on the posted agenlla.) If you wish to address the Council on such a subject, please complete the yellow "Request to Speak Under Oral Communications Fona" 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 address 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 andlor Committees. None submitted. ACTION ITEMS The items listed in this section of the agenda are expected to elicit substantilll discussions and deliberations by the Council, staff, or members of the general public. The items will 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" fona available in the lobby and submit it to the City Clerk prior to the meeting. Public comments are limited to five minutes. 14. ORDINANCE 2596 AMENDING SECTIONS 13.14.100 AND 13.14.150 OF THE MUNICIPAL CODE RELATING TO SEWAGE PUMP STATION CHARGES AND ORDINANCE NUMBER 2461 AND REPEALING ORDINANCE NUMBERS 2181, 2286, AND 2477 TO DISSOLVE SPECIAL SEWER SERVICE RATE AREAS (second readin!! and adoDtinnl - On 5/17/94, Council approved Policy Number 570-03, Sewage Pump Station Financing Policy. The Policy provides that all existing Sewer Service Rate Areas, which provide for the financing of maintenance and operation costs of public sewage pump stations by property owners, be modified as of 7/1/94. Ordinances 2181, 2286, 2477, and Resolutions 6833 and 8028 must be repealed and Ordinance Agenda -5- August 2, 1994 2481, all of which established Special Sewer Service Rate Areas, must be amended to comply with the Policy. The Master Fee Schedule and Municipal Code need to be updated to re!lect the provisions stated in the Policy. Staff recommends Council place the ordinance on second reading and adoption. (Director of Public Works) Continued from the meeting of 7/26/94. 15. RESOLUTION 17577 PROVIDING FOR THE ESTABLISHMENT AND ADMlNlSTRATION OF A CITY-WIDE RECORDS MANAGEMENT PROGRAM FOR BOTH THE ACTIVE AND INACTIVE SYSTEMS, INCLUDING RETENTION SCHEDULES AND PROCEDURES, AND AUTHORIZING THE DESTRUCTION OF PUBLIC RECORDS - In June 1991, Council approved a CIP Project for a City-wide Records Management Program. Included in the project was the hiring of a consultant to assist in the design of a records program. Since that time, the program has been developed with input from all departments. Staff recommends approval of the resolution. (City Clerk) Continued from the meeting of 7/26/94. 16. RESOLUTION 17584 AUTHORIZING THE PURCHASE OF TRANSIT BUSES ON COOPERATIVE BID - The Fiscal Year 1994/95 Transit Division budget provides for the purchase of two (2) transit buses. The City is able to obtain the buses via a County of San Diego bid. Staff recommends approval of the resolution. (Director of Public Works) Continued from the meeting of 7/26/94. 17. RESOLUTION 17585 APPROVING UNIFORM FARE STRUCTURE AGREEMENT FOR TRANSIT SERVICES - The agreement incorporates three major cooperative functions among transit operators under the Metropolitan Transit Development Board jurisdiction: cash fare structure; transfer procedures; and, regional passes, including revenue distribution. The primary changes to the Fiscal Year 1994/95 agreement are price increases for some regional passes. Staff recommends approval of the resolution. (Director of Public Works) Continued from the meeting of 7/26/94. 18. RESOLUTION 17586 APPROVING AMENDMENT TO AGREEMENT WITH THE SAN DIEGO TRANSIT CORPORATION (SDTC) - The amendment to the agreement for Fiscal Year (FY) 1994/95 continues Chula Vista Transit's participation in regional transit information service at a cost of $21,541, a 5.6% decrease from the FY 1993/94 cost of $22,766. Staff recommends approval of the resolution. (Director of Public Works) Continued from the meeting of 7/26/94. 19. RESOLUTION 17600 ORDERING CERTAIN OPEN SPACE AND MAINTENANCE FACILITIES TO BE MAINTAINED, APPROVING MODIFICATION TO THE ENGINEER'S REPORT AND LEVYING THE ASSESSMENTS FOR FISCAL YEAR (FY) 1994/95 FOR EASTLAKE MAINTENANCE DISTRICT NUMBER ONE - ZONE D - On 6/14/94, Council directed staff to meet with the property owners of Salt Creek I to discuss the open space (EastLake Maintenance District Number I - Zone D) budget and proposed assessments for FY 1994/95 before Council would consider levying the annual assessment. The item considers the issues raised at the meeting. Staff recommends approval of the resolution. (Director of Public Works) This item will not be considered Drior to 6:00 D.m. 20. REPORT JOINT MEETING WITH SOUTHWESTERN COLLEGE BOARD TO DISCUSS TRANSIT FACILITY PROJECT - The background information is submitted to Council in preparation for the joint meeting on 8110/94 with Southwestern College Board to discuss the transit facility project. Staff recommends Council accept the report. (Director of Public Works) Agenda -6- August 2, 1994 21. REPORT UPDATE ON SOLID WASTE DISPOSAL ISSUES - An oral report will be given by staff. A. ORAL REPORT REGARDING LEGAL REMEDIES TO PROPOSED JPA RATE STRUCTURE - Continued from the meeting of 7/26/94. 22. REPORT UPDATE ON CLEAN WATER PROGRAM ISSUES - An oral report will be given by staff. ITEMS PULLED FROM THE CONSENT CALENDAR This is the time the City Council will discuss items which have been removed from the Consent Calendar. Agenda items pulled at the request of the public will be considered prior to those pulled by Councilmembers. Public comments are limited to jive minutes per individual. OTHER BUSINESS 23. CITY MANAGER'S REPORTCSI a. Scheduling of meetings. 24. MAYOR'S REPORTCSI a. Ratification of appointment: William Virchis - Cultural Arts Commission. Continued from the meeting of 7/26/94. b. RESOLUTION 17590 OPPOSING ANY DELAY IN THE CONSTRUCTION OF THE PRIMARY TREATMENT PHASE OF THE INTERNATIONAL TREATMENT PLANT AND DEMANDING THAT THE LOCAL CHAPTER OF THE SIERRA CLUB DROP ITS OPPOSITION TO THE CONSTRUCTION OF THE MECHANICAL PRIMARY TREATMENT PHASE AND ENTER INTO A NEGOTIATED SETTLEMENT WITH THE INTERNATIONAL BOUNDARY AND WATER COMMISSION (IBWC) AND ENVIRONMENTAL PROTECTION AGENCY (EPA) FOR FUTURE STUDY OF ADVANCED INTEGRATED PONDING SYSTEMS FOR SECONDARY AND TERTIARY TREATMENT PURPOSES Continued from the meeting of 7/26/94. 25. COUNCIL COMMENTS Councilmember Horton a. Legislative Committee items for Council consideration: . OPPOSE SB 845 (Rogers) Enterprise Zones . SUPPORT SB 1779 (Bergeson) Graffiti Prevention Agenda -7- August 2, 1994 Councilmember Moore b. Potential Motion: When an item is being considered by staff for Council action that involves the business community, the Chamber of Commerce will be invited to participate in the associated workshops leading to a report/ordinance/resolution and Council action. Ref: minutes of August 24, 1982 and October 5, 1982 Council Meetings with motions similar to above. Excerpt: Council Meetin.. Au.ust 24. 1982 MSUC (Moore/Cox) that when staff is considering cbanges to the streets' usage, that they maintain a liaison with the Chamber of Commerce while still in the planning stage. Excerpt: Council Meetin.. October 5. 1982 MSUC (Moore/Malcolm) that in the future any items being referred to the City Council that affect the business community that staff send those items to the Chamber of Commerce for their input and also to any committee or commission concerned. CLOSED SESSION Unless the City Altorney, the City Manager or the City Council states otherwise at this time, the Council will discuss and deliberate on the following items of business which are pennilled 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 tenninated 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. 26. CONFERENCE WITH LEGAL COUNSEL REGARDING: 1. Anticipated litigation pursuant to Government Code Section 54956.9 . City vs. Solid Waste Management JPA (discriminatory rate structure). 27. 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), Western Council of Engineers (WCE), Police Officers Association (POA), and International Association of Fire Fighters (lAFF). Unrepresented employee: Executive Management, Mid-Management, and Unrepresented. 28. REPORT OF ACTIONS TAKEN IN CLOSED SESSION ADJOURNMENT The meetiog will adjourn to the Regular City Council Meeting on August 9, 1994 at 6:00 p.m. in the City Council Chambers. A Meeting of the Redevelopment Agency will be held immediately following the City Council Meeting. , L July 28, 1994 SUBJECT: The Honorable Mayor and City Courtci\ John D. Goss, City Manager ~, ~\ City Council Meeting of August 2, 1994 TO: FROM: This will transmit the agenda and related materials for the regular City Council meet i ng of Tuesday, Augu s t 2, 1994. Comments regard i ng the Wr i tten Communications are as follows: Sa. This is a request from the San Diego Solid Waste Authority to meet with our City concerning sol id waste contract terms and rates. IT IS RECOMMENDED THAT COUNCIL DESIGNATE ONE OR TWO MEMBERS TO MEET WITH THE SOLID WASTE AUTHORITY REPRESENTATIVES. The purpose of the meeting would be to express our concerns to them regarding the Differential Rate Study and to indicate that we are not willing to negotiate a contract under the current proposed rate structure. Sb. Th i s is a letter from the Mayor of San Juan Cap i strano reques t i ng a resolution and/or letters supporting several crime-related bills currently under consideration in the State Legislature. Although none of the bills identified fit within the city's adopted legislative program, they each serve va 1 i d deterrent or pun i shment purposes and are supported by the Police Department and the League of California Cities. IT IS RECOMMENDED THAT COUNCIL SUPPORT THE LIST OF BILLS, AS IT MAY BE AMENDED BY COUNCIL, AND DIRECT STAFF TO SEND APPROPRIATE LETTERS OF SUPPORT TO THE LEGISLATURE. JDG:mab . ~ECEIVED SOLID WASTE AUTHORITY \' The Honorable Tim Nader Mayor, City of Chula Vista 276 Fourth Avenue Chula Vista, California 91910 [:i--) ~:-':."-'-"::'~:-t;.-;.,~::-~ ; ~ If '.-1 I~ il :. 1/ I 1 II'J ......--.-.._,_-'-'-- ' " I c, , ! l.', j ~_'_.'~"M ;.. ~ ; ;; ! i Iii,' , _ :;;:;i ,'i'Lr'UL: 20 'r:>:" ",., ,I i..!L!oJ jyy.l. , " 'I ~ ,_J .:,:,. ~:c~..,,-;-._,...J '_.' h (;If, C.....d7...,:....r;; _ ,~.) c:r:';~J~ \!:r.'t cf '94 .u. 20 P4 :361uly 19, 1994 _TV OF CHULA VISTA MY CLERK'S OFFICE Dear Mayor Nader: At. a follow up to the letter sent to you on lune 21, 1994 we have enclosed a copy of the Differential Rate Study that Deloitte and Touche delivered to the Solid Waste Authority on luly 14, 1994. On August 1, 1994 the Solid Waste Authority will hold a public hearing in Encinitas at 11:00 a.m. to review and adopt a Solid Waste Disposal Fee Schedule which includes differential rates for non- member entity waste. We look forward to having the opportunity to meet with you in the very near future regarding a contract that is workable for both your city and the Authority. We ask that you contact either of us or Lin Wurbs at 531-6174 at your earliest convenience to set up a meeting. Sincerely, t~: ~ a.-tL IJ,j EaUf -?t: id-t.J HENRY DJ. ABARBANEL Solid Waste Authority Member, City of Del Mar DAL WILLIAMS Solid Waste Authority Member, City of Vista Enclosure cc: 10hn D. Ooss, City Manager City of Chula Vista 1600 PACIPIC 1U0000AY, I.OOM 215, SAN DJBOO. CALIPORNIA 92101.2A70 TBLI!PIIONB: 619/531-6174 PAX: 619/531-5'794 cc.' WRITTEN COM~\UNI(A TiONS . :iJ;/'/) r ~?IY ~ X:1''15'~ ?j~o-if 7~ ~-/ SAN DIEGO SOLID WASTE AUTHORITY Analysis of System Costs and Non-Member Contract Rates FINAL REPORT July 14, 1994 Printed on rec:~:cled paper .5e.-.2. Deloitte & Touche SAN DIEGO SOLID WASTE AUTHORITY TABLE OF CONTENTS I. Background II. Overview of the Authority's System Costs ID. Non-Member Contract Pricing Structure Printed 011 ,.ec.vcJed paper I~.J Deloitte & Touche SAN DIEGO SOLID WASTE AUTHORITY I. Background Printed on recycled paper 2.fA-lf Deloitte & Touche SAN DIEGO SOLID WASTE AUTHORITY OBJECTIVES At the request of the San Diego Solid Waste Authority (the Authority), Deloitte & Touche has undertaken to apply an equitable, market competitive, and economically sound rate structure for non-member (non-owner) jurisdictions that use the County solid waste services (the System). This rate structure is designed to address the cost of services, opportunity for economical participation in rate contracts, and the competitive environment. This application was developed according to the general rate structure framework provided by the Authority. This effort has entailed the supporting objective of creating a pricing model which will account for operating and administrative costs, capacity replacement costs, landfill and site related costs, and facilities financing. The cost analysis supporting this model has segregated costs into fixed and variable components, disposal and non-disposal categories, active and inactive facility expenditures, and apportionment of costs associated with historical usage by users and prior users of the System according to an allocation basis and methodology provided by the Authority. Deloitte and Touche recommends that non-user pricing contracts which are implemented be those that best support Authority policies and fiscal objectives, effective cost management practices, and optimal financing alternatives. Deloitte & Touche Printed on recycled paper 3 5A-f SAN DIEGO SOLID WASTE AUTHORITY PROJECT APPROACH Tasks The foundation of our work is the analysis and segregation of costs and capital expenditures into fixed and variable components and other aforementioned categories including those of current usage and prior usage and commitment related costs. This analysis is based on discussions with relevant Authority personnel regarding the nature and behavior of cost items, and the merit of the assumptions provided by the Authority applied in the model. Next, the applicability of cost categories to collection mediums (including base tipping fees, and differential service fees) was evaluated. The cost analysis resulted in a model which provides a clear illustration of the current cost structure of the Authority's System: This model provides analytical support and a baseline, or relevant range, for the rates that result from our application of the rate framework. Our analysis of the System's cost structure was applied to the rate structure framework provided by the Authority. This pricing framework incorporates optional delivery commitment lengths and rates designed to recover jurisdictional responsibility for NCRRA facility debt obligations and jurisdictional responsibility for costs associated with historical usage of the System, (e.g., inactive landfill site maintenance costs and closure/post -closure costs) as specified by the Authority. According to the proposed rate structure, each jurisdiction's portion of these costs is allocated over the term of the commitment, creating a rate schedule intended by the Authority to provide non-members an economic, cost-based alternative to either enter longer-term commitments or to join as a member. This is accomplished using a differential service fee scale which decreases with longer term commitments, and apportions similar aggregate cost recoveries over varying commitment lengths. Under this schedule, members are charged a lower differential service fee according to the same schedule on the Authority's premise that they are committed to the System indefinitely and assume the risks of managing and maintaining the financial viability of the System. Deloitte & Touche Printed on recycled paper ~ ~.t SAN DIEGO SOLID WASTE AUTHORITY PROJECT APPROACH (continued) Underlying Assumptions The analysis performed within the scope of this project was based on data, cost allocation methodologies, and certain rate structure parameters provided by the Authority. The Authority's Solid Waste Enterprise Fund Program 1994/95 Budget was the source of current annual operating and capital expenditure information. The San Diego 1nterim Solid Waste Commission Capital Improvement Program for the fiscal years ended 2007/08 (2002/03 in document title) were relied upon for future capital expenditure information. No independent verification or evaluation of the accuracy or reasonableness of this information was conducted. The methodology and allocation basis for estimating costs associated with historical usage of the System, in addition to the general framework of the proposed rate structure, were provided by the Authority. Deloitte & Touche does not address or opine on the feasibility, reasonableness, or legality of implementing these cost recovery (rate-setting) methods in this report. Deloitte & Touche Printed on reeve/ed paper 5 ~'7 SAN DIEGO SOLID WASTE AUTHORITY II. Overview of Authority Costs Printed on recycled paper 6 ~.~ Deloitte & Touche . SAN DIEGO SOLID WASTE AUTHORITY VOLUME DISTRIBUTION OF THE AUTHORITY SYSTEM TABLE 1 contains current tonnage information for the Authority jurisdictions, along with their present status in the System. The table higl.l:ghts the importance to the System of the jurisdictions with the highest delivery volumes. This point is reinforced in pages which follow in illustrating the high fixed cost component of the System's cost structure. The total annual cost per ton of the System has a strong negative correlation with volume--Iess volume in the System produces a cost per ton which is substantially higher with significant volume decreases. Deloitte & Touche Printed on recvcled paper 7 ~ ~c; SAN DIE\;O SOLID WASTE AUTHORITY TABLE 1 WASTE TONNAGE VOLUME DISTRIBUTION URISDICTION VOLUME PRESENT MEMBERSillP STA11IS County of San Diego 280,039 Member City of San Diego 122,272 Non-Member Chula Vista 112,616 Non-Member Escondida 95,674 Non-Member Oceanside 90,831 Non-Member El Cajon 90,691 Non-Member Vista 65,323 Member Carlsbad 64,815 Non-Member San Marcos 60,117 Non-Member Encinitas 47,123 Member National City 46,197 Member La Mesa 44,893 Non-Member Santee 42,512 Non-Member Lemon Grove 21,714 Member Coronado 16,562 Non-Member Imperial Beach 15,546 Non-Member Poway 13,159 Member Solana Beach 12,447 Member Del Mar 5,669 Member Mexico 1,201 Non-Member Other Counties 532 No City 67 Total 1,250,000 Deloitte & Touche Printed all recycled paper 8 5e.~/c? SAN DIEGO SOLID WASTE AUTHORITY CURRENT COST STRUCTURE OF THE AUTHORITY SYSTEM TABLES 2 summarizes 1994/95 System costs according to the Solid Waste Enterprise Fund Program 1994/95 Budget and the cost model that was developed to provide supporting analysis for the proposed pricing structure. The 1994/95 budget does not include any funding for capacity replacer..ent costs, which is estimated at $156.2MM over the next 15 years The Authority's current rate setting process which resulted in the $55.00/ton tipping fee for fiscal year (FY) 1994/95 resembles the "Cash" or "pay-as-you-go" approach. As previously mentioned, capacity replacement costs, which are incorporated into the rates under the Cash method, were deferred in the 1994/95 rate setting process in order to achieve a more competitive rate level. In other respects, the Authority's current budget and rate setting process is similar to the Cash method, which recovers in tipping fees capacity replacement expenditures, debt service costs, and other capital costs, in addition to O&M expenses. Base Costs (Fees) Costs related to the ongoing, current usage of services provided by the solid waste System are subtotaled as the Base Costs (Fees) of the System. These costs have an extremely close relationship to System volume. The variable cost component (25% of total System costs) fluctuates in direct proportion to volume, as does the revenue associated with these items. The fixed component of the Base Cost accounts for 37% of total System costs, up to some defined level, does not fluctuate with volume. Fixed costs, together with costs associated with historical usage (discussed below) drive the relationship between the total cost per ton and System volume - as volume decrease these fixed and historical cost remain in the System. Costs Associated with Historical Usage and Commitments of the System This category of costs is that used for determination of Differential Service Fees within the rate structure framework guidelines provided by the Authority. The items contained in this cost (rate) component are NCRRA debt service costs, closure and post-closure costs, and inactive O&M costs and capital expenditures. Deloitte & Touche Printed UI1 rec.\icJed paper 9 ~-/I TABLE 2 Current Cost Structure Under the 1994/95 Authority Enterprise Fund Budget' Assumes a Pay-As-You-Go (Cash Method) Financing Approach OPERATING COSTS Variable Fixed SUBTOTAL $MILLlONS $ PER TON % $17.5 $25.9 $43.4 $14.01 $20.73 $34.74 24.8% 36.6% 61.4% CAPITAL EXPENDITURES CIP - Active and New Sites $8.9 $7.10 12.6% BASECOSTS BASl;fiEE o ~ ~ X; OTHER COSTS TO USERS AND PRIOR USERS OF THE SYSTEM NCRRA Debt Service $13.3 Closure/Post-closure Costs $0.0 Inactive Site Operating Costs $4.6 Inactive Site CIP Expenditure $2.7 $10.64 $0.85 $3.70 $2.14 18.8% 1.5% 6.5% 3.8% TOTAL SYSTEM COSTS Revenue Offset $72.9 ($3.3) $59.17 ($2.61 ) -4.6% TOTAL NET SYSTEMCOSTSi<i, ..................$69.6 ..:-,--.;.-.'.-';.,.,.;...;.-...,.:.:.......-...,.,.:..,-... .-.-'........:,-.........-.-,......,-,.-,-.....,...-.-.-,....-...-. $5657.................... ."<. ..<.:<........:.::...::...,//\....,.....,. . ....,...<......... .., .. ... . ...i:::.:+:i': .:':.:.:.:.:::~:: :''',,:::/\..100;0%' . . Assumes retention of current System volume (Jurisdictions) Printed on recycled paper SAN DIEGO SOLID WASTE AUTHORITY III. Non-Member Contract Pricing Structure Deloitte & Touche Printed on recycled paper 11 5~-J:J SAN DIEGO SOLID WASTE AUTHORITY AUTHORITY POLICY OBJECTIVES The Authority believes that differential service fees charged to non-members may be a necessary or attractive option in achieving its financial and management objectives, including the right-sizing of the System. Solid waste system rate structures should be consistent with the mission and objectives of the Authority. Rate structures should be designed to be equitable to all participants, competitive with market alternatives, and provide for the successful management and financial viability of the System. The validity of a pricing structure which charges a differential service fee to non-members of the System will be based on its association with the cost of services, future capacity replacement costs, risk-based contingencies, and objective and justifiable criteria for establishing jurisdictional responsibility for other costs associated with historical usage and facilities committed to by the System. The stated policy objectives of the Authority under the Joint Powers Agreement of May 2, 1994, are as follows: I. SDSWA shall promote economic efficiency in the management and handling of the Solid Waste System; 2. The Commissioners, Officers and employees of SDSW A shall maintain an attitude of public service; 3. SDSW A shall manage the Solid Waste System utilizing the best environmental protections reasonably achievable as a matter of sound fiscal policy; 4. The PARTIES (member jurisdictions) shall approach the Solid Waste System as a matter of regional concern; 5. The commissioners and officers of SDSW A shall endeavor to adopt the best regional approach for management of the Solid Waste System; 6. SDSW A shall operate the Solid Waste System in a fiscally sound manner utilizing the resources of its PARTIES, which shall be collected only through fees, rates and charges for use of the Solid Waste System. 7. SDSW A shall provide protection to the PARTIES and hold each of them harmless from liabilities arising from the management and operation of the Solid Waste System. It is recommended that the above stated policies and objectives be reviewed as new approaches underlying non-member contracts contained in this report are pursued by the Authority--such as differential pricing and historical usage costs. Deloitte & Touche Printed on recycled paper 12 k..)1{ SAN DIEGO SOLID WASTE AUTHORITY PRICING CONSIDERATIONS IN AUTHORITY'S CURRENT ENVIRONMENT It is recommended that the following issues be considered in the selection and implementation of System rates: Competitiveness of member and non-member tipping rates If the System seeks to promote economic volume and membership, engender regional loyalty and commitment over the long term, and manage its operations cost-effectively, then achieving and maintaining price competitiveness in the marketplace will be critical to its strategy and rate setting policies. Impact of costs associated with historical usage of the System Objective measun::s can be utilized which seek to quantifY and allocate certain non- disposal costs to both users and non-users of the System, based on historical usage, initiative approvals, and commitments in which these jurisdictions participated. The allocation basis and methodology used herein was provided by the Authority. Deloitte & Touche does not address the feasibility, reasonableness, or legality of recovering costs through this rate component in this report. Authority policy with respect to historical cost responsibility acceleration The acceleration of any costs associated with historical usage or commitments of System users constitutes a sufficiently significant policy shift as to warrant review and possible incorporation of this approach into the Authority's stated policy objectives and strategy for providing services. Deloitte & Touche does not address the feasibility, reasonableness, or legality of accelerating recovery of these costs through this rate component as described in this report. Fixed costs of $55.0 million (1994/95 Budget) Actual (implemented) rate'levels should account for coverage of fixed costs to the extent possible while remaining competitive with the marketplace. Deloitte & Touche Printed on recycled paper I3 .5;;..,)5' SAN DIEGO SOLID WASTE AUTHORITY PRICING CONSIDERATIONS IN AUTHORITY'S CURRENT ENVIRONMENT (continued) Capacity replacement costs (estimated at $156.2 million over the next 15 years) Given the capital-intensiveness of the System operation, it is w~rthwhile for the Authority to review its method of recovering capacity replacement capital expenditures (see prior discussion regarding the Cash method to rate setting). The possibility exists that replacement costs associated with non-member tonnage may be recovered in current tipping fees, while capacity replacement costs associated with member tonnage may be deferred. This may promote economic volume and membership. Deferred CIP costs and funding of closure/post-closure reserves in 1994/95 budget year Rate levels should allow for coverage of necessary active site reserves and inactive site maintenance and remediation. Refunding of differential fees to non-members who join the System An optional feature of the proposed rate structure is to offer a reimbursement of differential fees to non-member jurisdictions that contract for less than 20 years and become members at some point before their contract expiration. Deloitte & Touche Printed on recycled paper l~ S(}.. , I~ SAN DIEGO SOLID WASTE AUTHORITY PARAMETER~ INCORPORATED IN THE PROPOSED PRICING STRUCTURE The following fr~' :nework guidelines for the construction of the proposed rate contract structure were provided by the Authority: Proportional obligation of non-member jurisdictions for NCRRA facility debt service, apportioned over the commitment period This item has been included as an element in the differential service fee component of the pricing structure application. As previously noted, direction for its inclusion, as well as the allocation basis and methodology were provided by the Authority. Proportional obligation of non-member jurisdictions for non-disposal costs associated with current and prior usage of the System, apportioned over the commitment period This item has been included as an element in the differential service fee component of the pricing structure application As previously noted, direction for its inclusion, as well as the allocation basis and methodology were provided by the Authority. Optional delivery commitment schedule The Authority has requested that Deloitte & Touche report non-member rate impacts for 1,5, 10, or 20 year commitments for tonnage delivery to the System (The I-year optional contract rate is referenced as the non-contract rate). The apportionment of the above components of the proposed differential serviCe fee will result in the same aggregate nominal cost recovery over each contract term. As such, the Authority intends the lower differential service fee associated with longer contracts to promote economic, long term deliveries to the System. As the member rate will constitute the lowest rate paid by System users under the proposed rate structure, membership in the System is also promoted. Deloitte & Touche Printed on recycled poper 15 5tA' /7 SAN DIEGO SOLID WASTE AUTHORITY BASE FEE The Base Fee is representative of the costs associated with the annual operating and capital expenditure requirements of providing services. As noted previously, the Base Fee rate level has a high negative correlation with volume. The Base Fee is based on the Solid Waste Enterprise Fund Program 1994/95 Budget, which is summarized in TABLE 2. Annual Operating Costs and 1994/95 Capital Expenditures are the components of the Base Fee. For 1994/95 the Base Fee is $41.84/ton. Because the Base Fee is based on annual operating costs and capital expenditures, and fluctuates with volume, it is subject to annual change. The 1994/95 budget does not include any funding for capacity replacement costs, estimated at $156.2MM over the next 15 years. Therefore, the collection of capacity replacement costs in the Base Fee has the potential to significantly change the $41. 84/ton Base Fee in the near term. Deloitte & Touche Printed on recycled paper 16 ~~/~ SAN DIEGO SOLID WASTE AUTHORITY DIFFERENTIAL SERVICE FEE In addition to the Base Fee that all users are charged for annual usage of the System under the proposed rate structure, an additional fee is apportioned to cover all past and current, explicit and estimated liabilities of the Authority generated by both members and non- members. The Differential Service Fee is intended to equitably allocate historical financial obligations of the Authority pertaining to inactive landfills and debt service for the NCRRA facility Based upon Authority assumptions, the Differential Service Fee will vary depending on whether a member chooses to join the Authority, or whether to enter into one of the optional delivery alternatives (e.g., 5, 10 or 20 years, or a non-contract rate). Once a jurisdiction selects the commitment term for meeting their historical financial obligation (i.e., join the Authority or enter into a contract), cost will be apportioned to the jurisdiction over the commitment period, and allocated based on its relative population share. The non-direct disposal related financial obligations that are included in the Differential Service Fee are: 1. NCRRA Debt Service - At the end of fiscal year 1995, the Authorities debt service obligations for the NCRRA facility will be approximately $136.9 million to be paid over the next 22 years. 2. Active Landlill ClosurelPost-Closure Costs - Prior to January 1, 1989, the Authority was not obligated and did not collect fees for cpc. Since that time, fees have been collected for CPC, a portion of which must be allocated back to cover pre- 1989 obligations. 3. Inactive Landfill Annual Operating Costs - The Authority has, and will continue to have, cost obligations for inactive landfill maintenance and remediation in accordance with State and Federal regulations. These costs are annual reoccurring costs, that may continue for the next 60 years. 4. Inactive Landfill Capital Costs - In addition to the annual landfill operating costs, the Authority has projected approximately $36.2 million of capital project needs over the next 15 years to bring landfills in compliance with State and federal regulations. Using the Differential Service Fees, each jurisdiction's portion of these costs is allocated over the term of the commitment, creating a rate schedule intended by the Authority to be attractive to non-members, who can enter into longer-term commitments or join as a member. This is accomplished using a rate scale which decreases with longer term commitments, and apportions similar aggregate cost recoveries over the respective commitment lengths. Under this schedule, members are charged a lower differential service fee according to the same schedule on the premise that they are committed to the System indefinitely and assume the risks of managing and maintaining the financial viability of the System. Deloitte & Touche Printed on recycled poper 17 ~ '19 SAN DIEGO SOLID WASTE AUTHORITY Regardless of whether non-members join the Authority, or whether they enter into one of the optional delivery contracts, the Differential Service Fees are designed to apportion all cost associated with historical usage. For example, if 50% of the population served are members of the Authority, 25% of the population served enter into a five-year contract, and the remaining 25% of the population served enter into a ten-year contract, all known, non-member historical financial obligations of the Authority will be met by year 20. The ~p.thodology and assumptions used to incorporate the four components into a differential service fee are described below. NCRRA Debt Service At the beginning ofFY 1995, the outstanding principal on the NCRRA facility will be approximately $\36.9 million, to be paid over the next 22 years. The majority of the debt, approximately $95 million, is fixed interest bonds with rates ranging from 5.35% to 6.75%. These bonds are supported by a letter of credit (LOC)with a 1.5% annual rate. The remainder of the debt obligation, approximately $40 million, consists of variable rate bonds. Total annual principal and interest payments are approximately $\3.1 million, but vary due to the variable rate bonds. Current projections for FY 1995 estimate the NCRRA debt service payment at $12.6 million. Our analysis assumed equal principal and interest payments of$\3.12 million annually, which equates to an average annual interest rate of 7. 72%. Under these assumptions, we determined the annual debt service payments for the NCRRA under 5, 10 and 20 year terms, non-contract terms, and for member jurisdictions. CONTRACT TERMS (Years) Member Non-Contract 5 10 20 COMPONENTS Rate NCRRA Debt Sen'ice Aggregate Annual Costs S13,120,438 SI47,462,127 S34,030,981 S20,141,411 S13,650,087 NCRRA Debt (Srr). 10.50 117.97 27.22 16.11 10.92 NCRRA Debt (SlPer).. S8.73 S98.1O S22.64 S13.40 S9.08 . srr - Based on 1,250,000 tons in the System .. Based on a total population of 1,503,173 (eA. Dept. of Finance, 1/1/94) Members will continue to pay their NCRRA facility debt obligations over next 22 years, in accordance with the Official statement, while non-member jurisdictions will pay their entire debt obligation over the term of their contract. For, example a non-member jurisdiction that enters into a ten-year contract will pay their entire debt obligation in ten years versus 22 years. Deloitte & Touche Printed on recycled poper 18 ~,,~O SAN DIEGO SOLID WASTE AUTHORITY Active Landfill Closure/Post-Closure Costs Prior to January 1, 1989, the Authority was not obligated and did not collect fees for CPC landfill costs. At the time, 22.8 % of the Authority's total available landfill capacity was utilized. Since then, the State has authorized the Authority to collect $3.90 per ton for CPC maintenance obligations. The Authority has directed Deloitte & Touche to assume that 22.8% of this fee, or approximately $0.90 per ton, represents the costs associated with historical landfill obligations at currently active landfills. Based on information provided by the Authority, at the beginning ofFY 1995, the Authority had collected approximately $20.6MM for CPC maintenance, and will need to collect an additional $70.2MM to meet its State mandated CPC obligations. Assuming that 22.8% of this future liability is for pre-1989 activities, the historical financial obligation to be shared by all users of the System is $16.0MM. Included in Differential Service Fees under the proposed pricing structure are the active landfill CPC costs under 5, 10 and 20 year terms, ilOn-contract terms, and for member jurisdictions. CONTRACT TERMS (Years) Member Non-Contract 5 10 20 COMPONENTS Rate Active LF CPC Costs Aggregate Annual Costs 801,312 16,026,239 3,205,248 1,602,624 801,312 Active LF CPC (Sff)' 0.68 13.52 2.70 1.35 0.68 Active LF CPC (S/Per)" 0.53 10.66 2.13 1.07 0.53 . srr - Based on 1,250,000 tons in the System MINUS 65,000 tons for recycling .. Based on a total population of 1,503,173 (CA. Dcpl. of Finance, 111/94) It should be noted that at current collection rates of $3.90 per ton, the Authority will meet its CPC obligations prior to the closure of the landfills. Our analysis assumes that the differential service fee would only cover the pre-1989 financial obligation and would not contribute to any excess fees that may be collected, Inactive Landfill Annual Operating Costs The Authority has, and will continue to have, obligations to maintain inactive landfills in accordance with State and Federal regulations. In the 1995 budget, inactive landfill operating costs are projected to be approximately $4.62 million. Over the next few years, Deloitte & Touche Printed on recycled paper 19 ~ ".2/ SAN DIEGO SOLID WASTE AUTHORITY these costs are projected to decline until they level off at approximately $3.1 million per year by the year 2000. Assuming the Authority would have these obligations for the next 60 years, and using an real discount rate of 5%, which approximates the Authority's current costs of capital, the Authority's cumulative financial obligation is estimated at $64.8 million in 1995 dollars. If the inactive landfill maintena!1ce obligation was for only 40 years, the financial impact would be $58.9 million in 1996 dollars. We determined the inactive landfill annual operating costs under 5, 10 and 20 year terms, non-contract terms, and for member jurisdictions. For member jurisdictions, we assumed annual payments covering obligations for the next 20 years, rather than for the next 60 years, assuming they would cover future costs when they became due. All non-member jurisdictions will pay their entire historical obligation over the term of their contract, rather than over the assumed 60 year maintenance period. CONTRACT TERMS (Years) Member Non-Contract 5 10 20 COMPONENTS Rate Inactive LF O\lerate Costs Aggregate Annual Costs 2,171,603 64,830,121 12,966,024 6,483,012 3,241,506 Inactive LF Op Cost (Sm' 1.74 51.86 10.37 5.19 2.59 Inactive LF OD Cost (SIPer)" 1.44 43.13 8.63 4.31 2.16 . Sff - Based on 1,250,000 Ions in the System .. Based on a total population of 1,503,173 (CA. Depl. of Finance, 1/1/94) Inactive Landfill Capital Costs The Authority has projected approximately $36.2 million of capital projects in the next 15 years to bring all inactive landfills in compliance with State and Federal regulations. Currently, no other capital projects are scheduled for the inactive landfills. We determined the inactive landfill capital costs under 5, 10 and 20 year terms, non-contract terms, and for member jurisdictions. For those non-member agencies who enter a 20-year contract, we have assumed inactive landfill capital costs will be collected over the first 14 years of the contract, to assist in meeting the Authority's related funding requirements, Deloitte & Touche Printed on recycled paper 20 Sp... '",2. ~ SAN DIEGO SOLID WASTE AUTHORITY CONTRACT TERMS (Years) Member Non-Contract 5 ]0 20 COMPONENTS Rate Inactive LF Canital Costs Aggregate Annual Costs ],808,919 36,]78,373 7,235,675 3,617,837 2,584,]70 Inactive Capital Cost (S/T). 1.45 28.94 5.79 2.89 2.07 Inactive Capital Cost (/Per).. 1.20 24.07 4.81 2.41 1.72 . srr - Based on 1,250.000 tons in the System .. Based on a total population of 1,503,173 (CA. Dept. of Finance, 111/94) TABLE 3 summarizes the impact of the Differential Service Fee. Three important facts are highlighted within TABLE 3. First, the table clear shows the total impact of the Differential Service Fee, and how it is structured to provide non-members incentive to either enter long-term commitments or to join the Authority as an active, participating member. Second, the financial difference between entering a long-term contract (i.e., 20- years) and joining the Authority is minimal. This is largely due to the debt service on the NCRRA facility being for approximately the same period (22 years). Third, the associated historical costs built into the current year budget are slightly higher than those for a either a member jurisdiction or for a long-term contract. As mentioned, NCRRA debt service, active landfill CPC costs, and inactive landfill operating costs are higher in the current budget than in future years. Deloitte & Touche Printed on rec.vc/ed paper 21 S4-",). J TABLE J '" '" COMPONENTS NCRRAlkbtSti'vlalW ...... Aggregate Annual Costs NCRRA Debl (Sff)" NCRRA Debl (SlPer)" AdiWLR.CPccoOUiiin Aggregate Annual Cosls Active LF CPC (Srr) Active LF CPC (SlPer InaCtiveLFOriteCi!$tj, Aggregale Annual CoslS [nactive LF Op Cost (Srr) [nactive LF Cost (SlPer) InaCtiveLItCIl'.' 'ita..C05tsii Aggregate Annual Costs 2,680,000 Inactive Capital Cosl (Srr) 2.[4 [naclive Capilal Cost (lPer) 1.20 24.07 4.81 2.41 1.72 1.78 Sff - Based on 1,250,000 tons in the System, except Active LF CPC - removed 65,000 tons for recycling SDC-4PTS.xl. Based on a tolal population of 1,503,173 (CA Depl. of Finance, 111/94) ::::::::::;;::::::::':::::::::::::::;:;::::::::{!t(!;~r~t t:CQNTR:1\G1T:TERMS' Member Non-Contract 5 Rate Years 10 ~ , \. ~ . SAN DIEGO SOLID WASTE AUTHORITY DYNAMICS OF PROPOSED RATE STRUCTURE COMPONENTS Base and Differential Service Fees As illustrated in TABLE 4, our analysis and application of System costs and their characteristics to the rate structure framework developed by the Authority results in differential service fees which will vary with the term of commitments, and base fees which will vary with System volume and other volume. Table 4 provides examples of rate structures under the assumptions contained in this report. However, the Authority is not obligated to provide these term commitments, and future System changes may impact both Base Fee and the Differential Service Fee. The rates proposed below do not incorporate the impact of other collected revenues (interest, state and federal grants, etc.), that could potentially lower rates. TABLE 4 Based on Current Volume - 1,250,000 Tons Rate Component Member Non-Members Non.Contract* 5-Year 10-Year 20-Year Base Fee"'. 541.84 541.84 541.84 541.84 541.84 Differential Sen'ice Fee 14.32 211.60 45.95 25.48 16.22 TOTAL 56.16 253.44 87.79 67.32 58.06 FY 1995 - Moving Fonvard . 1- Vear equivalent Does not include NCRRA reserve fund penalty .. Using this rate approach, the Authority can test variations on non-member contract prices based on the following variables: . Contract terms Future volume scenarios and projections Changes in the CIP Regulatory Changes Other . . . . For example, TABLE 5 shows the impact of collecting capacity replacement costs, and other scheduled capital improvements, on a constant annual basis. Assuming constant System tonnage, collection of these costs would add $8.00/ton to the Base Fee, resulting in a Base Fee of$49.84. Depending upon future system volume, revised System capacity planning, and a v?riety of other factors, required collection for these costs could increase or decrease. Deloitte & Touche Printed on recycled paper 23 s: ':15 TABLE 5 Current Cost Structure of the Authority Waste System -Incorporating Projected Annual Capital Needs · Assumes a Pay-As-You-Go (Cosh Method) Financing Approach $MILLlONS $ PER TON % OPERATING COSTS Variable Fixed SUBTOTAL $17.5 $25.9 $43.4 $14.01 $20.73 $34.74 21.7% 32.1% 53.9% CAPITAL EXPENDITURES CIP - Active and New Sites $18.9 $15.11 23.4% BASE COSTS BASE FEE '" ~ ~ , ~ ~ TOTAL SYSTEM COSTS Revenue Offset OTHER COSTS TO USERS AND PRIOR USERS OF THE SYSTEM NCRRA Debt Service $13.3 Closure/Post-closure Costs $0.0 Inactive Site Operating Costs $4.6 Inactive Site CIP Ex enditure $2.7 $10.64 $0.85 $3.70 $2.07 $82.9 ($3.3) $67.10 ($2.61 ) -4.0% ITOTAL NET SYSTEM. COSTS .Lii.>./.......$79.6 ""0'._.__,.,-,... ...."..-....-..-... ...-..-.-'............. .......... ......... ..-.-.........-...... ...._n...._._........_... ......... ......... :::::::':::;::::::.:.:::,:.:~.:.:.:.:... $64 49 H.- ............__. . ..... ........,..,-,.,.,-,_...."........._,--,-........-,...,-"':-;'-';-,' .\::;::::i,i,:,,;:;::::;;::::t:::,::::::::\:::)::::::/:::::t::~:::~:}:/:{t:. , _. ~_" , ;.;.:.:.,;.:..".;'" .....;Hi%1t..;/100;O%....,............. I ........., .. ..... ':':''''.:-:.:.:.:..,:,:.:.:,:.,.:.:.::.:.:.:.~ . Assumes retention of current System volume (Jurisdictions) Printed on recycled paper JUL: 26 A 7 '!57 MEMBERS OF THE CITY COUNCIL COLLENE CAMPBELL GARY L- HAUSOORFER GILJONES CAROLYN NASH JEFF VASQUEZ Of CfiULA VISTA TY CLERK'S OFFICE CITY MANAGER GEORGE SCARBOROUGH ,. Honorable Mayor and Members of the City Council City of Chula Vista 276 Fourth Avenue Chula Visa, California 92010 July 21,1994 Mayor and City Council. As a Mayor, member of the League of California Cities Public Safety Committee, and possibly one of the hardest-hit crime victims in the State, I would like to suggest we become a team and start to make a "real difference" in the fight against crime We can no longer just sit back and believe that our legislators are going to respond to the devastating crime problem Your coopemtion is needed immediately to influence our legislators to vote for crime bills which will make criminals fear the consequences of committing crime in our communities. It is time that we react effectively and move rapidly to better protect our citizens. Enough is enough I Several months ago, the Public Safety Committee recommended support positions on a number of "tough on crime" bills pending before the State Legislature, and the League Board concurred (see attached list). Will you please urge our legislators to enact these bills immediaiely. Please write a strong letter and send a resolution to the Chairman of the four most critical committees who continue to play political "Russian roulette" with our loved one's lives. (Enclosed is a sample resolution and the Committee Chairmen). Every year, four-thousand Californians arc murdered and yet some legislators continue to coddle the criminals, giving them privileges and rights not afforded to law-abiding citizens. Many seniors wish they could be cared for as well as inmates. We hear about overcrowded jails, but not about the tax supported facilities for conjugal visits for first degree murderers We hear about shortage of police on our streets, but do not hear about our tax money paying for frivolous lawsuits against innocent crime victims filed by convicted killers in prison Killers are profiting hom their heinous crimes. It could be helpful if your letter I resolutions were received by the committees by August 4, 1994, so when the Assembly and Senate return for a short session beginning August 8, the views of your city will be recorded Don't let them close another session on September I and walk away from the compelling consequences of crime. With respect and sincere appreciation for your great commitment to society, ollene ( 10mpson) Campbell Mayor Ala/her vIScoff Cumphell, lJ/1/rdeJ'tld 1982 Sister oJ'(11Idy and Alickey Thompson, J//urdered /988 Cc ~ g ~~ / r:) \{\J!:'r:;::, "1"".,.,,--,,...,.,,. ~ i"'" ,.,., ~: r '"' ..,,: '" ~~. '>.:, T: . ......-.:. . ~ .. "'" 5 ~ ( ,'/ iWW:. j l..ft ~_A,i~\~~'i'i~~'~.~.,~, ,~.;.'~a ~~~~~N cAP~~iALIFORNIA 92675~4)~~~;'1 1ttsnhttiJIlR lif t~t ~it~ of 'iut ~nitJR ~a,jstrJnJl ~~tniS. the citizens of California voted that the State Constitution shall decree Public Safety to be the first responsibility of local government; and, ~~tniS. the safety of San Juan Capistrano citizens is the number one priority and of par amount importance to the Mayor and the City Council; and, ~~trtiS. violent crime is causing great concern andfear in citizens throughout Califomia; and, ~~trtiS. crime in our neighborhoods affects citizens regardless of race, age, gender, social status, political or religious affiliations, and causes immense human suffering; and, ~~trtiS. the financial burden of crime is continuing to escalate and thereby seriously impacting budgets of City, County, State and Federal Government; and, ~~trtiS. in addition, the financial burden of crime and lengthy criminal justice proceedings are ovelWhelming our resources and eroding confidence in government; and, ~~tni'S. the League of Califol71ia Cities has taken a position on legislation to "get tough on crime" as recommended by its Public Safety Committee; and, ~~trti'S. it is in the best interest fif the citizens of the State of California to support these legislative positions and encourage prompt action by our legislators in Sacramento resulting in completion before the end of the 1993 - 1994 Legislative Session (ending September 1, 1994). ;N'!liIfu.1J~trd!lilrt. ~t ~* ~l',S!liIIIDrdr. that the City of San Juan Capistrano urges the California Legislature to immediately enact, without diluting or weakening, all "get tough on crime" bills and associated legislatiol/. 'JiiIJ;\i;Sitil. NWr!lil!iJtIDr. ilIlIDr ~hw*dr. this 19th day of July, 1994. ,. . CRIME BILLS . PUBLIC SAFETY (Partial List) AD 20X (Andal) Repeal of the Inmates Bill of Rights. Allows the Department of Com:ctions to impose reasonable restrictions on inmates consistent with the State and Federal Constitutions. Failed in Senate Judiciary (5-2) on July 5. Must ask for reconsideration. (The sister-bill to above) SB 1260 (presley) Repeal of the Inmates Bill of Rights. Both of these bills have already been weakened. we have asked they be returned to their original form. Currently California inmates have many more privileges that afforded by the Consrinaion. Both of these bills have been weakened. SB 1330 (Calderon) "Son of Sam" Profits of Crime to insure crime does not pay. Garnishes the proceeds of a felon's business enterprise that was enhanced by the notoriety of the crime of the status of the felon and puts money into an involuntary trUst fund for the benefit of the victim. Notorious criminals, like Charles Manson, otherwise stand to profit from music royalties, "crime trading cards" revenue and sales of crime paraphernalia. (Referred to Assembly Ways and Means, no elate, request to expedite.) AD 2470 (Rainey) Juvenile Gun Possession. Bans the possession of handguns and ammunition by minors except with the permission of a parent or guardian for specified purposes. Would delay or revoke the driving privileges of minors in violation of this act. (Referred to Senate Appropriations, to be heard August 8, 9:30 a.m.) SB 1311 (presley) Caljacking. Death Penalty, Drive-By Shooters. Adds to the list of possible "special circumstances" for which the death penalty could be imposed on murder committed in the course of a carjacking, and murder committed by drive-by shooting with premeditation and foreknowledge. (Pulled from Public Safety, June 28, trying to reschedule August 9.) SB 20X (Leonard) Truth in Sentencing. Limits the use of sentence reductions fer good behavior and worlc time credits for serious and violent offenders to no more than fifteen percent of the sentence (currently it is 50%). Put on suspense tile in Senate Appropriations. Blocked. Ask to be recalled from suspense tile. SB 26X (Bergeson) One Strike and You're OuL Provides that all rapists and any child molester who employs force or engages in subStantial sexual conduct will face life without the possibility of parole. Child molesters who do not use force would face up to 16 years in prison. Scheduled for August 9, Assembly Public Safety Committee. AD 27X (Speier) Child Homicide, Felony Murder. Makes willful child abuse. which results in death, first-degree murder and punishable by 15 years to life. and reckless child abuse that results in death, second-degree statutory murder. Set in Senate Judiciary for Aupst 9. SB 41X (Presley) Sexually Violent Predators. This bill allows prosecutors to petition the courts to commit sexually violent predators to a secure mental facility after they are released from prison if they are deemed dangerous by a jury. Trying to schedule for August 9 in Assembly Public Safety. 5b~3 , , Following are the Chairmen and members of the most critical committees dealing with public safety issues: (Naturally. it would be more effective if letters and resolUlions were sent to every cOmnUttee member individually. however tmX contact will be helpful.) Chairman will not distribute your letter to other members. (/fyou desire all members to read your correspondence. then you must send it individually!) ASSEMBLY PUBLIC SAFETY COMMITTEE: Chairman Bob Epple (D - Long Beach) 1021 "0" Street, Suite A-198. Sacramento. CA 95814 Capitol Ph: (916) 445-6047 Dist Ph: (310) 984-7709 Vice Chairwoman Paula Boland, (R-Granada Hills), State Capitol, Rm 3098, Sacramento, 95814 Assemblymember Tom Bates, State Capitol, Rm 446, Sacramento, 95814 Assemblymember Mike Gotch. State Capitol, Rm 3120, Sacramento. 95814 Assemblymember Barbara Lee. State Capitol, Rm. 4146. Sacramento, 95814 Assemblymember Richard Rainey, State Capitol. Rm. 4015, Sacramento, 95814 Assemblymember Phillip Isenberg, State Capitol, RID 6005, Sacramento, 95814 SENATE JUDICIARY COMMITIEE: Chairman David Roberti, (D - Van Nuys) State Capitol, Room 2032, Sacramento, CA 95814 Capitol: (916) 445-8390 District: (818) 901-5588 Vice-Chairman Tim Leslie, (R - Carnelian Bay) State Capitol, RID 4081, Sacramento, 95814 Senator Charles Calderon, State Capitol, RID. 5066, Sacramento, 95814 Senator Tom Campbell, State Capitol, RID 3048, Sacramento, 95814 Senator Bill Lockyer, State Capitol, RID 205, Sacramento, 95814 Senator Milton Marks, State Capitol, Rm 5035, Sacramento, 95814 Senator Nicholas Pettis, State Capitol, Rm 5080, Sacramento, 95814 Senator Raben Presley, State Capitol, Rm 5114, Sacramento, 95814 Senator An Tones, State Capitol, RID 2080, Sacramento, 95814 Senator Diane Watson, State Capitol, RID 4040, Sacramento, 95814 Senator Cathie Wright, State Capitol, RID 4052, Sacramento, 95814 ASSEMBLY WAYS AND MEANS COMMITTEE: Chairman John Vasconcellos, (D - Santa Clara) State Capitol, Rm. 6026, Sacramento, CA 95814 Capitol (916) 445-4253, Dist (408) 288-7515 Vice Chairman Paul Horcher, (R . Diamond Bar) State Capitol, Rm. 3123, Sacramento, 95814 Following are Committee Members: Mail will be received by sending to member's name at State Capitol: Assemblymember: Fred Aguiar, Doris Allen, Dede Alpert, Dean Andal, Valerie Brown, John Burton, Roben Campbell, Jim Costa, Bob Epple, Manha Escutia, Barbara Fri..mnAn, Thomas Hannigan, Ross Johnson, Barbara Lee, Willard Murray Jr., Jack O'Connell, Richarcl Polanco, Curt Pringle, CbarIes Quackenbush, Andrea Seastrand, Paul Woodruff. SENATE APPROPRIATIONS COMMITI'EE: Chairman Roben Presley (D - Riverside). State Capitol, Rm. 5114, Sacramento, CA 95814 Capitol Phone: (916) 445-9781 Vice Chairman Robert Beverly (R-Long Beach) State Capitol, Sacramento, CA 95814 Capitol (916) 445-6447 FoUowing are Committee Members: Mail will be received by sending to mcmber's name at State Capitol: Senate Member: Alfred Alquist, Marian Bergeson, Ralph Dills, Leroy Gn:ene, Patrick Johnston, David Kelley, Lucy Killea, Bill Leonard, Henry Mello, An Toues, Diane Watson. Nou: I would be delighted to receive a copy of your resolution and letter - Collene Campbell, Mayor. SJ.c. 5b' L/ COUNCIL AGENDA STATEMENT Item Meeting Date 8/2/94 ~ ITEM TITLE: Resolution 17~11 Requesting the Board of Supervisors of the County of San Diego to Consolidate a Special Municipal Runoff Election to be Held on the Date Pursuant to Section 23302 of the Elections Code and for Submission to the voters a Question Relating to Amending the Charter to Cause the Date of General Municipal Elections to Coincide with the Date of state Primary Elections. City Attorne~ SUBMITTED BY: 4/Sths Vote: Yes No X Consolidation of elections saves the City thousands of dollars in operating expense. To consolidate the Special Municipal Runoff Election with the Statewide General election the County Board of Supervisors must give their consent. An amendment to the Charter is proposed to automatically coincide the date of General Municipal elections with the date of State primary elections in the future. RECOMMENDATION: That Council adopt the attached resolution. BOARDS/COMMISSIONS RECOMMENDATION: The Charter Review Commission at its meeting of July 2S, 1994 unanimously endorsed the amendment. (See attached minutes). DISCUSSION: Consolidation of the Special Municipal Runoff Election, which has been called to be held on November 8,1994, with the Statewide General election on the same date is desirable. Pursuant to Section 23302 of the Elections Code, a request must be made to the County Board of Supervisors to agree to the consolidation so that the election shall be held in all respects as if there were only one election and to authorize the San Diego Registrar of Voters to canvass the returns of the Special Municipal Runoff Election. The State of California recently moved the date of the Presidential Primary in 1996 from June to March. This move was done to raise the importance of the outcome of the California vote in determining the winners of the primaries. However, at this time the state still has the gubernatorial election set for June, 1998. Therefore, only every four years will there be an election in March instead of June. The current Charter section setting the date of the General Municipal election sets the date at the first Tuesday after the first Monday in June. Therefore, a change is needed for the 1996 election to move this date to March, or the City will be forced to spend over $100,000 to hold its own election. t,-/ Item Meeting Date 8/2/94 Page Two t It is possible the State will change the date of future elections. In any event, in gubernatorial election years the primary will be held in June and in the Presidential years the primary will be held in March. Therefore, it would serve the City to amend the Charter to adjust the date of election to the date of State primary elections. The result being that the City would avoid the need to amend the Charter every two years to adjust the election date. FISCAL IMPACT: $7,000 has been budgeted in FY 94/95 for one runoff election; the Registrar of Voters estimates that this Charter amendment will cost an additional $7,000. M:\home\attorney\elect94.a13 ~~ RESOLUTION NO. ..... /7.5',/ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, REQUESTING THE BOARD OF SUPERVISORS OF THE COUNTY OF SAN DIEGO TO CONSOLIDATE A SPECIAL MUNICIPAL RUNOFF ELECTION TO BE HELD ON THE DATE PURSUANT TO SECTION 23302 OF THE ELECTIONS CODE AND FOR SUBMISSION TO THE VOTERS A QUESTION RELATING TO AMENDING THE CHARTER TO CAUSE MUNICIPAL ELECTIONS TO COINCIDE WITH FUTURE STATE PRIMARY ELECTIONS WHEREAS. the City Council of the City of Chula Vista has called a Special Municipal Runoff Election to be held on November 8, 1994 for the purpose of holding a runoff election for Council Seat 3 for the two candidates who received the highest number of votes at the General Municipal Election held on June 7, 1994; and, WHEREAS, it is desirable that the Special Municipal Runoff Election be consolidated with the Statewide General election to be held on the same date and that within the city the precincts, polling places, and election officers of the two elections be the same, and that the San Diego County Registrar of Voters canvass the returns of the Special Municipal Runoff election and that the election be held in all respects as if there were only one election; and, WHEREAS, under the provisions of the Chula Vista Charter, General Municipal Elections are to be held on the first Tuesday after the first Monday in June of the election year; and, WHEREAS, the Presidential Primary election in California has been changed from June 1996 to March 1996; and, WHEREAS, future changes of state and federal elections are likely to occur; and, WHEREAS, consolidation of Municipal elections with statewide elections would give the City savings of over $100,000; and, WHEREAS, amending the provision in the Charter which sets the General Municipal election date to automatically coincide with the date of California State primary election would avoid the necessity of having to amend this section in the future. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CHULA VISTA DOES RESOLVE, DECLARE, DETERMINE, AND ORDER AS FOLLOWS: SECTION 1. That pursuant to the requirements of Section 23302 of the Elections Code, the Board of Supervisors of the County of San Diego is hereby requested to consent and agree to the consolidation of a Special Municipal Runoff Election with the Statewide General election on Tuesday, November 8, 1994 for the purpose of conducting a runoff election for Council Seat 3. ~~J SECTION 2. That a proposed Charter Amendment measure to be submitted to the voters shall appear on the November 8, 1994 ballot as follows: Shall the Charter be amended so the date of the General YES Municipal election automatically coincides with the date of the California State orimarv election for that vear. NO SECTION 3. Effect of Affirmative Vote on Measure No.1. Upon certification of the results of the election wherein it is truly and properly certified that the abovementioned ballot label has received an affirmative vote by a majority of votes cast, the Section 900 of the Charter shall be deemed ordained by the People of the City of Chula Vista to read as follows: Sec.900. General Municioal Elections: Terms. General Municipal elections for the election of Mavor and Councilmembers and for such purposes as the City Council may describe shall be held in the City of Chula Vista on tRe first Tuesday after the first Menday in June in eaoR even nUFflBered '(ear the same date in each election vear as the California State orimarv elections. Saia €leneral Ffl~nieiflal eleetien for the oleetion ef Mayer and sueR ether flurpeses shall Be held on tAe first Tuosday after tRe first Manday in June al 1990, ana avery four years thereafter. SECTION 4. That the San Diego Registrar of Voters is authorized to canvass the returns of the Special Municipal Runoff Election. The election shall be held in all respects as if there were only one election, and only one form of ballot shall be used. SECTION 5. That the Board of Supervisors is requested to issue instructions to the County Registrar of Voters to take any and all steps necessary for the holding of the consolidated election. SECTION 6. That the City of Chula Vista recognizes that additional costs will be incurred by the County by reason of this consolidation and agrees to reimburse the County for any costs. SECTION 7. That the City Clerk is hereby directed to file a certified copy of this resolution with the Board of Supervisors and the Registrar of Voters of the County of San Diego. SECTION 8. That the City Clerk shall certify to the passage and adoption of this resolution and enter it into the book of original resolutions. t.~t{ PASSED, APPROVED and ADOPTED ON . , 1994. Presented by: Beverly A. Authelet, City Clerk ~"'f MINUTES OF A REGULAR MEETING OF THE CHARTER REVIEW COMMITTEE JULY 25, 1994 July 25, 1994 Council Conference Room 6:00 p.m. ----------------------------------------------------------------- MEMBERS PRESENT: Bob Campbell, Susan Fuller, Sharon Reid, Deric Prescott and John Dorso MEMBERS ABSENT: Jack Blakely (excused) and Janet Lawry (unexcused) STAFF PRESENT: Bruce Boogaard, City Attorney and Michael Karp, Legal Intern The meeting was called to order by Chairperson Campbell at 6:00 p.m. The roll was called and all members were present except Member Blakely who was excused for a previous meeting and Member Lawry who was unexcused. MSUC (Campbell/Reid) to approve the minutes of the January 18 and February 1, 1994 regular meetings. City Attorney Boogaard conducted the elections at the commission's request, opened nominations. MSUC (Reid/Fuller) to retain the present officers for FY 1993/94. Nominations were closed, and Attorney Boogaard declared Campbell and Dorso elected. There were no comments from members of the public. Agenda Item 6: Consideration of Charter amendment to cause the date of General Municipal Elections to coincide with the date of State Primary Elections. City Attorney Boogaard presented the proposed amendment to allow the date of Municipal Elections to automatically change with the changes in the date of the Statewide primary. The reason for this change was explained to be the State's interest in moving the date of the presidential primary to March in Presidential election years to increase the importance of California in choosing the presidential candidates but not in gubernatorial election years. The date of the State primary in non-presidential years remains in June, thus without this amendment, the Charter would need to be. changed annually. Chula vista's interest in holding the Municipal elections on the same date as the State elections involves reducing the cost of the elections, estimated at over $100,000. Member Reid noted that the language in the change was effective to create a floating election day in the city which coincides with the date of the State election. &.7 Charter Review Commission Minutes July 25, 1994 Page Two MSUC (Reid/Fuller) to recommend the adoption of language change by the Council and People. other Matters: city Attorney Boogaard presented a compilation of the proposed amendments which had been presented to Council at the February 22 Meeting. These amendments had been deferred to facilitate further discussion prior to their inclusion on the November ballot. The city Attorney suggested a format for each proposed change to be presented in a complete packet to Council subsequent to further review of the Commission. Member Campbell expressed the fact that hundreds of hours had already gone into the review of each amendment. The City Attorney responded that his own review of each proposed amendment would be included in the packets, and the Commission would have the opportunity to review his analysis. Attorney Boogaard gave an example of one proposed measure with language he had found to be problematical. Member campbell indicated that he would need time alone to carefully review the City Attorney's analysis of each issue and suggested to reconvene the Commission after the City Attorney had provided his analysis to each member. Member Fuller noted that none of the issues were pressing which remained for review, thus the need to put these proposed changes on the November ballot was minimal. The lack of time constraint was noted and the City Attorney agreed that there was time to consider all the measures thoroughly to place them on the ballot for the next election in March 1996. city Attorney agreed to submit his analysi to the members with sufficient time for r meeting date. The members agreed to e the dat meeting for Tuesday. September ". '" t .,~. C:\crc\7-25-4 a!nutes . osed changes to the next or the next t....y COUNCil AGENDA STATEMENT ITEM 7 MEETING DATE Auaust 2. 1994 ITEM TITLE: RESOLUTION J 'lf9~ Amending FY 1994-95 Budget, providing for a General Fund appropriation to the General liability Insurance Account. SUBMITTED BY: DIRECTOR OF PERSONNBf~ REVIEWED BY: CITY MANAGERW ~\ (4/5th Vote: YesX No_I Due to the settlement of the Janey Hummell lawsuit, an appropriation from the General Fund of $275,000 is needed. RECOMMENDATION: That Council adopt the resolution providing for an appropriation of $275,000. BOARD/COMMISSION RECOMMENDATION: N/A DISCUSSION: A settlement has been negotiated in the Janey Hummell v. City of Chula Vista lawsuit in the amount of $300,000. This settlement amount was not fully budgeted in FY 1994-95 Budget. $25,000 of the settlement will be paid from budgeted workers' compensation funds. The remaining $275,000 will be paid from the General Insurance account. Settlements of this size are not predictable and therefore not budgeted and an appropriation is needed. The City Council previously authorized this settlement. FISCAL IMPACT: A total of $275,000 is to be appropriated from the General Fund to Insurance Account 100-0700-5233. The total sum appropriated to this account will be expended by authorization and approval of the Finance Director. 7-/ RESOLUTION NO. / /5'9-2.. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING FY 1994-95 BUDGET, PROVIDING FOR A GENERAL FUND APPROPRIATION TO THE GENERAL LIABILITY INSURANCE ACCOUNT WHEREAS, due to the settlement of the Janey Hummell lawsuit, an appropriation from the General Fund of $275,000 is needed. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula vista does hereby appropriate $275,000 rom the General Fund into Insurance Account 100-0700- 3. Candy Boshell, Director of Personnel Presented by c:\rs\approp.lia /-~ COUNCIL AGENDA STATEMENT Item Meeting Date 8/2/94 g' REVIEWED BY: RESOLUTION 1')593 (1) ADOPTING NEGATIVE DECLARATION 15-94-26; (2) APPROVING THE CLOSURE OF THIRD AVENUE TO VEHICULAR TRAFFIC BETWEEN E STREET AND DAVIDSON AVENUE ON THURSDAY AFTERNOONS BETWEEN 2:00 P.M. AND 8:00 P.M. FOR A FARMERS' MARKET SPECIAL EVENT SUBJECT TO CONDITIONS, AND (3) WAIVING BUSINESS LICENSE FEES FOR THE VENDORS.PARTIC~nTING IN THE SPECIAL EVENT Community Developmenr~~ector }PI City Manager ~ \>..6~) (4/5ths Vote: Yes Council Referral Number: No .1L1 NA ITEM TITLE: SUBMITTED BY: BACKGROUND: On May 24, 1994, the City Council approved the temporary closure of Third Avenue to vehicular traffic between E Street and Davidson Street on Thursday afternoons between 2:00 p.m. and 8:00 p.m. for a 60 day period to accommodate a Farmer's Market. During the 60 day period, an Initial Study of potential environmental effects was conducted. In addition, the street closure request was presented to the Safety Commission and Town Centre Project Area Committee and the Negative Declaration was submitted to the Resource Conservation Commission. The Environmental Review Coordinator conducted Initial Study IS-94-26 and concluded that there would be no significant effect on the environment and has recommended the adoption of Negative Declaration IS-94-26. RECOMMENDATION: That the City Council adopt a resolution: 1) Adopting Negative Declaration 15-94-26 and finding that the project will have no significant environmental impact, 2) Approving the closure of Third Avenue to vehicular traffic between E Street and Davidson Avenue on Thursday afternoons between 2:00 p.m. and 8:00 p.m. for a Farmers' Market subject to conditions attached as Exhibit A; and, 3) Waiving business license fees for vendors participating in the special event. BOARDS/COMMISSIONS RECOMMENDATION: On July 11, 1994, the Resource Conservation Commission reviewed Negative Declaration 15- 94-26 and voted 5-0 to recommend acceptance of the negative declaration. (Excerpt of approved minutes attached.) ~-/ Page 2, Item ~ Meeting Date 08/02/94 On July 14, 1994, the Safety Commission adopted a motion confirming that the Commission reviewed and considered Negative Declaration IS-94-26 and recommends that the City Council approve the street closure subject to conditions (conditions included in attached conditions of approval). (Excerpt of unofficial minutes attached.) On July 28, 1994, the Town Centre Project Area Committee voted 1) to confirm that the Committee reviewed and considered Negative Declaration 15-94-26, and 2) to recommend that the City Council approve the closure of Third Avenue to vehicle traffic between E Street and Davidson Avenue on Thursday afternoons between 2:00 p.m. and 8:00 p.m. for a Farmers' Market subject to conditions recommended by staff and waive business license fees for vendors participating in the special event. (Conditons are included in attached conditions of approval.) (Excerpt of Draft minutes attached.) DISCUSSION: After evaluating the Downtown Farmers' Market during the 60 day demonstration period beginning June 2, 1994, it appears that the Market has been successful as a promotional activity and, as determined by the Negative Declaration, the Market will not result in any significant environmental impact. The following report provides a description of the Market activities, the public noticing and review process for the street closure, and Initial Study's findings. (A copy of the May 24, 1994 agenda statement requesting the temporary closure of Third Avenue for the Farmers' Market is attached for your information.) Market Activities The Farmers' Market is a certified market which includes certified farmers that offer for sale only those items they grow themselves. Only immediate family and salaried employees of the a certified producer may act for and sell the products of that producer. Items include fresh and dried fruits and herbs, vegetables, nuts, honey, eggs, house plants and cut flowers. Also approved for sale are jerky, fresh fish, olives and baked goods. The sale of cut flowers and house plants has created a concern among the Downtown florists. The Market flowers are sold at wholesale prices at which it is difficult for the local retail florists to compete. One of the Downtown florists has submitted a letter to the DBA Board requesting that the Board consider the situation and the Board has responded by making a commitment to meet with the florists as a group and discuss the alternative solutions to resolve the problem. To ensure the integrity of the Farmers' Market, staff has recommended that the vendors and activities of the Market be limited to vendors allowed by a certified farmers' market, arts and crafts hand made by the seller, the sale of goods and services by DBA members, and promotional activities that enhance but do not detract from the Downtown. A condition of approval would allow the Director of Community Development to review all vendors and activities before they are included in the Market. Market Promotion The DBA plans to promote the Market in several ways. A direct mailing will be made to Chula Vista area homes and advertising will be through local publications. The DBA will promote the Market on the Third Avenue Banner located above Third Avenue north of F Street and they r....J- Page 3, Item ~ Meeting Date 08/02/94 plan to purchase professionally, wood crafted signs which will be placed around the vendors at the Market to identify the activity. The signs will be made by a local wood crafter and will be 4 foot by 5 foot painted signs in the shape of a cow and will state, "Certified Farmers' Market Today." Public Notice In an effort to provide adequate notification to all the parties that would be affected by the street closure and the special event, the following outreach has been undertaken. The DBA began the process by holding a public forum at Papa Dave's Coffee House located at the northeast corner of Third and Davidson Avenues on March 30. All merchants located along Third Avenue between E Street and Davidson Avenue were notified by personal visit from the Town Manager and they were given notice by flyer on March 22 and again on March 28. Approximately 25 merchants attended the forum. The DBA reported that attendees, by a show of hands, voted their support for the market. In addition, the DBA devoted a full page of the DBA's April newsletter to the Farmers' Market. The newsletter has a distribution of 400 which includes all 350 DBA members. Since the proposal was modified to include both the north and south lanes of Third Avenue (original proposal was for the closure of only the northbound lane), the DBA expanded their personal contact to include all property owners adjacent to the proposed street closure to discuss the closure and market operation. City staff mailed notices of the City Council May 24 public meeting to all 350 DBA members and to all property owners within 500 feet of the proposed street closure and affected area. In addition, following the Council's approval of the 60 day temporary street closure, notices of the street closure and detour were published in the local newspaper and the transit coordinator posted a sign at the affected bus stop and in the affected buses. Notice of the recent Initial Study for the street closure and Market was were mailed to all DBA members and properties within a minimum of 1000 feet of the Street closure and the notice of Negative Declaration was posted in the County Clerk's Office and was mailed to all DBA members and properties within a minimum of 1000 feet of the proposed street closure area. Notices of the Resource Conservation Commission and Safety Commission meetings were posted at City Hall. And, notice of the Town Centre Project Area Committee and City Council meetings to consider the street closure and waiver of business license fees was published in the local newspaper, posted at City Hall, and mailed to all DBA members and properties within 1000 feet of the proposed street closure area. Vehicle Traffic While Third Avenue was closed during the 60 day Market demonstration period, vehicle traffic counts were taken, turning movement counts were evaluated and the City's Traffic Engineering and Environmental Planning staff observed the vehicle traffic. It was concluded that during the operations of the Farmers' Market, when Third Avenue is closed between Davidson and E Street, the level-of-service on primary access roads would not change and would not exceed level-of-service "C", the design ADT volume. There were some delays for vehicles northbound on Landis Avenue and Church Avenue that were making left-hand turns on to E Street. However, D Street at Third Avenue and Fourth Avenue are signalized which spreads the traffic flow into platoons with the red light traffic signal phase creating gaps in the traffic flow permitting some left-hand turn movements, this combined with the limited ?<:J Page 4, Item Meeting Date 08/02/94 ~ once-a-week operation of the market creates an observable, but less than significant impact. There is a need to maintain emergency services on Third Avenue and to the storefronts along Third Avenue. This is accomplished by maintaining a minimum ten foot wide open lane in the center of Third Avenue between the vendors. Breaks also are provided between booths, displays and vehicles from Third Avenue to the storefronts. Emergency access also is available from the alleys that parallel Third Avenue which have several ingress and egress points between the buildings to Third Avenue. Vehicle ParkinQ There are over 200 public parking spaces within easy walking distance of the Farmers' Market. That includes public parking in lots and on-street along Third Avenue between Davidson and F Street and on Church and Landis Avenues between E Street and F Street. Informal parking surveys were conducted by staff on June 9, June 16, and June 23, the first three market days. The surveys were conducted at what appeared to be the peak hours of activities between 3:30 p.m. and 4:15 p.m. The results of the surveys show that parking north of Davidson Street on Landis Avenue, north and south of Davidson on Church Avenue, and south of Davidson on Third Avenue was nearly full during the survey time period. Parking spaces were always available south of Davidson on Landis Avenue and in the parking lot south of Davidson near F Street between Church and Del Mar Avenues during the survey periods. It was observed that the vehicle turn-over was regular and market customers found parking fairly easy. It appears, from the Initial Study and parking surveys, that traffic circulation and emergency access will not be significantly impacted by the proposed street closure and public parking is adequate to accommodate the Market event. FISCAL IMPACT: The DBA will assume all costs for traffic signs devised and will provide the labor for posting signs, and coordination for the Farmers' Market. The City is providing public noticing and processing, and guidance related to vehicle traffic control. Revenue from the parking meters located along the portion of Third Avenue proposed for closure will be lost, however, those revenues will be transferred to the public parking lots located in the back of the Third Avenue businesses and is anticipated to be substantially from the added use of the now underutilized lots due to the Market. The Market will be able to accommodate up to 36 produce vendors. Annual business license fees for vendors is $52.50 If the City waives the business license fees for those vendors participating in the Market, a maximum of about $1,800 in revenue will not be remitted. However, it is anticipated that the Market will stimulate a significant increase in sales within the Downtown which should in turn result in a net increase in area sales tax to the City. It is expected that this increase in sales tax will off-set any loss in business license revenue. The Market has not been operating long enough to substantiate those expectations, however, it is anticipated that by June 1995 enough data will be compiled to make a determination on the extent of the financial benefit provided to the City in parking meter revenue and if the sales tax revenue has increased in the Downtown area since the inception of the market. ~-'f ~ Page 5. Item Meeting Date 08/02/94 There will be some administrative costs relative to the enforcement of traffic and safety services which will include staff time. farmer3/Downtowndisk 8"5 /0-& RESOLUTION 17.5"93 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA (1) ADOPTING NEGATIVE DECLARATION 15-94-26; (2) APPROVING THE CLOSURE OF THIRD AVENUE TO VEHICULAR TRAFFIC BETWEEN E STREET AND DAVIDSON AVENUE ON THURSDAY AFTERNOONS BETWEEN 2:00 P.M. AND 8:00 P.M. FOR A FARMERS' MARKET SPECIAL EVENT SUBJECT TO CONDITIONS, AND (3) WAIVING BUSINESS LICENSE FEES FOR THE VENDORS PARTICIPATING IN THE SPECIAL EVENT WHEREAS, the City Council of the City of Chula Vista established a Business Improvement Area on November 16, 1971 which created the Downtown Business Association; and, WHEREAS, the Downtown Business Association has requested to close Third Avenue from "E" to Davidson Avenue on Thursdays between 2:00 P.M. and 8:00 P.M. in order to conduct a certified Farmers' Market special event; and, WHEREAS, the Downtown Business Association has requested a waiver of the Business License Fee for the vendors taking part in the Farmers' Market special event; WHEREAS, the proposed Farmers' Market special event will further the Redevelopment effort within the Town Centre 1 Project Area; and WHEREAS, the City Council has reviewed and considered Negative Declaration 15-94- 26. NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF CHULA VISTA does hereby find, order, determine and resolves: 1. That the City Council hereby adopts Negative Declaration 15-94-26 and finds that the project will have no significant environmental impact. 2. That Third Avenue shall be closed to vehicular traffic between E Street and Davidson Avenue on Thursday afternoons between 2:00 P.M. and 8:00 P.M. for a Farmers' Market special event subject to conditions attached hereto as though fully contained herein. BE IT FURTHER RESOLVED that the City Council of the City of Chula Vista approves the waiver of the City's Business License Fee for the vendors participatin in the Farmers' Market. ~LC;:Q~ Chris Salomone Community Development Director ASJ PRESENTED BY: Bruce M. Boogaard City Attorney f c:\ WPWIN\Buchan\Resos\F ARMER 3. RES I &,r? EXHIBIT A Page 1 of 2 CONDITIONS OF APPROVAL 1. The subject street closure shall be permitted for a one year period unless sooner revoked to accommodate the Downtown Farmers' Market. At the end of one year, the Farmer's Market shall be evaluated by the Community Development Director and City Engineer and their findings shall be reported to the City Council by August 1, 1995. The City Council, at that time, may consider an extension of the street closure for the continuation of the special event. 2. All vendors or activities to take place within the closed street right-of-way, other than those approved herein shall be approved by the Community Development Director prior to their participation in the Farmers' Market. Aooroved Vendors and Activities a) Certified Farmers' Market' b) Arts and Crafts hand made by the seller c) Promotional activities that enhance the Market but do not detract from the Downtown business environment or create significant noise, congestion, or safety hazards d) Downtown Business Association (DBA) merchants and businesses in good standing may sell or demonstrate merchandise and services that are currently sold within their Downtown premises. 3. The DBA shall provide, set-up and remove all signs, barricades, temporary traffic control devices related to the Farmers' Market and street closure in a timely manner (set-up completed no later than 3:30 p.m. and removal completed no later than 8:00 p.m.). All traffic control devices, signs, and barricades shall be placed in accordance with the sign placement plan prepared by the City Traffic Engineer and attached as Attachment I and shall conform to the State of California traffic control requirements. 4. The DBA will responsible for the coordination and implementation of all activities and regulations related to the street closure and Farmers' Market and the appropriate City of Chula Vista departments and staff and any applicable County, State, or Federal requirements. 5. The DBA shall provide evidence of a certificate of insurance and the policy endorsement satisfactory to the City, naming the City of Chula Vista as additional insured. 1 A certified farmers' market is a location approved by the County Agricultural Commissioner, where certified farmers offer for sale only those items they grow themselves. Only the immediate family and salaried employees of ta certified producer may act for and sell the products of that producer. Items include fresh and dried fruits and herbs, vegetables, nuts, honey, eggs, house plants and cut flowers, jerky, fresh fish, olives and baked goods. ?"8' EXHIBIT A Page 2 of 2 6. The DBA shall execute an agreement to hold the City harmless from any liability from the activities within the street right-of-way and resulting from the Farmer's Market special event. 7. The DBA shall be responsible for implementing the following Storm Drain Pollution Prevention Program for the Downtown Farmers' Market: a) Debris and/or other pollutants shall not be swept or otherwise made/allowed to go into storm drain inlets or facilities at any time. b) The street right-of-way shall be thoroughly swept and all solid debris shall be placed in containers following the close of the Farmers' Market. c) The street and sidewalks may be washed with water to prevent health hazards. d) This plan may be revised as necessary to prevent, control, or eliminate the discharge of pollutants to the storm drain system resulting from the outdoor activities of the Downtown farmers' Market. y-~. ~ ~ '-'1 T E S Tl~.E. ET o. . . DAVIDSON ST~EeT F STR.EET "VI>OR.u~1t '$ D~III&WAY FAIU'tE,z.'S MItu.ET 51uoJ f'LAcE,..e#T ,I.JW )- J~&,,- b~/'lr N ~. :a. I. . I, .. I. .1 I. . t. " """.s -- - - - - 'c.o,Jes -+:~:J;~~ ~ i:.~"s :,~~l - ~ - - - :: ~~~~ ~ FARM.5"R5 M,4RKET '~~I I , iPc:,.L ~'c. I ~ r 7 C:O".5 I~.f ~ .. Lfu ~ ~ c.E.~Tell.. ST~ET 1Pi)~ ~ :d ~--f-- ~ ~- I I I J ~s~eT -- I LJ F o U R T H L A N D I P S A R A K V I E N G DAVIDSON STREET A V E N U E P A R K I N G E STREET F AM R A M R E K R E S T T H I R D A V E F STREET ATTACHMENT 1 LJ C H U R P C A H R K A I V S N E E G C 0 DAVIDSON STREET N D P A A R V K E I P N N A U D E G 1 t N ./1 -{/ Ci'-J if fJ - jg ( Co .J .' c' I:OJ~~J<iA t ;I " , (\1 .T'I Y V<)A\. cZ, . {, ',I ' .I, u. ,~{;~~ J t..k.;:..- 't,{_!j,-~~ d j _ .( I' Y ;.') , '/ f''--'t 1 ...J , " . '. ((, I" I; I ;J i"'- ,:Lctv:':r{,Lr'---'7\ I , ' i,i I'j c." ""P"; .J Resource Conservation Commission ATTACHMENT 2 Page 3 3. Review of Negative Declaration IS-94-26, Certified Farmers Market: Mary Coburn, Executive Director for the Downtown Business Association, was present to answer specific questions of the RCC. The three requests by the DBA were briefly addressed with no further comments. A motion was made (Hall/Myers) to recommend acceptance of the negative declaration; 5-0, motion carried. 4. Historical site review by RCC-Kracha felt that since no support was given to RCC by the council on signage for historical homes, that the Muni Code be revised to reflect this designation be reassigned to another commission. Hall noted that if this commission took no action, nobody else will take responsibility for the signs. A suggestion was made by Staff to possibly transfer the element of the Historical Preservation from RCC to another commission-i.e., Design Review Committee in the Planning Department, someone with permit control or with an architectural background. The Historical Society should also have some input on the decision. Staff to approach all parties and if there is a possibility of transfer of designation, this item will then be put on the agenda for discussion. 5. Election of ChairlVice-Chair. Motion was made (Hall/Guerreiro) to nominate Cindy Burrascano as the Chairman of the RCC; 5-0, motion carried. A motion was then made (Kracha/Myers) to nominate Michael Guerreiro as Vice-Chairman of the RCC; 5-0, motion carried. 6. Review of Planning Commission Agenda: a. PCM 94-20/PCA-94-02: Continued. b. PCA-94-04: Continued. c. Lower Sweetwater Valley GPA Issue Paper: Discussed earlier. STAFF REPORT: RCC has the opportunity to open a public healing 011 the Shopping Center ElR, per memo from Joe Monaco; decided against it. CHAIRMAN'S COMMENTS: For the next meeting staff will check with council on the status of the environmental list so RCC can make a report. COMMISSIONER'S COMMENTS: Guerreiro: The City has denied Surf Rider Foundation the right to stencil storm drains. Although cities like Imperial Beach, National City and Oceanside were allowed to paint their drains, he requested Staff fmd out why Chula Vista has denied this request. fiA "!r- ) J ATTACHMENT 2 MINUTES OF A REGULAR MEETING OF THE CHULA VISTA SAFETY COMMISSION Thursday, July 14,1994 7:05 p.m. Council Chambers Public Services Building CALL TO ORDER 1. Roll Call: Present: Chair Thomas, Vice Chair Padilla (in at 7:08), Commissioners Bierd, Matacia, Pitts, and Smith Also Present: Hal Rosenberg, Traffic Engineer; Frank Rivera Associate Traffic Engineer; Sgt. Gene d'Ablaing; and Shirley Buxton, Recording Secretary 2. Pled2e of Alle2iance/Silent Praver 3. ODenin2 Statement - Read by Chair Thomas 4. ADDroval of Minutes: May 26 & June 9, 1994 MSC (Smith/Bierd) to approve the minutes of May 26, 1994 as presented. Approved 4-0-1-1 with Vice Chair Padilla absent and Commissioner Pitts abstaining. - MEETING AGENDA 5. REPORT on Downtown Certified Farmer's Market on Third Avenue between E Street and Davidson Street Frank Rivera presented staff's report. Hal Rosenberg mentioned that staff had been monitoring the event and found no unusual or unsafe conditions at the Farmer's Market. Chair Thomas asked Pam Buchan for a brief overview of the program. Pam Buchan, Principal Community Development Specialist, said she had received positive feedback from the public, customers, and downtown merchants on the Farmer's Market. The Downtown Business Association sponsored the Farmer's Market which was located on Third Avenue from E Street to Davidson Street. The merchant's grossed $9,000 - $11,000 each Thursday. There were 23 - 25 vendors participating. Some of the products included flowers, herbs, potted plants, assorted "certified" produce. Certified produce meant it had to be sold by the growers. There was also live music and the merchants were more involved. Chair Thomas asked if the City would continue to waive the business license requirements. Pam Buchan said staff would return to the City Council on August 2, 1994 to give them a status update. Staff's recommendation would be to continue the waiver of business licenses. Staff was trying to accomplish exposure of the downtown area with the Farmer's Market, not necessarily making money. MSUC (Thomas/Bierd) to recommend to the City Council the approval of temporary street closure for the Downtown Certified Farmer's Market subject to the following three conditions: 1) the operation of the Farmer's Market would be evaluated annually by the Community Development Director and City Engineer and their findings shall be reported annually to the City Council at the first Council meeting in March; 2) all non-food vendors shall be approved by the Community Development Director prior to the vendor's UNOFFICIAL MINUTES)t-5 Y ---/ ~ Safety Commission Minutes July 14, 1994 Page 2 participation in the Farmer's Market; 3) a storm drain pollution prevention program for the Farmer's Market shall entail: a) the street right-of-way shall be thoroughly swept and all solid debris shall be placed in containers following the close of the Farmer's Market and b) the street and sidewalks may be washed with water to prevent health hazards; and 4) had reviewed and considered and approved the Negative Declaration. 6. STATUS REPORT on traffic concerns for Oleander Avenue south of Orange Avenue Frank Rivera said staff met with residents of Oleander Avenue to discuss traffic issues. There were approximately 30 people at the meeting. Resident's felt it would be best to divide Oleander Avenue into three study areas. Staff received good input from residents including accident history which was not included in staff's reports from the Police Department. Residents requested all-way stops in the area. Since the Elementary School was in summer recess, staff felt it would be best to complete their analysis after school resumed in September and report to the Commission in October. The report would include an evaluation of speed humps, which interested the residents. If speed humps were approved by the Commission, it would be the first location in the City, and it would need to be approved by the City Council. Staff was working with the City of San Diego to review their policy for installing humps. Staff also reviewed installing edgelines along Oleander Avenue. Block captains were selected for each study area to act as a liaison between residents and staff. The Police Department continued enforcement and staff had marked out pavement legends for the new speed limit signs to be added. During the first week of August, Oleander from East Orange to Sequoia Street would be resurfaced. Staff intended to wait a few weeks after the overlay was completed before striping the area. MSUC (Padilla/Pitts) to have staff continue to work with residents and to return with a final report to the Commission on October 13, 1994. 7. REPORT on request for time limited parking 500 block of Del Mar Avenue and 200 blocks of Shasta Street and Whitney Avenue Frank Rivera presented staff's report. Hal Rosenberg said staff did not take a strong position on whether time parking should be established, but it was an option left to the residents who were impacted. Staff relied upon the community to give support in the form a petition indicating interest in time limited or permit parking. Chair Thomas pointed out that the report mentioned vehicles parked on sidewalks and lawns and asked if it was because of lack of street improvements. Frank Rivera responded that the area had rolled curbs and it was easy to park on the curbs. Motorists parked wherever their car would fit. Commissioner Matacia confirmed with staff that they were trying to get community support and had mailed 75 letters and received 10 phone calls, five supporting time limited parking and five against. Frank Rivera said the reason people were against the idea was because they were far removed from problem and were not impacted yet. If staff installed time limited parking for those currently effected, those not impacted would begin the feel the impact and would want time limited parking. It would create a "domino" effect on the entire street. UNOFFICIAL MINUTeS *--60--'/b t ITEM TITLE: SUBMrru;D BY: REVIEWED BY: BACKGROUND: ATTACHMENT 3 COUNCIL AGENDA STATEMENT 1.1; Item ~ V\ Meeting Date 5/24/94 COUNCIL RESOLUTION \.1\ 1) APPROVING THE TEMPORARY CLOSURE OF THIRD A VENUE TO VEHICULAR TRAFFIC BElWEEN E STREET AND DA VIDSON AVENUE ON THURSDAY AFfERNOONS BETWEEN 2:00 P.M. AND 8:00 P.M. FOR A 60 DAY PERIOD COMMENCING ON JUNE 2 FOR A FARMERS' MARKET SPECIAL EVENT, AND 2) WAIVING BUSINESS LICENSE FEE FOR THE VENDORS PARTICIPATING IN THE SPECIAL EVENT AND 3) WAIVING INITIAL STUDY DEPOSIT (FEE) FOR LONG-TERM FORMAL STREET CLOSURE COMMUNITY DEVELOPMENT DIRECTOR (S . [;J!l CITY MANAGER/EXECUTIVE DIRECTOR ~ ~d ./"Z (4/5ths Vote: Yes _ No XJ Council Referral Number: NA The Downtown Business Association (DBA) proposes to establish a weekly certified Farmers' Market in the Town Centre I Project area as a special event and requests the closure of Third Avenue between E Street and Davidson Avenue to accommodate the market. In addition, the DBA requests that the City waive the business license fee for the vendors participating in the Market. The City's Traffic Engineer, Risk Manager, Police Department Special Events Coordinator, Fire Department, Transit Coordinator, Community Development Department, Planning Department, and City Attorney's Office reviewed the proposed temporary street closure. The following report discusses the issues that were raised and resolved during the staff meetings and discussions. RECOMMENDATION: That the City Council adopt a resolution approving: 1) the temporary closure of Third Avenue to vehicular traffic between E Street and Davidson Avenue on Thursday afternoons between 2:00 p.m. and 8:00 p.m. for a 60 day period commencing on June 2, 1994 for a Farmers' Market subject to conditions; 2) waiving business license fee for vendors participating in the special event; and, 3) waiving Initial Study deposit (fee) for long-term formal street closure. 11 ~~//7 . \ Page 2, Item Meeting Date 5/24/94 , , BOARDS/COMMISSIONS RECOMMENDATION: During the 60 day term of the proposed demonstration project, the staff and the DBA will provide a presentation of the formal street closure and Farmers' Market proposal to the Town Centre Project Area Committee and Safety Commission for their review and reconimendation. DISCUSSION: The DBA is proposing to establish a certified Farmers' Market special event in Town Centre l. The Market is proposed to be conducted every Thursday between 3:30 p.m. and 7:00 p.m. and is planned to be located within the Third Avenue street right-of-way between E Street and Davidson Avenue. Approximately 25 produce vendors will participate in the first market scheduled for June 2. A full description of the DBA's proposal is attached as Exhibit A. [The original proposal has been modified to consist of a full width street closure (north and south bound lanes of Third Avenue) rather than closure of just the northbound lane. This change was made because the single lane closure had the potential to create significant pedestrian safety ISsues. The specific location for the Market was selected for several reasons. The northeast section of the Town Centre I Project Area does not have as high an activity level as other commercial sections of the Downtown. The market will provide an opportunity to introduce the public to this portion of the Downtown area. This segment of Third Avenue also is highly visible from E Street which will provide a high level of Market exposure to local and through traffic carried on E Street. Additionally, mid-block public parking lots are available and easily accessible to customers near the proposed market location. To accomplish the open market as planned, the DBA has requested that Third Avenue be closed to vehicular traffic between E Street and Davidson Avenue between 2:00 p.m. and 8:00 p.m. on Thursdays and that the business license fee be waived for participating vendors. The California Vehicle Code section 21101(e) allows a local authority to temporarily close a portion of any street for local special events. This may be accomplished by resolution or ordinance. After reviewing the proposal and potential impacts, staff is recommending approval of the temporary street closure by resolution. Staff also is recommending that the City Council approve the proposed street closure for a 60 day period which would be considered a special event demonstration project. The demonstration project is a class 23 CEQA exemption. During the demonstration project, the Traffic Engineer will monitor the shift in traffic patterns. This information will be the traffic data base that will be used to prepare the Initial Study. necessary for the formal, long-term project that will be presented to the City Council following the completion of the demonstration project. The Initial Study application includes a $1000 deposit which covers staff processing and administrative costs. The DBA as a non-profit organization has requested that this fee be waived. rr- ?{~/ Y Page 3, Item Meeting Date 5/24/94 In addition, the demonstration project will provide an opportunity to evaluate other issues such as parking and signage and will allow the Town Centre Project Area Committee and the Safety Commission an opportunity to provide comments to the City Council based on a working model. The following discussion addresses the issues pertinent to the temporary street closure for the special event. Public and Local Notice of Street Closure Merchants, local residents, and local street traffic will be affected 9Y the street closure and detour. In an effort to provide adequate notification to all the affected parties the following outreach has been undertaken. The DBA began the process by holding a public forum at Pa Pa Dave's Coffee House located at the northeast corner of Third and Davidson Avenues on March 30. All merchants located along Third Avenue between E Street and Davidson Avenue were notified by personal visit from the Town Manager and they were given notice by flyers (see Exhibit B) on March 22 and again on March 28. Approximately 25 merchants attended the forum. The DBA reported that attendees voted their support for the market. In addition, the DBA devoted a full page of the DBA's April newsletter to the Farmers' Market (see Exhibit C). The newsletter has a distribution of 400 which includes all 350 DBA members. Since the proposal was modified to include both the north and south lanes, the DBA has expanded their personal contact to include all property owners adjacent to the proposed street closure to discuss the closure and market operation. City staff mailed notices of the City Council May 24 public meeting to all 350 DBA members and to all property owners within 500 feet of the proposed street closure and affected area. In addition, if the Council approves the closure, a series of notices will be published in the local newspaper and the transit coordinator will post a sign at the affected bus stop and in the affected buses. Traffic Control Plan The City's Traffic Engineer has prepared a traffic control detour plan to direct traffic around the proposed closed portion of Third Avenue. If the closure is approved, a series of traffic control signs will be placed on Third Avenue before and during the Farmers' Market special event (see attached plan - Exhibit D). Traffic Engineering will mark-out the locations for all the required traffic control signs. The DBA will be responsible for supplying, setting-up, and removing all traffic control signs, cones and barricades at the market. Traffic Engineering will assist the DBA on the initial closure to develop a correct procedure. Detour signs will direct north and southbound traffic to 4th Avenue via E Street and F Street. Neither of these circulation element streets are experiencing level of service problems as reported in the 1993 traffic monitoring report. There appears to be sufficient capacity on these streets to accommodate the diverted traffic. The temporary closure should not impact any traffic threshold standards. However, it is expected that some traffic congestion may result at the F Street !Third Avenue intersection. In anticipation of this occurrence, special traffic operating procedures (i.e. dual left turn lanes) will be implemente~ to mini'~COn~~) ~ .' Page 4, Item Meeting Date 5/24/94 During the recommended demonstration period, the Traffic Engineer will be monitoring the traffic circulation. All traffic issues revealed during that time period will be forwarded to the Safety Commission for comments and recommendation to the City Council with the formal long- term Farmer's Market proposal following the completion of the demonstration project. Parking One of the reasons the proposed location was selected was because public parking is within proximity of the proposed Farmers' Market and it will be easily accessible to the Market and Downtown shoppers (see Exhibit E). There are three public parking lots containing over 90 spaces located north and south of Davidson Avenue behind businesses on the east side of Third Avenue (Church Avenue) and two public parking lots containing almost 200 spaces located north and south of Davidson Avenue behind the businesses on the west side of Third Avenue (on Landis Avenue). These parking lots are currently used at a 50% to 60 % occupancy (1993 data). They are easily accessible from F and E Streets via Landis and Church Avenues and via Davidson Avenue and are located along the Third Avenue detour route. Towing Tow Away Zone signs must be posted in accordance with the vehicle code before the street closure occurs. It was agreed that the DBA will be responsible for placing Tow Away signs 24 hours before the street closure to allow ample warning that cars will be towed by 2:00 p.m. on Thursdays. The DBA has been previously responsible for tow away notices when street closures have been allowed for street festivals. Market Promotion The DBA plans to promote the Market in several ways. A direct mailing will be made to 78,000 Chula Vista area homes and advertising will be through local publications. The DBA will promote the Market on the Third Avenue Banner located above Third Avenue north of F Street and they plan to purchase professionally, wood crafted signs which will be placed around the vendors at the Market to identify the activity. The signs will be made by a local wood crafter and will be 4' x 5' painted signs in the shape of a cow and will state, "Certified Farmers' Market Today." Staff feels that the issues raised can be satisfactorily resolved. In addition to the traffic and parking issues, the City staff will observe and monitor the set-up and operation of the market during the demonstration project to determine if any modifications or additional recommendations to the traffic control plans will be necessary for safe operation. FISCAL IMPACT: The DBAwill assume all costs for traffic the signs, and provide the labor for posting signs, and coordination for the Farmers' Market. The City is providing public noticing and processing, and guidance related to vehicle traffic control. Revenue from the parking meters located along ril~t1" ?' /~ CJ " Page 5, Item Meeting Date 5/24/94 the portion of Third Avenue proposed for closure will be lost, however, those revenues will most likely be transferred to the public parking lots located in the back of the Third Avenue businesses and will most likely be increased substantially from the added use of the now underutilized lots due to the Market. The Market will be able to accommodate up to 36 produce vendors. Annual business license fees for vendors is $50. If the City waives the business license fees for those vendors participating in the Market, a,maximum of $1800 in revenue will not be remitted. However, it is anticipated that the Market will stimulate a significant increase in sales within the Downtown which -should in turn result in a net increase in area sales tax to the City. It is expected that this increase wilI off-set any loss in business license revenue. There will be some administrative costs relative to the enforcement of traffic and safety services which will include staff time. If the Initial Study deposit is waived, the approximately $1000 staff processing and administrative costs for the preparation of the Initial Study will be absorbed by the Community Development Department's staff services budget. The DBA is a non-profit organization which qualifies for the waiver of fees if the City Council deems it appropriate. c:farmer. 113 ~6/;;Z/ 360 Third Avenue P.O. Box 381 OIuIa Vista, CA 91912 (619) 422-1982 (619) 422-1452 1994 Officers & Directors President Jim Fergus Vice President Tom Money Secretary Jan Cano Treasurer Donna Hawk Past President Vangie Kujawski Dana Birch Lou Black Sandra Mascarenhas Lou Nicholaus Ben Patton Marie Raftery Dave Rossi Dr. Steven Wachs Town Manager Mary Coburn April 12, 1994 Christopher Salomone, Director Community Development City of OIula Vista 476 Fourth Avenue Chula Vista. CA 91910 Dear Chris: The Downtown Business Association is pleased to present our Certified Farmers' Market plan for approval. I am sure you are aware that Certified Farmers' Markets are being used statewide to vitalize city center shopping areas. The establishment of a market will create a self-supporting, weekly activity that has the potential to attract 3,000 to 4,000 shoppers on a weekly basis. Currently markets are being held in Ocean Beach, Coronado, Pacific Beach, La Mesa, Escondido, Hazard Center, Oceanside, Vista. Poway, Del Mar and Uptown San Diego. As you can see, the Chula Vista area is ripe for a market! The market will be held every Thursday, beginning June 2 rain or shine, from 3:30 until 7;00 PM (winter hours maybe adjusted) year round. In order for Downtown Chula Vista to maximize the market's potential we are requesting permission to close the north bound lane of Third A venue between Davidson and E Street This location has ample parking, good visibility and will bring needed foot traffic to the area. We will need to begin street closure at 2:00 PM in order to allow ample time for shoppers currently parked in the area time to leave and to allow the DBA to position barricades and signage. We will be working with an experienced Market Manager who not only manages four markets but is also a grower. We have been in contact with all the business owners on both sides of Third Avenue between Davidson and E Street and on March 30th we held a market forum. The result was a vote of support and pledge of cooperation. We appreciate your support in gaining approval for the street closure. cc:Pam Buchan ~3 EXHIBIT A DOWNTOWN CHULA VISTA CERTIFIED FARMERS' MARKET PROPOSAL. Chula Vista Downtown Business Association 360 Third Avenue Chula Vista, CA 91910 422-1982 Jr15 'if -- ..2? EXHIBIT A Purpose The purpose of a weekly certified fanners' market is to provide a weekly self- supporting (income producing) event that has the potential to attract between 3.000 and 4.000 shoppers into the Downtown core. Background A certified farmers' market is an effort to reestablish the traditional link between farmers and consumers. A certified farmers' marketis a location approved by the county agricultural commissioner. where certified fanners offer for sale only those items they grow themselves. Before a certified producer certificate is issued. the agricultural COmmissioner visually inspects the applicants's field to verify that the applicant is actually the producer of the crops listed on the certificate. Only the immediate family and salaried employees of a certified producer may act for and sell the products of that producer. Items include fresh and dried fruits and herbs. vegetables. nuts. honey. eggs. house plants and cut flowers. Also approved for sale are Jerky, fresh fish. olives and baked goods. Certified Farmers' Markets are being used stateWide to reverse the trend of shopping in the suburbs and bring people back Downtown. Currently markets are being held in Ocean Beach, Coronado, Pacific Beach, La Mesa, Escondido, Hazard Center, Oceanside, Vista, Poway, Del Mar and Uptown San Diego. Both the Ocean Beach and Escondido Farmers' Market involve an evening street closure. Surveys taken at three different markets indicated: . Of the market customers interviewed, more than half consider themselves regular customers. . The average customer spends between $2.00 and $25.00. · Half the customers indicated that they typically shopped outside the Downtown area for groCeries. . · More than half the customers expected to tie in the trip With other shopping. Typically, for every one dollar spent at the market $3.00 are spent at neighbOring businesses. · Almost half reported being previously unfamiliar With the Downtown area and now liking it. · The presence of the market improved the customer's image of the shopping area. Proposal The Downtown Business Association proposes to establish a year round Certified Farmers'Market every Thursday (rain or shine) beglnnfng on June 2nd. The market will begin set up at 2:00 PM and the bell will sound at 3:30 PM (no sales may be made until the Market Manager sounds the opening bell). The market will close at 7:00 PM and the street will reopen no later than 8:00 PM. fi--Ir 55 ~ J '7 Five Downtown locations were considered for the market location. Considerations included - visibility, surface, shade/windbreaks, bathroom availability with hot & cold running water and parking. Our main goal was to get the shoppers onto 1h1rd Avenue, therefore, utilizing a parking lot was not a serious consideration. Meetings were held with Pam Buchan and Miguel Tapia from Community Development and Hal Rosenberg the City's Traffic Engineer. The challenge was to determine the location that would provide the greatest benefit to 1hird Avenue businesses with the leas~ ~~of impact on traffic flow. That area was determined to be the no~~? J~~between Davidson and E Street. 1h1s location provides excellent visibility from E Street and would attract cross town traffic into the Downtown core. There is adequate parking in the lots behind the businesses and there are several mid-block walk ways. N t S ~0 EJ l' E Street <> Ix '" 13 Ix ~ Ix '"d Ix .!:l r: IX Davidson I I I I I F Street South b~c on 1hird Aven~~ ~main open. Growers would park parallel with their backs to the center line and sell toward the sidewalks. m ~ 0'@ '" .<: U '" '" ., o o < >. Cd ~ <> c o '" '" <> o o < 1;- ~ <> c o Chula Vista Transit, San Diego Transit and~fieJf,r{tlrrOUgh traffic will be diverted at F Street. 1hird At~ willJe~~ open to traffic until Davidson where all Ri~' 1 :' LOO traffic will lll{(f eiilier park and shop or continue to SesQnd k.'eHue. Und/6 tJ? (Vhu/c7/~ 4Ve/1ur?S. A Public Forum was held on March 30th at Papa Dave's to outline the Certified Farmers' Market plan for all businesses between Davidson and E Street. The result was an overwhelming vote of support and a pledge of cooperation. ~S/;2~. The Certified Farmers' Market will be supervised by an experienced Market Manager who. in this case. happens to be a grower. It is the Market Manager's responsibility to recruit a wide variety of growers. The Market Manager will draft the market rules and regulations and monitor growers to make Sure they are in compliance. The Market Manager assists in the street closure. checks in the growers. assigns spaces. monitors sales and collects 6% of gross sales from the growers at the close of the market. In conjunction with the Market Manager, the Chula Vista Downtown Business Association intends to maintain a high proille at the weekly market. Various promotions and activities will be planned in conjunction with the market. Downtown restaurants are being contacted to provide monthly cooking demonstrations using fresh market produce. Downtown bakeries and florist will be invited to participate at the market and we only ask that they pay the same fee as all the growers (6% of the gross sales). The only commercial booths and displays allowed are those of DBA members not located in the market area. Prior to Christmas, arts and crafts displays may be allowed. The DBA will establish a Market Committee to oversee the market and resolve issues as they arise. The Market Committee will consist of the Market Manager. the Town Manager, one DBA Board Member and one representative from both the east and the west side of Third Avenue between Davidson and E Street. The committee will monitor the market budget and assist in planning advertising and market promotions. The DBA requests the following: 1. The weekly closure of Third Avenue between Davidson and E Street on Thursdays from 2:00 until 8:00 PM. 2. A waiver of the sidewalk sales ordinances and business license requirement for the Certified Farmers' Market and participating growers and vendors. . 3. Provide assistance in routing traffic for the first month at no charge to the DBA. 4. Approve a decal to be posted on appropriate parking meters indicating "No Parking - Farmers' Market Every Thursday from 2:00 - 8:00 PM". The DBA will incur the expense of the decals and assume responsibility for installation. ~ ~/2J DOWNTOWN CHULA VISTA CERTIFIED FARMERS' MARKET FORUM Wednesday, March 30, 1994 Papa Dave's 6;30 p.m. Please try to attend, your input and support is very important to this project! R.S.V.P. 422-1982 If you are unable to attend, please call the DBA office at 422-1982 and we will ~chedule a specific time to meet with you. If we do not hear from you we will assume that we have your complete support! jJ~.. EX. B %'/] / H I B I I The Downtown Business Association proposes to establish a year round Certified Fanners' Market everY Thursday (rain or shine) beginning on June 2nd. The market will begin set up at 2:30 PM 'and the bell will sound at 3:30 PM (no sales may be made until the Market Manager sounds the opening bell). The market will close at 7:00 PM and the street will reopen no later than 8;00 PM. Five Downtown locations were considered for the market location. Considerations included _ vJslbility, surface, shade/windbreaks, bathroom avallability with hot & cold nttlnlng water and parking. Our main goal was to get the shoppers onto Third Avenue, therefore, utilizing a parking lot was not a serious consideration. The chaIIenge was to determine the location that would provide the greatest benefit to Third Avenue businesses With the least amount of impact on traffic flow. That area was determined to be the north bound lane between Davidson and E Street. ThIs location provides excellent visibility from E Street and would attract cross town traffic into the Downtown core. There is adequate parking in the lots behind the businesses and there are several mid-block walk ways. . . E Street v Ix '" c Ix v N > IT] 8 -< Ix t '0 .!:l Ix [i] ~ IX '" Davidson S :a 1a I 0~ JE] f '" I .c U I I '" '" '" 81- v F Street 0 0 -< -< >. >. <U <U ~ ~ V V C C 0 0 Growers would park parallel with their backs to the center line and sell toward the sidewalks. South bound traffic on Third Avenue will remain open. Chula Vista TransIt, San Diego TransIt and through traffic would be diverted at F Street Third Avenue will remain open to traffic until Davidson where all north bound traffic will tum and either park and shop or continue to Second Avenue. A Public Forum was held on March 30th at Papa Dave's to outline the Certified Farmers' Market plan for all businesses between Davidson and E Street The result was an overwhelming vote of support The Certified Fanners' Market will be supervJsed by an experienced Market Manager who, in this case, happens to be a grower. It is the Market Manager's responsibility to recruit a Wide variety of growers. The Market Manager will draft the market rules and regulations and monitor growers to make sure they are in complIance. The Market Manager assIsts in the street closure, checks In the growers, assIgns spaces, monItors sales and collects 6% of gross sales from the growers at the close of the market .J!.~ ~- JJ 4 (EXCER~T FROM April issue of Downtown newsletter) EXHIBIT C I SC5 : j . Cl C19 ~ r -+ ~- --- - _. - -- . , I ~ ~ i ' L D S lv- 1 I I I I ' I I ~-+I ' J' H- l_i ' , R41 --- ill tf- RIGHT ,. - w I ! I I , ! TURN ! I - 1 ! : ' , . I , ONLY :t--= I if) , ~ --- THIRD A~A~ t: . """' [ -8.. . , '.... [ DETOUR i i :1 [ <c'MINIMUM TYPE III BARRICADE , , , Drawn By: DENNIS M. WOLFE T1TL E: Dale: AREA PLAT EXHI BIT D -t-- -- ~t- :: ~r---r-.~\ E A ~/ ~ - / 1____. '--. 1/ I- -. R60a I I - I I I I I , I I I I: :; :: ! I V//&. ~ __ _.. / ~ /~ .C . f'// /. =: I I I 1/ I' 8,. I I I I "./ 'J I 1 I.c-~ ./_I~ I V I I I I I I I , , / ~~ '" - ~ i I ; : : ~ , : I I , :/ I , , , : : I , I , , , , , ....11 ~.::,;~:V? 'h I ~ 0 '1 v; c.n ~I ""J , I : : ! " ! I I J .. I, I I I I f'1 !: _-'-_ .: i : :/; I C-AN )15' / o : : ;/:: ! ! ! " I I I I I I ! I ! I I I' I ; , .' J " i , I I , , , I : r f I j I n I I i III , , ; :': <SA;R ~ETT r - -- r -- ~ - > G , : jc:{ ~ I 'b "-J I I I : I I I I I I r 04.' _. Drawn By: DENNIS M. WOLFE TITLE: Dale: lliill jD { [] []J] r------ ~ i-.- i : I Il~~ - I I 7;: : : 1'!-61 . I ,':, !"C--~' '-.I.t I sc-$ I I I , I ~ I , I i:~ _~ ". . ~ ' " , ; ~~"-:: - -:;~ ~\:- - - ~- - THIRD AVE - -,..'\ - - ~~ \ ~! - -~-.; \-~-- " ::... J \! \ Clg __ , i -_____. "'~- ~. ~ ,? Pi . SC5 , L'Q,., I'~ ROAD J--.: : / II "IJ" I "... ,.,. ~ ,,- Cl '. CLOSED' VI / AHEAD '-- --./" DETOUR AHEAD _ __ _ t- -------W W a:: I- (f) I CHURCmLJ I- W' W 0: l- (/) SPECIAL EVENT . AHEAD ~ , Z ~~ # I~- I ~ ~# 'J'O I 0" ~ I.(':~ ~ --- v. ./ Of?: / OJ , ----J I,.J : }-, LL. ',_______ : ~-j AREA PLAT EXHIBIT D ~. 't I > f- --t ic:( I :: '---i .. 'i" ~ 'n._ 0:_____ <1:----_ a. h ___ DRAFT negative declaration ATTACHMENT 4 PROJECT NAME: Certified Farmers Market PROJECT LOCATION: Third Avenue Right-of-Way between Davidson and E Street ASSESSOR'S PARCEL NO.: N/A PROJECf APPLICANT: Chula Vista Downtown Business Association (DBA) CASE NO: IS-94-26 DATE: June 29, 1994 A. Proiect Settin2 The project site is within the Third A venue right-of-way between Davidson and E Street. There would be no permanent modifications to the right-of-way. The project site is quite flat, there are no biological resources present nor are there any geologic hazards in the project vicinity. The project site is bound to the east and west by the retail business and other services that front on Third A venue. . B. Proiect Descriotion The Downtown Business Association proposes to establish a year round Certified Farmers' Market every Thursday. The market will begin set up at 2:00 p.m. and the bell will sound at 3:30 p.m. (no sales may be made until the Market Manager sounds the opening bell). The market will close at 7:00 p.m. and the street will reopen no later than 8:00 p.m. Five downtown locations were considered for the market location. Considerations included - visibility, surface, shade/windbreaks, bathroom availability with hot and cold running water. Our main goal was to get the shoppers onto Third A venue, therefore, utilizing a parking lot was not a serious consideration. . The challenge was to determine the location that would provide the greatest benefit to Third A venue businesses with the least amount of impact on traffic flow. It was determined that a full street closure of Third A venue between Davidson and E Street would be the safest for pedestrians and shoppers. This location provides excellent visibility from E Street and would attract cross town traffic into the downtown core. There is adequate parking in the lots behind the businesses and there are several mid-block walkways. Chula Vista Transit, San Diego Transit and northbound through traffic will be diverted at F Street. Third Avenue will remain open to traffic until Davidson where all northbound traffic will turn and either park and shop or continue to Fourth A venue or Second A venue. The Certified Farmers' Market will be supervised by an experienced Market Manager who, in this case, happens to be a grower. It is the Market Manager's responsibility to recruit a wide variety of growers. The Market Manager assists in the street closure, checks in the growers, assigns spaces, monitors sales and collects 6% of gross sales from the grower~~f.t.. the close of the market. II ~ <::'y'/ '7 Y . ::-...lL:: ~~_ 0 . ~( ,~~~ city of ehula vllta planning dapartment 01Y OF envlronmenta. review .eetlon. CHUlA VISTA The DBA will establish a Market Committee to oversee the market and resolve issues as they arise. The Market Committee will consist of the Market Manager, the Town Manager, one DBA Board Member and one representative from both the east and the west side of Third Avenue between Davidson and E Street. The committee will monitor the market budget and assist in planning advertising and market promotions. The DBA requests the following: 1. The weekly closure of Third Avenue between Davidson and E Street on Thursdays from 2:00 until 8:00 p.m. 2. A waiver of the sidewalk sales ordinances and business license requirement for the Certified Farmers' Market and participating growers and vendors. 3. Provide assistance in routing traffic for the first month at no charge to the DBA> 4. Approve a decal to be posted on appropriate parking meters indicating "No Parking - Farmers' Market Every Thursday from 2:00 - 8:00 p.m.". The DBA will incur the expense of the decals and assume responsibility for installation. A certified farmers' market is a location approved by the county agricultural commissioner, where certified farmers offer for sale only those items they grow themselves. Before a certified producer certificate is issued, the applicant is agricultural commissioner visually inspects the applicant's field to verify that the applicant is actually the producer of the crops listed on the certificate. Only the immediate family and salaried employees of a certified producer may act for and sell the products of that producer. Items include fresh and dried fruits and herbs, vegetables, nuts, honey, eggs, houseplants, and cut flowers. Also approved for sale are jerky, fresh fish, olives and baked goods. C. Comoatibilitv with Zonin!! and Plans The project will require the approval of the use of the Third Avenue right-of-way which is part of the Circulation Element of the Chula Vista General Plan. Because of the limited once-a-week use of the right-of-way, the project is in substantial compliance with the General Plan Circulation Element. The property is Zoned C-B and the uses would, therefore, comply with the zoning of the site. The right-of-way is part of the Circulation Plan for the Town Centre Redevelopment Plan and because of minimal use of the site (6 hours, once a week) the project complies with the redevelopment project. D. Identification of Environmental Effects An initial study conducted by the City of Chula Vista (including the attached Environmental Checklist Form) determined that the proposed project will not have a significant environmental effect, and the preparation of an Environmental Impact Report will not be required. This Negative Declaration has been prepared in accordance with Section 15070 of the State CEQA Guidelines. The following impacts have been determined to be less than significant. A discussion of each of these less than significant impacts from the proposed project follows. WPC F:\II0MElPu.NNlNG\2048.94 ~ g-ytJ Page 2 Traffic During the month of June 1994, the Farmers Market was conducted on a trial basis. During this time, traffic counts were taken, turning movement counts made and observations made by Traffic Engineering staff and Environmental Planning staff. It was concluded that during the operations of the Farmers Market when Third Avenue is closed between Davidson and E Street, the level-of-service on primary access roads would not change and would not exceed level-of-service "C", the design A't)Tvolume. There are some delays for vehicles northbound on Landis Avenue and Church Avenue that are making left-hand turns onto E Street. However, E Street at Third Avenue and Fourth Avenue are signalized which breaks the traffic flow into platoons with the red light traffic signal phase creating gaps in the traffic flow permitting some left-hand turn movements. This combined with the limited once-a-week operation of the market creates an observable, but less than significant impact. There is a need to maintain emergency services on Third A venue and to the storefronts along Third Avenue. This is accomplished by maintaining the center section of Third Avenue clear and open and providing breaks between booths, displays or vehicles from Third Avenue to the storefronts. Access is also provided from the alleys that parallel Third Avenue. Noise The project site is in an urbanized area with existing commercial land uses. There is, therefore a commensurate urban noise level in the project area. Traffic noise levels in the project site are projected to be 70 CNEL within the Third A venue right-of-way and 65 CNEL at the storefronts along Third Avenue. With the closure of Third Avenue, this traffic noise component of the ambient noise level would be largely eliminated and would be replaced by noise associated with the farmers market. This market noise level has been observed to be lower than the traffic noise which is otherwise present. Neither is an intrusive noise level given the land use. The second element of the change in noise level is due to the shift in traffic from Third A venue to other streets providing circulation in the project area. E Street and F Street are east-west streets that have primarily retail commercial zoning with some office-commercial zoning. There are primarily retail commercial uses and some areas of public uses along these streets. Church A venue and Landis A venue are north-south streets that parallel Third A venue. These streets have office-commercial zoning with primarily office and public parking land use. The shift traffic to these commercial east-west and north-south streets would not create any acoustical incompatibilities. E. Mitil!ation necessarY to avoid sil!nificant effects The proposed project will not result any significant or potentially significant environmental impacts, therefore, no project specific mitigation is be required. ~ ~~1J / WPC P,IHOMElPlMlNING\2048.94 Page 3 F. Consultation 1. Individuals and On!anizations City of Chula Vista: Roger Daoust, Engineering Cliff Swanson, Engineering Hal Rosenberg, Engineering Frank Rivera, Engineering Bob Sennett, Planning Ken Larsen, Director of Building & Housing Carol Gove, Fire Marshal Crime Prevention, MaryJane Diosdada Marty Schmidt, Parks & Recreation Dept. Rich Rudolf, Assistant City Attorney Chula Vista City School District: Kate Shurson Sweetwater Union High School District: Tom Silva Applicant's Agent: Jim Fergus, 385 Third Ave., CV 91910 2. Documents Chula Vista General Plan (1989) and EIR (1989) Title 19, Chula Vista Municipal Code Town Centre Redevelopment Plan Master EIR Town Centre Redevelopment Plan 3. Initial Study This environmental determination is based on the attached Initial Study, any comments received on the Initial Study and any comments received during the public review period for this Negative Declaration. The report reflects the independent judgement of the City of Chula Vista. Further information regarding the environmental review of this project is available from the Chula Vista Planning Department, 276 Fourth Avenue, Chula Vista, CA 91910. ~ ENVIRO~ENT AL REVIEW COORDINATOR EN 6 (Rev. 5/93) ~ ~-Lj.2 Page 4 v.'PC' F:\HOME\PlANNlNG\2048.94 INITIAL STUDY :J?!ll'Office Use 00Jy .0000NO.IS- ~1II Dp$l Amnl Receipt No. I:. l>alCRt:C'd.. -2M1 )\~Pl(Xl b)'~. J'rojcctNo. FA- DpslNo.DO- #r CIP No. #IT Related Case No. ~ APPLlCA nON CANNOT Bb ACCEPTED UNLESS SITE PLAN IS FOLDED TO FIT INTO AN 8-1/2 X 11 FOLDER BACKGROUND 1. Project Title 't"yL \." ~ \(>,1""0"-' 0\.,.,,,----'c 2. Project Location (Street address or description) A. City of Chula Vista Application Fonn \~V,j~ C'.401.a"'\-....c> 'o~'-L.JVH..,..... ~Q~, c-\.............r-... ... C ~\"r.,\- Assessors Book, Page & Parcel No. V~'n\.~ Q t~\ .::::>\ ~2l" ~ 3. Brief Project Description '-..o...)a~{~\~ ~~'lJ'..~ C'\.._,...)(,. "...."'\,:~.,' c:\ \;..)("")'~~C,)F=; , y-,.~ ~~\- -~C'"'\~. ~-h.:....-~ ~~ ~'-\ f'!~.....c, Glr-A.H ~ .~ ~ G-~\'c 4. Name of Applicant C" C)., .\t '- '\'. ~'-.... --:\)~ri~"",--,I""\~. 1......1............ ") ~......'-...c.,.c, <.. \.... ....-' Address~,-).G"" 2,,~\ -"l.-<.:>\'r\,J-~ Fax# -\1..7 \4S<.Phone ""<-l \"W~ City ~~...D<. ,-, '" \.., State C' c.. Zip c:, \ "\ \ 7- 5. Name of Preparer/Agent 3."..., ~~'-' " Address _~'gs '''''./20 ~'-"'<"-<L Fax# -.I,.;lD-.o~S Phone >-\,:)0- ,\0-\~ City Q..Q..Q, 0:-\~ State c::.'U Zip "'\\'\\0 Relation to Applicant ~j,< ,--\~,,\. 6. Indicate all pennits or approvals and enclosures or documents required by the Environmental Review Coordinator. IV /A . a. Pennits or approvals required. General Plan Amendment _ RezonelPrezone _ Grading Permit _ Tentative Parcel Map Site Plan & Arch. Review _ Special Use Permit _ Design Review Application _ Tentative Subd. Map _ Redevelopment Agency OPA _ Redevelopment Agency DDA _ Public Project Annexation _ Specific Plan Conditional Use Pennit Variance _ Coastal Development Other Permit If project is a General Plan Amendment and/or !erone, please indicate the change in designation from to b. Enclosures or documents (as required by the Environmental Review Coordinator). _ Arch. Elevations _ Hydrological Study _ Landscape Plans _ Biological Study _ Tentative Subd. Map _ Archaeological Study _ Improvement Plans _ Noise Assessment _ Soils Report _ Other Agency Pennit _ Geotechnical Report Other ~y-L/J _ Grading Plan _ Parcel Map Precise Plan = Specific Plan _ Traffic Impact Repon Hazardous Waste Assessment __..._.._._.........H'................~~._. . '""'~.., u._~, tD4 Ift"t'\ 01\ '-..1 E. CERTIFICA nON I. as owner/owner in escrow * Print name or I'","","~~" ~j~~ ~ Print name HEREBY AFFIRM, that to the best of my belief. the statements and information herein contained are in all respects true and correct and that all known information concerning the project and its setting has been included in this application for an Initial Study of possible environmental impact and any enclosures for attachments thereto. Owner/Owner in Escrow Signature ~~ Consultant or A 5/<90/0.04- Date *If acting for a corporation, include capacity and company name. ~~/ ~/_~!J WPC:F,'HlMEII'LANNING\STOREI>J02I.....93 (Rd. 102ll.93) (Ref. 1022.93) Page 7 . . . Case No. 15.q,,-~, APPENDIX III CITY VA TA SHEET PLANNING DEPARTMENT L Current Zoninll: on site: C - E North L~ R i;: ~ ~ ~ D. Does the project conform to the current zoning? general Plan land use designation on site: ~~. S~.T fiJ.~JJ-1-"'~ North ~A.J.') _ ~ / ~ South '" ./ East ) I I, West 'I II Is the project compatible with the General Plan Land Use Diagram? ~ Is the project area designated for conservation or open space or adjacent to an area so designated? /f'\tr/ Is the project located adjacent to any scenic routes? ~ (If yes, describe the design techniques being used to protect or enhance the scenic qualitY of the route). . m. Schools ~ /hI-t.- If the proposed project is residential, please complete the following: School CIDacitv Eniollment Units Prooosed GeDenting Facta'S SlIIdents Generaled From Proiect Elementary Junior High Senior Hi&b IV. Remarks: .30 .29 .10 . ~ >5~S7 {, h-'1/q'-j Date' / WIII:.~~D'".I'\""_ .lmlmuW. t02D.I3) Paae 1 I I , Y!;-91e. Case No. r~ -Q'l-:2l-. INTERDEPARTMENTAL COMMENT SHEETS ENGINEERING DIVISION 1 Drainal!e A. Is the project site within a flood plain? tJ t> . If s~. state which FEMA Floodway Frequency Boundary. ~ . B. What is the location and desaiption of existing on-lite draina&e facilities? ~"1I!!:.Af~ ~w ~JT'J.IW~~ A' ~"_ ...,.,..".t..J:) AII___....rt...1E: TZ> IAlb&t -'Ie.. WUETWS. s.~~.-!!..^""'" t::IFTUre. I~--""".,.j DFTV/~ A-YElJUE AAlb AIllney Ideq~ive the project? y~. If not, please explain briefly. N A . c. D. What is the location and description of existing off-site drainage facilities? J g "A .G.P. IN -rt.h~T) A-VEAl(1~ klutl!:..U ~, ~l""""~.n E. Are they adequate to serve the project? YE~. If not, please explain briefly. 1:J.,/A; . TranSDortation TlIe. C rrY ~~ &.fffIt.A V,,,,,,, 7'1tAFf::/t:.. DI(;'~//J& PIVrSIM.J. 'oS C,,"~,",'r't-Jf 'P~IIJ&. ~Ft:tG Mt:N~N4 FQf. '11f/~ ~~ What roads provide primary access to the project? WU_&... I $S~ A """'fJ:l c:. 714 IU AilE' E ST~E T ,p ,S7-,:EEi i FO~"'H AilE 1/::!i t;-.. "Tlf5 What is the estimated number of one-way auto trips 10 be pnerated by the project (per 'd:J'i;l-:- ~ ;1000 7"~'Ps po,," <b HOell<. PE~Iob of e..,..~- ,;1:00 p.M. TO fl:oo P.M. ON mV1!SDAYS ON'-Y. 1M:>. What are the Average Daily TraffIC (A.D.T.) volumes onb,primary eccess roads before and afterprojectcompletion'1 /8~0 /83$'"'0 S1RIet Name FOI.I~"'fI A VE Before Ak E .srRe.ET I"-/~O /7800 F .5T/LEE..,.. I:J.O,;zO 1;!37~ . 7",.,,~D AilE. /8'1"-0 If 000 Do any of these voJumea exceed the City's Leve1..of-SeMce (1..0.5.) "C" cIesian ADT volume? If yes, please specify. NO n. ,I B. q"l ~Jf A. c. ~ y,S-J- "'2 __ -.--- ...---.........tCl21.IS_~._mn"Ju I~) Y5-9?B CaseNo.~b Jf the A.D.T. or L.O.S. "e" design volume is unknown or not II'plicable, explain briefly. ilIA . D. Are the primary access roads adequate to serve the project? Y ~ .5 Jf not, please explain briefly. . N/A E. Would the project create unacceptable Levels of Service (LOS) It inteneetions adjacent to or ~ the vicinity of the project site? tV 0 Jf so, identify: Location ,." It Cumulative L.O.S. foJlA F. Is the proposed project a "large project" under the Congestion Management Program? (An equivalent of 2400 or more average daily vehicle trips or 200 or more peak-hour vehicle trips). 'Jf yes. a Traffic Impact Analysis (TlA) will be required. In this case the TlA wiI1 have to demonstrate diat the project will not create an unmitigatable adverse impact, or that all related traffic impacts are not mitigated to a level of non-significance. Yes )l No The following questions apply if a Traffic Impact Analysis is not required. G. Is traffic mitigation required to reduce traffic ,impacts that wiI1lauh from implementation of the proposed project? ' )( Yes No If yes, please describe. -rIZ-AfF' c:... c..oIVTf2.0L-- t>E'TOv~ rz.oV~ Feol1 STlZ-EcT C./'o5v~~ A~A H. Is the project ~~istent with the criteria established in the City'. TransponItion Phasing Plan. General Plan Traffic Element, and all other pe.ninent 1rIffic ItIId;,.,~'1 PJcase rdm:oce any other traffic impact stUdies for roadway segments that may be impacted by the ~ project. YE 5. t;E.f,}fU~.,A..L Pl.AIJ TMFFIc... E.LE.~~!J; L J. Is . traffIC stUdy required? Is there lilY dedication required? If 10, please specify. ~ I A x No fi~~ X~S3 ....e 3 ~~0Z2."~,IIQI"')(IoI.I02lI.,,) Ys -9lB Case No. I$-qL/-~f:> I . K. Is there any street widening required? If 10, please specify. to) I A N/A L. Ne there any other street improvements required? NO If 10, please lpecify the general nature of the necessary improvel'lel1ts. t-J/A NO M. Will the project and related public improvements provide IltisfactOI)' UlffIC lltIVice for existing conditions and future buildout General Plan conditions? (please provide a brief explanation). 1011 A . m. ~oi1s A. lose there any anticipated adverse geotechnical conditions on the project site? No . B. If yes, specify these conditions. ~/A. C. Is a Soils Report necessary? Ah. IV. Land Fonn A. What is the averag~ slope of the site? 2. % B, What is the maximu~lope of the site? 2.~ V. ~ lose there any traffic-related noise levels impacting the site that are signifICant enough to justify that a noise analysis be required of the applicant? ~ f). ' Vl Waste Generation How much solid and liquid (sewer) waste will be generated by the proposed project per day'] Solid llJt::J,,:z:/~'I&JJ"- IAlr:~~~""/~1oJ ~-v~~ Liquid liJSrJt::'&It:.IEAl-r 1~Fr.,tbA4~~ ~t//7'tI!'D. What is the IocJtiQl\ and size of existing sewer lines llII or doWDSUUm from die lite? -B" nlA-N~ co.,....'rb I JAlr:[ IAi .,-u/J/!r) 4uWA".. '^I.U I~ I:=lJ"tlA/~ ~(.n-IJw""~. Ale they adequate to serve the proposed project7 (If no, please explain) Y€<.. At 'I'"JiI' ".ell A~r-r,~/~r_ ..,..........IAIA-.,.~ ;e:,.,.I...,...,1!A! ,..........'IIIm- wu:'" ,...~ ......D~'AI~ .......'TT~I-. =;;::,.~~~ ...._6 ~,~ ""~ ~~t:-.: ....~ft!.\._ avwnu"a.rr'tW1:ft.um 4n~~. .UI2.u:n (11(. 1~.P3) .. .. Case No. 15.91/-2(, FIRE DEPARTMENT A. What is the distance to the nearest fire s/on1 An~ what is the File Department's estimated reaction time? ..!1 &4 . ~,~ . B. Will the rue Dep~ment be able to provide an Idequate level of fire protection for the proposed facility without an increase in equipment or personnel? y..c 5 c. Remarks /kC-ES S --,4 -- / IV C../'1S 1 0 /- /Jr-' /l/I--&-4 H uS 7' Z-r-? ~~ 'j...,..x-Y. 6[ H';;;,vk/~[/.J a~.~ Ffre Marshal (,-1-7+ Date .. .. /' ~ g-:53 WI'C:F,~ou,,~. Iml",,) (W.1l1lD.") .... 6 Case No. /5 -&Jcf--2(, LANDSCAPE PLANNING A. Does the project affect native plant communities? If so. please identify which communities. // What landscaping conditions (if any) ill be required for these hillsides? des on or adjacent to the project. Will the project require native planting? (Please describe) B. Please identif C. Of the total area be developed. how much. and which areas are expected to be replanted and require s plemental watering? (Please describe). E. Are there any other landscape requirements or mitigation for the project? ~~ ---- y L:------- ~ ~~/j?4 Date City Landscape Architect or Representative firif/p- <;) ~ ~ wpc",,~GlSTORED\J022.93 (JUf. 1021.93) (JUf. IOl1l.93) Page 8 CHULA VISTA POLICE DEPARTMENT CRIME PREVENTION UNIT PLAN REVIEW RECOMMENDATIONS DATE: June 7, 1994 FROM: Doug Reid, Environmental/Planning ~ Acting Captain Partch, Investigative Division~ M. J. Diosdado'?]:~ Crime Prevention Unit 15-94-26 Farmer's Narket E St to Davidson on Third Av ,.., " l,' r '1..-- __:" TO: VIA: JUN_ C In , v ;;;81 /',' /! "', --I-,il,\, PROJECT: The Crime Prevention Unit does not have any comments regarding this project at this time. Information on the project, or within the plans, does not provide enough detail to permit crime prevention analysis. Please forward the following information to the Crime Prevention Unit when available. Elevations Floor Plans Landscape and Lighting Plans Site Development Plans Comments: I recommend regular signage to be piaced at Third Av & E St and at Davidson St & Third Av locations to advise and warn the traffic of the regular closure of Third Avon every Thursday, rain or shine. A banner could be used in the interim or regularly at Third Av & F St, again it is a constant reminder of this road closure. Thank you for the opportunity to have input into the planning process. If you have any questions, please feel free to contact me any time. cc: BrookC!ver, SCA ~ Y-S) CPTED RoutinJ Form PDlcpu <W93 Case No. 1S-94-26 ENVIRONMENTAL CHECKLIST FORM 1. Name of Proponent: Chula Vista Downtown Business Association 2. Lead Agency Name and Address: City of Chula Vista 276 Fourth A venue Chula Vista, CA 91910 3. Address and Phone Number of Proponent: P.O. Box 381, Chula Vista, CA 91912 4. Name of Proposal: Downtown Chula Vista Certified Farmers Market 5. Date of Checklist: June 27, 1994 k.ff ?~~/I Page 1 WPC F:\HOME\PLANNIN0\2041.94 P".illII1 .......... -- '-to.. -- v.... -- No I..... MIl..... I..... I..... I. LAND USE AND PLANNING. Would the proposal: a) Conflict with general plan designation or 0 0 0 ~ zoning? b) Contlict with applicable environmental plans or 0 0 0 ~ . policies adopted by agencies with jurisdiction over the project? c) Affect agricultural resources or operations (e.g., impacts to soils or farmlands, or impacts from incompatible land uses)? d) Disrupt or divide the physical arrangement of an established community (including a low-income or minority community)? Comments: The project, because of its limited impact on the Chula Vista General Plan Circulation Element (i.e., 6 hours a day, once a week), will be in substantial compliance with the Chula Vista General Plan and the Town Centre Redevelopment plan. Because the project site is within a public right-of-way there are no agricultural resources present and there are no land use related environmental plans or policies that would relate to this type of use in a public right-of-way. (Ref: City of Chula Vista General Plan, City of Chula Vista General Plan Update EIR, May 31, 1989, Town Centre Redevelopment Plan, Town Centre Redevelopment Plan, Master EIR, Chula Vista Municipal Code, site visits June 1994 - D. Reid) b) Induce substantial growth in an area either directly or indirectly (e.g., through projects in an undeveloped area or extension of major infrastructure)? c) Displace existing housing, especially affordable housing? Comments: The project is not residential in nature and will not increase any population projection individually or cumulatively. The project site and area is urbanized and no extension or expansion of any right-of-way is proposed. There is no housing present that would be displaced by the project. (Ref: Project Description Initial Study Application IS-99-26, Chula Vista General Plan & Site Visits June 1994) II. POPULATION AND HOUSING. Would the proposal: a) Cumulatively exceed official regional or local population projections? o o o ~ o o ~ o o o ~ o o o ~ o o o ~ o m. GEOPHYSICAL. Would the proposal result in or expose people to potential impacts involving: a) Unstable earth conditions or changes in geologic 0 0 0 ~ substructures? b) Disruptions, displacements, compaction or 0 0 0 ~ overcovering of the soil? ,,4 ~v ;? ---~ 0 WPC P:\HOME\PIANNIN0\2047.94 Page 2 .....111 P........, -- '- .... -- u.... -- No ...... .......... ...... 1..... C) Change in topography or ground surface relief 0 0 0 181 features? d) The destruction, covering or modification of any 0 0 0 181 unique geologic or physical features? e) Any increase in wind or water erosion of soils, 0 0 0 181 either on or off the site? f) Changes in deposition or erosion of beach sands, 0 0 0 181 or changes in siltation, deposition or erosion which may modify the channel of a river or stream or the bed of the ocean or any hay inlet or lake? g) Exposure of people or property to geologic 0 0 0 181 hazards such as earthquakes, landslides, mud slides, ground failure, or similar hazards? Comments: The proposed project would not alter the project site nor are there any geophysical conditions on or near the project site which could expose the project site to geologic hazards. (Ref: City of Chula Vista General Plan update EIR May 31, 1989, Town Centre Redevelopment Plan Master EIR) IV. WATER. Would the proposal result in: a) Changes in absorption rates, drainage patterns, 0 0 0 181 or the rate and amount of surface runoff? b) Exposure of people or property to water related 0 0 0 181 hazards such as flooding or tidal waves? c) Discharge into surface waters or other alteration 0 0 0 181 of surface water quality (e.g., temperature, dissolved oxygen or turbidity)? d) Changes in the amount of surface water in any 0 0 0 181 water body? e) Changes in currents, or the course of direction 0 0 0 181 of water movements, in either marine or fresh waters? f) Change in the quantity of ground waters, either 0 0 0 181 through direct additions or withdrawals, or through interception of an aquifer by cuts or excavations? g) Altered direction or rate of flow of 0 0 0 181 groundwater? h) Impacts to groundwater quality? 0 0 0 181 i) Alterations to the course or flow of flood 0 0 0 181 waters? ~~ y -'j, / WPC F:\HOME\PLANNINO\2047.94 Page 3 j) Substantial reduction in the amount of water otherwise available for public water supplies? Comments: The project site is urbanized and the project will not result in changes in absorption rate, drainage patterns or the rate or amount of surface runoff. The project would use the existing urban i"frastructure incIuding storm drain system. There will be no change in surface conditions such as landscaping or paving and therefore, no change in ground water conditions. There will be no increase in impervious surfaces and therefore no significant change in surface runoff. (Ref: Lawrence, Fogg, Florer & Smith Drainage Study, City of Chula Vista 1965, Town Centre Redevelopment Plan Master EIR, Site Visit June 1994 - D. Reid) r..iaIIJ .........., -- '-,-- -- u.... -- No I..... MIl..... I..... I..... 0 0 0 181 V. AIR QUALITY. Would rhe proposal: a) Violate any air quality standard or contribute to an existing or projected air quality violation? b) Expose sensitive receptors to pollutants? o o o 181 o o o 181 c) Alter air movement, moisture, or temperature, or cause any change in climate, either locally or regionally? d) Create objectionable odors? o o o 181 o o o 181 e) Create a substantial increase in stationary or non-stationary sources of air emissions or the deterioration of ambient air quality? Comments: The project generates about 2000 automobile trips during the 6-hour period of Thursday street cIosure. This would not result in any regionally or locally significant air quality impacts and not all of these trips would be "new." Some of these trips would be made to other farmers markets or other facilities selling similar goods. (Ref: City of Chula Vista General Plan Update EIR May 31, 1989, Town Centre Redevelopment Plan Master EIR) o o o 181 VI. TRANSPORTATION/CIRCULATION. Would rhe proposal resuU in: a) Increased vehicIe trips or traffic congestion? 0 0 181 0 b) Hazards to safety from design features (e.g., 0 0 0 181 sharp curves or dangerous intersections) or incompatible uses (e.g., farm equipment)? c) Inadequate emergency access or access to nearby 0 0 181 0 uses? d) Insufficient parking capacity on-site or off-site? 0 0 0 181 e) Hazards or barriers for pedestrians or bicyclists? 0 0 0 181 t) Conflicts with adopted policies supporting 0 0 0 181 alternative transportation (e.g. bus turnouts, bicycIe racks)? )~~/ ~~?~ WPC F:\HOME\PlJ.NNINO\2047.94 Page 4 g) Rail, waterborne or air traffic impacts? r........., r........., .......... u. .... .......... u.... --.... No ..- ......... ..- ..- 0 0 0 181 0 0 0 181 h) A "large project" under the Congestion Management Program? (An equivalent of 2400 or more average daily vehicle trips or 200 or more peak-hour vehicle trips.) Comments: During the month of June 1994, the Farmers Market was conducted on a trial basis. During this time, traffic counts were taken, turning movement counts made and observations made by Traffic Engineering staff and Environmental Planning staff. It was concluded that during the operations of the Farmers Market when Third A venue is closed between Davidson and E Street, the level-of- service on primary access roads would not change and would not exceed level-of-service "C", the design ADT volume. There are some delays for vehicles northbound on Landis A venue and Church Avenue that are making left-hand turns onto E Street. However, E Street at Third Avenue and Fourth A venue are signalized which breaks the traffic flow into platoons with the red light traffic signal phase creating gaps in the traffic flow permitting some left-hand turn movements. This combined with the limited once-a-week operation of the market creates an observable, but less than significant impact. There is a need to maintain emergency services on Third A venue and to the storefronts along Third A venue. This is accomplished by maintaining the center section of Third A venue clear and open and providing breaks between booths, displays or vehicles from Third Avenue to the storefronts. Access is also provided from the alleys that parallel Third Avenue. (Ref: IS-94-2C, Interdepartmental Comment Sheets, Engineering Division, II Transportation & Fire Dept.; field observations June 1994 - H. Rosenberg, F. Rivera, M. Donnelly, D. Reid) VII. BIOLOGICAL RESOURCES. Would the proposal result in impacts to: a) Endangered, sensitive species, species of 0 0 0 181 concern or species that are candidates for listing? b) Locally designated species (e.g., heritage trees)? 0 0 0 181 c) Locally designated natural communities (e.g, oak 0 0 0 181 forest, coastal habitat, etc.)? d) Wetland habitat (e.g., marsh, riparian and vernal 0 0 0 181 pool)? e) Wildlife dispersal or migration corridors? 0 0 0 181 f) Affect regional habitat preservation planning 0 0 0 181 efforts? Comments: The project site is urbanized and there are no sensitive habitats, species, or corridors present. there is ornamental landscaping present that will not be altered by the operation of the market. ~ ;y/j, 3 Page 5 WPC F:\HOME\PU.NNINO\2047.94 ......1oI\r ......1oI\r .......... u"..... .......... u.... -- N. 1..- MIl..... 1.'- 1.'- VIII. ENERGY AND MINERAL RESOURCES. Would the proposal: a) Conflict with adopted energy conservation plans? D D D 181 b) Use non-renewable resources in a wasteful and D D D 181 inefficient manner? c) If the site is designated for mineral resource D D D 181 protection, will this project impact this protection? Comments: The project consists of an intermittent land use that is not regulated or governed by any energy conservation plans. Only minimal resources would be consumed by the operation of the market. The diversion of traffic could result in a very minor increase in trip lengths, but not to a significant level. This could be offset by avoiding longer trips to similar facilities selling similar products (lS-94- 26 - Interdepartmental comment sheets, Engineering Division, II Transportation) IX. HAZARDS. Would the proposal involve: a) A risk of accidental explosion or release of hazardous substances (including, but not limited to: petroleum products, pesticides, chemicals or radiation)? b) Possible interference with an emergency response plan or emergency evacuation plan? c) The creation of any health hazard or potential health hazard? d) Exposure of people to existing sources of potential health hazards? e) Increased fire hazard in areas with flammable brush, grass, or trees? D D D 181 D D D 181 D D D 181 D D D 181 D D D 181 Comments: The operation of this does not involve the use of any petroleum products, pesticides, chemicals or radioactive material. As long as the proposed emergency access is maintained there would be no conflict with emergency plans, no hazards created and there is no condition present that would expose people to a hazard. This is an urban area. There are no flammable brush, grass or trees present. (Ref: Application form for IS-94-26, Interdepartmental Comment Sheets, Fire Dept., field observations June 1994 - D. Reid) X. NOISE. Would the proposal result in: a) Increases in existing noise levels? b) Exposure of people to severe noise levels? D D D 181 D D D 181 ~<g/j, i WPC F:\HOME\~NIN0\2047.94 Page 6 .......~ .......... I....,. PGtelltitDy ........... u.... ......... .....,... .......... .....,. No I....,. Comments: The project site is in an urbanized area with existing commercial land uses. There is, therefore a commensurate urban noise level in the project area. Traffic noise levels in the project site are projected to be 70 CNEL within the Third A venue right-of-way and 65 CNEL at the storefronts along Third Avenue> With the closure of Third A venue, this traffic noise component of the ambient noise level would be largely eliminated and would be replaced by noise associated with the farmers marlcet. This market noise level has been observed to be lower than the traffic noise which is otherwise present. Neither is an intrusive noise level given the land use. The second element of the change in noise level is due to the shift in traffic from Third A venue to other streets providing circulation in the project area. E Street and F Street are east-west streets that have primarily retail commercial zoning with some office-commercial zoning. There are primarily retail commercial uses and some areas of public uses along these streets. Church Avenue and Landis Avenue are north-south streets that parallel Third A venue. These streets have office-commercial zoning with primarily office and public parking land use. The shift traffic to these commercial east-west and north- south streets would not create any acoustical incompatibilities. (Ref: City of Chula Vista General Plan Update EIR May 31, 1989; Interdepartmental Comment Sheets, Engineering Division, II Transportation and V Noise IS-94-26) XI. PUBLIC SERVICES. Would the proposal have an effect upon, or result in a need for new or altered government services in any of the following areas: a) Fire protection? 0 0 0 181 b) Police protection? 0 0 0 181 c) Schools? 0 0 0 181 d) Maintenance of public facilities, including 0 0 0 181 roads? e) Other governmental services? 0 0 0 181 Comments: The Fire and Police Departments have indicated they can provide an adequate level of service with existing facilities and manpower. Schools will not be impacted by the proposed project because it is a retail commercial use. The project will be adequately served by all other existing infrastructure (Ref: IS-94-26 - All City data sheets; Town Centre Redevelopment Plan Master EIR) XII. Thresholds. Will the proposal adversely impact the City's Threshald Standards? o o o 181 As described below, the proposed project does not adversely impact any of the seen Threshold Standards. a) Fire/EMS The Threshold Standards requires that fire and medical units must be able to respond to calls within 7 minutes or less in 85 % of the cases and within 5 minutes or less in 75 % of the cases. The City of Chula Vista has indicated that this threshold standard will be met, since the nearest fire station is one-half a mile away and would be associated with a two minute response time. The prol"'sed project will comply with this Threshold Standard. ~?/~J Page 7 WPC F:\HOME\PLANNIN0\2047.94 ........... -- 1-.... ............ -- u.... ........ ........ -- ...... N. 1-.... Comments: As long as the project maintains emergency access to Fire Department will provide an adequate level of service. (Ref: IS-94-26, City Data Sheets, Fire Dept.) b) Police The Threshold Standards require that police units must respond to 84 % of Priority 1 calls within 7 minutes or less and maintain an average response time to all Priority 1 calls of 4.5 minutes or less. Police units must respond to 62.10% of Priority 2 calls within 7 minutes or less and maintain an average response time to all Priority 2 calls of 7 minutes or less. The proposed project will comply with this Threshold Standard. Comments: (Ref: City Data Sheets, Chula Vista Police Dept. Crime Prevention Unit, Plan Review Recommendations, dated June 7, 1994) c) Traffic The Threshold Standards require that all intersections must operate at a Level of Service (LOS) "C" or better, with the exception that Level of Service (LOS) "0" may occur during the peak two hours of the day at signalized intersections. Intersections west of 1-805 are not to operate at a LOS below their 1987 LOS. No intersection may reach LOS "E" or "F" during the average weekday peak hour. Intersections of arterials with freeway ramps are exempted from this Standard. The proposed project will comply with this Threshold Standard. Comments: To mitigate for the street closure, traffic control to direct traffic to the detour route which will be provided and any significant impact will be avoided. (lS-94-26, Interdepartmental Comment Sheet, Engineering Division, 11 Traffic) d) ParkslRecreation The Threshold Standard for Parks and Recreation is 3 acresll,OOO population. The proposed project will comply with this Threshold Standard. Comments: No park acreage will be approved for the project. e) Drainage The Threshold Standards require that storm water flows and volumes not exceed City Engineering Standards. Individual projects will provide necessary improvements consistent with the Drainage Master Plan(s) and City Engineering Standards. The proposed project will comply with this Threshold Standard. Comments: The project will utilize the existing drainage facilities that are adequate to serve the project (lS-94-26, Interdepartmental comment sheets, Engineering Div. I Primary) f) Sewer The Threshold Standards require that sewage flows and volumes not exceed City Engineering Standards. Individual projects will provide necessary improvements consistent with Sewer Master Plan(s) and City Engineering Standards. The proposed project will comply with this Thresldd Standard. 1J---KZ: /lbl~ ~-b? Page 8 WPC F:\HOME\PJ...\NNIN0\2047.94 r....-.u, .......... ..,..,. Pote...mlly .......... U.... .......... No I.,..,. '- ,-- S.......... I.,..,. Comments: The discharge of waste water will he into the existing sewer system will he at an off peak time period and the system will be adequate (Ref: IS-94-26, Interdepartmental Comment Sheet, Engineering Div. VI Waste Generation). g) Water The Threshold Standards require that adequate storage, treatment, and transmission facilities are constructed concurrently with planned growth and that water quality standards are not jeopardized during growth and construction. The proposed project will comply with this Threshold Standard. Applicants may also be required to participate in whatever water conservation or fee off-set program the City of Chula Vista has in effect at the time of huilding permit issuance. Comments: N/A XIII. UTILITIES AND SERVICE SYSTEMS. Would the proposal result in a need for new systems, or substantial alterations to the following utilities: a) Power or natural gas? 0 0 0 181 b) Communications systems? 0 0 0 181 c) Local or regional water treatment or distribution 0 0 0 181 facilities? d) Sewer or septic tanks? 0 0 0 181 e) Storm water drainage? 0 0 0 181 f) Solid waste disposal? 0 0 0 181 Comments: The project is a once-a-week, 6-hour operation that will only have a trivial effect on the provision of these utility and service systems. XIV. AESTHETICS. Would the proposal: a) Obstruct any scenic vista or view open to the public or will the proposal result in the creation of an aesthetically offensive site open to public view? b) Cause the destruction or modification of a scenic route? c) Have a demonstrable negative aesthetic effect? d) Create added light or glare sources that could increase the level of sky glow in an area or cause this project to fail to comply with Section 19.66.100 of the Chula Vista Municipal Code, Title 19? o o 181 o 0 0 0 181 0 0 0 181 0 0 0 181 jl:Pf g-~~? Page 9 WPC F:\HOME\PI.J\NNIN0\2047.94 ......""" ......... I."", P.....""" ........... u.... ......... .....,... - I."", No I."", e) Reduce an additional amount nf spill light? o o o IllI Comments: The project site is in the urbanized downtown area of Chula Vista and there are no opportunities for scenic vistas or view points nor would the project create an offensive site open to the public. There are no scenic routes in the project area and the project adds no significant light or glare source. (Ref: Chula Vista General Plan, Town Centre Redevelopment Plan and Master EIR) xv. CULTURAL RESOURCES. Would the proposal: a) Will the proposal result in the alteration of or 0 0 0 181 the destruction or a prehistoric or historic archaeological site? b) Will the proposal result in adverse physical or 0 0 0 181 aesthetic effects to a prehistoric or historic building, structure or object? c) Does the proposal have the potential to cause a 0 0 0 181 ph ysical change which would affect unique ethnic cultural values? d) Will the proposal restrict existing religious or 0 0 0 181 sacred uses within the potential impact area? e) Is the area identified on the City's General Plan 0 0 0 181 EIR as an area of high potential for archeological resources? Comments: The project will not result in any physical cbange in the condition of the project site. This is an urbanized area with no historical sites and the General Plan Update EIR shows that it has a low potential for cultural resources. (Ref: General Plan Update EIR May 31, 1989, Chula Vista Register of Historical sites) XVI. PALEONTOLOGICAL RESOURCES. Will the proposal result in the alteration of or the destruction of paleontological resources? Comments: The project site has a low potential for Paleontological Resources and the project will not involve any subsurface development. (Ref: Chula Vista General Plan Update, May 31, 1994) o o o 181 XVII. RECREATION. Would the proposal: a) Increase the demand for neighborhood or 0 0 0 181 regional parks or other recreational facilities? b) Affect existing recreational opportunities? 0 0 0 181 c) Interfere with recreation parks & recreation 0 0 0 181 plans or programs? Comments: Neither the project site nor the adjacent area contain park or recreational facilities or opportunities that could be affected by the project. There are also no plans or programs for parks or recreation that could be affected by the proposed project. (Chula Vista General Plan) ;f--5'f 6 ~ bY Page 10 WPC F:\HOME\PlANNIN0\2047.94 ......""" ........... ..- r...WI.J ........... u..... MIl....... u. .... -- ..- N. 1._ XVIII. MANDATORY FINDINGS OF SIGNIFICANCE: See Negative Declaration for 1TIilndatory findings of significance. If an EIR is needed, this section should be completed. a) Does the project have the potential to degrade the quality of the environment, substantially reduce the habitat of a fish or wildlife species, cause a fish or wildlife population to drop below self-sustaining levels, threaten to eliminate a plant or animal community, reduce the number or restrict the range of a rare or endangered plant or animal or eliminate important examples of the major periods or California history or prehistory? Comments: The project site does not involve any significant fish, wildlife, or plants or their habitats that could be affected by the project. This is an urbanized area of Chula Vista that does not involve any historic or prehistoric sites. (General Plan Update EIR May 31, 1989; Chula Vista Register of Historic Sites) o o o 181 b) Does the project have the potential to achieve short-term, to the disadvantage of long-term, environmental goals? Comments: The project is an attempt to enhance the long term viability of the downtown area. The Certified Farmers Market is an effort to re-establish the traditional link between farmers and consumers. They are being used statewide to reverse the trend of shopping the suburbs and bring people back downtown. o o o 181 c) Does the project have impacts that are individually limited, but cumulatively considerable? ("Cumulatively considerable" means that the incremental effects of a project are considerable when viewed in connection with the effects of past projects, the effects of other current projects, and the effects of probable future projects.) Comments: There are no known probable future projects that could result in a cumulatively significant environmental impact. The test and observation period of operations demonstrated that the proposed project with past and current projects would not result in a significant impact. o o o 181 d) Does the project have environmental effect which will cause substantial adverse effects on human beings, either directly or indirectly? Comments: There are no air quality, water quality, hazardous materials, geologic or other adverse conditions on the project site or resulting from the operation of the farmers market that could adversely effect human beings directly or indirectly. o o o 181 !1~ g-'t7 WPC F:\HOME\PLANNING\204.7.94 Page 11 ENVIRONMENTAL FACI'ORS POTENTIALLY AFFECI'ED: The environmental factors checked below would be potentially affected by this project, involving at least one impact that is a .Potentially Significant Impact" or .Potentially Significant Unless Mitigated," as indicated by the checklist on the following pages. D Land Use and Planning D Population and Housing D Geophysical D Water D Air Quality DETERMINATION: D Transportation/Circulation D Biological Resources D Energy and Mineral Resources D Hazards D Noise D Mandatory Findings of Significance D Puhlic Services D Utilities and Service Systems D Aesthetics D Cultural Resources D Recreation On the basis of this initial evaluation: I find that the proposed project COULD NOT have a significant effect on the environment, and a NEGATIVE DECLARATION will be prepared. ~ I find that although the proposed project could have a significant effect on the environment, there will not be a significant effect in this case because the mitigation measures described on an attached sheet have been added to the project. A MITIGATED NEGATIVE DECLARATION will be prepared. I find that the proposed project MAY have a significant effect on the environment, and an ENVIRONMENTAL IMPACT REPORT is required. o o I find that the proposed project MAY have a significant effect(s) on the environment, but at least one effect: I) has been adequately analyzed in an earlier document pursuant to applicable legal standards, and 2) has been addressed by mitigation measures based on the earlier analysis as described on attached sheets, if the effect is a "potentially significant impacts" or "potentially significant unless mitigated." An ENVIRONMENTAL IMPACT REPORT is required, but it must analyze only the effects that remain to be addressed. Sif1~ fl2v/ ~vcvu '0. tN,/TJD Environmental Review Coordinator City of Chula Vista o ~- Date ~7. / J.,ert( ,A-~ S'- ?o WPC F:\HOME\PlANNING\2047,94 Page 12 . Case No. 15-94'2~ APPENDIX IV Comments Received During the Public Review Period _ No Comments Were Received During the Public Review Period .' !ip/.pr~ ~ - ? / . WI'C~,~O%l.93 (all. II12U3) (all. 1020.93) WESTERN CHAPTER .~ .... .. ...... SIc.fr- 147 ... Ave. Chula Y..... CA 11111 ~ . ,f. .i..~'" flNrH ARMORID DIVISION VIJIRANS' ASSOCIAJlON WORLD WAR II CAMPAIGNS .. RHINELAND .. ARDENNES.ALSACE .. CENTRAL EUROPE JunE. 8 1994 I, . " C~iy 01 ChuLa V~~ia Env~~onmE.ntaL RE.V~€M Coo~d~nato~ B o~ D R€~d JUN _ 8 '.. <20 f..j. 1991 ~'~j\f. fliVe 70 eLoh€ a ht~€€t on a ~€guLa~ Rah~h, to R~~ng ~n e€~t~/~€d g~OWE.~h, ~h ~nanE.. AutomoR~L€ t~all~e wouLd R€ d~h~upt€d, oth€~ m€~ehanth ~n thE. Ou~ LocaL hto~€h and ma~kE.th that a~€a wouLd LOh€ RUh~n€h~. h€LL th~h ho~t 01 m€~ehand~h€ to Lay 011 LocaL wouLd e€~ta~nLy R€ hu~t and m~ght hav€ €mpLoy€€h. t~R~ IJf~:Y-).2 DRAFT MINUTES SPECIAL MEETING TOWN CENTRE PROJECT AREA COMMITTEE CITY OF CHULA VISTA July 28, 1994 8:58 a.m. Council Conference Room City Hall Meeting was opened at 9:20 a.m. when quorum was reached. 1. Roll Call Members Present: Members Absent: Chairman Blakely, Members Killian, Altbaum, and Winters. Members Mason. Member Killian indicated she will not be able to attend the meeting of Angust 4, 1994 because she will be out of town on business. She requested to be excused from the meeting. Staff Present: Principal Community Development Specialist Pam Buchan and Community Development Specialist Miguel Z. Tapia. Also Present: Downtown Business Association President Jim Fergus. 2. Approval of Minutes of June 16, 1994. MSC (Altbaum/Killian) (4-0-1-0 Mason absent) to approve the minutes of June 16, 1994 as mailed. REDEVELOPMENT BUSINESS 3. Farmers' Market. Principal Community Development Specialist Buchan spoke on this item and indicated that the item is being presented to the committee for recommendation to the Redevelopment Agency. Member Winters inquired as to the rationale for staffs recommendation to waive the business license. Staff responded that it was to provide an incentive for the vendors to participate in the market. The anticipated income from the business license fee is estimated to be less than $1,900 per year and it is expected that sales from the increase in business activity will result in an increase in the sales tax revenue to the City. Member Altbaum asked if parking meters are being enforced during the Market and staff indicated that they are. Member Blakely asked if vendors pay sales tax to the City. Staff indicated they will verify this with the Finance Department. Member Killian asked if staff will be monitoring the public parking located on Landis Avenue south of Davidson. She expressed concern about the parking impacts once the new medical bnilding at the southwest corner of Landis and Davidson is completed. Staff indicated that the informal parking surveys showed a significant number of parking spaces were always available south of Davidson on Landis Avenue during the Market. Staff will continue to monitor the parking in this area. MSC (Altbaum/Winters) (4-0-1-0 Mason absent) to 1) confirm that the committee has reviewed and considered Negative Declaration IS-94-26, and 2) recommends that the City Council approve the closure of Third Avenue to vehicular traffic between E Street and Davidson Street on Thursday afternoons between 2 p.m. and 8 p.m. for a Farmers' Market subject to conditions recommended by staff and waives business license fees for _. ....d_'"''''' ,_... !J~;?-- 7 J /t -il t ITEM TITLE: SUBMUTED BY: REVIEWED BY: BACKGROUND: ATTACHMENT 3 COUNCIL AGENDA STATEMENT ~ Item ~ ~ Meeting Date 5/24/94 COUNCIL RESOLUTION \ 1\ 1) APPROVING THE TEMPORARY CLOSURE OF THIRD A VENUE TO VEHICULAR TRAFFIC BE'IWEEN E STREET AND DA VrnSON A VENUE ON THURSDAY AFTERNOONS BEIWEEN 2:00 P.M. AND 8:00 P.M. FORA 60 DAY PERIOD COMMENCING ON JUNE 2 FOR A FARMERS' MARKET SPECIAL EVENT, AND 2) WAIVING BUSINESS LICENSE FEE FOR THE VENDORS PARTICIPATING IN THE SPECIAL EVENT AND 3) WAMNG INITIAL STUDY DEPOSIT (FEE) FOR LONG-TERM FORMAL STREET CLOSURE COMMUNITY DEVELOPMENT DIREemR ~ S . &In CITY MANAGER/EXECUTIVE DIRECTOR ~ ~O ~ (4/5ths Vote: Yes _ No..x..J Council Referral Number: NA The Downtown Business Association (DBA) proposes to establish a weekly certified Fanners' Market in the Town Centre I Project area as a special event and requests the closure of Third Avenue between E Street and Davidson Avenue to accommodate the market. In addition, the DBA requests that the City waive the business license fee for the vendors participating in the Market. The City's T(llffic Engineer, Risk Manager, Police Department Special Events Coordinator, Fire Department, Transit Coordinator, Community Development Department, Planning Department, and City Attorney's Office reviewed the proposed temporary street closure. The following report discusses the issues that were raised and resolved during the staff meetings and discussions. RECOMMENDATION: That the City Council adopt a resolution approving: I) the temporary closure of Third Avenue to vehicular traffic between E Street and Davidson Avenue on Thursday afternoons between 2:00 p.m. and 8:00 p.m. for a 60 day period commencing on June 2, 1994 for a Farmers' Market subject to conditions; 2) waiving business license fee for vendors participating in the special event; and, 3) waiving Initial Study deposit (fee) for long-term formal street closure. ;1 ~<t-YI Page 2, Item Meeting Date 5124/94 , . BOARDS/COMMISSIONS RECOMMENDATION: During the 60 day term of the proposed demonstration project, the staff and the DBA will provide a presentation of the formal street closure and Farmers' Market proposal to the Town Centre Project Area Committee and Safety Commission for their review and reconimendation. DISCUSSION: The DBA is proposing to establish a certified Farmers' Market special event in Town Centre r. The Market is proposed to be conducted every Thursday between 3:30 p.m. and 7:00 p.m. and is planned to be located within the Third Avenue street right-of-way between E Street and Davidson Avenue. Approximately 25 produce vendors will participate in the first market scheduled for lune 2. A full description of the DBA's proposal is attached as Exhibit A. [The original proposal has been modified to consist of a full width street closure (north and south bound lanes of Third Avenue) rather than closure of just the northbound lane. This change was made because the single lane closure had the potential to create significant pedestrian safety issues. The specific location for the Market was selected for several reasons. The northeast section of the Town Centre I Project Area does not have as high an activity level as other commercial sections of the Downtown. The market will provide an opportunity to introduce the public to this portion of the Downtown area. This segment of Third Avenue also is highly visible from E Street which will provide a high level of Market exposure to local and through traffic carried on E Street. Additionally, mid-block public parking lots are available and easily accessible to .customers near th<<e proposed market location. . To accomplish the open market as planned, the DBA has requested that Third Avenue be closed to vehicular traffic between E Street and Davidson Avenue between 2:00 p.m. and 8:00 p.m. on Thursdays and that the business license fee be waived for participati.ng vendors. The California Vehicle Code section 21 101 (e) allows a local authority to temporarily close a portion of any street for local special events. This may be accomplished by resolution or ordinance. After reviewing the proposal and potential impacts, staff is recommending approval of the temporary street closure by resolution. Staff also is recommending that the City Council approve the proposed street closure for a 60 day period which would be considered a special event demonstration project. The demonstration project is a class 23 CEQA exemption. During the demonstration project, the Traffic Engineer will monitor the shift in traffic patterns. This information will be the traffic data base that will be used to prepare the Initial Study. necessary for the formal, long-term project that will be presented to the City Council following the completion of the demonstration project. The Initial Study application includes a $1000 deposit which covers staff processing and administrative costs. The DBA as a non-profit organization has requested that this fee be waived. 111- Page 3, Item Meeting Date 5/24/94 In addition, the demonstration project will provide an opportunity to evaluate other issues such as parking and signage and will allow the Town Centre Project Area Committee and the Safety Commission an opportunity to provide comments to the City Council based on a working model. The following discussion addresses the issues pertinent to the temporary street closure for the special event. Public and Local Notice of Street Closure Merchants, local residents, and local street traffic will be affected llY the street closure and detour. In an effort to provide adequate notification to all the affected parties the following outreach has been undertaken. The DBA began the process by holding a public forum at Pa Pa Dave's Coffee House located at the northeast corner of Third and Davidson Avenues on March 30. All merchants located along Third Avenue between E Street and Davidson Avenue were notified by personal visit from the Town Manager and they were given notice by flyers (see Exhibit B) on March 22 and again on March 28. Approximately 25 merchants attended the forum. The DBA reported that attendees voted their support for the market. In addition, the DBA devoted a full page of the DBA's April newsletter to the Farmers' Market (see Exhibit C). The newsletter has a distribution of 400 which includes all 350 DBA members. Since the proposal was modified to include both the north and south lanes, the DBA has expanded their personal contact to include all property owners adjacent to the proposed street closure to discuss the closure and market operation. City staff mailed notices of the City 'Council May 24 public meeting to all 350 DBA members and to all property owners within 500 feet of the proposed street closure and affected area. In addition, if the Council aPproves the closure, a series of notices will be published in the local newspaper and the transit coordinator will post a sign at the affected bus stop and in the affected buses. Traffic Control Plan The City's Traffic Engineer has prepared a traffic control detour plan to direct traffic around the proposed closed portion of Third Avenue. If the closure is approved, a series of traffic control sigus will be placed on Third Avenue before and during the Farmers' Market special event (see attached plan - Exhibit D). Traffic Engineering will mark-out the locations for all the required traffic control signs. The DBA will be responsible for supplying,. setting-up, and removing all traffic control signs, cones and barricades at the market. Traffic Engineering will assist the DBA on the initial closure to develop a correct procedure. Detour signs will direct north and southbound traffic to 4th Avenue via E Street and F Street. Neither of these circulation element streets are experiencing level of service problems as reported in the 1993 traffic monitoring report. There appears to be sufficient capacity on these streets to accommodate the diverted traffic. The temporary closure should not impact any traffic threshold standards. However, it is expected that some traffic congestion may result at the F Street !Third Avenue intersection. In anticipation of this occurrence, special traffic operating procedures (Le. dual left turn lanes) will be implemented to minimize the congestion. . h<g-:13 .' Page 4, Item. Meeting Date 5/24/94 During the recommended demonstration period, the Traffic Engineer will be monitoring the traffic circulation. All traffic issues revealed during that time period will be forwarded to the Safety Commission for comments and recommendation to the City Council with the formal long- term Farmer's Market proposal following the completion of the demonstration project. Parking ..-- One of the reasons the proposed location was selected was because public parking is within proximity of the proposed Farmers' Market and it will be easily accessible to the Market and . Downtown shoppers (see Exhibit E). There are three public parking lots containing over'9Q spaces located north and south of Davidson Avenue behind businesses on the east side of Third Avenue (Church Avenue) and two public parking lots conrninine almost 200 spaces located north and south of Davidson Avenue behind the businesses on the west side of Third Avenue (on Landis Avenue). These parking lots are currently used at a 50% to 60 % occupancy (1993 data). They are easily accessible from F andE Streets via Landis and Church Avenues and via Davidson Avenue and are located along the Third Avenue detour route. Towing Tow Away Zone signs must be posted in accordance with the vehicle code before the street closure occurs. It was agreed that the DBA will be responsible for placing Tow Away signs 24 hours before the street closure to allow ample warning that cars will be towed by 2:00 p.m. on Thursdays. The DBA has beenpreviously responsible for tow away notices when street closures have been allowed for street festivals. Market Promotion The DBA plans to promote the Market in several ways. A direct mailing will be made to 78,000 Chula Vista area homes and advertising will be through local publications. The DBA will promote the Market on the Third Avenue Banner located above Third Avenue north of F Street and they plan to purchase professionally, wood crafted signs which will be placed around the vendors at the Market to identify the activity. The signs will be made by a local wood crafter and will be 4' x 5' painted signs in the shape ofa cow and will state, "Certified Farmers' Market Today." Staff feels that the issues raised can be satisfactorily resolved. In addition to the traffic and parking issues, the City staff will observe and monitor the set-up and operation of the market during the demonstration project to determine if any modifications or additional recommendations to the traffic control plans will be necessary for safe operation. FISCAL IMPACT: The DBAwill assume all costs for traffic the signs, and provide the labor for posting signs, and coordination for the Farmers' Market. The City is providing public noticing and processing, and guidance related to vehicle traffic control. Revenue from the parking meters located along -11-;'iJ r- 'l'Lf '. Page 5, Item Meeting Date 5/24/94 the portion of Third Avenue proposed for closure will be lost, however, those revenues will most likely be transferred to the public parking lots located in the back of the Third Avenue businesses and will most likely be increased substantially from the added use of the now underutilized lots due to the Market. The Market will be able to accommodate up to 36 produce vendors. Annual business license fees for vendors is $50. If the City waives the business license fees for those vendors participating in the Market, a,maximum of $1800 in revenue will not be remitted. However; it is anticipated that the Market will stimulate a significant increase in sales within the Downtown which .should in turn result in a net increase .in area sales tax to the City. It is expected that this increase will off-set any loss in business license revenue. There will be some administrative costs relative to the enforcement of traffic and safety services which will include staff time. If the Initial Study deposit is waived, the approximately $1000 staff processing and administrative costs for the preparation of the Initial Study will be absorbed by the Community Development Department's staff services budget. The DBA is a non-profit organization which qualifies for the waiver of fees if the City Council deems it appropriate. c: farmer. 113 .-fi4f /e"'1 r--<6~ {)->0 .' ./ This yage intmtfu1tJllly left blank. ~ COUNCIL AGENDA STATEMENT ITEM TITLE: a) Item Meeting Date 8/2/94 Resolution / 75''1 i authorizing issuance of Series B bonds, approving form of bond indenture, bond purchase agreement and Preliminary Official Statement for Assessment District 90-2 (Otay Valley Road) Resolution /75'15' authorizing the appropriation of funds from Fund 637, Improvement Fund for Assessment District No. 90-2 (Otay Valley Road), to CIP Project ST-123 contingent upon Series B Bond sale; and, renewing the Limited City Pledge to provide security enhancement for parcels in Otay Rio Business Park (Assessment Nos. 102-149) 9 b) c) Resolution I? >'9 ~ authorizing the City Attorney, or his designee, to initiate foreclosure proceedings on delinquent parcels in Assessment District No. 90-2 (Otay Valley Road) SUBMITTED BY: Director of Public Works !i' Director of Finance tf . (, C)\ Director of Community Development \.. ~ REVIEWED BY: City Manage~ ~ ~ (4/5ths Vote: Yes...K..No_) On June 23, 1992, the City Council approved the formation of the Assessment District for the widening of Otay Valley Road. On June 30, 1992, the City Council adopted Resolution No. 16708 authorizing the issuance of the first series of the bonds for the Assessment District Series A bonds, approving the form of the bond indenture and related documents (the "Resolution ofIssuance"). The bond indenture was further modified by Resolution 17205 on July 27, 1993 to include the Limited City Pledge to provide security enhancement for parcels in Otay Rio Business Park. Tonight's action will authorize the issuance and use of the second bond series, Series B, for Phase II construction. RECOMMENDATION: That Council approve the resolutions: I) authorizing issuance of Series B bonds, approving forms of bond indenture, bond purchase contract and Preliminary Official Statement for the Series B bonds; 2) authorizing the appropriation of funds from Fund 637 to CIP Project ST-123, contingent upon Series B bond sale; and, renewing the Limited City Pledge to provide security enhancement for parcels in Otay Rio Business Park (Assessment Nos. 102-149); and 3) authorizing the City Attorney to initiate foreclosure proceedings on delinquent parcels. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. '/-/ Page 2, ItemL Meeting Date 8/2/94 DISCUSSION: This report outlines the Phase II improvements that will be financed by the bonds, the Bond Indenture, the Bond Purchase Agreement, the Preliminary Official Statement, special risk factors and future action. I. DESCRIPTION OF WORK The widening of Otay Valley Road from 1-805 to the northerly boundary of the Otay Rio Subdivision has been planned as a phased project. On June 30, 1992, the City Council, by Resolution No. 16708 authorized the issuance of the Series A bonds for the first phase of the project. Phase I extended from 1-805 to 1,200 feet east of Nirvana Avenue and is now in progress. Tonight's action will authorize the issuance of the Series B bonds for the construction of Phase II. Phase II will extend from 1,200' east of Nirvana Avenue to the northerly limits of the Otay River bridge crossing. The fmal phase, Phase III, will widen the existing 26-foot wide bridge that was constructed by the County to a width of 52 feet, tying the roadway to the northerly limits of the Otay Rio Subdivision. Phases I and II were proposed to be funded via the formation of Assessment District 90-2. Phase III is a separate CIP project approved in the FY 1993-94 budget (STM-319) and is not financed with assessment district bonds. The Series A bonds for Phase I were sold in September, 1993. Pending tonight's approval of the bond issuance, the proceeds from Series B bonds will be deposited into Fund 637, Improvement Fund and appropriated to CIP Project ST-123. On June 7, 1994, Council awarded the contract for Phases II and III to Signs & Pinnick, Inc. in the amount of $2,374,136.70 contingent upon bond sale. II. THE LIMITED CITY PLEDGE The first bond issue (Series A) was met with resistance by investors due to the special risk factors (see Section IV, page 3). The bonds did not sell initially so the City obligated itself to pay the annual installment of Otay Rio Business Park (potentially $225,000 annually) if an installment became delinquent which enabled first issue bonds (Series A) to be sold. Tonight's action authorizes the issuance of the second bond issue (Series B) in the amount of $2,119,994 for Phase II construction and renews the City's Limited Pledge to advance funds for delinquent installment associated with Otay Rio Business Park (assessment Nos. 102-149). The limited pledge will be equal to the lesser of (i) the annual assessment installment on unimproved parcels within the Otay Rio Business Park (unimproved is defined as not having Certificates of Occupancy) or (ii) the amount of the amount of delinquent assessment installments on the Otay Rio Business Park properties. At a minimum, this obligation to advance funds could be $0 (when Otay Rio Business Park remains current on its installments) to a maximum of $225,000 annually (the full amount of estimated annual installments on the Otay Rio Business Park properties). This is a renewal of the Limited Pledge the City made last year for Series A and needs to be reconfirmed for series B to ensure the bonds are marketable. In the underwriter's opinion , the bonds will be not be marketable unless the credit enhancement is included. Funds for this security enhancement will be identified at the time the funds are needed, if ever. Staff is also negotiating with the owner of Otay Rio Business Park to obtain a deposit of $225,000 or other security to fund at least one year's installment. Cj - ;.. Page 3, Item~ Meeting Date 8/2/94 III. PURCHASE AGREEMENT. INDENTURE & PRELIMINARY OFFICIAL STATEMENT The RESOLUTION AUTHORIZING THE ISSUANCE OF BONDS, APPROVING THE BOND INDENTURE OFFICIAL STATEMENT AND BOND PURCHASE AGREEMENT authorizes the issuance of 1915 Act bonds in the amount of $2,119,994, approves the bond indenture, which sets forth the conditions and covenants of the bond issue, and the Official Statement, which is the disclosure document for the assessment district and bonds, in substantially final form, and approves the sale of the bonds to the firm of Stone and Youngberg. The City and Stone and Youngberg will price the bonds, i.e., set the interest rates and discount, on August I and the bond purchase agreement to be approved by the adoption of this resolution will incorporate this final pricing of the bonds. The bond indenture, bond purchase agreement and Official Statement will be completed and executed on behalf of the City by the Director of Finance. IV. SPECIAL RISK FACTORS There are a number of special risk factors associated with the district: I. The endangered species located within the district are: 1.1 acres of Coastal Sage Scrub, the California gnatcatcher and least Bell's vireo. The City has obtained the necessary permits to construct Phase II of Otay Valley Road, however, the presence of endangered and threatened species may restrict the development of undeveloped parcels within the district. 2. Hazardous substances in the form of contaminated soils and groundwater are located within the district. The County landfill has agreed to accept the soil, in principal, provided it is not too contaminated. In terms of groundwater flow, some of these contaminated parcels are "upstream" of other non-contaminated parcels within the district and it is not known if the uncontaminated parcels will remain in that state. 3. The 1994 appraisal on the property has valued the land within the district at approximately half the original 1992 appraised value. Although the property value trend is in a downward motion, the value-to-lien ration meets or exceeds the City's criteria. 4. Approximately 8 property owners within the district are delinquent on their payment of taxes and special assessments for the Fiscal Year 1993/94 installments. The total combined delinquent amount is $26,354. The City has sent letters to the owners that were delinquent in paying their taxes. The City must initiate foreclosure proceedings against the delinquent parcels if payment is not made prior to the Series B bond sale per the bond indenture to protect the bond holders and other property owners. This includes removing the parcels from the tax rolls. This action is a basic security feature of assessment district debt. The third resolution authorizes the City Attorney to initiate the proceedings. Bond counsel recommended that the bond sale for this district be a "negotiated bond sale" due to the complex issues and associated risks. A negotiated bond sale allows staff and consultants to work with the underwriter throughout the project to ensure that all special risk factors are understood and fully disclosed. The underwriter, Stone and Youngberg, was recommended by staff and approved by Council for the bond sale in the amount of $7.1 million in June 1992. Due to delays, resulting in the need to bifurcate the environmental permits and consequently the bond sale, the bond 9-3 Page 4, Item~ Meeting Date 8/2/94 documents were changed to reflect sale of bonds for Phase I construction (Series A). It was also anticipated that separating the bond sale into Series A and B would reduce the cost of capitalized interest to the property owners. Entering into the bond purchase agreement with Stone and Youngberg for Series B bonds (Phase II construction) is a continuation of the process previously approved by Council. V. FUTURE ACTION The bond sale is proposed for mid-August, 1994 to enable construction to begin III September, earliest date allowed under the environmental permits. FISCAL IMPACT: The underwriters have requested credit enhancement to cover $2.1 million in assessments in the Otay Rio Business Park. Depending on the interest rate of the bonds, the annual impact on the City could equal up to $225,000 for Series A and B bonds if Otay Rio Business Park defaults on their payments. The City is requested to renew its pledge to advance the amount of the total annual debt service for Series B bonds on unimproved property owned by Otay Rio Business Park (assessments for "improved" parcels would not have to be secured). The City will only be required to advance these funds in the event the owner does not pay annual assessment installments. Any funds advanced by the City would be secured by the property and would be reimbursed through redemption of the delinquent assessments or foreclosure proceedings. The City has already obligated itself to advance funds for the payment of debt service on the bonds in an amount not to exceed 10% of the principal amount of the bonds (the Reserve Fund). This equals an obligation of approximately $700,000. A copy of the Bond Indenture, Bond Purchase Agreement, and Preliminary Official Statement are on file in the City Clerk's Office. Attachments: District Map TNAY081 M;IH011E\ENGINEER\AGENDA \OVRBOND.4 072794 'I-I{ .... - - - - - .. - .. .,. . . . .. .. .. .. .II ASSESSMENT DIAGRAM OF ASSESSMENT DISTRICT 90-2 CITY OF CHULA VISTA, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA OTAY VALLEY ROAD W I N I LEGEND OU Y COUNTY LANDFILL AREA or SP IAL BENE IT -......... ~ 0--. ----- L_____ ,- I / /lEl3O/l ~ SLOAIl @ ~\ , ) I ~----1 - - - DISTRICT BOUNDARY PARCEL BOIJN)ARY @ ASSESSMENT NUMBER -, ----~ 1IOf[: 1M[ ElWNDNIY AND PARCELS AS 5tI(MI HDl[ClN MC.. AS SHOIH ON lH[ ASstSSOR'S PARCO. MAPS or THE COlMTY (E SAN Moo. STAl[ (IF CAlEORtIA. ~ WILLDAN AS8OCIATI3 'AI __~_IUIIiIIl{" -------- SlfEET 2 OF 2 oUl MIJl Minutes June 30, 1992 Page 14 This being the time and place as advertised, the public hearing was declared open. MS (Malcolm/Moore) to continue the public hearing to the meeting of July 21, 1992. Council recessed at 8: 11 p.m. and reconvened at 8: 19 p.m. Councilman Rindone stated he was surprised to see that the public hearing had been set. He reminded staff that on 8127191 Council had agreed to review the rate of return for Laidlaw and review how they compared on competitive bidding. Staff was directed at that meeting to work with Laidlaw regarding audit review, rate of return, and confidentiality agreement. He felt that needed to be addressed before the public hearing was held. Lyman Christopher, Director of Finance, responded that they had met with Laidlaw over the past several months and it was their intention to address those issues during the scheduled public hearing for the rate increase. Laidlaw had been asked for financial information that could be made public, including rate of return, and they had indicated that they would provide information that could be provided to the Council. VOTE ON MOTION: approved lU1aIlimously. 28. PUBUC HEARING CONSIDERATION OF REVISIONS TO CHAPTER 5.20 OFTIiE CHULA VISTA MUNICIPAL CODE, TIiE CARDROOM ORDINANCE - On 4128/92, Council heard public testimony related to several proposed changes to Section 5.20 of the Municipal Code known as the Cardroom Ordinance. As a result of that discussion, staff was directed to prepare draft revisions to the ordinance for Council review and to schedule a public hearing. Each of the six Cardroom Ordinance revision issues specified by Council are addressed in the report. The proposed changes are intended to assist local cardroom operators in remaining competitive with other county gambling centers while maintaining the City's philosophy pertinent to gaming issues. Staff recommends Council continue the public hearing to the meeting of July 21, 1992. (Chief of Police) Continued from the 612192 meeting. MSUC (Nader/Moore) to continue the public hearing to the meeting of July 21, 1992. ORAL COMMUNICATIONS None ArnON ITEMS 29,A RESOLUTION 16706 AUTHORIZING VARIOUS APPROPRIATIONS OF FUNDS FOR ASSESSMENT DISTRICT NUMBER 90-2 (OTAY VALJ..EY ROAD) - On 4/8/92, bids were received for "The Improvement of Assessment District 90-2 (Otay Valley Road) from 1-805 to 1,200 feet east of Nirvana Avenue". Since the Council established the Otay Valley Road Assessment District 90-2, it is now appropriate to award the construction contract for the fu-st phase of the project. In order to award the construction contract, it is necessary that the bond funds for the contract be assured. The approval of the bond sale agreement, preliminary official statement, and bond indenture fulfill that requirement. Staff recommends approval of the resolutions. 4/5th's vote required. (Director of Public Works and Director of Finance) Councilman Rindone questioned whether they were municipal bonds and why the quoted rates were so high. 9-(, . Minutes June 30, 1992 Page 15 Lyman Christopher, Director of Finance, stated that the range indicated was close to the percentage for the most recent bond sale, i.e. 7.3%. The bond sale would not occur for thirty days. Assessment district bonds were not rated. , Councilman Malcolm questioned whether staft' had looked a enhancing the bonds with some type of insurance. Mr. Christopher stated that issue was always looked at when doing a bond issue. Historically and traditionally it was common practice not to get a rating for assessment district bonds. He was unaware of any issues that had ever been insured. It would be a negotiated sale with Stone & Youngbird. Competitive bids were not sought because it was not a typical assessment district formation, it had complex problems associated with the formation of the district and the structure of the bond issue. Therefore, it was better to get the underwriter involved initially when forming the assessment district than to wait until the end and have a public or competitive sale. Mayor Nader stated that he had concerns regarding the scope of the overall project in relation to the people being assessed. He questioned whether the resolutions were time sensitive or if they could be continued. Mr. Lippitt responded that the contract had to be awarded by 6/30/92 in order to receive the SB300 contribution. Council also needed to appropriate the funding. Councilman Malcolm stated that everyone had concerns but his colleagues had made a difficult decision and did not feel there was any choice regarding the resolution or a purpose for a delay. RESOLUTIONS 16706, 167ffl, AND 16708 OFFERED BY COUNOLMAN MALCOLM, reading of the ten was waived. Mayor Nader agreed with Councilman Malcolm and stated that he would vote for the resolutions with reluctance. He did not appreciate having to vote for an item with undue consideration because of the timing involved. VOTE ON RESOLUTIONS 16706, 167ffl, AND 16708: approved unanimously. MS (Malcolm/Grasser Horton) to direct staff to respond to the comments made by Ms. Gregory and Mr. Cushman and bring back a report regarding further evaluation as to whether the assessments were correct. Councilman Rindone did not feel that the evaluation should be restricted to only the two property owners in the motion, but any property that needed reassessment. Councilman Malcolm stated that was the intent of his motion. Mr. Lippitt stated that Mr. Teyssiet's property would also be evaluated. VOTE ON MOTION: approved unanimously. Mayor Nader stated that he was concerned that the assessments were rather steep and questioned whether it would be advisable to have a voluntary group of assessed property owners formed which could review proposed work and contracts and provide their ongoing input to staff and Council since it was their money being spent. Mr. Lippitt responded that there was a project area committee which met with the Redevelopment staff and addressed many of the issues in the Otay Valley as well as that project. 9-7 Minutes June 30, 1992 Page 16 Mayor Nader requested that "routine notice and opportunity for property owners to look at proposed contracts and scope of work prior to approval by staff and Council and to offer their comments" be placed under his comments for the next meeting. He did not necessarily want a new committee with staffing formed but felt their input would be valuable. Councilman Moore questioned whether the Mayor was addressing future assessment districts. Mayor Nader stated he was addressing future work and contracts in the assessment district with notice to property owners being assessed and an opportunity to offer comments before final approval was made or contracts approved. Councilman Moore expressed concern that it would result in the redoing of the district. That type of information should have been received in year one of a five year project, not the sixth year of a five year project. Mayor Nader stated he did not want it to be a matter or renegotiating the spread of assessments but wanted to look to see if there were ways of getting things done more cost effectively. B. RESOLUTION 167W AWARDING THE CON1RACf FOR THE CONSTRUcnON OF CERTAIN PUBUC WORKS IMPROVEMENTS IN ASSESSMENT DISTRICf NUMBER 9().2 (OTAY VAUE'{ ROAD) C. RESOLUTION 16708 AUTIiORIZING ISSUANCE OF BONDS, APPROVING FORMS OF BOND INDENTURE, BOND PURCHASE CON1RACf AND PREUMINARY OFFICIAL STATEMENT FOR ASSESSMENT DISTRICf NUMBER 9().2 (OTAY VAUE'{ ROAD) -..J 30. REPORT FOREST CONSERVATION INITIATIVE. Council directed staff to bring back a report for consideration for the purpose of supporting placing the Forest Conservation Initiative on the County ballot for a vote of the electorate. Staff recommends Council accept the report and take no position on the Forest Conservation Initiative. (Administration) A1do Vidali, 4364 Bonita Road, Bonita, CA 91902, representing Wilderness Teams, stated he was in support of preserving the most important environment piece of real estate left in San Diego County for the future generations. He urged Council to support the initiative. Duncan McFetridge, Descanso, CA, President of Save Our Forest and Ranchlands, urged Council to reject the staff recommendation and adopt Option 1 of the staff report, "support in the form of a letter to the Chairperson of the Board of Supervisors, a request by the Forest and Ranchland Committee to place the Forest Conservation Initiative on the ballot for a vote of the electorate". Mayor Nader questioned whether the current County action or the initiative would result in a lower density for the land in question. Barbara Bamburger, Environmental Resource Manager, responded that the action taken by the County affected the Central Mountain Plan area but the other eight community planning areas would not be affected. The overall density would be higher without the initiative. Mayor Nader referred to page 30.5 of the staff report and questioned if the County would lose state revenues if their action was left standing or whether the County could change their action if found to be out of compliance and therefore regain their reimbursement. Ms. Bamburger responded that if the state deemed that the County was not following the Williamson Act, then they could make the decision that they would not reimburse the County. There was a question as to 9-~ RESOLUTION NO. / '7 ~:;9 '-i RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AUTHORIZING ISSUANCE OF BONDS, APPROVING FORMS OF BOND INDENTURE, BOND PURCHASE CONTRACT AND PRELIMINARY OFFICIAL STATEMENT FOR ASSESSMENT DISTRICT NO. 90-2 (OTAY VALLEY ROAD) LIMITED OBLIGATION IMPROVEMENT BONDS, SERIES B WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA, is conducting proceedings for the installation of certain public improve- ments in a special assessment district pursuant to the terms and provi- sions of the "Municipal Improvement Act of 1913", being Division 12 of the Streets and Highways Code of the State of California, said special assessment district known and designated as ASSESSMENT DISTRICT NO. 90-2 (OTAY VALLEY ROAD) (hereinafter referred to as the "Assessment District"); and, WHEREAS, this legislative body has previously declared in its Resolution of Intention to issue bonds to finance said improvements, said bonds to issue pursuant to the terms and provisions of the "Improvement Bond Act of 1915", being Division 10 of said Code; and, WHEREAS, in December, 1993, the City issued the $3,607,498.00 City of Chula Vista Assessment District No. 90-2 (Otay Valley Road) Limited Obligation Improvement Bonds, Series A, to fund the first phase of construction of the authorized improvements; and, WHEREAS, at this time this legislative body is desirous to set forth all formal terms and conditions relating to the authorization, issuance and administration of the City of Chula Vista Assessment District No. 90-2 (Otay Valley Road) Limited Ob 1 i gat i on Improvement Bonds, Seri es B (the "Series B Bonds") in a principal amount not to exceed $2,119,994.00; and, WHEREAS, all preconditions to the issuance of the Series B Bonds as contained in the bond indenture for the Series A Bonds have been satis- fied; and, WHEREAS, there has been presented, considered and ready for approval a bond indenture setting forth formal terms and conditions relating to the issuance and sale of the Series B Bonds (the "Bond Indenture"); and, WHEREAS, there has also been presented for consideration by this legislative body a form of Bond Purchase Contract authorizing the sale of the Series B Bonds to Stone & Youngberg, the designated underwriter; and, l~HEREAS, there has also been presented for consideration by this legislative body a form of Preliminary Official Statement containing information including but not I imited to the Assessment District and the type of the Series B Bonds, including terms and conditions thereof. NOW, THEREFORE, BE IT RESOLVED AS FOLLOWS: REC IT ALS SECTION 1. That the above recitals are true and correct. 94;/ "]\' Resolution No. Page Two BOND AUTHORIZATION SECTION 2. That thi s I egi s I at i ve body does authori ze the issuance of the Series B Bonds in an aggregate principal amount not to exceed $2,519,163.00 pursuant to the terms and provisions of the "Improvement Bond Act of 1915", being Division 10 of the Streets and Highways Code of the State of Cal ifornia, and a 1 so pursuant to the spec i fi c terms and condit ions as set forth in the Bond Indenture presented herein. BOND INDENTURE SECTION 3. That the Bond Indenture is approved substantially in the form presented herein. The Finance Director is hereby autho- rized and directed for and on behalf of the City to execute the Bond Indenture with such additions thereto or changes therein as may be approved by the Finance Director, subject to the review and approval of Bond Counsel, such approval by the Finance Director to be conclusively evidenced by the execution and delivery thereof. A copy of said Bond Indenture shall be kept on file with the transcript of these proceedings and open for public inspection. BOND PURCHASE CONTRACT SECTION 4. That the Bond Purchase Contract as submitted by STONE & YOUNGBERG, the des i gnated underwriter, known as document number , a copy of which is on file in the Offi ce of the City Cl erk, is hereby approved sub stant i ally in the form presented herein. The Finance Director is hereby authorized and directed for and on behalf of the City to evi dence the City's acceptance of the terms and prov i- sions of the Bond Purchase Contract by executing and deliver- ing the Bond Purchase Contract in the form presented to the City at this meeting, with such changes therein as are approved by the Fi nance Di rector, subject to the revi ew and approval of Bond Counsel, such approval by the Finance Director to be conclusively evidenced by the execution and delivery thereof. PRELIMINARY OFFICIAL STATEMENT SECTION 5. The form of the preliminary official statement (the "Prelimi- nary Offi cia I Statement") is hereby rat i fi ed and approved. The offi cers of the City and thei r authori zed representa- tives are each hereby directed to prepare or cause to be prepared a final official statement (the "Official State- ment") relating to the Series B Bonds. The distribution by the underwriter of copies of the Preliminary Official State- ment to persons who may be interested in the purchase of the 9/1 ....2, Resolution No. Page Three Series B Bonds is hereby ratified and the underwriter is directed to deliver copies of the Official Statement to all actual purchasers of the Series B Bonds from the underwriter act i ng in such capacity. The Fi nance Di rector of the City is authorized to certify to the underwriter that the Prelimi- nary Official Statement was deemed final as of its date within the meaning of Rule 15c2-12 of the Securities and Exchange Commission. The officers of the City and their authorized representatives are, and each of them acting a lone and wi th the concurrence of Bond Counsel to the Ci ty is, hereby authorized and directed, for and in the name of the City, to execute the Official Statement with such revisions from the Preliminary Official Statement as are reasonable and customary to describe accurately the Series B Bonds and matters conta i ned in the Purchase Agreement and the Bond Indenture. Such approval shall be evidenced by the execution thereof. FINAL BOND DELIVERY SECTION 5. No further action will be required by this legislative body if the bonds are priced, sold and del ivered prior to September 2, 1994. ADVANCE OBLIGATION REQUIREMENT SECTION 7. This legislative body does further specifically agree and covenant for the benefit of the Series B Bondholders to advance funds to cure deficiencies and delinquencies which may occur in the Redemption Fund as such requirements are set forth in the Bond Indenture. SUPERIOR COURT FORECLOSURE SECTION 8. This legislative body does further specifically covenant for the benefit of the bondholders to commence and prosecute to completion foreclosure actions regarding delinquent install- ments of the assessments in the manner, within the time limits and pursuant to the terms and conditions as set forth in the Bond Indenture as submitted and approved through the adoption of this Resolution. OTHER ACTS SECTION 9. A 11 act ions heretofore taken by the offi cers and agents of the City with respect to the sale and issuance of the bonds are hereby approved, confirmed and ratified, and the Finance Di rector and any and a 11 other offi cers of the Ci ty are hereby authorized and directed, for and in the name and on beha If of the Ci ty, to do any and a 11 thi ngs and take any 9A~ :J f . .0 Resolution No. Page Four and all act ions re 1 at i ng to the execution and deli very of any and all certificates, requisitions, agreements and other documents, which the Finance Director may deem necessary or ad vis ab 1 e in order to consummate the 1 awfu 1 issuance and delivery of the Series B Bonds in accordance with this resolution. Presented by Approved as to form by John P. Lippitt Public Works Director Bruce M. Boogaard Ci ty Attorney 9/1-'1 Resolution No. Page Fi ve PASSED, APPROVED, and ADOPTED Chula Vista, California, this by the following vote: by the City Coune i 1 of the Ci ty of day of , 1994, AYES: Councilmembers: NOES: Councilmembers: ABSENT: Councilmembers: ABSTAIN: Councilmembers: Tim Nader, Mayor ATTEST: Beverly A. Authelet, City Clerk STATE OF CALIFORNIA ) COUNTY OF SAN DIEGO ) ss. CITY OF CHULA VISTA ) I, 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 Counci 1 held on the day of , 1994. Executed this day of , 1994. Beverly A. Authelet, City Clerk 9/J 1,5' 3 .-- .i ,/ ~ BOND INDENTURE Thi s Bond Indenture (the "Indenture") dated as of August I, 1994, is entered into and approved by the City of Chula Vista (the "Issuer") to establish the terms and conditions pertaining to the issuance of bonds in a special assessment district known and designated as ASSESSMENT DISTRICT NO. 90-2 (OTAY VALLEY ROAD) (the "Assessment District") . SECTION 1. Issuance, Desi nation and Amount. Pursuant to the provisions of the "Improvement Bond Act 0 1915', being Division 10 of the Streets and Hi ghways Code of the State of Ca 1 i forn i a, as amended (the "Act"), the Issuer does hereby authorize and direct the issuance and sale of a seri es of bonds to represent a portion of the unpaid assessments on certain private property within the Assessment District, which bonds are hereby designated as the City of Chula Vista Assessment District No. 90-2 (Otay Valley Road) Limited Obligation Improvement Bonds, Series B" (the "Bonds"). SECTION 2. Unpai d Assessments. The Issuer shall determi ne the assessments whi ch are unpaid and the aggregate amount thereof as authorized by Section 8621 of the St reets and Hi ghways Code of the State of Ca 1 iforni a and shall issue Bonds in an aggregate principal amount equal to the deter- mined amount of unpaid assessments, less any previously issued bonds secured by the unpaid assessments. Unpaid assessments means the aggre- gate amount of unpaid assessments on nonpublic lands in the Assessment Di st ri ct other than the Exc 1 uded Assessments. "Exc 1 uded Assessments" means the unpaid assessments against the parcels stated in Exhibit "B" hereto, which parcels are not eligible for development as of the date hereof, and wou 1 d be, if i nc 1 uded as securi ty for the Bonds, an i mpa i r- ment to the securi ty for the Bonds. The Exc 1 uded Assessments are the subject of that certain Assessment District No. 90-2 Reimbursement Agreement dated as of March 9, 1993, among the Issuer, the Redevelop- ment Agency of the Issuer and the property owner pursuant to which the Issuer may, at such time as the parcels subject to the Excluded Assess- ments become developable, issue, sell and deliver Series C bonds secured by the Excluded Assessments. SECTION 3. Term of Bonds. As shown on Exhibit "A" hereto, the Bonds shall mature a maximum of and not to exceed twenty-four (24) years from the second day of September next succeeding twelve (12) months from their date. The provisions of Part 11.1 of the Act, providing an alternative proce- dure for the advance payment of assessments and the call ing of Bonds shall apply. The Bonds shall be subject to refunding pursuant to Divi- sion 11.5 of the Streets and Highways Code of the State of California. SECTION 4. Registered Bonds. The Bonds shall be issuable only as fully registered Bonds in the den ami nat i on of $5,000, or any integra 1 mu 1t i P 1 e thereof, except for one bond maturing in the first year of maturity, which shall include the amount by which the total issue exceeds the maximum integral multiple of $5,000 contained therein. 1 9/1- ~ SECTION 5. SECTION 6. SECTION 7. SECTION 8. SECTION 9. Date of Bonds. shall accrue hereto. The Bonds shall be dated August 2, 1994 and interest from that date at the rates set forth in Exhibit "A" Maturity and Denomination. The Bonds shall be issued in serial and term form, with annual maturities on September 2nd of every year succeeding twe,lve (12) months after their date, until the whole is paid. The principal amount payable each year, taking into consideration mandatory sinking fund redemptions, shall result in approximately equal annual debt service during the term of the issue considering the interest rate and principal amount payable in the respective years, is as shown in Exhibit "A" attached hereto and in Section 9 hereto. Interest. Interest is payable each March 2 and September 2 (each being an interest payment date), commencing March 2, 1995. Each Bond shall be of a single maturity and shall bear interest at the rate as set forth in the accepted bid proposal for said Bonds from the interest payment date next preceding the date on which it is authenticated and registered, (i) unless said Bond is authenticated and registered as of an interest payment date, in which case it shall bear interest from said interest payment date, (ii) unless said Bond is authenticated and registered prior to the first interest payment date, in which case it shall bear interest from its date, or (iii) unless interest is in default on said Bond on such date, in which case it shall bear interest from the last date on which interest was paid in full or from its dated date if no interest has been paid, unti 1 payment of its principal sum has been discharged. Interest shall be calculated on the basis of a 360 day year composed of twelve 30-day months. Interest on said Bonds shall be paid by check mailed (or, in the case of any owner of not less than $1,000,000 principal amount of the Bonds who so requests in writing prior to the close of business on the fi fteenth day preced i ng each interest payment date, by wi re trans fer) to the registered owner thereof on each interest payment date at his or her address as it appears on the books of registration, or at such address as may have been fi 1 ed with the payi ng Agent for that purpose, as of the 15th day immediately preceding said interest payment date (a "Record Date"), whether or not such day is a business day. Place of Payment. The principal on the Bonds shall be payable in lawful money of the United States of America upon surrender of the Bond at the office of Bank of America National Trust and Savings Association in Glendale, Cal ifornia, the designated registrar, transfer agent and paying agent of the Issuer ("Paying Agent"), or such other registrar, transfer agent or paying agent as may be designated by subsequent Resolution of the Issuer. Redemption. The first series of Bonds shall be subject to redemption as follows: A. Optional. The Bonds shall be subject to optional redemption and payment in advance of maturi ty, in whole or in part, on the 2nd day 29/?-'l of March or September in any year, from any source of funds, at the following redemption prices, expressed as a percentage of the pri nc i pa 1 amount redeemed, together with accrued interest to the date of redemption: 103% if redeemed on or before September 2, 2004 102% if re~eemed on March 2 or September 2, 2005 101% if redeemed on March 2 or September 2, 2006 100% if redeemed on March 2, 2007 and thereafter. If less than all outstanding Bonds are called for optional redemp- tion, the Issuer not less than 45 days prior to the redemption date shall select Bonds for redemption in such a way that the ratio of outstanding Bonds to issued Bonds shall be approximately the same in each annual maturity insofar as possible. Within each annual maturity Bonds shall be selected for redemption by lot. B. Fund. The Bonds maturing on September 2, 2017 the "Term Bonds" are subject to mandatory sinking fund redemption by lot at a redemption price equal to the principal amount thereof, plus accrued i nteres t to the redempt i on date, wi thout premi urn, on each September 2 in the years and for the amounts listed below: Oate (September 2) Amount ,. 2009 2010 2011 2012 2013 2014 2015 2016 2017 (maturity) $ In the event of any optional, partial redemption of the Term Bonds, th e amounts in the foregoi ng schedu 1 e sha 11 be reduced pro-rata among redemption dates in order to maintain substantially level Annual Debt Services (defined as principal and interest due on the Bonds on March 2 and September 2 of any year). C. Partial Redemption. If less than all of the outstanding Bonds are to be redeemed, the portion of any Bond of a denomination of more than $5,000 to be redeemed shall be in the principal amount of $5,000 or an integral multiple thereof, and, in selecting portions of such Bonds for redemption, the Payi ng Agent shall treat each such Bond as representing that number of Bonds of $5,000 denomi na- tions which is obtained by dividing the principal amount of such Bond to be redeemed in part by $5,000. Upon surrender of any Bond to be redeemed in part only, the Paying Agent shall authenticate 3 9/1.Y and deliver to the owner, as the expense of the Issuer, a new Bond or Bonds of authorized denominations equal in aggregate principal amount to the unredeemed portion of the Bond surrendered, with the same interest rate and the same maturity date. Such partial redemp- tion shall be val id upon payment of the amount required to be paid to such owner, and the Issuer and the Paying Agent shall be released and discharged thereupon from all liability to the extent of such payment. D. Notice. Notice of redemption of Bonds shall be provided at least 30 days in advance of the redemption date by registered or certi- fied mail or by personal service to the respective registered owners thereof at thei r addresses as they appear on the regi stra- tion books of the Paying Agent. Neither the failure of any regis- tered owner to receive redemption notice nor any defend in such notice so given shall affect the sufficiency of the proceedings for the redempt i on of such Bonds. The Issuer shall prov i de i nst ruc- tions to the Paying Agent to effect sinking fund redemptions at least 45 days prior to each redemption date. SECTION 10. [Reserved]. SECTION 11. Exchange of Registered Bonds. Fully registered Bonds may be exchanged at the office of the Paying Agent in Glendale, California, for a like aggregate principal amount of Bonds of the same interest rate and maturity, subject to the payment of taxes and governmental charges, if any, upon surrender and cancellation of this Bond. Upon such transfer and exchange, a new registered Bond or Bonds of any authorized denomina- tion or denominations of the same maturity for the same aggregate principal amount wi~l be issued to the transferee in exchange therefor. SECTION 12. Books of Regi st rat ion. There shall be kept by the Payi ng Agent suffi- cient books for the registration and transfer of the Bonds and, upon presentation for such purpose, the Paying Agent shall, under such reasonable regulations as it may prescribe, register or transfer or cause to be registered or transferred, on said register, Bonds as hereinbefore provided. SECTION 13. Execution of Bonds. The Bonds shall be executed manually or in facsi- mile by the Treasurer and by the City Clerk, and the corporate seal may be imprinted manually or in facsimile on the Bonds. The Bonds shall then be de 1 i vered to the Payi ng Agent for authent i cat i on and regi st ra- tion. In case an officer who shall have signed or attested to any of the Bonds by facsimile or otherwise shall cease to be such officer before the authentication, delivery and issuance of the Bonds, such Bonds nevertheless may be authenticated, delivered and issued, and upon such authentication, delivery and issue, shall be as binding as though those who signed and attested the same had remained in office. SECTION 14. Authentication. Only such of the Bonds as shall bear thereon a certifi- cate of authentication substantially in the form below, manually executed by the Paying Agent, shall be valid or obligatory for any 4 9/1- q purpose or entitled to the benefits of this Indenture, and such certifi- cate of the transfer agent and registrar shall be conclusive evidence that the Bonds so authent i cated have been duly executed, authent i cated and delivered hereunder, and are entitled to the benefits of this Indenture. Date: FORM~F CERTIFICATE OF AUTHENTICATION AND REGISTRATION This bond has been authenticated and registered. BANK OF AMERICA NATIONAL TRUST AND SAVINGS ASSOCIATION as Transfer Agent, Registrar and Paying Agent By: SECTION 15. Negotiability, Registration and Transfer of Bonds. The transfer of any Bond may be registered only upon such books of registration upon surrender thereof to the Paying Agent, together with an assignment duly executed by the owner or his attorney or legal representative, in satis- factory form. Upon any such registration of transfer, a new Bond or Bonds shall be authenticated and delivered in exchange for such Bond, in the name of the transferee, of any denomination or denominations authorized by this Indenture, and in an aggregate principal amount equal to the principal amount of such Bond so surrendered. In all cases in which Bonds shall be exchanged or transferred, the Paying Agent shall authenticate at the earliest practical time, Bonds in accor- dance with the provisions of this Indenture. All Bonds surrendered in such exchange or registration of transfer shall forthwith be cancelled. The Paying Agent may make a charge for every such exchange or registra- tion of transfer of Bonds sufficient to reimburse it for any tax or other governmental charge required to be paid with resfect to such exchange or registration of transfer. No transfer of ful y registered Bonds sha 11 be requ i red to be made between a Record Date and the next following interest payment date, nor during the fifteen (15) days preceding the selection of any Bonds for redemption prior to the maturity thereof, nor with respect to any Bond which has been selected for redemption prior to the maturity thereof. SECTION 16. Ownership of Bonds. The person in whose name any Bond shall be registered shall be deemed and regarded as the absolute owner thereof for all purposes, and payment of or on account of the principal and redemption premium, if any, of any such Bond, and the interest on any such Bond, shall be made on 1 y to or upon the order of the reg is tered owner thereof or his 1 ega 1 represent at i ve. All such payments shall be valid and effectual to satisfy and discharge the liability upon such Bond, including the redemption premium, if any, and interest thereon, to the extent of the sum or sums so paid. 5 9/1-/& SECTION 17. Mutilated, Destroyed, Stolen or Lost Bonds. In case any Bond secured hereby shall become mutilated or be destroyed, stolen or lost, the Issuer sha 11 cause to be executed and authenticated a new Bond of 1 i ke date and tenor in exchange and substitution for and upon the cancella- tion of such mutilated Bond or in lieu of and in substitution for such Bond mutilated, destroyed, stolen or lost, upon the owner's paying the reasonab 1 e exp.enses and charges in connect i on therewith, and, in the case of a Bond destroyed, stolen or lost, his filing with the Paying Agent and Issuer of evidence satisfactory to them that such Bond was destroyed, stolen or lost, and of his ownership thereof, and furnishing the Paying Agent and Issuer with indemnity satisfactory to them. SECTION 18. Cancellation of Bonds. All Bonds paid or redeemed, either at or before maturity, shall be cancelled upon the payment or redemption of such Bonds, and delivered to the Issuer. Upon written direction from the Issuer, Bonds may be destroyed by the Paying Agent, as allowed by law. A certificate of destruction shall be provided to the Issuer. The Issuer agrees to reimburse the Paying Agent I s costs incurred with the microfilming or other required permanent recording, if any, related thereto. SECTION 19. Creation of Funds. The Treasurer of the Issuer is hereby authorized and directed to establish and maintain the following funds for purposes of making payment for the costs and expenses for the works of improve- ment and payment of principal and interest on the Bonds. The funds to be created are des i gnated, and the terms and cond it ions of the funds are, as follows: IMPROVEMENT FUND: The proceeds from the sale of the Bonds, after deposit of required. amounts in the Redemption Fund, shall be placed in the Fund hereby created, pursuant to Sections 10602 and 10424 of the California Streets and Highways Code, as amended, which shall be called the "Improvement Fund", and the monies in said Fund shall be used only for the purposes authorized in said assessment proceedings, and specifi- cally to pay for the costs and expenses of the acquisition of the autho- rized public capital improvements, together with all incidental expenses. Any surplus in the Improvement Fund after completion of the improvements shall remain in the Improvement Fund for a period of not less than two (2) years from the receipt of Bond proceeds as provided in Section 10427.1 of the California Streets and Highways Code, and thereafter shall be utilized or distributed as determined by the Issuer and authorized by the Act. REDEMPTION FUND: The Treasurer is hereby authorized and directed to keep a Redemption Fund designated by the name of the proceedings, into which he shall place accrued interest, if any, on the Bonds from the date of the Bonds to the date of del ivery to the initial purchaser thereof, all sums received for the collection of the assessments and the interest thereon, together with all penalties, if applicable. Pri nc i pa 1 of and interest on said Bonds shall be pa i d to the regi stered owner out of the Redemption Fund so created (pursuant to Section 8671 6 9A-// of the California Streets and Highways Code). Accrued interest paid by the purchaser of the Bonds, if any, sha 11 be depos i ted in the Redemp- tion Fund. In all respects not recited herein, the collection of assessment installments and the Redemption Fund shall be governed by the prov is ions of the Act. Under no circumstances shall the Bonds or interest thereon be paid out of any other fund except as provided by law. , SECTION 20. Issuer Liability. It is hereby further determined and declared that the Issuer hereby obl igates itself to advance each March 2 and September 2 any available funds to cure any deficiency or delinquency which may occur in the Redemption Fund by failure of property owners to pay annual assessment i nsta 11ments. The Issuer's ob 1 i gati on to advance funds to cure a deficiency in the Redemption Fund shall be 1 imited in aggregate amount to (1) ten percent (10%) of the principal amount of the Bonds and any Parity Bonds (as defined herein) outstanding at any time, plus (2) an additional advance if and to the extent that any such advance is requi red to cure any deficiency in the Redemption Fund resulting from the failure by the owners of the properties represented by Assessment Numbers 102 through 149, inclusive, as shown upon the Assessment Diagram of the Assessment District filed in the Office of the County Recorder of San Di ego County on June 25, 1992, in Book 26, Page 39, Document No. 92-0397322, Maps of Assessment Districts to pay the annual assessment installments on such properties, or any of them, when due and payable (the "Advance Obligation Requirement"). The Advance Ob 1 i gati on Requi rement stated under (2) above shall terminate as to any parce 1 (i) for wh i ch the annual assessment i nta 11 ments have been paid when due and payable for five (5) consecutive years, or (ii) upon the issuance by the Issuer of a certificate of occupancy for a parcel with no dennquent taxes or assessments, or (iii) as to any parcel sold to the Issuer or the Chula Vista Redevelopment Agency. Amounts so advanced wi 11 be repaid to the Issuer, together with interest thereon from the date of such advance at the rate equal to the rate of interest payable on the delinquent assessment installments for which such advances were made, from proceeds derived from the redemp- tion or foreclosure of property with respect to which an assessment i nsta llment is unpai d and from payments of the deli nquent assessments, and to the extent of such repayment to the Issuer, the Issuer's obliga- tion to advance funds shall be reinstated. The Issuer declares that it does not obligate itself to advance funds to cure any deficiency in the Redemption Fund other than as covenanted in this Section 20. SECTION 21. Covenant for Superior Court Foreclosure. In the event of delinquency in the payment of any installments of unpaid assessments, the Issuer does covenant for the benefi t of the owners of the Bonds that it wi 11 review assessment records of the County not later than February 15 and June 15 of each year to determine the amount of the assessments collected in the current fiscal year. The Issuer shall commence fore- closure action(s) on all parcels for which the payment of assessment installments are del inquent in the Superior Court of the State of California (Part 14, Division 10, "Improvement Bond Act of 1915", Streets and Highways Code) no later than April 1 (with respect to the February 15 determi nat i on) or August 1 (wi th respect to the June 15 determination) and diligently prosecute and pursue such foreclosure 7 9/1 ~ 1;< proceedings to judgment and sale. The Finance Director shall notify the Mayor and City Council and the City Attorney of annual delinquency requ i ri ng the commencement of a forec 1 osu re act ion pu rsuant hereto and the City Attorney shall commence, or cause to be commenced, such proceedings. SECTION 22. Covenant to Ma,intain Tax-Exem t Status. The Issuer covenants that it wi not make any use of the proceeds of the Bonds issued hereunder which would cause the Bonds to become "arbitrage bonds" subject to Federal income taxation pursuant to the provisions of Section 148(a) of the Code, or to become "Federally-guaranteed ob 1 i gat ions" pursuant to the provisions of Section 149(b) of the Code, or to become "private activity bonds" pursuant to the provisions of Section 141(a) of the Code. To that end, the Issuer will comply with all applicable require- ments of the Code and all regulations of the United States Department of Treasury issued thereunder to the extent such requirements are, at the time, applicable and in effect. Additionally, the Issuer agrees to imp 1 ement and follow each and every recommendat ion prov i ded by bond counsel and deemed to be necessary to be undertaken by the Issuer to ensure compliance with all applicable provisions of the Code in order to preserve the exemption of interest on the Bonds from Federal income taxation. SECTION 23. Covenants Regarding Arbitrage. The Issuer shall not take nor permit or suffer to be taken any action with respect to the gross proceeds of the Bonds as such term is defined under the Code which, if such action had been reasonab 1 y expected to have been taken, or had been de 1 i berate ly and intentionally taken, on the date of issuance of the Bonds, would have caused the Bonds to be "arbitrage bonds" within the meaning of Section 148 of the Code and the regulations promulgated thereunder. The Issuer shall calcul ate Excess Earnings in accordance with the Rebate Instructions attached hereto as Exhibit "C" and incorporated herei n by th is reference, and sha 11 pay Excess Earni ngs to the Un i ted States of America in accordance with the Rebate Instructions. Notwithstanding the foregoing, the Rebate Instructions may be modified, in who 1 e or in part, without the consent of the owners of the Bonds, upon receipt by the Issuer of an opinion of Bond Counsel to the effect that such modification shall not adversely affect the exclusion from gross income of interest on the Bonds then Outstanding. SECTION 24. Order to Print and Authenticate Bonds. The Treasurer is hereby instructed to cause Bonds, as set forth above, to be typed or printed, and to proceed to cause said Bonds to be authenticated and delivered to an authori zed representative of the purchaser, upon payment of the purchase pri ce as set forth in the accepted proposal for the sale of Bonds. SECTION 25. Arbitrage Certificate. On the basis of the facts, estimates and circum- stances now in existence and in existence on the date of issue of the Bonds, as determined by the Treasurer, said Treasurer is hereby autho- rized to certify that it is not expected that the proceeds of the issue will be used in a manner that would cause such obligations to be arbi- trage Bonds. Such certification shall be del ivered to the purchaser together with the Bonds. 8 7/1"1:1> SECTION 26. Amendments or Supplements. The Issuer may, by adoption of a resolution from time to time, and at any time, without notice to or consent of any of the Bondowners, approve an amendment or supplemental indenture hereto for any of the following purposes: (a) to cure any ambiguity, to correct or supplement any provision here- in which .may be inconsistent with any other provision herein, or to make any other provi s i on with respect to matters or questions arising under this Indenture or in any supplemental indenture, provided that such action shall not materially adversely effect the interests of the owners of the Bonds or any Parity Bonds; (b) to add to the covenants and agreements of and the limitations and the restrictions upon the Issuer contained in this Indenture, ot her covenants, agreements, 1 i mi tat ions and restri ct ions to be observed by the Issuer which are not contrary to or inconsistent with this Indenture as theretofore in effect; (c) to modify, alter, amend or supplement this Indenture in any other respect wh i ch is not materi ally adverse to the i nteres ts of the owners of the Bonds or any Parity Bonds; (d) to maintain the tax exempt status of the interest payable on the Bonds and any Parity Bonds; or (e) to issue Parity Bonds as provided in Section 27 hereof. Excl usive of the supplemental indentures hereto provided for in the first paragraph of this Section 26, the owners of not less than 60% in aggregate principal'amount of the Bonds and Parity Bonds then Outstand- ing shall have the right to consent to and approve the adoption by the Issuer of such supplemental indentures as shall be deemed necessary or desirable by the Issuer for the purpose of waiving, modifying, alter- ing, amending, adding to or rescinding, in any particular, any of the terms or provisions contained in this Indenture; provided, however, that nothing herein shall permit, or be construed as permitting, (a) an extension of the maturity date of the principal of, or the payment date of interest on, any Bond or Parity Bond, (b) a reduction in the principal amount of, or redemption premium on, any Bond or Parity Bonds or the rate of interest thereon, (c) a preference or pri ori ty of any Bond or Parity Bond over any other Bond or Parity Bond, or (d) a reduction in the aggregate principal amount of the Bonds and Parity Bonds the owners of which are required to consent to such resolution or order, without the consent of the owners of all Bonds and Parity Bonds then outstanding. SECTION 27. Parity Bonds. The Issuer may issue from time to time additional bonds upon the unpaid assessments in an amount not to exceed the total amount of unpaid assessments then existing less the principal amount of Bonds and any parity bonds previously issued for, and secured by, the unpaid assessments. Additional bonds issued pursuant to this Section 27 may be issued on a parity with the Bonds ("Parity Bonds") only if the following conditions have been met: 9 fj/l-It( A. The Issuer shall be in camp 1 i ance with a 11 covenants set forth in the Indenture and any supplemental indenture and a certificate of the Issuer to that effect shall have been filed with the Treasurer; provided, however, that Parity Bonds may be issued notwithstanding that the Issuer is not in compliance with all such covenants so long as immediately following the issuance of such Parity Bonds the Issuer wil) be in compliance with all such covenants. B. The issuance of such Parity Bonds shall have been duly authorized pu rs u ant to the Act and all app 1 i cab 1 e 1 aws, and terms and the issuance of such Pari ty Bonds shall have been provi ded for by a supplemental indenture duly adopted by the Issuer. C. The Treasurer shall have received the following: (1) An opinion of bond counsel to the effect that, assuming compli- ance by the Issuer with certain tax covenants, the issuance of the Parity Bonds will not adversely affect the exclusion from gross income for federal income tax purposes of interest on any Bonds or Parity Bonds theretofore issued or the exemption from State of California personal income taxation of interest on any outstanding Bonds or Parity Bonds theretofore issued. (2) A cert ifi cate from one or more Independent Fi nanc i a 1 Consu 1- tants (defined hereinbelow) which when take together certify that (a) the fair market value of the land and then existing improvements in the Assessment District, as determined by the assessed value of such land or by an appraisal performed on a basis consistent with the appraisal dated July 6, 1992, prep a red by the Ki bbey /Sami ppa 1 a Group and prov i ded to the Issuer in connection with the issuance of the Bonds (the "Appraisal "), is at least three times the sum of (i) the aggregate principal amount of all Bonds and Parity Bonds then outstanding, plus (ii) the aggregate principal amount of the additional Parity Bonds proposed to be issued, plus (iii) the aggregate principal amount of all assessment district Bonds then outstanding and payable from assessments to be levied on parcels of land within the Assessment District, plus (iv) a portion of the aggregate principal amount of other community facilities district or general obligation bonds then outstand- ing and payable at least partially from taxes to be levied on parcels of land within the Assessment District (the "Other Bonds") equal to the aggregate pri nci pa 1 amount of the Other Bonds multiplied by a fraction, the numerator of which is the amount of taxes levied for the Other Bonds on parcels within the Assessment District, and the denominator of which is the total amount of taxes levied for the Other Bonds on all parcels of land, based upon information from the most recent fiscal year, and (b) the fair market value of each group of parcels owned by a single owner which is responsible for more than five percent (5%) of the unpaid assessments, as deter- mined by the assessed value of such parcels or by an appraisal performed on a basis consistent with the Appraisal provided to the Issuer in connection with the issuance of the Bonds, is at 10 9/1--/>" least three times the debt allocable to such parcels calcu- 1 ated in the manner set forth in (a) above. For purposes of making the certifications required by this paragraph C., the Independent Financial Consultants may rely on reports or certificates of such other persons as may be acceptable to the Issuer, Bond Counsel and the initial purchasers of the proposed Parity Bonds. , The term "Independent Financial Consultant" shall mean a financial consultant or firm of such consultants generally recognized as well qual ified in the field of land secured public financing, appointed and paid by the Issuer and who, or each of whom: (i) is in fact independent and not under the domi nat i on of the Issuer; (i i) does not have any substant i a 1 interest, direct or indirect, with the Issuer; and (iii) is not connected with the Issuer as a member, officer or employee of the Issuer, but who may be regularly retained to make annual or other reports for the Issuer. (3) In the case of the issuance of Parity Bonds secured by unpaid assessments on the properties represented by Assessment Numbers 25 through 41, inclusive, as shown upon the Assessment Diagram of the Assessment District filed in the Office of the County Recorder of San Diego County on June 25, 1992, in Book 26, Page 39, Document No. 92-0397322, Maps of Assessment Districts, a certificate of an environmental engineering stating that such parcels are no longer contaminated with hazardous or toxic waste to a degree which would prohibit the development of such parcels and a certificate of the City that it is not aware of any environmental condition on such property that would prevent the issuance of a building permit for, such parcel. IN WITNESS WHEREOF, the Issuer has executed this Bond Indenture effective the date first written hereinabove. FINANCE DIRECTOR CITY OF CHULA VISTA STATE OF CALIFORNIA 11 9/1"/1, YEAR 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2017 ~ CITY OF CHULA VISTA ASSESSMENT DISTRICT NO. 90-2 (OTAY VALLEY ROAD) .' EXHIBIT "A" MATURITY SCHEDULE PRINCIPAL MATURING INTEREST RATE $ 12 9/1#/7 CITY OF CHULA VISTA ASSESSMENT DISTRICT NO. 90-2 (OTAY VALLEY ROAD) EXHIBIT "B" , EXCLUDED ASSESSMENTS Assessment Numbers 25 through 41. ~ 13 9/1-/~ CITY OF CHULA VISTA ASSESSMENT DISTRICT NO. 90-2 (OTAY VALLEY ROAD) EXHIBIT "(" ARBITRAGE REBATE INSTRUCTIONS This document sets forth instructions regarding the investment and disposition of mon i es depos i ted in vari ous funds and accounts estab 1 i shed in connect i on wi th the issuance by the City of Chula Vista ("Issuer") of its Assessment District No. 90-2 (Otay Valley Road) Limited Obligation Improvement Bonds, Series B in aggregate principal amount of $2,519,163.00 ("Bonds"). The purpose of these instructions is to provide the Issuer with information necessary to ensure that the investment of the monies in the funds and accounts described herein will comply with the arbitrage requirements imposed by the Internal Revenue Code of 1986 and the regulations issued thereunder. DEFINITIONS For purposes of these instructions, the following terms shall have the meanings set forth below: Bond Year. The term "Bond Year" means each 12 month period (or shorter period from the date of issuance) that ends at the close of business on a date selected by the Issuer. Code. The term "Code" means the Internal Revenue Code of 1986, as amended. Delivery Date. The term "Delivery Date" means AU9ust.,,~, 1994. .}. Excess Investment Earnings. The term "Excess Investment Earnings" means an amount equal to the sum of: (1) The excess of (a) The aggregate amount earned from the Del ivery Date of the Bonds on all Nonpurpose Investments in which Gross Proceeds of the Bonds are invested, over (b) The amount that would have been earned if the Yield on such Nonpurpose Investments had been equal to the Yield on the Bonds, plus (2) Any income attributable to the excess described in paragraph (1). In determining Excess Investment Earnings, (i) any gain or loss on the disposition of a Nonpurpose Investment shall be taken into account and (i i) any amount earned on a bona fide debt service fund shall not be taken into account. Capital ized terms herein that are not defined herein shall have the meaning set forth in the Bond Indenture. 14 '/1"/&/ Gross Proceeds. The term "Gross Proceeds" means the fo 11 owi ng: (1) Original proceeds, i.e., the amount received by the Issuer as a result of the sale of the Bonds and any amounts actually or constructively received from investing the amount received from the sale of the Bonds; (2) Amounts, other than or,iginal proceeds, in any fund established as a reasonably required reserve or replacement fund; (3) Amounts, other than as specified above, that are reasonably expected to be or are used to pay debt service with respect to the Bonds; and, (4) Amounts received as a result of investing amounts described above. Investment Property. The term "Investment Property" means any security, ob 1 i gat i on, annuity contract or investment-type property in which Gross Proceeds are invested, excluding, however, the following: (a) United States Treasury - State and Local Government Series, Demand Deposit secu rit i es; and (b) tax-exempt obligations. For purposes of these Instructions, the term "tax-exempt ob 1 i gati ons" shall i ncl ude only obligations the interest on which is (i) excludable from gross income for federal income tax purposes and (ii) not treated as an item of tax preference under Section 57(a) (5) of the Code. The term "tax-exempt obl igation" shall, however, also include stock in a "qualified regulated investment company," which is a corporation that (i) is a regulated investment company within the meaning of Section 851(a) of the Code and meets the requ i rements of Sect i on 852 (a) of the Code for the taxab 1 e year; (ii) has only one class of stock authorized and outstanding; (iii) invests all of its assets in tax-exempt obligations (as defined above) to the extent practic- able; and (iv) has at least 98% of its gross income derived from interest on, or gain from the sale or other disposition of, tax-exempt obligations, or the weighted average value of its assets is represented by investments in tax-exempt obligations. Nonpurpose Investment. The term "Nonpurpose Investment" means any Investment Property which is acquired with the Gross Proceeds of the Bonds and is not acquired in order to carry out the governmental purpose of the Bonds. Purchase Price. The term "Purchase Price", for the purpose of computation of the Yield of the Bonds, has the same meaning as the term "Issue Price" in Sections 1273(b) and 1274 of the Code, and, in general, means the initial offering price to the public (not including bond houses and brokers, or similar persons or organiza- tions acting in the capacity of underwriters or wholesalers) at which price a substantial amount of each maturity (at least 10 percent) of the Bonds was sold. The term "Purchase Pri ce", for the purpose of computat i on of Yi e 1 d of Nonpurpose Investments means the fair market value of the Nonpurpose Investment on the date of use of Gross Proceeds of the Bonds for acquisition thereof, or if later, on the date that Investment Property constituting a Nonpurpose Investment becomes a Nonpurpose Investment of the Bonds. Regulations. The term "Regulations" means temporary and permanent Regulations promulgated under Section 148 of the Code. 15 9/1-.20 Yield. The term "Yield" means that discount rate which, when used in computing the present value of all payments of principal and interest (or other payments in the case of Nonpurpose Investments which require payments in a form not characterized as p r in c i pal and i nteres t) on a Nonpurpose I nvestment or on the Bonds produces an amount equal to the Purchase Price of such Nonpurpose Investment or the Bonds, all computed as prescribed in applicable Regulations. The yield on Nonpurpose Investments must be computed by the use of the same frequency interval of compounding interest as is used with respect to the Bonds. REBATE REQUIREMENT Calculation of Excess Investment Earnings. No later than the last day of the flfth Bond Year, each succeeding fifth Bond Year and on the date the last Bond is discharged, the Issuer shall calculate or cause to be calculated the Excess Investment Earnings, if any. This calculation shall be made or caused to be made by the Issuer in accordance with the following rules: (1 ) For purposes of calculating the Yield on any investment as required under these Ins t ruct ions, the purchase pri ce of the i nves tment wi 11 be the fa i r ma rket pri ce of the i nves tment on an es tab 1 i shed market. Th is means that the 1 ssuer will not pay a premium and will not accept a lower interest rate than is usually paid to adjust the Yield on an investment. The market price of certificates of deposit issued by a commercial bank may be regarded as being at a fair market price if they are determined by reference to the bona fide bid price quoted by a dealer who maintains an active secondary market in such certificates, or, if no secondary market exists, by satisfying subparagraph (3) below relating to investment agreements. Investments pursuant to an investment agreement may be regarded as bei ng made at a fair market price if (i) at least three (3) bids are received on the investment contract from persons without an interest in the Bonds; (ii) the winning bidder provides a certificate that, based on its reasonable expecta- tions on the date the investment agreement is entered into, investments will not be purchased or sole at a price other than their fair market value; (iii) the yield on the investment agreement is at least equal to the yield offered under the highest bid received from a non-interested party; and (iv) the yield on the investment agreement is at least equal to the yield offered on similar contracts. (2) (3) (4) For other investments traded on an established market, the fair market price shall be the mean between the bid and offered prices for such obl igations on the date of purchase or, if subsequent thereto, the date the investment becomes a Nonpurpose Investment. Where amounts must be restricted to a certain Yield and investments cannot be purchased on an establ ished market or a bona fide fair market price cannot be established at a Yield that does not exceed the maximum permissible Yield, the Issuer may acquire or hold tax-exempt securities, currency or United States Treasury Certificates of Indebtedness, Notes and Certificates - State and Local Government Series ("SLGs") that Yield no more than the maximum permissible Yield. SLGs are available at the Federal Reserve Bank. (5) 16 '1/1",)./ Payment to United States. The Issuer shall payor cause to be paid an amount equal to Excess Investment Earnings (after application of any available credits) to the United States of America in installments with the first payment to be made not later than thirty (30) days after the end of the fifth Bond Year, and with subsequent payments to be made not later than five (5) years after the preceding payment was due. The Issuer shall assure that each such installment is in an amount equal to at least ninety percent (90%), of the Excess Investment Earnings with respect to the Bonds as of the close of the computat i on peri od. Not 1 ater than sixty (60) days after the retirement of the Bonds, the Issuer shall payor cause to be paid to the United States one hundred percent (100%) of the theretofore unpaid Excess Investment Earn i ngs of the Bonds. The Issuer shall remit payments to the Un ited States at the address prescribed by the Regulations as the same may be from time to time in effect with such reports and statements as may be prescribed by such Regulations. The Issuer shall assure that such payments are made to the United States on a timely basis from any funds lawfully available therefor. Further Obligation of Issuer. The Issuer shall assure that Excess Investment Earnings are not paid or disbursed except as provided in these instructions. To that end, the Issuer shall assure that investment transactions are on an arms-length basis. In the event that Nonpurpose Investments consist of certificates of deposit or investment contracts, investment in such NonPurpose Investments shall be made in accordance with the procedures described in applicable Regulations as from time time in effect. REBATE EXCEPTIONS. Absent an OplnlOn of nationally recognized bond counsel, the exception of Section 148(f) (4) (C) of the Code wi 11 be considered satisfied only if either the Six-Month Exception (set forth in subparagraph (1) below) or the Two-Year Exception (set forth in subparagraph (2) below) is satisfied. If either of such requirements is satisfied, the. Rebate Requirement will be treated as having been satisfied. (1) Six-Month Exception. The Six-Month Exception will be treated as having been satisfied if all Gross Proceeds of the Bonds are expended for the governmental purposes of the Bonds no later than the day that is six (6) months after the date of de 1 i very of the Bonds, and if a 11 amounts, if any, determi ned to be required to be paid to the United States Treasury in compliance with the Rebate Regulations are paid to the United States Treasury. Gross Proceeds which are held in the Reserve Fund and Gross Proceeds which arise after such six (6) months and which were not reasonably anticipated as of the date of delivery of the Bonds shall not be considered Gross Proceeds for purposes of this subpara- graph (1). (2) Two-Year Exception. The Two-Year Exception will be treated as having been satisfied in the requirements of paragraphs (i) and (ii) below are satisfied. (i) At least 75 percent of the available construction proceeds of the Bonds are used for construction expenditures (including reconstruction and rehabilitation) with respect to property that is owned by a governmental unit or an organization described in Section 501(c)(3) of the Code and exempt from federal income tax under Section 501 (a) of the Code. 17 9/1~.2.J.. (ii) At least 10 percent of the available construction proceeds of the Bonds have been expended for the governmental purposes of the Bonds within the six (6) month period beginning on the date of the delivery of the Bonds, at least 45 percent of the available construction proceeds have been expended for the governmental purposes of the Bonds within the one (1) year period beginning on the date of the delivery of the Bonds, at least 75 percent of the available construction proceeds of the Bonds have been expended for the governmental pu rposes of the Bonds with i n the 18-month period beginning on the date of the delivery of the Bonds, and all of the available construction proceeds of the Bonds have been expended for the governmental purposes of the Bonds within the two (2) year period beginn- ing on the date of the delivery of the Bonds. For purposes of this subparagraph, the term "available construction proceeds" means the amount equal to the issue price (within the meaning of Sections 1273 and 1274 of the Code) of the Bonds, increased by earnings on the issue price, earn- ings on amounts, if any, on deposit in the Reserve Fund not funded from the proceeds of the sale of the Bonds, and earnings on all of the fore- goi ng earn i ngs, and reduced by the amount of the issue pri ce on deposit in the Reserve Fund and the issuance costs fi nanced by the Bonds. The term "available construction proceeds" shall not include amounts earned on the Reserve Fund after the earl ier of the close of the two (2) year period described above in this subparagraph (ii) or the date the construc- tion is substantially completed. The term "available construction proceeds" shall not include payments on any obligation acquired to carry out the governmental purposes of the Bonds and shall not include earnings on such payments. For purposes of subparagraph (ii) of this subparagraph (2) all of the available construction proceeds shall be treated as expended for the governmental purposes of the Bonds withifi two (2) years from the date of the delivery of the Bonds if all of such proceeds are expended for the governmental purposes of the Bonds within three (3) years from the date of the del ivery of the Bonds and such amounts would have been expended for such purposes within two (2) years from the date of the delivery of the Bonds but for a reasonable retainage (~, to ensure comp 1 i ance wi th the terms of a construction contract) that does not exceed five (5) percent of the available construction proceeds of the Bonds. (3) Multi-Purpose Issue Treatment. Solely for purposes of determining whether the Bonds are described in subparagraph (1) of subparagraph (2) above, the Issuer may treat the Bonds as two separate issues. Only one of such two separate issues may be treated as satisfying the requirements of subparagraph (2) above. EXPECTATIONS AND ELECTIONS. The issuer expects that the proceeds of the sale of the Bonds deposited in the Improvement Fund wi 11 be fully expended for construction expenditures within the meaning of Section 148(f) (4) (C) (iv) (I) of the Code. The Issuer does, therefore, expect to satisfy the spending requirements of Section 148(f) (4) (C) (ii) of the Code. Accordingly, the Issuer does elect to apply the two-year expenditure exception of Section 148(f) (4) (C) (ii) of the Code to the Bonds. The Issuer does not elect to have the penalty provision of Section 148(f)(4)(C)(vii) apply. 18 9/1-~3 MAINTENANCE OF RECORDS. With respect to all Nonpurpose Investments acquired in a fund or account established and held by the Issuer, the Issuer shall record or cause to be recorded the following information: (i) purchase date, (ii) purchase price, (iii) information establishing that the purchase price is the fair market value as of such date (~, the pub 1 i shed quoted bi d by a dealer in such an investment on the date of purchase), (iv) any accrued interest paid, (v) face amount, (vi) coupon rate, (vii) periodicity of interest payments, (viii) disposition price, (ix) any accrued interest received, and (x) disposition date. To the extent any investment becomes a Nonpurpose Investment by becoming Gross Proceeds after it was originally purchased, it shall be treated as if it were acquired at its fair market value at the time it becomes a Nonpurpose Investment. The Issuer shall keep and retain for a period of six (6) years following the retirement of the Bonds, records of all determinations made pursuant to these Instructions. AMENDMENT. In order to comply with the covenants in the Bond Indenture regarding compliance with the requirements of the Code and the continued exclusion from gross income for purposes of federal income taxation of interest paid on the Bonds, the procedures described in these Instructions may be modified as necessary, without the con s en t of Bond owners, and based on the op i n i on of nat i ona 11 y recogn i zed bond counsel acceptable to the Issuer, to comply with regulations, rulings, legislation or judicial decisions as may be applicable to the Bonds. Neither the Issuer nor any of its members, agents, officers or employees shall be liable for any action taken or for its failure to take any action in connection with these Instructions. The Issuer may rely conclusively on the advice of its Bond Counsel with respect to the requirements of these Instructions. *** ~ 19 9/1"'~i RESOLUTION NO. 1759.5" RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AUTHORIZING THE APPROPRIATION OF FUNDS FROM FUND 637, IMPROVEMENT FUND FOR ASSESSMENT DISTRICT NO. 90-2 (OTAY VALLEY ROAD), TO CIP PROJECT ST-123 CONTINGENT UPON SERIES B BOND SALE; AND, RENEWING THE LIMITED CITY PLEDGE TO PROVIDE SECURITY ENHANCEMENT FOR PARCELS IN OTAY RIO BUSINESS PARK (ASSESSMENT NOS. 102-149) NOW, THEREFORE, BE IT RESOLVED the City Council of the city of Chula vista does hereby authorize the appropriation of $2,119,994 from Fund 637 to CIP Project ST-123, contingent upon Series B bond sale; and, renewing the Limited city Pledge to provide security enhancement for parcels in Otay Rio Business Park (Assessment Nos. 102-149). BE IT FURTHER RESOLVED that the city Council does hereby authorize the Department of Finance to set up the necessary expenditure accounts in Fund 637, Improvement Fund and revenue account for the SDG&E payment. John P. Lippitt, Director of Public Works Presented by C: \ rs\ seriesb. ovr 9tJ~/ RESOLUTION NO. /759~ RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AUTHORIZING THE CITY ATTORNEY, OR HIS DESIGNEE, TO INITIATE FORECLOSURE PROCEEDINGS ON DELINQUENT PARCELS IN ASSESSMENT DISTRICT NO. 90-2 (OTAY VALLEY ROAD) WHEREAS, approximately 8 property owners within Assessment District No. 90-2 are delinquent on their payment of taxes and special assessments for Fiscal Year 1993/94 installments; and WHEREAS, the total combined delinquent amount is $26,354; and WHEREAS, the City has sent letters to the owners that were delinquent in paying the taxes; and WHEREAS, the city must initiate foreclosure proceedings against the delinquent parcels if payment is not made prior to the Series B Bond sale, which includes removing the parcels from the tax rolls. NOW, THEREFORE, BE IT RESOLVED the City Council of the city of Chula vista does hereby authorize the city Attorney, or his designee, to initiate foreclosure proceedings 0 delinqu t parcels in Assessment District No. 90-2 (Otay Valley ad). Presented by John P. Lippitt, Director of Public Works c: \ 1"8\ fore lose . 902 fC-j ~ COUNCIL AGENDA STATEMENT ITEM TITLE: Item I tfJ Meeting Date 8/2/94 Resolution J ? 5'1 7 Authorizing issuance of bonds, approving forms of bond indenture, bond purchase contract and preliminary official statement for A"'..m"" Do"", No. 92.()2(^:,/"Mk) Director of Public wor~'~ City ManagerJ:\ ~.~ (4/5ths Vote: Yes_NolO SUBMITTED BY: REVIEWED BY: On March 23, 1993, Council adopted the resolution of intention to order the acquisition and tinancing of certain infrastructure serving the Autopark development pursuant to the Municipal Improvement Act of 1913. The two public hearings required by law were held on June 8 and 22, 1993. Later, on August 24, 1993, Council approved the Acquisition/Financing Agreement and on September 28, 1993, contirmed the assessment and approved the Engineer's Report for Assessment District 92-2 (Autopark). On March 23, 1993, by Resolution 17043, the City Council also approved an underwriting agreement with Stone & Youngberg. This agreement states that the parties shall enter into a Purchase Contract regarding the nelwtiated bond sale. A negotiated sale was selected in consideration to special risk factors resulting from the presence of contaminated soils and/or water on parcels located immediately adjacent to the District, which may restrict the suitability of the securities to a limited set of investors. Tonight's action will continue the legislative proceedings of the Autopark Assessment District. RECOMMENDATION: That Council adopt the resolution authorizing issuance of bonds and approving bond indenture, bond purchase contract and preliminary official statement for Assessment District 92-02. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: The public improvements to be tinanced through the Assessment District No. 92-2 include asphalt concrete pavement, drainage facilities, curb, gutter, sidewalk, landscaping, street lighting, sewer mains, sewer pump station, storm drain system, water system, and miscellaneous appurtenant structures (see Exhibits A & B). The acquisition ofright-of-way for Otay Valley Road widening and Brandywine Avenue and Autopark Drive construction within the proposed district is also included. The total contirmed assessment approved by Council on September 28, 1993 to the Autopark parcels is $1,985,683. This includes construction, engineering design, inspection and administration costs, and other incidental costs. The Autopark parcels already have assessments placed by Assessment District 90-2 (AD 90-2, Otay Valley Road) which is tinancing the construction of Otay Valley Road that provides the primary access to the site. The incidental expenses include a line item ($365,939) for the prepayment of the AD 90-2 assessments, which will eliminate all senior liens on the Autopark parcels. The contirmed assessments were based on a land value of $9.00 per square foot, in accordance with the appraisal performed by the Kibbey and Samppala Group in April 15, 1993. An appraisal update, prepared on May 27, 1994 by the same company, estimated a current land value of $8.75 per square foot. Pursuant I () ...; Page 2, Item / tP Meeting Date 8/2/94 to Section 18 of the Acquisition/Financing Agreement, the amount of the bond issue shall not exceed one third (113) of the value of the property. The following table presents the bond amount calculations and the proposed debt to be placed on the Autopark parcels. Land Value Land Value to to Lien Ratio Lien Ratio (Using (Using Net Area Land Value(l) Confirmed Confirmed Proposed Proposed Parcel (Acres) ($8.75/s.f.) Assessments Assessments) Bonded Debt Debt) I 2.543 $ 969,000 $332,319 2.92:1 $323,000 3:1 2 8.299 3,163,000 1,084,514 2:92:1 1,084,514 2.92:1 3 4.353 1,659,000 568,850 2:92:1 568,850 2.92:1 Total 15.195 $5,791,000 $1,985,683 $1,976,364 (Amount of Bond issue) 10nly includes value of land and public improvements (streets, sewer, etc.). It does not include private buildings value. The previous table shows a "Land" value to lien ratio of 2.92:1 for parcels 2 and 3. The dealers' showrooms and other facilities are currently under construction on Parcel 2 (Fuller Ford, Honda and KIA) with a building permit value of $2,188,091 and Parcel 3 (South Bay Chevrolet) with a building permit value of $2,463,648. The building improvements will increase the value of the property which would raise the "Total" value to lien ratio above the 3:1 required by City policy. The bonded debt for Parcell (no current construction) also complies with the 3: 1 ratio. The total proposed bonded debt ($1,976,364) is slightly smaller than the total contirmed assessment ($1,985,683) which is the level of public financing expected by the developer. Staff feels that under the current circumstances the proposed debt allocation is acceptable, and recommends that Council approve a bond sale in the amount of $1 ,976,364. The bond counsel (Brown, Diven & Hentschke) has determined that this proposal satisfies the Acquisition/Financing Agreement and concurs with staff recommendation. Exhibit C presents the revised cost estimate. Resolution The RESOLUTION AUTHORIZING THE ISSUANCE OF BONDS, APPROVING THE BOND INDENTURE, OFFICIAL STATEMENT AND BOND PURCHASE CONTRACT authorizes the issuance of 1915 Act bonds in the amount of $1 ,976,364, approves the bond indenture, which sets forth the conditions and covenants of the bond issue, and the Official Statement, which is the disclosure document about the assessment district and bonds, in substantially tinal form, and approves the sale of the bonds to the firm of Stone & Youngberg. The City and Stone & Youngberg will price the bonds, i.e. set the interest rate and discount on August 1, and the bond purchase contract to be approved by the adoption of the resolution will incorporate this final pricing of the bonds. The bond indenture, bond purchase contract and Official Statement will be completed and executed on behalf of the City by the Director of Finance. Future Action The bond sale is proposed to take effect by mid-August 1994. /~',)... Page 3, Item / ~ Meeting Date 8/2/94 FISCAL IMPACT: None. The developer has already signed a Reimbursement Agreement with the City, in which he agrees to advance all City expenses and consultant costs related to the proposed assessment district formation and will be reimbursed from bond proceeds. A copy of the Bond Purchase Contract, Bond Indenture, and Preliminary Official Statement are on file in the Clerk's Office. Attachments: Assessment District Diagram Description of Improvements Cost Estimate LdT/AY -090 WPC E\home\engineer\agenda\bonds92.2 II!) -:3 //0 A RESOLUTION NO. )7597 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AUTHORIZING ISSUANCE OF BONDS, APPROVING FORMS OF BOND INDENTURE, BOND PURCHASE CONTRACT AND PRELIMINARY OFFICIAL STATEMENT FOR ASSESSMENT DISTRICT NO. 92-2 (AUTO PARK) WHEREAS, the CiTY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA, is conducting proceedings for the installation of certain public improvements in a special assessment district pursuant to the terms and provisions of the "Municipal Improvement Act of 1913", being Division 12 of the Streets and Highways Code of the State of California, said special assessment district known and designated as ASSESSMENT DISTRICT NO. 92-2 (AUTO PARK) (hereinafter referred to as the "Assessment District"); and, WHEREAS, this legislative body has previously declared in its Resolution of Intention to issue bonds to finance said improvements, said bonds to issue pursuant to the terms and provisions of the "Improvement Bond Act of 1915", being Division 10 of said Code; and, WHEREAS, at this time this legislative body is desirous to set forth all formal terms and conditions relating to the authorization, issuance and administration of said bonds; and, WHEREAS, there has been presented, considered and ready for approval a bond indenture setting forth formal terms and conditions relating to the issuance and sale of bonds; and, WHEREAS, there has also been presented for consideration by this legislative body a form of Bond Purchase Contract authorizing the sale of bonds to Stone & Youngberg, the designated underwriter; and, WHEREAS, there has also been presented for consideration by this legislative body a form of Preliminary Official Statement containing information including but not limited to the Assessment District and the type of bonds, including terms and conditions thereof; and, WHEREAS, thi s 1 egi slat i ve body hereby further determi nes that the unpaid assessments shall be specifically in the amount as shown and set forth in the Certificate of Paid and Unpaid Assessments as certified by and on file with the Treasurer, and for particulars as to the amount of said unpaid assessments, said Certificate and list shall control and govern. NOW, THEREFORE, BE IT RESOLVED AS FOLLOWS: REC IT ALS SECTION 1. That the above recitals are true and correct. 1~'5 Resolution No. Page Two BOND AUTHORIZATION SECTION 2... That th i s 1 egi slat i ve body does authori ze the issuance of 1 imited oblig::.tion improvement bonds in an aggregate principal amount not to exceed the aggregate amount of the unpa i d assessments pursuant to the terms and prov i s ions of the "Improvement Bond Act of 1915", being Division 10 of the Streets and Highways Code of the State of California, and also pursuant to the specific terms and conditions as set forth in the Bond Indenture presented herein. SECTION 3. SECTION 4. SECTION 5. BOND INDENTURE That the Bond Indenture is approved substantially in the form presented herein. The Finance Director is hereby authori zed and di rected for and on behalf of the City to execute the Bond Indenture wi th such addi t ions thereto or changes therei n as may be approved by the Fi nance Di rector, subject to the review and approval of Bond Counsel, such approval by the Finance Director to be conclusively evidenced by the execution and delivery thereof. A copy of said Bond Indenture shall be kept on file with the tran- script of these proceedings and open for public inspection. BOND PURCHASE CONTRACT That 'the Bond Purchase Contract as submitted by STONE & YOUNGBERG, the des i gnated underwriter, known as document number , a copy of which is on file in the Offi ce of the City Cl erk, is hereby approved substanti ally in the form presented herein. The Finance Director is hereby authorized and directed for and on behalf of the City to evidence the City's acceptance of the terms and provi- sions of the Bond Purchase Contract by executing and deliver- ing the Bond Purchase Contract in the form presented to the City at this meeting, with such changes therein as are approved by the Finance Director, subject to the review and approval of Bond Counsel, such approval by the Finance Director to be conclusively evidenced by the execution and delivery thereof. PRELIMINARY OFFICIAL STATEMENT The form of the preliminary official statement (the "Prelimi- nary Official Statement") is hereby ratified and approved. The offi cers of the City and thei r authori zed representa- t i ves are each hereby di rected to prepare or cause to be prepared a final official statement (the "Official Statement") relating to the Bonds. The distribution by the underwriter of copies of the Preliminary Official Statement Id" (, Resolution No. Page Three to persons who may be interested in the purchase of the Bonds is hereby ratified and the underwriter is directed to deliver copies of the Official Statement to all actual purchasers of the Bonds from the underwriter acting in such capacity. The Finance Director of the City is authorized to certify to the underwriter that the Preliminary Official Statement was deemed final as of its date within the meaning of Rule 15c2-12 of the Securities and Exchange Commission. The offi cers of the City and thei r authori zed representa- tives are, and each of them acting alone and with the concur- rence of Bond Counsel to the City is, hereby authorized and directed, for and in the name of the Ci ty, to execute the Official Statement with such revisions from the Preliminary Offici al Statement as are reasonable and customary to describe accurately the Bonds and matters contained in the Purchase Agreement and the Bond Indenture. Such approval shall be evidenced by the execution thereof. FINAL BOND DELIVERY SECTION 6. No further action wi 11 be requi red by thi s 1 egi slat i ve body if the bonds are priced, sold and delivered prior to September 2, 1994. FINAL ASSESSMENTS SECTION 7. That the Certificate of Paid and Unpaid Assessments, as certified by the Treasurer, shall remain on file in that office and be open for public inspection for all particulars as it relates to the amount of unpaid assessments to secure bonds for this Assessment District. SUPERIOR COURT FORECLOSURE SECTION 8. This legislative body does further specifically covenant for the benefit of the bondholders to commence and prosecute to completion foreclosure actions regarding delinquent install- ments of the assessments in the manner, within the time limits and pursuant to the terms and conditions as set forth in the Bond Indenture as submitted and approved through the adoption of this Resolution. OTHER ACTS SECTION 9. A 11 act ions heretofore taken by the offi cers and agents of the City with respect to the sale and issuance of the bonds are hereby approved, confirmed and ratified, and the Finance Di rector and any and all other officers of the City are hereby authorized and directed, for and in the name and on beha If of the City, to do any and a 11 thi ngs and take any /~,? Resolution No. Page Four and all actions re 1 at i ng to the execut i on and deli very of any and all certificates, requisitions, agreements and other _ documents. wh i ch the Fi nance Oi rector may deem necessary or advisable in order to consummate the lawful issuance and delivery of the bonds in accordance wit his resolution. Presented by John P. Lippitt Public Works Director 1t1'? Resolution No. Page Fi ve PASSED, APPROVED, and ADOPTED Chula Vista, California, this by the following vote: by the City Council of the City of day of . 1994, AYES: Couneilmembers: NOES: Couneilmembers: ABSENT: Couneilmembers: ABSTAIN: Couneilmembers: Tim Nader, Mayor ATTEST: Beverly A. Authelet, City Clerk STATE OF CALIFORNIA ) COUNTY OF SAN DIEGO ) ss. CITY OF CHULA VISTA ) I, Beverly A. Authelet. City Clerk of the City of Chul a Vista, California, do hereby certify that the foregoing Resolution No. was duly passed, approved, and adopted by the Ci ty Counei 1 he 1 d on the day of , 1994. Executed this _____ day of , 1994. Beverly A. Authelet, City Clerk ItJ'7 j;()-IO , ASSESSMENT DIAGRAM ACQUISITION ASSESSMENT DISTRICT NO, 92-2 (AUTOPARK) FOR THE CITY OF CHULA VISTA COl.NTY r::F SAN DIEGO, STATE r::F CALIFORNIA E Xl-II I3I T f! IHEET I r::F I "IST'" lOl Of'" Yfll..&.I1'-...a i l OTA'f YAl-i.l'\' 1II0AD .... ''''04'. ,n,"" o ~.-.~. ': ~ ~" .. I --::.'~ (~. ~ ....:;;: :,'. ::::::.:........... ...,.,",h '---', .-.""'" " ~ : I 1\' i <D I I;: . . ~ . : : I: , i If, I ;1 : I' r ('--- =~~! I ': ~ . I , , ','I' , , " '[1."-""'. )t.", . . .: . -- --...,. . ~='l_. __-~ ,.0'"./., k~' .... __-~... """.0 . :~. ---- ..;."-;., : - ......' II""'" II ,,1"- o o , o ".....-' /' '~ i " . i " (!) , . '1 . ~ . ~I I l lHJ~- "..,,,'0.'. ~' ~~, ..._~--v-;: ......~\'.. ..-// .' ...... I,.I'..L. DIIC."TlO. i l:j 1 N '''''CHI I, I,'" '''' ''''(I~'''''ltO.ll'I.' ..cotIM' .. TIC 01"'(1 01' He COyOoH ..CCMlOC. Of "'C CCM.NlTT 01' ~ _~, 'UTI 01'..."0-......0. ..........'.."'1 ~ '1\.(0" TIC OI"Q 01 lMl eel_ 01 TIC '"' 0' ,....... vtth '"'I '" 0' ."'1 ," - ~'" ~"l_ ,,,,OI't.M.O....,.u I'UHOI'...II'__ I ..CIIfIIlXO" '... IWY'" 01 11<< .......~.IOO(Io' W lITWIn' 01' TlC tiT' 0, C-" ...IITa ~_"'OI ._, ~...r ...~< " - .e.... .. ~.,. "0' .......,.__,O#~n 0"f,1/fI0*0A.,......" IUYI ...,""'-.. ---- .....,- eD ,-- ......,... ...u....__ . .. .........' .at .......0,... roc on 'O~C'I.. 0# "" cm Of c.-u '",.. O. ,.. "'CILI 1/fI._ ~.. "., at..,......T __ "10 "W__' .~ ..........0 c. r.. (loO' (;>I "", ~ UWI"".' ca__ ..e HC UM"lIIprr IIO..~ WClllt ..t~O"'lO( 0lI"'C( 0lI"" "",,_HOCail.' 0# I',"ln O#'lIoIOt",QJlH" 110&' 0# 't" ltf'lltfooa".....oc ror.. .MCI,...-r.ou. .tOiJlOIO. TOC 01"<'1 01 nc ....-._,,_., 01 fT1I'U" '011 nc 1',0." ....o<..n 0# ""''' Mal......, ~ ........,.l~ ,.....<;u OIl.... 1IilIO'w.. ".. ,.........W'1 ~ -------- _.- -.-.- i'f"_.........- . ..... ~ - . !tOo. -~~ .U"OIt.l.l....~' '"' Q..I" O"OI~""'''' .,..Tt"Ull.I_. N'" .....nT..~OI'_..Q,.OCII ..... OI'__,...........,.~T..~. .. ,.. on'lCI 01 nc ,_n .,-... 01 M GOYfT' 01' 1M ..eo, CCUfT'T .CQltOlIl COO"'TlOl....... OOHO ."n01 (..t.UlI'_. ItJ ,It? 11,:) ..II!!!! ( " r.!<HI 8iT 13 ENGINEER'S REPORT PART VI DESCRIPTION OF WORKS OF IMPROVEMENT The proposed works of improvement are generally described as follows: 1. Brandywine Avenue: (Proposed right-of-way to vary from 56 feet to 80 feet) from Otay Valley Road to the south boundary of Assessment District No. 92-2; including but not limited to asphalt, curb, gutter, sidewalk, street lights, medians, water, sewer, storm drain, fencing, signing and striping, landscaping. Right-of-way acquisition is also included. 2. Auto Park Drive: (Proposed right-of-way 40 feet) within the boundaries of Assessment District No. 92-2 including but not limited to asphalt, curb, gutter, sidewalk, street lights, medians, water, sewer, storm drain, fencing, signing and striping, landscaping. Right-of- way acquisition is also included. 3. Otay Valley Road: Widening to provide an eastbound right turn lane to Brandywine Avenue, including, but not limited to asphalt, curb, gutter, sidewalk, street light, landscaping, signing and striping, fencing. Right-of-way acquisition is also included. 4. Sewer line and pump station: Along the south boundary of Assessment District No. 92-2. The gravity sewer line is 8 inches in diameter with a total length of approximately 1,100 feet. The pump station is required to pump sewer flows through 2-4" force mains to the existing sewer line in Otay Valley Road. 5. Main infrastructure water, sewer and storm drain transversing and serving comrnerciallots within the boundary of the proposed district /tJ -J / WPC F:'JlOME'ENGINEER\770.93 Page 18 - c;<fli6/ + c. . CITY OF CHULA VISTA Assessment District No. 92-2 (Auto park) Estimate of Improvement Project Costs Construction Cost Streets ............................................................................................................................ Water ..................................................................:.......................................................... Sewer.............................................................t............................................................... Stonn Drain .........................................................;......................................................... Contingency.....................................................:............................................................ Construction SubTotal.............. .............................................................................. Incidental Expenses Right-of-Way Acquisition.... ............. ............................................................................ Outstanding Lien (Otay Valley Road AD 90-2) ........................................................... Surveying ...................................................................................................................... Landscape Architect...................................................................................................... Civil Engineering .......................................................................................................... Soil Engineering............................................................................................................ Construction Administration ......................................................................................... Public Agency (project Management & Assessment Engineering) .............................. Bond CounseL.......... ..................................................................................................... Appraiser ................ ....................................................................................................... Pennit Fees Otay Water District .................................................................................................... City of Chula V ista..................................................................................................... Printing, Advertising, Posting.. ..................................................................................... Bond Printing, Servicing, Registration. ........................................................................ Incidental Expenses Su btotal. .................................................................................. Net Costs Bonded For Construction SubtotaI.................................................................................................... Incidental Subtotal........................................................................................................ Construction and Incidentals Subtotal................................................................... Less Developer Contributions ....................................................................................... Total Construction and Incidentals Assessed to District ............................................ Less Cash Prepayments ................................................................................................. Net Costs Bonded For .............................................................................................. Other Costs Underwriter Discount..................................................................................................... Debt Service Reserve Fund ........................................................................................... Total Bond Issuance Costs ......................................................................................... TOTAL BOND AMOUNT ............................................................................................ Total $ 602,254 117,054 150,704 170,586 104,060 S 1,144,658 $ 738,230 365,939 23,000 8,100 79,200 35,000 20,000 20,000 17,428 6,000 9,000 22,000 1,000 10,000 S 1,354,897 $ 1,144,658 1,354,897 S 2,499,555 (769,916) S 1,729,639 0 S 1,729,639 $ 59,291 187,434 $ 246,725 S 1,976,364 /tJ "/:J- //()-71 THE CIIT OF CHULA VISTA PARIT DISCLOSURl:; STATEMENT Statement of disclosure of certain o\\.l1ership 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 information must be disclosed: 1. List the names of all persons having a financial interest in the contract, i.e., contractor, subcontractor, material supplier. STONE & YOUNGBERG 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. . Kenneth E. Williams Ronald D. Goodman Scott C. Sollers L. William Huck 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.JL If yes, please indicate person(s): 5. Please identify e<Jch and every person, including any agents, employees, consult<Jnts or independent contractors who you h<Jve assigned to represent you before the City in this m<Jtter. L. William Huck John MurDhv Rami ro Albarran Robert Wha 1 en (of Stone & Youngberg) (of StradlinG. Yocca. Carlson & Rauth) 6. Have you and/or your officers or agents, in the aggregate, contributed more than $1,000 to <J Councilmember in the current or preceding election period? Yes _ No L If yes, state which Councilmember(s): Pl.'rcon is defined as: "Anyindiddllnl,jirm. co.pnrmerslzip,joinl \'CnlUrC, nssocinrion, socinl club,frntcrnnl orgnnizmion, corporntiOIJ. . ('SitUi', n"us!, recch'er, syndicflte, this nnd (111)' other cOllnT)~ Cify tlnd cOLln17)~ city, nwu;cipnli'y, district or other pOliTical sllbdi~'J:Sivll, or nllY olher grOllp or comb;llm;on nClillg ns nllllil." D:lIc: 7~ (0 (ffV (:>:OTE: Allach additional p3ges as ncccss3TY) Signature of contractor/applicant JI/~/.3 STONE & YOUNGBERG Print or type nnme of contractor/applicant (Ih"\.I~~'lJ: J 1."::'n')ll) !.\.:! -'. \ DlSCLOSLTXTj I"\~ -'8 ., .. 1_. -;", Ii: _ . "t ;-,>: :~" ..'..........'. ."'," , '. ~ . . .' .. . .........-...., .. . ....:,. . ....'....... . . ....- $1,976,364 CITY OF CHULA VlST A Assessment District No. 9Z-Z (Auto park) L1mit.d Obliaation Improvement Bonds BOND PURCHASE AGREEMENT August _, 1994 Honorabl".Mayor and City. Council Members City {)f Chula Vista Ch\lla Vista, California Dear Mayor and Council Members: Stone & Youngherg (the .Underwriter"), acting not as a fiduciary or agent for you, but on behalf of itself, offer~ tv t:nt"r into this Bond Purchase Agreement with the City of Chula Vista, California (the "City"), which upon acceptance will be binding upon the City and upon the Underwriter. This offer i~ mane. ~lIbj~ct to the City's acceptance by the execution of this Bond Purchase Agreement and ilS delivery to the Underwriter at or before 11:59 p.m., local time, on the date set forth hereinabove. and, if not so accepted, will be subject to withdrawal by the Underwmer upon notice delivered 10 the City at any time prior to the acceptance hereof by the City. I. Purchase. Sale and Delivery of the Bonds. (a) Subject to the terms and conditions and in reliance upon the representations, warranties and agreements herein set fOrtil, the Underwriter hereby agrees to pur~h~s" from the City, and the Ctty hereby agrees to sell to the Underwriter, all (but not less than all) of the City of Chula Vista Assessment District No. 92.2 (Autopark) Limited Obliiation Improven1~nt Bonds (the "Bonds"). in the nggrCJatc principal amoullt uf $1,985.683, dated August I 1994, bearing interest from said date (payable on March 2 and September 2 in each year commencing on March 2, 1995) at the rates per annum and maturing on the d~res and in the amounts set forth or described in Exhibit A hereto. The purchase price for the Bonds shall be $ , representing S of aggregate principal amount, less an underwriter's discount of $ , Th" Bonds shall be substantially in the form described in, shall be issued and secure.d under the provisions of, and shall.be payable and be subject to redemption as provided in, a bond indenture dated Aug\l~1 1. 1994 (the "Indenture") and the Improvement Dond Act of 1915. constituting Division 10 of the Streets and Highways Code of the State of California (the "1915 Act"). (b) The City has heretofore approved and authorized the distribution Of the preliminary nffid~1 statement ro!latinll to Ihe Bonds dated July _, 1994 (the 'Pn,llminary Official /D~ 7.2. "" ."., ",I -'C-" '.: .. 1 .'1 "':'::R'.' '......... : . ~ ' ~;: " ~ ' ... , .......... . t~l"; Statement"); and by its execution of this Bond Purchase Agreement it hereby approves and authorizes the distribution of a final official statement consistinl: of the Preliminary Official Statement with such changes thereto as shall be agreed upon by the Cit)', its Bond Counsel, and the Underwriter (the "Official Statement"). The City deems the form of the Preliminary Ofticial Statement to be final for purposes of Securities and El'.change Commission Rule i5c2-12; and it is a condition of the offer of the Underwriter made hereby that the Ciry deliver to it not to exceed 250 copies of the Official Statement within seven hu~ine" ti~ys of the date hereof. The City hereby allthori<:es the Underwriter to use and distribute in connection with the offer and sale of the Bonds: the Preliminary Official Stmement, the Official Statement, the Indenture, this Bond Purchase Agrc::crlllmt and all Information contained herein, and all other documents, certificates and statements furnished by the Cit), to the Underwriter in connection with the transactions contemplateti hy this Bond Purchase Asreement. . (c) Except as the City and the Underwriter may otherwise agree, the City will deliver to the Underwriter, at 9;00 a.m. local time, on August _, 1994 or such later date as may be acceptable to the Underwriter (the "Closing Date"): (i) at the offices of The Depository Trust Company in New York, New Yurk, or at such other location as may be designated by the Underwriter, the Bonds, in definitive form (all Bonds being lithographed on steel engraved borders and be.'U'ing CUSIP numher,~). duly E'xecuted by the City in the manner provided for in the Indenture and the 1915 Act; and (ii) at the offices of Brown, Diven & Helllschke ("Bond Counsel"), or at such other location as may be designated by the Underwriter, the document.~ hereinalter mentioned; and the Underwriter will accept such delivery and pay the purchase price of the Bonds in Los Angeles clearinghouse funds (such delivery and payment being herein referred to as the "Closing"). The Donds shall be U1C1I.lt: available to the Underwriter not later than 24 hOl\(s prior to the Closing Date for the purposes of inspeCtion and packaging. The Bonds shall be in fully registered form and shall be registered in accordance with instnlctions to be supplied by the Underwriter at least 72 hours prior to the Closing Date. 2. Reoresentation. Warranties and A~reements of the City. The City represents and warrants to and agrees with the Underwriter that: (a) The City is duly organized and validly existing as a municipal corporation of the State of California and has, and at the Closing Date will have. fulllef.~l right, power and authoriry (i) to enter into this Bond Purchase Agreement, (ii) to issue, sell and deliver the Bonds to the Underwriter as provided herein, and (iii) to carry out, give effect to and consummate thl: trllnsactions contemplated b)' this Bond Purchase Agreement, the Indenture, the Official Statement and any agreements referred to therein. (b) The City has complied with, and will at the Closing Date be in compliance in all respects with the 1915 Act, the Municipal Improvement Act of 1913, constiMing Divi~ion 12 of the Streets and Highways Code of the State of California (the "1913 Act"), and all other applicable laws and agreements. (c) The City has, or prior to the Closinl: Date, will have, duly and validly: (i) approved and authorized the Indenture. the Bonds. thi~ Bond Purcha.~e Agreement. the Official Statement and any other applicable agreements; and (ii) authorized and approved the performance by the City of its obligations contained in. and the taking of any and all action as may be necessary to carry out, give crrc:ct to anel consummate the transactions contemplated by, each of rvoL:16&16_2121 TBD.TaD 10 - 7 3 fn127/94 Llt,:_~j-:~ ll':: :':.<.~ :-:. /: ~ ': '. ~~. T'I ,~'; ":, i ii~,w ~ ~ ~ " ''''1 . .'.''' -- said documents. At the Closing Date (assuming due authorization. execution and delivery by the other parties thereto, where necessary) the Bonds. the Indenture, this Bond Purchase Agreement, and any other applicable 8&ro:CIlU:mts will constitute the valid, legal and binding obligations of the City, enforceable in accordance with their respective'terms, subject to bankruptcy. insolvency and other laws affecting the enforcement of creditor~' dshts in general and to the applkation of equitable principles if equitable remedies are sought. (d) The City is not, and as of the Closing Date will not be. in breach of or default under any law or administrative rule or regulation of the State of California or the United States of America, or of any department, divisiun, agency or instrumentality of either thereof. or any applicable court or administrative decree or order or any loan agreement. note, indenture, contract. agreement or other instrument to which rhe City is party or is otherwise subject or bound which breach or default would have a material adverse affect on the City's abilities to perform its obligations under this Bond Purchase Agreement. the Indenture, the Bonds, the 1913 Act, th~ 1915 Act, and the contract or contracts for the acquisition of the public improvements which will be financed with the proceeds from the sale of the Bonds (collectively, the "Contr~~ts"): and the execution and delivery of the Bonds. Ihe Indenture. this Bond I'urchase Agreement. the Contracts, any other applicable agreements and the other instruments contemplated by any of such documents to which the City is a pan)'. and compliance with the provisions of each thereof, will not conflict with or constitute a breach of or default under any applicable law or administrative rule or regulation of the State of California or the United States of America. or of any department. division, agency or II\strumentality of either ulerCl,)f, or any applicable court or administrative decree or order or any loan agreement, note. jnd~nlure, contract. agreement or other instrument 10 which the City is a party or is otherwise subject or bound. 4 (e) All approvals, consents, authorizations. elections and orders of or filings or registrations with any governmental authority. board, agency or commission having jurisdiction which would constinne a conditioll prt:Cedent to, or the absence of which would materially adversely affect. the performance by the City of its obligations hereunder and under the 1913 Act, the 1915 Act. lhe Indenture. the Bonds. the Contracts. and any other applicable agreements have been or will be obtained and are or will be in full force and effect. (t) The Bonds, the Indenture, the Contracts and other applicable agreements conform as to form and tenor to the descriptions thereof cont.1ined in the Oflicial Statement; and rht F.lond~. when delivered to and paid for by the Underwriter on the Closing Date as prOVided herein, will be validly issued and outstanding and entitled to all the benefits and security of the 19\ S Act and the Indenture, (g) Except as otherwise set forth in the Official Statement, the City has obtained all 4iPproval~ elml permits necessary to proceed with the acquisition of the public improvements constituting the improvement project as described in the Official Statement (the "Improvement Project"). (11) The special assessments describe<! in tJle Official Statement Itave been dilly and lawfully levied under and pursuant to the 1913 Act; and each such assessment constitutes a valid and legally binding lien on the pareel of land in Assessment District No. 92"2 (the "Assessment Di~rrict") on which it "'at: confirmed. The Cicy has 14kcn. or will prior to the """'16180_Z \lITIlU.....D 10 ' f 4 cnf27/94 '-' ~,j."" '" ~ . . ~ . ..\. . ;,'" . .'. ~'...-., .. ".. '.' . " ~, " . .. . . '" .' ~ Closing Date have taken, all actions nece$sary lU cause the County to include on the l!l!l4-95 tax bills of the landowners within Assessment District No. 92-2 assessment installments equal to debt service on the Bonds and on the City of Chula Vista Limited Obli~ation Improvement Bonds, Series A Assessment District No. 92-2 (Autopark) (the 'Series A Bonds") due on March 2, 1995 and September 2, 1995. Except as disclosed in the Official Statemem, there are no outstanding assessment liens or specialtal\es against the land in the Assessment District which are senior to the assessment liens referred to in this paragraph. (i) The Official Statement is and will be, as of the Closing Date, true, correct and complete in all material respects: and the Official Statemenr r1n/'s not and will not, as of the Closing Date, contain any untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein, in light of the circumstances under whiCh they were made, not misleading. (j) During the period commencing on the date hereof and ending on the dale 90 day's following the Closing Date, if any event shall occur as a result of which it may be necessary to supplement the Official Statement in order to make the statements therein. in liehl of the circumstances existing at such time, not misleading, the City shall forthwith notify the Underwriter of any such event of which it has knowledge and, if such event requires an amendment or supplemem 10 llle Official Statement, the City will at its expense amend or supplement the Official Statement in a form and manner jointly approved by the City and the Ul\derwriter. (k) The City has taken all actions required to be taken by it so that the unpaid as$essments in the Assessment District and the imerest thereon and the funds and accounts established pursuant to or referred to in the Indenture and the 1 Cj 15 Act are and will be trust funds for the' payment ohhc principal of and redemplion prt:mium and imerest on the Bonds, subject in all cases to the provisions of the Indenture and the 1915 Act permining the application thereof for the purposes and on the terms and conditions set forth thp.rein. (I) No action, suit, proceeding, inquiry or investigation, at law or in equity, before or by any COurt, regulatory agency, or public board or body is pending, or to the knowledge of the City, threatened, in any way affectins: the existence of the City or the titles of it.~ officers to their respective offices or seeking to restrain or to enjoin the issuaJ1'c, sale OJ delivery of the Bonds, the application of the proceeds thereof in accordance with the Indenture and the 1915 Act, or the collection or application of assessments pled2ed or to be pledged 10 p~y the principal of and interest on the Bonds, or the pledge thereof, or in any way contesting or affecting the validity or enforceability of the Bonds, the Indenture, any other applicable agreements, this Bond Purchase Agret:ment, or any action of the City contemplated by any of said documents, or in any way contesting the completeness or accuracy of the Official Statement or the powers of the City or jg authority with respect to the Bonds, the Indenture, any applicable agreements, this Bond Purchase Agreement or any action of the City contemplated by any of said documents, or in any way seeking to erUoin or restrain the City from approving the development of any of the property within the Assessment Distriet, or which would advenely affect the exclusion from gross income for purposes of federal income tal\arion of interest paid on the Bonds or the exemption of such interest from California persunal income taxation; nor to the knowledge of the City, is there any basis therefor. "".;16886_2121 TaD.TBD 16-1 :) U7f27194 C,7-~3-:~ ~ . . .. l' .. .... .,.......... , .. ~~::~f.i?~: ~~~ ;0 r",F " ....' (m) The City will turnish such information, execute such instruments and take such other action in cooperation with the Underwriter as the Underwriter may reasonably request tn qualify the Bonds for offer and sale under the "Blue Sky" or oUler stlCurities laws and regulations of such states and other jurisdictions of the United States as the Underwriter may designate, provided that the City shall not be required to eon~ent to service of proce.. in any jurisdiction and provided further that no such action shall be at the expense of the City. It is understood that the City is not responsible for compliance with or the consequences of failure to comply with applicable .~lue Sky" laws. (n) The City will apply the proceeds of the Bonds in accordance WiUl the t 915 Act. the Indenture and all other applicable documents and as described in the Official Statement. (0) Prior to any further subdivision of land within the Assessment District, the asSeSS1)lents on such land will be amended and the unpaid installments of said assessments will be apportioned in accordance with the benefil~ received by the several parcelS, a1l as provided for in Section 8730 of the Streets and Highways Code of the State of California. (p) The City will take any and all actions reasonably necessary to assure the continued exclusion from gross income for purposes of federal income taxation of the mterest on the ~onds and will not take any action, or permit any action to be taken with respect to which it may exercise control, which would result in the loss of that exclusion. (q) ArIy certificate signed by any official of the City authori:ted to do so shall be deemed a representation and warranty by the City to the Underwriter as to the statements made therein. " 3. Conditions to the Oblil!ations ot the Underwriter. The obligations of the Underwriter to accept delivery of and pay for the Bonds on the Closing Date shall be subject, at the option of the llnc1erwriter, to the accuracy in all mnteriaJ respects of the represelllaliull~ and warranties on the part of the City contained herein as of the dati: hereof and as of the Closing Date, to the accuracy in all material respects of me statements of the oflicers and other officials of the City, as well as of the other individuals referred to herein, made in any certificates or other documents furnished pursuant to the provisions hereof, to the performance by the City of its obligations to be performed hereulllJ"r at or prior to the Closing Date and to the following additional conditions: (a) At the Closing Date, the Indenture and any other applicable agreements shall be in filII force and effect, and shall not have been amended. modified or supplemented, except as may have been agreed to in writing by the Underwriter; and there shall have been taken in connection with the issuance of the Bonds and with the transactions contemplated thereby and by this Bond Purchase Agreement, all sllch a.;tions ~, in the opinion of Bond Counsel shall be necessary and appropriate. (b) At the Closing date. the Official Statement shall be in form and substance satisfactory to the Underwriter. (c) At the Closing Date, taxes and assessments shall not be delinquent on properties within the Assessment District which beM more than five percent (5 %) of the ""'''.:1'11'_212 tT8D.TDO 1()~ 7 b 07n.7194 O"-?8-C' . I .' . 't nr, 1(: ~ V '.. ~ . . .. .... :=~.0~,~ ~Vtlr '1'0, 01P,1'J~OI~~'li PC~i; aggregate amount of the assessment then remaining unpaid, except as specifically approved in writing by the Underwriter. (d) Between the date hereof and the Closing Date, the market price or marketability of the Bond.< .hall not have been materially adversely affected, in the judgment of the Underwriter (evidenced by a wrinen notice to the City terminating the obligation of the Underwriter to accept delivery of and pay for the Bonds). by reason of any of the following: (i) legislation introduced in or enacted by the Congress or recommended to the Congress by the Prc5ident of the Unilt:4.1 States, the Department of the Treasury, the Internal Revenue Service, or any member of Congress. or favorably reported for passage to either House of Congress b)' any committee of .""h House to which such legislation has been referred for consideration, or a decision rendered by a court established under Article III of the Constitution of tile United States of America or by the Tax Coun of the United States of An\e:rka, or an order, ruling, regulation (final, temporary or propose<l), press release or other form of notice issued or made by or on behalf of the Treasury Department of the United States of America or the Internal Revenue Service, with the purposc or effect, directly or inuirllCtly. of imposing federal income taxation upon such interest as would be received by any holders of the Bonds; (ii) legislation introduced in or enacted by the Congress or an order, decree or injunctioll i>sue:u by any COUrt of competent juriSdictIon, or an order. ruling, regulation (fmal. temporary or proposed), press release or other form of notice issued or made by or on behalf of the Securities and Exch~ng~ Conuni~sjon, or any other governmenUll agency having jurisdiction of the subject maner, to the effect that obligations of the general character of the Bonds, or the Bonds, including any or all underlying arrangements, are not exempt from registration under or other requirements of the Securities Act of 1933. as amended, or that the Indenture is not exempt from qualification under or other requirements of the Trust Indenture Act of 1939, as amended, or that the issuance:, offering 01 sillc of ubligations of the general character of the Bonds, or of the Bonds, including any or all underlying arrangements, as contemplated hereby or by the Official Statement or otherwise would he in violation of the federal 6ecurities laws as amended and then in effect; (ili) a general suspension of trading in securities on the New York Stock Exchange, or a general banking moratorium declared by federal, St.1te of New York or !llllle of California officials a\.lthorized to do so, or a war or other national calamity; (iv) the withdrawal or downgradin~ of any ratil\2 of any sp.c.llrities of the City by a national rating agency; (v) any amendment to the federal or California Constitution or action hy any federal or California c.ourt, legislative body, regulatory body or other authority materially adver~ely affecting the taX statu~ of the City, its property, income, securities (or intcrC$t thereon), the validity. priority or enforceability of the assessments or the ability of the City to acquire and construct the Improvement Project as contemplated by the Indenture and the Official Statement; or "'.&..:) 0186_2.: ll"J"&lD,.raD ~b ~ 71 07/~7194 '1" "7 "' , I"" - ~' ... .. .'1 ,.., A "l~, r II ~;'1 : ; ':;' .'. :; ..It 'I .. ;,'....'.. 1 .. , ~ .., .. -.. . .. , -. ..... . . . . ..'.' C 1: " , (vi) any event. occurring , or Information becoming Ienown which, in the judgment of the Underwriter after consultation with the City, makes untme in any material respect any sUlI"ment or Information contained in the Official Statement, or has the effect that the Official Statement contains any untrue statement of material fact or omits to state a material fact requirp.d In he stated therein or neces.~ary to make the statements therein, in the light of the circumstances under which they were made, not misleading, (e) At or prior to the Closing Date, the "Underwriter snail have recdv.,u twO counterpart originals or certified copies of the following documents, in each case satisfactory in form and subst:lnC8 to the "Underwriter: (i) Manager or his designee; The Official Statement, executed on behalf of the City by its City (ii) The Indenture, substantially in the form duly approved by the City, which Indenture shall not have been further amended or modified (except as may have been agreed to by the Unrlerwriter) and shall be in full force and "ffect as of the Closing Date; (iii) An unqualified opinion, dated the Closing Date and addressed to the City, of Bond Counsel to the effect that the Bonds are the valid, IC~<lI, binding obligations of the City and that the interest thereon is exclud~ from gross income for purposes of federal in<;ome taxes, is not a specific preference item for purposes of f".tIpr~1 individual and corporate alternative minimum taxes. and is exempt from personal income taxes of the State of California, all as provided in the Official Statement. together with a letter from Bond Counsel, dated the Closing Date and address~ to the Underwriter, to the effect thaI such opinion may be relied upon by the UMerwriter to the same extent as if such opinion were addressed to it; (iv) An opinion, dated the Closing Date and addressed to the Underwriter. of Rond Counsel to the effett that (1) this Bond Purchase Agreement has been duly authorized, executed and delivered by the City, and, assuming due authorization, execution and delivery by the Underwriter. constitutes a legal. valid and binding agreement of the City, enforceable in accordance with ItS terms, subject to banleruptcy, insulv"lI~Y. and oth<;r laws affecting the enforcement of creditors' rights in general and except as sllch enforc.eability may be limited by the application of equiuble principles if equilanlp remedies are soul!ht: (2) the Bonds are e)(empt from the registration requirements of the Securities Act of 1933. as amended; (3) the Indenture is exempt from qualification under the Trust Indenture Act of 1939, a.s amended: (4) the Bonds and the Indenture conform as to form and tenor to the descriptions thereof contained in the Official Statement, and the statements on the cover of the Official Statement and unoer the captions "INTRODUCTION,' 'WI:. DONDS,' "LEGAL ~1ATTERS . Genera'," 'LEGAL MATTERS.. Tax Matters' and "APPENDIX B" present a fair and accurate summary of the information contained therein: (5) the Bonds and the Indenture constinlle legal, valid and binding agreements of the City enforceable in accordance with their terms except as such enforceability may be Iimit~ by bankruptcy, insolvency and other laws affecting the enforcement of creditors' rights In general anctthe application of equil<tuh:: principle- if equitable re.medics are sought; (6) the moneys to be held from time to time in the Redemption Fund referred to in the Indenture, including we investmenU thereof. ar~. ant! will be trust funds for t.he payment of the principal of and redemption premium and interest on the Bonds. subJect in aU cases to the provisitlns of the Indenture permitting the application thereof for the purposes and on the terms PloI.1.:I6II6....212ITftn.TRn '6 - 7 ~ 01127194 r 0 -7 ., .)r-i -~4 r,' ~ '''If .....i:;.:.:.'. ::: -" .....1; ", ,~ .. . '. ~.. .' . e, . :. ' :' : ~ :' : ~ 1 ",',rJ'-' 1-:1; r '.' ~: I:! '.: " and conditions set forth therein; and (7) the assessments in the Assessment District have been duly and lawfully levied under and pursuant to the 1913 Act and constitute valid and legally binding liens on the respective properties upon which they were levied; (v) An opinion, dated the Closing Date and addressed to the Underwriter, of Stradling, Yocca, Carlson & Rauth, a Professional Corporation, to the effect that (i) the Bonds are exempt from the registration requirements of the Securities Act of 1933, as amended, (ii) the Indenture is exempt from qualification under the Trust Indenture Act of 1939, as amended, and (Iii) without havini undertaken to determine independently the accuracy or completeness of the statements contained in the Orficial Statement, but on the basi> of their participation in conferences with representatives of the City. Bond Counsel, the owners of property within the Assessment District,the Underwriter and others. and their examination of certain documents, nothing has come to their attention which would lead them to believe that the Official Statement as of its date and as of the Closing Datc, contained any untrue statement of a material fact or omitted to state a material fact required to be stated therein or n~ce.sary to ma~c the statements therein. in the light of the circumstances under which they were made, not misleading (e~ce}ll that no opinion or belief nced to be exprcS'ed as to any r.ppennice~ and any other financial and statistical data contained in the Official Statement); (vi) Such memoranda of Stradling, Yucca, Carlson & Rauth, a Professional Corporation, or of other counsel specified by the Underwriter. as to "Blue Sky" matters as the Underwriter may reasonably require. (vii) A cp.nificate, dated the Closing Date and signed by the City Manager of tlJF City or his designee, to the effect that (I) the rcpresentations and warranties of the City contained herein are tnle and correct in all material re~pe~ts on and as of the Closing Date with the same effect as if made on the Closing Date; (2) to the best knowl.,ug~ of sai.1 officer, no event has occurred since the date of the Ofticial Statement which should be disclosed in the Offici.11 Statement for the purpose for which it is to be use" or which it is necessary to disclose therein in order \0 make the statements and information therein not misleading in any material respect; and (3) the City has complied with all the agreements and satisfied all the conditions on its pan to be performed or satisfied under this Bnnd purchase Aireement. the Indenture, the 1913 Act, the 1915 Act, and the Official Statement at and prior to the Closing Date; (viii) An opinion, dated the Closinj1. Date and addressed to the Underwriter of the City Attorney, to the effect that (I) no action, suit, proceeding, inquiry or IIlvestiiation, at law or in equity. before or by any coun, regulatory agency. public board or body, with respect to which the City has been properly noticed. is filed again$! the Cit)' nor. to his current actual knowledge, is threatened against the City nor, to his currem actual knowledge. is the subjeCt of any investigation or inquiry of the City. which. in any of th~ ahove circumstances. in any way affects the existence of the City or the titles of its offjc~rs to their rp.s~ctive offices. or seeks to restrain or to enjoin the issuance. ~ale or delivery of the Bonds. the application of the proceeds thereof in accordance with the Inuenture. or tile collection or application of thc assessments and the interest thereon to pay the prinCIpal of and interest on the Bonds, or in any way contestS or affc:<;L' Lhe validity or cnfurceability of the Bonds, the Indenture, this Bond Purchase Agreement. the Contracts. or any other applicable agreements or any actiOl\ of lhp. City contemplated by any of said documents, or in any way contests the ",..,\6186.Z I~ ITlIU,TBD '6- '1 07127194 .' ..'.. ..... . ~~.~~ ~:lt i"\!;'_"7-_~1 'i,',"j':',:,V ::'),1 c:'.,':: '. I ~ ",. 'i I~, 't . ..' .. ;'. . ..... ,... '. .'.. 'l'1\ ');'" \:: i:>>::' ~ 1 .' completeness or accuracy of the Official Statement or the powers of the Ciry or its authority with respect to the Bonds, the Indenture, this Bond Purchase Agreement, the Contracts, or any other applicable agreement, or any action on the part of the City contcmplated hy any of said documents, or in any way seeks to enjoin or restrain the City from approving the development of the propcrty within the Asse.sment District, or which challenges the exclusion of inter....' p"iel on the Bonds from gross income for purposes of federal income taxation or the exemption of such interest from California personal income taxation; (2) the City is duly organized and validly existing as a municipal corporation of the State of California, with full legal right, power and authority to issue the Bonds and to perform all of its obligations under this Bond Purchase Agreement, the Imlentun:, the Bonds, and the Contract5: (3) thc City has duly authorized, executed and delivered the Indenture, this Bond Purchase Agreement and the Official Statement; (4) upon ext.cuflnn and delivery by the City (assuminll due authorization, execution and delivery by the other parties thereto, where necessary), the Indenture, this Bond Purchase Agreement and the Contr;1cts will constinne legal, valid and binding agreements of the City enforceable in accordance with their terms; provided, however, that the opinions expressed in this Paragraph (viii) with respect to this Bond Purchase Agreement are expressly subject to and limited by any negligcnce, wrongdoing or failure by the Underwriter to comply with all ";tlllfory or other legal requirements applicable to the sale or issuance of the Bonds; (5) to his current actual knowledge, the City is not in breach of or default under any law or administrative rule or regulation of the State of California or the United States of America, or of any department, division. agency or instrumentality of either thereof, or any applicable court or administrative decree or order or any loan agreel1lClll, 1l0~e, indennm:, contract, agrccmcnt or other instrument to which the City is party or is otherwise subject or bound which breach or default would have a material adverse "ffeet on the Ciry's abilities to perform its obl1gations under this Bond Purchase Agreement, the Indenture, the Bonds, the 1913 Act, the '915 Act, and the Contracts; (6) \0 his current actual1mowledge, the execution and delivery of the Bonds. the Indenture, this Bond Purchase Agreement, the Contracts, any orner applicable agreements and The urn!:'r ills~rUlllellts contemplated by any of such documents to which the City is a party, and compliance with the provisions of cach the.reof, will no! conflict with or constitute a bre<,ch nf or default under any applicable law or administrative rule or regulation of the Stare of Califl)rnia or the United States of America. or of any department, division. agency or instrurnentality of either thereof, or any applicable court or administrative decree or order or any loan agreement, note, indenture, contract, agreement or other instnlment to which the City is a party or is otherwise subject or bound; (7) all approvals. cun.cnl:>, authorizations, elections and orders of or filings or reiislrations with any governmental authority, board, agency or commission having jurisdiction which would constitute a condition precedent to. or the absence of which would materially adversely affect, the performance by the City of its obliiations hereunder and under the 1913 Act, the 1915 Act, the Indenture, the Bonds, and any other applicable agreements have been or will be obtained and are or will be in lull force anCl effect; anCl (8) b.\SeO upon lhc iuror ma~ioll made available to him in the course of his participation in the preparation of the OffIcial SLatelllcnt llnd without having unelertaken to determine independently ('I" assuming any responsibility for the accuracy, completeness or fairness of such information or the statements contained in the Official Statement, the Official Statement, as of its date and as of the Closing Date, does not contain any untrue statement of a material fact or omit \0 state a material fact required to be stated therein or necessary to make the statements therein. in the light of the circumstances unCler which ~liey were made. not misleading (except that no opinion or betief need be expressed as to any appendices and any other financial and statistical dat., contained in the Official Statement); fUll..: 10110_1\: lTaD.T'aO 10- DO 07/27/94 r,c- : 7-':! .II '- .''1 ~ ,~ , :< :!! '~' 't . .' '. . .'. : : ,~ " . ~', .' .'. " .'. ......1.. ,',' .. '~';': -.- .-,.... -, , '. ..... . :'1 i ,<,I:. '0) t ", Each of the foregoing opinions may be made subject to and be limited by bankruptcy, insolvency, reorganization, moratorium or other similar laws affecting the enforcement of creditors' rights in general, and lU the aflfllica\ioll of equitable principles if equitable remedies are sought, including, without limitation, concepts of materiality, reasonableness, sood faith and fail' dealing and rhe (ln~~ihility of the unavailability of specific performance, injunctive relief or other equitable remedies, regardless of whether considered in a proceeding in equity or in law. Ox) A certificate, dated the Closing Date of The Samppala Group (the . ApprAiser') to thc cffcct that (1) the summary of its Apprai~al appended to the Official Statement has been so appended with its permission, and (2) neither the aforesaid summary of the Appraisal nor the material contained in the Official Statement under the heading 'SPECIAL RISK FACTORS. Property Values" contains any untrue statement of a material fact or omits to state a material fact required to be Stated therein or necessary to make the statementS therein, in light of Ute circumstances under which they were rrulue, Hul lIli~leading; (x) (A cl'rtificate, d~teilthe Closing Date of TorStan. Inc.. (the "Environment.11 Consultant") to the effect that the material pertaining to IH\7.al'dous substances contained in the Official Statement under the heading "SPECIAL RISK FACTORS - Hazardous Substances" does not contain any untrue statement of a malenal fact or omit to state a material fact tequired to be stated therein and is not misleading;) (xi) A certificate of the Assessment Engineer to the effect that the material contained in the Official Statement under the captions "Description," "The Improvement Project," "Cost Estimates," "Summary of Assessment Proceedings" and "Method of Spreading Assessments,"'\mder the heading "THE DISTRICT," does not contain any untrue ~tatement of a material far.t or omIt to state a nlaterial fact required to b~ ~\.led therein or necessary to make the statements therein, in light of the circumstances under which they were made, not misleading; (xii) Such certificates from the owners of property within the Assessment District as the Underwriter may reasonably request; (xiii) A transcript of all proceedings relating to the authoriution, lssuwlce, sale and delivery of thc Bonds; llI1d (xiv) Such additional legal opinions, certificates, proceedings, instruments and other documents as the Underwriter or Bond Counsel may reasonably request. All Ute opiniOns, letters, certificates, instrumenL~ llnd other documents mentioned in this se<..'tion or elsewhere in this Bond Purchase Agreement shall be deemed to be in compliance with the terms hereof if, and only if, they are in form ~nc1 ~lIh~tance satisfactory to the Underwriter. If any of the conditions to the obligations of the Underwriter contained in this section or elsewhere in this Bond Purchase Agreement shall not have been satisfied when .ulll11S required herein, allllbligations of the Underwriter hereunder may be terminated, at, or at any time prior ~(l, the Closing Date; by written notice to the City, except that the resp~.ctive nhligations of the Underwriter and the City set forth in Section 4 hereof shall continue in full force and effect. ..,"C,.6l"_'12IUD.T8D ''?J~~I 07ll7l94 0'-)"-:' l"'!"::" I ..I .:'1 "t. J.'.;I. ;: ~. : ~': ~ .. ., r "', I. ~' . " .I.. "1;" " :: i ~ " -, ' ~ I - , -. . ....'. '. : .,j,:, C l: ... 4. Exoenses. (a) Whether or not the Underwriter ae<.:\:lll) delivery of and pay fOT the Bonds as set forth herein, the Underwriter shall be under no obligation to pay, and the City shall payor cause to be paid out of any legally available funds of rhe City all expenses incident to the performance of the City's obligations hereunder, including but not limited to: the cost of printing, engraving and delivering the Bonds to the Underwriter; the cost of printing, distribution and delivery of the Preliminary Official Statement and the Official Statement III such reasonable quantities as may be requested by the Underwriter; the fees and disbursements of the paying agent and n::jlistrar for the Bonds and Bond Counsel, llnd any aceo"ntants, enllineers. appTaiser~ or other experts or consultants the City has retained in connection with the Bonds; and any other expenses not specifically enumerated in para~raph (b) of this Seclion incurred in conneLtion with the issuance of the Bonds, (b) Whether or not the Bonds art: delivered to the Underwriter as set forth herein, the City shall be under no obligation to pay, and the Underwriter shall pay the cost or preparation of any "Blue Sky" or legal investment memnr:mda; expenses to Qualify the Bonds for sale under any "Blue Sky. or other sUIte securities laws; and all other expenses incurred hy the Underwriter in connection with its public offering and distrihution of the Bonds (except those specifically enumerated in paragraph (a) of this Section), including the fee payable to the California Debt Advisory Commission and the fees and disbursements of its counsel and any advertising e"pensc:s. S. Notices. Any notice or other communication to be given to the City under this Bond purchas~ Agreement may be given by delivering the same in writing to City Manager, City of Chula Vista, 276 Fourth' Avenue, Chula Vista. California 92010, and with a copy to Brown. Diven & Hentschke, uno High Bluff Drive, Suite 240, S~lI Diego, California 92130; tlnd nny notice or other communication to be given to the Underwriter under this Bond Purchase Agreement mllY be given by delivering the same in writing III Stone & Youngberg, 4350 La Jolla Village Drive, Suite 840, San Diego, California 92122, Attention: L. William Huck. 6. Parties in Interest. This Bond Purchase Agreement is made solely for the benefit of the City and the Underwriter (induding successors or assignees of the Underwriter) and no other person, lndudillg bulnot limited to IIn)' owner of land within the A"t'ssmenl District. shall acquire or have any right hereunder or by virtue hereof. 7. Survival of Reoresentations and Warranties. The representations and warranties of the City set forth in or made pursuant to this Bond Purchase Agreement shall not be deemed to have been discharged, satisfied or otherwise rendered void by reason of the Closing or termination of this Bond Purchase Agreement and regardless of any investigations made by or on behalf of the Underwriu:r (or statements as to thl! r~ult~ of such investigations) concerning such representations and statements of the City and regardless of delivery of and the payment for the Bonds. ....."'~1~a06_~ \2!TDO.T8P fo - '6 L- 07n7/94 07-27-';4 r, I , :,:::;r \.1"1. J.,..I. : " \ ~,': ;:';' '" , ." .1/.." .....', : 2: ;'G:: .. ...J.'. ..., ,. -....... " 8, ' Effective, This Bond Purchase Aireement shall become effective and binding upon the respective parties hereto upon the ex.ecution of the acceptance hereof by the City and shall be valid and enforceable as of the time of such acceptance. Very truly yours, STONE & YOUNGBERG By:_ . Its: Authorized Officer Accepted : CITY OF CHULA VISTA By Director of Finance . pua\.:loUCS_l ilITlSC.1'BD fi() - <b 3 110 - g 1 07r.17194 :.j 'i. " ,. " , , .-.[ <;, " " ~: " G"'" "7 "" c".","-" , /-, - ~il I..' .. - 'f .. ."'f v-z.J....... ..~, ,- '/ : ~. . .i. ~ Maturity (S"ntp.mher 2) 1'Ull"'1..n_~12Ifl10.TIID '\. /- .;.....J.. .. AmOUn! . ,",. :.' 1!) ~ '~,' . ,', , .. . - , ..,'.... ' EXHIBIT A MATURITY SCHEDULE Interest Rate m~~y :' ~: 1 ~ 01 : fIW 07127/94 BOND INDENTURE This Bond Indenture (the 'Indenture') dated as of August I, 1994, is entered into and approved by the City of Chula Vista (the 'Issuer') to establish the terms and conditions pertaining to the issuance of bonds in a special assessment district known and designated as ASSESSMENT DISTRICT NO. 92-2 (AUTO PARK) (the 'Assessment District') . SECTION 1. Issuance, Designation and Amount. Pursuant to the provisions of the 'Improvement Bond Act of 1915', being Division 10 of the Streets and Highways Code of the State of California, as amended (the 'Act'), the Issuer does hereby authorize and direct the issuance and sale of a seri es of bonds to represent the unpaid assessments on certain pri vate property within the Assessment District, which bonds are hereby designated as the City of Chula Vista Assessment District No. 92-2 (Auto Park) limited Obligation Improvement Bonds' (the 'Bonds'). SECTION 2. Unpaid Assessments. The Issuer shall determine the assessments which are unpa i d and the aggregate amount thereof as authori zed by Sect i on 8621 of the Streets and Highways Code of the State of Cal ifornia and shall issue Bonds in an aggregate principal amount equal to the deter- mined amount of unpaid assessments. Unpaid assessments means the aggre- gate amount of unpaid assessments on nonpublic lands in the Assessment Di stri ct. SECTION 3. Term of Bonds. As shown on Exhibit 'A' hereto, the Bonds shall mature a maximum of and not to exceed twenty-three (23) years from the second day of September next succeedi ng twelve (12) months from thei r date. The provisions of Part 11.1 of the Act, providing an alternative procedure for the advance payment of assessments and the call i ng of Bonds shall apply. The Bonds shall be subject to refunding pursuant to Division 11.5 of the Streets and Highways Code of the State of California. SECTION 4. Registered Bonds. The Bonds shall be issuable only as fully registered Bonds in the denomination of $5,000, or any integral multiple thereof, except for one bond maturing in the first year of maturity, which shall include the amount by which the total issue exceeds the maximum integral multiple of $5,000 contained therein. SECTION 5. Date of Bonds. The Bonds shall be dated August 1, 1994 and interest shall accrue from that date at the rates set forth in Exhibit 'A' hereto. SECTION 6. Maturity and .Denomination. The Bonds shall be issued in serial and term form, with annual maturities on September 2nd of every year succeeding twelve (12) months after their date, until the whole is paid. The principal amount payable each year, taking into consideration mandatory sinking fund redemptions, shall result in approximately equal annual debt service during the term of the issue considering the interest rate and principal amount payable in the respective years, is as shown in Exhibit 'A' attached hereto and in Section 9 hereto. la, ~5 SECTION 7. SECTION 8. SECTION 9. Interest. Interest is payable each March 2 and September 2 (each being an interest payment date), commencing March 2, 1995. Each Bond shall be of a s i ngl e maturity and shall bear interest at the rate as set forth in the accepted bid proposal for said Bonds from the interest payment date next precedi ng the date on wh i ch it is authent i cated and regi stered, (i) un 1 ess said Bond is authent i cated and regi stered as of an interest payment date, in whi ch case it shall bear interest from said interest payment date, (ii) unless said Bond is authenticated and registered prior to the first interest payment date, in which case it shall bear interest from its date, or (iii) unless interest is in default on said Bond on such date, in which case it shall bear interest from the last date on which interest was paid in full or from its dated date if no interest has been paid, until payment of its pri nci pa 1 sum has been di scharged. Interest sha 11 be ca 1 cu 1 ated on the bas is of a 360 day year composed of twelve 30-day months. Interest on said Bonds shall be paid by check mailed (or, in the case of any owner of not less than $1,000,000 principal amount of the Bonds who so requests in writing prior to the close of business on the fifteenth day preceding each interest payment date, by wire transfer) to the registered owner thereof on each interest payment date at his or her address as it appears on the books of regi strat i on, or at such address as may have been filed with the Paying Agent for that purpose, as of the 15th day of the month immediately preceding said interest payment date, whether or not such day is a business day. Place of Payment. The principal on the Bonds shall be payable in lawful money of the United States of America upon surrender of the Bond at the office of Bank of America National Trust and Savings Association in San Francisco, California, the designated registrar, transfer agent and paying agent of the Issuer ("Paying Agent"), or such other registrar, transfer agent or paying agent as may be designated by subsequent Resolution of the Issuer. Redem)tion. The first series of Bonds shall be subject to redemption as fa lows: A. Optional. The Bonds shall be subject to optional redemption and payment in advance of maturity, in whole or in part, on the 2nd day of March or September in any year, from any source of funds, at the fa 11 owi ng redempt i on pri ces, expressed as a percentage of the pri nci pa 1 amount redeemed, together with accrued interest to the date of redemption: 103% if redeemed on or before September 2, 2002 102% if redeemed on March 2 or September 2, 2003 101% if rideemed on March 2 or September 2, 2004 100% if redeemed on March 2, 2005 and thereafter. If less than all outstanding Bonds are called for optional redemp- tion, the Issuer not less than 45 days prior to the redemption date shall select Bonds for redemption in such a way that the ratio of outstanding Bonds to issued Bonds shall be approximately the same in each annual maturity insofar as possible. Within each annual maturity Bonds shall be selected for redemption by lot. 16 ~ tb B. Mandator Sinkin Fund. The Bonds maturing on September 2, 1027 the "Term Bon s" are subject to mandatory sinking fund redemption by lot at a redemption price equal to the principal amount thereof, plus accrued interest to the redempt i on date, without premi urn, on each September 2 in the years and for the amounts listed below: Date (September 2) 2009 $ 2010 2011 2012 2013 2014 2015 2016 2017 (maturity) Amount C. Partial Redemption. If less than all of the outstanding Bonds are to be redeemed, the portion of any Bond of a denomination of more than $5,000 to be redeemed shall be in the principal amount of $5,000 or an integral multiple thereof, and, in selecting portions of such Bonds for redempt i on, the payi ng Agent shall treat each such Bond as representing that number of Bonds of $5,000 denomina- tions which is obtained by dividing the principal amount of such Bond to be redeemed in part by $5,000. Upon surrender of any Bond to be redeemed in part on ly, the Payi ng Agent shall authent i cate and deliver to the owner, as the expense of the Issuer, a new Bond or Bonds of authori zed denomi nat ions equal in aggregate pri nci pa 1 amount to the unredeemed portion of the Bond surrendered, with the same interest rate and the same maturity date. Such partial redemp- tion shall be valid upon payment of the amount required to be paid to such owner, and the Issuer and the Paying Agent shall be re 1 eased and di scharged thereupon from all 1 i abil ity to the extent of such payment. D. Notice. Notice of redemption of Bonds shall be provided at least 30 days in advance of the redemption date by registered or certi- fied mail or by personal service to the respective registered owners thereof at thei r addresses as they appear on the regi stra- tion books of the Registrar. Neither the failure of any registered owner to receive redemption notice nor any defend in such notice so given shall affect the sufficiency of the proceedings for the redemption of such Bonds. The Issuer shall provide instructions to the payi ng Agent to effect sink i ng fund redempt ions at 1 east 45 days prio, to each redemption date. SECTION 10. JReservedJ.. SECTION 11. Exchange of Registered Bonds. Fully registered Bonds may be exchanged at the offi ce of the payi ng Agent in San Franc i sco, Cali forni a, for a like aggregate principal amount of Bonds of the same interest rate and maturity, subject to the payment of taxes and governmental charges, if 10 ~ t 7 any, upon surrender and cancellation of this Bond. Upon such transfer and exchange, a new registered Bond or Bonds of any authorized denomina- tion or denominations of the same maturity for the same aggregate principal amount will be issued to the transferee in exchange therefor. SECTION 12. Books of Registration. There shall be kept by the Paying Agent suffi- cient books for the registration and transfer of the Bonds and, upon presentati on for such purpose, the Paying Agent shall, under such reasonable regulations as it may prescribe, register or transfer or cause to be registered or transferred, on said register, Bonds as hereinbefore provided. SECTION 13. Execution of Bonds. The Bonds shall be executed manually or in facsi- mile by the Treasurer and by the City Clerk, and the corporate seal may be imprinted manually or in facsimile on the Bonds. The Bonds shall then be del ivered to the Paying Agent for authentication and registra- ti on. In case an offi cer who shall have signed or attested to any of th e Bonds by facs imi I e or otherwi se shall cease to be such offi cer before the authenti cat ion, de I i very and issuance of the Bonds, such Bonds nevertheless may be authenticated, delivered and issued, and upon such authent i cat i on, de I i very and issue, shall be as bi nding as though those who signed and attested the same had remained in office. SECTION 14. Authentication. Only such of the Bonds as shall bear thereon a certifi- cate of authentication substantially in the form below, manually executed by the Paying Agent, shall be valid or obligatory for any purpose or entitled to the benefits of this Indenture, and such certifi- cate of the transfer agent and registrar shall be conclusive evidence that the Bonds so authenticated have been duly executed, authenticated and del ivered hereunder, and are entitled to the benefits of this Indenture. FORM OF CERTIFICATE OF AUTHENTICATION AND REGISTRATION This bond has been authenticated and registered. Date: BANK OF AMERICA NATIONAL TRUST AND SAVINGS ASSOCIATION as Transfer Agent, Registrar and payi ng Agent By: SECTION 15. Negotiability, Registration and Transfer of Bonds. The transfer of any Bond may be registered only upon such books of registration upon surrender thereof to the Paying Agent, together with an assignment duly executed by the owner or his attorney or legal representative, in satis- factory form. Upon any such registration of transfer, a new Bond or Bonds shall be authent i cated and de livered in exchange for such Bond, in the name of the transferee, of any denomination or denominations authorized by this Indenture, and in an aggregate principal amount equal to the principal amount of such Bond so surrendered. In all cases in which Bonds shall be exchanged or transferred, the Paying to-~ l' Agent shall authenticate at the earliest practical time, Bonds in accor- dance with the provisions of this Indenture. All Bonds surrendered in such exchange or registration of transfer shall forthwith be cancelled. The Paying Agent may make a charge for every such exchange or registra- tion of transfer of Bonds sufficient to reimburse it for any tax or other governmental charge required to be paid with respect to such exchange or registration of transfer. No transfer of fully registered Bonds shall be required to be made between the fifteenth (15th) days preceding each interest payment date, nor during the fifteen (15) days preceding the selection of any Bonds for redemption prior to the maturity thereof, nor with respect to any Bond which has been selected for redemption prior to the maturity thereof. SECTION 16. Ownership of Bonds. The person in whose name any Bond shall be registered shall be deemed and regarded as the absolute owner thereof for all purposes, and payment of or on account of the pri nc i pa I and redempt ion premi urn, if any, of any such Bond, and the interest on any such Bond, shall be made only to or upon the order of the registered owner thereof or hi s I ega I representat i ve. All such payments sha 11 be valid and effectual to satisfy and discharge the liability upon such Bond, i nc I udi ng the redempt i on premi urn, if any, and interest thereon, to the extent of the sum or sums so paid. SECTION 17. Mut i I ated, Destroyed, Stolen or Lost Bonds. In case any Bond secured hereby shall become mutilated or be destroyed, stolen or lost, the Issuer shall cause to be executed and authenticated a new Bond of like date and tenor in exchange and substitution for and upon the cancella- tion of such mutilated Bond or in lieu of and in substitution for such Bond mutilated, destroyed, stolen or lost, upon the owner's paying the reasonab I e expenses and charges in connecti on therewith, and, in the case of a Bond destroyed, stolen or lost, his fil ing with the Paying Agent and Issuer of evidence satisfactory to them that such Bond was destroyed, stolen or lost, and of his ownership thereof, and furnishing the Paying Agent and Issuer with indemnity satisfactory to them. SECTION 18. Cancellation of Bonds. All Bonds paid or redeemed, either at or before maturi ty, sha 11 be cancelled upon the payment or redempt i on of such Bonds, and delivered to the Issuer. Upon written direction from the Issuer, Bonds may be destroyed by the Paying Agent, as allowed by law. A certificate of destruction shall be provided to the Issuer. The Issuer agrees to reimburse the Paying Agent I s costs incurred with the microfilming or other required permanent recording, if any, related thereto. SECTION 19. Creation of Funds. The Treasurer of the Issuer is hereby authorized and directed to establish and maintain the following funds for purposes of making pay~ent for the costs and expenses for the works of improve- ment and payment of principal and interest on the Bonds. The funds to be created are designated, and the terms and conditions of the funds are, as follows: IMPROVEMENT FUND: The proceeds from the sale of the Bonds, after depos it of requi red amounts in the Reserve Fund and Redempt i on Fund, shall be placed in the Fund hereby created, pursuant to Sections 10602 10- ~; and 10424 of the California Streets and Highways Code, as amended, which shall be called the "Improvement Fund", and the monies in said Fund shall be used only for the purposes authorized in said assessment proceedings, and specifically to pay for the costs and expenses of the acquisition of the authorized public capital improvements, together with all incidental expenses. Any surplus in the Improvement Fund after completion of the improvements shall remain in the Improvement Fund for a peri od of not 1 ess than two (2) years from the recei pt of Bond proceeds as provided in Section 10427.1 of the California Streets and Highways Code, and thereafter shall be utilized or distributed as determined by the Issuer and authorized by the Act. REDEMPTION FUND: The Treasurer is hereby authori zed and di rected to keep a Redempt i on Fund des i gnated by the name of the proceedi ngs, into which he shall place accrued interest, if any, on the Bonds from the date of the Bonds to the date of deli very to the i ni t i a 1 purchaser thereof, all sums recei ved for the collection of the assessments and the interest thereon, together with all penalties, if applicable. Principal of and interest on said Bonds shall be paid to the registered owner out of the Redemption Fund so created (pursuant to Section 8671 of the Cal ifornia Streets and Highways Code). Accrued interest paid by the purchaser of the Bonds, if any, shall be deposited in the Redemp- tion Fund. In all respects not recited herein, the collection of assessment i nsta llments and the Redempt i on Fund shall be governed by the provisions of the Act. Under no circumstances shall the Bonds or interest thereon be paid out of any other fund except as provi ded by law. RESERVE FUND: Pursuant to Part 16 of the Act, there shall be created a special reserve fund for the Bonds to be designated by the name of the Assessment District and specified as the special "Reserve Fund". An amount equal to the Reserve Requirement shall be deposited in the Reserve Fund out of the Bond proceeds. Monies in the Reserve Fund shall be applied as follows: A. Amounts in said Reserve Fund shall be transferred to the Redemption Fund for the Bonds if, as result of delinquencies in the payment of assessments, there are insufficient monies in said Redemption Fund to pay principal of and interest on the Bonds when due. Amounts so transferred shall be repaid to the Reserve Fund from proceeds from the redemption or foreclosure of property with respect to which an assessment is unpai d and from payments of the del inquent assessments. B. The "Reserve Requirement" shall be an amount equal to the lesser of (i) the ~aximum Annual Debt Servi ce on the Bonds, (i i) 125% of the average annual debt servi ce on the Bonds, or (i i i) the 1 esser of 10% of the principal amount of the Bonds outstanding or 10% of the original principal amount less any original issue discount or plus any original issue premium. Annual Debt Service on the Bonds for each year ending September 2nd shall equal the sum of (a) the interest falling due on the outstanding Bonds in such 12 month period, assuming that the outstanding Bonds are retired as '0 ~ 1 0 scheduled, and (b) the principal amount of outstanding Bonds fall in g due duri ng such 12 month peri ad. "Average Annual Debt Service" shall mean the average Annual Debt Service during the term of the Bonds. "Maximum Annual Debt Service" shall mean, as computed from time to time, the largest Annual Debt Service during the period from the date of such computation through the final maturity of any outstanding Bonds. C. Interest earned on the permitted investment of monies on deposit in the Reserve Fund shall remai n in the Reserve Fund to the extent required to maintain the Reserve Fund. On July 15 of each fiscal year the amount on deposit in the Reserve Fund in excess of the Reserve Requirement may, in the sole discretion of the Issuer, be transferred from the Reserve Fund to the Redemption Fund and credited to the unpaid assessment installments payable during such fiscal year. The Auditor's record, prepared pursuant to Section 8682 of the Streets and Highways Code, shall reflect the credits against each of the unpaid assessments in the manner provided in Streets and Highways Code Section 10427.1 in amounts equal to each parcel's proportionate share of such transfer. Notwithstanding the above, interest earnings on monies on deposit in the Reserve Fund in excess of the "yield" on the Bonds, as that term is defined in the Internal Revenue Code of 1986 (the "Code"), shall be subject to transfer and rebate to the United States pursuant to the terms and provisions contained in Exhibit "B" attached hereto and incorporated herein by reference. D. Whenever monies in the Reserve Fund are sufficient to retire all of the Bonds outstanding, plus accrued interest thereon, such money shall be transferred to the Redemption Fund for the Bonds and collection of a corresponding amount of the remaining unpaid assess- ments shall cease. E. In the event assessments are paid in cash in advance of their final maturity date, the Issuer shall credit the prepaid assessment with a proportionate share of the Reserve Fund and transfer an amount equal to such credit to the Redemption Fund to be utilized for the advance retirement of Bonds. SECTION 20. Covenant for Superi or Court Foreclosure. In the event of deli nquency in the payment of any installments of unpaid assessments, the Issuer does covenant for the benefit of the owners of the Bonds that it will review assessment records of the County not later than February 15 and June 15 of each year to determine the amount of the assessments collected in the current fiscal year. The Issuer shall commence fore- closure action(s) on all parcels for which the payment of assessment installments are del inquent in the Superior Court of the State of California (Part 14, Division 10, "Improvement Bond Act of 1915", Streets and Highways Code) no later than April 1 (with respect to the February 15 determination) or August 1 (with respect to the June 15 determination) and diligently prosecute and pursue such foreclosure proceedings to judgment and sale; provided that no foreclosure proceeding shall be required as long as the Reserve Fund is maintained I()~q I at or above the Reserve Requirement. The Finance Director shall notify the Mayor and City Counci 1 and the City Attorney of any del inquency requiring the commencement of a foreclosure action pursuant hereto and the City Attorney shall commence, or cause to be commenced, such proceedings. SECTION 21. Covenant to Maintain Tax-Exem t Status. The Issuer covenants that it wi not make any use 0 the proceeds of the Bonds issued hereunder which would cause the Bonds to become "arbitrage bonds" subject to Federal income taxation pursuant to the provisions of Section 148(a) of the Code, or to become "Federally-guaranteed obl igations" pursuant to the provisions of Section 149(b) of the Code, or to become "private activity bonds" pursuant to the provisions of Section 141(a) of the Code. To that end, the Issuer will comply with all applicable require- ments of the Code and all regulations of the United States Department of Treasury issued thereunder to the extent such requi rements are, at the time, applicable and in effect. Additionally, the Issuer agrees to imp 1 ement and fo 11 ow each and every recommendat i on provi ded by bond counsel and deemed to be necessary to be undertaken by the Issuer to ensure compliance with all applicable provisions of the Code in order to preserve the exemption of interest on the Bonds from Federal income taxation. SECTION 22. Covenants Regarding Arbitrage. The Issuer shall not take nor permit or suffer to be taken any action with respect to the gross proceeds of the Bonds as such term is defined under the Code which, if such action had been reasonably expected to have been taken, or had been del iberately and intent i ona lly taken, on the date of issuance of the Bonds, woul d have caused the Bonds to be "arbitrage bonds" within the meaning of Section 148 of the Code and the regulations promulgated thereunder. The Issuer shall calculate Excess Earnings in accordance with the Rebate Instructions attached hereto as Exhibit "B" and incorporated herein by this reference, and shall pay Excess Earnings to the United States of America in accordance with the Rebate Instructions. Notwithstanding the foregoing, the Rebate Instructions may be modified, in whole or in part, wi thout the consent of the owners of the Bonds, upon receipt by the Issuer of an opinion of Bond Counsel to the effect that such modification shall not adversely affect the exclusion from gross income of interest on the Bonds then Outstanding. SECTION 23. Order to Pri nt and Authent i cate Bonds. The Treasurer is hereby instructed to cause Bonds, as set forth above, to be typed or printed, and to proceed to cause said Bonds to be authenticated and delivered to an authorized representative of the purchaser, upon payment of the purchase prioe as set forth in the accepted proposal for the sale of Bonds. SECTION 24. Arbitrage Certificate. On the basis of the facts, estimates and circum- stances now in existence and in existence on the date of issue of the Bonds, as determi ned by the Treasurer, said Treasurer is hereby autho- rized to certify that it is not expected that the proceeds of the issue will be used in a manner that would cause such obligations to be arbi- trage Bonds. Such certification shall be del ivered to the purchaser together with the Bonds. {{J ~ 1 '2- SECTION 25. Amendments or Supplements. The Issuer may, by adoption of a resolution from time to time, and at any time, without notice to or consent of any of the Bondowners, approve an amendment or supplemental indenture hereto for any of the following purposes: (a) to cure any ambiguity, to correct or supplement any provlslon here- in which may be inconsistent with any other provision herein, or to make any other provision with respect to matters or questions arising under this Indenture or in any supplemental indenture, provided that such action shall not materially adversely effect the interests of the Bondholdersj (b) to add to the covenants and agreements of and the 1 imi tat ions and the restrictions. upon the Issuer contained in this Indenture, other covenants, agreements, limitations and restrictions to be observed by the Issuer whi ch are not contrary to or i ncons i stent with this Indenture as theretofore in effect; (c) to modify, alter, amend or supplement this Indenture in any other respect wh i ch is not materi ally adverse to the interests of the Bondownersj (d) to maintain the tax exempt status of the interest payable on the Bonds; or (e) to issue additional bonds as provided in Section 26 hereof. Excl usive of the supplemental indentures hereto provided for in the first paragraph of this Section 25, the Owners of not less than 60% in aggregate principal amount of the Bonds then Outstanding shall have the right to consent to and approve the adoption by the Issuer of such supp 1 ementa 1 indentures as shall be deemed necessary or des i rab 1 e by the Issuer for the purpose of waiving, modifying, altering, amending, adding to or rescinding, in any particular, any of the terms or provi- sions contained in this Indenture; provided, however, that nothing herein shall permit, or be construed as permitting, (a) an extension of the maturity date of the principal of, or the payment date of interest on, any Bond, (b) a reduction in the principal amount of, or redemption premium on, any Bond or the rate of interest thereon, (c) a preference or priority of any Bond or Bonds over any other Bond or Bonds, or (d) a reduction in the aggregate principal amount of the Bonds the Owners of which are required to consent to such resolution or order, without the consent of the Owners of all Bonds then outstanding. SECTION 26. Additional Bonds. The Issuer may issue from time to time additional bonds upon the unpaid assessments in an amount not to exceed the total amount of unpaid assessments then existing less the principal amount of Bonds previously issued for, and secured by, the unpaid assessments. Additional bonds issued pursuant to this Section 26 shall be on a parity with the Bonds. 10 r "(3 IN WITNESS WHEREOF, the Issuer has executed thi s Bond Indenture effective the date first written hereinabove. FINANCE DIRECTOR CITY OF CHULA VISTA STATE OF CALIFORNIA , IO"-~ l-I !/O -9j YEAR 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2017 CITY OF CHULA VISTA ASSESSMENT DISTRICT NO. 92-2 (AUTO PARK) EXHIBIT "A" MATURITY SCHEDULE PRINCIPAL MATURING INTEREST RATE $ , }tJJ - '1 s CITY OF CHULA VISTA ASSESSMENT DISTRICT NO. 92-2 (AUTO PARK) EXHIBIT "B" ARBITRAGE REBATE INSTRUCTIONS This document sets forth instructions regarding the investment and disposition of monies deposited in various funds and accounts estab1 ished in connection with the issuance by the City of Chu1a Vista ("Issuer") of its Assessment District No. 92-2 (Auto Park) Limi ted Ob 1 i gat i on Improvement Bonds in aggregate pri nc i pa 1 amount of $1,985,683.00 ("Bonds"). The purpose of these instructions is to provide the Issuer with information necessary -to _ ensure that the investment of the monies in the funds and accounts described herein will comply with the arbitrage requirements imposed by the Internal Revenue Code of 1986 and the regulations issued thereunder. DEFINITIONS For purposes of these instructions, the following terms shall have the meanings set forth below: Bond Year. The term "Bond Year" means each 12 month period (or shorter period from the date of issuance) that ends at the close of business on a date selected by the Issuer. Code. The term "Code" means the Internal Revenue Code of 1986, as amended. Delivery Date. The term "Delivery Date" means August _, 1994. Excess Investment Earn i ngs. The term "Excess Investment Earni ngs" means an amount equal to the sum of: (1) The excess of (a) The aggregate amount earned from the Deli very Date of the Bonds on all Nonpurpose Investments in which Gross Proceeds of the Bonds are invested, over (b) The amount that would have been earned if the Yield on such Nonpurpose Investments had been equal to the Yield on the Bonds, plus ' (2) Any income attributable to the excess described in paragraph (I). In determining Excess Investment Earnings, (i) any gain or loss on the disposition of a Nonpurpose Investment shall be taken into account and (ii) any amount earned on a bona fide debt service fund shall not be taken into account. Capi ta 1 i zed terms herei n that are not defi ned herei n shall have the meani ng set forth in the Bond Indenture. 1~ - ~, Gross Proceeds. The term "Gross Proceeds" means the following: (1) Original proceeds, i.e., the amount received by the Issuer as a result of the sale of the Bonds and any amounts actually or constructively received from investing the amount received from the sale of the Bonds; (2) Amounts, other than ori gi na 1 proceeds, in the Reserve Fund and in any other fund established as a reasonably required reserve or replacement fund; (3) Amounts, other than as specified above, that are reasonably expected to be or are used to pay debt service with respect to the Bonds; and, (4) Amounts received as a result of investing amounts described above. Investment Property. The term "Investment Property" means any security, ob 1 i gation, annuity contract or investment-type property in which Gross Proceeds are invested, excluding, however, the following: (a) Un itedSt ates Treasury - State and Local Government Series, Demand Deposit securit i es; and (b) tax-exempt obligations. For purposes of these Instructi ons, the term "tax-exempt ob 1 i gat ions" shall i nc 1 ude only obligations the interest on which is (i) excludable from gross income for federal income tax purposes and (ii) not treated as an item of tax preference under Section 57(a)(5) of the Code. The term "tax-exempt obligation" shall, however, also include stock in a "qualified regulated investment company," which is a corporation that (i) is a regulated investment company within the meaning of Section 851(a) of the Code and meets the requirements of Section 852(a) of the Code for the taxable year; (ii) has only one class of stock authorized and outstanding; (iii) invests all of its assets in tax-exempt obl igations (as defined above) to the extent practic- ab 1 e; and (i v) has at 1 east 98% of its gross income deri ved from interest on, or gain from the sale or other disposition of, tax-exempt obligations, or the weighted average value of its assets is represented by investments in tax-exempt obligations. Nonpurpose Investment. The term "Nonpurpose Investment" means any Investment Property which is acquired with the Gross Proceeds of the Bonds and is not acquired in order to carry out the governmental purpose of the Bonds. Purchase Price. The term "Purchase Price", for the purpose of computation of the Yield of the Bonds, has the same meaning as the term "Issue Price" in Sections 1273(b) and 1274 of the Code, and, in general, means the initial offering price to the public (not including bond houses and brokers, or similar persons or organiza- tions acting in the capacity of underwriters or wholesalers) at which price a substantial amount of each maturity (at least 10 percent) of the Bonds was sold. The term "Purchase Pri ce"., for the purpose of computat i on of Yi e 1 d of Nonpurpose Investments means the fair market value of the Nonpurpose Investment on the date of use of Gross Proceeds of the Bonds for acquisition thereof, or if later, on the date that Investment Property constituting a Nonpurpose Investment becomes a Nonpurpose Investment of the Bonds. Regulations. The term "Regulations" means temporary and permanent Regulations promulgated under Section 148 of the Code. ,~...~ 7 Yield. The term "Yield" means that discount rate which, when used in computing the present value of all payments of principal and interest (or other payments in the case of Nonpurpose Investments which require payments in a form not characterized as principal and interest) on a Nonpurpose Investment or on the Bonds produces an amount equal to the Purchase Price of such Nonpurpose Investment or the Bonds, all computed as prescribed in applicable Regulations. The yield on Nonpurpose Investments must be computed by the use of the same frequency interval of compounding interest as is used with respect to the Bonds. REBATE REQUIREMENT Calculation of Excess Investment Earnings. No later than the last day of the fifth Bond Year, each succeeding fifth Bond Year and on the date the last Bond is discharged, the Issuer shall calculate or cause to be calculated the Excess Investment Earnings. This calculation shall be made or caused to be made by the Issuer in accordance with the following rules: (1) For purposes of calculating the Yield on any investment as required under these Instructions, the purchase price of the investment will be the fair market price of the investment on an established market. This means that the Issuer wi 11 not pay a premium and wi 11 not accept a lower interest rate than is usually paid to adjust the Yield on an investment. The market price of certificates of deposit issued by a commercial bank may be regarded as being at a fair market price if they are determined by reference to the bona fide bid price quoted by a dealer who maintains an active secondary market in such cert ifi cates, or, if no secondary market exi sts, by sat is fyi ng subparagraph (3) below relating to investment agreements. (2) (3) Investments pursuant to an investment agreement may be regarded as being made at a fair market price if (i) at least three (3) bids are received on the investment contract from persons wi thout an interest in the Bonds; (i i) the winning bidder provides a certificate that, based on its reasonable expecta- t ions on the date the investment agreement is entered into, investments wi 11 not be purchased or sole at a price other than their fair market value; (iii) the yield on the investment agreement is at least equal to the yield offered under the highest bid received from a non-interested party; and (iv) the yield on the investment agreement is at least equal to the yield offered on similar contracts. . (4) For other investments traded on an establ ished market, the fair market price shall be the mean between the bid and offered prices for such obligations on the date of purchase or, if subsequent thereto, the date the investment becomes a Nonpurpose Investment. Where amounts must be restricted to a certain Yield and investments cannot be purchased on an establ ished market or a bona fide fair market price cannot be established at a Yield that does not exceed the maximum permissible Yield, the I ssuer may acqu ire or hold tax-exempt securi ties, currency or United States Treasury Certificates of Indebtedness, Notes and Certificates - State and Local Government Series ("SLGs") that Yield no more than the maximum permissible Yield. SLGs are available at the Federal Reserve Bank. (5) fdJ - , ~ Payment to Un i ted States. The Issuer shall payor cause to be pai d an amount equal to Excess Investment Earnings (after application of any available credits) to the United States of America in installments with the first payment to be made not later than thirty (30) days after the end of the fifth Bond Year, and with subsequent payments to be made not later than five (5) years after the preceding payment was due. The Issuer shall assure that each such installment is in an amount equal to at least ninety percent (90%) of the Excess Investment Earnings with respect to the Bonds as of the close of the computat i on peri od. Not 1 ater than s i x':.y (60) days after the retirement of the Bonds, the Issuer shall payor cause to be paid to the United States one hundred percent (100%) of the theretofore unpaid Excess Investment Earnings of the Bonds. The Issuer shall remit payments to the United States at the address prescribed by the Regulations as the same may be from time to time in effect wi th such reports and statements as may be prescri bed by such Regu 1 at ions. The Issuer shall assure that such payments are made to the United States on a timely basis from any funds lawfully available therefor. Further Obligation of Issuer. The Issuer shall assure that Excess Investment Earnings are not paid or disbursed except as provided in these instructions. To that end, the Issuer shall assure that investment transactions are on an arms-length basis. In the event that Nonpurpose Investments consist of certificates of deposit or investment contracts, investment in such NonPurpose Investments shall be made in accordance with the procedures described in applicable Regulations as from time time in effect. REBATE EXCEPTIONS. Absent an oplnlon of nationally recognized bond counsel, the exception of Section 148(f) (4) (C) of the Code wi 11 be considered satisfied only if either the Six-Month Exception (set forth in subparagraph (1) below) or the Two-Year Exception (set forth in subparagraph (2) below) is satisfied. If either of such requirements is satisfied, the Rebate Requirement will be treated as having been satisfied. (1) Si x-Month Except i on. The Si x-Month Exception wi 11 be treated as havi ng been satisfied if all Gross Proceeds of the Bonds are expended for the governmental purposes of the Bonds no later than the day that is six (6) months after the date of deli very of the Bonds, and if all amounts, if any, determi ned to be required to be paid to the United States Treasury in compliance with the Rebate Regulations are paid to the United States Treasury. Gross Proceeds which are he 1 din the Reserve Fund and Gross Proceeds wh i ch ari se after such six (6) months and which were not reasonably anticipated as of the date of delivery of the Bonds shall not be considered Gross Proceeds for purposes of this subpara- graph (1). (2) Two-Year Exception. The Two-Year Exception will be treated as having been satisfied in the requirements of paragraphs (i) and (ii) below are satisfied. (i) At least 7S percent of the available construction proceeds of the Bonds are used for construction expenditures (including reconstruction and rehabil itation) with respect to property that is owned by a governmental unit or an organization described in Section SOl(c) (3) of the Code and exempt from federal income tax under Section SOl(a) of the Code. ~~~1 (ii) At least 10 percent of the available construction proceeds of the Bonds have been expended for the governmental purposes of the Bonds within the six (6) month period beginning on the date of the delivery of the Bonds, at least 45 percent of the available construction proceeds have been expended for the governmental purposes of the Bonds wi thi n the one (1) year period beginning on the date of the delivery of the Bonds, at least 75 percent of the available construction proceeds of the Bonds have been expended for the governmental purposes of the Bonds within the 18-month period beginning on the date of the delivery of the Bonds, and all of the available construction proceeds of the Bonds have been expended for the governmental purposes of the Bonds within the two (2) year period beginn- ing on the date of the del ivery of the Bonds. For purposes of this subparagraph, the term "avai 1 ab 1 e construct i on proceeds" means the amount equal to the issue price (within the meaning of Sections 1273 and 1274 of the Code) of the Bonds, increased by earnings on the issue price, earn- ings on amounts, if any, on deposit in the Reserve Fund not funded from the proceeds of the sale of the Bonds, and earnings on all of the fore- ',going earnings, and reduced by the amount of the issue price on deposit in the Reserve Fund and the issuance costs financed by the Bonds. The term "available construction proceeds" shall not include amounts earned on the Reserve Fund after the earlier of the close of the two (2) year period described above in this subparagraph (ii) or the date the construc- tion is substantially completed. The term "available construction proceeds" shall not i nc 1 ude payments on any ob 1 i gati on acqui red to carry out the governmental purposes of the Bonds and shall not include earnings on such payments. For purposes of subparagraph (ii) of this subparagraph (2) all of the available construction proceeds shall be treated as expended for the governmental purposes of the Bonds within two (2) years from the date of the delivery of the Bonds if all of such proceeds are expended for the governmental purposes of the Bonds within three (3) years from the date of the del ivery of the Bonds and such amounts would have been expended for such purposes within two (2) years from the date of the deli very of the Bonds but for a reasonable retai nage (~, to ensure compliance with the terms of a construction contract) that does not exceed five (5) percent of the available construction proceeds of the Bonds. Mu It i -Purpose I ssue Treatment. Solely for purposes of determi n i ng whether the Bonds are described in subparagraph (1) of subparagraph (2) above, the Issuer may treat the Bonds as two separate issues. Only one of such two separate issues may be treated as satisfying the requirements of subparagraph (2) above. EXPECTATIONS AND ELECTIONS. The issuer expects that the proceeds of the sale of the Bond s depos ited in the Improvement Fund wi 11 be fully expended for construction expenditures within the meaning of Section 148(f) (4) (C) (iv) (I) of the Code. The Issuer does, therefore,' expect to satisfy the spending requirements of Section 148(f)(4)(C) (ii) of the Code. Accordingly, the Issuer does elect to apply the two-year expenditure exception of Section 148(f)(4)(C)(ii) of the Code to the Bonds. (3) I() - I {TO MAINTENANCE OF RECORDS. With respect to all Nonpurpose Investments acquired in a fund or account established and held by the Issuer, the Issuer shall record or cause to be recorded the fo 11 owi ng i nformat i on: (i) purchase date, (i i) purchase pri ce, (iii) information establishing that the purchase price is the fair market value as of such date (~, the pub 1 i shed quoted bi d by a dealer in such an investment on the date of purchase), (iv) any accrued interest paid, (v) face amount, (vi) coupon rate, (vii) periodicity of interest payments, (viii) disposition price, (ix) any accrued interest received, and (x) disposition date. To the extent any investment becomes a Nonpurpose Investment by becoming Gross Proceeds after it was originally purchased, it shall be treated as if it were acquired at its fair market value at the time it becomes a Nonpurpose Investment. The Issuer shall keep and retain for a pe ri od of six (6) years fo 11 owi ng the ret i rement of the Bonds, records of all determinations made pursuant to these Instructions. AMENDMENT. In order to comply with the covenants in the Bond Indenture regarding complianc~ with the requirements of the Code and the continued exclusion from gross income for purposes of federal income taxat i on of interest paid on the Bonds, the procedures described in these Instructions may be modified as necessary, without the consent of Bond owners, and based on the opinion of nationally recognized bond counsel acceptable to the Issuer, to comply with regulations, rulings, legislation or judicial decisions as may be applicable to the Bonds. Neither the Issuer nor any of its members, agents, offi cers or emp 1 oyees shall be 1 i ab 1 e for any act i on taken or for .its failure to take any action in connection with these Instructions. The Issuer:may rely conclusively on the advice of its Bond Counsel with respect to the requirements of these Instructions. *** , 10 ,. 10 I COUNCIL AGENDA STATEMENT Item /1 Meeting Date 8/2/94 SUBMITTED BY: Resolution 175'1 r Approving Final Map and Subdivision Improvement Agreement for Chula Vista Tract 93-03, Telegraph Canyon Estates Neighborhood 2 Unit 2 Resolution /759' Approving Final Map and Subdivision Improvement Agreement for Chula Vista Tract 93-03, Telegraph Canyon Estates Neighborhood 3 Unit 2 Director of Public wor~1li. ~ City Manager~ ~~] (4/5ths Vote: Yes_No-XJ ITEM TITLE: REVIEWED BY: On January 19, 1993, by Resolution 16960, the City Council approved the Tentative Subdivision Map for Chula Vista Tract 93-03, Telegraph Canyon Estates. The fifth and sixth final maps for said tentative map are now before Council for approval. RECOMMENDATION: That Council adopt the resolutions approving the final maps and the subdivision improvement agreements. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: The project is generally located on the northerly side of Otay Lakes Road and adjacent to the western side of the proposed alignment for State Route 125. It consists of 112.4 acres which are proposed to be subdivided into 344 residential lots and open space lots. The first four units of the development, which were previously approved by Council, consisted of a total of 142 numbered single family residential lots and a total of five (5) lettered lots for open space and other public purposes totalling approximately 62.7 acres. The two maps now before Council for approval represent the final maps for the second phase of the development. These maps consist of a total of 38 numbered single family lots totalling approximately 7.6 acres. Approval of the maps brings the total number of approved lots for the development to 180 numbered residential lots and 5 lettered lots for open space and other public purposes. All conditions of approval applicable to these maps have been satisfied. The condition that requires an agreement to provide low and moderate income housing must be satisfied prior to approval of the map containing the 200th residential lot as stipulated in Council Resolution No. 17475 amending certain conditions of the Tentative Map for Telegraph Canyon .. 1/-/ Page 2, Item~ Meeting Date 8/2/94 Estates. Community Development staff IS currently negotiating this agreement with the developer. The final maps for Unit 2 of Neighborhoods 2 and 3 of Chula Vista Tract 93-03, Telegraph Canyon Estates have been reviewed by the Public Works Department and found to be in substantial conformance with the approved tentative map. Approval of the final maps constitutes acceptance on behalf of the public portions of Genevieve Avenue and St. Germain Road and tree planting and maintenance easements all as shown on the final maps. The developer has executed a Subdivision Improvement Agreement for each map and provided bonds to guarantee construction of the required public improvements (CV drawings 94-01 through 94-20), except for PAD fees has paid all applicable fees, and has provided a bond to guarantee the monumentation for said subdivision. Under the recent PAD fees policy adopted by the Council, the PAD Fees do not have to be paid until the final map is released for recording, but not later than 60 days after the Council approves the map. Staff will not release the map until the PAD Fees have been paid. A Supplemental Subdivision Agreement applicable to these maps has been previously approved by Council with approval of the first three maps (Resolution No. 17279). A copy of this agreement and subsequent approved amendments is attached. A plat is available for Council viewing. FISCAL IMPACT: None. All Staff costs associated with processing of improvement plans and final ma7 will be reimbursed from developer deposits. Attachments: J /Subdivision Improvement Agreements (2) J Bonds NOT ~r A Pisclosur~t!lt.Jrh~NNE.D NOT SC A,., V Plat - Telegraph Canyon Estates Phasell -ru ,'NED Approved Supplemental Sub~on Improvement Agreement Council Resolutino No. l74HU1'SC ~~ File: EY-387/EY-388 P:\HOME\ENGINEER\AGENDA \tce2&3u2.hnc 080294 I j- .2.. Recording Requested by: CITY CLERK When Recorded, Mail to: CITY OF CHULA VISTA 276 Fourth Avenue Chula Vista, Ca. 91910 No transfer tax is due as this is a conveyance to a public agency of less than a fee interest for which no cash consideration has been paid or received. Declarant SUBDIVISION IMPROVEMENT AGREEMENT THIS AGREEMENT, made and entered into this_day of , 199_, by and between THE CITY OF CHULA VISTA, a municipal corporation, hereinafter called "City", and BALDWIN BUILDER, a California corporation, 11975 EI Camino Real, Suite 200, San Diego, CA 92130. hereinafter called "Subdivider"; WIINES.S.EIH~ WHEREAS, Subdivider is about to present to the City Council of the City of Chula Vista for approval and recordation, a final subdivision map of a proposed subdivision, to be known as Telegraph Canyon Estates, Neighborhood 3, Unit 2 pursuant to the provisions of the Subdivision Map Act of the State of California, and in compliance with the provisions of Title 18 of the Chula Vista Municipal Code relating to the filing, approval and recordation of subdivision map; and, WHEREAS, the Code provides that before said map is finally approved by the Council of the City of Chula Vista, Subdivider must have either installed and completed all of the public improvements and/or land development work required by the Code to be installed in subdivisions before final maps of subdivisions are approved by the Council for purpose of recording in the Office of the County Recorder of San Diego County, or, as an alternative thereto, Subdivider shall enter into an agreement with City, secured by an approved improvement security to insure the performance of said work pursuant to the requirements of Title 18 of the Chula Vista Municipal Code, agreeing to install and complete, free of liens at Subdivider's own expense, all of the public improvements and/or land development work required in said subdivision within a definite period of time prescribed by said Council, and -1- /I-J WHEREAS, Subdivider is willing in consideration of the approval and recordation of said map by the Council, to enter into this agreement wherein it is provided that Subdivider will install and complete, at Subdivider's own expense, all the public improvement work required by City in connection with the proposed subdivision and will deliver to City improvement securities as approved by the City Attorney, and WHEREAS, a tentative map of said subdivision has heretofore been approved, subject to certain requirements and conditions, as contained in Resolution No. 16960, approved on the 19th day of January, 1993 ("Tentative Map Resolution"); and WHEREAS, complete plans and specifications for the construction, installation and completion of said public improvement work have been prepared and submitted to the City Engineer, as shown on Drawings Nos. 94-20 through 94-01, inclusive on file in the office of the City Engineer, and WHEREAS, an estimate of the cost of constructing said public improvements according to said plans and specifications has been submitted and approved by the City in the amount of One Hundred Eleven Thousand Dollars and No Cents ($111,000.00). NOW, THEREFORE, IT IS MUTUALLY UNDERSTOOD AND AGREED AS FOLLOWS: I. Subdivider, for itself and his successors in interest, an obligation the burden of which encumbers and runs with the land, agrees to comply with all of the terms, conditions and requirements of the Tentative Map Resolution; to do and perform or cause to be done and performed, at its own expense, without cost to City, in a good and workmanlike manner, under the direction and to the satisfaction and approval of the City Engineer, all of the public improvement and/or land development work required to be done in and adjoining said subdivision ("Improvement Work"); and will furnish the necessary materials therefor, all in strict conformity and in accordance with the plans and specifications, which documents have heretofore been filed in the Office of the City Engineer and by this reference are incorporated herein and made a part hereof. 2. It is expressly understood and agreed that all monuments have been or will be installed within thirty (30) days after the completion and acceptance of the Improvement Work, and that Subdivider has installed or will install temporary street name signs if permanent street name signs have not been installed. 3. It is expressly understood and agreed that Subdivider will cause all necessary materials to be furnished and all Improvement Work required under the provisions of this contract to be done on or before the third anniversary date of Council approval of the Subdivision Improvement Agreement. -2- ) I ' "'/ 4. It is understood and agreed that Subdivider will perform said Improvement Work as set forth hereinabove, or that portion of said Improvement Work serving any buildings or structures ready for occupancy in said subdivision, prior to the issuance of any certificate of clearance for utility connections for said buildings or structures in said subdivision, and such certificate shall not be issued until the City Engineer has certified in writing the completion of said public improvements or the portion thereof serving said building or structures approved by the City; provided, however, that the improvement security shall not be required to cover the provisions of this paragraph. 5. It is expressly understood and agreed to by Subdivider that, in the performance of said Improvement Work, Subdivider will conform to and abide by all of the provisions of the ordinances of the City of Chula Vista, and the laws of the State of California applicable to said work. 6. Subdivider further agrees to furnish and deliver to the City of Chula Vista, simultaneously with the execution of this agreement, an approved improvement security from a sufficient surety, whose sufficiency has been approved by the City in the sum of Fifty-Five Thousand Five Hundred Dollars and No Cents ($55,500.00) which security shall guarantee the faithful performance of this contract by Subdivider and is attached hereto, marked Exhibit "A" and made a part hereof. 7. Subdivider further agrees to furnish and deliver to the City of Chula Vista simultaneously with the execution of this agreement, an approved improvement security from a sufficient surety, whose sufficiency has been approved by the City in the sum of Fifty-Five Thousand Five Hundred Dollars and No Cents ($55,500.00) to secure the payment of material and labor in connection with the installation of said public improvements, which security is attached hereto, marked Exhibit "8" and made a part hereof and the bond amounts as contained in Exhibit "8", and made a part hereof. 8. Subdivider further agrees to furnish and deliver to the City of Chula Vista, simultaneously with the execution of this agreement, an approved improvement security from a sufficient surety, whose sufficiency has been approved by the City in the sum of One Thousand Five Hundred Dollars and No Cents ($3,000.00) to secure the installation of monuments, which security is attached hereto, marked Exhibit "C" and made a part hereof. 9. It is further agreed that if the Improvement Work is not completed within the time agreed herein, the sums provided by said improvement securities may be used by City for the completion of the Improvement Work within said subdivision in accordance with such specifications herein contained or referred, or at the option of the City, as are approved by the City Council at the time of engaging the work to be performed. Upon certification of completion by the City Engineer and acceptance of said work by City, and after certification by the Director of Finance that all costs hereof are fully paid, the whole amount, or any part thereof not required for payment thereof, may be released to Subdivider or its successors in interest, pursuant to the -3- /1"5" terms of the improvement security. Subdivider agrees to pay to the City any difference between the total costs incurred to perform the work, including design and administration of construction (including a reasonable allocation of overhead), and any proceeds from the improvement security . 10. It is also expressly agreed and understood by the parties hereto that in no case will the City of Chula Vista, or any department, board or officer thereof, be liable for any portion of the costs and expenses of the work aforesaid, nor shall any officer, his sureties or bondsmen, be liable for the payment of any sum or sums for said work or any materials furnished therefor, except to the limits established by the approved improvement security in accordance with the requirements of the State Subdivision Map Act and the provisions of Title 18 of the Chula Vista Municipal Code. II. It is further understood and agreed by Subdivider that any engineering costs (including plan checking, inspection, materials furnished and other incidental expenses) incurred by City in connection with the approval of the Improvement Work plans and installation of Improvement Work hereinabove provided for, and the cost of street signs and street trees as required by City and approved by the City Engineer shall be paid by Subdivider, and that Subdivider shall deposit, prior to recordation of the Final Map, with City a sum of money sufficient to cover said cost. 12. It is understood and agreed that until such time as all Improvement Work is fully completed and accepted by City, Subdivider will be responsible for the care, maintenance of, and any damage to, the streets, alleys, easements, water and sewer lines within the proposed subdivision. It is further understood and agreed that Subdivider shall guarantee all public improvements for a period of one year from date of final acceptance and correct any and all defects or deficiencies arising during said period as a result of the acts or omission of Subdivider, its agents or employees in the performance of this agreement, and that upon acceptance of the work by City, Subdivider shall grant to City, by appropriate conveyance, the public improvements constructed pursuant to this agreement; provided, however, that said acceptance shall not constitute a waiver of defects by City as set forth hereinabove. 13. It is understood and agreed that City, as indemnitee, or any officer or employee thereof, shall not be liable for any injury to person or property occasioned by reason of the acts or omissions of Subdivider, its agents or employees, or indemnitee, related to this agreement. Subdivider further agrees to protect and hold the City, its officers and employees, harmless from any and all claims, demands, causes of action, liability or loss of any sort, because of or arising out of acts or omissions of Subdivider, its agents or employees, or indemnitee, related to this agreement; provided, however, that the approved improvement security shall not be required to cover the provisions of this paragraph. Such indemnification and agreement to hold harmless shall extend to damages to adjacent or downstream properties or the taking of property from owners of such adjacent or downstream properties as a result of the construction of said subdivision and the public improvements as provided herein. It shall also extend to damages resulting from diversion of waters, change in the volume of flow, modification of the velocity of -4 - /I"? the water, erosion or siltation, or the modification of the point of discharge as the result of the construction and maintenance of drainage systems. The approval of plans providing for any or all of these conditions shall not constitute the assumption by City of any responsibility for such damage or taking, nor shall City, by said approval, be an insurer or surety for the construction of the subdivision pursuant to said approved improvement plans. The provisions of this paragraph shall become effective upon the execution of this agreement and shall remain in full force and effect for ten (10) years following the acceptance by the City of the improvements. 14. Subdivider agrees to defend, indemnify, and hold harmless the City or its agents, officers, and employees from any claim, action, or proceeding against the City or its agents, officers, or employees to attack, set aside, void, or annul, an approval of the City, advisory agency, appeal board, or legislative body concerning a subdivision, which action is brought within the time period provided for in Section 66499.37 of the Government Code of the State of California. IN WITNESS WHEREOF, the parties hereto have caused this agreement to be executed the day and year first hereinabove set forth. THE CITY OF CHULA VISTA SUBDIVIDER: BALDWIN BUILDERS, a California Corporation Mayor of the City of Chula Vista ATTEST City Clerk By: Timothy J. O'Grady Vice President Approved as to form by Ci,y::;k ~ (Attach Notary Acknowledgment) -5- J/- 7 LIST OF EXHIBITS Exhibit "A" Improvement Security - Faithful Performance > , . Form: BOND Amount: $55,500.00 Exhibit "B" Improvement Security - Material and Labor: Form: BOND Amount: $55,500.00 Exhibit "C" Improvement Security - Monuments: Form: BOND Amount: $1,500.00 Securities approved as to form and amount by ti.. ik ~~...Q City Attorney Improvement Completion Date: THREE (3) YEARS FROM DATE OF COUNCIL APPROVAL OF THE SUBDIVISION IMPROVEMENT AGREEMENT -6- /1-' r/ EXECUTED IN TRIPLICATE BOND #111 2724 3712 Premium: $999.00 J 'N:.) &$1:) Ax/v :oc:m FeR r:.;ITHFUL ?ERFOlU".ANCE \'iE~?"::.~_S, ':'~e Ci. ty Counci.l of tl1e Ci t.y of C:tula Vista f S ta te of Cal:..f:::::n.:.a, and Baldwin Builders. A California Corporation (here~naf~er des~gna~ed as u?r~nci.?al") ,::ave e!'.'Ca:ed l.n'C.o an ag=eement whereby 9rincipal agrees to ins~~ll and complete certain designated public irnprovemen'C.s, ~hici said agrea~ent, dated 19 , and ide!".~ified as project TR.Na. 93-03 Neighborhood 3. Unit 2 Sanitary Sewer and Roadway Improvement - Telegraph Canyon Estates, ::.s here.oy referred ~o and ~ade a par~ hereof; and \mE~;S, Said prL~cipal is required under ~~e te~s of said ag::eemen~ to furnish a bond for the fai~~ful perfo~ance of said ag::eemen~. NOW, ~HE~E~ORE, we, the principal and The American Insurance Company , as surety, are held and =i=~ly ~cund un~o the City of Chula Vista, hereinafter called "City", in t~e penal sum of FIFTY FIVE THOUSAND FIVE HUNDRED AND NI 100------------------------------------- dollars (S 55.500.00 ) lawful money of ~~e Un~ted Sta~es, for the oavment or wh~ch sum well and t=uly to be made, we bind ourselve~,-our heirs, successors, executors and administrators, jointly and severally, firmly by these presents. The condition of this obligation is such that if the above bounded principal, his or its heirs, executors, adminis- trators, successors or assigns, shall in all things stand to and abide by, and well and truly keep and perform the covenants, conditions and provisions in the said agreement and any altera- tion thereof made as therein provided, on his or their part, to be kept and performed at the time and in the manner ~~erein specified, and in all respects according to their true intent and meaning, and shall inda~ify and save harmless ~~e City of Chula Vista, its officers, agents and employees, as therein stipulated, then this obligation shall become null and void; otherwise i~ shall be and remain in full force and effect. As a par~ of the obligation secured hereby and in addition to the face amount specified therefor, there shall be included costs and ::easonable expenses and fees, including reasonable attorney's fees, incur::ed by the City in succeSSfully enforcing such obligation, all to be taxed as costs and in- cluded in any judgment rendered. The surety hereby s~ipulates and agrees that no change, extension of ~~~e, alteration or addition to the terms of the / / -- q- .JI_J~ l/ 1"';- , . -"'- agreement or to the work to be oerformed thereunder or the specifications accompanying the'same shall in any~ise affect its obligations on this bone, and it does hereby waive notice of any such change, exta~sion of time, alteration or addition to the ter~s of the agrea~ent or to the work or to the speci- fications. ' In addition to the acts bonded for pursuant to the agrea~ent incor?orated above, the fOllowing acts and perfo~ances are additionally subject to the ter~s of this agreement:' executed of March In witness whereof, by the principal and , 19 94 this instrument has been duly surety above named, on the 8th day " BALDWIN BUILDERS, A CALIFORNIA CORPORATION THE AMERICAN INSURANCE COMPANY By:4~ ~ BY: \JI.0H1\1'(l 'ill, llirmpbt~~ IIlY\rilW ::r. ()'!-t<CA\>/ ~ \(\C'F B::FSl\:k;i.J! Conttac or APPROVED AS TO FORM: 4- ;J; la".f City Atto=ey Victoria M. Campbell, Attorney-In-Fact Surety 777 San Marin Drive Novato, CA' 94998 Surety Address P\'l-E-34 /J-/~ 1-1-=11 GENERAL POWER OF .uTORNEY THE AMERICAN INSURANCE COMPANY KNOW ALL MEN BY THESE PRESENTS: That THE AMERICAN INSURANCE COMPANY. a Corporation incorporaled under the law, of the Slale of New Jersey on February 20.1846. and redomesticated to me State of Nebraska oa June I. 1990. and having its principaJ office in the City of Omaha. Stale of Nebraska, has made, constituted and' appointed. and does by these presenu mue, cons~itute and appoint ---VICTORIA M. CAMPBELL--- Ji~I';:'~faJJ- Altomey(s)-in-Fact. with full power and authority bereby coafemd in iu aame. place and mad. 10 execute. seal. ackDowledce and dellver any and III boads. uaden.aJtiDa. r<coaDizaDca or other wrillCll obllcatioDl iD the DllUR tllmof ____________________________________ and to biDd tile CorporatioD tIIereby .. fuUy and to tbe same CXlCDt .. if sueb boDds were signed by tile PresideDt. sealed witll tile corporate seal of tile Corporation and duty attested by its Secretary, hereby ratifying and confuminl all that the said Attomey(sHa-Fact may do in the premises. This power of anomey is granted pursuant to Article VII, Sections 4$ and 46 of Ry-laws of THE AMERICAN INSURANCE COMPANY now in full force and effca. . Ardde VU. Appoln'....' aod Aulborll1 of Raid.., s.cr._. Ano",.".....Foct aDd A,..U'o """"pI L<pI Prv<:efllaod Malt. Appara_. Sectloa 45. AppoiatJJJeat. The Cbairmaa of 1be Board of Directon. Ute Presideat, aay Vice-Presideat or a01 otber penon authoriud. by tbe Board of Dlrecton, lbe Cbairmao of !be Board of Dindon, the PJUideot or aay Vjce..Preskleat IDay, from dme to time, appoiut Resideat Asststaot Secretaries aud Attorae)"l4a..Fact to represeat aad act for aad oa behalf of tbe CorpondoD ud Actau to accepllepl procell aad make appeanDCeS for aad OD bebuf of the Corporadoa. SeelIOD 46. Authority. The aUlhority of sudl. Resideal Asaistaal SecRcaries, Attonaeys..ia..Fact aad Aleals sbaJJ be as prescribed La tbe lastrumeat evldeadac tbelr appolDtmeal. AUf sucb appolalmeallad aUlalboric,. CnDeed thereby may be moted II lay time by Ibe Bolrd of Diredon or by aar perIOa empowered 10 m..ake such appolatmeat." This power of attorney is signed and sealed under and by the authority of the CoUowing Resolutigo adopted by Ihe Board of Directors of THE AMERJCAN INSURANCE COMPANY at a meeting duly called and held on the 31st day of July, 1984, and said Resolution has not been amended or repealed: "RESOLVED, that the signature of any Vice.President, Assistant Secretary, and Resident Assistant Secretary of this Corporation, and the seal of this Corporation may be amxed or printed on any power of attorney, on any revocation of any power of attorney, or on any certificate relating tbereto, by facsimile, and any power of attorney, any revocation of any power of attorney, or certificate bearing such facsimile sisnature or facsimile seal shall be valid and bindins upon the Corporation:' fN WITNESS WHEREOF. THE AMERICAN INSURANCE COMPANY bu caused these presents to be signed by its Vice-President. and its corporate seal to behero:untoafflxedtbis 1st dayof June ,19~. THE AMERICAN INSURANCE COMPANY By ~//~:~~_..~~ " -- } a. 00 tbis 1 ~ t' day of TIl,"p . 19.9.0-. before me personally came R. D. Farnsworth . 10 me known. who, being by me duly sworn. did depose and say: tllal he is Vice-President of THE AMERICAN INSURANCE COMPANY, the Corporation described in and wbich CJ;ccuted the above instrument; thai be knows the seal of said Corporation; that the seal aeflxed to the said instrUment is such corporate seal; tIIat it wu so affIXed by order of tile Board of Directon of said Corporation and tllat he signed his name tIIereto by Uke order. fN WITNESS WHEREOF, I have hereunto set my band and affixed my official seal. tile day and year herein fllSl above wrinen. ...KlI......................"......"'"",""...... i OFFICIAL SEAL S = ~ J. M. VANDEVORT 5 I NOTARY PUBliC. CALIFORNIA i i Principal Office In M,rin County : I My (ammiuiao b,... Auq. 2C. 1.,,2 i L...HI'...............n.......".O",'"..""'"'I..; STATE OF CALIFORNIA COUNTY OF MARIN -~ t/~ Nowy Public c..Eklll'lCATE STATEOFCALIFORNIA COUNTY OF MARIN } a. I. theundenigned. Resident Assistant S=ewy of THE AMERICAN fNSURANCE COMPANY. a NEBRASKA Corporation. DO HEREBY CERTIFY thaI the foregoing and attached POWER OF ATTORNEY remains in full force and has not been revok.ed; and funhermore that Article VII, Sections 4:5 and 46 of the By~laws of the Corporation, and the Resolution of the Board of Directors; see. forth in the Power of Attorney, are now in force. Signed and sealed at the County of Marin. Dated the 8 t h day of Ma r c h 94 ,19_. cY~ t> {24 I\c:lAdo:Iu ~ $c:ctcwy /1-1/ ~1II1.t~'" .'if ~ i "~~lIr\~'" 36Q7lt,TA~,90 (REV) ~XECUTED I~ TRIPLICATE Bond 1 III 2724 3720 Premium inlcuded in ?eJf9~~~~j /J XII/ BOND FOR ~~TERIAL AND LABOR \-iHERE.;$, the Cit'/ Council. of the City of Chula Vista, S tate of Cali=or:lia: and Baldwin Builders. A California Corporation (here.!.nai~e= designaced. as np=~.:1c.:.oal'l) have e!1\:==ed. :..::..~o an acreemer:t t.o{herebv ':lrinci.~al agrees to i~s~~ll and com91e~s ce=~ii~ designated puSlic . L~?rovemencs, which said ag=eeme~t, dated 19 , and idenci=ied as ?rojec-:: TR.:'lO'93-03 Neighborhood 2, Unit 2 Sanitary Sewer lit Roadway Improvements , l.S hereby re!e==ec ~o and made a par"'C. hereof; anc. leJ.egrapn I...anyon Estates WHEREAS, Onder the ter~s of said agreement, principal is requized before e!1\:eri~g upon t~e pe==o~ance of the work, to file a good and sufficient payment bond with ~~e City of Chula Vista to secure the cla~"s to which reference is made in Title 15 (commencing with Section 3082) of Part 4 of Division 3 of the CLvil Code of the State of California. NOW, TF~REFORE, said pri:lcipal and the undersigned as corporate surety, are held fi~ly bound unto the City of Chula Vista and all cont=ac-::ors, subcontractors, laborers, materialmen and o~~er persons employed in the performance of t~e aforesaid agre~~ent and referred to in the aforesaid Code of Civil Procedure in the sum of SEVENTY SEVEN THOUSAND FIVE HUNDRED AND NO/lOO---------------~----------- dollars ($ 77,500.00 ), for mater~als furn~shed or labor thereon of any kind, or for amounts due under the Unemployment Insurance Act with respect to such work or labor, that said surety will pay the same L'1 an amount not exceeding the amount hereinabove set forth, and also in case suit is brought upon ~~is bond, will pay, in addition to the face amount thereof, costs and reasonable expenses and fees, including reasonable attorney's fees, incurred by ~~e City of Chula Vista in successfully enforcing such obligation, to be awarded and f;xed by the court, and to be t~~ed as costs and to be included in the judgment therein .rendered. It is hereby expressly stipulated and agreed that this bond shall inure to the benefit of any and all persons, companies and corporations entitled to file claims under Title IS (commencing with Section 3082) of Part 4 of Division 3 of the Civil Code, so as to give a right of action to them or their assigns in any suit brought upon this bond. Should the condition of this bond be fully performed, then this obligation shnll become null and void, othe~~ise it shall be and remain in full force and ef:ect. //--// 1-1-1 -2- . The surety hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of said agrea~ent or the specifications accompanying the same shall in any manner affect its obligations on this bond, and it does hereby waive notice of any such change, extension, alteration or addition. , In witness duly executed by the the 8th day of March whereof, this instrument has been principal and surety above named, on 19 94 BALDWIN BUILDERS~ A CALIFORNIA CORPORATION THE AMERICAN INSURANCE COMPANY ~~~rJ/)v;? BY: ( \It'-l\Yi i () '--rn, (: (~\ ryV\ fh' l ~ IIMh-n+Y'J", D'&zADi1. \{ICf" w-es\CEJI Contr ctor APPROVED AS TO FORM: IL A ~.J CityAtt ney Victoria M. Campbell, Attorney-In-Fact Surety 777 San Marin Drive Novato, CA 94998 Surety Address PW-E-34 / I .-/2- --J+-P1 ";'- File No.: 111 2724 3845 EXECUTED IN TRIPLICATE Premium: $50.00 17t:fJ ,Ij.;.-,v/,j SURVEY MONUMENT INSTALLATION BOND IJ .til/ LET IT BE KNOWN BY THESE PRESENTS , that Baldwin Builders, A California Corporation as the subdivider (hereinafter "Principal"), and The American Insurance Company , a corporation of the State of Nebraska (hereinafter "Surety"), are held and fmnly bound unto the City of Chula Vista, a municipal corporation, in the County of San Diego, State of California, and to and for the benefit of any and all persons who may suffer damage by reason of the breach of the conditions hereof, in the penal sum of THREE THOUSAND AND NO 11 00--------.:.---------------------------------- dollars ($3,000.00 ) lawful money of the United States, to be paid to the said City of Chula Vista. WHEREAS, Principal is presently engaged in subdividing certain lands to be known as Chula Vista Tr #93-03 Neighborhood 2, Unit 2 Telegraph Canyon Estates subdivision in the City of Chula Vista, in accordance with the Contract for Completion of Improvements authorized by Council Resolution No. ; and, WHEREAS, Principal desires not to Install durable monuments prior to the recordation of the final map of the subdivision and desires to install same at a later date, NOW, THEREFORE, the condition of the above obligation is that if Principal shall have installed durable monuments of the survey by Hunsaker & Associates San Dieszo. Inc. . (N.... 01 Eneinoc,) in accordance with the fll1al map of said subdivision, a copy of which is on me with the City Engineer of the City of Chula Vista, reference to which said map is hereby made and same is incorporated herein as though set forth in full, and according to the ordinances of the City of Chula Vista in force and effect at the time of giving of this bond, on or before the expiration of thirty (30) consecutive days following completion and acceptance of public improvements within said subdivision, then the obligation shall be void, otherwise to be and remain in full force and effect. (Signatur.. OD revene lide.) U ~7 /1 / . //---13 IN WITNESS WHEREOF, this instrument has been duly executed by the Principal and Surety above named, on March 10 , 191.L BALDWIN BUILDERS, A CALIFORNIA CORPORATION THE AMERICAN INSURANCE COMPANY ~~ 9 /)~ BY: l ) 11\\tJJ ui 11'), rOJfl\{)btM IIM6\l.I.'/ :,\, O'l....K:J:,.'OI l\j\(!~ ~S[)F-t-C\ Principal Victoria M. Campbell, Attorney-In-Fact Surety (Above-signatories must be notarized.) Approved as to form: ;:L tft. '1" J! City Attorney (pW-E-34) //-,/L/ ~ ~ ~(j /, I //- /1/->>, 1; c4 FDlEMAH'S FUND IN5URANIZ COMPANIES FIAEMAN'S FUND INSURANCE COM""NY THE AMERICA'" INSURANCE COM,l"olINV BOND NO. III 2724 3720 NATrON"'1" Su~ItTY <=OR"O"ATION ASSOCIATED INDIMNITY CORPORATION "..ER1CAN AUTO,",OaII.E IN.URANCE COMPANY HONIE O""IC&, IAN I"ItANCIKO, CAL,JI'ORNIA BJDER In consideration of the premium charged, it is understood and agreed that: Effective from tba 8th day o' March 19~ It is understood and agreed that the above captioned bond. submitted for Neighborhood 2. Unit 2 cover the construction permits during the interim until subdivision improvement agreement is approved. Drawing #'s 94-20 thru 94-01 Provided, however, that the liabUity of the under the attached bond and under the attached bond em changed by this rider shall not be cumulative. THE AMERICAN INSURANCE COMPANY Nothing herein contained shall be held to vary, waive, alter or extend any of the terms, conditions. agreements or warranties of the undermenUoned bond. other than C%I stated above. A<<ached 10 and lorming a part of Bond No 111 2724 372,i,lsued by Ibe THE AMERICAN INSURANCE COMPANY dated Ibe 8th day of March 19~ on behalf o' BALDWIN BUILDERS, A CALIFORNIA CORPORATION and in lavor o' THE CITY OF CHULA VISTA Signed thUs 17th day of March 19-1.L THE AMERICAN INSURANCE COMPANY J, " 360270-11.66 B / I I y: ~I VIC RIA M. .2- +Htf /J~ / 5 EXECUTED IN TRIPLICATE File No.: Premium: 111 2724 3852 $5o.009(J~ B / 7~ .!25-15 f) XI I~/ SURVEY MONUMENT INSTALLATION BOND LET IT BE KNOWN BY THESE PRESENTS, that Baldwin Builders, A California Corporation as the subdivider (hereinafter "Principal"), and The American Insurance Company , a corporation of the State of Nebraska (hereinafter "Surety"), are held and fun1ly bound unto the City of Chula Vista, a municipal corporation, in the County of San Diego, State of California, and to and for the benefit of any and all persons who may suffer damage by reason of the breach of the conditions hereof, in the penal sum of ONE THOUSA.'ID FIVE HUNDRED AND NO/100-------------------------------- dollars ($ 1,500.00 ) lawful money of the United States, to be paid to the said City of Chula Vista. WHEREAS, Principal is presently engaged in subdividing certain lands to be known as Chula Vista Tr #93-03 Neighborhood 3, Unit 2 Telegraph Canyon Estates subdivision in the City of Chula Vista, in accordance with the Contract for Completion of Improvements authorized by Council Resolution No. ; and, WHEREAS, Principal desires not to install durable monument! prior to the recordation of the final map of the subdivision and desires to install same at a later date, NOW, THEREFORE, the condition of the above obligation is that if Principal shall have installed durable monuments of the survey by Hunsakes & Associates San Diego, Inc. . (II-. of Eocioon) in accordance with the final map of said subdivision, a copy of which is on me with the City Engineer of the City of Chula Vista, reference to which said map is hereby made and same is incorporated herein as though set forth in full, and according to the ordinances of the City of Chula Vista in force and effect at the time of giving of this bond, on or before the expiration of thirty (30) consecutive days following completion and acceptance of public improvements within said subdivision, then the obligation shall be void, otherwise to be and remain in full force and effect. /I-lip (SilnalUreo OD reverie ride.) ~ IN WITNESS WHEREOF, this instrument has been duly executed by the Principal and Surety above named, on March 10 , 19-2i. BALDWIN BUILDERS, A CALIFORNIA CORPORATTON THE AMERICAN INSURANCE COMPANY L;F ~.()1J?7- By: \ Acl:m in. 1Y\. rC\ ~ -r;-,.."rffil,Y"T ~\1fu\)(JVI('E~\f~~ Principal Victoria M. Campbell, Attorney-In-Fact Surety (Above-signatories must be notarized.) Approved as to fonn: tL/J1 ~/'.f City Attorney (pW-E-34) J /- /7 / tI -;!J /1-.1.v/1f GENERAL POWER OF JI'ORNEY THE AMERICAN INSURANCE COMPANY KNOW ALL MEN BY THESE PRESENTS: That THE AMERICAN INSURANCE COMPANY, a Corporation incorpora,ed under the laws of the S""e of New Jersey aD February 20. 1846. and redomesticated to the State or Nebraska 00 June 1. 1990. and having its principal office in the City of Omaha, State of Nebraska. has made. constituted. and' appointed. and does by these presents make. constitute and appoint ---VICTORIA M. CAMPBELL--- i&~;:'~r'a;J' Anomey(s)-in-Fact. with full power aDd authority hereby confemd in its name, place and ..ead. toaecuse. seal. acknowledse and dellver any and all bonds. ..dClUlcinl. recolQizances or other written oblllatio.. in the Dlcuretbereof ______________________________________ and to bind the Corporation thereby as Cully and to the same extent as if such bonds were signed by the President. sea.led with the corporate scaJ of the Corporation and duly attested by its Secretary, hereby ratifying and coofumiDI all thaI the said Anomey(s)..in-Fad. may do in the premises. This power of attoruey is granted punuant to Article VII, Sections 45 and 46 of By-laws aCTHE AMERICAN INSURANCE COMPANY now in full force and effect. "A.rtIde YD. Appoiauuut ud AutborltT of ResJdellt S<<ntu1eJ. Ano~.FIIt:t ad A,NU to accept l4aI Procea aad Make Apparueer. SectIoa 4S. AppolGtlIJeat. The CbaJnaaa of tbe Board of Otrecton. tbe Presideot, aa)' Vlce-Presideat or aay other persoa audlortzed by tbe Board of Dlreeton, lbe CbainDaa of tbe Board of Di.m:1:on. tbe PresideDt or lay Vlce-Praide1It IDaY. from time to time. appoiDt Resident Aaistaac SecreWies aad Anof"lle1lo4a-Ftct Co f't1JracDt aad act tor lad OD beb..t of Ibe Corporadoa llId Acall 10 lc:etpllepJ ptoceSl lad make appeanaecl for IDd 00 bebaJf of Ibe Corporation. Secdoa 46. AlldJorlty. The autbority of sucb ResideDt tUsistaat Secretaries. Auorvrs-ta-Fact aad ACeuts sball be as prescribed I.a Ibe lostrumeat evideadDc their .ppolatllleat. ADY sDcb appalatmeat aad aU autbority craDled tbereby IDay be re'foked acaay tiale by tbe Board of Directon or by aDY pcnoa empowered to lllAke .acb appalalmeat." This power of attorney is signed and sealed under and by the authority of the foUowing ResolutiQO adopted by the Board of Directors of THE AMERICAN INSURANCE COMPANY at a meeting duly called and held on the 31st day of July, 1984. and said R~olution has not been amended or repealed: "RESOLVED. that the signature of any Vice. President. Assistant Secretary, and Resident Assistant Secretary of this Corporation. and the seal of this Corporation may be afflxed or printed on any power of attorney, 00 any revocation of any power of attorney, or on any certificate relatina thereto. by facsimile, and any power of attorney, any revocation of any power of attorney, or certificate bcarinC such fa~Unile signature or facsimile seal sball be valid and bindiog upon the Corporation:' IN WITNESS WHEREOF. THE AMERICAN INSURANCE COMPANY has caused these presents to be signed by its VlCC.Presidcl1t. aDd its corporate sea1 to be hereunto affixed. this 1st dayof June ,19~, THE AMERICAN INSURANCE COMPANY A . 4/5~-:~~-..~~ By Vice..;', '. } n. Oathis 1 c::.r day of Tlln~ .19 9.n.-.before me persoDailycame R. D. Farnsworth . to m. known. who, being by me duly sworn, <lid depose and say: thaI h. a Vice-Praident of THE AMERICAN INSURANCE COMPANY, lh. Corporation described io and which executed the above instrument: that he knows the sea.I of said Corporation; that the seal aeflXed to the said in.strument iJ such corporate seal; that it was so affIXed by order ot the Board of Directon of said Corporation aDd that he sicned his name thereto by Uke order. IN WITNESS WHEREOF, I have hereunto set my band and affIXed my official seal. the day and year herein fIM above wrin.n. .........H.M........"..........,,","'"",'"',....... i OFFICIAL SEAL 5 = Q 1. M. VANDEVORT ;; I NOTARY PUBLIC, CALIFORNIA i iI Principal Ollie. In Marin County 5 i My Camndssion (xpim AlI9- 21. 1992 i i...'H.'....n.'.......n.........."".n..."'I.I1.... i STATE OF CALIFORNIA COUNTY OF MARlN -~ t./~ NOW'( P\lbIk (;U(11l'1CA.TE STATEOFCALIFORNlA COUNTY OF MARIN } n. I, th...d.....icned. Resident A.ssistan, Secrerary of THE AMERlCAN INSURANCE COMPANY, a NEBRASKA Corporation, DO HEREBY CERTIFY that th. forqoing and anacbed POWER OF ATTORNEY remains i.o full forte and bas DOl been revoked; and furthermoretha, Articl. VU, Sections 45 and ~ of the By.taws of the Corporation. and the Resolution of the Board of Directors; $Cl forth in the Power of Attorney. are DOW in force. Sicned and sealed at the County of Marin, Dated the 8 t h day of Ma r c h 94 .19_, ~~~~ It.~AJ:As&aOIs.e.::r.:wy 11'/7 360711-TA-<l-90 (REV) I , , 1 CHULA VISTA TRACT NO. 93-03 TELEGRAPH CANYON ESTATE~ PHASE II \ 0 0 ~ ru ~ , , :1 - , Co ~ 4 U m f:j I GENEVIEVE AVENUE 6 7 5 I 8 I NEIGHBORHOOD 3 I 4 1 [b@"ii' i 9 UNIT NO. 2 \ 3 I 10 I ! 2 11 12 \ \ , i \ I \ \ -,." - ,- , j 4 ![ ". I ~ ,-l"'----.i ! I 't/l \-\ \ ' \ -, T'. '," _ .NEIGHBORHOODS _, . - UNIT, itO.. 1 IllI~P 11I0. 1'03'et - _L- f\Ot>.O 16 6 17 \ ^ II --'-'; \ 5 o < [f 18 '. ~" ~LASALLE /' ' ' PLACE ,./ // /~:_j~~/t .....:::: 71.-1V ...- // HUNSAKER &- ASSOCIATES SAN DIEGO, IN Y /' 19 \ \ \ \ \ I NO GHSOAHOOD 2' i UNIT NO, 2 " '- - - ~ ! ST. ","- Gc- --'-., ""'.,<:R",AIN" 1 \ ;"-~ t ./~ A, ;. /r \, , / .. \ ./ ).. '\\-.-..,../..~. "\, \,/ \ :) *f.~\~ .-..1 / / i ; 7.A....-7~O..;~._._..L . /./ f\ i ! I. ~ i2 (\'\ ".--,- \JliII!fQHBORHOOD 'S- UNIT NO. 1 _ MAP NO. 1,1011 / // /' ,/' " {@ 'l' {@ 'l' '. '1" / /" PLANNING - ENGINEERING - SURVEYING 10179 HVENNEKENS STREET - SAN DIEGO, CALlF'ORN1A 92121 (619) 558-<#500 ~ FAX (619) 558-1<#14 GENERAL POWER Of ATtORNEY THE AMERICAN INSURANCE COMPANY KNOW ALL MEN BY THESE PRESENTS: ThaI THE AMERICAN INSURAblCE COMPANY. a Co~ration incorporated under thelawl 01 the Slate of New Jersey on February 20. 1846. anci reQomestic:al~ to the State of Nebraska on June I. 1990. and havin. iu principaJ office in the City of Omaha. State of Nebraska, has made. COnstilUtc<1 and" appOlnted. and does by these presenu make. constitute ana appoin~ ---VICTORIA M. CAMPBELL--- iG~;~~taw(J- Anoraey(s).iD.Fact, with full -power and authoritY bcrcbyeonfcn'cd in iu name. place and. steac1. to execute, seal. ackDowled&c aDd detiveruy &Ad &1l bonds. W14crta.kin1. recopizaZ1OC1 or other WTincn obliptiODS in the c.aNTe thereof ____________________________________ and to bind the Corporation thereby as fully and to the same c:xteDt as if such bonds were signed by tne President. scaled with the corporue sca.I of the Corporation and duly attested by its Sccr<wy. bereby ra<ityinr and coDlirminr all tlw lbe said Attorney(IHn-faa may do in the premises. '!'his power of attorney;1 granted pursuant to Article VlI. Sections" and '6 01 By-laws of THE AMERICAN INSURANCE COMPANY now in full forne and eff"". . AnIde vn. Appo/JIUZlent ud A_Ibari,., of Residen' Seaeuries. A noro.,.,.u..Fact ud A,eau ro acap' LtpJ 1'rocaI UJd M.b Ap"..,.-. Sectioa 45. A.ppoiauaeat. The Cba.irmaa of tbe Board of Directors. Ute Pf'ftidea~ aa,. Vice-Presideat or aa,. other penoa ..tbori:zed by tbe Board of D\recton. tbe Cha.inDu of tbe Board of Direc1on. the Pnside1lt or la, Vlce-Presideat ma,.. from time Co time. appolat Readeat A.s1iIWIt Secretaries ud AUOraeyJ4a..Facc to I"tpnseat aad act for aad OD beba!f of (be CorpondoalDd Acnu 10 accept lepl proc:ess aad lIl&ke appa.ruea for ud OD beUit of t.be Corpontioa. Sealo. '6. Aalbariry. ne a_lbon.." 01 suell Residea. MsistIIa.Secretaries. Anoroeyo-ia-facta.d A..... slIIIlJ be u prac:ribed 10 the iIulnlmeal nIdeaciD& lbeU appolalmeat. Aa,. neb appolDtmeal lad aJJ aatJ:tority enated lbereby mar be rnoked al uy1ime by tbe Board of Direc:1.on or br aDY penGa cm.powerecll0 make lueb appoiatmcal." 'This power of anorncy is signed anel sealed under and by the authority of the foUowing Resolutien adopted by the Board of Directors of THE AMERICAN INSURANCE COMPANY at a meetinr duly called and beld o. tIlellll day of July. 1911'. and said Resolution hu not bc<n amended or repealed: "RESOLYED, that the signature of any Vic:e.President. AWwlt Sc;reury. and Resident Assistant SecretarY of this Corporation. &Dd the sea.! of this Corporation may be affLXcd or printed on any power of attorney, on a.ny revocation of any power of attorney, or OD a.ny certificate reLatin& thereto. by facsimile, &Dei any power of attorney. any revocation of &.DY poWeI' of attorney. or certificate bcarinl such facsimile stgnature or facsimiJe sa.I sball be valid and. binclina: upon the Corporation:' IN WITNESS WHEREOF. TIlE AMERlCAI'IINSURANCE COMPANY hu call$ed lbese presents to be signed by its Vice-President. and its co~me seal to bebero:untoalfiJ<edthis 1st day 01 June .19.1Q.... ~;"'" (.'~~.:..~~,-:.'.:.:\ , J'.' . . , , ~ ~'-j c-.. ,._ ,.7 "'nt THE AMERlCAI'IINSURANCE COMPANY By 4//~-"~~"r~~ y--........ STATE OF CALIFORNIA COUNTY OF MARlN } ~ Onthis 1<r- day of T"n~ 19!1.O-.beforemepersooallycame R.D.Farnsworth to me baWD. who. bculr by me duly sworn. did depose and say: tlw be is Vieo-Presideat of THE AMERICAI'IINSURANCE COMPANY. 'be Corporation delcribcd In and wlliell Cltccuted lbe above ioslnlmeDJ; tlw be bows lbe seal of said Corporation; tIw lbe seal affll<ed to lbe said ioslnlment Is suell corporate seal: Wt it was 10 affixed by order 01 lbe Board 01 Diro:ton of said Corponltion and tIw be si&ned his lWlle lbereto by like order. . IN Wln1ESS WHEREOF. 1 bave hereunto let my bud and affiJ<ed my official seal. the day and year herein first above writteo. ..........".............m""""'""""'"""''''" . i OFFICIAL SEAL ~ i@ J. M. VANDEVORT = = NOTARY PUBLIC. CALIFORNIA ~ ! PrincfQal Offici in Mann County : ! Wty Cammiuioo Ea.... """ 11. 1"2 = i.."...._n.........AIH............m.u"'m..Hi -~ ~ Nowy ...... \...&.Kl1J'ICATE STATE OF CALifORNIA COUNTY OF MARIN } ~ I. lbeuadenigaed. Resident AssisWIt Sccr....,. of TIlE AMERICAN INSURANCE COMPANY. a NEBRASKA Corporation. DO HEREBY CERTIFYtlw tbeforqolnraad attaelled POWER OF ATI'ORNEYremaioa in full forceud hunot been revoked: and furthenaorewtArtide VII. S<ctions" aad'6ofthe By-laws of the Corporation. and the Resolution of the Board of Directors; set fonh iD the Power of Attorney, are now in force. Signed and sealed at lbeCounty of Mario. Dated the 10th day of ~;;"" /......\..-.'i".., {.'.. ~ J!!JJ# :- ""....c'(tf;j.... March 19~ ~~ ~ a;4 It.aidca&~ScI:nLwy 360711-TA.o.90 (REV) //'~/ GENERAL POWER OF AI"I'ORNEY THE AMERICAN INSURANCE COMPANY . KNOW ALL MEN BY THESE PRESENTS: That THE AMERICAN INSURANCE COMPANY, 3. Corporation incorporated under the laws of the State of New Jersey on February 20., 1846. and rcdomcsticated to the State of Nebraska on June I. 1990. and havinl ita principal office in the City of Omaha, State of Nebmka. has made. consututed and' appoint~. and does by these presents make. constitute and appoint ---VICTORIA M. CAMPBELL--- i&~;~~ fawr~ Anomcy(sri.n~Fac:t. with full power and authority bereby con(ClTed in its name, plac:e and stead, to cucute. seal. acknowlcdlc and deliver any and aJJ bonds. undcnakinS. rceognizaaces or other written obliaatioas in the nature thereof ___________________________________ , and to bind the Corporation thereby as fully and to the same extent as if such beads were signed by the President. seaJed witb the corporate $eal of the Corporation and duly attested by its Secretary, hereby ratifying and confinning aU that the said Attorncy(s)-in-Fact may do in the premises. This power of anorney is granted pursuant to Article VII, Sections 4S and 46 of By~laws afTHE AMERICAN INSURANCE COMPANY cow in full force and effect. .. Arddc YD. Ap".,iatmeal .lId A.uthority of RC$ideal5<<:rrtuia, A.tloroeys..;".F.ct .lId AeeatJ 10 IHX'ept LepJ Prot:e:ss ud Mae Appa,..lIalS. Secdoa 45. AppoJIIIIIICIJI. The Chairm.a 01 cbe Board 01 Oirec:1on. tbe Pmideat. .ay Vlce.Praideot or aay odler penoa autborized by tbe Board ot Dlncton. lbe Chairmu. of tbe Board of Di.m:1ors. the Presideat or lay Vi(eooPresideat maYt from tilDe to Cimc. appoiat ReadeDt A.ssistaat Secretaries aad Attora',.....a"F.et to repl"eSCat aDd let for aad oa betaaJf of tbe Corpondoa aact Aleats to IC'Cept lectJ process lad make appearaac:es for lad OD bebtJf 01 che CorpoRdoa. Secttoa 46. Authority. The authority of such ResideDt Assistaot Sec:n:taries. Aetorueys-ia"Fact aad Aceots shaJJ be as pracribed la cbe ilU:trumeot evideadDc their .ppolDtmeat. ADY sucb IppoiDtmcot aDd aU IUlbooty cnuted tbereby OIlY be revoked.e lay time by tbe Board ot Directors or by aay pcnoa empowered to aaake sucb apPointmeat," This power of attorney is signed and sealed under and by the authority of the foUowing ResolutieD adopted by the Board of Directors of THE AMERICAN INSURANCE COMPANY at a meeting duly called and held OD the 31st day of July, 1984, and said Resolution has not been amended or repealed: uRESOLVED, tbat the signature of any Vice. President, Assistant Secrec.ary, and Resident Assistant Secretary of this Corporation, and the seal of this CorpOration may be affiXed or printed on any power of attorney, on any revocation of any power of attorney, or on any certificate reJatin&: thereto, by facsimile, and any power of attorney, any revocation of any power of attorney, or ccrtincatc bearing such facsimile signature or facsimile s.ea.I shall be valid and bind.ing upon the Corporation:' IN WITNESS WHEREOF, THE MiERICAN INSURANCE COMPANY has caused these presents to be signed by its Vice-President. and its corporate seaJ to bcher..untoatnxedthis 1st day of June .19-12-. THE AMERICAN INSURANCE COMPANY By ~~- :f ~"-...c.-~ 'r~~ " } u. Onthis 1 ~r day of Tl1T"\P . 19.9.0...-, before me personaUycame R. D. Farnsworth . to me knowu. who. being by me duly sworn, did depose and say: that he is Vice~President of THE AMERICAN INSURANCE COMPANY, the Corporation described in a.od whicb executed tbe above innrument: that be knows the sea.I of said Corporation: that the seal amxecl to the said innrumc:nt is such corporate seal: that it wu so atnxed by order of the Board of Directors of said COfl'Oration and that he signed ha name thereto by Uke order. -- STATE OF CALIFORNIA COUNTY OF MARIN IN WITNESS WHEREOF, I have hereunto set my hand and afflxed my official seal, the day and year herein fust above written. ...'Kt.'".NIN.tHtn.'......,"""'""'""'"rnn . i OFFICIAL SEAL 5 i@'J.M.VANDEVORT;; ~ NOTARY PUBliC. CALIFORNIA ~ . Principal Office in Mtrin County :: I My c.mnriuioft bpim Af4 28. '7'92 i ...'"u....n..........n..............u"IC'"'.n....i -~ t/~ NowyP'ttblic CERTIFICATE STATE OF CALIFORNIA COUNTY OF MARIN } u. I. the undersigned. RcsidcntAssLstant Sccrcrary of THE AMERICAN INSURANCE COMPANY. a . NEBRASKA Cofl'OrarloD. DO HEREBY CERTIFY that the foregoing aDd anacbed POWER OF ATrORNEY remains in full foree a.nd bas not been revoked: and furtherm.orethal Article VU. Sections 4$ and 46 afthe By-laws of the Corporation. a.ad the Resolution of the Board of Dircaors; set fonh in tbe Power of Attorney, are now in force. Signed and scaled at the County of Marin. Dated the 17th day of March 19~. /~ ~ t:24 RaicIa AIIiIIMl Socnury J6Q711.TA-6-90 (REV) //'.2.1.} GENERAl. POc/EIl OF ATI'ORNEY THE AMERICAN lNSURA."ICE COMPANY KNOW ALL MEN BV THESE PRESENTS: ThaI THE AMERICAN INSURAblCE COMPANY. a COf'1)Oratlon iricolllOrated under the 10.... of the Stale of New Jen~ on February 20. 1846. and redomesticated to the Stale of Nebraska on June I. 1990. and naVlng Its principal oifice In the City of Omaba. SLate of Nebraslr.:a. has mlele. COnsUIUl<<1 and appalntcd. and dOC$ by IhCK prC$C11u make, constitute and appoint ---VICTORIA M. CAMPBELL--- ~~;~a:tawrJ. AnornC'Y(S)-lDeFaa. with full power andauthoriry be:rcby coaferred in its name. place and stead. to cxcc;utc..seal. aekDowledceaad ddiverany IAli all bonas. ucc1cn.aJcinC. recocniza.DCC$ or otber wrinca obliptioD$ in the narure thereof ___________________________________ and to bind the Corporatioa thereby as fully and to the same cnent as if such bonds were signed. by the President, scaJcd with the corporate sc:a1 of tbc ColllOralioa aDd duly anested by iu Sccn:wy, bereby ratifyiag and cnaiirmiag all thai tbe SIld AltOrney(.)-ia.Faet may do in the premises. This po...er of anorney 15 granted pursuant to Article VB. Seetions.S and <6 of By.la.... of THE AMERICAN INSURANCE COMPANY 00'" ia full force and cf(eel. "Anide vn. AppoilUJlJtfJl aDd Aarboril1 o( Residel ~ Anoraqs..Jo-F.CI."d A,eau ro M:Cepr l.41l Pr0ce:s6 &lid Make AppanllCt:S. Settioa 45. Appoilumear. Tbe Cbai.nua of tbe Board of DlAC'Ion. tJH: Presidea~ aa,. Vice-Presideat or aa)' olber penoa lalborized by die Board of Dlredon. lbe Oaairma. of lbe Board of Dlreetors. \be Pn:sldeat or aa,.. Vlce-Presideat IDJ,Y. trom time to lime. Ippolat Resideal A.sIis&aat Secreuria aDd AtlOnleys..f.a..FaCl to repraeal aad act tor lad OD beUJt of tbe Corpondoo aDd ACeuts 10 accept lee&.! process aad make appc:tJ"&DCCI for ud oa beaU of t.M Corpondoa. S<<Uoa 46. Aafbo,;ty. The autbority of sucb Rcsidea.1 A.ssistaal Sec:m.aries. Anoraeys..tD.Flc:t aad Ace-aU sball be as prescribed la tbe iDstrumeal evideociD.l tbdrappolacmeot. ADY sucb appolatmeallad aD aatbority cna1td tbenb,.. EDIY be rnoked It aay time by tbe Board of DiftCtors or by &07 perIOD empoweml to make sucb appoilltmeGt." This power of anornc:y is signed and scaled under and by the autbority of the (eUewing Resoluti9D adopted by the Board of Directors of THE AMERICAN INSURANCE COMPANY at a meeting duly ealled and beld on the 31st day of 3uly, 1914, aad said Resolution has not be<n amended or repealed: "RESOLVED, !.bal the signature of any Vice-President. Assistant Secretary, and Resident Assistant S<<rewy of this Corporation. and the seal of this Corporation DlIy be afrued or printed on any power of anorney, on any revocation of &.DY power of attorney, or on any certificate relating thereto. by fKSimile. and &DY power of attorney, any revocation of aay power of attorney, or c:utificate be:a.ri.ng such facsimile signacure or facsimile seal sball be valid and bindin& upon the Corporation:' IN WITNESS WHEREOF. THE AMERICAN INSURANCE COMPANY bas c:aused these preseau to be aaned by iu Vi"".President. and iu eorporate seal 10 bebero:uatoafllxedthis 1st dayof June . 19~. ~;;"" /'~~~';~~.\" (~~~) t>..,~(,ff#>.\r THE AMERICAN INSURANCE COMPANY By 4J~.a-e:~1! -. r~~ .'. YICC'-PraidaIt STIITE OF CALIFORNIA COUNTY OF MARIN } ~ Oothis 1 "r day of 1m"" 199.O-,beforemepenooal1ycame R. D.Famswonh to IDe known, wbo. being by IDe duly sworn, did depose and say: thai be is Vice-President of THE AMERICAN INSURANCE COMPANY, tbe COlllOralioa dc:Ic:ribcd ia a.nd. wbich aecutcc1 the above instrumau: that be knows the seal of said Corporation: tbat the seal a.rr1XeC1 to the said insuument is such corporate seal; thaI it wu 10 &fnxed by order of the Board of Directon of said Corporatioa and thaI be aaned his ll&lDe tbereto by Uk. order. IN WITNESS WHEREOF. I bav. bereunto setIDY band and affIXed IDY offic:ial seal, the day aDd year berein nm above writlell. "'"....."......*"'"'~,..~""""""""""'. i OFFICIAL SEAL 5 ; @ J. M. V ANDEVORT i i .. NOTARY PUBLIC. CALIFORNIA i :I Princtpll Offici in Mann County : i ""~b..m_lI.1"1 i ..UH.,""".'.......A.H"..........m.''"''"..Hi . -~ ~ N<<aI'f PubUc Ck.Kl Ll' lCA:rE STATE OF CALIFORNIA COUNTY OF MARIN }~ t. the undersianed, Resident AssisWlt Sccn:wy of THE AMERICAN INSURANCE COMPANY. a NEBRASKA COf'1)Oralion. DO HEREBY CERTIFY thai the for",oiag and anached POWER OF ATI'ORNEY rentains in full force and bas DOt beea revoked; and furthermore that Article Vll. Sections.S and 46 of the By.laws of the Cor,>orlDon. and the Resolution of the Board of Oircaon; set forth in the Power of Attorney, are now in force. Sianed and scaled at the County of Marin. Dated the 10th day of ~&'" r~".-....""., '. - .. , : /" ! ~"t> ',lJ ",f"'~(tl'l~7 March . 19 ~ /~ ~ a~~ RcAdau: ........ S<<ntaty 1/"';' ? 360711.TA.90 (REV) 1993 BEST'S KEY RATING GUIDE - PROPERTY.CASUALTY EDITION ANNUAL STATEMENT DATA FOR YEARS 1988.1992 -_. .. - ..... - ...... -. - {Group Aftllillion) PrinciptlOtflcer F C..h Bepn ~:,i'~nl,::;:s Mktin. ..,. , . Not lle1t's ifier , Short. SllXlo.s '" Total Uo. ., _. ~"" Not Bo.. Under. Not "'T.. Specillty Ratln! ""E"iiect1Wl1 Tom ... """ "clmitted "'" ..rned 01"" T... hOlders' ~iutns Prtmiums Not ..'trIlln, mvestJ'r<<ll Opnbnl Not Ph.'" . "'" 1"","1- ".., Au.u ,l,s5ets .". Pmm Li.b, L"l)ilitfes Surplus Written Writ*'! .~ Incol'Tlt '''''"'' '''''''' "",- F" "'" Yelr ", ('l ('l (SOOO) ('l ('l ('l ($000) ($000) ($000) ($GOO) ('l (SOOO) ($000) ($000) ($000) AM" NAIC' AMERICAN twlOWAR[ MUTUAl I"' (OH) , 'II I\.4 73-9 141 271.186 610.4 30,7 U 188.507 82.679 157.168 137.526 771 -1,551 1062 5.811 5.663 Mo\ofists Mulual. Nne,'kIn H.rdwart Grp A otlWtE.H. Rlbold. Cl'l.irman,Pmident , , 'Il l.f 81.4 111 30.,62] 591 ".l '.7 218.579 &6.045 200.317 m.m 77.0 -17,1lOO 11.743 ~7 ~.. P.O. Box 4)5 , '" ,. ,. 79,3 16.9 325,84S 59.0 32.3 ,.1 244,Olt 8U30 245.391 l7a.m 65.4 .21.591 19.205 ...,.. ~" MlnllNpolis.,MN 55440 1900: MUWliI: DIrect HA-' '91 ., 83.3 IH )2C.197 640 29,0 '0 272,488 51,709 233,115 175,011 ".0 -62,929 20,990 -41.939 _27.090 CQlTlmtrt:illlinn. PwsonllLilll$ 612.935,1400 I , 'l2 .. '" " 305,HS 6U 26.2 " m,I,S '5.150 155,376 UI.611 72.6 -3US3 20.715 -12.131 -5.0&& AM8 #00132 "lAlC_13331 . 06/01/93 ~nl'(i;lIIlt'e$,AWli.iIbilll'f 278\, ~'Comp166\, 1Am,~tfij \U\,ItIJIoPhy$all\O\.QlherW",",,5,O'lli PlircipliSll\t$:CAl5.]'V..'Il'I'7\:1frI6J'1li:"IY~1\:Fl.U'lli . AMERICAN l+OME ASSURAJrQ: CO At 'II ,.. .... '" '.790,564 '" I" 7.' 4,042.671 147,811 152,11\ l,95l.llt "' -13,9'1 \89,001 115110 '7.7ot (AmerIcan IntnltiDnllGl1IUP) , ~ M. SlIer, ,.,.... At . 'It .. IU .u Un.3U m I" U 4,H3.t02 m.m m,'" 1.951,714 "' "".612 US,2ll I...... 1I1~ 70 PIne StreIC ,. ,. '.0 S3.0 ". 6.19U87 7" 111 U 5,051.111 1.140.706 141.91S 2,Q54.541 '" VII 221,851 232.631 IIU4' New Yert, NY 10270 1 18!S3:S\ocII:~ At< , 11 16' .... ".0 W6,On 10.' I" 16 50332.519 1.493.SSI 997.961 2.103.154 ... 11.356 241.6H ","011 211.14.; eomrn.t:lIlUnII 212.770..71)00 1++ I " \., 62,4 "' 7,363,391 82.2 14.4 ].I U37,m 1,725,$24 Ui5.6OI 2.OM.. 11. -76.238 nun ".". 16\.61. .we 1'02034 NAIC .19380 " K/21ft3 PmtilIIl.NI:OIIlIrUlllltt 44n, WrnIrs'Cxr4l30,3l. oIMo LdJ6.n. PnactI LiIllMlly2.8'1li.m 2.21 ~ SIIIII: HY2U\;CAI6,7I; txUl;l1.8I;fI.1.11 AMERICAN INDlMNITY COMPANY I , 'II 13 774 21' 105.108 '"~ ]79 5' 18.399 27.309 0.106 65.531 914 -3.0H 5,963 "" 3.1" (Ameriean Incltrnnily Group) J.Feflman Seinsheimerlll. Pres "CEO .- " 'II ,. 77.6 200 \Ol,m 55.1 35,1 " 81.597 26)80 44,640 65.351 85.4 ~9,220 un ...", -328 P,O, ao.I259 ,- ,. II 6',2 27,7 !lo,m 56,1 34.0 " 8i.27l 23,100 45.276 63.161 74.7 -10,610 MOl -5.001 ~1.7SO Galv~ton.TX 77553 , 19l3:StO:;k:A&.ncy ,- . '9\ 12 74.8 22,0 105.988 55.' 32.a 11,4 10,731 25.257 40.011 S4.203 71.6 ..z.95O 5,621 ...TI 2,m ComrnettilILinn.Pe~IILines 409.766.4600 ,. I 'l2 l' 78.3 203 106.364 52,4 37,5 10.1 8un 24.631 47.38' 64.656 78.5 -6.32' 5,11& ~50 1IO -'MB "02037 NAIC '19518 . G4112/U PM;ipaILNs:~LiItliill'f(5,4\.C4m'1~17,0\.~11.0'I.AulcPtlysicll9.3',0lt.-1.ilbiitJ7.0'lli Pr'rIcipal StJtes: TlSO.2'1li: LA 5"'; FlUI;M$UI; TN 1.61 .' "0'" "" ",'" w....'......, AIIfItICM INDEMfITY U,OYDI . , 'n 2U- TI' U '" ... ..' 100.0 , '" 1,197 ... ... 3l ... 3l 22, (AmIricIn lNlemnity Group) J. Feflmln SeinsMimer Ut. Any-irH'1CI: 1- " '" 33.4 62.9 '7 532 ... H' 100,0 27 50. 2.856 ... ... " ... " !t, PO, BoIlZ59 1- , ,. 51.6 '1I ... '"~ ... 'H 100,0 " 511 1,110 ... ... '00 ~ " I. Galvtston.TX 71553 1983:Llo)'ds: Acener I. , 11 50.1 3", H' 170 ... ..' 100.0 10 690 '.lot ... H' 182 H' 182 ::. Commerdll Lines I- 409-1~600 r " ... l3.2 H' '" H' H' 100.0 " '" 1l,393 'H H' 226 ... 227 11 "'''0177.,- :" NNC t 43559 . D4l1VtJ PmeipII StM: TX 100.01 . ,,,.. AMUICAN IND(I'f;NDfNT INS co HA.' 'U 2U 59.6 16.0 5,380 29,8 53.1 16,5 4,226 U53 13,748 ,.. ,. -1.561 '50 -710 -1.059 (No Group Affililtion) LewlsS,SrnalI,PresiOent HA-' 'Il 5' 60.' '" 4,513 20.3 .., 25.6 3.082 1.532 1,646 1.646 100.0 lot .. 117 "' 533 G.rmantowl'lPlke. Suite 208 HA-' 'to 20,5 16.8 62.7 4,17l 34.6 40.4 25.0 3.529 1.242 5.135 1,600 3\.2 -111 '" ..., ,.. Ptymiu:;~,~~ :~r~r62 HA-' "I (0,2 19,8 40,0 uS" 61.1 22.9 16,0 2.566 !.l81 4.733 '" 19.1 -104 160 " II Comm.rcill AuW,P.rSOI'llIAulo III.' _"0 -730 215.832.4940 'l2 33.4 13,0 536 6,044 52.1 20,6 273 UU l.3oo ..... 3.0H 46,5 ..., 111 AM8 _04969 NAIC ..17957 , 01l06ft3 ~nciI*l.iI'Ia:A,,*u.oar-,983'1li,I.ulcPhysall.7\ PnrciPlllSl$l,:PAloo.O'lli 'C<--'. ".-,,1 '. ~~J1<;.'-'" . '!'-'.'.......---.'- . '"oA" ,."l..;':-.''''_' -. . .... . ".~ ,. .-".,,..,. '.'" .~.... ,..,.,,"- '" '" ., .',.'-.J~!.':" , ." THE~INStJRAHCECO~NI). A " 11 III ,,.. 13.1 1,578.441 7U IU .. l.216.257 302.191 595,909 522.499 .... -42.516 101.'" """ \I~ (fdNn's FvM InsurInCI eo.. -,.' Herbertf,Hln~,Cl'IIirmInlCEO , 'I 11 '" 'U 14.] 1.597.392 79.1 I" $.I 1.345.769 251.623 615.103 484.931 ".0 -119.001 111,241 .L1t1 IUti 177 SanMlnn Drfye , , 'lO IU n. 15.1 1.572.166 10.1 IU '.0 U31.7n ,..... 401.931 ....". ".1 -10U31 97JI' ...." -am _CA '4998 1846:StocIo::,t,pIlcy . , 11 II au 11.5 1.583,liO 1l.0 lU 31 U09.459 273.650 435.471 462,981 51.1 -Ioa.m 112.11' utI lI.7l7) Mvltlplellnel 41 ~'99-2000 1 , " l.l ,ao ll,5 1.665,890 81.6 1"-3 ., 1.336,3S4 329.534 403.817 437.264 5l.6 ~106.22] !l1,m IU31 34.490> *' '02111 NA/C.1'21851 III O$/24tn Pri'w;ilIILilK""'Clmp31.2'.Com'~22.51.",*~U'I,~9.11,*I.iItlilIfrU' Pm:ipIIStIlIt: CA25.61; NY 11,71: PA9l'lli;III].71.: 1lI)-U~, AMERIC"N IHTtGRITY INS CO ,. 'U 12,9 n5 '5 44.679 SU 41,4 '7 28.032 16,646 5U06 49.153 89.5 ~,414 3.611 1.257 1.316 (NcGroupAffilialion) J.WillilmSrlndner.Prt$ldent .. 'Il 20.7 13.6 I.' ~4,400 '0,0 50' ... 35.525 1-&816 80,924 72.469 8U .2,540 '.m 1.669 2,240 Two PIOn Center PlIII. Znd Floor , 'to 28,9 62.4 " 61,932 56.6 ".. " 41.063 20.869 103,305 95.251 ,<0 -4,1a3 4.m -66 110 Philldelphil.PA 19102 1966: Stock :Ag.rq MA-lI . '91 ,<7 65.8 17,5 63.140 ." 28.9 5' 41,590 2l.S5O 97.395 83.078 85.3 -7.222 ',Iot -2.1\3 '" 2IN.~~~oo F 'Il ,., 49.5 46.7 58.481 6U 34.4 t. 49.3i6 '.105 78,967 42.156 53.4 -16,433 2,927 -lllOI ~12,3OI AMB _03207 NAIC..10197 07/06/93 PTi/lci;:1Ijli/'la.:OI!lerUH100.0\ IImciI*StIlII: lll,''A.;CA 11.4": R.IO.31:N'i'.0'lli: TU.2\ w;t.;"-' . .', ......~:'I."'.'f;l... '",,,,-!,.,,,,,,,;"'.,.,. '" .... ,...'__~.: -'-"'7'''''''.~''''''". " .. ""." ~,-"'^''' -"'-';'l''',_.' .. " ..-~. ., ..-.,"-,.~,,,,,,..,....,:~ AMRICAH 1Nl1Jt-no EXCH, ... _ (~lnttr.rll;lelityGroup) 'n 5.' 57.1 373 U10 .., '" 11.4 ,'" 2,860 1.699 1.516 '" .... '" -169 -149" HII'OId Antlmon,CfO HA.' I 'Il 50.0 32,6 \7,4 14.705 .... U 14.1 U14 .,,,. 12.111 !l,OU 11.1 ~1.361 III ~.. -735-' 8400LouISiIl'II StrIIt HA-J I ,. II 7'5.9 1'-3 19.127 '" 0. " 17.121 to" 12.019 6.957 57.9 -7,275 1211 ...". ~,""! Men1IlvIIIt.~ 46410 1981: RAG: DIrect "'-l , 11 .1 ".0 27.0 16.131 ". ,. 1.0 13.700 2.U' 7.761 1.001 ... -3,168 "OIl ...'" -I,,,", Commercial Auto. iI'lllnd Mlrlne 219.755.4567 III-I 2 12 19.4 40,4 ".1 \3.173 ".1 .. ... 1I.m tOOl 5.051 3.133 61.9 -2,682 ... -1.122 -1.3S4: AM8 101716 NAIC 0<0080 . 0l1Ol/lJ I'mdpIIlM Na LiIllIly 94.71.'" lIItiJlI5JI PrW;:iJIIIs..: CA 36.31; 1l10.0\; LlOl; 1'17,11; 'O.U.i;~' , AMERICAN INTERNATIONAL INS CO (NY) .. I 'II 21 71.8 2~' 1!9.m 71.5 21,6 05 116,288 73.089 U'l !l7,817 100.0 -26,Im 13,225 -IO}&9 -2.383 (American International Group) J,Erlle$tHansen,Pftsident ,. I '11 70 858 " l73.629 978 29,6 -27,3 9S.310 75.159 S.9a2 115.'80 100.0 -IV'"' 12.296 ...111 un 505ClrfROId .. 'to " 11.1 " 163.3\2 iOH 30,0 -39.9 10\.235 62.077 9.690 103.101 9..3 -28.400 IU18 -11212 ....438 Wilmington.OE 19809 I 1975:Stock:Aa;erq ... 1 'II '.l 72.0 24.1 212.406 86.8 ]3.5 -20.3 143.055 n.351 15.436 154,281 73.1 -9.l01 10.351 1.251 2.119 Per1Ofl.IA~to 302.161.3000 1++ I 'l2 0.1 II.' ILl 301,319 67,7 ]1.2 \.t 233.619 67,690 21.591 18&520 71,$ -21.612 15.609 ~.ll -1.661 AMB _03641 NAIC # 32220 " 1)612J/U PliI'(l~i.jnes:AiJoI.illlitySLO'lli,I.uWPlIya17.8\.~1.2\.AMOthefO,I\ PrinciPII s_ Ft 3].9\; ~A 155\; LS.5\:IlIlS.3I; UT 4.51 34 - Cail 90(J.555BEST jar the west Best's Ratings - 1993 BEST'S KEy RATING GUlDE-PROPERlY-CASUALlY /1~.,2.1 '. f . . ' . . . RECORDING REQUESTED BY: ) ) city Clerk ) ). WHEN BeORDED MAIL '1'0: ) ) CITY OF CHULA VISTA ) 276 Fourth Av.nue ) Chula Vista, CA gl'10 ) ) No transf.r tax is due as this i. a.) conveyance to . public agency of ) 1..s than a fee interest for which ) no cash consideration has been paid ) or received. ) ) ~~_(\ lJ~~-- ~ Deval er 'i ) ) \ Above Space for Recorder's Use . SUPPLEMENTAL SUBDIVISION IMPROVEMENT AGREEMENT Telegraph Canyon (Conditions 3, 4, 30, 31, 32, 33, 34, 35, 36, SO, 60, 61, 62, 6B, 71 and 73) This Supplemental \~~diVi.io~vement Agreement ("Aqreement..) is made this - day of , 1'93, by and betw.en THE CITY OF CHULA VISTA, California ("City" or .Grant.... for r.cording purpose. only) .and otay Vista Associates, a California limited partn.rship ("Developer" or .Grantor"), with reference to the facts s.t forth below, which recitals constitut. a part of this Agr..ment: BCITALS A. 'this Aqr.ement concerns and affects certain real property located in Chula Vista, california, more particularly described on Exhibit .1." attach.d h.reto and incorporated herein (.Property.). The Property 1s part of a project commonly known as. Teleqraph Canyon Estates (.project..). : B. Developer 1. the cnmar of the Property. . . .e:\subdiv\tcesupp2.wp November 2, 1"3 8upp. 811. for Teleqraph Canyon Estat.s Pa;e 1 ~ I/~JI ~~.. / li . C. Developer has applied for and the City has approved a ~entative Subdivision Map commonly referred to as ~eleqraph Canyon Estates, Chu1a Vista ~ract 93-03 ("Tentative Subdivision Map") for the subdivision of the Property. . D. ~he City has adopted Resolution No. 16960 ("ReSOlution") pursuant to which it has approved the ~entative SUbdivision Map subject to certain conditions as more particularlY d.scribed in the Resolution. The description of the conditions in this r.cital section of this Aqr.ement is intended only to summarize and paraphrase such conditions in the Resolution, and is not int.nded herein to modify or explain them, and is not intanded .s a basis for interpretinq them. . E. Condition Nos. 3 and 60 of the Rasolution r.quires Developer to perform certain .i tiqation .easures to the satisfaction of the Director of Planninq,and to cause implementation of mitiqation .easures to be monitor.d via the approved Mitiqation Monitorinq proqram. F. Condition No. 4 of the Resolution reqqires Developer to .ither (a) comply with, r.main in complianc. wiih, and implement, the terms, conditions and provisions of the Tel.qraph Canyon Estates General Development Plan, Sectional planninq Area Plan, Master Plan of Reclaimed Water, Water Conservation Plan, Air Quality Improvement Plan and the Public Faciliti.s Financinq Plan approved by the Chula Vista city Council (coll.ctively, the "Tel.qraph canyon Plans") which are applicabl. to the Property prior to approval of any final subdivision map ("Final Map"), or (b) enter into an aqreement with the City, providinq the City with such security (includinq r.cordation of cov.nants runninq with the land) and impl.mentation procedures as the- City may r.quire, .ssurinq that, after .pproval ot all Final Maps, Developer shall continue to comply with, r.main i~ compliance with, and implement such '1'eleqraph Canyon Estates Plans. G. Condition No. 14 of the Resolution r.quires the Dev.loper to install transit ameniti.s on both sides of Otay Lak.s Road at the project entry or appropriate alternative location as approv.d by t;h. city Enqin.er. Transit ameniti.s includ. but ar. not liaited to bench.s and/or shelt.rs and ar. subj.ct to approval by the City Enqin.er. Develop.r. was requir.d to pay $5,000 cash deposit to the city prior to the approval of the first F.t.nal Map to fund transit ...nities wh.n required, receipt of ;vhich bas occurr.d. . B. Condition No. 27 of the R.solution, which vas .ubsequent- ly ...nd.d by Resolution No. 17278, r.quir.d that, prior the recordinq of the final aap, the Dev.loper vas to ent.r into an .qr....nt with city to commit to us. of r.claim.d vat.r .t the e:\aubdiv\tc.supp2.vp Noveaber 2, 1993 Supp. Su. 'for Tel.qraph Canyon Estates paqe 2 //-;1 ;l -. -- L .:J earliest possible date and to make all reclaimed water use conform to the applicable requlations of Chula vista, Regional Water QUality Control--Soard and the state Department of aealth. . I. (Condition No. to] city bas .dopted city-wide growth aanagement -thresholds", as establi.hed by city Resolution No. 13346 ("Threshold."). Thes. Thresholds establi.h performance and -quality of life" standards for a variety of servic.s and impacts which mu.t be inexistence or satisfied by the Project .s a condition to the city permitting the Project to be built. In addition to the Thresholds, .nd as a mechanism to in.ure compliance therewith, the city has .dopted the Ea.tern Chula vi.ta Tran.portation phasing Plan ("phasing plan"). The Phasing Plan provide. that certain transportation facilities .u.t be in exi.tence or provided by the Project a. a condition to the City permitting the Project to be built. The Thre.hold. and the Phasing Plan establish .tandards and lev.l. of service for various identified public facilities and these standards .nd levels of ..rvic. are enforced through the withholding of building permits when the public facility or re.ource drop. below . sp.cified thre.hold. Condition No. 30 r.quire. Developer to .qree to comply with the Thresholds .nd standards created by City Re.olution No. 13346 and the Phasing Plan. OS. Condition No. 31 of the Re.olution require. Developer and city to comply with the requirement. of the Ea.tern Chula vi.ta Tran.portation Pha.ing Plan and Tran.portation Development Impact Fee Program. It. Condition No. 32 of the R..olution re;uire. Developer .nd city to enter into an aqreemen~ with the city wherein Developer shall agree to not prote.t the formation of (1) . aaintenance district for the maintenance of land.c:aped .edians .nd .cenic corridors along certain street. within .nd adjac.nt to the Project; .nd (ii) an ......ment di.trict for the aaintenance of Telegraph Canyon Flood Control Channel. L. condition No. 33 of the Re.olution require. the Developer .nd city to enter into an agreement wherein Developer .gre.. to not prote.t the formation of .nd inclusion in a Community Facility District to finance con.truction of State Route 125. M. condition No. 34 of the Re.olution requires the Developer to enter into .n .greement to indemnify .nd hold harmle.~ the City from .ny claiu, .ction. or proceedings .gain.t the City to attach, .et ..ide, void or annul .ny .pproval by the-City with ~gard to the Telegraph canyon E.tate 8ubcUv1sion. ' N. Condition No. 35 of the Re.olution require. the Developer to enter into an .greement to hold the city harmle.. from .ny e:\subdiv\tce.upp2.WP November 2, ltt3 8UPP, SIA for Telegraph canyon E.tate. . Page 3 ~ . ~/.L JI-J;t 'U J liability for erosion, siltation or increased flow of drainage resulting from the Project. o. Condition No. 36 of the Resolution requires the Dev.eloper to enter into an agreement with the City relating to the provision of franchi.. cable television service. a. aore particularly set forth in Condition No. 36. P. Condition No. 50 of the Resolution requires the Developer to submit to the City ennual building permit reports, traffic cost analysis and fiscal impact analysis on the terms set forth in said COndition No. 50. Q. Condition No. fi1 of the Resolution requires the Developer to dedicate and record an open space ea.ement on a ainimum of .9 acre. wetlands a.sociated with a larger wetland. area on the otay Ranch property in a location approved by the Director of Planning. R. Condition No. fi2 of the Resolution, which was subsequent- ly amended by Resolution No. 17278 requires that prior to approval of a final map by the City council, the Developer to execute an .affordable housing agreement in a form sati.faotory to the City prOViding for 34.4 affordable housing units on the area of the Tentative Map covered by the Later Final Maps, and in accordance with Condition No. fi of the Telegraph canyon Estates GDP and SPA Plan (Re.olution No. 16768) prior to the recordation of any Later Final Maps for the project. S. Condition No. fi8 of the Resolution, which was sub.equent- ly amended by Resolution No. 17278 requires Developer to enter into an agreement with the city prior to the recordation of the fourth Final Map (a. defined in the amending Resolution) providing that Developer will cau.e, consent to, permit, apply for, and not oppose the planning or replanning and loning or rezoning of an off-site parcel(s) as a Community Purpose Facilities site. Said off-site parcel(s) shall be satisfactory to the City and of the same approximate size as that which may have been required on-site, and mu.t be owned by the Developer, be within the juri.diction of the city and otherwise be within the vicinity of the project and subject to the satisfaction and approval of tha Director of Planning. otherwise, Developer i. to submit a Revised SPA Plan and Tentative Map which provide. for said site within the subdivision. T. 'l'here are certain other unperformed and unfulfilled conditions of said Tantative Map, such a. Condition Nos. :71 and 73. v. City is willing, on tha pruise., 'security, ~ and condition. herein contain,d to approve the first three 'final "p. for which Developer ha. applied commonly known as Neighborhood 1, Unit 11 Neighborhood 2, Unit 11 and Neighborhood 3, unit 1 (WFirst a:\subdiv\tce.upp2.WP lCovaber 2, UU supp. SIA for Telegraph Canyon z.tate. Page 4 ~ 11-;;1 ~ I .-- ---"- .L '-) ~ ~.e Final MapsW) as being in substantial conformanc. with the ~entative subdiyision Map for the ~erritory of such Fir.t ~br.e Final Map.. . . MOW, '1'HEREFORE, in .xchange for ~he autual covenant., ~.rms and condition. h.r.in contained, the pa~i.. agr.. a. s.t forth below. 1. Agr....llt AJlplioa!>l. to 8=";U.llt owner.. 1.1 a;r....llt BillcUJl; UpOIl 8uoo...or.. ~i8 Agr....nt shall be binding upon .nd.inur. ~o the ben.fit of the succ..sor., a..igons and int.r..t. of the pa~i.. .s to any or all of the Prope~y until relea.ed by the autual consent of the p.~i... 1.2 agr....llt .un. witb tb. Lalld. '1'he burd.n of the cov.nants contained in this Agr..ment (WBurden") ia for the benefit of the l.nd owned by ~he city .dj.c.nt to the Prope~y. ~he Burden ~ouche. and concerns the Property. It is tile intent of the parti.., and the pa~i.. agree, that this cov.nant sh.ll be binding upon, and run with, the ownership of the l.nd which it burd.ns. ~he Burden of ~hi. Agr..ment .hall be r.l.a..d from titl., a. to .n individual lot or unit within the Project upon the sale of any lot improved with a r.sidence. If r.quest.d by Dev.loper, City ahall ex.cut. a quitclaim rel..sing the Burden of thi8 Agr....nt from the ~itl. ~o any auch lot.. If D.v.lop.r aa.i;n. any po~ion of the Prop.~y aubj.ct to the Burden of this Agr..ment, D.v.lop.r sh.ll have the rIght ~o obtain a r.l.a.e of any of Dev.lop.r'a Obligation. under this Agr.ement provid.d Dev.loper obtains the prior written con.ent of the City to any auch r.l..... city ah.ll not withhold it. consent to any auch r.quest for a r.l.a.. ao long a. the a..ignee demonstrate., to the r.a.on.bl. aatiafaction of the City, it. ability to perform it. Obligation. under this Agr...ent a. it relates to the po~ion of the Project which is being acquired !ly the a.sign.e. . 2. COIUUUOJl 110. I aJlel .0 - .iU;aUoll ....ur... 0 Develop.r ahall, at th.ir aol. co.t and .xp.n.., implem.nt all aitigation ....ur.. r.quir.d by ...olution Mo. lU60, and in pa~icular, S.ction IX, B. and s.ction VII, Condition Mo. 10, ~o the o sati.f.ction of the city and shall implem.nt or caus. ~o be implem.nt.d, at th.ir aol. coat end .xpen.., the Miti;ation and Moni~odng Program r.;uir.d by ..aolution No. 16860, S.ction IX. D. 3. COJlUUOJl 110. . - coapliuo. WUb .1aJla. %n aatisfaction of Condition Mo. . of the ...olution, D.v.loper har.by ce~ifi.. that Developer la currantly in c01llplianc. with and.gr... ~o (a) r..ain in complianc. with, and implement, the t.rm., conditiona and provision. of the ~.l.graph Canyon z.tatas Plan. prior ~o approval of' any Final Map, or (b) agr.e. ~o provide the city with e:\aubdiv\tc..Upp2.VP November 2, 1"3 8upP. SU for ~ele;raph Canyon Estat.. I) - 3,.$". . pa;. 5 I .... J auch aecurity (including recordation of covenanta running with the land) and implementation procedure. as 'the city aay require, assuring that, after approval of Final Map., Developer ahall\' continue to comply with, remain in compliance with, and implement auch ~elegraph canyon Plans. Developer shall have satisfied its Obligations to comply with the ~elegraph Canyon Plans so long a. Developer remain. in substantial compliance with 'the action plan for implementation of the ~elegraph Canyon Plans set forth on schedule 3 attached hereto and incorporated herein. 4. Con4ition .0. 14 __ ~r&D.it ..enitie.. Developer shall in.tall such transit amenities on both sides of otay takes Road at the project entry or appropriate alternative location as approved by the City Engineer. ~ansit amenities, as the term is used herein, shall include, but shall not be limited to, benches and/or shelters and are subject t.oapproval by the City Engineer. city acknowledges receipt from the Developer of $5,000 as a cash deposit t.o secure Developer'. promise. in this regard. 5. con4ition .0. in -- .eclslae4 .ster Vse. Developer hereby agrees to install reclaimed water piping in such locations a. city shall require, and at such time. as cit.y ahall require same during the construction of the infrastructure for the Property. Developer further agree. that it and it.. auccessors in interest shall u.e reclaimed water at the earlie.t pos.ible date aeme is reasonably available at such price as city shall determine is reasonable, which .hall at a minimum be understood t.o .ean at least the price of potable water. . Developer shall otherwise be comply with applicable regulations 'of Chula vista, Regional Water QUality Control Board and the state Department of Health as t.o the purchase and use of reclaimed water. 6. con4itlon .0. SO - aul141ng ~ermit.. .ot. to Sssue While ~bresbo14. Deficient. In aatisfaction of Condit.ion No. 30, Developer agrees as folloWS: 6.1 Developer hereby grants to the city the right t.o withhold building permits for any dwelling units on the Property at auch t.ime as anyone of the following occur: 6.1.1 ~affic volaes, levels of aervice, public utilit.ie. and/or service. exceed the standards for those adopted City ~hresholds identified on Schedule 1 et.tached bf1'eto and incorporated herein; or, { ~ ~.. , 6.1.2 .egional development. threshold limit.s identified on Bast Chule vist.a ~ansportat.ion phasing Plan, Schedule 2, at.t.ached hereto and incorporat.ed berein. e:\subdiv\~cesupp2.VP .ov~ber2, 1993 aupp. alA for 'telegraph canyon Bat.st.es Page 6 ~ 11,3" -...- - .-..-. - , t . I .... J 7. Condition Ho. 31 - Compliance With .astern Chula Vista ~ran.portation ~hasinq ~lan and ~ransportation Development xmpact r.. I'ro;ru. In satiafactlon of Condition No. 31, D.v.loper .qrees that it shall co.ply with the r.quir.ments of the r.vised Eastern Chula vista ~ansportation Phasing ~lan .nd ~ansportation Dev.lopment Impact F.e proqram or .s said documents .ay be revised ba.ed on the conclusions of the H.N.'.l'.B. stat. .Rout. 125 ~inancing study. 8. condition Ho. 32 - .0 I'rotest of Maint.nano. Di.trict or ........nt Di.trict. In sati.faction of Condition No. 32 of the R.solution, Developer and their heirs, .s.ign., tran.f.r..s, and other succ.ssors-in-interest, ber.by agr.es to not protest the ~ormation of . maint.nance di.trict ~or the maint.nance of ..dians and sc.nic corridors alonq str..t. within and adjacent ~o the Prop.rty .nd to not protest the formation of and inclu.ion of the Prop.rty in an ......ment diatrict ~or the maint.nanc. of '.l'.legraph Canyon Flood Control Channel. '.l'hi. .gr..ment ~o not prot.st the inclusion of th... public improv.m.nt. .hall not be de.med a waiver of the right ~o challenge the .mount of .ny a.......nt which .ay be impo.ed due to the .ddi tion of th.se n.w improv.ment. .nd shall not int.rf.re with the right of .ny per.on ~o vote ip a s.cr.t ballot .l.ction. ,. condition HO. 33 - HO ~rot..t of .ormatioD of community ..cility Di.trict. In .atisfaction of Condition No. 33 of the Resolution, Developer hereby aqrees to not prot.st the formation of and ~nclusion of the Property in . community ~.cility di.trict to fin.nce construction of stat. Rout. 125. '.l'his .gr....nt ~o not prot.st the inclusion of these pUblic improv...nts shall not be d.em.d . waiver of the right to challenge the ..ount of any ......ment which may be impos.d due to the addition of th... n.w improvement. .nd .hall not int.rf.r. with the -right .of any per. on ~o vote in . s.cr.t ballot .l.ction. . . 10. condition Ho. U - 8ubdivisioD Map %Ddemnity. In satisfaction of Condition No. 35 of the R.solution, the Dev.lop.r .gr... that, on the condition that City shall promptly notify the Dev.lop.r of any claim, .ction or proc..din; and on the furth.r condition that the city fully coop.rat.s in the d.f.n.., the Dev.lop.r shall d.f.nd, ind.mnify, and hold harml... the city, and it. .q.nt., offic.r. and employ..., from any cl.im, .ction or proce.dinq .qain.t the city, .or it. .q.nt., offic.rs or employ..s, ~o .ttack, s.t .sid., void or annul any approval by the City, includinq .pproval. by it. planninq Commi.sion, City Council, or . any approval by it. aq.nt., offic.rs, or employ... with:raqard ~o this Projact. . . a:\subdiv\~c..upp2.VP Nov.-~ 2, 1"3 lupp. IIA for 1'ala;r.ph Canyon E.t.t.. P.q. 7 ~ 1)-37 I J .... 11. Con4ition 110. 35 - Catlle S'elevision aas_ents. :En satisfaction of Condition No. 36 of the Resolution, the Developer agrees to permit all cable televi.ion companies franchi.ed by the City of Chula Vbta equal opportunity to place conduit to and provide cable ~elevision service ~or each lot or unit within the Project.. Developer further aqrees to vrant, by license or easement, and for the benefit of, and to be enforceable by, the City of Chula Vista, conditional access to cable television conduit within the properties situated within the Project only to those cable television companies franchised by the City of Chula Vista the condition of such vrant being that (a) such acce.s is coordinated with Developer's construction schedule so that it does not delay or impede Developer's construction schedule and does not require the trenches to be reopened to accolDlllodate the placement of such conduits; and (b) any such cable company is and remains 1n compliance with, and promises to remain in compliance with, the terms and conditions of the franchise and with all other rules, requlations, ordinances and procedure. requlating and affecting the operation of cable television companies a. same may bave been, or say from time to time be, i.sued by the city, of Chula Vbta. Developer hereby conveys to the City of Chula Vista the authority to enforce said covenant by such remedies as the City determine. appropriate, including revocation of said grant upon a determination by the City of Chula Vista that they bave violated the conditions of the grant. 12. Condition .0. 10 - 8ubmission of annual auilding .ermit and Other .eports. In satisfaction of Condition No. 50, Developer, and their beirs, assigns, transferee. and other successors-in- intere.t shall submit to the city Director of Planning annual building permit reports. '1'he first of such reports sball be submitted cOlDlllencing a. of February 1, 1"4. Sub.equent reports shall be delivered on an annual basi. until the last building permit 1n the Project has been issued. 13. Condition Bo. .1 - .etlands "sement. Developer agrees that it will not apply for Council approval of a fourth or'later final map to the Property, and City may withhold approval of same notwithstanding all other conformance with the '1'entative Map, until Developer has dedicated to the City, and same bas been recorded 1n first priority position, a minimum of ., acres wetlands associated with a large wetlands area on the otay Ranch property in a location approved by the Director of Planning. \ : .. 14. COnditioD Bo. .2 - Affordule .0UdDg "gre.ent. Developer agrees that, without permiasion of t:be City Council, it will not apply for Council approval of a fifth or later final map to the Property. until City and Developer have reached an affordable bousing agreement in a form satisfactory to the City providing for 34.4 affordable bousing units on the area of the '1'entative Map , a:\subdiv\tcesupp2.wp Hovember 2, 1"3 SUpp. SIA for '1'elegraph Canyon Estates Page 8 ,- ~7J" J/-:Jr 1 ... .___. .~___.--A- ----. ---.- ---:-.-. --_...-.~- ".. :.#I o cov.r.~ by the fourth or later final aaps, and in accordance with Condition No. 6 of the ~elegraph Canyon Estate. GDP and SPA Plan (Resolution N~. 16768). 15. condition No. .. - SonillljJ ~or a CO_lUlit}' hrPo.e .acilitie. lite. Developer agree. that, if one or aore parcels of property satisfactory to the City an~ of the same approximate aize a. that which aay have been require~ on-site, owne~ by the Developer within the juris~iction of the city an~ otherwbe be within the vicinity of the Property has not been (re)planne~ an~ (re) zone~ a. a Community Purpose Pacilitie. aite at the time Developer applie. for council approval of a fourth or other final aap for the Property, or if the partie. 'have not raache~ a aatisfactory aljJreement for the planninljJ and zoning of auch a parcel, city aay withhol~ approval of aame notwithatan~ing any other requirement, an~ Developer ahall aubmit a Revi.e~ SPA Plan an~ ~entative Map which provi~es for aaid aite within the auMivision. city agrees that proximal areas of the We.tern Parcel of the otay Ranch Project may provi~e auch an off aite parcel if it aeet. the other requirement. of annexation and owner.hip by the Developer at the time of zoning. 16. Compliance With Unfulfilled Condition.. Develop.r aqre.s to comply with all the con~ition. of the ~.ntative SuMivi.ion Map which remain unperforme~ or unfulfille~ at the time of the filing of the Final Map, inclu~in9 the following con~ition. no.. 71 an~ 73 which read as follows: condition No. 71. Pay the following f.e. in accordance with the city C~e an~ council Policy: a. ~he ~an.portation an~ Public Facilities Development Impact P.e. prior to the i..uance of any building permit; . b. Signal Participation Pee.; c. All applicable aewer ~aa., includinljJ, but not limite~ to, .ewer connaction fa..; an~ d. ~. ~elaqraph Canyon 8awar aaa1n ~ae. Con~ition No. 73. Comply with ~itla 24 an4- any other anar'iJY con.ervation ordinance. and' policie. 1n affect at the tiae con.truction occur. on tha property 1n conforaance with the, ~antativa luMivbion llap. , , e:\.uMiv\tc..upp2.vp November 2, ltt3 8upP. 811. for ~.laqraph Canyon ..tat.. 1/ - .J 9 Page t ~ I J 17. ..ti.f.ction of condition.. city agrees that the execution of this Agr.ement constitutes satisfaction of Developer'S obligation of conditions 3, 4, 14, 27, 3D" 31, 32, 33, 34, 35, 36, 38, 50, 61, 62, 68, 71 and 73 of the Resolution as it applias to the territory of the First ~hree Final Map. for Chula vista Tract '3-03. - . )' 18. .e coreS in; . prepared by either or of either party. 1'. xisoellaneous. ~hb Aqreement, or an abstract bereof both partie., say be recorded at the option 19.1 '.oUoe.. Vnless otherwise. provided 11' this Aqreement or by law, any and all notices required or permitted by this A;reement or by law'to be served on or delivered to aither party shall be in writing and shall be deemed duly served, delivered, and received when personally delivered to the party to whom it 1s directed, or in lieu thereof, when three (3) business days have elapsed following deposit in the V.S. sail, certified or registered mail, return receipt requested, first-class posta;e prepaid, addressed to the address indicated 11' ~is A;reement. A party may change such address for the purpose of this paraqraph by 91ving written notice of such change to the other party. Facsimile transmission shall constitute personal delivery. CITY OF CHULA VISTA 276 Fourth Avenue Chula Vista, CA '2010 Attn: Director of Public Works Developer: otay vista Associates c/o ~he Baldwin Company 11'75 El Camino Real San Diego, CA '2130 Attn: project Mana;er of ~eleqraph canyon Project A party say chan;e such a44ress for the purpose of this paraqraph . by 91vin; written notica of such change to the other party 11' the sanner provi4ed 11' this para;raph. Facsimile transmi.sion shall constitute personal delivery., ~ : . 11.2 capt10llS. Captions 11' this Aqreement are 1n.erte4 tor convenience of reference and do not define, describe or limit the scope or intent of this Aqreement or any of its terms. I e:\subdlv\~cesupp2.WP November 2, 1"3 supp.. IIA for ~eleqraph Canyon Estates pa;e 10 ~ 11"'10 .. to -- ...- r 19.3 Entir. Ar;r....nt. '1'bia Agr.ement contains tbe .ntir. agr.ement between the parties regarding the subject satter h.reof. Any prior oral or written r.pr.sentations, agr.ements, un4erstan4ings, and/or stat.ments shall be of no force and effect. '1'hi. Agreement i. not int.n4.d to sup.r..de or am.nd any otber agr..ment betw.en the parti.. unle.s axpre.sly not.d. . 19.4 >>r.paraU,on of Aqr....Dt. 110 infer.nc., assumption or pr.sumption sball be drawn from the fact that a party or his attorn.y prepared and/or drafted this Agr.ement. It shall be conclusively presumed that both parti.s participat.d equally in the pr.paration and/or drattinq this Agre.ment. 19.5 ..citals: BXbibits. Any recitals set forth above ar. incorporated by reterence.into this Agr..m.nt. 19.6 AttorD.Ys~ .r.... In the event of any dispute arising out of this Agr.ement, th. pr.vailing party in any action shall be entitled to reasonable attorn.y.' f..s in addition to any other costs, damages, or remedies. .. IN WI'l'NESS WHEREOF, the parties ber.to bave Agreement to be execute the day and year first forth. By: City of Chu1a Vista ader, Mayor Attest: eTAY VISTA.ASSOCIATES, a california limited partnership By: Sky Vista, . California corporation, G.neral Partner ce M. :~~6r~~ ~ Title: o"J,C'~ 'CP;:~\~...rr Date: By: lIam. : '1'it1e: f , a:\subdiv\tcesupp2.vp lIovnber 2, 1993 supp. SIA for 'l'elagraph Canyon .stat.s . paq. 11 ~ 1/-0// ._, . ----....... .". ........--~. .,., . -~~ }' . . 'l'HE UNt) REFERRED 'J'O HEREIN %S S%TUATED %N 'l'BE STATE OF CALIFORNIA, COUNTY OF SAN DIEGO, AND IS DESCRIBED AS FOLLOWS: 'l'HE SOUTHWEST QUARTJ:R OF SECTION 34, <J'QWNSHIP l' SOUTH, IWfGE 1 WEST, SAN IEJlNAROINO BASE AND MERIDIAN, IN 'l'BE COUNTY OF SAN 1)IEGO, STATE OF CALIFORNIA, ACCORDING 'J'O UNITED STATES GOVERNMENT SURVEY APPROVED APRIL 1', 1883. EXCUTlNG THt:UnoM THAT POllTION LYING SOUTBEASTDLY OF DE FOI..1.OWlNG 1)ESCRI!ED LINE: . BEGINNING AT THE' NOllTHEAST CORNEll OF THE SOU'rlNEST"QUAllTEll OF SECTION 34, TOWNSHIP 17 SOUTH, BANGE 1 WEST, SAN BERNARDINO MERIDIAN, IN THE COUNTY OF SAN DIEGO, STATE OF CALIFORNIA. ACCORDING TO UNITED SnTES GOVENMENT SURVEY APPROVED APRIL 17, 1883, THENCE '01JTB 00-47'09" WEST 1071.74 FEET TO THE TRUE POINT OF BEGINNING, ALSO BEING A POINT OF A NONTANGtNT 2970.00 FOOT 1AD1US CURVE CONCAVE NORnM:STERLY. A IADIAL LINt TO SAID POINT IEAllS SOUTH 39-49'36" EAST, 'rHENCE SOUT!NtSTERLY ALONG SAID CUllVE THROUGH A CENTRAL ANGLE OF 01- 47' n" A DISTANCE OF 92.74 FEET TO THE IEGINNlNG OF A UVEllSE 5067.00 rOOT JADIUS CUllvt, THENCE SO\JTHWESTERLY ALONG SAID CUllVE THROUGH A CENTRAL ~GLE OF 01- U'04" A DISTANCE OF 159.28 FEET, THENCE 'IA.NGENT TO SAID CUllVE S01JTB 60-47'16" WEST 976.36 FEET TO THE BEGINNING OF A'IA.NGENT 5067.00 rOOT 1AD1US CURVE CONCAVE SOUTHEASTERLY, THENCE SOU'rlNESTDLY ALONG SAID CURVE THROUGH A CENTRAl. ~GLE OF 05-11'19" A DIS'IA.NCE OF 458.86 FEET, THENCE 'IA.NGENT TO SAID CURVE SOUTH 55-35'57" WEST 549.31 FEET TO THE BEGINNING OF A'IA.NGENT 1933.00 FOOT IADIUS CURVE CONCAVE NORTHWESTERLY' 'IBENCE SO\JTHWESTtRLY ALONG SAID CUllVE THllOUGH A ct:uAAL ~GLE OF 24-24' 05" A DISTANCE OF 823.23 FEET TO A POINT ON THE WESTERLY BOUNDAllY OF SAID SOUTHWEST QUAllTER DISTANT NORTH 00-01'06" WEST 94.14 FEET noM THE SOUTHWtST CORNtJI. OF SAID SOU'rlNEST Qt1A.1lTEll. ALSO BEING DE POINT OF TEBMINUS OF SAID DESCRIIED LINE. ALSO EXCEPTING 'fBD,E!1toM THAT POllTION DESCllIlED AS FOLLOWS: COHMJ:NCING AT 'l'BE 1f01n'HEAST COUD OF soU'1'HWEl'1'ZRN COLloZCE U'l'ATES, UNIT NO. t , ACCORDING 'l'O 'l'BE KU' 'l'BEREOF If 0 . ." 42 , nu:D %If 'l'BE OFFICE OF 'l'BE RECORDER OF SAID SAN DIEGO coUNTY J 'l'BENCE SOUTHERLY, lEARING SOUTH 00-00'52- EAST ALONG 'l'BE EASTERLY LI1fE OF SAID KU' NO. '7'742, AND 'l'BE wESTERLY LINE OF SAID SECTION 34, A'DISTANCZ OF 165.tB ruT 'l'O 'l'HE DUE JIOINT OF IEGDlNIJIG, ftENCE SOUTHERLY .DJtI1IG SOUTH 00-00'52- EAST ALONG 'l'BE EASTERLY LI1fE OF SAID KU' .0. "'42 AND '1'HE WESTERLY LINE OF SAID SECTION 34, A DISTANCE OF 214.02 ruT' 'l'BENCE EASTERLY lEARING .ORTH "-51'0'- EAST ALONG A PAJl.Uu'", LINE 'l'O 'l'BE EAST-WEST C!;NTERLINE OF SAID SECTION 34, A DIS'1'ANCZ OF 400.00 ruTJ 'l'BENCE 1f0RTHERLY IDJlING 1f0R'1'H 00-00' 52- WEST ALONG A p,AMun'.. LINE '1'0 'l'JlE EASTERLY LINE OF SAID KU' If 0 . "'42 AND 'l'HE WES'1'EIlLY ~ OF SAID SECTION 34, A DISTANCE OF 212. '74 1'EZ'1" 'l'BENCE WESTERLY lEARING NOR'l'H .. _ 4t ' 54 _ WEST, A DIS'1'ANCE OF . DO. DO I'EE'1' 'J'O '1'HE DUE POINT OF IEGINNINC: . _____.JI ea- ~ 1/-tI J- .' .' . SCBEDm.E -1- Growth Jlanaq_ent ~..holda City Councll ...olution Ho. 13346 approved eleven public facllitia. and .ervice. vith related thraahold tltandarcU and !apl_entation aeuura., vhich vara liatad in a policy .uteaent datad Hoveaber 17, 1"7 and have eub.aquently .an rafinad Ila.ed on nCOlllDendationa frOll tha Growth JlaDaq_ent OYer.ight c-f.don (GKOC). . ~e elaven era: 'rraffic Polica . Fire/EKS School. I.1braria. Parka and ..creation Water .ewar Drdnage Air Quality Fiacal .. Durin; the davelopment of the Growth llanag_ent P.~.... ao IUIW facilitia. vera added to tha 1J.at of faci11ti.. to . analyaed: Civic Faciliti.. corporation Yard ~uhold 8tandarda era uaed to idantify when Dev or IlHladed public facllitia. ere na.dad. to aitigat. the Japacta of D.W davelopaent. DeveloplllaJlt approval. vill Dot . aade UDl... compliance vith th... .tandarda can . _to "l'ha.e thruhold .tandarda have .an prapared to guarantee that public faclliti.. or infraa1:1'uc.tUre improvaenu vill keep pace vith the ,........ of vrowth. , .~U1OZ -1- /1-tfJ -IJ ;)f . . . f SCHEDULE "'2" Transportation Phasing Plan Threshold Standards ') 1. City-wide: Maintain LOS "CO or better at all intersections. with the exception that LOS "0" may occur at signalized intersections for a period not to exceed a total of two hours per day. No intersection shall operate at LOS "E" or "F' as measured for the average weekday peak hour. 2. West of Interstate of 805: Those signalized intersections which do not meet Standard '1 above may continue to operate at their current (1987) LOS. but shall not worsen. Notes to Standards: 1. LOS measurements shall be for the average weekday peak hour. excluding seasonal and special circumstances. . 2. The measurement of LOS shall be the ICU (Intersection Capacity Utilization) calculation utilizing the City published designs standards. 3. The measurement of LOS at intersections of City arterials and freeway ramps shall be a growth management consideration in situations where proposed developments have a significant impact at interchanges. 4. Circulation improvements should be implemented prior to anticipated deterioration of LOS below established standards.. SCHEDULE "'2" j,,?-.)~ //-'Ii - f) SCHEDULE "3" Action ~lan for Implementation of Telegraph Canyon Plans }'Vater Conservation ~: Since the City water offsite policy is not yet in effect, the recommendations as stated in the Water Conservation Plan, dated May 1992. as modified November 18, 1992 will be implemented. Items such as uHra-Iow flush lDilets, ultra-low flow shower heads, faucet aerators, and a pressure reducing value will be provided for each household. Additionally, a water conservation guide will be provided to each new homeowner at the time they enter into a contract for the purchase of a home within the Telegraph Canyon Estates project. A major portion of the open space/scenic corridor will be planted with a non-irrigated hydroseed for water conservation P\I1f>05es. Additionally,the irrigation system has incorporated rain shut~ valves and the system will be maintained in accordance with the water management plan submitted by Burton and Associates. t, Air OualityJmtlrovement ~: Dust control by way of moisture addition to the soU during the grading operation will be implemented. In addition to the onsite dust control measures, an offsite dust control program to keep onsite dirt from being carried or tracked onto travel roadways will also be implemented by scheduling daily street sweeping and washing at construction .~~ points on internal paved roadways. Erosion control measures will be implemented in accardance with the Erosion Control Plans contained in the rough grading plans. Offsite traffic inte1{......2 from construction personnel commuting to the site and the movement of material on and off the site wDl be minimized by restricting land closures to off-peak travel periods and scheduling truck access such that 80% of the daily receipt of conaete and other building materials and other truck arrival/departures occur between 9:00 am and 3:00 pm. , SCHEDULE "3" p~~t'" /1-0/5 I . RESOLUTION NO. 17'175' RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING CERTAIN CONDITIONS OF RESOLUTION NO. 16960 APPROVING THE TENTATIVE SUBDIVISION MAP FOR CHULA VISTA TRACT g3-03, TELEGRAPH CANYON ESTATES WHEREAS, on January 19, 1993, by Resolution 16960, the City Council approved the Tentative Subdivision Map for Chula Vista Tract 93-03, Telegraph Canyon Estates; and, WHEREAS, at 1:11e time 1:11e first final map of 1:111s development was approved, Council al.o adopted Resolution 17278 amending the original conditions of approval of 1:11e tentative map and certain conditions were amended to defer compliance until approval of a later final map of the development; and, . WHEREAS, the supplemental subdivision'agreament for 1:11e first phase of development (Reso. NO. 17279) outlined the terms and conditions for the developer to satisfy 1:11e amended conditions: and, WHEREAS, the developer is now requesting 1:11at Council further amend Conditions of Approval Nos. 61, 62, and 68 to defer compliance until approval of subsequent maps; and, WHEREAS, Condition NO. 61, a. originally amended, requires 1:11e developer to enter into an agre.ment to dedicate and record in first priority positions a minimum of o.g acres of wetlands on the Otay Ranch property prior to approval of 1:11e fourth final map; and WHEREAS, it had been anticipated 1:11at 1:11e grant of easement and subordination agreement would be completed prior to presenting 1:11e fourth final"map for Council approval; 1:11e 9%'ant of easement has been prepared and recorded, however, because the property on which 1:11e easement is located serves as collateral for loans secured for 1:11e purchase of 1:11e otay Ranch 1:11e subordination agreement must be executed by a number of different entities and individuals and 1:11e execution proce.s has taken considerably more time 1:11an anticipated; and WHEREAS, staff recommends 1:11at COndition NO. 61. be further amended to read a. follows: . -Enter into an agreement not to apply for council approval of a fourth or later Final Map for 1:11e ,property until Developer has dedicated to the City, by 1:11e recordation of . dedication deed, an . 1 /1---0/(;, 1""..1 easement over a minimum of 0.9 acres wetlands associated with a large wetlands area on the otay Ranch property in a location approved by the director of Planning ("original wetlands Easement") and provided a title policy covering the original Wet;lands Easement. Developer shall further agree not to apply for council approval of the final map containing the 232nd lot until Developer has recorded all necessary subordination agreements to subordinate any deeds of trust encumbering the property on which the original WetlandS Easement is located and provided a title policy Jnsuring the priority of the Original Wetlands Easement." WHEREAS, the original condition 62 of the approved tentative map for Telegraph Canyon Estates required the developer . to enter into an affordable housing agreement to, as a minimum, grant in fee to the city not less than three buildable acres in a location and of a character satisfactory to the city for the purpose of constructing housing for low and moderate income families; and · WHEREAS, Condition No. 62, as previously amended, requires the developer to enter into an Affordable Housing Agreement with the City to provide 34.4 affordable housing units within the area covered by the Fifth Final Map prior to recordation of the Fifth Final Map; and WHEREAS, since it is anticipated that the fifth final map will soon be presented to council for approval and the developer and city staff have come to an understanding that the required affordable housing may be provided partlY on-site and partly off- site, Staff recommends that condition No. 62 be further amended to read as follows: .. "Enter into an agreement to provide seventeen (17) moderate income units within the boundaries of the development prior to approval of the pinal Map containing the 200th lot and enter into an agreement to provide .eventeen (17) low income unit. to be provided off .ite in a location acceptable to the Director of Community Development prior to approval of the pinal Map containing the 201.t lot." WHEREAS, condition Ito. 68, a... originally amended, requires the Developer to enter into an agre_ent with the City to cause, con.ent to, permit, apply for, and not oppo.e the planning or replanning and zoning or rezoning of an off-.ite parcel(a) as a community Purpo.e Pacilities (CPF) .ite prior to the recordation of the fourt!l pinal Map; and, 2 ~J/-'-/? WHEREAS, the CPF .ite is expected to be provided in the first village of the otay Ranch, and the Otay Ranch General Development Plan has been conditioned accordingly, however, the Otay Ranch property has !lot yet been annexed and therefore the developer is unable to comply with the condition at this time; and, WHEREAS, the amended condition would require the developer to further reserve and later replan an appropriate CPF site within the project if an off-site parcel cannot be guaranteed prior to the approval of the final map containing the 301st lot of the subdivision; and WHEREAS, staff recommends Condition 68 be .mended as follows: "Enter into an agreement with the City prior to approval of the fourth Final Map to record a covenant ("Covenant") against a parcel comprised of not more than 1.5 acres located within the development that said parcel be restr~cted for the use of a Community Purpose Facilities .ite and to cause, consent to, permit, apply for, and not oppose the planning or replanning and zoning or rezoning as a Community Purpose Facilities site prior to approval of the Final Map containing the 301st lot. Developer shall further agree that if Developer has not caused, consented to, permitted, applied for 'or not opposed the planning or replanning and zoning or rezoning of .aid site prior to approval of the Final Map containing the 301st lot, city may require Developer to .ubmit an amendment to the SPA Plan to create the necessary zoning for such a site within the boundaries of the property covered by the Covenant." NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula vista does hereby amend certain conditions of Resolution No. 16960 approving the Tentative Subdivision Map for Chula Vista Tract 93-03, Telegraph canyon Estates .. .et forth hereinabove. Pre.ented by Approved .. to form by PENDING REVIEW BY THE CITY ATTORNEY Bruce K. Boovaard, City Attorney John P. Lippitt, Director of Public Works C:\ra\TCE.Con , 3 //'1( Y J?r-? RESOLUTION NO. I' If? & RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING THE SUPPLEMENTAL SuBDIVISION IMPROVEMENT AGREEMENT APPROVED BY RESOLUTION 17279 REQUIRING DEVELOPER TO COMPLY WITH CERTAIN UNFULFILLED CONDITIONS OF RESOLUTION NO. 16960 APPROVING A TENTATIVE SUBDIVISION MAP FOR TELEGRAPH CANYON ESTATES, AND AUTHORIZING THE MAYOR TO EXECUTE SAME NOW, THEREFORE, BE :IT RESOLVED the cL ty Council of the City of Chula Vista does hereby approve that certain Amendment to the Supplemental Subdivision :Improvement Aqre_ent approved by Resolution 17270 requiring developer to comply with certain unfulfilled conditions of Resolution .No. 16960 approving a Tentative Subdivision Map for Teleqraph Canyon Estates, on file in the office of the City Clerk as Document NO. (to be completed by the city Clerk in the final document). BE IT FURTHER RESOLVED that the Mayor of the city of Chula Vista is hereby authorized and directed to execute said Amendment to the Supplemental Subdivision Aqreement. John P. Lippitt, Director of Public Works Approved as to form by ITEM WAS PUT ON AGENDA LATE - PENDING REVIEW OF THE CITY ATTORNEY - MAY REQUIRE A CLOSED SESSION. Bruce M. Boogaard, City Attorney Presented by C:\ro\TCE.IIA , 11-i./9 ~ I ~4 08:38 BALDWIN CO. 619 259 024200000000 P.2 "" mE CFTY OF CHUU JIlSTA PARTY DISCLOSURE STATEMENT Statement of disclosure of certain ownership interests, payments, or campaign contnoutions, on all matters which will require discretionary action on the part of the City Council, Planning Commission, imd all other official bodies. The following infonnation mllst be disclose.d: 1. List the names of all persons having a financial interest in the contract, i.e., contractor, subcontractor, material supplier. Baldwin Buildersl a California Corporat1on 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. James P. Baldwin Alfred E. Baldwin 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. N/A 4. Have you had more than $250 worth of business transacted with any member of the City staff, Boards, Commissions, Committees and Council within the past twelve months? Yes No.!.... If yes, please indicate person(s); 5. Rlease 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. Dave !laIlmer Dexter Wilson Hunsaker and Associates Wilson Engineering ..jack Hill 6. Have you and/or your officers or agents, in the aggregate, contnbuted more than $1,000 to a Councilmember in the current or preceding election period? Yes _ No.1L. If yes, state which Councilmember(s): . Person is defined as: .Any individual. firm. co-partnership,joint venture. DSsocituion, social club,frattmllll organWltion. corpt>>'tl/ion, /!Slale. mISt. receiver. syndicOfC. this and any other county, city QIId counrry. city, municipality. disrria or "tho poliricol subdivision, or an}' orhcr group or combination acting as II unit.. /I'~CJ (NOTE: Auach additional pages as n=sary) Dale: -:r~N 70 . \93A . (A-I J:\.'\:DISCLOSE. 'IXT] 'T,\'o'\d'{I,\.'f -:T. O'bfl.'f'r,\>Y Print or type name of contractor/applicant (RC'iis<d; ll~I9OJ RESOLUTION NO. 175'9~ RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING FINAL MAP OF CHULA VISTA TRACT 93-03, TELEGRAPH CANYON ESTATES NEIGHBORHOOD 2 UNIT 2, ACCEPTING ON BEHALF OF THE PUBLIC THE PUBLIC STREETS DEDICATED ON SAID MAP, AND THE EASEMENTS GRANTED ON SAID MAP WITHIN SAID SUBDIVISION, AND APPROVING SUBDIVISION IMPROVEMENT AGREEMENT FOR THE COMPLETION OF IMPROVEMENTS REQUIRED BY SAID SUBDIVISION, AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT The City Council of the City of Chula vista does hereby resolve as follows: NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula vista hereby finds that that certain map survey entitled CHULA VISTA TRACT 93-03, TELEGRAPH CANYON ESTATES NEIGHBORHOOD 3 UNIT 2, and more particularly described as follows: Being a subdivision of a portion of Southwest Quarter of section 34, Township 17 South, Range 1 West, San Bernardino Base and Meridian, in the City of Chula Vista, county of San Diego, State of California according to Map thereof No. 166, filed May 11, 1869 in the office of the county Recorder of said County. Area: 4.873 acres Numbered Lots: 26 No. of Lots: 26 Lettered Lots: 0 is made in the manner and form prescribed by law and conforms to the surrounding surveys; and that said map and subdivision of land shown thereon is hereby approved and accepted. BE IT FURTHER RESOLVED that said Council hereby accepts on behalf of the public the public streets, to-wit: portions of Marquette Road and st. Germain Road, and said streets are hereby declared to be public streets and dedicated to the public use. BE IT FURTHER RESOLVED that said Council hereby accepts on behalf of the City of Chula vista the easements with the right of ingress and egress for visibility and street tree planting and maintenance, all as granted and shown on said map within said subdivision, subject to the conditions set forth thereon. BE IT FURTHER RESOLVED that the City Clerk of the City of Chula vista be, and she is hereby authorized and directed to endorse upon said map the action of said Council; that said Council has approved said subdivision map, and that said public streets are 1 II/) --I accepted on behalf of the public as heretofore stated and that those certain easements with the right of ingress and egress for the construction and maintenance of street tree planting, as granted thereon and shown on said map within said subdivision is accepted on behalf of the city of Chula vista as hereinabove stated. BE IT FURTHER RESOLVED that the city Clerk be, and she is hereby directed to transmit said map to the Clerk of the Board of Supervisors of the County of San Diego. BE IT FURTHER RESOLVED that that certain Subdivision Improvement Agreement dated the day of , 1994, for the completion of improvements in said subdivision, a copy of which is attached hereto and by reference made a part hereof, the same as though fully set forth herein be, and the same is hereby approved. BE IT FURTHER RESOLVED that the Mayor of the City of Chula vista be, and he is hereby authorized and directed to execute said agreement for and on behalf of the city of Chula vista. C:\rs\TCNeigh2.2 Presented by John P. Lippitt, Director of Public Works 2 ///?'~ RESOLUTION NO. 1?5'9~ RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING FINAL MAP OF CHULA VISTA TRACT 93-03, TELEGRAPH CANYON ESTATES NEIGHBORHOOD 3 UNIT 2, ACCEPTING ON BEHALF OF THE PUBLIC THE PUBLIC STREETS DEDICATED ON SAID MAP, AND THE EASEMENTS GRANTED ON SAID MAP WITHIN SAID SUBDIVISION, AND APPROVING SUBDIVISION IMPROVEMENT AGREEMENT FOR THE COMPLETION OF IMPROVEMENTS REQUIRED BY SAID SUBDIVISION, AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT The City Council of the city of Chula vista does hereby resolve as follows: NOW, THEREFORE, BE IT RESOLVED that the city Council of the city of Chula vista hereby finds that that certain map survey entitled CHULA VISTA TRACT 93-03, TELEGRAPH CANYON ESTATES NEIGHBORHOOD 3 UNIT 2, and more particularly described as follows: Being a subdivision of a portion of Southwest Quarter of section 34, Township 17 South, Range 1 West, San Bernardino Base and Meridian, in the City of Chula Vista, County of San Diego, State of California according to Map thereof No. 166, filed May 11, 1869 in the office of the County Recorder of said County. Area: 2.719 acres Numbered Lots: 12 No. of Lots: 12 Lettered Lots: 0 is made in the manner and form prescribed by law and conforms to the surrounding surveys; and that said map and subdivision of land shown thereon is hereby approved and accepted. BE IT FURTHER RESOLVED that said Council hereby accepts on behalf of the public the public street, to-wit: portion of Genevieve Avenue, and said street is hereby declared to be a public street and dedicated to the public use. BE IT FURTHER RESOLVED that said Council hereby accepts on behalf of the city of Chula vista the easements with the right of ingress and egress for visibility and street tree planting and maintenance, all as granted and shown on said map within said sUbdivision, subject to the conditions set forth thereon. BE IT FURTHER RESOLVED that the City Clerk of the City of Chula vista be, and she is hereby authorized and directed to endorse upon said map the action of said Council; that said Council has approved said subdivision map, and that said public street is 1 //8-/ accepted on behalf of the public as heretofore stated and that those certain easements with the right of ingress and egress for the construction and maintenance of street tree planting, as granted thereon and shown on said map within said subdivision is accepted on behalf of the City of Chula Vista as hereinabove stated. BE IT FURTHER RESOLVED that the City Clerk be, and she is hereby directed to transmit said map to the Clerk of the Board of Supervisors of the County of San Diego. BE IT FURTHER RESOLVED that that certain Subdivision Improvement Agreement dated the day of , 1994, for the completion of improvements in said sUbdivision, a copy of which is attached hereto and by reference made a part hereof, the same as though fully set forth herein be, and the same is hereby approved. BE IT FURTHER RESOLVED that the Mayor of the city of Chula vista be, and he is hereby authorized and directed to execute said agreement for and on behalf of the City of Chula vista. Presented by t John P. Lippitt, Director of Public Works C:\rs\TCNeigh3.2 2 1/8',). COUNCIL AGENDA STATEMENT Item I a.. Meeting Date 8/2/94 SUBMITTED BY: Report on grading modification for Elementary School Site (Eastlake Greens) Director of Public Work~ City Manager.JCt ZJ~J (4/5ths Vote: Yes_NoXJ ITEM TITLE: REVIEWED BY: The Engineering Division is currently processing grading plans submitted by EastLake Development Company for the grading of the Eastlake Greens South, Phase I. The grading of Unit 33, the elementary school site, is included in said grading plans. The proposed grading for the school site is a modification to the grades shown on the approved tentative map. This report is to inform Council of the proposed changes. RECOMMENDATION: That Council accept the report regarding grade modification to the Eastlake Greens elementary school site. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: The Chula Vista Elementary School District has requested that the Eastlake Greens elementary school site be graded at a one percent slope (1%) across the pad instead of the four percent (4%) shown on the approved tentative map. Site plans for schools generally require a relatively level pad in order to provide a maximum usable area for layout of buildings and playgrounds. The proposed grading shown in the Eastlake Greens South, Phase I grading plans would provide a more usable school site than was shown on the approved tentative map. As a consequence of the change in pad elevation, the height of the slope on the westerly side of the school site will increase from a maximum height of 9 feet to 27 feet. This height is still considerably less than other existing slopes in the Greens. For instance, the slopes along the easterly side of Eastlake Parkway at Otay Lakes Road are 50 feet high. No adverse impact to adjacent development is anticipated due to the increased slope height. Eastlake High School is located directly across Eastlake Parkway on the westerly side, Championship Classics II on the northerly side, and a public park site on the southerly side. While grading of the park site is included as part of the work, we will require that the usable area of the park not be decreased. Landscaping of the westerly slope will be required to be designed to soften the easterly view from the high school site and a graded access ramp will be provided between the school site and the park site. Additionally, Eastlake will be required to process a lot line adjustment to relocate lot lines to the top of slopes. IJ-I Page 2, Item Meeting Date 8/2/94 The school district is on an accelerated schedule to have the school completed and ready for the 1995-96 school year. Therefore, unless otherwise directed by Council, the Engineering Division will issue a grading permit as soon as plans are finalized and bonds are posted. This is anticipated to occur by August 3. Staff concurs with this adjustment, however, if Council objects to this modification, staff is not sure if the City has the authority to stop the District from grading in this manner. The City Attorney is researching this issue and will probably be able to respond to questions at the meeting should the Council not agree with the grading modification. A plat showing an east-west section of the grading of the site is available for Council viewing. FISCAL IMPACT: None. Eastlake Development Co. is paying all processing fees. M:\home\engmeer\agenda\cvelern.eaf I~ -.t HlqH SCHOOL ~ T rr- , ! , "- " "- " " "'- " " '\. UNIT 26 UNIT 36 mat WATER DISTRICT RESERVOIR UNIT 30 VICINITY MAP NO SCALE -=r-~, , ~. ':;::;;::::EUJBHOUSE P"R.",,, ~ ~ \ UNIT 20 -- "-~" " " "" "- " " " " FILE NO. DATE: 7-27-94 CHULA ELEMENTARY SCHOOL SITE (EASTLAKE SOUTH GREENS) OWN BY: I~-~ \\ \ \ \ A-A \ \ \ \ \ \ ~ \ \ \ \ \ \ \ ~ Q:: o ~ EAST - WEST SECTION SECTION A-A ~<!'J.; ~S.9 ;s EASTLAKE PKWY t 27' I '0,,, .~V if ~ 635' ro'/,O .~V ~ ( SOUTH GREENS VIEW DRIVE WEST . 9' . 670' Unit 33 (school site) CHULA VISTA ELEMENTARY SCHOOL SITE 33 (EASTLAKE SOUTH GREENS) \': COUNCIL AGENDA STATEMENT Item Meeting Date , 19/94 i. { ~ -./z,/fIt"{ Ordinance .J..5"9 (, Amending Sections 13 .14.100 and 'K\\r$~ 13.14.150 of the Municipal Code relating to Sewage ~~' Station Charges and Ordinance No. 2461 and repealin~J}nl~e Nos. 2181, 2286, and 2477 to dissolve Speci~~W~Service Rate Areas r,O\\\) ~fj;Y. '\ b) Resolution J ,ft. Y Amending' the Master Fee Schedule 'J ,to delete Chapter XII, Engineering-Sewer, Section D, Pump f.~'1 #.') . '1' ) 1 vi Stations relating to sewage pump station fees and repealing II'( r'1jl"1 Resolution Nos. ~833 and 8028 to discontinue the billing of t . ' J sewage pump station surcharges. SUBMlHED BY, 0;..- ofPobIi,orJJ:fi:~ REVIEWED BY: City Manage~~ ~j (4/5ths Vote: Yes_ No...X"> ITEM TITLE: a) On May 17, 1994, the City Council adopted Resolution No. 17491 approving Council Policy No. 570-03, Sewage Pump Station Financing Policy. The Council Policy provides that all existing Sewer Service Rate Areas, which provide for the fmancing of maintenance and operation (MIO) costs of public sewage pump stations by property owners, be modified. Ordinance Nos. 2181, 2286, 2477 and Resolution Nos. 6833 and 8028 must be repealed and Ordinance No. 2461, all of which established Special Sewer Service Rate Areas must be amended to comply with the Council Policy. The Master Fee Schedule and Municipal Code need to be updated to reflect the provisions stated in the Council Policy. RECOMMENDATION: That Council: 1. Adopt Ordinance amending Sections 13.14.100 and 13.14.150 of the Municipal Code and Ordinance No. 2461 and repea1ing Ordinance Nos. 2181, 2286, and 2477 to dissolve Special Sewer Service Rate Areas. 2. Adopt Resolution amending the Master Fee Schedule to delete sewage pump station fees and repealing Resolution Nos. 6833 and 8028 to discontinue the billing of sewage pump station surcharges. BOARDS/COMMISSIONS RECOMMENDATIONS: Not applicable ~ .-e.-+-I ~ -I Page 2, Item ~ ~ Meeting Dat~ DISCUSSION: Council Policy No. 570-03 states that all MID costs for all City owned sewage pump stations within Chula Vista shall be paid from the City's general sewer budget. The policy provides that all of the existing Special Sewer Service Rate Areas within the City be modified as of July I, 1994 to relieve affected homeowners or businesses of the obligation to pay the Special Sewer Service Rate applicable to the pump station. This ordinance and resolution will implement the requirements of the pump station policy. They must be enacted on July 19 in order to ensure that the billing of pump station fees is discontinued as of the first billing period subsequent to July I, 1994. Where existing agreements or ordinances provide for developer contributions toward the payment of MID costs, those portions of the agreements or ordinances which apply to developer contributions shall continue to be effective. Current pump stations are listed with the related ordinances and resolutions on the attached Table I. Maps are also included which show the location of the pump stations. Most of these pump stations are owned by the City and the MID costs are fmanced through sewer service charges paid by the residents whose properties are part of sewer service rate areas. The San Diego Unified Port District and EastLake pump stations are fmanced differently and must therefore be treated differently under the new pump station policy. PORT DISTRICT PUMP STATIONS The San Diego Unified Port District is responsible for paying the MID costs for three sewage pump stations located within Chula Vista. These pump stations are serviced by the City through an existing agreement with the Port District. The agreement would not be affected by the Council Policy because these pump stations are not owned by the City. The City will continue to provide the MID for the pump stations, and the Port District will continue to reimburse the City for all related expenses. EASTLAKE GREENS PUMP STATIONS EastLake Development Company and the City of Chula Vista have an agreement (enacted by Resolution 16180 and Ordinance No. 2461) regarding maintenance and operation of two existing sewage pump stations (EastLake Parkway and Otay Lakes Rd) and one future pump station (Orange Avenue). Under this agreement, both the developer and the homeowners share in the MID costs until, 1) enough units have been sold to allow the homeowners to fmance the full MID costs based upon a predetermined amount per unit or 2) seventy-five percent of a given number of the units have been sold. It was predetermined that the residents would pay a monthly flat fee of $0.75, $1.00, $1.50 or $2.00 per Equivalent Dwelling Unit (EDU) for the MID costs based on the type of residence and whether the wastewater from the property flows through one or two pump stations. When either of the two above conditions are met, EastLake _7".3-" _l z..... 1~-2- Page 3, Item --.U Meeting Dat~ Development will be released from its obligation to pay for the MlO costs. Thereafter, all MlO costs would be paid by the property owners. ~ In order to be in conformance with the Pump Station Council Policy, the agreement between EastLake Development and the City must be amended to relieve property owners of their obligation to pay a portion of the MlO costs. EastLake Development will continue contributing toward MlO expenses in the same proportion stipulated in the agreement. The City will periodically monitor all sewer connections that contribute flow into the pump stations and calculate the amount of revenue that these connected residences would have contributed for MlO costs. This amount will be paid out of the City's sewer budget and subtracted from the previous year's actual MlO costs for the pump station to determine the amount due by EastLake andlor subsequent developers. EastLake Development will be released from their obligation to pay MlO costs when the estimated amount that the residents would have contributed equals or exceeds MlO costs in any given year or when 75 percent of the total number of tributary EDUs have been connected to the pump station. At that time, all the MlO costs for the pump station will be paid through the general sewer budget. OLYMPIC TRAINING CENTER PUMP STATIONS Three pump stations will serve the Olympic Training Center (OTC). This includes OTC No. 1, a temporary pump station located on the Criterium Course, OTC No.2, a permanent pump station located at the Boat House and OTC No.3, a temporary pump station located between Otay Lakes Road and the future E. Orange Ave. All three pump stations have been designed to serve only the Olympic Training Center. OTC NO.3 pump station was constructed to allow the Olympic Training Center to discharge sewage prior to completion of the larger E. Orange Ave pump station, and it will not be needed after the E. Orange Ave. pump station is completed. No agreement has yet been adopted for these pump stations. It is proposed that these stations be maintained by the City through agreement with the Olympic Training Center, as allowed through Section E of the Pump Station Policy. The Olympic Training Center would pay all MlO costs, as well as costs associated with pump station removal. They will also be required to pay the costs of connection to a gravity system when available for the OTC No. 1, Criterium Course pump station and cost of connection to the E. Orange Ave. system for the OTC No. 3 pump station. AUTO PARK PUMP STATION Two agreements between the City of Chula Vista and the Chula Vista Auto Park to provide for the maintenance of the Auto Park sewage pump station and holding tank were approved by Resolution Nos. 17081 and 17082 on April 20, 1993. The developer is required to pay the actual pump station and holding tank MIa costs for the fIrst year of operation. The agreement also stipulates that a sewer service rate area will be established to pay for MlO costs. The ~ -1- 3" I.....-~ Page 4, Item i ~ Meeting Dat~ establishment of a sewer service rate area is no longer permitted by the Pump Station Policy. All MlO costs after the first year are proposed to be paid through agreement with the Auto Park Association, as provided in the Covenants, Conditions, and Restrictions for this development. RANCHO ROBINHOOD II PUMP STATION A Special Sewer Service Rate Area was not established for the Rancho Robinhood II sewage pump station. Payment of MlO costs was addressed in Resolution No. 8028 and the accompanying agreement between the developer and the City, which stated that the developer would pay all MlO costs associated with the sewage pump station with the option of assigning the MID costs to the properties which would be served by the sewage lift station. The payment of MlO costs was later transferred from the developer to the Homeowner's Association. The Homeowner's Association was never formally established, therefore properties served by the pump station were individually billed for the MlO costs by the City without amending Resolution No. 8028. We propose to repeal Resolution No. 8028 and discontinue billing the II homeowners for the MlO costs of the sewage pump station. This is consistent with the council policy adopted on May 17, 1994. The Council Policy states that the actual cost of bypassing or removing a temporary sewage pump station from service and connecting the collection system to an adjacent permanent gravity system shall be paid from the regular sewer budget, and that this cost (less any remaining deposits collected for that purpose) shall be distributed among all properties connected to the Chula Vista sewer system. MISSION VERDE AND CANDLEWOOD PUMP STATIONS Two temporary pump stations, Mission Verde and Candlewood, are scheduled to discontinue operation in 1995 and 1996, respectively, after the Rice Canyon Trunk Sewer is constructed. A tentative subdivision map for Rancho del Rey SPA m was approved by Resolution No. 16266 on July 18, 1991. The subdivision map conditions provide for the removal of the Mission Verde and Candlewood sewage pump stations by the developer. Prior to approval of the fmal map, the owner and the City shall enter into an agreement to establish the scope of work and the amount to be reimbursed by the City to the subdivider for performing said work. The cost of removal and connection to gravity sewers for the Mission Verde and Candlewood sewage pump stations will be paid through the general sewer budget. The Master Fee Schedule must be amended to comply with the Council Policy. Chapter XII Engineering-Sewer, Section D (Pump Stations), which refers to sewage pump station charges and delinquent payments, will be deleted. Section 13.14.100 of the Municipal Code must also be amended to conform with the Council Policy. Parts A through E will be deleted and Part .-!lP~- L.f- I '-f- 'i ( - F will be revised. sections. Page 5, Item 7 Meeting Dat~ Language similar to the Council Policy will replace most of the deleted v FISCAL IMPACT: In accordance with Council Policy No. 570-03, all Special Sewer Service Rate Areas will be dissolved and the MlO costs for all sewage pump stations will be paid out of tht; general sewer budget to the extent that developer payments are not provided. The total estimated annual cost of pump station MlO is $141,000. Approximately $28,000 of that amount is presently financed out of City sewer funds. Since there will be no increase in the sewer service charge for Fiscal Year 1994-95, it is estimated that the annual loss in revenues will be approximately $113,000 for 1994-95. This amounts to an additional cost to the City of approximately $0.22 per Equivalent Dwelling Unit per month. In future fiscal years, this amount will have to be added to the overall sewer rate. There will be no immediate impact on the sewer service charge because of reserves in the sewer funds. The MlO costs of the Olympic Training Center and Chula Vista Auto Park pump stations are proposed to be paid by those entities under separate agreements with the City. The cost of removing the Mission Verde and Candlewood sewage pump stations and reconnecting the sewers to gravity systems will be addressed in the agenda statements for the reimbursement agreement with McMillin Development, developers of Rancho del Rey. BVH:LY-081 Attachments 1. Table 1: Sewage Pump Stations 2. Sewage Pump Station locations 3. Minutes 5/17/94 4. Sewage Pump Station Policy Agenda Statement M:\HOMElENGlNEl!RIAGENDAISEWPUMP.AGIl ~~t'-\-S TABLE I SEWAGE PUMP STATIONS Name Resolutions/Ordinances Estahlishinl! Rate ~ 1. 2. 3. 4. S. 6. 7. 8. Chula Vista Woods Subdivision Candlewood Subdivision Mission Verde Subdivision Terra Nova Subdivision (Woodcrest) Rancho Robinhood n EastLake Parkway (A) Otay Lakes Road (B) East Oranie Ave (C) Ordinance No. 2181 Resolution No. 6833 Or<tin.nr~ No. 2286 Or<tinanr.e No. 2477 Resolution No. 8028 Or<tinanr.e No. 2461 Ordinanr.e No. 2461 Ordinanr.e No. 2461 The Chula Vista Auto Park Sewage Pump Station. Supplemental Subdivision A&reement was approved by Resolution No. 17082. No Or<tinanr.e has been passed establishing a special ~wer ~rvice rate area. The CC&R's for the Auto Park provide for the MlO costs to be paid by the Auto Park under an agreement with the City. M:lhome\engineerlagenda\sewpump.age .J*- _( - IS ,'-t-<. ,,\o~ ~'(~ ~\> ORDINANCE NO. 02.59 " ,?><,)-\>\~~ . Q~\> ~<s9. AN ORDINANCE OF THE CITY OF CHULA VISTA AMENDING SECTIONS 13.14.100 AND 13.14.150 OF THE MUNICIPAL CODE RELATING TO SEWAGE PUMP STATION CHARGES AND ORDINANCE NO. 2461 AND REPEALING ORDINANCE NOS. 2181, 2286, AND 2477 TO DISSOLVE SPECIAL SEWER SERVICE RATE AREAS WHEREAS, the City of Chula Vista provides sewer service within the boundaries of the City, and WHEREAS, pursuant to Health and Safety Code Section 5471, on December 16, 1986, the City Council adopted Ordinance 2181 for the Chula Vista Woods Subdivision; on October 11, 1988, the City Council adopted Ordinance 2286 for the Mission Verde Subdivision; on June 11, 1991, the City Council adopted Ordinance 2461 for the EastLake Greens Subdivision and the Olympic Training Center and on September 17, 1991, the City Council adopted Ordinance 2477 for the Woodcrest Terra Nova Subdivision establishing special sewer service rate areas for said subdivisions with a monthly surcharge to be assessed for each unit or property, and WHEREAS, on May 17, 1994, the City Council approved Resolution 17491, adopting Council Policy No. 570.03, the Sewage Pump Station Financing Policy, and WHEREAS, Section C, part 3, of Council Policy No. 570.03 states that "all existing Special Sewer Service Rate Areas shall be modified as of July I, 1994 to relieve affected homeowners or businesses of the obligation to pay the Special Sewer Service Rate applicable to the pump station with the City". NOW, THEREFORE, BE IT ORDAINED AS FOLLOWS: SECTION h Ordinances 2181,2286, and 2477, which established Special Sewer Service Rate Areas for the financing of MIO costs of sewage pump stations, shall be rescinded with the adoption of this ordinance. The portion of MIO costs for City owned sewage pump stations previously paid through sewer service rate areas shall be paid from the general sewer budget. SECTION 2: Where existing agreements or ordinances provide for developer contributions toward the payment of MIO costs, those portions of the agreements or ordinances which apply to developer contributions, including expiration dates if any, shall continue to be effective. SECTION 3: Amend Ordinance No. 2461 for the EastLake Greens Subdivision to relieve affected property owners and schools of the obligation to pay the Special Sewer Service Rate. ~ 9 r6:,.-' l ~ --, Ordinance No. :;.$"'v Page 2 The developers will continue to be obligated for their share of payments of the MlO costs associated with the pump stations. Sections VII, VIII, IX, X, XI, XII of Ordinance No. 2461 shall be deleted. The following sections of Ordinance 2461 will be revised as follows: SECTION I. The City Council of the City of Chula Vista hereby desilmates eslll8lislie~ a Sjleeilll sewer 5efViee fllte IIfell with three component zones, within the boundaries of Tentative Subdivision Map No. 88-3 and Parcel Map 16318 of the City of Chula Vista, as shown on Exhibit 1 attached hereto, for the purpose of providing special sewer services to said IIfell aRE! zones through three temporary sewer pump stations, and to subsequently provide customary service through a gravity-flow system. Said sewer services shall be provided by the City of Chula Vista in conformance with the contract between the City of Chula Vista and Eastlake Development Company, dated January 9, 1990, as amended by agreement dated June 4, 1991. The name of the proposed comoonent zones are 3peeiaJ. Itfe8. i3 "E&5d..ak:e CFeeft.3 8peeial. Rate /'deS.", \vith. Std:Utfe&3 Sf !:8ftes "A", "B" and "C". SECTION ill. The domestic sewer service charge for each single-family dwelling unit within the EastLake Greens component zones Speeitll IllIte 1._ shall be equal to the amount charged other similarly situated customers within the service area of the City. SECTION IV. On or about July 1 of every year, commencing on the July 1 immediately following placement of each sewer pump station into service and acceptance by City of responsibility fQr ef its maintenance and operation, the Director shall determine the estimated costs for maintenance and operation of each pump station for the following fiscal year. The determination shall be made for each component zone. If said estimated maintenance and operation costs exceed estimated funds to be paid by the City eelleeteEI f.fem lIsefS for any zone, and the Director has not made a determination for that zone that the .initial rates. no longer apply, the Director shall notify EastLake Development Company and/or its successors in interest of the amount of their portion of the surcharge, pursuant to the First Amendment to Agreement between City and EastLake dated June 4, 1991. The total amount of EastLakelsuccessors surcharge to be paid shall be the difference between said total estimated maintenance and operation costs, and the amount - 7'1 ~ l,,",-~ Ordinance No. .15'9/, Page 3 estimated by the City that would have been allocatable to the users. te-ge eeHeeled f16m 1I!lefS, lIS lIe~eri6el1 ill dli3 lieeliell, 81111 Seeliell3 S &fill 6. Felle-.viftg determiRatisft sf the tetsl 8.fft81:lRt af the aeer:e ae3eMed sluellarge eaell yeftf, ~e The Director shall determine how to apportion the total surcharge among EastLake and their successors in interest, based on the following formula: Each party (EastLake and successors) sha1l be responsible for the same percentage of the total surcharge as that determined by dividing the number of EDUs for which building permits have not been obtained by July 1 within that party's ownership by the total number of EDUs within each mm: SlIBarea for which building permits have not been issued by July 1 of that year. EDUs shall be evaluated based on the "EDU factor" described below. The Director may, at his discretion, review the status of funds available for the purpose of operating and maintaining said pump station at any time during the year. If, as a result of said review, the Director determines that there will be insufficient funds estimated &\"ailllllle in any component zone SlI8llfellllllmll staliell ftIfttI to provide for said maintenance and operation and that the ftIfttI balance is likely to be depleted within 30 days, the Director shall notify EastLake in writing of such situation and require EastLake to provide sufficient funds to provide for said maintenance and operation to July 1 of that fiscal year pursuant to the agreement between the City and EastLake as amended, dated June 4, 1991. EastLake shall, within 30 days of receipt of said notification, deposit said required funds with the City treasurer. When the next annual determination is made of the surcharge as described above, the "loan" by EastLake shall be considered "estimated cost" and the value of the surcharge shall be determined after such credit. The Director shall determine for any zone that the "initial rates" no longer apply when either &fIlllilltt "perm&flellt l'Ilte3" 8PJl1y 'Hfiell lie er she lIetefffline3 ei~er lilet 1) a sufficient number of units are connected so that the total of the number of units times the ~'prQpriate initial rates will be l!:reater or caual to flllllls are Beillg eeHeelell frem lIi1el"S 16 IlFe'/ille fer the annual maintenance and operation costs, or 2) within that zone, 75 % of the total number of EDUs within the zone have been connected to the pump station. First sentence only of Section V will be revised as follows: SECTION V. The "EDU factor" for all land uses within the comlX>nent ~ ( q- l~-Cj - Ordinance No. .2.59" Page 4 ~ speeial se....er 5efViee f&te _ shall be as follows: SECTION VI. 1. de~igllated speeial epeI'lltiells ed nuHllleII&IIee MI1:ehar-ge skaR Be assessed fer saeh a5ef 5eFViee vL"ithiR the tt..ree eelBft8ReRt mAts. Ea.3tLake Speei81 Rale :\feB. "Initial rates" shall be in effect for all three zones commencing from the date of enactment of this ordinance until such time as the Director makes a determination for that zone that "initial rate" no longer apply. FeHe'Hing slIell 8etef'ffiiftatisft, the "perfflan.eftt fRtes" shall he ill effeet fer that rBfte. While initial rates are in effect. the pumo station costs p~able by the City will be the ffiallthly 6ffiallllt p&i.d ~y eaell el:lsteffier 'Nithin IlIlY mile is determined by multiplying the applicable zone rate factor appropriate by the "EDU" factor listed in Section 5 above. Far "initial rate" , Dhe zone rate factor for zones A and B is one dollar ($1.00) per month. The initial zone rate factor for zone "C" is two dollars ($2.00) per month. Fer "perffieellt f&tes": The mile f&te foetar fsf~~"'e3 A BIld B i3 ehHliftee hy di-/idi8g the eMjlftated 8ftftllal JlUHftteft8flee 8ftd eperetiaA easts fer the pllffil' ste.tiell seMIIE; that mile ~y lite tetftl IIl1ffi~er ef BODs, respeeti-;ely, 8ft liRe iR that ftlRe the JlIR! 391'JeeediRg the fiseal year fer whieh the rate is te ~e este.~lislle8. The mile f&te fReler fer mile C i~ ebWIle8 ~y dividing lite e9liffiatee &lllIlIal ffi&i.lltell&llee Md epeflHiell easl5 far the plllftjl ste.tiall 3ef'Vieillg mile C BY tile letftlllllffi~er ef EDUs elllille in that mile all tile Jlllle 39 preeeEliAg lite iiseal Yllllf fer wfiieh the f&te is ~eiIIg este.~lisile8, MEI aEldiftg the -,altle af the ~Re stlreharge fer 26fte B as eelettlated flBe-,e. The ffiallthly ellllfge shall ~e eal.elllatell eEl ealleetell a8ffiillistfe.tively, II111eS5 it feSlilts ill IlIl ille_50. III that eo,ellt, tile pF8paseEl mereElSe sI=1all ~e w/ie"Jled hy CStlfleil i8 atI.,anee at a Ratified ptddie heariftg. SECTION 4: read as follows: That Section 13.14.100 of the Chula Vista Municipal Code is amended to Section 13.14.100 Sewage Pump Station Charge - DispBsitiBB BeRenBlle Detel'lBiBBtiBB ee CkBpr;es Sewal!e Purno Station Financlnl! A.. All the MID costs for all City owned sewaee pump stations within Chula Vista. which costs are in excess of funds d~sited by develo,pers re!\POnsible for the construction of said pump stations. shall be paid from the ,eneral sewer budeet. ~7;'t.1 .J. Ie I~-'Q Ordinance No. ~5'~ Page 5 I!.. When a permanent sewal!e Dump station is aDoroved for construction and has been constructed and accepted by the City. the develo,per shall de.posit the M/O cost of the pump station for a period of 20 years based on an estimate by the City. 1.. As an alternative to de.positin~ the full 20 year M/O costs with the City immediately I!pon comoletion of the sewa~e pump station. the develo,per and the City m~ enter into an al!reement nrovidin~ for the M/O costs to be Daid by the develo~r over a period of time. In this instance. the commitment to nay shall be l1uaraJ'tPMl with adequate security. one form of which may be a lien I!pon the pronertv to be develo,ped. The amount of said lien may be adiusted over time as pro,perty is sold or as oayments are made. No portion of the lien amount shall be reassi~ned to a buyer of a develo,ped pro,perty. 2.. In instances where the oroperty to ultimately be served by a permanent Dump station is not fully contained within the ownership of the developer who builds the pump station and an a!!reement with the City has been entered into as provided above. durin~ a !!iven year that developer shall be resoonsible for the portion of the M/O cost which is proJlOrtional to the number of EDU's he has connected to the pumo station as compared to the full number ofEDU's connected to the Dump station as determined by the Director. In instances where the developer has deposited the full estimated 20 year M/O costs. a subsequent develo.per usinl1 the pumo station shall be reauired to reimburse the ori~inal develo.per for previously deJlOsited M/O costs (olus interest) for EDU's to be connected by that subsequent develoner. j... For temoorary sewai!e oump stations. where the pronerty to ultimately be served is not wholly within the ownership of the develo.per who builds the pumD station. each subsequent develo,per connectinl! EDU's to the station shall be re~nsible for the payment of a portion of the annual M/O cost which is prooortional to the number of EDU's that develo..per has connected as compared to the total number of connected EDU's. ~ For all active sewa!!e pump stations. the total of M/O costs. includin!! costs of re.placements. utilities. nersonneI. equipment. sl!Pplies and overheads of all City sewa!!e pumo stations shall be calculated by the City on a calendar year basis. That total. plus an estimated amount for inflation. ifany. less de.posits or contributions estimated ~o be on hand at the end of the fiscal year current at that time. shall be included as a system cost i~ the normal City-wide sewer budl1et and distributed amon!! all pronerties within the City ~ ~ ('1-'\ Ordinance No. ~.5'9t, Page 6 connected to the Chula Vista sewer system durin!! the fiscal year be!!innin~ on the immediately followin!! July 1. n.. The actual cost of bypassin!! or removin~ a temporary sewa!!e pump station from service and connectin!! the collection system to an adiacent permanent !!ravity system shall be paid from the re!!ular sewer bud~et. and that cost (Jess any remainin~ deJlOsits collected for that pUlJ)Ose) shall be distributed amon~ all pr()1lerties connected to the Chula Vista sewer system. ~ This section shall not be aoolicable to any sewa~e pump station not owned b.y the City or to any a~reement with a public a!!enc;y or private entity concernin~ such a pump station. . .... B:- e:- The e"Jl:fter aT seSlIl'Mt af MY p&fetl af le8:l 1'f8pefl}" e8ftfteeted te a ae"..-rt'8.ge 1'1Iffil' statiea whish is B. part af the \"JastErJ:atef system af the City anti sitHeteEI -.\"ithia a SiJeeial StONer Serviee Rate .&...rea e3tfthlished BY the City CStlftsil shallI'll)" an MAHal 8e-JJ&ge Pump S1&tiS8 ChMgs ill the 8ffl8t1ftt :Jet feftJl in the efdift8ftee estaBlishing sueR I..fea, a1 ti lIfftelllletl by the City CelllleilMlllllHly by 8fdiIlMee, ti lIesigllated fer IllIftlinistlllth.e eaw/eIIiellee ellly ill Ute Master Fee Selletlllle. Tile Mllllti eilllrge sllall be pre fllteEI fer He'JI 8f Festered gefViee, &Ad shall he ealeulated anfl M3e3JeE1 pHFStlant 16 this 3tt6divisisft Mil sllbdivhiell C lIefe8f Mil ealleeted ill aee8f6Mee with SeeliBIl 13.11.1S9. 1..11 ftr/SRlIe deFived (lEUR !ie"NagS pump stat-iSR eftarges shall he depeMted iDle a separate ftuul a1 &eS8t1Rt deeffied apI'rep8ate hy the Direeter af FinUlae. Sewage pllftlp steliell ellllfges siltil be btietlllpElll filII east reB8'/BfY ef IIH ei~ elfIleIlge3, ineludiRg, But Rst limited le, lear, malerials, eEjUipmeAt, ,eOlter and -J':ttter 88Sts, eRlergelley tiMftlS, Mil everllead easts BlIpefielleetl by the City relllli"le te eaeil SB'Nage pump Mati6ft, ifteludi"g pre-Asia" af a fe!Jef\oe (far eash ReO)' ana a re&:i8ftahle huffer agaift3t large -,&riMiaR ift anRual aS3e33meRt), "et less than 25 pereent Ref mele thaR S9 pet:eeRt sf ~e estimated 88915 fer maiRteRanee ud &pemBeR fer the eRSUH\g year. :\RY lIeReit er elleess reslIltillg ferftl II lIiffefellee het'lIeeII ~e esftftllltetl ea5ts Mil aetll8l easts siltil by eaffeeted by aElj1l9lftlellts tet lie ftttes eftllfgetl te the Pfeperty eWIlBfS 1I11ri1lg ~e sueeeediftg year. fafter the re5efVe leashes at least 25 pereest, hut Bet Mere th8fl 59 I'ereeRt, it shall 8e maiRtainea te 'Fe"/ide Reeessary .sk A.e\-, fer 8pemaaRS and a feti8ftahle h1:lffer against lHge \MaaS"S iR 8I\ftlUtl 8:35e3smen.t:s. Evei')" year, 88mmet\eiftg iMMediately felle-.viftg plaeeffieRt af seitl _:Iage pllmp SteHa8 inte gefYiee Mil aeeeplllllee by eity ef !eSJl8llstbility fer is ftlMllteftMee Mil epe1'&li:BIl, the Difeeter af PHhlie "JadEs shall setermiRe the estiMated easts fer mMRteaanee and apeANi8ft af said plllllp s18liell fer the ellffellt RSelH year, illeltlllillg ~e 2S te S9'1t reserve, fRBllllired FHfttl:ij, and shall tletelfftifte ~e aetllal iHftd, eft depesit -.\"ith the City, -Jlhether femaiftiftg freftl prier year epBfBtiells er fr-eftl DB'/eleper, estiftlated te be If/Mlable ti ef JlIlle 39 ?~t-.; - .J.. I 2... \ '4 - \ 'L Ordinance No. ,)59 t Page 7 (.4.eftial flllllls). The 8IlRllal Se.,vage PIIRlp SmaeR Cllllfge shall be delerftlifted b)' the falle'Nillg farlftl:lla: (RfJEtlIifeII FIIRds lftiRIIS I.eltlal Fl:lRds) divided by the Rlllftber ef etIstelfters 66RReeleEl ta the OEwage pllRlp 5IMiell eR 9lI:id JIIRe 39. Fer teRlpefllf"j ge'Nage pump MMiSft3, the aamal ee3t af hypa33iftg eEl feffi8ving ft:e1R the amaeR, anil feeeRfteeaag the !ieFVed Eyhdy;isiSR te the atljaeeFlt permaneRt gflvdty system shaD he peid frelft the praee~~s ef 9lI:id Clulfge (Md De"/eleper fllllds a"Illi1e8le, if &IIY). Hewe'.er, the CRllfge ftlr the 1ll5t ftlll year 5IIall Ret inere&ge ab6'/e the llfBellllt eharged tile year preeediRg the 1ll5t year. If atIditieRal fllllds Ilfe felIlIired te pay SlieR lfansiaell eests, &RAHal Char..ges shaH eeRtiR\:le Ie Be assessed tiRal sHah eeMs are e8mpletely paid. Ul'8a that eveR, the Speeial Se':..er Se~;iee Rate 'ares. shall he di33el-~'ed. The DiFeeter shall HIe a fel'eft with the City Clerk aRllllally geuiRg fel'th the desefil'aeR af eaeh prepefly affeetell &liE! the Illftellllt ef the l'repesed Chllfge. D: The ehllfge 5IIall be eelleeleEl ill lftaRthly ar bi Iftellthly iRstalllftellts with the waler bill, anlHlall)' 6ft tfle tftX hill, af etJ:temix 83 tfle City determifte3. Stlah BftIUlal eharge3 &fe sllbjeet te illtefest, late peylftellt pellallies, and ether eRllfges Il5 set feftb ill Seetiall 13.1 US9. &.- The eharge, tegetiler ..;,ilft illtefest 66SIS, lete eharges &liE! IelI:3ElRllble etteflley's fees 5IIall be a eAllfge lIflE!a e6l1tilll:lillg Iiell ell the prepefly gefVed, _Mable ME! fereele3llille ill the salfte Iftllflller Il5 a Ifteftgage er by sale 1'1IrSllllflt te Ci>'AI CeE!e Seeaells 1367 anE! 2921, 8fl8 eftfeFee9.hle is the same ffiMfter M any deliR'illeftt tft:x, if eelleeted 8ft the Htx eHh E. II is a 1'IIf1lese aRE! illtellt ef this seetiell te al'llly the l'reeeE!lIfes Rell te the eldaaAg :.peei&l 3e7/er 3efYiee !tie ~ af EeAeS, 16 the eful that all 3HSh &fe8.9 er maes, ple3eftt er flllllfe, shall be esmblished, Rave llflRllal eAllfgeS ll5ilE)ssed, eeHeeted, BIlE! eIlfereed lII'6ll defillllt ill the salfte Iftanller. All previous agreements and ordinances relating to special sewer service rate areas or zones are hereby amended to be in conformity with Council Policy No. 570.03 these pfe'tisialls. This section is enacted pursuanl to an exercise by the City Council of its police powers as a Charter city, and pursuant to Health and Safety Code Section 5471, Government Code Sections 54300 et seq., or any other applicable state law. 1.11 Re\': llI'eeial ge'.ver seMee fete llfe&!l er i!ElReS hereafter erealeEI 5IIall be efeltle8 by &II eftlill8Ree sllbsllllltiall} in aee6MaRee with ME! pllfSlIllflt te the Iftedel eMillanee 66lllllillillg the felIlIirelfteRts ef this seetiell preJlllfed by the City I.ttefftey and aplu6~..ed hy City C8HBeil. SECTION S: read as follows: That Section 13.14.150 of the Chula Vista Municipal Code is amended to ~~-,~ 1'"t-13 Ordinance No. ,1.59 t Page 8 13.14.150 Payment of Sewer Service alla Pulllp Statiell Charges-Penalty for Delinquency-Discontinuance of Service- When- Unla wful Conneetion-Backbilling and Penalty. A. Billing and Payment. All sewer service BIle I'IIIft1l sltlaaR epeftltieR Me lftaiBteR8Jlee charges shall be billed upon a monthly or bi-monthly basis, or on the Tax Bill, as determined by the City Council, and shall be payable upon the billing of such charges to the owner or the occupant. B. 1. Director's Report. Annually, not later than August 10, the City Clerk shall set the Report of the Director of Public Works med pursuant to Section 13.14.100 and/or 13.14.110 for public hearing before the City Council and duly cause Notice thereof and of the filing of said report to be published once at least ten days in advance thereof in a newspaper of general circulation published in the City of Chula Vista. 2. Notice to Property Owner. When the Director of Public Works requests that such charges be collected on the Tax Bill for the first time, the City Clerk shall, in addition to the notice required by subsection B.l., cause to be mailed to each person assessed for each property described in the report, at the address shown on the last available assessment roll, Notice of the filing of the report and of the date, time, and place of the public hearing thereon. If such charges are collected on the Tax Bill pursuant to such Notice, annually thereafter such notice need not be given but only the notice by publication required by subsection B.l. C. Council Action. The City Council shall conduct a public hearing to consider the amount of such charges, and whether they shall be collected on the Tax Bill. The first year said charges are proposed to be placed on the Tax Bill, such action is subject to a majority protest. 1. If a majority of the owners of affected properties protest placement on the Tax Bill, the charges shall not be so collected, but shall be established by City Council Resolution and collected pursuant to subsection D hereof. 2. If there is no majority protest and the City Council determines to place the charges, or some of them, on the Tax Bill, for those to be collected on the Tax Bill the City Council shall by ordinance approve the report of the Director of Public Works, along with any corrections thereto and establish the amounts of $e se'''''age "111ftI' sltltiell ehllfges BIle/er such sewer service charges to be placed on ?~ t} ,y- ~I~...\~ Ordinance No. .2.5'9t Page 9 the Tax Bill. The City Clerk shall endorse thereon that it is the report finally approved by the City Council, and forward the appropriate data forthwith to the County Auditor for enrollment on the Assessment Roll, and ultimate collection by the Tax Collector on the Tax Roll in accordance with Health and Safety Code Section 5473 et seq.. Pursuant to Health and Safety Code Section 5473.8, all laws applicable to the levy, collection and enforcement of real property taxes including, but not limited to, delinquency, correction, cancellation, refund and redemption, are applicable to such charges. a. Pursuant to Health and Safety Code Sections 5471 and 5473.10, the City Council shall establish by ordinance the charges as those set forth in said report (along with any corrections) and hereby establishes the basic penalty for delinquency in the amount of 10% of the delinquent amount, plus one and one half (1-112) percent per month for nonpayment of the charge and basic penalty (designated for administrative convenience only in the Master Fee Schedule), which shall also be collected by the Tax Collector on behalf of City. b. The Director of Finance shall give Notice to the owner of any parcel when any such charges become delinquent for 60 days, and of any penalties and interest thereon as provided herein, and that they shall constitute a lien with the force, effect and priority of a judgment lien against the lot or parcel against which it was imposed, good for three years from recordation, if recorded. The Director of Finance shall record with the County Recorder, pursuant to Health and Safety Code Section 5473.11, a certificate specifying the amount of the unpaid charges and penalties and interest thereon, when any such charges become delinquent for 60 days. D. Non-Tax Bill. Alternatively, the charge and the billing therefor may be combined with other utility bills and separately designated, or otherwise billed and collected, as determined by the City Council. Said charge, together with penalties and interest, and reasonable attorneys' fees (hereafter collectively referred to as Charge), shall be a charge on the property served and shall be a continuing lien upon the property served, the lien to become effective upon recordation of a Notice of Delinquent Sewer Service (IIml/ar Se'J.'Ilge Piliill' 818tiall-) Charge. Each such Charge also shall be the personal obligation of the person who was the owner of such property served at the time when the Charge was levied. The personal obligation for Delinquent Sewer Service (end/Elf Sewage PIIHlJl Sl8lieJl) Charges shall not pass to an owner's successors in title as their personal obligation unless expressly assumed by them. - /;1-1- .1- 15 \ ~-l.s Ordinance No. elf?" Page 10 Any Charge imposed in accordance with this ordinance shall be a debt of the owner of property served from the time the Charge is levied. At any time after any charges have become delinquent, the City Engineer may file for record in the office of the San Diego County Recorder, a Notice of Delinquent Sewer Service (StillIer Se'll8ge PlIfftP Steaea) Charge as to such property served, which notice shall state all amounts which have become delinquent with respect to such property served and the costs (including attorneys fees), late penalties and interest which have accrued thereon, and the amount of any charges relating to such property served which is due and payable although not delinquent. The notice also shall contain a description of the property served with the name of the record or reputed record owner of such property, and the name and address of the trustee authorized by the City to enforce the lien, if by nonjudicial foreclosure as provided below. Immediately upon recording of any Notice of Delinquency pursuant to the foregoing provisions of this Section, the amounts delinquent, as set forth in such notice, together with the costs (including attorneys' fees), late penalties and interest accruing thereon, shall be and become a lien upon the property served described therein, which lien also shall secure all costs (including attorneys' fees), late penalties and interest accruing thereon. In the event the delinquent charge and all other charges which have become due and payable with respect to the same property, together with all costs (including attorneys' fees), late charges and interest which have accrued on such amounts, are paid fully or otherwise satisfied prior to the completion of any sale held to foreclose the lien provided for in this ordinance, the City Engineer shall record a further notice, similarly signed, stating the satisfaction and release of such lien. Each lien may be foreclosed as and in the same manner as the foreclosure of a mortgage upon real property under the laws of the State of California, or may be enforced by sale pursuant to Sections 2924, 2924(b), 2924(c) and 1367 of the California Civil Code, or any successor statute or law, and to that end, the right to enforce the lien by sale is hereby conferred upon the City and its trustee designated in the Notice of Delinquent Charge, or a trustee substituted pursuant to California Civil Code Section 2934a. The City shall have the power to bid for the property served at a foreclosure sale, and to acquire and hold, lease, mortgage and convey the same. Suit to recover a money judgment for unpaid charges, costs, late penalties and attorneys' fees shall be maintainable without foreclosing or waiving the lien securing the same. In any action by the City to collect delinquent charges, accompanying late charges or interest, the prevailing party shall be entitled to recovery of its costs and reasonable attorneys' fees. E. Penalty for Delinquency. If the sewer service IlIlEller 'liMP !IIlHisa charge is not paid before the close of business or postmarked before midnight of the final date for payment as shown on the billing, a basic penalty of ten (10) percent of the charge(s) shall be added thereto, plus one and one half (1-1/2) percent per month for nonpayment of the r").d ,. (; ~, ..J- kD - \ "4 - I (,. Ordinance No. ~.59t Page 11 charge and basic penalty (designated for administrative convenience only in the Master Fee Schedule); provided, however, that when the final day for payment falls on Saturday, Sunday or a legal holiday, payment may be made without penalty on the next regular business day. F. Service Discontinuance. In the event the owner or occupant of any premises shall be delinquent in payment of the sewer service lIIla/ar pllffip slltti:aft charge and such delinquency continues for a period of five days after the final date for payment of such charge, the city shall have the right, forthwith and without notice, to discontinue sewer ana/ar pllffip M8tieft service to such delinquent owner or occupant, and sewer ana/ar pllffip sllltieft service shall not again be supplied to such person until all delinquent sewer service lUIa/er plllflp sllltieft charges plus the penalties thereon as herein provided have been paid. The sewer service Ilfta/er JlllffiP sllltieft charges may be collected by suit in any court of competent jurisdiction or any other manner. G. Unlawful Connection. In the event that any parcel or building is determined by the Director to have been unlawfully connected to the public wastewater system, the City shall have the right to terminate sewer Ilfta/er pllffip !lItltieft service to such parcel or building as provided in section 13.06.110. Sewer lUIa/er plllflp sllltieft service shall not again be supplied to such parcel or building until all delinquent sewer service ea/er pllffip M8liaft charges which have been accumulated during the current ownership of the parcel or building, plus a basic penalty of 10% of the delinquent sewer service 8Ila/er pllffip sllltieft charge plus one and one half (1-112) percent per month for non-payment of the charge and the basic penalty (designated for administrative convenience only in the Master Fee Schedule), has been paid. SECTION 6: The City Clerk of the City of Chula Vista is hereby directed to publish this ordinance within fifteen (15) days after its passage in the Chula Vista Star News, a newspaper of general circulation published in the City of Chula Vista. SECTION 7: Effective Date. This ordinance shall take effect and be in full force on the thirtieth day from and after its adoption. JAtll7 l'i-ll Ordinance No. .;59t. Page 12 Presented by Approved as to form by John P. Lippitt Director of Public Works Bruce Boogaard City Attorney (f:_""'~.ord) (July II, 1994) '7. <J -/,.. - (. t' \ ,",,-l~ COUNCIL AGENDA STATEMENT Item /6 I 'tit Meeting Date_ e t 'J-. \ ITEM TITLE: J75'l? Resolution ***** Adopting the Records Management Program Manual, providing for the Establishment and Administration of a City- wide Records Management Program, including Retention Schedules, Alphabetic Cross References, Procedures for both the Active and Inactive Systems, the Elimination of Legal Size Files for the City of Chula Vista, Authorizing the destruction of Public Records, and Establishing a date for Conversation to and compliance with said program SUBMITTED BY: City Clerk\j.J-(}- In June 1991, the City Council approved a CIP Project for a City-wide Records Management Program. Included in the project was the hiring of a consultant to assist in the design of a records program. Since that time, the program has been developed with input from all departments. The program is now before Council for approval and adoption. RECOMMENDATION: That the City Council approve the attached Resolution adopting the City-wide Records Management Program and the Program Manual, which includes the Records Retention Schedules and the Alphabetic Cross References, Procedures for the Active and Inactive Systems, including authorization to destroy public records, elimination of Legal-size Files, and setting a date for completion. BOARD/COMMISSION RECOMMENDATION: None DISCUSSION: With the help of Susan Bigelow, records consultant, a records management program for the City was designed. Each department had an active role in both the design of the records system and the drafting of the retention schedules. The Resolution sets forth a records management program for the City, including procedures which are consistent with sections of the Government Code relating to record keeping, and authorizing the destruction of public records. The Program establishes retention schedules which are essential in setting up and maintaining the records program. The retention schedules establish the time period that a record is to be maintained in an active office environment, when it is to be transferred to storage, and how long it must remain there before it can be destroyed. In some cases, records cannot be destroyed unless they are first preserved in some manner such as on microfilm or optical disk.' Adoption of the Program and approval of the Manual will provide express authority for department heads and other City officers to destroy unneeded public records, without further City Council approval on a case-by-case basis. This will save a great deal of City Council agenda time (and paper), and protect those officers from allegations of unlawful destruction in violation of Government Code Sections 6200 and 6201. It also sets forth procedures for the Funds for an optical disk system were also included in the City-wide Records Management Project. An RFP is currently being developed. ..il'-,' - 1.5-1 Item No. Date: ~/t) ~;,~'l" destruction of original and duplicate public records when no longer needed or required by law to be kept. The Program, as submitted, does not include police records although a function has been assigned (the 1200 series). It was discovered very late in the process that only a part of the police records had been included. The Police Department has been notified, and they are working on it. However, a decision was made to proceed with the Program minus the Police function and to bring that section back to Council at a later time. The Resolution includes direction to the Police Department with a six-month time frame for completion. The Resolution also includes elimination of legal-size files known as the ELF program. The purpose in eliminating legal-size files and converting to letter size paper and equipment as soon as possible is to reduce administrative operating costs as follows: . Reduces floor space: legal-size filing cabinets occupy approximately seventeen percent more floor space than a letter-size file cabinet. . Conserves energy and natural resources: there are over 960 square inches of steel wasted with the average legal-size lateral file. A ream of legal-size paper is approximately twenty-one percent larger and twenty-four percent heavier than a ream of letter-size paper; a waste of wood fibers and energy production. . Eliminates the need for double stocking of paper, folders, etc. in order to have supplies available in both letter and legal sizes. . Reduces the cost of supplies: Legal-size paper, filing folders, and filing cabinets all cost more than letter-size. . Reduces the cost in preserving records: Whether preserving records on microfilm or on an imaging system, fewer legal size records can be stored on a roll of microfilm or on an optical disk. Many agencies have adopted such a policy and have converted to letter size including: Department of the Army, Federal Communications Commission, Securities Exchange Commission, the U.S. Postal Service, the Federal Courts, and a majority of the State Court Systems (including California). Several San Diego cities (La Mesa, EI Cajon, Oceanside, and Escondido) also changed to letter size in the mid-' 80s. Currently, Chula Vista's City Attorney's Office uses all letter-size paper for all legal pleadings and other court filings. However, although a majority of Chula Vista's records are now letter size, it has lagged behind in making this an official position of the City. Departments still order legal size filing supplies such as folders, and some forms are still being produced on legal size paper, as well as some plans are still being submitted folded to legal size. Effective July 1, 1994, a new State law changes the standard size of forms submitted for recording to 8 1/2 x 11 inches. The Recorder's Office has informed the City that they will charge a penalty fee for any document smaller or larger than 8 1/2 x 11 inches in size. .g' J.- - /5-~ Item No. Date: yl! -::'':'iS~~ As part of the records program, high density files2 were purchased for three departments: Engineering, Personnel, and Planning. Public Works Operations included high density files in their remodel as did the City Attorney's Office. This has made filing cabinets available to other departments that have had a need for them. Currently there is no immediate plan to convert all city departments to high density filing equipment; it would simply be too costly. However, the long-range plan includes converting all filing equipment to high density. Because of budget constraints, this would occur when a need arises for additional filing equipment or when a department is undergoing remodeling. As an interim measure, we will be using a file folder with both a top and side tab which can be used in both regular filing cabinets as well as the new high density filing shelves. FISCAL IMPACT: The City will experience an overall cost savings because: (1) letter-size supplies and equipment is on the average 25 percent cheaper--(a cost comparison of some supplies and equipment is attached) and; (2) inactive records will consistently be purged from the active files and moved to the Records Center where storage is cheaper--(currently, records are being stored in the old Weight Room at Parkway Gym which was vacant); and (3) by consistently destroying records which are no longer required to be kept will reduce the volume of paper thus freeing up valuable floor space for other purposes. 2 High density filing systems saves space because it eliminates the room required for pulling out drawers. It also increases filing efficiency when used with color coding since all files are visible and misfiles are immediately noticeable. ~ ;:J- ~ 3 ~ ,~. , ,~ Item No. ~ Date: "'l('r.'9a "~r~~ Page 4 t/%.J'Icj COST COMPARISON BETWEEN LETTER SIZE AND LEGAL SIZE ITEMS Cost for Cost for Item Letter Size Lel!al Size Savinl!s Filing Cabinets Vertical, 4-drawer 273.00 313.00 40.00 Lateral, 4-drawer 650.00 750.00 100.00 1 Box of 100 Plain, 11 pt. Manila Folders 11.75 15.65 3.90 1 ream (500 sheets) white copier paper 89.24 102.95 12.71 /5 -If .I- ~/- RESOLUTION NO 12,f77 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, PROVIDING FOR THE ESTABLISHMENT AND ADMINISTRATION OF A CITY-WIDE RECORDS MANAGEMENT PROGRAM FOR BOTH THE ACTIVE AND INACTIVE SYSTEMS, INCLUDING RETENTION SCHEDULES AND PROCEDURES, AND AUTHORIZING THE DESTRUCTION OF PUBLIC RECORDS The City Council of the City of Chula Vista, California, does hereby resolve as follows: Section 1. Purpose. The declared purpose of this Resolution is to provide for the proper and efficient management of the public records of the City of Chula Vista. Section 2. Definitions. a. "City Clerk" means the City Clerk, or the City Clerk's designated representative, of the City of Chula Vista. b. "Disposition" means the allocation of public records to a particular location according to their categorization or for destruction. c. "ELF" is a program endorsed by the Association of Records Managers and Administrators to "Eliminate Legal Files." The program helps to reduce the administrative operational costs of business and government by approximately twenty-five percent. d. "High Density Filing Systems" are lateral-type filing shelves which can be open or have doors which fully retract. Lateral tiling eliminates pull-out drawers so less aisle space is needed between cabinets thus reducing floor space, and the system can go as high as seven shelves while an average filing cabinet is four or five drawers high. e. "Public Record" includes any writing containing information relating to the conduct of the public's business prepared, owned, used, or retained by the city regardless of physical form or characteristic. f. "Records Center" means a central repository for housing all inactive records until they have met their specific retention requirentents, or other records which are stored and preserved from destruction due to legal, operating, or historical reasons. g. "Records Management Program" means the systematic control of the creation, acqUISItiOn, processing, use, protection, storage, and final disposition of all public records, including the establishment and maintenance of a system of filing, indexing, storing, preserving, and destroying of public records. h. "Retention Schedule" means that portion of the Records Management Program and Manual, approved by the City Council by resolution (or as amended by the City Clerk pursuant to authority delegated herein), describing records maintained by city departments and specifying, 15"-5 8'./ Resolution No. ***-* Page 2 in accordance with statutory requirements or evaluation, the period of time which must elapse before destruction may be made of a body of records; and L "Writing" means handwriting, typewriting, printing, photostating, photographing, and every other means of recording upon any form of communication or representation, including letters, words, pictures, sounds, or symbols, or combination thereof, and all papers, maps, magnetic or paper tapes, photographic films and prints, magnetic or punches cards, discs, drums, and other documents. Section 3. Ownership of Public Records. All public records shall be the property of the City of Chula Vista; and, in this regard, such records shall be delivered by outgoing officers and employees to their successors. No records are to be removed from city premises and stored in unauthorized locations (Le. employees residences). Section 4. Responsibilities; Adoption. a. City Council. The responsibility for the keeping and management of all public records of the City of Chula Vista shall rest with the City Council of the City of Chula Vista. The City Council hereby adopts as the City Records Management Program ("Program") that program set forth in the City-wide Records Management Program Manual ("Manual") on file in the City Clerk's Office and known as Document Numbers C094-*-* and C094-**-, respectfully. b. Officers and employees. It shall be the duty of each officer and employee of the City of Chula Vista to protect, preserve, store, transfer, destroy or otherwise dispose of, use, and manage public records only in accordance with applicable federal, state, or local law, or such rules as may be promulgated or approved by the City Council, including but not limited to, the "Program" . c. City Clerk. It shall be the duty of the City Clerk to coordinate the "Program" for the City of Chula Vista. In this regard, the City Clerk may, among other things, do the following to insure the proper and efficient management of the public records of the City of Chula Vista: (1) Develop and circulate such instructions and regulations as may be necessary and proper to implement and maintain the "Program", including instructions and regulations encouraging city officers, departments, and employees to immediately destroy and not place in files those documents such as preliminary drafts, notes, or interagency or intra- agency memoranda not retained in the ordinary course of business; (2) Advise and assist city departments in the preparation of records inventory and updating retention schedules; (3) Provide and maintain a Records Center to house records no longer required in active office areas but which require further retention due to legal, operating, or historical reasons; maintain an index to all records stored in the Center; and respond to requests for inspection and/or copying of public records maintained in the Records Center, with the assistance of the Department Head of the affected department; ""- ~ JS-b Resolution No. ***** Page 3 (4) Advise and assist city departments in reviewing and selecting material to be transferred to the Records Center for preservation; (5) Advise and assist, as the City Clerk deems necessary, city departments in conducting surveys, studies, and investigations as will assist in promoting of a proper and efficient "Program" for the City of Chula Vista, including information retrievals systems; and (6) Develop procedures for the protection of city records against natural or other disasters. (7) Periodically, on a regular basis not less than annually, prepare and promulgate amendments to the Alphabetic Cross-Reference Index and the Retention Schedules to retlect new categories and/or subcategories in the Functional Filing System determined by the City Clerk to be necessary, subject to the approval of the City Manager and City Attorney for administrative and legal appropriateness, respectively. The City Clerk may in the interim between annual amendments, issue new numbers for use by departments. d. City Departments. City Departments shall establish and maintain an active, continuing program for the economical and efficient management of the public records of the department. Such program shall, among other things, provide for: (1) Effective controls over the creation, maintenance, and use of public records in the conduct of business including provision for immediate destruction, and non-filing of documents such as preliminary drafts, notes, or inter-agency or intra-agency memoranda not retained in the ordinary course of business; (2) Promotion of the maintenance and security of records deemed appropriate for preservation; (3) Segregation and disposal of records of temporary value in accordance with established retention schedules; and (4) Respond to requests for inspection and/or copies of public records of the department. Those public records which are not required in the current operation of the office where they are made or kept, and all public records which can properly be abolished or discontinued, shall be destroyed in accordance with Section "e" hereinafter specified, or shall be transferred to the Records Center so that the selected historical records of the City may be centralized, made more widely available, and insured permanent preservation. e. Destruction of Public Records. (1) The City Council hereby approves the Records Retention Schedules in the "Manual." (2) The City Council hereby grants city officers and department heads who are custodians of public records for their office or department authority to destroy duplicate public records more than one (I) year old but less than two (2) years old, if the procedure for Destruction of Duplicate Publ ic Records set forth in the "Manual" is followed. ,s..., 5 <,-- Resolution No. ..*-. Page 4 (3) The City Council hereby grants city officers and department heads who are custodians of public records authority to destroy original public records more than three (3) years old and duplicate public records more than two (2) years old, if the procedure for Destruction of Original (or Duplicate, as applicable) Public Records (including approval of the City Attorney) set forth in the "Manual" is followed. (4) At minimum, an annual destruction of inactive records shall occur in accordance with the Retention Schedules ll. order to release valuable storage space for additional records. (5) This section does not authorize the destruction of the following original public records (unless such record has been preserved either on micromm or optical disk in accordance with subsection (f): (a) Records affecting the title to real property or liens thereon; (b) Court records; (c) Records required to be kept by statute; (d) Records less than three years old; (e) The minutes, ordinances, and resolutions of the City Council and all city boards, commissions, and committees. (6) This section shall not be construed as limiting or qualifying in any manner the authority provided in Section of" hereinafter provided for the destruction of records, documents, instruments, books, and papers in accordance with the procedure therein prescribed. f. Conditions of Destruction. Notwithstanding the provisions of Section "e" hereinabove described, the City Officer having custody of public records, regardless of the age of the public records, may, without approval of the City Councilor the written consent of the City Attorney, cause to be destroyed any or all of such public records if all the following conditions are met: (1) The record, paper, or document is photographed, microphotographed, or reproduced by electronically recorded video images on magnetic surfaces; recorded in the electronic data-processing system, recorded on optical disk, reproduced on mm or any other medium which does not permit additions, deletions, or changes to the original document, or reproduced on mm, optical disk, or any other medium in compliance with the minimum standards or guidelines, or both, as recommended by the American National Standards Institute or the Association for Information and Image Management for recording of permanent records or nonpermanent records, whichever applies. (2) The device used to reproduce such record, paper, or document on mm, optical disk, or any other medium is one which accurately and legibly reproduces the original thereof in all details and which does not permit additions, deletions, or changes to the original document images. ~ J5-<? Resolution No. ..... Page 5 (3) The photographs, microphotographs, or other reproductions on film, optical disk, or any other medium are made as accessible for public reference as the original records were; and (4) A true copy of archival quality of such film, optical disk, or any other medium reproductions shall be kept in a safe and separate place for security purposes. Provided, however, that no page of any record, paper, or document shall be destroyed if any sucb page cannot be reproduced on film with full legibility . Every such unreproducible page shall be permanently preserved in a manner that will afford easy reference. Section 5, Legal-size Paper. All Departments within the City should endeavor to eliminate the use of legal size-paper and convert to letter size for all forms and supplies (Le. paper, folders, and other supplies) as quickly as possible once the current supply has been depleted; and that the Purchasing Agent is instructed to cease ordering all legal size supplies including filing cabinets and to convert to letter size supplies and high density, letter-size filing systems; Section 6. Staged Implementation for Police Department. The Police Department is hereby instructed to complete their portion of the records program and that it be brought forth for Council approval within six months from the date of approval of the City-wide Records Management Program. Until that time Resolution No. 13883, which was adopted December 6, 1988 and gives Police authority to destroy certain types of records will remain in effect, although no other type of record can be destroyed without City Attorney and City Council approval. Section 7. General Implentation Schedule. Conversion to the "Program" be accomplished by all city departments no later than December 31, 1995. l Presented by Beverly A. Authelet, City Clerk Bruce M. Boogaard, Ci :1-:'1 I!-r COUNCIL POLICY CIlY OF CHUlA VISTA SUBJECT: CITY-WIDE RECORDS MANAGEMENT PROGRAM ADOPTED BY: Resolution No. XXXXX POLICY EFFECTIVE NUMBER DATE PAGl 112-01 XXIXXI94 1 OF 1 I DATED: XXIXXI94 PURPOSE The Records Management Program e....blishes a city-wide filing system with retention schedules and procedures for maintaining the records of the City. The Program includes: The Active System with a complete description of the functional filing system to be used by all departments Procedures to follow regarding how to create a new file as well as instructions on how to destroy an original and a duplicate record An alphabetical cross-reference Retention schedules Elimination of legal-size documents Guidelines for the preservation and destruction of records; and An Inactive System which includes directions on how to transfer and retrieve inactive records to 8l from the Records Center. POllCY The council-approved policy with guidelines and procedures can be found in the City-wide Records Management Program Manual as adopted by the City Council on **1**/94. ~.44 J~ -It> COUNCIL AGENDA STATEMENT Item .6/6 Meeting Date 7~E::94 ~/2/e;1.( SUBlWru;D BY: Resolution 1'.5'8''1 CCHJperative bid Director of Public Works ~ City ManagerJ':l ~ ~ Authorizing the purchase of Transit buses on ITEM TITLE: REVIEWED BY: ("/5tbs Vote: Yes_No..xJ The FY 1994-95 Transit Division budget provides for the purchase of two (2) beavy duty transit buses. Council Resolution #6132 authorizes the City to participate in a CCHJperative bid with other governmental agencies. The City is able to obtain the two buses via the County of San Diego option on Purchase Order #30163 adopted by the Board of Supervisors on June 7, 1994. RECOMMENDATION: That Council adopt resolution authorizing the purchase of two (2) beavy duty transit buses from Gillig Corporation, Hayward, CA BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: The last bus purchase by the Transit Division was in FY 91-92 for four (4) buses. Demand for transit service since then has increased 13.5% from 2,026,000 total ridership in FY 91-92 to an estimated 2,300,000 total ridership in FY 94-95. In order to meet this service demand, it is necessary to purchase two (2) additional buses. In spring 1993, the County of San Diego. . issued a Request for Bid for four (4) 35-foot buses. The County Purchasing Department solicited bids from qualified bus manufacturers nationwide, and sent bid documents to five prospective bidders. One bid was received, from Gillig Corporation, Hayward, CA in the amount of 5222,066 per bus. According to County staff, other potential bus manufacturers declined to submit a bid either because of the relatively small order of four buses, or because of production commitments to other transit systems. Included in the County's bid document was an option to purchase up to six (6) additional buses by June 30, 1994. The unit cost of these additional buses under the option is 5225,419.68, an increase of less than 2% from the original bid price of 5222,066. The total cost of $450,839.36 for the two CVT buses is $41,160.64 below the $492,000 contained in the FY 1994-95 Transit Division budget. Attacbed for Council's information (Att,r.hment 1) is a picture of the Gillig Phantom bus. The San Diego Transit Director of Maintenance has reviewed the County of San Diego's specifications and tecommended one change - that the ZF transmission be changed to an Allison B400R. In addition to this change, Transit staff requested Gillig to change General Electric radios to Motorola for the CVT purchase since our current radios on CVT buses are , ~ 7/~'i~ }8-/ ~~ ~vu4" Page 1, Item 15 Meeting Date 7/16/94 manufactured by Motorola. Gillig has responded to the Transit Coordinator that these two changes can be made at no additional cost to the City. . The addition of two Gillig buses to the CVT fl~ will increase the fleet size to 33 buses produced by four manufacturers: 2 Gillig, 4 ,Chance Trolleys, 4 Goshen, and 23 Orions manufactured by Bus Industries of America. The CVT contract operator, San Diego Transit, concurs with this bus purchase and does not fc;ri-eseeany problems associated with the addition of two buses to the CVT fleet which are not~anufactured by the present three manufacturers. San Diego Transit has 155 Gillig buses as piut ofits total fleet of 308 buses, and its mechanics ore """"""'" m............ "'"1; (112 o;n;g. ~ pmclwod by SDT m 1991, ond 43 were purchased in 1983. All 155 'gs are diesel powered.) In addition, many of the major components used in heavy duty ansit bUses (such as engine, traflsmi~sion, suspension, etc.) are the same among different m ufacturers. The specifications for the Gillig ~es cover all the City's requirements, and include air conditioning, an electronic destina . on sign, and a Series 50 Detr9~' Diesel engine which meets the current California Clean Air emissions requirements. I~ls timated that the buses will be delivered in six months and '11 be llSed for service expins' n to Route 709 serving the Eastlake Library and Eastlake ea generally. / / / ! In evaluating past fleet purr.&ases for the City, the:" ~uncil has " ested that staff determine the feasibility of fiuing alternative fuel sys ~ch as co~p ed natural gas (CNG). This was done als for the proposed bus phase.! Attachmljllt is a chart which compares the emissions fo the Series,50 Diesel enidni and Jhe Series ~ mpressed Natural Gas engine against the I 4 California Standards -fqt four iemissionsj h drocarbons, carbon monoxide, nitrogen oxid ,and particulates. The ~ries 5~ Diesel 9hi' not only meets the California 1994 standar for these ,four pollutant$, but h,Bs 1l!rm1, 'e . ions than the CNG engine for three of the i our polluta;ts (hYdrOcarbjns, ~n moq6xid and particulates). In addition to evalua~g emissions, regarding ~ feasib~ty of ing an alternative fuel bus such as CNG fO,riChula VlSta,:Transit, the/Trans~'t rd' tor ,ntacted Gillig and San Diego Transit conceqling the capiW and operll6ng cost . er ces b een the Detroit Diesel Series 50 engine and CNG. In ter$ of capil41 cost, "g es ated t a CNG powered bus with the same specifications as thoSe buses ~g ~ed y the unty would cost at least $40,000 more thana bus with the ,Detroit Diesel S.~~ 50 gine, approximately $80,000 more for the two buses. San Diego Trans;t staff indi~ that t bids on 40-foot CNG buses in other traI/Sit systems hav~ been $,,00,000 or 1J!.0 per unit. tIn addition to the higher capital costs for ~G buses, San Diego transit has '. ated that Fe addition of two CNG buses to the C~ fleet would increase annual maintenance cost und", the City of Chula VISta contract by $50,,000 annually due to mdre frequent and costly maiDtenance requirements for CNG vehicles yersus diesel vehicles./Based upon the above, staff is not recommending the purchase of ttj CNG vehicles. ' . ~,,~ /6-;1. Page 3, Item If Meeting Date 7/26/94 FISCAL IMPACT: The FY 1994-95 Transit Division budget provides $492,000 for two transit buses. The purchase cost for two Gillig buses under the County of San Diego option will be $450,830.36.. The cost or the bus purchase is funded by the Transportation Development Act (TDA) Article 4.0 funds. WMG:DS'{)28 )L_~.N I" - 3 RESOLUTION No.I?58"lj RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AUTHORIZING THE PURCHASE OF TRANSIT 8USES ON COOPERATIVE BID WHEREAS, the FY 1994-95 Transit Division budget provides for the purchase of two (2) heavy duty transit buses; and WHEREAS, Council Resolution No. 6132 authorizes the city to participate in a cooperative bid with other governmental agencies; and WHEREAS, the City is able to obtain two Gillig Phantom buses via the county of San Diego option on Purchase Order #30163 adopted by the Board of Supervisors on June 7, 1994; and WHEREAS, the unit cost of these additional buses under the option is $225,419.68, an increase of less than 2' from the original bid price of $222,066; and WHEREAS, the total cost of $450,839.36 for the two CVT buses is $41,160.64 below the $492,000 contained in the FY 1994-95 Transit Division budget. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby authorize the purchase of two Gillig Phantom heavy duty transit buses via the County of San Diego option on Purchase Order #30163 at a cost 0 450,830 6. John P. Lippitt, Director of Public Works oved ~ 0 '=:0 city Presented by Bruce M. Boaga Attorney C:\..\G1ll1g.bua ~/-,~ /'-Jf r F -'~ ;J:;#! IIHH 111i11 · ~ fll1ltl.t I! ~ 'I l' llhtll1 J III U. ,~ " . , · t'IUIUt I' Ii nil 'flilJtit fJ!Ji~Jlcl !haH h ,---' , . I1Tr/1C.If/lfGP/' Z Series 50 Engine Emissions .. ,. I , . , j Siena Oetruit Diesel- Allison " 5J5/94 . I . ,. 1 -/ IlESOLll'1'ICN NO. 6132 , /.. . .. IlESOLll'1'ION 01' '!'HE CITY COUNCIL 01' 'l'IIE CITY 01' CIIULA VISTA AMENDING aESOLOTION NO. 2018 TO AUTHORIZE Ta! PURCHASING AGENT TO JOIN WITH THE STATE 01' CALIFORNIA, '!'HE CITY Oil COUNTY.or SA!!. DIEGO~ TJIE CIIllLA .VISTA ItLEMEHTARY SCHOOL DISTRICT,' THE SlIEE'l'WATER UNION HIGH SCHOOL DISTRICT, Tn SAN DIEGO UNIFIED POM DISTRICT OR AllY OTHER PUBLIC OR . . IIllNICIPAL AGENCY 0!'-''rJIII STATE'OI' CALIFORNIA IN OIlTAINING. IIIDS FOR CEIlTAIR MATERIALS AND SUPPLIES 01' COMMON USAGE Oil ENTERING IN'!'O' CONTRACTS, AIlI\ANGEMENTS' AND AGRDMENTS FOR COOPERATIVE POIlCllASING PItOGIWIS ;';' ., .' . 'rhe ,CitI Council.of ~e City of Chub Viau doee bereby r..ol". .. foll_.. .......--., _.... -. ,_.. .. - .., .. .' .-: WllEIlEAS'; ~II" City c:buncil .... "'retofore by ".olut:J.on No. 2011, . par.u.nt to Article 1 of Chapter 5 of Divi.ion 7 of Title 1 of ~e Govern- ....t Code of the Sute of C.liforni., .Mcll euthodu. public agancie. to contrect with a.cll other to jointly .xerci.. e .-er comaon to ..id contr.cting p.rtie., .uthoriz.d the Purella.ing Avent of the City of CIIula Viet. to from time to time enter into evre.....nt. with the City of S.n Diago, tile County of San Diego and the S.n Dievo OniUed School Diatrict to obtain combined bid. fo; the purcll... of ~e .....ual or epecial require- ..nta of ..id governmenul bodie. for v.do... ud .undry ..teri.l., . lupplie. and equipaant ,of <' ft u..;., and ~. ....- WllEIlEAS, ..id purch..ing pr09r.... .. authorized by th. joint uarche of .-er levialation ha. further bean approved by ~e Ci~y council.of tile CitY'Qf Ch..l. vi.u pur.u.nt to Section 2.515 of the 01..1. Vi~~:,~i~~ Cod'!f ~d . 1lIIE1lEAS, it ia now dedred to ext.nd ~ authodty of ~ Purch..ing Avent. to go.v.~el)t.l aganci.. other ~ tho.e ....tion.d 111 .aid ...olution No;' 2011. - . '1101I, 'l'llEUI'OIl!, ,--U rf DSOLVED by ~e City Council of th. City of Chul. Vi.t. th.t tile Purch..ing Agent of the City of Chul. Vi.t. be, ~ he i. hereby authorized to .dvart:J..e when it i. fe..ible and de.ir.bl. for common bid. covering th. requir...ent. of the sute of C.liforni., ~e City or CoUnty of San Dievo, the Cllul. Vi.t. El....nt.ry School Dhtdct, the SWeetw.ter union Bigll ScIIool Di.trict, ~e San Diego Unified Port Diltrict or any other public oraunicip.l eveney, for pedod. of time lOt to exc.ad one III year in duration or to join with .aid aganci.. in their adverti.ing for bid. for ceruin ..t.riel. and .uppli.. or to .._nd ~e award of contrect. by th. City Council to tho.e peraon. or corpor.tion. who.. bid. ha". been accept.d by ..id egenci.., or. ~o enter 1IIto other fe..ible or de.irebla parch..ing pr09r... with ..id egancia.. BB IT ...u........R IlESOLVED ~et ~e joint exerciae of power. a. authoriz.d by thi. re.olut:J.on .h.ll be~ .ff.ctive when and:if ~e ltate of c.llforni., ~e City or County of .an Diego, ~ Chub Viau Il...nt.ry .cllool Di.trict, ~ lV.etw.ter Union Bigh .cIIool Di.trict, the San Diego Unifi.d Port Di.trict or anI other public or aunicip.l 19aney of tII. State of Californi. .h.ll f Ie with the Clerk of ~e Ioard of Superviaore of the County of .... Diego ud the City Cl.rk of the City . Of Chul. Vi.t. certifi.d ~pi.. of re.olution of their ra.pective legi.l.- U.. bodie. authoriztnv ~ advert:J..ing for ud rac.ipt of combined bid. U above indiceted. U rr ...u........IlIlESOLVED ~t ~e authodty braiD conuiD.d &h.ll .eff.ctiva until ra.cln4.d by till. City Counci~. ~~~.1t:~~j~~ Fhoruon, City _ger ' ; :. Geoige~. Li~~' ~to~ ~~ 111-7 " i I' I' I " 1 :::~ .. .':.l~ ';.;. ; ;f"' . :"J :"'.':' ;.. "t! : , ...a~-: ~ ~.!.:- - , ~.' . ,. :....-r:...::- ~. r ~'. .... 15-r':".I-':I :. '~~ -' :.L ~. ~ ....~. i _,'.~ =~. . .. . :r.:" ~ '. ."." . ..... . ::";':'. .;.... '. ~_"': : .' ,::I ~:s ",:!' \ I \...r"\, .\.... , :"!.; ) AIlOP'1'ED AMD APPJlOIIED by the cur CODNClL of the CIn or CBlIL. VIS'l'A, CALII'01lIIIA, t:hi. 10th day of foI1llliug 'IPOte, to-vi t. July , 11 l!.., by tho aus. Counc:J.Ja.n 'cott. BoNl. &aile_. lIYc5e. .......1 IIAYES . CowlcJ.~ _ODe . USEll'l'. CowlcJ.~ __ - /:;. ~ /Jyor :{:;~ ty 0 U . a UftS~fi6 ?r ~-L~ ..S~' i Y .I..r DATE or CALII'01lIIIA ) COUNTY or SAN DIEGO) ... an or CBlILA VISTA ) ) I, JIlIIIlU M. PllLASZ, City Cluk of the CJ. ty of Chula Vi.ta, CaliforAia, DO DlIDY CBRl'II'Y that the above aIl4 foregoug 18 a full, . . true ADd corract oopy of - .... Dot ....D --"ded or rapealed. IIanD . , aIl4 tbat the CJ.ty Clerk , \ l.'~ , ~ .,~ / ,/ Ih~ COUNCn.. AGENDA STATEMENT SUBl\Ul u;D BY: Resolution J"}.J'rf Approving Agreement for Transit Services Director of Public Works ~ City Manage~ ~~ Item ~ 17 Meeting Dat.. 7.1it>l94 v{ ~/~" Uniform Fare Structure ITEM TITLE: REVIEWED BY: (4/5ths Vote: Yes_No_XJ The Uniform Fare Structure Agreement incorporates three major cooperative functions among area transit operators under Metropolitan Transit Development Board (MTDB) jurisdiction: a cash fare structure; transfer procedures; and regional tickets and passes, including distribution of revenue among operators. This agreement, which has been in effect since 1981, usually is amended annually due to changes in cash fares or prices for regional passes. The FY 1994-95 agreement was approved by the MTD Board of Directors on June 23, 1994. The primary changes to the agreement for FY 1994-95 are price increases for some regional passes. MTDB requires participation in this agreement as a condition for receipt of Transportation Development Act (TDA) funds in accordance with Section 99284 of the Public Utilities Code. RECOMMENDATION: That Council adopt resolution approving Uniform Fare Structure Agreement. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: This agreement coordinates transit service for fixed route and dial-a-ride transit operators under MTDB's jurisdiction receiving TDA Article 4.0 and 4.5 funds. Coordination functions include transfers among operators, establishment and maintenance of a uniform fare structure, and revenue distribution to operators from regional tickets and pass sales. The following fIXed route operators participate in this agreement: County of San Diego Transit System (CTS); MTDB contract operators; National City Transit (NCT); North County Transit District (NCTD); San Diego Transit (SDT); San Diego Trolley (SDTI); and Chula Vista Transit (CVT). The TDA Article 4.5 funded dial-a-ride operators, including Chula VISta HandYtrans, were added to the agreement in FY 1992-93 to provide Complementary Paratransit Service for the Article 4.0 funded fIXed route operators in compliance with the Americans with Disabilities Act (ADA). ADA certifIed passengers may transfer between fIXed route and dial-a-ride services by paying the appropriate fare as specifIed in the agreement. The fares differ depending on the fIXed route system used and the distance traveled. - ~ 7)tfalQIf ~ ~~~~~ ~ -~-I / 7~ 1 Page 2, Item IV Meeting Date 7/26/94 The primary changes to the FY 1994-95 agreement are price increases of some monthly passes. The reason for the increase is to raise revenue to cover part of the anticipated operator funding shortfalls in the MTDB region in FY 1994-95. Most CVT riders who purchase monthly passes use the following three types: Loca1/Urban Zone pass; SeniorlDisabled pass; and Youth pass. These passes permit unlimited ridership on r~nal bus systems and the Trolley. The Loca1/Urban Zone pass increased $1.00, fromS48!to $49; the SeniorlDisabled pass increased $0.25, from $12 to $12.25; and the Youth pf~s mcreased $2.25, from $22 to $24.25. Cash . fares remain the same, which on CVT ar,e: regular adult fare, $1.00; lenior/disabled fare, ... $0.75; youth fare $0.75; and special fare.,(lD Ro,ute 706n06A ("Downtowner"), $0,25. , , . Participation in this agreement enhan coor~ination among various operators in the region, resulting in better service to the pub' ,and ~ provides a mechanism for d' 'buting regional pass revenues among operators. P s sales ;evenueis distributed among.6p tors based on passenger boardings. For exampl , CVT dqVers record each passenger ~o oards a bus with a pass. At the end of each mon total rev~ue from pass sales in theregio is divided among operators based on each opera r's perceni share of total pass boar~gs. . . , j , FISCAL IMPACT: CVT' share of retional pass sales reven~ in FY/1993-94 (f1Sca1Y~ ending June 30, 1994) is timated af.' $666,800, or appro~ately ,;50"10 of CVT~' to . estimated fare revenue of ,327,090. &tafT estimates that CVT will rifeive at least,tIiis s e per cent of regional pass jevenue in F~ 1994-95. if I /. t .! !} /. f ; .--'./ I ,~ BG:File No.:DS.o19/DS.o3 i f AUachment: Unifonn an: S1ructure ~t / I , , M.~\' f ->.-A. ! ,I ; / / ;' ) 7~~ -~ / 7- :). RESOLUTION NO. 17f8".5' RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING UNIFORM FARE STRUCTURE AGREEMENT FOR TRANSIT SERVICES WHEREAS, the Uniform Fare structure Agreement incorporates three major cooperative functions among area transit operators under MTDB jurisdiction: a cash fare struct\lre; transfer procedures; and regional tickets and passes, including distribution of revenue among operators; and WHEREAS, this agreement is being modified effective July 1, 1994 primarily because of price increases for some regional passes; and WHEREAS, this agreement was approved by the MTD Board on June 23, 1994 and participation in this agreement is a requirement for receipt of Transportation Development (TDA) funds in accordance with Section 99284 of the Public Utilities Code. NOW, THEREFORE, BE IT RESOLVED that the City Council of the city of Chula Vista does hereby approve the Uniform Fare. structure Agreement for Transit Services, a copy of which is on file in the office of the city Clerk as Document No. (to be completed by the City Clerk in the final document). BE IT FURTHER RESOLVED that the Mayor of the City of Chula vista is hereby authorized and directed to execute said Agreement for and on behalf of the City of Chula Vista. Presented by Approved as to form by John P. Lippitt, Director of Public Works Bruce M. Boogaard, City Attorney G: \..\un1f... fa.. I~ -:J- /1-3 THIS PAGE BLANK --/J, --f /7. LI . ..\ UNIFORM FARE STRUCTURE AGREEMENT Approved as to Form: Legal Counsel City of Chula Vista Date: MTDB Dot. No. T0213.0-95 SRTP 875 CHULA VISTA HANDYTRANS m\'u'~\ Ellal""aR af tile Blllll!l Mayor City of Chula Vista Date: -30--1/,--5' /7-s- UNIFORM FARE STRUCTURE AGREEMENT Approved as to Form: Legal Counsel City of Chula Vista Date: . ~\~\~ MTDB Doc. No. T0213.0-95 SRTP 875 CHULA VISTA TRANSIT ..&I..L.I....",,, vr LI,~ 8"",.." Mayor City of Chula Vista Date: -J'~.. -h-. -27- /, Y /7-b - . . MTDB Doc. No. T0218.0-95 SRIP 875 UNIFORM FARE STRUCTURE AGREEMENT SECTION 1: PURPOSE AND RESPONSIBILITY 1.1 Intent This Agreement is entered into, between and among the transit operators listed in Sections 1.1.1 and 1.1.2, the Senior/Disabled Dial-A-Ride operators for Americans with Disabilities Act (ADA) Complementary Paratransit Services listed in Section 1.1.3, the Metropolitan Transit Development Board (MIDB), the North San Diego County Transit Development Board (NSDCTDB), and the San Diego Association of Governments (SANDAG) for the purpose of formalizing the Metropolitan Transit System (MTS) Uniform Fare Structure. The Uniform Fare Structure is intended to enhance public convenience and help the public understand that the operators listed in Sections 1.1.1, 1.1.2, and 1.1.3 function as a single unit. 1.1.1 Fixed-Route Ooerators Chula Vista Transit (CYT) County Transit System (CTS) MTDB Contract Services (900 Series) National City Transit (NCT) North County Transit District !NCTD) San Diego Transit Corporation SDIC) San Diego Trolley, Incorporate (SDTI) 1.1.2 General Public Dial-A-Ride Ooerators El Cajon Dial-A-Ride (CTS) La Mesa Dial-A-Ride Lemon Grove Dial-A-Ride (CTS) San Diego Transit DART Spring Valley Dial-A-Ride (CTS) 1.1.3 Senior and Disabled Dial-A-Ride Ooerators Chula Vista Handy trans National City WHEELS City of San Diego Dial-A-Ride CTS Senior and Disabled Services (for East County, South Bay, and North City/Poway) ~--? '/~ ., 1. 2 Backaround 1.2.1 1.2.2 1.2.3 1.2.4 In accordance with the requirements of Section 99282.5 of the Public Utilities Code, the MTD Board of Directors and the SANDAG Board of Directors adopted resolutions on June 23, 1980 and July 21, 1980, respectively, establishing a Transfer Policy for all operators receiving Article 4 Transportation Development Act (TDA) funds in the HTDB and SANDAG jurisdictions. As a result of these actions, a Master Transfer Agreement was originally. executed between and among HTDB area operators and NCTD on July I, 1981 and subsequently amended, as appropriate, fulfilling the intent of coordinating transit service within the region. To further coordinate transit service, the Regional Ready Pass Agreement was originally executed on July I, 1981 and renewed, as appropriate, to provide for acceptance, administration, sales, and revenue distribution of the regional Ready Pass. A Uniform Fare Structure was also established in the HTDB area in July 1981 providing for coordinated base fare levels for Local, Urban, Express, and Dial-A-Ride services. In July 1988, the Regional Ready Pass Agreement, the Master Transfer Agree- ment, and agreements related to the acceptance, administration, sale, and revenue distribution of $1.00 10-Pack/Sl.50 10-Pack tickets and Day Tripper passes were formally incorporated into the Uniform Fare Structure Agreement. The ADA became federal law in July 1990. HTDB submitted an ADA Complementary Paratransit Plan to the Federal Transit Administration (FTA) in January 1992. The plan, signed by the transit operators listed in Section 1.1.1 (except for NCTD), sets forth the requirements and fare structure for the comple- mentary paratransit services, to be operated by the Dial-A-Ride services listed in Section 1.1.3. NCTD has submitted a separate ADA Complementary Paratransit Plan to the FTA for its area of jurisdiction. 1.3 Mutual Aareement As a result of the background described in Section 1.2, it is mutually agreed among all operators, HTDB, NSDCTDB, and SANDAG that this Uniform Fare Structure Agreement is established, which incorporates a base fare structure agreement, a transfer agreement, and a regional tickets and passes agreement. 1.4 Resoonsibilitv for Maintenance of Aareement Maintenance of this Agreement shall be the responsibility of each of the operators and shall be a condition for continued receipt of TDA funds in accordance with Section 99284 of the Public Utilities Code. Through cooperative agreement, MTDB and SANDAG shall monitor the implementation and maintenance of this Agreement. -2- It-Y 17~~ 1. 5 1m!! This Agreement shall become effective July I, 1994 and shall be in effect until amended by MToB, SANoAG, and each of the operators. NCTo may withdraw from this Agreement with ninety (90) days notice. 1. 6 Chanaes Each op~ratar shall give MToB, in its area of jurisdiction, and SANDAG sixty (60) days natic~, in writing, before a desired change to the Agreement may be implemented. No change shall be made without the consent of MToB, SANoAG, and each of the operators. SECTION 2: DEFINITIONS 2.1 Service Definitions The following definitians shall apply to MToB area operators only. These definitions do not apply to NCTo: 2.1.1 local Service. Fixed-route bus service on local roads serving neighborhood destinations and feeding transit centers in the immediate area. NCT, CTS, CYT, and some MToB contract operators operate local service. 2.1.2 Vrban Service. Moderate-speed, fixed-route bus service primarily on arterial streets with frequent stops. SDTC and some MTDB contract operators operate Urban service. 2.1.3 Exoress Service. Fixed-route bus service with stops only at major transit centers, residential centers, and activity centers, has more than six stops outside Centre City or at collector end of route, generally travelling less than 50 percent of the one-way miles on freeways and averaging at least 12 miles per hour, with an average trip length of approximately 10.0 miles or under, and uses standard transit buses. SDTC and some MToB contract operators operate Express service. 2.1.4 Premium Exoress Service. Fixed-route bus service with stops only at major transit centers, residential centers, and activity centers, has more than six stops outside Centre City or at collector end of route, generally travelling 50 percent or more of the one-way trip miles on freeways, averaging at least 15 miles per hour, with an average passenger trip length of over 10.0 miles, and uses standard transit buses. SDTC and some MToB contract operators operate Premium Express service. 2.1.5 Commuter EXDress Service. Fixed-route bus service with stops only at major transit centers, residential centers, and activity centers, generally travelling 50 percent or more of the one-way trip miles on freeways, averaging at least 25 miles per hour with an average passenger trip length of over 10.0 miles, and uses commuter coaches. CTS operates Commuter Express service. -3- #...-, 17 - '1 2.1.6 Dia1-A-Ride Service. Service available to the general public that does not operate over a fixed route. The service is dispatched through telephone requests from patrons. E1 Cajon Dia1-A-Ride (CTS), La Mesa Dia1-A-Ride, Lemon Grove Dia1-A-Ride (CTS), San Diego Transit Direct Access to Regional Transit (DART), and Spring Valley Dial-A-Ride (CTS) operate Dial-A-Ride service. 2.1.7 Paratransit Service. Service limited to senior and disabled passengers that does not operate over a fixed route. This service is dispatched through telephone requests from patrons. The Coordinated Transportation Service Agency (CTSA) oversees such services. 2.1.8 ADA Como1ementarv Paratransit Service. Specialized curb-to-curb transportation services provided to persons who qualify as eligible for such services under the guidelines of the Americans with Disabilities Act of 1990 and as specified in the MTDB Regional ADA Complementary Paratransit Plan. Except for commuter bus, commuter rail, or intercity rail systems, each public entity operating a fixed-route system shall provide paratransit or other special service to individuals with disabilities that is comparable to the level of service provided to individuals without disabilities who use the fixed-route system. 2.1.9 Dedicated Transoortation Service. In relation to social service agencies or other organizations, a dedicated transportation service is defined as paratransit vehicle usage that is set apart for and guaranteed to an agency for the transportation of its eligible clients. The vehicle, for a particular time frame, is for the definite use of these persons, and a ride is unavailable to other eligible persons within the community. 2.1.10 Rural Service. Scheduled service operated in rural areas over fixed routes. CTS-Rural operates Rural service. 2.1.11 Liaht Rail Service. Service provided by San Diego Trolley. 2.1.12 Soecial Service. Special services (such as the Stadium Bus) operated by an individual operator. Special services are not subject to the requirements of this agreement. 2.2 Passenaer Definitions The following shall apply to MTDB area operators and NCTD to determine eligibility for special fares. 2.2.1 Senior. Any person 60 years of age or older. Acceptable proof of senior fare eligibility shall be a Medicare card, a valid driver's license, a state of California senior identification J7../0 J~ . -4- 7 ,. iff) . 2.2.2 2.2.3 2.2.4 2.2.5 2.2.6 2.2.7 . card, an MTS identification card, or an NCTD identification card. This definition applies to persons who seek to purchase and/or use a Senior/Disabled monthly Ready Pass or Senior/Disabled cash fare on fixed-route transit or trolley services. Disabled. Any person with a permanent mental or physical disability. (NelD only: any person with a permanent or temporary disability. An NCTD Temporary Disability Card is a red card with an expiration date.) Acceptable proof of disabled fare eligibility shall be an MTS identification card, Medicare card, NCTD disabled identification card, state of California Department of Motor Vehicles (DHV) disabled identification card, or DMV placard identification card. This definition applies to persons who seek to purchase and/or use a Senior/Disabled monthly Ready Pass or Senior/Disabled cash fare for fixed-route transit or trolley services. HelDer. Any person designated by and travelling with a disabled passenger in a wheelchair as their assistant. Youth. Any person 6-18 years of age (inclusive). Acceptable proof of youth fare eligibility in the HYDB area shall be an HYS youth identification card, a valid driver's license, or current school photo identification card (through high school only). NCTD shall control youth pass eligibility at the point of purchase and may ask for proof of eligibility from boarding passengers. Child. Any person age 5 or under. Personal Care Attendant. In relation to the ADA complementary paratransit service, a personal care attendant is a person who is designated by the ADA eligible passenger to aid in their mobility. The person may be a friend, family member, or paid employee. A personal care attendant is not charged a fare on the ADA complementary paratransit service vehicle on which the attendant accompanies the ADA eligible passenger, but may be charged on non-ADA services. The need for and use of a personal care attendant must be indicated at the time of ADA eligibility certification. Sworn Peace Officer. As defined in HYDB Policies and Procedures No. 41, "MTS: Complimentary Services," sworn peace officers will be allowed to ride on regularly scheduled HYS bus and trolley routes without charge. This does not apply to NCTD or to CTS Commuter Express service. 2.3 Other Definitions 2.3.1 BYl. Transit vehicle operated by CYT, SDTC, CTS, NCT, HTDB contract operators, and NCTD. -5- -IJ, r / I 17.-- II 2.3.2 2.3.3. 2.3.4 2.3.5 2.3.6 2.3.7 Trollev. Light rail transit vehicle operated by SoTI. Centre Citv San oieao. That portion of ~owntown San Diego bordered by Laurel Street to Interstate 5 (1-5) on the north, Commercial Street to 1-5 on the south, 1-5 on the east, and the waterfront on the west. Station. That fixed site at which the San Diego Trolley stops to load and unload passengers. The stops within Centre City . San Diego are considered one station. Zone(s~. For bus service, geographical areas are defined by fixed oundaries within which particular fares are estab1ished. Zone 1 is the central urbanized area of the San Diego region bounded by the Mexican border to the south, the MToB area of jurisdiction limit to the east, the waterfront on the west, and extending north along Interstate 5 (1-5) to just south of Carmel Valley Road and north along interstate IS (I-IS) to Los Penasquitos Canyon (Mercy Road). Zone 2 extends from the Zone 1 northern boundaries north to Manchester Street along 1-5, and north to Lake Hodges/Pomerado/Highland Valley Road along I-IS. Zone 3 extends from the Zone 2 northern boundaries north to Batiquitos Lagoon along 1-5, and north to Bear Valley Parkway along I-IS. Zone 4 consjsts of everything within the MToB area of jurisdiction north of the Zone 3 northern boundary. The above zone definitions do not apply to NCTD. For trolley service, a zone is the number of stations from the station of boarding that a person may travel for a particular fare. For ADA complementary paratransit service, a zone is the geographical area defined by fixed boundaries within which particular fares are established. The boundaries for the zones are determined by each of contracting agencies for the local operator of the paratransit service. Transfers. The actions by passengers in which they leave one bus, trolley, or dial-a-ride service and board a subsequent bus, trolley, or dial-a-ride service to complete their trips. UDorade. An additional fare required to enhance the value of an original fare (upon transfer) or a pass to travel on a higher fare bus, trolley, or dial-a-ride service. SECTION 3: REGIONAL BASE CASH FARES 3.1 SCODe This section shall cover base fare levels for MTDB area fixed-route operators. This section does not apply to NCTo. 3.2 Cash Fare Levels 3.2.1 Local route cash fares shall be $1.00. 3.2.2 Urban route cash fares shall be $1.50. -6- ~-~ , , J7-/t 3.2.3 Express, Premium Express, and Commuter Express route cash fares shall be as follows: Express Zone 1 . $1.75 Express Zone 2 . $2.00 Premium Express Zone 1 . 52.00 Premium Express Zone 2 . $2.25 Commuter Express Zone 2 . $2.50 Commuter Express Zone 3 . $2.75 Commuter Express Zonp. 4 . $3.00 Zones shall correspond to bus zones as defined in Section 2.3.5 of this agreement and as shown in Attachment A (map). 3.2.4 San Diego Trolley one-way cash fares shall be as follows and as detailed in Attachment B. Centre City 1 Station 2 Stations 3 Stations 4-7 Stations 8-28+ Stations . $1.00. . $1.00 . $1.00 . $1. 50 . $1.50 . $1. 75 3.2.6 3.2.7 3.2.8 .Centre City cash fare allows unlimited rides within Centre City (i.e., round trips) within a two-hour period. Senior/Disabled. cash fares on all routes shall be 75 cents. There shall be no zone charges associated with Senior/Disabled cash fares. Helper cash fares on all routes shall be 75 cents. There is no regional youth cash fare. Children (5 years and under) ride free when accompanied by a fare-paying passenger. The number of children allowed to ride free will be determined by the individual operators. 3.2.5 3.3 Soecial or Individual ODe rat or Fares 3.3.1 CTS, NCT, and CYT may set youth cash fares of 75 cents. Proof of eligibility for a youth cash fare (as specified in Section 2.2.4) shall be required. 3.3.2 Individual operators may set cash fares for special services such as stadium buses, shuttles, and promotional services. All operators will notify Regional Transit Information and other operators of any promotions put into effect. 3.3.3 CTS may set cash fares for the CTS Rural services. 3.3.4 Dial-A-Ride operators may set individual cash fares for Dial-A-Ride services. -7- 17-13 r~-.O- 3.3.5 ADA Complementary Paratransit Service fares in the MToB area of jurisdiction are set in relation to fixed-route services. In compliance with the ADA requirements, the one-way fares for ADA complementary paratransit services are set at double the fares for comparable fixed-route services. Attachment C specifies the ADA local zone fares, and Attachment 0 the ADA regional fares. Within the ADA guidelines, the senior and disabled dial-a-ride operators listed in Section 1.1.3 will retain local flexibility to establish fares for social service agencies that purchase . dedicated transportation for their clients. This section does not apply to NCTo. SECTION 4: REGIONAL TRANSFERS 4.1 Scooe This section shall cover transfers between all Article 4 General Public oial-A-Ride operators, Article 4.5 ADA and Senior/Disabled oial-A-Ride operators, SoTI, and NCTo. It shall also define a policy for participation in the regional transfer system by other transit providers. And, it shall provide transfer policy guidelines between fixed-route bus service and ADA complementary paratransit services. 4.2 Transfer Slios 4.2.1 Bus and oial-A-Ride Transfer SliD Soecifications 4.2.1a 4.2.1b The paper transfer slip issued by each bus and dial-a-ride operator within the MToB area of jurisdiction shall include the following information: o designation of service type (Local or Urban/Express); o the cash fare paid; o the route number or, for dial-a-rides, the oper- ator of the issuing vehicle; o the direction of travel of the issuing vehicle; and o the date and time of day the transfer expires. The transfer slip issued by NCTD's automated transfer slip system for use within its area of jurisdiction shall include the following information: o route number; o issue date; o time of issue; and o time of expiration. -8- #;ff I~/~ . All paper transfers issued in the MTDB area (including transfers issued by dial-a-ride operators) shall be punched or cut, as appropriate, by the driver. In the MlDB area, drivers shall use a unique transit hole-punch. MTDB shall be responsible for printing these paper transfers in the MlDB area. NClD shall be responsible for printing transfers in the North County area. . 4.2.2 Trollev Sinale-Ride Tickets as Valid Transfer SliDS San Diego Trolley single-ride tickets shall be valid as transfer slips and shall include the following information: o cash value of the trip for which the ticket is valid; o station of boarding; o the time the ticket expires; and o the date the ticket was issued. 4.2.1c 4.2.1d 4.2.3 Soecial Transfers Ready 2 tickets and 10-Pack tickets (for $1.50, $1.75, $2.50, $2.75*, and $3.00 fares) validated by SDTI vendomats shall be valid transfers up to the time of expiration stamped on the ticket. * $2.75 10-Pack tickets to be phased out in December 1994. 4.3 Transfer Charaes These transfer charges will apply to transfers between and among MTDB area operators, and between NCTD and each other operator. For the eurposes of this agreement, NCTD service shall be deemed equal to $1.50 Urban" service. These transfer charges will not apply to transfers within NCTD. 4.3.1 Transfer Uoarades 4.3.1.a ; 4.3.1b Transfer slips shall only be issued when a cash fare is paid or a 10-Pack ticket is relinquished. Passengers with a valid transfer slip may transfer to a bus or trolley with an equal or lower cash fare value free of charge. Passengers with a valid transfer slip must pay the difference between the lower and higher cash fare in 25-cent increments when transferring to a bus or trolley with a higher cash fare value. Transfer upgrades range from $0.25 to $2.00 and are detailed in Attachment E. There shall be no transfer upgrade charges on fixed- route services for senior or disabled passengers. -9- #..--,# 17-1:f" 4.3.1c 4.3.1d 4.3.1e Transfers made from a bus or trolley to a dial-a-ride service listed in Section 1.1.2 of this Agreement (excluding DART) will require a 50-cent upgrade fare regardless of the cash base fares charged on either service. NCTD shall determine its areas fare upgrade regulations. There are no transfer privileges between dial-a-ride services listed in Section 1.1.2 of this Agreement.. A full fare is required upon each boarding. ADA-eligible passengers with a valid transfer slip from an ADA complementary paratransit service vehicle may transfer to a bus or trolley without the payment of a transfer upgrade charge. There will be a payment of a transfer upgrade required from a bus or trolley to an ADA complementary paratransit service. An eligible passenger is a person with a disability who has been certified as eligible under the Americans with Disabilities Act of 1990 and the MTDB Regional ADA Complementary Paratransit Plan. This does not apply to NCTD. 4.4 Transfer Time Transfer slips issued from MTDB area buses shall be valid within the MTDB area until the date and time indicated on the transfer slip (sixty [60] minutes from the terminal time of the route from which the transfer slip is issued). NCTD shall set its own time policy for accepting transfer slips issued from MTDB area buses. Transfer slips issued from NCTD area buses and used to transfer to MTDB area services shall be valid for two hours from the time of issue (as shown on the transfer slip). Transfer slips issued from ADA complementary paratransit service vehicles shall be valid until the date and time indicated on the transfer slip (the time indicated shall be two hours from the time of drop off by the ADA paratransit vehicle, to the nearest half hour). Passengers may exchange 10-Pack tickets for a valid transfer upon boarding the bus. Single-ride and multi-ride trolley tickets shall be valid as transfer slips until the date and time indicated on the ticket (two hours from the time of purchase or validation). No transfer slips shall be issued when a monthly or daily pass (as described in Section 5 of this Agreement) is presented. Transfer slips issued in exchange for a previously issued transfer slip shall be punched or cut by the driver to be valid only until the time remaining on the original transfer slip, unless an upgrade is paid. If an upgrade is paid (defined in Section 2.3.7 as an additional fare required to enhance the value of an original fare (upon transfer) or a pass to travel on a higher fare bus, trolley, or dial-a-ride service), the passenger travelling on the higher value service may be issued a new transfer slip with additional time as stated in the first sentence of Section 4.4. -10- It. ./t /7-/6 4.5 Transfer Directional Restrictions Passengers with a valid transfer slip (as defined in Sections 4.2, 4.3, and 4.4) may not make a return trip on the route, or on any route on the same printed public timetable from which the transfer slip was issued. Stopovers (reboarding the same route in the same direction) is allowed (except on NCTD services) and there are no other directional restrictions on transfers. 4.6 Transfer Centers and Points Timetable coordination shall be established at the points shown on Attachment F throughout the MTDB area of jurisdiction between and among all operators and for as many routes as possible. A transfer shall be considered time-coordinated if the scheduled meet is within six minutes. 4.7 Particioation in Transfer Svstem The policy for participation in the regional transfer system in the MTDB area (as defined in Sections 4.1, 4.2, 4.3, 4.4, 4.5, and 4.6) by transit providers other than those included in Sections 1.1.1, 1.1.2, and 1.1.3 shall be as follows: 4.7.2 Private operators participating in the regional transfer system must operate a fixed route and fixed, published schedule. Operators must serve an area or need not currently served by an existing MTDB area operator. Any publicly subsidized operator should be incorporated into the regional transfer system to the extent feasible and practical. 4.7.1 4.7.3 4.8 ~DA Comolementarv Paratransit Service Transfer Considerations Under the guidelines of the Americans with Disabilities Act of 1990, transfers between fixed-route bus and trolley services can take place at bus stop and station locations of choice of the ADA service passenger. As long as the ADA passenger can board and/or deboard at a chosen stop or station location, (i.e., the wheelchair lift can be deployed) there are no restrictions as to where the passenger may transfer. Providers may suggest, but cannot require, that transfers between fixed-route services and the ADA paratransit services take place at the major transfer locations as shown in Attachment G. The fare upgrade (from the fixed-route bus or trolley to the ADA paratransit service) will only be paid on the ADA paratransit service vehicle, not on the fixed-route vehicle. This is an exception to the MTDB policy to allow passengers to pay transfer fares on the first or second vehicle A transfer received upon any fare payment on a fixed-route vehicle will be worth a maximum of 75 cents toward the payment of the fare upgrade on the ADA complementary paratransit vehicle. -11- ~17 I '7 -/7 A $12.25 Senior/Disabled Ready Pass or any other higher value pass used to board a fixed-route vehicle will be worth 75 cents toward the payment of the fare upgrade on the ADA complementary paratransit vehicle. No 10-Pack tickets, Day Trippers, tokens, or other prepaid fare media, as described within this Agreement, will be accepted as fare on the ADA paratransit service vehicle. The above considerations do not apply to NCTD. Transfers between NCTD lift service and MTDB complementary paratransit services are allowed. For ADA services, a transfer slip issued from NCTD lift service shall be valued at $3.00 (double the $1.50 value as established in Section 4.3) SECTION 5: PASSES AND TICKETS This section shall apply to fixed-route bus and trolley operators and DART services only. General public and senior/disabled dial-a-ride operators do not accept regional passes. 5.1.1 5.1 Rea;onal Monthly Pass 5.1.2 5.1.3 5.1.4 Adult Monthlv Passes. The crice of a regional adult monthly pass (Ready Pass) shall be ased on service type and zones. Local and Urban 20ne 1 passes shall be $49. Express Zone 1 and San Diego Trolley passes shall be $49. Express Zone 2 and Premium Express Zone 1 passes shall be $54. Premium Express Zone 2 passes shall be $59. Commuter Express Zone 2 passes shall be $62. Commuter Express Zone 3 passes shall be $67. Commuter Express Zone 4 passes shall be $72. The adult monthly pass shall entitle the person to whom the pass is issued to unlimited rides during the month for which the pass is designated on any equal or lower priced regularly scheduled services. Half-priced monthly passes shall be sold beginning the 15th day of each month at The Transit Store and Pass-by-Mail only. Senior/Disabled Monthlv Passes. The price of a regional senior/ disabled monthly pass is $12.25 and shall entitle the senior or disabled passenger to unlimited trips during the month for which the pass is designated on any regularly scheduled services. Half-priced monthly passes shall be sold beginning the 15th day of each month at The Transit Store and Pass-by-Mail only. Youth Monthlv Passes. The price of a youth monthly pass is $24.50 and shall entitle the youth passenger to unlimited trips during the month for which the pass is designated on any regularly scheduled services. Half-priced montbly passes shall be sold beginning the 15th day of each month at.The Transit Store and Pass-by-Mail only. Centre Citv San DieDo Passei. The Centre City San Diego-only monthly pass shall be available to the general public. The Centre City pass shall entitle the passholder to unlimited trips -12- /t,-)~ 17-/~ . during the month for which the pass is designated, on any regularly scheduled services provided within Centre City San Diego (as defined in Section 2.3.3) by San Diego Trolley only. The price of the Centre City San Diego pass shall be S24.50. MTS AutoPark monthly parking permit holders shall receive a 50 percent discount on the pass (discount to be subsidized by the Regional Building Authority). 5.2 Soeclal Reaional Passes 5.2.2 Dav Passes-General Public. The price of a one-day (1 Day Tripper) pass is S5 and the price of a four-day (4 Day Tripper) pass is S15, and shall entitle the person to whom the pass is issued to unlimited rides during the day(s) for which the pass is valid on any regularly scheduled services provided by those operators listed in Section 1.1.1 and the San Diego Bay Ferry. Multi-Dav Passes-Grouo Advance Sales. Multi-day passes, valid for one to seven days, may be issued to groups only on an advance sales basis only. The price of multi-day, group advance sales passes shall be as follows: 5.2.1 one-day pass . S4 two-day pass . S6 three-day pass. S8 four-day pass . S10 five-day pass . S12 six-day pass . S14 seven-day pass . S16 The multi-day (Day Tripper) pass shall entitle the person to whom the pass is issued unlimited rides during the corresponding number of consecutive days for which the pass is valid on any regularly scheduled services provided by those operators identified in Section 1.1.1 and the San Diego Bay Ferry. Special events passes may be purchased in bulk in advance at discounted rates as follows: 100-499 passes . Full price per pass 500-999 passes . 5 percent discount per pass 1,000-1,999 passes. 10 percent discount per pass 2,000-2,999 passes. 15 percent discount per pass 3,000+ passes . 20 percent discount per pass 5.2.3 Classroom Dav Triooer. Classroom Day Trippers are valid for one day during non-peak hours between 9 a.m. and 3 p.m. on weekdays or anytime on weekends. Classroom Day Trippers may be issued to school and youth groups (up to 18 years of age) on an advance sales basis only. Groups must be able to travel with a maximum of 17 people (a minimum of two adult chaperons for a group of 15 youths) per group, depending on bus or trolley route capacity. The price of Classroom Day Trippers shall be SI.25 per person, and each passenger shall be issued a separate ticket. The Classroom Day Tripper shall entitle the person to -13- II, -/9 '7- '1 whom the pass is issued to unlimited rides during the day for which the pass is valid, within the prescribed hours, on any regularly scheduled services provided by those operators listed in Section 1.1.1 and the San Diego Bay Ferry. Revenue for the Classroom Day Trippers is allocated to individual operators on a trip-by-trip basis, split according to the trip itinerary estab- lished by the purchaser of the Classroom Day Tripper. 5.3 Regional Tickets 5.3.1 . The price of a bus/trolley la-Ride ticket book $1.50 la-Pack is $14 and shall entitle the person to whom the t cket book is issued to ten (10) trips of up to $1.50 cash fare value per trip on any regularly scheduled services. For a trip on the trolley, the ticket must be validated in the trolley ticket machine before boarding. 5.3.2 . The price of a bus/trolley la-Ride ticket book $1.75 la-Pack is $17 and shall entitle the person to whom the t cket book is issued to ten (10) trips of up to $1.75 cash fare value per trip on any regularly scheduled services. For a trip on the trolley, the ticket must be validated in the trolley ticket machine before boarding. 5.3.3 - - . The price of a bus/trolley la-Ride ticket book ($2.50 la-Pack is $22.50 and shall entitle the person to whom the ticket book is issued to ten (10) trips of up to $2.50 cash fare value per trip on any regularly scheduled services. For a trip on the trolley, the ticket must be validated in the trolley ticket machine before boarding. 5.3.4 * Bus/Trollev la-Ride Ticket Book ~S2.75 la-Pack). The price of a bus/trolley la-Ride ticket book $2.75 la-Pack) is $25 and shall entitle the person to whom the ticket book is issued to ten (10) trips of up to $2.75 cash fare value per trip on any regularly scheduled services. For a trip on the trolley, the ticket must be validated in the trolley ticket machine before boarding. * The $2.75 la-Pack will be phased out in December 1994. 5.3.5 . The price of a bus/trolley la-Ride ticket book $3 la-Pack is $27 and shall entitle the person to whom the t cket book is issued to ten (10) trips of up to $3 cash fare value per trip on any regularly scheduled services. For a trip on the trolley, the ticket must be validated in the trolley ticket machine before boarding. -14- -I~ ~.2...(j) /7-c2 0 SECTION 6: REGIONAL MONTHLY PASS UPGRADES 6.1 Adult Pass Uoorades Passengers holding a valid adult monthly pass must pay a cash upgrade to ride services that require a higher value pass as defined in Section 5.1.1. Pass upgrades range from $0.25 to $1.25 in 25-cent increments based upon the difference in cash fares associated with each pass. Attachment H details the pass upgrade ch&rges. 6.2 Senior/Disabled and Youth Pass Uoorades There shall be no cash upgrades required on Senior/Disabled and Youth monthly passes for travel on any regularly scheduled services provided by those operators listed in Section 1.1.1 of this Agreement (except CTS Rural services - see Section 6.3). 6.3 Senior/Disabled Pass ADA Uoorades There shall be a cash upgrade required on a Senior/Disabled pass, or any other higher value pass, if an eligible passenger transfers to an ADA complementary paratransit service vehicle. This cash upgrade will be the difference between the 75-cent ride value of the Senior/Disabled pass and the ADA complementary paratransit fares, ranging from $2 to $4 per one-way trip. The cash upgrade will only be paid on the ADA complementary paratransit service vehicle. This section does not apply to NCTD. 6.4 CTS Rural Services All passes, including Senior/Disabled and Youth passes, shall have a $1.50 cash value when boarding or transferring to CTS Rural services. SECTION 7: REGIONAL TICKET AND PASS ADMINISTRATION 7.1 Scooe This section shall cover the administration of printing, sales, boarding counts, revenue collection, and revenue allocation for Regular, Senior/Disabled, Youth, Day Tripper, and Centre City passes and all la-Pack tickets. This section does not apply to general public or senior/disabled dial-a-ride operators. 7.2 SANDAG Resoonsibilities 7.2.1 SANDAG shall ensure that each operator submits Ready Pass boarding counts by category (Adult (all zones combined), Senior/ Disabled, and Youth) and all la-Pack ticket counts (by ticket type) to SANDAG on a monthly basis, using the form shown in Attachment I. In addition, SANDAG shall ensure that those -15-1f~~( . 7.2.2 7.2.3 7.2.4 7.2.5 7.2.6 operators operating Express, Premium Express, and Commuter Express routes submit pass-boarding counts by route. SANDAG shall also ensure that appropriate operators submit transfer upgrade activity counts on Attachment I. SANDAG shall determine the proportion of revenues from Adult Ready Pass sales to be allocated to each operator on a countywide basis in accordance with the formula shown in Attachment J. SANDAG shali determine the proportion of revenues from Senior/Disabled and Youth Ready Pass sales to be allocated to each operator on a countywide basis in accordance with the formula shown in Attachment K. SANDAG shall determine the proportion of revenues from all IO-Pack ticket sales to be allocated to each operator on a countywide basis in accordance with the formula shown in Attachment l. SANDAG shall submit the Ready Pass summary counts and allocation percentages by category (Adult, Senior/Disabled, and Youth) and all pass level and all IO-Pack ticket counts (by type) for each operator to MTDB, instructing MTDB to disburse the Ready Pass, Day Tripper, and IO-Pack sales revenue collected to the various operators in accordance with the calculated percentages. SANDAG shall submit said percentages and counts for the previous month to MTDB by the 25th day of the month following. SANDAG shall prepare a yearly summary of Ready Pass and all IO-Pack ticket riders (by operator). 7.3.1 7.3 MTDB Resoonsibilities 7.3.2 7.3.3 7.3.4 MTDB shall fund and administer the design and printing of regional passes and tickets. MTDB shall fund the regional prepaid fare program encompassing the distribution and sales reconciliation of Ready Passes (for Adult by price, Senior{Disabled, and Youth), Day Tripper passes, Centre City passes, al IO-Pack tickets, pass-by-mail program, and for San Diego Trolley, Ready 2 tickets, as well as a pass sales effort directed at major employers. A Pass Sales Administrator, employed by MTDB, will be the coordinator of this fare program. MTDB shall prepare a monthly summary of Ready Pass (by category and price), Day Tripper pass, Centre City pass, all IO-Pack, and Ready 2 sales and net sales revenue, and shall submit a copy of this summary to each operator (net sales revenue is the gross revenue minus commissions to sales outlets). MTDB shall determine the Day Tripper pass sales revenue to be allocated to each operator based on the percentages of regional Adult Ready Pass sales as determined by SANDAG. An allocation of 1.5 percent of the Day Tripper revenue shall be allocated to -16- jfi,#~;2. 17 -.,2 -< 7.3.5 7.3.6 7.3.7 7.3.8 7.3.9 7.3.11 , the San Diego Bay Ferry prior to the remaining 98.5 percent. allocated to the other operators that accept the Day Tripper. MTDB shall determine the proportion of TransNet Local Transportation Sales Tax subsidy to be allocated to each MTDB- area operator for Senior/Disabled and Youth passes based on the formula shown in Attachment M. MTDB shall prepare a monthly summary of TransNet Local Transportation Sales Tax subsidies for Senior/Disabled and Youth passes or any other local jurisdiction subsidy by the end of the month. MTDB shall prepare a monthly summary of regional Ready Pass (for Adult by price, Senior/Disabled, and Youth), Day Tripper pass, Centre City pass, all 10-Packs, and Ready 2 revenue distribution, including subsidies, and shall submit a copy of these data and the SANDAG summary counts and allocation percentages (Section 7.2.5) to each operator and to SANDAG, when issuing checks as described in Section 7.3.9. MTDB shall keep a separate fund for all pass and ticket sales revenues received, to include interest accrued on monies contained in such fund. MTDB shall issue a check monthly to each operator for its portion of Adult (Ready) pass, Senior/Disabled pass, Youth pass, Day Tripper pass, Centre City pass, all 10-Pack tickets, and Ready 2 net sales revenues, TransNet Local Transportation Tax subsidy (MTDB area operators only), and proportionate accrued interest which exceeds MTDB costs for Pass Sales Administrator compensation in accordance with instructions from SANDAG. (The pass and ticket revenue check shall reflect the net amount to be received by each operator after adjustment is made to allocate transfer fares paid on first vehicles as described in Attachment t.) Checks for a particular month's revenues shall be issued for all funds received by MTDB during the previous month. These checks shall be issued within five (5) working days from MTDB's receipt of the SANDAG report as referenced in Section 7.2.6. A reconciling report shall be sent to each operator showing which month the money is from and any adjust- ments (e.g., bad checks, theft, error). MTDB shall bill local jurisdictions monthly for any subsidy payments that may result from a reduced price monthly pass program established by that jurisdiction and apportion such revenue to the appropriate operators. 7.4 Ooerator ResDonsibilities 7.4.1 Each operator shall count pass riders (by category: Adult (all zones combined), Senior/Disabled, and Youth) and 10-Pack ticket riders (by type). Operators shall count other prepaid fare media (Day Trippers, Classroom Day Trippers) as feasible, based on current farebox technology in use. Those operators operating Express, Premium Express, and Commuter Express routes shall -17- ~ 17-.23. 7.4.2 7.4.3 NBF:nbf:jy A-UFSA95.NBF 6/27/94 Attachments: A. B. C. D. E. F. G. H. 1. J. K. L. M. count pass boardings by route for Express, Premium Express, and Commuter Express services. Buses shall be equipped to permit operators to maintain a daily count of each category and type of rider. A record of daily counts shall be maintained and kept on file for a one-year period. Such record shall be made available to SANDAG at its request. For the purpose of IO-Pack ticket revenue allocation, the IO-pack tickets shall be counted as follow: o A IO-Pack ticket, received for fare payment, that has been validated by a San Diego Trolley vendomat is counted as a transfer. o A IO-Pack ticket, received for fare payment, that has not been validated by a San Diego Trolley vendomat is counted as a IO-Pack ticket for revenue allocation. Daily pass and IO-Pack ticket usage on the San Diego Trolley shall be determined on a sampling basis as prescribed by SANDAG. Each operator shall prepare a monthly summary of pass riders (by category and route, where applicable) and all IO-Pack ticket riders (by type) using the form in Attachment I and submit the previous month's summary to SANDAG by the 23rd day of the month following. Each operator shall permit SANDAG to be the arbiter in case of any questions on pass counts and SANDAG shall justify its decision to operator(s) in question. Express Bus Zones, Routes, and Fares San Diego Trolley Zone Fares ADA Complementary Paratransit Local Fares ADA Complementary Paratransit Regional Fares Transfer Upgrades Transit Centers and Points Paratransit Transfer Sites Pass Upgrades Regional Pass, Ticket, and Transfer Upgrade Usage Adult Pass Revenue Allocation Formula Senior/Disabled and Youth Pass Revenue Allocation Formula Revenue Allocation Procedure for IO-Pack Tickets TransNet Pass Subsidy Allocation Procedure -18- /J,JI 00;::, - 17...e. ~ UNIFORM FARE STRUCTURE AGREEMENT Approved as to Form: :e~era 1 c~:n~ -><- / ::> Date: LiJ/Zq Iq~ MTDB Doc. No. T0213.0-95 SRTP 875 METROPOLITAN TRANSIT DEVELOPMENT BOARD ~~.~ enera anager Date: 6/...... Ie,,,", . 17,,2 5 ,.. -19-_ J~ ":1.5- , UNIFORM FARE STRUCTURE AGREEMENT Approved as to Form: legal Counsel Date: ; -20- MTDB Doc. No. T0213.0-95 SRTP 875 SAN DIEGO ASSOCIATION OF GOVERNMENTS ExecutIve 01rector Date: 17-~ -b /J, ,. .2 ~ . UNIFORM FARE STRUCTURE AGREEMENT MTDB Doc. No. T0213.0-95 SRTP 875 Approved as to Form: CITY OF LA MESA DIAL-A-RIDE City Attorney Mayor, City of La Mesa Date: Date: -21- /;, -.) ? 17.27 UNIFORM FARE STRUCTURE AGREEMENT Approved as to Form: Legal Counsel North San Diego County Transit Development Board Date: HTDB Doc. No. T0213.0-95 SRTP 875 NORTH SAN DIEGO COUNTY TRANSIT DEVELOPMENT BOARD Chairman of the Board North San Diego County Transit Development Board Date: -22- -)Ii-.~ r7-!27 UNIFORM FARE STRUCTURE AGREEMENT Approved as to Form: ...... '---")./ ;J Lega 1 counse-:-- San Diego Transit Corporation Date: ; MTDB Doc. No. T0213.0-95 SRTP 875 SAN DIEGO TRANSIT CORPORATION Secretary Of the Board San Diego Transit Corporation Date: -23- -h-.r:t.1" 1).21 UNIFORM FARE STRUCTURE AGREEMENT Approved as to Form: "'-- Le~al co:~ ":>--, San Oiego Trolley, Inc. ~ --' Date: MTDB Doc. No. T0213.0-95 . SRTP 875 SAN DIEGO TROLLEY, INC. Chairman of the Board San Diego Trolley, Inc. Date: -24-~ /6''' ..:ft? /7-..30 UNIFORM FARE STRUCTURE AGREEMENT Approved as to Form: Legal Counsel Date: -25- , MTDB Doc. No. T0213.0-95 . SRTP 875 COUNTY TRANSIT SYSTEM Clerk of the Board County of San Diego Board of Supervisors Date: Jt :J ' r I 17.3) UNIFORM FARE STRUCTURE AGREEMENT MTDB Doc. No. T0213.0-95 SRTP 875 Approved as to Form: NATIONAL CITY TRANSIT City Attorney City Manager Date: Date: -26- Ii .J~ 17~.3 L UNIFORM FARE STRUCTURE AGREEMENT MTDB Doc. No. T0213.0-95 SRTP 875 Approved as to Form: CHULA VISTA TRANSIT Legal Counsel Chairman of the Board City of Chula Vista City of Chula Vista Date: Date: /7-33 -27- I~' :11 UNIFORM FARE STRUCTURE AGREEMENT Approved as to Form: Legal Counsel Date: MTDB Doc. No. T0213.0-95 SRTP 875 EL CAJON DIAL-A-RIDE Clerk of the Board County of San Diego Board of Supervisors Date: -28- J~ JL/ 7 ... /7- 3~ . UNIFORM FARE STRUCTURE AGREEMENT MTDB Doc. No. T0213.0-95 SRTP 875 Approved as to Form: lEMON GROVE DIAl-A-RIDE lega 1 Counse 1 C1 erk of the Board County of San Diego Board of Supervisors Date: Date: ,. -29- -I,...JJ- 17.35 UNIFORM FARE STRUCTURE AGREEMENT Approved as to Form: Legal Counsel City of Chula Vista Date: MTDB Doc. No. T0213.0-95 .. SRTP 875 CHULA VISTA HANDYTRANS Chairman of the Board City of Chula Vista Date: -30- It.;tt ,7 -s-6 UNIFORM FARE STRUCTURE AGREEMENT MTDB Doc. No. T0213.0-95 SRTP 875 Approved as to Form: NATIONAL CITY WHEELS City Attorney City Manager Date: Date: -31- r/~'.17 /7.....17 UNIFORM FARE STRUCTURE AGREEMENT Approved as to Form: Legal Counsel Date: -32- "TDB Doc. No. 10213.0-95 SRTP 875 COUNTY TRANSIT SYSTEM (Senior and Disabled Services) Clerk of the Board County of San Diego Board of Supervisors Date: -It, .:l t?- 17~.3% UNIFORM FARE STRUCTURE AGREEMENT Approved as to Form: legal Counsel Date: , MTDB Doc. No. T0213.0-95 SRTP 875 CITY OF SAN DIEGO DIAl-A-RIDE Director Parks and Recreation Date: -33- -/~.. jf 17 - g i UNIFORM FARE STRUCTURE AGREEMENT Approved as to Form: Legal Counsel San Diego Transit Corporation Date: : HTDB Doc. No. T0213.0-95 SRTP 875 SAN DIEGO TRANSIT DART Secretary of the Board San Diego Transit Corporation Date: -34- -I~ ",y () /7-1.{ a UNIFORM FARE STRUCTURE AGREEMENT Approved as to Form: legal Counsel Date: .HTDB Doc. No. T0213.0-95 SRTP 875 SPRING VALLEY DIAL-A-RIDE Clerk of the Board County of San Diego Board of Supervisors Date: -35--Ir-lf!---- 17- if / " Zone 1 r "^ ' l\ Rt. 210 $54., $2,00 i \ Rt. 20~,!6j1.!5 /t#mw'\\, m' ) , . /f Rt. 3(1$49., $1.7(i / \ Rt. 50"'9., $1.75\ f l Rt. 150~9., $1.75';/ Rf. 270 $54., $2.00 \ ! \ Rt. 40 $54., $2.00 , ; tl..,J:It,].Q"$4~,.lI:!5"",,j EI Cajon ~ 'W',...............\ ~ . '''-"^^-N'''''' ~ _...._."-~""'-< \ \ , La Mesa """'",,1 >)t"/'/L~~~:~' '"^~~"~'W" r'-T'''\,W' Grove '.""'~J \ '\ ~ational City ~ "ChUla Vista \ I l' \,R.t:~.~g.~~.:~.~.2.:~ _._,tJ .~'....,...; . " '. . 0 1 Oceanside {< \. ,.........p....."""-.,.",.. ..,' "'\. San "M ..\ "'.. arcos ' ~. \ Rt. 800 $72.,$3.00 "'..__ i '~ ~"~~""^"{--~'\ , \. "'-..... Carlsbad Zone 3 Rt. 800 $67., $2.75 .) \ j I / Encinitas Del Mar '\. I Zone 2 I Rt. 800 $62., $2.50 \ \ San Diego Coronado Imperial Beach MTDB 17- '-I 1.... ~~ EXPRESS BUS ZONES, ROUTES AND FARES I Zone 41 Rt. 810 $72., $3.00 Escondido ..'.....,'" -~"'......- . ..~. --...., Rt. 220 and Rt. 230 $59., $2.25 /'_u~' Rt. 20 $54., $2:(10 \, Rt. 820 $62., $2$() " Poway \, '\ " ". Santee:' //. ./" ./ Rt. 870 $62., $2.50" ~ ./.:-. ~ ..f ~ /" ::- ' ..../ '", 2 miles Legend: Route No. end P... PrIce, On..Wey C.eh PrIce ATTACHMENT B r &AM DIIGO tIOLLIl ZOO fillS ._ SOWU Liu Banlo larbor- heme I.e. 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Ctr. 11.15 11.15 11.15 11.15 11.15 IU5 11.15 11.15 11.15 IUS 11.15 mJlIIS.1l1 /7-4) 4/18/93 #---1/5 ATTACHMENT C ADA COMPLEMENTARY PARATRANSITFARES LOCAL ZONE FARES - .MTDB AREA ONLY E@F;;;'(W~FFEQi1ve~BEa~;nt93:;1I!m;ITt1t1;; MTDBAREA . . Imperial Beach $2.00 South San Diego $2.00 Chula Vista $2.00 National City $2.00 Coronado $2.00 San Diego (Central areas) $3.00 East County $2.00 Scripps Ranch $3.00 Mira Mesa $3.00 Poway $2.00 Rancho Bernardo $3.00 Rancho Penasqultos Carmel Mountain Ranch Sabre SDrinas .JlAIII'JJ&.Wt, ~ /7'" LJ {,. ADA COMPLEMENTARY PARATRANSIT FARES - REGIONAL TRANSFER FARES ;:iMlPa~al;",#I:;F~Q;t!V~OPTPa~a1;t99a.; Imperial South Chula Nat. Coro- San East Scripps Mira Beacti S.D. Vista CI nado Diego Coun Ranch Mesa Imperial Beach $2.00 $2.00 $3.00 $3.00 $3.00 $3.00 $3.00 $3.50 $3.50 $4.00 South San Diego $2.00 $2.00 $3.00 $3.00 $3.00 $3.00 $3.00 $3.50 $3.50 $4.00 Chula Vista $3.00 $3.00 $2.00 $2.00 $3.00 $3.00 $3.00 $3.50 $3.50 $4.00 National C $3.00 $3.00 $2.00 $2.00 $3.00 $3.00 $3.00 $3.50 $3.50 $4.00 Coronado $3.00 $3.00 $3.00 $3.00 $2.00 $3.00 $3.00 $3.50 $3.50 $4.00 ,. "- ~ ~ -' San Diego $3.00 $3.00 $3.00 $3.00 $3.00 $3.00 $3.00 $3.50 $3.50 $4.00 n " ::I: i'i ~ , East County $3.00 $3.00 $3.00 $3.00 $3.00 $3.00 $2.00 $3.50 $3.50 $4.00 :z ~ -t """-1 c Scripps Ranch $3.50 $3.50 $3.50 $3.50 $3.50 $3.50 $3.50 $3.00 $3.00 $4.00 Mira Mesa $3.50 $3.50 $3.50 $3.50 $3.50 $3.50 $3.50 $3.00 $3.00 $4.00 Poway $4.00 $4.00 $4.00 $4.00 $4.00 $4.00 $4.00 $4.00 $4.00 $2.00 R. Bemardo(b) $4.00 $4.00 $4.00 $4.00 $4.00 $4.00 $4.00 $4.00 $4.00 $2.00 (a) $3.00 to/from NCro via La Jolla/UTC $3.50 to/from NCTD via Rancho Bernardo/North County Fair (b) Includes Rancho Penasquitos, Carmel Mountain Ranch and Sabre Springs (c) $2.00 (peak) $1.00 (10:00 am - 3:00 pm) Fares are set by NCro and are subject to change NJMNES.'M<t ~ ATTACHMENT E BUS AND TROLLEY TRANSFER UPGRADES Fare Transff!r Fare Paid 1.00 1.50 1.75 2.00 2.25 2.50 2.75 3.00 1.00 Free .50 .75 1.00 1.25 1.50 1.75 2.00 1.50 Free Free .25 .50 .75 1.00 1.25 1.50 l.iS Free Free Free .25 .50 .75 1.00 1.25 2.00 Free Free Free Free .25 .50 .75 1.00 2.25 Free Free Free Free Free .25 .50 .75 2.50 Free Free Free Free Free Free .25 .50 2.75 Free Free Free Free Free Free Free .25 3.00 Free Free Free Free Free Free Free Free NBF:ll1 UNIFORME.NBF 4/26/93 It..~ , .74 17-4% ATTACHMENT F I North County fair Del Mar o Cannel Velley PcfNay San Diego Chula VISta t ..~ .. MTDB Imperi!!' Beach Figure 5-3 17~ 4 f --I~1'Jff eEllialinll Transit Centers OPL. · (E-.g .......... - funding, ond SlIM lex) ATTACHMENT G SUGGESTED PARATRANSIT TRANSFER SITES For passenger and driver safety and convenience, operators may suggest that transfers take place at existing transit centers, trolley stations and major shopping and medical facilities, such as: VA Medical Center Paratransit Service: Accessible Routes: City of San Diego Dial-A-Ride 3D, 34, 34A, 41, 50, ISO, 301 University Town Center Transit Center Paratransit Service: Accessible Routes: City of San Diego Dial-A-Ride 3D, 34, 34A, 41, 50, IDS, ISO, 301, 310 Fashion Vallev Transit Center Paratransit Service: Accessible Routes: City of San Diego Dial-A-Ride 6, 13, 16, 20, 25, 41, 81 Mission Vallev Center (bus StODS at Robinsons-Mav) Paratransit Service: Accessible Routes: City of San Diego Dial-A-Ride 6, 25, 81 San Dieoo State Universitv Transit Center Paratransit Service: Accessible Routes: City of San Diego Dial-A-Ride II, 13, 36, 55, 81, 115 MarketDlace at the Grove Transit Center Paratransit Service: Accessible Routes: Euclid Transit Center Paratransit Service: Accessible Routes: City of San Diego Dial-A-Ride 5, 16, 36, IDS, 816, 856 City of San Diego Dial-A-Ride 3, 4, 5, 13, 16, 55, IDS, 603, 816, and Trolley Plaza Bonita (bus StOD at FOCUS/Montaomerv Ward) Paratransit Services: Accessible Routes: City of San Diego Dial-A-Ride National City WHEELS Chula Vista HandY trans 601, 602, 603, 604, 70S, 711 -IJ,~.Td- 17- ~(j . Paratransit Service: ImDerial & 12th Transit Center Accessible Routes: City of San Diego Dial-A-Ride CDunty Transit System Senior/Disabled Services 1, 4, 11, 29, 901, 902, 903 and Trolley 24th Street Trollev Station Paratransit Service: Accessible Routes: Bavfront Trollev Station Paratransit Service: Accessible Routes: H Street Trollev Station Paratransit Service: Accessible Routes: National City WHEELS 601, 602, 604, and Trolley Chula Vista HandY trans 705, 706A, and Trolley Chula Vista HandYtrans 701, 702, 703, 704, 706, 707, 709 and Trolley Iris Avenue Trollev Station Paratransit Service: Accessible Routes: County Transit System Senior/Disabled Services 29, 901, 933, 934, and Trolley Palm Avenue Trollev Station Paratransit Service: Accessible Routes: Parkwav Plaza Paratransit Service: Accessible Routes: Grossmont Transit Center Paratransit Service: Accessible Routes: El Caion Transit Center Paratransit Service: Accessible Routes: County Transit System Senior/Disabled Services 933, 934, and Trolley County Transit System Senior/Disabled Services 115, 846, 847, 848, 858, 864, 871, 872, 888, 894 County Transit System Senior/Disabled Services 15, 81, 854, 878, 879, 888, 894, and Trolley County Transit System Senior/Disabled Services 15, 846, 847, 848, 852, 858, 864, 870, 871, 872, 873, 878, 879, 888, 894 -2- -IJ-.>/ 17.-1"1 Pomerado HosDital Paratransit Service: Accessible Routes: County Transit System Senior/Disabled Services 844, 845 Oceanside Transit Center (200 block South Tremont Street) Paratransit Service: Accessible Routes: LIFT 301, 302, 303, 305, 310, 312, 313, 314, 316, 317, 318, 320, 800 Cardiff Towne Center (Birmingham Drive and Newcastle Avenue) Paratransit Service: Accessible Routes: LIFT 301, 304, 308, 309, 310, 361 Vista Transit Center (Broadway and Santa Fe Avenue) Paratransit Service: Accessible Routes: LIFT 302, 306, 311, 318, 320, 331, 332 Plaza Camino Real (Highway 78 and Marron Road - Robinsons-May) Paratransit Service: Accessible Routes: LIFT 302, 309, 310, 311, 312, 316, 320, 321, 322, 800 Escondido Transit Center (700 block Valley Parkway) Paratransit Service: Accessible Routes: LIFT 302, 307, 308, 320, 381, 382, 384, 384X, 385, 388, 810, 878, 879 North Countv Fair Transit Center (Bear Valley Parkway, Escondido) Paratransit Service: Accessible Routes: . NBF:esw(lm)/JY UNIFORMG.NBF 6/7/94 LIFT 20, 320, 382, 384, 878, 879 -3- /~ :>';,1- /7--- 5L- ATTACHMENT H REGIONAL PASS UPGRADES T 532.92 Pass Value S49 S54 S59 S62 S67 S72 Cash Equivalent $D5 n:oo n:n S2.50 S2.75 S3.00 UDarade to Bus Cash Fare S1.00 NR NR NR NR NR NR S1.25 NR NR NR NR NR NR S1.50 NR NR NR NR NR NR S 1. 75 NR NR NR NR NR NR S2.00 SO.25 NR NR NR NR NR S2.25 SO.50 SO.25 NR NR NR NR S2.50 SO.75 SO.50 SO.25 NR NR NR S2.75 $1.00 SO.75 SO.50 SO.25 NR NR S3.00 S1.25 S1.00 SO.75 SO.50 SO.25 NR All Trolley Trips NR NR NR NR NR NR NR . None Required Notes: Upgrades to DART services are SO.50 per trip. All passes (including Senior/Disabled and Youth) have Sl.50 cash equivalent when used to board SDCTS Rural Routes. TDA 4.0 General Public Dial-A-Ride Services do not accept the Regional Pass. ADA Complementary Paratransit Services with the MTDB area of jurisdiction do not accept the Regional Pass, except as a SO.75 credit towards the transfer upgrade payment to the ADA complementary paratransit vehicle. This does not apply to NCTD. NBF:nbf:esw(lm) UNIFORHH.NBF 5/9/94 -/t:5'J / 7~S3 ATTACHMENT I REGIONAL PASS, TICKET AND TRANSFER UPGRADE USAGE (to be submitted to SANDAG) Operator: Month of 19_ 1. Total number of Adult monthly pass users carried: la. Total number by route for Express, Premium Express, and Commuter Express routes: Route No. Route No. Route No. Route No. Route No. Adult Pass Boardings Adult Pass Boardings Adult Pass Boardings Adult Pass Boardings Adult Pass Boardings 2. Total number of Senior/Disabled monthly pass users carried: 3. Total number of Youth regional monthly pass users carried: 4. Total number of $1.50 IO-Pack Tickets received: 5. Total number of $1.75 10-Pack Tickets received: 6. Total number of $2.50 10-Pack Tickets received: 7. Total number of $2.75 10-Pack Tickets received: 8. Total number of $3.00 10-Pack Tickets received: 9. Total number of Transfer Upgrades. received: · See attached page for explanation . $0.25 . $0.50 . $0.75 . $1.00 Compiled by: Name Date I hereby certify that the figures stated above for regional monthly pass, ticket usagb, and transfer upgrades are accurate. General Manager Date NBF:nbf:jy F-UPGRAD.NBF 6/7/94 JJ-~'1 , ", /7- s 1 . (Attachment to Attachment I) REVENUE ALLOCATION FOR TRANSFER UPGRADE ON FIRST VEHICLE POLICY Beginning July I, 1988, the Metropolitan Transit System (MTS) operators implemented a policy to allow passengers to pay transfer upgrade fares on the first ~ second vehicle. (Previous policy required upgrade payment on the . second vehicle only.) The new policy meant that operators previously rece1~ing upgrade fares may no longer receive them, and those not previously receiving upgrades may now collect the revenue. Due to this, area operators conducted a transfer survey in 1987 to estimate which operators would be impacted, negatively and positively, by the new policy. Based on the results of the 1987 survey, four positively impacted operators (San Diego Transit, Chula Vista Transit, National City Transit, and County Transit System) agreed to allocate revenue to San Diego Trolley, Inc., (the only negatively impacted operator). Set monthly revenue amounts were deducted from each operator's monthly pass revenue/TransNet subsidy check, and the sum of the deductions were added to Trolley's monthly check. The formulation, based on the 1987 survey, continued until June 3D, 1994. The San Diego Association of Governments (SANDAG), in cooperation with the area operators, conducted a 1994 transfer survey. Based on this work and additional information from the operators, a change in the allocation procedures will be put into effect. As of July I, 1994, the four operators of local bus services (Chula Vista Transit, National City Transit, County Transit System, and MTDB Contract Services for Routes 933/934 only) will allocate revenue to San Diego Trolley, Inc., to compensate for transfer upgrade payments based on an actual monthly accounting of transfer upgrade revenue received on their services. The operators listed will report actual amount of transfer upgrade activity on page I, line 9, of Attachment I. Monthly revenue amounts, to be calculated by SANDAG, will be deducted from each operator's monthly pass revenue/Trans Net subsidy check and the sum of the deductions will be added to San Diego Trolley, Inc.'s, monthly check. NBF:nbf:jy AT-UPGRD.NBF 6/7/94 I 7 ~ s-S ~':ff ATTACHMENT J ADULT PASS REVENUE ALLOCATION FORMULA PROCEDURE DESCRIPTION The base pass price of $49 is retained from all $49, $54 and $59 passes sold. The $62, $67, and $72 passes are not part of the formula except that three percent of the total revenue from the $62, $67, and $72 passes is retained for the region and combined with the $49 base revenue. (The three percent represents the transfer rate on the County Transit System Express routes that accept the $62, $67, and $72 passes. County Transit System Express keeps all the remaining $62, $67, and $72 pass revenue.) The base pass revenue is then allocated to each operator that accepts $49 through $59 passes based on the operator's percentage of regional pass boardings for all adult passes. Then, revenue for each $5 pass price increment from the $54 and $59 passes is allocated proportionally to those operators accepting that particular value or a higher value (up to $59) pass. PASS REVENUE ALLOCATION PROCEDURE SleD 1 la. The total number of $49 through $59 Adult passes sold * $49 + three percent of $62, $67, and $72 Adult pass revenue. $49 pass base revenue. lb. The total number of $49 through $59 pass riders on all routes operated by operator .x. + the total number of $49 through $59 pass riders on all routes operated by all operators. proportion of $49 pass base revenue allocated to operator .x.. lc. la * lb. $49 base pass revenue allocated to operator .x.. SleD 2 2a. The total number of $54 and $59 passes sold * $5 . $54 pass incremental revenue. 2b. The total number of $54 and $59 pass riders on all routes requiring $54 and $59 passes operated by operator .x. + the total number of $54 and $59 pass riders on all routes requiring $54 and $59 passes operated by all operators. proportion of $54 pass incremental revenue allocated to operator .x.. 2c. 2a * 2b . $54 pass incremental revenue allocated to operator .x.. '16"~ /7'- J-t" Steo 3 3a. The total number of SS9 passes sold * SS . SS9 pass incremental revenue. 3b. The total number of SS9 pass riders on all routes requiring SS9 passes operated by operator .x. + the total number of SS9 pass riders on all routes requiring SS9 passes operated by all operators. proportion of SS9 pass incremental revenue allocated to operator .x.. 3c. 3a * 3b . SS9 pass incremental revenue allocated to operator .x.. SteD 4 4a. The total S62, S67, and S72 pass revenue (minus the three percent included in the S49 pass base) is allocated to those County Transit System Express services that accept S62, S67, and S72 passes. NBF:nbf:esw(lm) UNIF-J93.NBF 5/9/94 : -2-~ 17, ) 7 ATTACHMENT K SENIOR/DISABLED AND YOUTH PASS REVENUE ALLOCATION FORMULA The total number of pass riders (by category) on all routes operated by operator "x," divided by the total number of pass riders (by category) on all routes operated by all operators equals the proportion of pass revenue (by category) allocated to operator "x." NBF:lm UNI FORMK. NBF 4/26/93 -/~-:rr 17 ~ ')'1 . ATTACHMENT L TEN-PACK TICKET REVENUE ALLOCATION FORMULA 1. 10-Pack ticket revenue allocation is to be calculated separately for the following ticket types: Sl.50 10-Pack tickets, SI.75 IO-Pack tickets.. 2. All revenue from ticket sales is allocated each month, regardless of the relationship between ticket sales and use. 3. Each operator's monthly ticket boardings for a particular month are calculated by averaging the current month's and past two months' boarding counts. (Thus, the ticket boarding counts are a revolving average.) SANDAG will calculate the average monthly boarding counts. 4. Each operator's monthly percent share of ticket revenue is determined as follows: o Average monthly ticket boardings for operator .x. + total average monthly ticket boardings for all operators combined. 5. Ticket revenue allocated to each operator is determined as follows: o Percent share of monthly ticket revenue (from Step 3) for operator .x. multiplied by the total ticket sales revenue for that month. . S2.50, S2.75 and S3.00 10-Pack ticket revenue (minus three percent retained for the region) is allocated to San Diego County Transit System Express services that accept the S2.50, S2.75 and $3.00 10-Pack tickets. NBF:nbf:esw(lm) UNIF-L95.NBF 5/9/94 * .-/t"f9 / 7 ~ J"( f 5. 6. 7. 8. ATTACHMENT M TRANSNET PASS SUBSIDY ALLOCATION PROCEDURE OBJECTIVE To allocate TransNet pass subsidies in a manner that ensures each operator receives pass revenue (sales and subsidies) in an amount equal to pass sales revenue received prior to TransNet. STEPS 1. Determine individual operator percent of countywide boardings (from operator counts). Allocate pass sales revenue based on Step 1. Total MTDB area operator percent share to determine MTDB area share of countywide boardings (NCTO share. remaining). Determine pass sales attributable to MTDB/NCTO boardings. (HTDB percent x number of countywide passes sold; NCTO percent x number of countywide passes sold) Multiply MTDB passes sold x $12.25 (senior/disabled) or $24.50 (youth) subsidy/pass. MTDB area TransNet subsidy pool (see below*). (NCTO TransNet subsidy pool . NCTO passes x $ determined by NCTO) Recalculate individual operator percent share of boardings for MTDB area only. Apply operator shares to MTDB TransNet subsidy pool . individual operator TransNet subsidy. Steps 2 + 6 . total operator pass revenue. 2. 3. 4. * Base price for senior/disabled is 50 percent of $49 pass. Therefore, TransNet sUbsidy/pass is: $24.50 - $12.25 pass revenue. $12.25 subsidy/pass. Base price for youth is 100 percent of $49 pass. Therefore, TransNet sUbsidy/pass is: $49.00 - $24.50 pass revenue. $24.50 sUbsidy/pass. * NBF:nbf:esw(lm) UNIF-M95.NBF 5/9/94 ~1&,-,t tP /7- ~ a COUNCIL AGENDA STATEMENT . .-/fIt Item -r7 Medina Date '.'~f;{~" "C/a/&t'i ITEM TITLE: Resolution. J 7frt, Approving amendment to.agreement between the San Diego Transit Corporation (SDTC) and City of Chula Vista for unified telephone information system SUBMITI'ED BY: Director of Public Works r REVIEWED BY: City Manage~ b _ (4/Sths Vote: Yes_No..xJ On July 19, 1980, the South Coast Organization Operating Transit (SCOOT) entered into an agreement with San Diego Transit Corporation (SDTC) for regional transit telephone information service. This service provides Chula Vista Transit (CVT) riders with information on CVT schedules and routes and on all other fIXed route transit systems in San Diego County. When SCOOT was dissolved on July I, 1993, the agreement for this telephone information service was changed in FY 1993-94 to be between the City of Chula Vista and SDTC. This amendment for FY 1994-95 continues CVT's participation in this regional service at a cost of $21,541, a 5.6% decrease from the FY 1993-94 cost of $22,766. RECOMMENDATION: That Council adopt resolution approving amendment to agreement between San Diego Transit Corporation and City of Chula Vista for unified telephone information system for FY 1994-95. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: The following transit operators participate in the regional telephone system operated by SDTC: San Diego Trolley, North County Transit District, SDTC, County Transit Suburban, CVT, and National City Transit. Chula Vistans receive transit information on all systems operating in the County. The service is available seven days a week between the hours of approximately 5:30 a.m. and 11:00 p.m. Under the FY 1994-95 agreement, SDTC estimates that the City's share of total system-wide calls of 1,850,000 will be 45,000, or 2.44% of total calls, about the same as in FY 1993-94. The average cost per call is about 48e ($21,541 + 45,000 calls). A total estimated SDTC information system cost for next fiscal year is $882,841, a 5.6% decrease from FY 1993-94. During FY 1993-94, SDTC installed a new computerized telephone information trip planning system. The cost decrease estimated in FY 1994-95 is due partially to cost savinas resulting from the new computerized information system. nSCAL IMPACT: The City of Chula Vista's prorated share of the FY 1994-95 total regional telephone information system cost is estimated at $21,541 (2.44% x $882,841). The cost of this service is included in the FY 1994-95 Transit Division budget account 402-4020-5211 (Advertising) which is funded by Transportation Development Act (TDA) Article 4.0 funds. ~_o7f(. J<t~ ~ ~\f~~ ~~VU.J ~ l~.~.,.Q;::Q,-;)..A. WMG:DS-03S WPC M:~~~." ~ ri-I RESOLUTION NO. 17.5'8'(, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AMENDMENT TO AGREEMENT BETWEEN THE SAN DIEGO TRANSIT CORPORATION (SDTC) AND CITY OF CHULA VISTA FOR UNIFIED TELEPHONE INFORMATION SYSTEM WHEREAS, on July 19, 1980, the South Coast Organization Oper~ting Transit (SCOOT) entered into an agreement with San Diego Transit Corporation (SDTC) for regional transit telephone information service; and WHEREAS, this service provides Chula vista Transit (CVT) riders with information on CVT. schedules and routes and on all other fixed route transit systems in San Diego County; and , ' / ' WHEREAS, when SCOQt was/dissolved on July 1, 1993, the agreement for this telephon, infotmation service was changed in FY 1993-94 to be between the eity 01 Chula Vista and SDTC; and J WHEREAS, this mendm~t for FY 1994-95 continues CVT's participation in this re ional rvice at a cost of $21,541, a 5.6' decrease from the FY 19 3-94 c st of $22,766. , .. .: '. " , J . ",.'. , NOW, THEREF RE, BE :JT RESOLVED th /Ci~y Council of the City of Chula Vista es here~y approve an en~ent to agreement between the San Dieg Transit/corporation DTC)/and City of Chula Vista for unified t ephone i formation s stem,fa copy of which is on file in the offi e of the ity Clerk Doc~ent No. (to be completed by the C, ty Clerk n the fin docwyent) . /") BE IT iURTHER RE ,OLVED tha.f the yor Of~/ city of Chula Vista is hereby autHorized ~d dire ted to e e u~ said Amendment for and on behalflof the ~ity of. Vis. f i /r' ved at, to olm ! j j ./ I l ;' B!:l,Uce ,M. Booga rd, At~orrtey '. . j John P. Lipp tt, Director of Public Work Presented by C:\ro\IDTC.tel 17-..... fi-~ ..~an Diego Transit . ". . . ". -:, <.i1Jih . . ..~~n Operato"n Ihe Metropohtan liansit System . . .... . . - 100 16th Street P.O. Box 2511 San Diego, CA 82112 (619) 238-0100 FAX (619) 896-8159 June 7, 1994 Mr. Bill Gustafson City of Chula Vista 707 F Street Chula Vista, California 91910 Dear Bill: Enclosed are two copies of the Ninth Amendment to the Telephone Information Agreement for the period July I, 1994 through June 30, 1995. When this agreement has been fully executed, please return one copy for our file. These costs are based upon SDTC's proposed FY95 budget. Telephone Information costs have decreased 5.38 percent from last year. This decrease reflects the budget constraints employed in the next fiscal year. This is the last year of the agreement to use the July 1989 through February 1992 percent allocation. For Fiscal Year 1996, a new percentage will be determined based on the actual usage over a three year period commencing March 1992 through February 1995. If you have any questions regarding this agreement, please contact me at 238-0100 ext. 451. Sincerely, ~ Roger A. Pere~ Manager-Acctg. and Payroll RAP/dd Enclosures (2) -/7 :J )9-3 AGREEMENT BETWEEN 'rHE SAN DIEGO "l'RANSIT CORPORATION AND CITY OF CHULA VISTA FOR UNIFIEO TELEPHONE INFORMATION SYSTEM AMENDMENT '1'0 THE AGREEMENT In accordancQ with Sections 7 A and 8 of the above mentioned agreement, the following changes in the agreement as of July 1, 1993, are hereby agreed upon: RECITALS WHEREAS, City operates Chula Vista Tran- sit (CVT), a fixed-route bus system; and WHEREAS, SOTC has jointly in the past maintained a Transportation Information System providing information to telephone callers about CVT operations and relating to fare, route and other operational information; and WHEREAS, such a relationship has benefited both SOTC and City in terms of effectiveness and efficiency; and WHEREAS"SOTC and City desire to continue this relationship. NOW, 'rHEREFORE, in consideration of the recitals and the mutual obligation of the parties set forth herein, SOTC and City agree as follows: SECTION 2. OBLIGATIONS OF CITY Delete Paragraphs A and B and replace as follows: A. City agrees to pay to SOTC the sum of twenty-one thousand, five hundred forty-one dollars ($21,541) in return for the use of its Telephone Information System (TIS) to disseminate rider information by telephone during FY95. The calculation of the $21,541 is shown on Exhibit A attached to this agreement. This calculation is based upon the numbe~ of calls received for each agency from July 1989 to February 1992. This will be the base percentage through FY 95. B. Payment for this sum shall be made on a monthly basis no later than .ten (10) days after receipt of invoice from SOTC. Payment for each month shall be the amount of one thousand, seven hundred ninety-five dollars and eight cents ($1,795.08). 17- i 1fT-if , Amendment to Agreement Between SDTC and City of Chula Vista page 2 SECTION 7. TERM OF AGR!EMENT AND TERMI~ATION Delete Paragraph A and 'replace as follows: This agreement shall be effective from July 1, 1994 throughJU'fle 30.. 1995. All other provisions of this agreement remain in force. SAN DIEGO TRANSIT CORPORATION CI'l'Y OF CHULA VISTA BY ~4 Ronald H. Ya ACTING PRES BY & GEN. MGR. MAYOR DATE ~/'/IV { , DATE ATTEST: ( RK EY Attachment: Exhibit A - J] Y' , -- f'i- 5 EXHIBIT A SAN DIEGO TRANSIT CORPORATION FISCAL YEAR 1995 TELEPHONE CONTRACTS - PROPOSED FY95 FY95 FY94 FY94 --L COST , COST CHULA VISTA 2.44\ $21,541 2.44\ $22,766 COUNTY 5.60% 49,439 5.60% 52,251 MTDB ROUTE 932 0.85% 7,504 0.85% 7,931 ROUTES 933, 934 0.59% 5,209 0.59% 5,505 STRAND 1.32% 11,654 1. 32% 12,316 NATIONAL CITY 1. 45% 12,801 1. 45% 13,529 NORTH COUNTY 17.03% 150,348 17.03% 158,899 SDTC . 61.67% 544,448 61.67% 575,413 TROLLEY 9.05% 79.897 9.05% 84.441 TOTAL 100.00% $882,841 100.00% $933,051 ------- ==--=--- ____m_. ------.- I '-6- I~_(, COUNCIL AGENDA STATEMENT Item~ Meeting Date 8/2/94 ITEM TITLE: Resolution I 7lo 00 Ordering certain open space and maintenance facilities to be maintained, approving modification to the Engineer's Report and levying the assessments for Fiscal Year 1994-95 for Eastlake Maintenance District No. I - Zone D SUBMITTED BY: Director of Public Works f}1'l/' Director of Parks and ~r~~~ation REVIEWED BY: City Manage~ ~~\\ (4/5ths Vote: Yes_NoX) U /'/ At the Council meeting of June 14, 1994, Council directed staff to meet with the property owners of Salt Creek I to discuss the open space (Eastlake Maintenance District No. I - Zone D) budget and proposed assessments for FY 1994/95 before Council would consider levying the annual assessment. This item considers the issues raised at the meetings. RECOMMENDATION: Adopt the resolution to approve modification to the Engineer's Report and levy assessments for FY 1994-95. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: Background At the June 14 public hearing, Council took testimony, closed the hearing, and directed staff to meet with the property owners of Salt Creek I. Staff met with the property owners and the developer on June 22 and June 29 to provide information, find out issues and identify options. This report presents the issues and considers the options identified at those meetings. Salt Creek 1, located easterly of Eastlake Hills and Shores, is within Eastlake Maintenance District No. I (ELMDI). The development is presently assessed for those improvements within ELMDI (Zone A) such as East H Street and Otay lakes Road medians. In FY 94-95, the assessments for ELMDI - Zone A approved on June 21, 1994 will pay for additional improvements such as the "SRI25" corridor (including ramps), additional medians on East H Street and Otay Lakes Road. Tonight's action is to consider the proposed assessment for FY 94-95 for ELMDI - Zone D. established in 1991. In the following report are discussions of the Zone D improvements, budget, property owner concerns, ideas to lower their costs, and staff's recommendation. Imorovements Zone D's improvements consist of landscaped parkways adjacent to the development; large landscaped slopes south of and adjacent to East H Street continuing southerly along the "SRI25" corridor; preservation areas for the Otay tar plant and for coastal sage; landscaping \9 - \ Page 2, Item \ q Meeting Date 8/2194 within the SDG&E easement and landscaping on manufactured slopes surrounding one of the SDG&E towers within their easement. As a condition of development, these areas were placed in ELMDI - Zone D to provide for perpetual maintenance. Table I quantifies those areas by type of maintenance. TABLE I Description Streets cape, parkway Erosion control planting, Erosion control slopes Non-irrigated hydroseed, non-irrigated slopes Coastal sage preservation zone, non-irrigated slopes Otay tar plant preservation zone, non-irrigated slopes TOTAL (1) Acreages reviewed and corrected 7/5/94 from 26.08 acres to 19.79 acres. provided by the developer which was too high. Acres 2.23 10.59 1.11 5.18 .68 19.79(1) Acreage of 26.08 acres was Budget Staff proposes reducing the original budget by $15,820 in response to property owner concerns and by $40,300 due to a correction in the total amount of irrigated acres. The original budget incorrectly included acreage that is not within Zone D. The corresponding assessment went from $355 to $259 per EDU for Zone D, for a single family home. Table 2 indicates the original budget before adjusting the acreage and the revised budget. In addition, Table 2 breaks down the cost per equivalent dwelling unit (EDU) by product type. TABLE 2 Cost/EDU bv Product Tvve Zone D - Salt Creek Original Revised Estancia Chapala Cabo (SFD) (Townhomes) (Condos) Account Title Budget Budget I EDU 0.8 EDU(2) 0.6 EDU Utilities $45,230 $32,310 $76 $61 $46 Trash collection & disposal 2,800 0 0 0 0 Servo to maintain buildings, 720 260 I I I structures & grounds Other contractual services 91,440 64,160 152 121 91 Landscape supplies 2,550 0 0 0 0 Materials to maintain buildings, 5,300 2,650 6 5 4 structures & grouuds Subtotal $148,040 99,380 235 188 141 City staff services 17,440 9,980 24 19 14 GRAND TOTAL $165,480 $109,360 $259 $207 $155 Units 166 216 141 EDU'S(l) 423.4 166.0 172.8 84.6 (I) Due to a correction in the spread to be consistent with the spread approved at the time Zone E was established, the total EDO's went from 466.6 to 423.4 after the notification process. This results in the costlEDU increasing which is more than offset by budget reductions and the acreage correction yielding a proposed assessment of $259/year. (2) Originally proposed in June at I EDU which was incorrect. \q-~ Page 3, Item~ Meeting Date 8/2194 Prooertv Owners Meetings Approximately 30 property owners attended each meeting along with a representative of the Baldwin Company, Rob Cameron. At the second meeting, Baldwin's landscape architect attended to provide additional information and the City's QWL coordinator volunteered her time to facilitate the meeting. The QWL coordinator provided the residents a neutral mediator which was appreciated by the residents. The first meeting was spent eXplaining the process, district, budget and assessment. The second meeting provided the property owners the opportunity to formalize their issues and "brainstorm" options to reduce costs and improve the process. Staff indicated that all issues and options would be brought forward to Council with the major items presented below. (For a complete discussion of all the issues and options, please refer to the Attachment A.) Issues and Ootions Major issues and options which were brought forward or discussed are as follows: A) Budget Issues: 1. Why should a neighborhood pay to maintain City land? 2. Who should pay for maintenance of "SR 125" slopes and corridor, biological preserve areas, and SDG&E areas near towers? 3. What is appropriate budget amount for Irrigation and contractural services? 4. What is appropriate budget amount for trash collection and disposal and for materials and should these be paid from reserves? Options: I. Let City pay for City open space not the residents 2. Let SDG&E pay for land within their easement 3. Let Caltrans pay for slopes (zone D) and "SR 125" corridor (zone A) or negotiate with Caltrans to accept maintenance of the slopes in future and reimburse the homeowners after takeover. 4. Let Baldwin pay for maintenance in perpetuity 5. City work for $0 6. Homeowner input on condition of landscaping prior to turnover 7. What is the cost if Estancia, Chap ala and Cabo were considered as separate zones? 8. What is the cost if a homeowners' association (HOA) performed the maintenance? 9. Let the single family attached homes pay for their adjacent slopes through their existing HOA's. 10. Could landscaping changes reduce the maintenance costs? 11. Contract specifications should be revised to reflect a reduction in the level of service in order to minimize cost 12. Let everything naturalize/die \q - 3 Page 4, Item \ '1 Meeting Date 8/2/94 Staff recommended chanl!es based on discussions at public meetinl!s. Staff has reviewed the concerns and options presented by the homeowners and have made the following revisions in response to their concerns: 1. Reduce staff costs ($7/EDU) This is done by reallocating Public Works staff cost between the zones in a more equitable manner. 2. Delete contingent-type maintenance such as supplemental fire clearance ($29/EDU) Staff agrees that these costs are less likely to occur, and if they do, we could use the reserves to pay the costs. 3. Make budget/spread corrections ($60/EDU) 4. Form an HOA if the property owners so choose and indemnify the City against a majority protest. This would give the owners more control over contract specifications, landscaping changes, the spread of costs, etc. 5. Work with homeowners prior to accepting the open space for maintenance. Baldwin supports this option. 6. Negotiate with Caltrans in the future, if applicable, to accept the slopes adjacent to the "SR 125" corridor for maintenance and to reimburse the property owners for maintenance performed prior to acceptance. This won't be known for a few years. 7. Re-analyze irrigation needs in 3 - 5 years which could provide a cost reduction of $24,000 or $55/EDU in the future. Maior areas of disal!reement between staff and the residents. Staff realizes that there are still differences with the residents. The differences primarily relate to cost issues and the policy of requiring residents to pay for open space maintenance. Over the past 20+ years the City has established open space districts which include nearly 10,000 parcels. The majority of the districts are east of 1-805 where there is a significant increase in open space from properties west of 1-805. The open space concept was adopted by the City to provide less congested, lower density neighborhoods for the people residing in the area. In order to obtain the benefits, the areas have to be maintained to preserve the appearance, if irrigated, and to provide brushing, if natural, to reduce the fire hazard. These are all items which enhance the neighborhood's privacy, beauty, and property values making it a desireable place to live. The cost of maintaining the open space areas have been the responsibility of the benefiting residents in each area as the open space districts were formed prior to occupancy of the units. The residents of Salt Creek I are opposed to paying for the maintenance of the areas adjacent to their development and disagree with the level of maintenance as well as other details of the administration of the contracts for the maintenance. Past policy is that all the residents within the subdivision pay for the cost of maintaining common open space facilities. The slopes along the major streets, and above SR 125 were created by the subdivision and provide a separation between the road facilities. The slopes provide a benefit to the neighborhood by separating the homes from the road. The SDG&E easement also had slopes constructed by the subdivision in order to create the lots. The undisturbed portion of the easement has a very low cost factor. \q-&.t Page 5, Item19- Meeting Date 8/2/94 There was concern about costs of irrigation, city staff, trash removal etc. Staff has had over 20+ years of experience in developing budgets for these districts. Granted, we don't have actual bids for the maintenance contractor, but staff estimates are believed reasonable. All the points listed earlier in the report as well as other issues and options raised at the neighborhood meetings are discussed in detail in Exhibit "A". (attached). Recommendation Staff recommends the assessment schedule for Zone D for FY 94-95 be as shown in Table 3. Zone A TABLE 3 Zone D TOTAL Monthlv Pavment I EDU $9.32 $258.30 $267.62 $23 0.8 EDU 7.46 206.64 214.10 18 0.6 EDU 5.60 154.98 160.58 14 The proposed revised assessment /EDU has been lowered from $355 to $259 per year. This is much closer to the mean assessment ($235 per year) charged to the other 10,000 parcels in the eastern area. The report before Council includes the above staff recommendations and the assessments in Table 3 reflect the reductions of $7/EDU, $29/EDU and $60/EDU. FISCAL IMPACT: The proposed assessment would cost the residents $109,360 ($259/EDU) to provide revenue for maintenance of Zone D's open space and the reserve (50%) for Fiscal Year 1994/95. If Council chooses to implement other options outlined in this report, the impact to the City could be as high as $2 million annually. Attachments: A - Issues and Options B - Open Space Diagrams ~ C - Budget Worksheets D - Meeting attendance ~C wpe M,lhom,I'D8inoe'\'8,nda\wn,d ~~ E - Property owner correspondence ~ F - Baldwin's disclosure forms (reduced copies) G - Council approved disclosure form ~(j ~O~ 072994 \Q-'5/,q-J, RESOLUTION NO. J 7"~o RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ORDERING CERTAIN OPEN SPACE AND MAINTENANCE FACILITIES TO BE MAINTAINED, APPROVING MODIFICATION TO THE ENGINEER'S REPORT AND LEVYING THE ASSESSMENTS FOR FISCAL YEAR 1994-95 FOR EASTLAKE MAINTENANCE DISTRICT NO. 1 - ZONE D WHEREAS, at the Council meeting of June 14, 1994, Council directed staff to meet with the property owners of Salt Creek I to discuss the open space (Eastlake Maintenance District No. 1 - Zone D) budget and proposed assessments for FY 1994/95 before Council would consider levying the annual assessment for Zone D; and WHEREAS, Zone D's improvements consist of landscaped parkways adjacent to the development, large landscaped slopes south and adjacent to East H Street continuing southerly along the "SR125" corridor, preservation areas for the Otay tar plant and for coastal sage, landscaping within the SDG&E easement and landscaping on manufactured slopes surrounding one of the SDG&E towers within their easement; and WHEREAS, prior to the adoption of this resolution, the city Council has caused the formation of various districts under and pursuant to either the Chula vista Open Space District Procedural Ordinance ("Procedural Ordinance"), as contained in Chapter 17.07 (adopting in substantial part the 1972 Lighting and Landscaping Act ("Act") as contained in Streets and Highways Code section 22500, et seq., or pursuant to the Act itself designated as follows: Eastlake Maintenance District No. 1 WHEREAS, in accordance with the Procedural Ordinance, the city Engineer has prepared a report on the spread of assessments for said Open Space and Maintenance District ("Engineer'S Report"); and WHEREAS, on April 19, 1994, the City Council approved the Engineer's Reports and set June 7 and 14, 1994 as the dates for the public hearings; and WHEREAS, on August 2, 1994, the City modifications to the Engineer's Report Maintenance District No. 1 Zone D; and Council approved the affecting EastLake WHEREAS, staff recommends that the assessment schedule for Zone D for FY 1994-95 be as shown below: /'1 - '7 Zone A Zone D TOTAL Monthly Payment 1 EDU $9.32 $258.30 $267.62 $23 0.8 EDU 7.46 206.64 214.10 18 0.6 EDU 5.60 154.98 160.58 14 WHEREAS, the proposed assessment reflects a reduction in staff costs of $17/EDU and deletion of contingent-type maintenance estimated at $5,350, or $13/EDU. NOW, THEREFORE, BE IT RESOLVED as to Eastlake Maintenance District No. I, that the City Council of the City of Chula vista does hereby find that written protests against the proposed assessment increase have not been made by owners representing more than one-half of the area of the land to be assessed from the improvement and confirms the diagram and assessment contained in the Engineer's Report, and orders the open space and maintenance facilities to be maintained. The adoption of this resolution shall constitute the levy of the assessments as propose in the Engineer's Report for the 1994-95 fiscal rand t forth hereinabove for Eastlake Maintenance Distri t o. 1 - ZeD. Presented by John P. Lippitt, Director of Public Works C:\rs\zoneD.ass Iq-<6 AUG 02 '94 10:58 BALDWIN CO. 619 259 824280088888 f+efYI I, P.l /- "~"i'i-:.-:"..'....;~'~ ..t-.... '\.'~\ ;",,:::;->7_ '-";'i>" ':-0" -=-,1;,' ?tLl~ The Baldwin Company Craflsmanship in building since /9$6 -- f,." '-'- ....-- ~_1- --'1 r:-:~<? ~..._ I r~;, __ LO: (~- A". , . - --> 7. -.;,.,. 'I 1 ,.., .... --- I ~uiust 2, 1994 ;':~~~~' ~I.. _,~ :~ (~".' -'-. Honorable Mayor Nader Members of the Chula Vista City Council CiTV OF CHULA VISTA 276 Fourth Avenue Chula Vista, California 91910 Honorable Mayor and Members of the City Council: I want to apologize, as I will be unable to attend the City Council hearing this evening regarding the Salt Creek Landscape Maintenance District. 1 have worked closely with the homeowners and City staff over the last month and a half to address the homeowners issues, and fully intended to appear at your hearing. Unfortunately, the date of the hearing was rescheduled three times and ended up being scheduled durini the one week in which I had indicated that I had a long-scheduled vacation. As Kim Kilkenny is also on vacation, and both Fred Arbuckle and Greg Smith are no longer with the Baldwin Company, we do not have any company representative sufficiently familiar with the Salt Creek community who will be able to appear. With this in mind, I communicated with several ofthc principal spokes persons for thc homeowners over the last couple of days. Bused on the work thut we have done to date on this issue, they indicated that they did not have any objection to our being unable to appear. In several cases they indicated that they had no objections to thc Staff's current recommendations. In other cases. they indicated that they had objections, but that these objections did not involve issues that could be addressed by the Baldwin Company- For the record, Iwill reiterate that the Baldwin Company supports the Staffs recommendation. The Baldwin Company opposes deletion of the State Route 125 slope, , or any other areas, from the Landscape Maintenance District. Statl'deserves credit for ._ _ reducing the annual assessment that will be charged to Salt Creek owners from the previously estimated $355 to the currently recommended $259 per EDU. As I discussed in earlier correspondence to you on this issue, the original disclosure forms signed by the homeowners estimated that the LMD annual assessment would bc $426 per year. Staff's recommendation is a considerable savings. Poat-ltN brand fax transmittal memo 767'1 To ....m Fax' //~~. 1 Diego. CA 92130 . (619) 2S9-2900 Honorable Mayor Nader Members of the Chula Vista City Council CITY OF CHULA VISTA August 2, 1994 Page 2 Obviously, if any issues arise that need to be addressed by the Baldwin Company or if you have any further questions, I will be available next week when I return. Again, I apologize for being unable to appear. Sincerely, THE BALDWIN COMPANY ~=~. (101M=t?p'1 r@c Vice President Iq- 1-0 ~/J Chula Vista City Council 276 Fourth ave Chula Vista, CA.91010 The HonOIllble Tim Nader A1lerattcndingseveralcommuru''''m'etm' g-m' thc-"'l' ,q"_.\-~,,, .0"".0', ";. H .1,. '-'" r," 00' . ") I.. ~'1. .,.,.1J. ..l,,~. UJj... '.<J.l '-~'.1 ..c'..J-.... '- ........-... _.~ -r ~.. "'1"--- .-- assessmt:nt for Zone D ofEastlakc: MainteJlliil~~ llimCl ~~v. 1. I vLli:1.i..il.c~ II ",u~i vf ~I~ .i....\~c;J ~w~i' recommendations to Council on this issue as made aVallaole on Juiy l~th 1 YY4. Alter readm!, this report. 1 have grave concerns a-', to inconsistant statements Hno missing inrnrrnfttirm v..,;fh n'g:1rrl,-: to f(ide.: ~Te,pnfE'rl H1 Hw meetings which are not reflected in this revised report. Item 1: The revised report states that the heanng on the assessment lor L.One U was closed Alter re'.1ewUl!' Ule video of the last Council meeting where thi" matter W(l~ presenkrt M<.; n~r...t Vlnnly ,,!,p('ifir(111v :~"h.rllh:11 h":~";T1: on th!!; matter would not be closed. She \-vas Assur,;d by C,'illl.:i1 t~:::: .t:. m:::":: :.... :1 r..::~.;:i:j.:~ ',,' ,~(',::.: [' \~'.J~d remain open. Item 2: On page 4 of the revic;erl r~cnmmenri~h()Tl h:v ~tlilT thr' rPTlPrl ",j;~lf'" "'nit' "lorl''' (lhm',.' SR 1? C; \\<-'1" crf:alr>d by the subdivision and provide a benefit to the nc1g'hb,:-rhood b) ~;;:f';;:::'~::e ~~:: hCr71:: f,:i~\ .~.: ;-:':':--! I spoke to City t:ngine~r DOIUla Snydt:r at each ufthc lneellng:::. JCgi1.iili.tlj.::, ih,"- 1."l)JU....Dl.'> Ul UI~ H~;:,idCjl[."" Uf~~.vIIC iJ who feel that the SRl25 comdor slopes should not be mcluded Ul Lone Ulor me lolio"1ng reasons: a) Both Ms.Snyder and the Cal Tr;lIlS project ;,apcn~:',)l ["1 :::r..l ~.~ :;t<t::'.~ Ul:;.t ~.': .-~:'~'. ~ JJ'XI.:- C __ ,-:, 1 :-~ corridor were made larger and Sleeper to dl.A.:OnUlIOddlc UlI;; pwpu~t:;J i\Jdllt'\'uY. In dJ..iiliun, SIUPCI') j~}l un .LiIU uf! ramps were created and graded that were in no way reqlUred bv the houslng development Tlus addJMnal and premature grading was done for a rou1e which hft~ n0t y~1 ht'ffi appnwen hy C:;,ltr;.jn" ~ml mHY 1" fh-t he illp~~:11 according to Senator Steve Peace. This grading cJused:1 brg,;, :m~ :'P~"'crl.';!':-::: crC':::~C'r:. i..c'!1tJl pr(;b1c;;:, b.t SJ':"::=- ~:: city future expense aI}d created a cost effective \'vet)' for BdlJ."'1H Lv io:;Ul:-.i.i;f..,Ulc ""vti ",,1u\..-;. w'uulJ v~ICrV\i;:'1;; lt~C;U i.ll be hauled away. b) The Residence of Zone D de n0t bencEt from th-.: SR! 25 ~Orrid'::T c.j t}, _ 1~j'2;~ .<.: ~ .~,11 ~ :'JC :~:;'.:: ~J.2.:' :":'-~' other Chula Vista taxpayer driving on any lughway adjd.L;cHtlu uw l,;iLY. ~H ld.l'l, ~rdl5 ita.:) f..,C[;H ~~I..al'uI;;U ~ d "trucking route''from the Mexrcan border.This will only cause nOISe pOliunon ana decrease our property value II SR125 becomes a ton road, rf"sinents ofSH1tcre~k willl-lP -in Ih,~ I1n;rrll' ~\")<-:lt;nTl nf!,:--l:rin~J for th"llr h''-'l' of roadway slop~s, th..:n paying t,J us;,; L."-l':: road to driy.::. to \'--:::~~~ c) It may be argued that since on and oll'ramps have aireadv oeen l'fOdea at lhe clJJerT10n ot the C11\'. me:"K 12) corridor is no longer open sp€lce lTl Iht' pllH.<-:.' oefinitinn hill a rO:-tdv,i:-tv which 1" ;tlP;'Ir1:1 in !'re1imin;-lf"~! cpn...ll-qch;m stages. The citizens present at the mee1Jn!'S were told several1m1es by staft that this mlorrnanon woula Oe mcluded m a report to counsel. I sincerely hope th('lt the issue ofr~TTw"ing the high mHlnteniincf: sll11'1"" pfS? l?<<\ from 7.oTH;' n was left out the report as an oversight, and not as on effort tc !:'ep this issue "!L.,~'r the :orpc~ " One last concern that appears to be a ongoing problem. The people m lone 1J cannol have a clear malonty of landowners represented while the developer (Baldwin) owns Ihe m.jo,.;ty oftl", 1.T1,I Th,> rih, :1T1n R.I,lwiT1 hnth benefit from the creation of the SRI25 corridor and ramps>whil~ the t:JxPF'" "ti" t'l: CU]]e'''. Thece "proOf' :c be alot of "backscratching" going on between the City ufChuIa 'list.. and Bolclwin atilte ""~"n.e oril,e ",u"n; whu hve in the city and support it's growth. This IS not only unethicai but may also be illegal ) 9 -II Re;:,pt;~lhlii:v, (}~J~ i&- &:2 b ~ ~uP/1J ~.; tlf IL (! If i/f/L v;,!; k! JA QI9'1 'I ff~ /9 Attachment A Issues & Options A) Budget Issues: 1. Why should a neighborhood pay to maintain City land? The open space to be maintained by Zone D was a condition of development of Salt Creek I and is an integral part of the development'S tentative map approval, density, landscaping plan, etc. The ,pm ,,"," """ "'" ,,,mud" "" GUy in f" "'~ " _~ ," GUy " fiN"'" "" """""",,,,' 0[ these areas via the Landscaping and Lighting Act. If the City had not accepted these areas as open 'P"" """ ..- -'" "'" "m ,....''''" ,,-' ..""" -" ~"....'" Either way, the residents would haVe been responsible for paying for the maintenance. This is the standard in most of eastern Chula Vista when development has common open space areas. 2. Who should pay for maintenance of "SR 125" slopes and corridor, biological preserve areas, and SDG&E areas near towers? "" 'SR 125' ""miD' "'" _ ..- '" " " "","","'" " "" EJMD1 "'" """" -'" ~I 0[ ""Wd "'" ",,,,,,,. 1. "'" "'" ""'""" in "" ,ri,"", ",,,,,,'''''''''' f" EJMD1. ,,' Creek I (Zone D) is responsiblefor maintaining the slopes adjacent to "SR 125". These slopes abut the Salt Creek 1 development and were the result of the grading for Salt Creek 1. The landscaping on these slopes provide erosion control and extend the Salt Creek 1 landscaping concept around the perimeter of the development. As a condition of development, the biological preserve areas were dedicated as open space to ensure ,/wi _iDp- did ,m "", in ...., """- ,-" ,,,.,. "" """"",,,,' """",,,, _ ...., "", "",,", primnri. 0[ fi" ",""""" "'" ""_'" ""," _. "" SDGtJi ",-" '''~ "" '" '"' ","",,'" " " -iop<d '" - ,"""" " ~, ," development of Salt Creek I. Landscaping was provided to protect these denuded areas. The development of Salt Creek I, approved by council, was allowed with the condition that these areas which require maintenance as a direct result of the development be maintained by the open space fi""''''' """",,,... "" P"I"'" _n do '"' "'" .... ,"" ..- - - """",. the slopes resulting from the grading of the subdivision and the "SR 125" corridor. Using special assessments to pay for maintenance of these open space areas, dedicated as a condition of the Salt Creek 1 development, charges the owners most benefitting from the improvements. AI ,od< _ ~ "" ",,,,-0[.- " """", " C41<""" "" """,,"""" '"" ~ '" "",', ,,""~"""" ""oil _ ,,_ '"' """", '" "',,'" ,_. "" ",,,,.0[.- "P"''''. maintained by Zone A and includes Salt Creek I, and Eastloke I. The adjacent slopes are to be maintained by Eastloke I's Homeowners Association and Salt Creek I, respectively. 3. What is appropriate budget amount for water, electricity, baekBow preventer certifications, and contractual services? The residents are concerned that the irrigation requireme1lts are unreasonably high which also affects '" ,,,,,," _ _,. Sloff "'" _ '" -" ,..- - '" -- .......'" ,"" -1- ~ /t-l7.- l designed the project and the amount of irrigation budgeted on a per acre basis is consistent with the landscape architect's recommendation. The amount budgeted is based on historical data compiled by the City's open space coordinator. As an additional check, Baldwin will be providing staff their current costs for irrigation. Baldwin's costs are expected to be higher because irrigation needs are greater during the first year of establishment of the landscaping. The backflow preventer certifications were originally budgeted at $40 each based on historical data. Subsequent to budget preparation, bids were received which were approximately half that estimate. The proposed budget has been revised to reflect this new infomJation. The residents are concerned that the budget for contractual services, estimated at $64,160, is unreasonably high. The budget is based on historical data consistent with the other City Open Space Districts and staff is satisfied that the budget is appropriate. The budget reflects an annual maintenance contract cost of $5,750 per acrefor parkways, $4,310 per acrefor irrigated slopes and $500 per acre for native areas. 4. What is appropriate budget amount for trash collection and disposal and for materials and should these be paid from reserves? Included in the original budget were maintenance items for standard and supplemental fire clearance and debris removal associated with native vegetation. This work may need to be peiformed but the ' residents requested that they not be assessed for these items. Rilther, the residents would like these funded from the reserve if needed. The supplemental costs have been eliminated from the proposed, revised budget and if these services are needed, they will be funded by the reserves. S. What is appropriate method for allocating staff services? The property owners would like staff to consider other ways of spreading staff costs. Park and Recreation staff costs are currently spread on each zone's percent of the total district budget. Council directed staff to use this when the Eastlake Maintenance District No.1 (ELMDI) came on board because the budget W(lS very small in comparison to the number of homeowners in the district. Previously, the costs had always been spread by parcel throughout all districts. If the City had continued to spread costs by parcel, ELMDI would have been responsible for an inordinate amount of staff costs although the staff time spent on the district would not justify that cost. Public Works' staff costs have in the past been spread the same as Parks' and Recreation staff costs within the ELMDI zones. In response to one owner at the April meeting, staff reviewed the method. Since Public Works' staff time is not proportionate to the budget, but rather to each zone and each corresponding assessment type, the staff time allocation would be mare equitable if the cost is spread equally between all zones in ELMDI. This is also consistent with how Public Works' spreads their costs per district, typically $700 - $900 per district. Additionally, the amount originally budgeted was based on a consultant's cost and the work is now being peiformed by staff at a savings to ELMDI ofmare than $5,000 per year. The proposed, revised budget reflects both changes. 6. Why are Parks & Recreation p.lIffing costs so high (9% of the budget)? The staffing budget for this zone is consistent with the other districts in the City. Staff does not concur that the cost is too high. - 2 - ~ /1- /3 7. Is it appropriate to require performance bonds? PerfoT7TUlnce bonds cost the property owners approxi1TU1Jely 2 % of the landscape maintenance contract, or $2. 93/EDU annually. Staff requires perfomumce bonds based on the City Attorney's advice. The residents did not want to pay for the "insurance" but wanted instead to use the reserve if needed for contractors in default. 8. What will the condition of landscaping be when turned over to the City? The residents are concerned that the City will accept the open space areas for maintenance from the developer in a substandard condition which ultimately would cost the residents more money. The Parks and Recreation staff require the landscaping to be in satisfactory condition prior to acceptance of the open space areas for maintenance by the City. As insurance, the City requires the developer to post a bond for landscaping which is not released until the City approves the landscaping for City maintenance. B) District Organization Issues: 1. What is the cost if Estancia, Chapala and Cabo were considered as separate zones? The project was developed as a whole, not three separate areas. Grading, slopes, and density are all interrelated. Staff suppons Zone D, as is. However, staff has analyzed this option and the resulting figures are: Cabo= $8,400 ($60/unit); Chapala= $68,000 ($320/unit); and Estancia= $32,600 ($196/unit). According to the spread approved by Council in 1991, the costs should be spread as follows: Cabo= $155/unit; Chapala= $207/unit; and Estancia= $259/unit. Property owners made decisions on purchasing their homes based on the existing spread. Staff would expect Chapala residents (townhomes) to oppose this option. 2. What is the cost if a homeowners' association (HOA) performed the maintenance? For the same level of service, there is no clear evidence that there would be cost savings under HOA control. Staff believes that the costs outlined in the budget are realistic whether the work is performed by an HOA or open space district. The HOA option was investigated by OSD 24, Canyon Views, and the developer and residents indicated to staff that it would cost more if the HOA performed the maintenance. Additionally, the property owners of Salt Creek I did not indicate any strong suppon for this option. C) Landscaping Issues: 1. Could landscaping changes reduce the maintenance costs? The residents asked staff to consider the impact of replacing the landscaping on the slopes with non- irrigated native plant 1TU1Jerial. Replacing the existing landscaping would impact the appearance of the slopes and would cost approxi1Tll11ely $300,000 for the 11 acres oj irrigated open space. Ulti1Tll11ely, this would reduce the on-going maintenance cost with the break even point esti1Tll11ed at 10 years. The property owners would need to agree to pay for this change. - 3 - ~ I~- 14 In addition slopes along East H Street corridor are highly visible and provide the entrance landscaping into the Salt Creek I development. The concept was developed by Baldwin and approved by the City both for aesthetics along a view corridor and erosion control. The landscaped slopes adjacent to the "SR-125" corridor are not as visible and this is a potential area for saving money with less impact to the aesthetics. Baldwin's landscape architect believes that after 3 - 5 more years of maintenance, the plants would establish and survive with less irrigation. This is a potential area for cost reduction, estimated at $24,000 annually in the future. Although not recommended by staff, the residents would like the City to consider deleting all maintenance on these "SR 125" slopes which would save the property owners $48,000 or $110/EDU annually. Baldwin does not suppon this option. Any major change in landscaping needs to be considered by all property owners, including the developer. 2. Contract specifications should be revised to reflect a reduction in the level of service in order to m;n;m;7.e costs. Following discussions with the landscape architect who designed the project, it is the opinion of staff that the specifications of the contract are appropriate for the various plantscapes used on this project. Cost savings in the future may occur as the landscape matures by downgrading the level of maintenance required. It is the opinion of the landscape architect that the erosion control slope plantings will become substantially less labor intensive after a period of 3 to 5 years. This corresponds to the length of existing renewal periods of City contracts. When the original contract period expires, the maintenance requirements of the slope areas will be downgraded when next put out to bid. It should be noted, however, that due to the size and steepness of the slopes and the purpose of the plantings, i.e. erosion control, the designing landscape architect advises strongly against the abandonment or cessation of irrigation of the slopes at this time. Even at maturity it is recommended that the slopes be supplementally irrigated at least three times each summer. Staff is in agreement with the designer that the slopes can be gradually weaned of water over a period of 3 - 5 years but that immediate cessation of irrigation would jeopardize the survival of the existing vegetation. In summary, it is the recommendation of staff that the specifications of the contract remain intact and that the maintenance requirements of the slope areas be downgraded when the first contract period comes to term and the project is rebid in 3 -5 years time. D) MiscelIaneons Issues: 1. The development company's disclosure process needs improvement. The property owners felt that disclosure of this assessment was not successful, although Baldwin did prepare the document and state the amount in the disclosure (see Attachments F and G). Baldwin is investigating ways to improve their disclosure techniques, such as re-training sales staff, delineating cost figures by Mello-Roos, assessment districts and the maintenance districtfor showing a typical monthly instalbnent, adding the column on the disclosure form to show the open space assessment, revising the title of the disclosure to be in red, 36 point type and including a better, more complete description of the facilities to be maintained by the open space district. -4- ~ ICj -I '5 The Council-approved disclosure includes the following features: 1) Signature 2) Table of each annual installment by district 3) Title in red, 36 point type 4) Pay-off option infomu1tion The forms prepared by Baldwin generally included all required information plus more. 2. Who-is the Baldwin contact for problems? Roben Cameron, Vice President of the Baldwin Company indicated that residents may contact him regarding any Baldwin/resident issues. Options in ResDonse to Issues: The property owners requested that each of the following options, developed in response to the owners' concerns, be analyzed for Council's consideration. A) Budget 'Options 1. Let City pay for their open space not the residents Using special assessments to pay for open space maintenance charges the owners most benefitting from the improvements. Staff suppons the district as approved in 1991 because it charges the owners who benefit from the development of which density, home prices, slopes, landscaping are all interrelated. Paying for open space dedicated in conjunction with the Salt Creek I development from the General Fund instead of special assessments could set a precedent that would be very costly to the City. Residents in other existing districts may look to the City to fund their maintenance, too. The potential fiscal impact could be $2 million annually from the General Fund. 2. Let City maintain biological reserves (coastal sage and Otay tar plant) The property owners objected to maintaining these areas andfelt that there should be no maintenance of these areas anyway. The maintenance typically consists of fire clearance and debris removal. The maintenance is estimated to cost $3,192 for standard fire clearances and $6,145 for supplemental fire clearance and debris removal. Staff explained that these areas may require fire clearance and debris removal. Costs of $6,145 for supplemental work are not included in the proposed, revised budget. This is a depanure from past practice but as a compromise, staff sup pons not including a cost in the budget for these items. If needed, the work will be paid for from the reserves to provide that type of maintenance. This maintenance is not necessarily needed annually. 3. Let SDG&E pay for land within their easement The landscaped slopes within the SDG&E easement are a result of the grading for the Salt Creek 1 development. SDG&E maintained these areas prior to grading but the areas were 'UlIive requiring -5- ~ IO}-I-b 'minimal maintenance, if any. Staff recommended and Council approved these areas to be maintained by the residents of Salt Creek I which is consistent with other City open space districts. 4. Let Caltrans pay for slopes (zone D) and "SR 125" corridor (zone A) As the SR-125 alignment has not been adopted yet, it would be premature to request that CalJrans pay for the maintenance of the corridor (Zone A) or adjacent slopes (Zone D). However, CalJrans will peifonn the maintenance for areas accepted by them for "SR 125". 5. Negotiate with Caltrans to accept maintenance of the slopes in future and reimburse the homeowners after takeover. The property owners would like the City to work with Caltrans to accept the slopes adjacent to SR 125 for maintenance if this alignment is chosen. Reimbursement could be a condition of transferring the right-of-way to the State. This option would increase the cost for the State and staff doesn't see an incentive for Caltrans or CTV to accept the slopes for maintenance. 6. Let Baldwin pay for maintenance in perpetuity As a condition of approval, the City required Baldwin to pay costs to establish an open space district to provide for the perpetual maintenance of the Salt Creek I open space areas. It is not a condition of development that Baldwin maintain the areas in perpetuity. To require this is not practical since development companies have difficulty, if even possible, in obtaining a bond to guarantee perpetual maintenance. Or as an alternative to a bond, the City could require cash security wherein the City could utilize the interest to peifonn maintenance. This would cost the developer over $3 million. 7. Low-ball estimate for bid process, get more for the money Property owners are concerned that the budget is inflated and will result in high bids. A possible alternative would be to provide contractors, if requested, a bid estimate with a range of costs wherein the budget figure represents the upper end of the range. Staff feels the budget is realistic and does not recommend this option as it may encourage improper bids which may result in contractor default. Additionally, all contracts go through the City's established bid process which enhances competition. 8. Use known costs rather than estimates, basing assessment on something other than the budget; issue rebate checks Baldwin Company provided the City with draft figures representing their current costs over the last year. Their costs are similar to the City's estimated costs used to prepare the budget. Consequently, staff supports using the figures outlined in the proposed, revised budget. If the actual bid and utility costs are less than the estimated costs outlined in the budget the assessment could be lowered the next fiscal year or if the actual costs are substantially lower (over $50) refund checks could be. issued. Processing refund checks does create additional administrative work which may not make this option cost effective. On the other hand, this addresses the property owners' issue that in today's economy, they would rather have minimal costs now and not a lower assessment in some subsequent year. - 6- ~ I~- 17 9. Review budget and consider reductions to obtain a minim,,! budget and corresponding assessment. Propeny owners would like the maintenance cost to be reduced as they do not feel thaJ much money needs to be spent to maintain the open space areas and landscaping. The proposed, revised budget reflects reductions of $15,820 thaJ will not substantially impact the level of service. The items reduced or eliminated include supplemental fire clearances and associated debris removal and landscaping supplies. The other budget figures are based on historical data compiled by the open space coordinator and it is staff's opinion that the proposed, revised budget is reasonable. 10. City work for $0 If the City were to provide staff services at no cost to this district, it is likely thaJ this would become an issue with all other open space districts. It would be difficult to subsidize one and not another. If the City did not receive reimbursement for staff time from any of the districts, more than three full time employees would have to be funded through another source. The fiscal impact would be approximately $200,000. 11. Pay "hard/direct" costs only but not staff costs The bulk of City staff services is in staff costs, not postage, mailings, etc. and the fiscal impact to the City is nearly the same as stated in the above paragraph. 12. Pay performance bond from the City attorney's budget as it was his requirement This option would save the owners $2.93/EDU annually and would cost the City $1240 annually. Additionally, this would set precedence for all other open space districts and consequently would have a much greater impact on the City'sfinances. 13. Homeowner input on condition of landscaping prior to turnover Propeny owners were concerned that staff would accept the open space for maintenance before addressing all landscape issues i.e. snail infestation. Homeowners requested thaJ they be consulted prior to acceptance of the open space areas for maintenance by the City. This is done in other cities that Baldwin has worked with and is acceptable to staff. Staff agreed to work with the homeowners prior to acceptance of open space for maintenance. B) District Organization Options: 1. Let the single family attached homes pay for their adjacent slopes through their existing HOA's. In order to split the zone into some private and some public areas, an engineer's repon would have to be resubmitted indicating thaJ the benefit area of the 1991 repon does not reflect the most equitable method for spreading costs and thaJ the improvements really benefit other areas. Staff recognizes that there are various methads for spreading the costs based on benefit. However, staff suppons the current methodology approved by Council in 1991 which spreads the cost of all the Salt Creek 1 open space areas to all the residents of thaJ development. The entire development, from tentative map approval to grading and landscaping, has been approached as if this is a distinct neighborhood. The approved benefit area and methodology is consistent with this approach. . - 7 - ~Jq - I ~ 2. Overall HOA for Zone D For the slopes and open space areas to be maintained by an BOA they should be privately owned. The basic argument for private ownership is that the owners will be directly responsible for the maintenance and liability, and, therefore, the cost. The cost of maintaining will still be spread among the same number of people however under an BOA those people would have a greater say in the level of maintenance. The Planning Department believes that the maintenance of prominent slopes along street frontages should generally not be left to the uncenain quality of private maintenance by a small BOA or by individual homeowners. " Should Council favor the option to tum the maintenance over to BOA control, the property owners would need to fonn a legal BOA and the City would need to grant the open space lots to the BOA, with the grant deed containing a revener clouse should the City deem maintenance to be inadequate. This would allow the City to take over maintenance again if the residents chose to cut costs by lowering the maintenance standard resulting in an unacceptable appearance of the area. If the City chose to do this, there would likely be a high cost to reestablish the landscaping. Also, small BOA's typically lack a sense of consistency as propenies change hands or boards of directors change. For example, OSD-12, Chaner Point, where the open space is maintained by the BOA and not by the City, the landscaping has been changed twice in four years. If the City allowed the open space to be maintained by an BOA and subsequently (for any reason) . decided to take back control and assess the owners for maintenance, new legislation (October, 1993,) could prevent the City from imposing an increase in assessment. The increase would occur by going from private to public maintenance. The City could mitigate this potential problem by placing a condition on the grant of open space to the BOA. The condition would be to enter into an agreement to indemnify the City against a majority protest which would overrule an increase in assessment. There is the possibility that once the BOA takes over the maintenance, it would be impractical if not impossible for the City to take it back and raise assessments adequately to re-installlandscaping and provide a higher level of maintenance. C) Landscaping Options: 1. Let everything naturaIize/die If all areas were left unirrigated and not maintained, the landscaping should eventually naturalize. During this transition, there is a potential for erosion problems. Some property owners may not suppon this. Baldwin does not suppon this option. As has been done in the past,. stajJwould want all property owners to be involved in this type of decision, probably by mail-in ballot. 2. Arbitrarily limit the assessment to $lOO/year This option would limit revenues to $42,000 per year or approximately 40% of the proposed revised budget. To accomplish such a drastic cost reduction, irrigation and maintenance of slopes would need to be eliminated impacting aesthetics and erosion control measures. The proposed assessment of $259 to provide $109,360 in revenue is slightly above the mean costledu ($235) of all City districts. - 8 - ..A-t 19-11- iii8 D) Miscellaneous Options 1. Property owner impact on decision to levy assessment The property owners feu that they would have more leverage with the City if Baldwin would sign the petition opposing the assessment that was presented to Council during the two public hearings in June. Staff indicated that the hearing was closed. The Baldwin Company (representing 60% of the assessable land area) indicated that it would not show good fiiith with the City for the Baldwin Company to sign the petition as the open space and all open space items were conditions of approval of the Sah Creek I development. 2. Get more homeowners to Council The property owners feu that they would have more leverage with Council if more homeowners attended. In the development, 87 property owners representing 22% of the assessable land area, opposed the maintenance cost and corresponding assessment of the district by petition. Additionally, 30 property owners attended these open space meetings and did work outside of those meetings by notifying/informing residents and gathering information. This demonstrates to staff the strong concern over this assessment and also the willingness of the owners to work with staff to find solutions. Whether or not more homeowners attend, it's evident to staff that the assessment is an imponant issue with the residents. 3. Site visit by Council of the Salt Creek I open space The property owners would like Council to visit the open space areas. m: \homc\cnginccr\agcnda\zoncdatt - 9 - ~ lelf-..eo .J-\e IEDU r- C-'-.-/l ............. ~\~6-L:E ~A.M\C RANCHO SAN MIGUEL Low DeneItr Rellldentt.l -I_I .~r ':-lor.! _I LOr" _I Lor c WIW.8 LOCATED II OPI!H "ACI! I.OT8 ..... TRAN8PAAENT 80lItD WALL - ..~ BLOCK WALL ..... WROUGHT RON FEfrd aa.a. WROUGHT IRON FENCl!OV!R ~ BLOCK WALL __ WOOD RAL FENCE . _q._q._. - .-rq e:ld ...~,..- 'I".J,.,!! . . , 11"",1.'''' I'., '" 13 " i d I !i ..... I'"'c" ~ME;:S. - _.. IS II " RANCHO SAN MIGUEL Low DeneItr ReIlldentl8l II _I Lor 0 --- II " .. I. n .. ,. OJ it \ _TH ~ . .. -- ~ SCALE II FEET -....- lEGI!ND . UND8CAPE TYl'E8 8nEET8CAPE EROSION CONTROL PI.AIf'nNlI COAST AI. SAGE PRESERVATION ZONE OTAV TAR PLANT PRESERVATION ZONE _ _lUTED HYDROSEED EXHIBIT B PHASE I RESIDENTIAL AREA LANDSCAPE TYPE'; ~~TI!..~~~ ~~DOOT~OO~OO~~ IO>O~TIRlO~T -1 ~@OO~ 10> ~ ~lL if ~1Pd~~~ 'iI .. .~_-..!!!U!f!I ~ " . .. A. . · [ASUI<[ _1(JWlC[ IIS\lIlCI NO I -.. t laIC 0 .-. tI! .. -, .. --... ..." ...... " ..... . l.MIMlCAN TYPD IIlITIIEET8CAI'I! EROSION CONYROL PlAN1'IICI ...... __TEO HYDIlO8EED ~ WALLS LOCATEO II OPEN "ACI! ..... TR_ARENT lIOI-'lD WALL .. - WAOUOHT liON OYER BlUMP SAL TCREEK 1 Townhome Site mACT 89-90 UnIt 4 INT. LOT A C~-A-pA '-=A -- INT. LOT. -Sl , ~ ~ SAL TCREEK 1 Col.d6........... SIte --~ . \ . \ ..... - ............................... ... ..= ".8-€DU EXHIBIT C PHASE n TOWNHOME AREA LANDSCAPE TYPES 1E&$1FIL&~1E ~&UlM1FIE~&lM(C~ IQ)O$'U'1R10(C'U' m'il ~@lMlE IQ) i ~&IL. if ~WJ~~~ 111 , RANCHO S I Low Density Rea ~I d. ~' " !i fire Stetlon ,. ~j NORTH . ... 100 100 1'\-"1 SCALE II FeET _..-r."_ SAL TCHt:t:1\ RANCH Neighborhood Perk . '2-\(., \\o\.-\tS J SAL TCREEK RANCH " Multl-FlII'IlIy RtItIldentlel r, : i I, : i I. " il J::r ._DfUM ""'"'' ----- --.--- - . .. 1'.' .. . .. ,. [.sn.M( MAIN'f(NANC( DlSlRtC' NO . ..... c ZON( D .......... .... ..., .. ---.... ...,. ~ , ~ ~ \ ~r llAt.1c-'..-,- / ~P':""" - ~ ,,\ ~Af"1'::-:lilnn 4 ~ ""-9'. \\ \' '" \~ . ~ I ,\ /" " '" , V SALTCREEK RANCH , ,'. \ '. "f Multf-FlIlIlIy Re8ldentl8l "" '. \ r I UtIIly Eee.-. " " ' SALTCREEK 1 +f ~. \\ CondoniIUn SIte II '- \J .~ FIIII.IN CA:BO : ," I ~ LOlA \1 i\' m I , \ \ --1--~--,----,-m___11 I ~.._-- .----~ :iJ , I IlOUNoARY' " \ I' \ '-Ill':' \ p ---'"' \ " "- , I . Go E't) U. EXHIBIT D PHASE m CONDOMUNIUM AREA LANDSCAPE TYPES ~~~1iIL~~~ IMI~D~1i~~~~<C~ IQ)D~1rIPdD<C'ii" &I'll &:@~~ IQ) $~Ib if ~~~~~ iI tatTH i~ o .. ... 100 11....."I SCALE II FEET -......- \ql ~MtS EASTLAKE INDUSTRIAL PARK ..... ..... '- LEGEND . LANllSCAPI! TYPES ,/ ,,', EROSION CONTROL PLANTlNCI WALLS LOCATED II OPEN "ACE --- SLIM' &LOCK WALL ............................... - . ~fA!r!I ~ 0".. ... . "'.'A ; (AS1l.M( u..ttHNtCt. OISJIbC' NO 1 __ . ION[ 0 SIlt .... t . t __ _t.. _____... .. 1.1.'11..f EastLake Maintenan~e District Salt Creek Landscape Maintenance Budget # Account Title 5251 Utilities $45,230.00 5253 Trash Collection and Disposal $ 2,800.00 5262 Service to maintaip buildings $ 720.00 structures and grounds 5298 Other Contractual Services $91,440.00 5351 Landscape Supplies $ 2,550.00 5362 Materials to Maintain Buildings $ 5,300.00 Structures and Grounds 5291 City Staff Services $17,440.00 GRAND TOTAL............ $165,480.00 Subtotal without City Staff $148,040.00 ---e:::l I q- -Q 4 ~&\JI>bV ~2.,310 1 2~O 61f,'''O p' ~,b5D '1, '1eo l()q,~bO qq ~~() tZ lI\ I. I , CODE MAP COLOIt DI!SCRIPTION ACRES SQUARE FOOTAG I GIlIlI!N lmlI!ETSCAPI!, PAIlXWAY %,2.~ IAll 07 I#) 'UII 3 aLUB I!ROSION CONTROL PLANTING, 1!Il0Sl0N CONTROL SLOPI!S If), S-tf I'M JJe., ').nO 134,- . YI!LLOW NlJN.IIlRIGATED HYDROSI!:I!D, NON-IIlRIGATED SLOPI!S I, / I 1.1112 - ..- 5 PINIl. COASTAL SAGE PRI!SI!IlVATION ZONE, NlJN.IRRIGATED SLOPI!S 5'.16 ~.951' t.2-< ",*0 moW 5 PINIl. OI'AY TAR PlANT PRI!SI!IlVATION ZONE, NON-IRRIGATED SLOPI!S (J.ffle .fIlII ')..'1 ft2.0 19,5311 TOTALS fI,=J.'1 u.. fl.t." or:;n 1,1"'''' SALT CRI!I!X I, EASI1.AKI! MAINTI!NANCE DISTRICT I, ZONE D DESCRIPTION At.ftllS COSTIACRElYEAR SUlITOT ALo. TOTAL nREETSCAPE, PARKWAYS ~.'2.~ ...... $2,931.. $ t;!JIU.) , EROSION CONTROL PLANTING, EROSION CONTROL SLOPES 110.51 IU6- $2.3'0." $39, "'.M ) TOTALS-WATER ONLY 'U,138.88 > TOTAJ,.EU!CTIlICITY(2) ONLY ~I.III:?' COST OF WATER X 2.5.. OF WATER COST $ 1,1"," .., S44.llO.. X 0.025 TOTAL tTI1LlTY COSTSSALT CREEK I, EASTLAKE MAINT. DIST. I, WNE D I. ....- Lnunl:.S WATER(I) AND ELECTII' "'Vl1) b,5~c.I- 2if, 't't2.. ~',5'2." ~6 3~/'3/'f W_CtIIlI Partways are ....&<t<d for 36 Inches .., - per year. Erooion conuol ....... Ift....&<t<d for 29 inc.... .., - per year. W_ service r... _ 22'1"'_ CtIIlI. DESCRlP'I1ON WATER REQUIREMENT IN INCHESIYEAR X UNrrsOFWATER PER ACRE INCH X COST PER IlNIT OF WATER - + AVERAGESERVlCEFEES22'1- COSTIACRElYEAR 29 36.3 $1.836-($2399.00) $1.836-($1933.00) $531.00 $427.00 $!.9:lO.oo Sl.360.oo PARKWAY SLOPES 36 36.3 E_ CtIIlIIft typitIIIy 2.5'1"'_ CllIIS 4 31../310 - -1\ . ~ 525] TRASIf COLLECTION AND DISPOSAL PURPOSE: FEE FOIl 40 anllc YAIlD ROLL OW DUMPSTERS USED FOR 11flt REMOVAL OF ILLEGALLY DUMPI!D MATl!RIALS AND DI!1IRts GI!NERATED FROM 11flt PERFORMANCE OF FIRE CLEARANCES AS REQUIRED BY 11flt FIRE MARSHALL. , DUM PER DUMPS'reR 10 X S280.00 j!f 5H2 SERVICE TO MAINTAIN IUILDINGS, STRucnJIlES, AND GROUNDS STATE IlEALnt CODE MANDATED IIACKFLOW PREVENn:R CERTIFICATIONS , IACICFLOW FREVENTERS X COST PER CER11FICAnON PER DEVICE II X $40.00 - $'720.00 -- ~ AVERAGE IIIACICFLOW PREVENn:R PER EACH IRRIGATED ACRE(43.S60 SQ. FT.) /~ y. 20 -:.. 2"0.0 ~ , N ...J 5Z9lI 0'I1IER CONTRACTUAL SERV1C1!5 ESnMATED CONTRAC1OIt COSft IASI!D UPON HISTORICAL LOW IIIIIS FOR LIItE OR SIMILAR LANDSCAPING. LANDSCAPE TYPE ACRES X COSTIACRElYEAR - YEARLY COSTS PARKWAY ...1 2.2.3 SS750.00 $1.518.88 ~ /'Z,B'2'3 IRRIGATEDStoPES 16.86 /1).5' 14310.00 m.6'l8l18 .. "'5,'&/o~ =~ci~AL7.74 b.'1:f $500.00 ~ .1,t+B~ Alsoinelall':"~: 6V15J En~...lt, irriplIoIl.,.. ........ "'. ......715 of -- COllI 7 .... "ft88(_ _) X.01 - $3._.. 3' 1S3() 'I D. () :: Z2.0r Fin: c1__a1 of illoplly dumped -.. ... ......_.1 plonlinI. \he of Prnb..ion ~b"clll Prison 1- Wort Cn:ws of 16........ eodI day: , days X .... per cn:w per day - 10hI1 d 10 X t1V1 on - ta~... )' TOTAL 5191 - 1't,.... ,)8J.~.GO . ~.998.88 I $3._.89) -) ., (PI, qSI + 2-2df- '::. ''Ii Ie-~ -.. - btf:, /60 5351 LANDSCAPE SUl'l'LIES PLANT MATERIAL FOR REVEGETATION Of BARE ARI!AS OR SUl'l'LEMENTAL PLANI1NGS. AVERAGES 3" Of CONTRACT COST. C<JOlofC_ X 0.0]- _ CDS.MS.. v t.OJ "551.8' I 53G MATERIALS TO MAII'lTAIN BUILDINGS, Sl'RUCTIJRES, AND GROUNDS REPLACEMENI' PARTS mR TIlE REPAIR Of IRRIGATION SYSTEMS ARISING FROM VANDALISM AND WEAR. AVERAGES IZ.. OF WATER COSTS. W_C<JIl X O.IZ- "',1)8.88 X 9.11 ~.. :~ ~ Z,680- 5Z9I CITY STAFF SERVICES RElMlltlRSEMI!JIrI' TO TIlE ClTY'S GENERAL FUND mR CITY STAFF ADM1N1STRATION Of TIlE MAINTI!NANCIl OF TIll! DISTRICT. A. ..........___ SI].ZZO.OO"n ..~^ "" I!2.l'lo'!:f-J = l:l.~'"'7.1:::" 1.93" of.... __' . ........... ofSIlI.lHO.OO 1 ,....." .rT;11'o', 1:^'" ;., ,IJ z;n:, T'" .... ON...: This ...... is .liahlly .... ...... .... City'" ........ of 10.77" of mai1Ilmance coots. B. 1!J.gI._I...... ...,."...... 5,...... Element S4,ZZO.OO ? I 100 91 ;'5 -7 '1990 TOTAL 'IT._.811 ~ (]riai..11y demaI . . pro _ share of .... I...... distritt. ~ /a./Q #.A.anJaIlJ.I1f!L J),Bfrrc.f Sa.II ~re..ek I . . 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M- ~~/9 ~~ c:;'/)__ ~);~~dN ~J>WIN ~'?~ . ,-..., -Q -........::, J 6f2..-2..'Jo3 ..Yo"" \ d 1 _ 'ley/) U("-,\1aI'lc,..... cu. (14917 /Y '~'7/"'J/l.I!9~ Jr, _ L/!/" t!.(;/J?pA4 c. lj, 9/9/7". .s(,O-70lf,,{'I!Il,eL./ltlf~rn.l/' ~ ~74t~_ {!./ 1/?~ . /[NtJf Vlsconfi """LCf:lo !J.o.deroCir _._ ~9/911.~ 'NPlsy d 'ftt~~d~cj,~ $~~~: ~g t- .~~;!;<J.. . Sa/f Creek I l),un Spa.~ ! N e.e..i1"71j fr;/ZZ/9t .. ,.Pt.M.S-t. 8'J7L ;7t : i NA.-rYr..1.. AddV"~.c;<::. PII:L ~J9N. ~K;~cAeek' cr: I e.\/' 11?/.t! ~ rt ci/~;p;.i7i,u .. 00 lJerv7'~". Ct/ 9/9/Y ;SHI1R.OAJ 1AJ/t~/1JIct:. ... Ut-6o Mlltao Cv 9/9/.y . J~~ ~ cA"n~Y 14felrV~ f2(j\"l,..\I'~r:::It?~(-f1. qI1'~ . t. X)1 j 0 IV e..s -I j uJ./ C C~tll) /a 1-1 _ Qt};/I f.'! f2JJi/ei1J , DF\ leA WOCLlC'-1 ~"RCWI\)GI KlbSC RJ). c,V. '719/t! }(vv mJieRfJAJv -.R()/!/A/jP..i'&3e ~J. q )Q,4 .. C;UsAfJ AbA1fl'~~ ... (...4-60 lY.Ab64J ctJ q/q/ct +~~c~~~~;z~ __ f::: J?:;::O ev~q~:: . .~R/~f.,J NOTf14I-.J ~ ("'60 8-41-/1,4 C 11',04 't/91'{ '.__ .Vie-llA- ~l~' __ ~N fi~ ~ cv CA qlq/~ . f'f\U.L 4- ~~1J- ~ ,-~e ~ WlTrJ ~~l5 ~o t V c~ 'Wi11 ,j)~FtNE; I-/Ubf/(;6 _ ((pillA., ~L~ ((~ L~{/i; 9/9 t/ /.(j~( E, .5~\..~s ...- ~cro #J..JerfJ I c...;. I c.~ Cllfl( I. Jf;v.,u /uJ.'.. .., K,vU"ernd< d C. dl ,-If q!f/V . V 1!M- IIJ~I? . ' _ ,d;1[.v~ ~i:>. C. (/ _ ~A r;;"711 ;. ~UAJd ,4LAuIZ .,.... ~b ~tA cv t.A 4) I~ 'of ; ~lo("'CA. Vela.rrlR.... _~ 1<f'iertfealLf:t.cv'1tl/c.J.. :. [lO"\ K":,, l: ... <1..ho ~~ \e.. CW. r:.n. C,t9 J Y :~Q'( ~,/l.~ a. ~I.A~"" ~I~ c.\J CI+ 9l91'f ~ ! ~ol();n~ -Rocko.... . .~VtrCr~e.lc. Ct=e.v)e..t\ cnqlcf /1 ~ ,30 :~ f{)ayi4 1J15ia",~(!I<;jf1.. ., ~oUc.~ RldJ-C Id (:VqA 71'i1'1 , DONNA SNIDER, Civil Engineer CITY OF CHULA VISTA PUBLIC WORKS DEPARTMENT ASSESSMENT DISTRICTS 276 Fourth Avenue Chula Vista CA 91910 RE: OPEN SPACE MAINTENANCE DISTRICT BUDGET - ZONE D June 27. '1994 Dear Ms. Snider: Here is a summary of the issues raised at the June 22nd meeting on the budget for Zone D. ~ITY\PUBLIC LAND ISSUES: 1. MAINTENANCE RESULTING FROM CITY LAND. Several steep slopes were created by grading required to provide land for SR 125. While the slopes are not part of the SR 125 site, they are a direct result of the requirement to provide a graded path for SR 125. Residents of Zone D should not be singled out to pay the full cost to maintain these slopes simply because the slopes happen to fall within the boundaries of their. open space district. The land set aside for SR 125 is for the benefit of all residents of Chula Vista. Any maintenance of that land, or as a result of providing that land, should be shared equally by all taxpayers. Additionally, if the developer had not been required to provide land for SR 125, the slopes in question would have ended up as part of the development, and no open space maintenance would be required. It would be unfair for the City to require residents of Zone D to pay to maintain land that could not be developed as a result of the requirement to provide the land to the City to benefit all residents of the City. It was recommended that the costs to maintain these slopes be removed from the Zone D budget. (At the June 22nd meeting it was not known how much land was in question, and the City Staff would calculate the acreage for the June 29th meeting.) 2. MAINTENANCE OF CITY LAND. Within Zone D are four areas of City land: a biological preserve, a native open space, and two areas beneath the SDGE towers. These areas are for the benefit of all residents of Chula Vista and the residents of Zone D should not be required to maintain this City land. As is the case with the City land for SR 125, this land would have been developed except for the City's requirement to provide the undeveloped land. Had the land been included in the development, no open space maintenance would have been required. -E4 Iq - 31 It may be argued that Zone D residents will have a greater benefit of this City land since it is within their neighborhood. However that same argument could be made for any City owned and maintained facility: the residents near facilities such as libraries and parks will have a greater benefit due to their location; yet the cost is shared equally by all taxpayers. The City land in Zone D should be treated o~ the same basis. . It was recommended that the City land be removed from the Zone D budget. (Referring to the maps displayed at the June 22nd meeting, this land is the 7.73 acres color-coded pink and yellow.) TOTAL COST\BUDGET ISSUES: 1. UTILITIES. Estimates for water are based on separate requirements for parkways and slopes. These requirements show a greater water usage for parkways than for slopes. There are no lawn areas on the parkways or medians and the landscaping does not appear to be significantly different from that of the slopes. I would like the water requirement for the parkways verified: check that this water requirement is not based upon an average from parkways that includes lawn areas. Estimates for electricity were based upon average water costs rather than the number of controllers. I would like the estimates verified by calculating the usage based upon the number of controllers. Additionally, it was agreed that Baldwin's actual usage might be helpful to determine the reasonableness of the utilities budget. Robert Cameron, Vice President of The Baldwin Company, agreed to provide that information at the June 29th meeting. Also note that the water requirements include areas asked to be removed from Zone D. If these areas are removed, the budget for utilities would have to be recalculated for the areas removed. 2. TRASH COLLECTION AND DISPOSAL. The present budget estimates that 10 days of clearing debris and collecting illegally dumped materials will be required, and that each of the 10 days will require a 40 cubic yard roll off dumpster. This estimate appears to be excessive. During the June 22nd meeting it was suggested that the budget for this item be reduced to $0, and that any trash collection be paid from reserves. Also note that the land in question for this budget item is almost entirely City land, areas which are requested to be removed from the open space district budget. If this land is removed and the budget is not reduced to $0, it would have to be recalculated. ~'CJ-3L 3. SERVICE TO MAINTAIN BUILDINGS, STRUCTURES, AND GROUNDS. This budget item is to provide State mandated backflow preventer certifications. It was originally estimated that the cost for each certification would be $40; actual costs for the prior year were $17.50. It is recommended that the budget be recalculated using the actual cost of $17.50. Also not~.that some of the backflow devices may serve areas asked to be removed from Zone D. If those areas are removed, any devices serving those areas should also be removed from the budget. 4. OTHER CONTRACTUAL SERVICES. The budget for the irrigated slopes allows for 87 hours of contractor work per week. There is simply no way that much labor should be required to maintain the slopes: either the budget overstates the amount work required, or the City is reqUiring far more maintenance than is practical. (We are not interested in having a "Cadillac" when a "Volkswagen" will suffice.) Hopefully the additional information at the June 29th meeting will provide some direction to getting a more reasonable cost. This budget item also includes the work crews mentioned above in the trash collection item and needs to be adjusted. Also note that this item includes acreage requested to be removed from Zone D. If that acreage is removed, this item should be adjusted accordingly. 5. LANDSCAPE SUPPLIES There was no significant concern on this item. 6. MATERIALS TO MAINTAIN BUILDINGS, STRUCTURES, AND GROUNDS This item was budgeted based upon average costs from other open space districts using water cost as a base. Many residents felt that the anticipated costs are too high. Perhaps the budget for this item be reduced by 50% (6% of water costs). This is a relatively small item in the budget and any costs above the revised budget could be paid from reserves without having a significant negative affect on reserves. (Also a future adjustment to correct this "under budgeting" would not result in a significant increase to future assessments.) 7. CITY STAFF SERVICES This item is based upon a percentage of the total budget. It was explained that this is the method currently approved by the City Council. The present budget of $17,440, is 41% of the combined budget for Ci ty Staff Services for all of the East Lake and Salt Creek Districts. It is difficult to see how this assessment is fair: the Zone D assessment is nearly half of the total for City Staff Services for all of East Lake, East Lake Greens, East Lake Greens -E~3 ICj- 33 Expansion and Sewer Pump Station, Olympic Training Center, Salt Creek, and SR 125. However, Zone D represents only 4% of the total taxpayers in the combined areas, and has a small percentage of the land. The present method of allocating the cost of City Staff Services places a aisproportionate burden on the residents of Zone D. Perhaps tpe City Staff can present an alternative method that more accurately allocates costs to Zone D. I hope this letter is helpful in preparing for the June 29th meeting. I am looking forward to the meeting and a more reasonable budget for Zone D. Sincerely, ~eJ5 DAVID DIGIAM 2269 Rolling Chula Vista. TTISTA Ridge Rd. CA 91914 ~/q-3Y - -- - ~ rn ~ ~ ~ 0 W lrn), I JL Ii ii I: L~~~_19~4. J2i i CIIY (,L{),:.,l). ~1~~l'~::'S CHUll \-,<.r~. CA 24 June 1994 Chula Vista City Council 276 Fourth Ave. Chula Vista, CA. 91910 The Honorable Tim Nader: .- During the June 14th City Council meeting you voiced a concern about the cost of maintaining open spaces in Chula Vista. At that meeting the landscape maintenance assessment for Eastlake Maintenance District, Zone D was discussed. Numerous concerns of the property owners were brought to the council's attention. The extremely large increase in the assessment fee (from $6.96 to $.3b~..3:> for the residents of Chapa la, higher for Estancia) was topic number Olle for 1ll0~t of the home owners. However, there are other concerns that should be addres~cd. A primary one is the amount of water that is allotted for these open spaces. In zone D, parkways and streetscapes are budgeted for 36 inches and erosion control slopes are budgeted for 29 inches at an annual cost of $44, 130. This in Southern California, an area that receives an average annual rainfall of less than 10 inches per year. That amount of water usage should not be allowed in an area that is semi-arid. The city ofChula Vista should not encourage but, mandate that native plants (if possible), drought resistant and/or low water usage plants be used for open spaces and streetscapes. A second concern is the cost of "contractual services", $91,440 a year. That amount would be enough to pay four people $9.00 per hour to work 40 hour a week for a year. I do not recall seeing that many maintenance workers in this area every day. If they were, the two broken sprinkler heads would have been fixed and not continued to gush water into the air for the past two weeks. With a total assessed cost of $165,480 for zone D, which encompasses 26.08 acres, the cost per acre would be $6,345. Since 7.74 acres is considered preservation zone (chaparral) and hydroseed which requires no irrigation, the actual cost will be $9,033 per acre. On july 12th, I hope that the City Council will be able to find a solution that will allow Chula Vista to have acceptable open spaces at a reasonable cost to the home owners in assessment zone D. Arthufi K.H. Sc~ener & April K. Schaefer ~l~{t.~ 2203 Lago Madero Chula Vista, CA. 91914 -t:=5 I 1- ~ ....... :: ~--_.---_.- - ,.. ._17 .-....--......,:.......----.-:. '94 16'32 I3l'i..D1r:' CQ. 619 c:;.~..Q,Z.;l~lf"'" ~ . .ICE OF snc:w.TAXES AND ~~'TS P.. NOTICE OF SPEMA.T TAX 'I'bo CIwla V_ ,,,,--...,. 8cboo1_ aDd u.e s..__ UDioD Hiah Scbool D_ (colle<tIgely, the 'ScIIoal DiItricIa'l Cormecla -'IIity &.:IIidea diItril:t rDiJtriol") pummnt to the 1"6.' '-. 01 the WoIk>-llDoo c--...,. Fadlitieo DIItrlct ^'" 01 1982,.. ",,-+-, rAt:t"l. 'I'ht _ 01 the Dlatriet IDdude t.bai __ de-\.oIo, . projoc:< _--"1y -.. .. "Sa!> CreeL' _ oc the At:t. alaoal_. auob .. II1e Scbool DIsiricta. _ _ a _ for the ooIe purpoM . FO'i..i.., oertaiI1 .d....--.' public ........ ud. to 8Daoe . ~ nDP or pWlUc &Ad. capiW _ Wwsh the...,. otopodal_ ;.......11. bul_llml&ecIlOo ~oa 01 "-.'WY. -.lar7 IIIlCIId;b ICb<loIIIIIld purdlue of aquipuwm. 'I'ht __ .bId> buJNIr II ....-. riIliD dla ~ Cnek pnieotla -..rrilliD the ""v. ;"'i fIl d:ae DiaricL. SpodaI_ will be IrMd 1IIIdt,.. apiDA an propmy _ the bolIDdarIoo ol die Diab'io<. ___,.( die lot or qajt wbich ba1er iI purcilaIiIl& Cor tile purpoMI 01 ~ _ aad apeaon of dla pubIio: ICbllOI oopltal fadIiileI, aad _ b=ds __ to P81 for ...... oobool fadIWoo, punuaD& to ~ olilla.-iouo I'ormaoloD __.lor the DIal:ricL I i ! PurouaDt to the Ie.. -... ~ the opoc:iaI taz will be JIII1Ible Cor ftNDt1-lift (25) ,.... or lIIlliI oil b=ds iuueIIlor CFD No. 1 ... bleD diaobarpd. .biohevv iI _..... TIle opodaIras .-0 Im_ dla ~ of lb. DIotPict will be P8181>1e .. pet oldie ~ prop<If't1- aDd mbject. to &he MIlle p-_lM.. '"'WT)"u.'k.wI Cor ~ HoweY." lobe pracedW'el ill cue ~. ~ or delault are U........ and _ may DOt ..... much time to eure a ~ lor -= ot1OUl' opoc:iaI_ to preveut al.., I .... apiDA 1""" Jot or ..... .. _ _ han lor --,."0/'"""-. of otbIlr aeoenJ prapercy CU8L 'I'bo _ ........ opeeiaI_ t.bai 10 Jl&1abI2 for 1OUI' lot or UDilIa .. ... Corlb OIl the J.4~4'~ '1'E! DlST!Ucr HAS BEEN FOllMED AND '1'BE S1'EClAL'l'JoX WILL BE LEVIED AGAINST 'l'BE BUYER'S LOr OR tJNI'I' EVEN 'l'IiOOGH '1'BE BUYER )lAY RAVE VO'1'EIl AGAINST OB NOT D""nlT< 'I'BAT THE tllS'l'B1cr BE FOlWEll OR mAT '1'E! SPECIAl. TAX BE LEVIED. A _ ol die RUe aad _ 01 ~F --'-_ 01 Special Tax aDd an olber _....hl. ............ aad ~ _ be obtaiDecl &om the S....ft..... 0..... Hlib Sebool D_ aDd the QwIa V... 'C':I --...,., Sc:bool ~ NnTICE OF It.QCllI'S!::~ 'I'ht CIt1 of CbuIa ~ ror-d AIr ~ DIItrlct No. 8$-2 r AD 86-2'> """"""'" to die MIIIlicipal' J V' 'At:I. ol1818. AD 8$-2 _ f_ for the ~ of....I~r -- public __ __ a..,... -_a Aio U D' will be IrMd -",_ apiDA oil ~ wilbiD die boUDdarioo ol AD 86-2. ......'O;"r die lot or ..... _ B_ ill pIlI<lbaaiD;. ror die purpoMI 01 JII1itlr _ azulllZI' r. .. ol &be public Ia.,.... ,. aad IIl1 baDdo INuacI tol'lJ €Dr ...... -. Tbo ~ _ be prepaid UDW __ ....._ Tbo __ of &be -, - ia pqobIo for ,- .... or ..... II .. lOt. forlb OIl dla 1 .. ilIr -. Tbo at" ofCbula V__ ~ u....._ DIat:rIot No. 1 <D+.....r Z- D_ &beU_f-Jo- DiItrict.) Cartbe-"'-.---olr" J .....mediuI. I r" -poodpuk'waJaaDCl -4-(' tal --1iIbtiDB' widIiD pubi: rtp.&H("wq .. cl .. ..... matatelUlla l' ---.. Zoae D _ formed iI1lll1l1 to ruIlll &be ......-- of_II*" Iott owaed ill r_1rJ' \be Cit1 of CIwla V-. 'I'ht __ 11 ft' Cor balIllba .....an IlIatrict No. 1 aad ZelIa D ia IUlIja to aDlIuaI ~.. do> . -d IrJ' &be Cit1 ola.llla V-. 'I'ht -' ~ may".,. ~ IJ U ] 3 '"tl ~ 'I'M Dt1 01 a.da VIda baa 1 ... ...... far the Ii- ....Lw. or " -. Diatrict No. 110-1 rAD 110-1' __ to die 14111licipal1la,.. . . At:I. 01 1818. Oaoa lanDod. AD 110-1 will lie.... \be purpoao of aoq.-, __ public oopitaI "'-... r" ouch.. -..... "-. __ dnlD azul........ .......... Tbo 1>0'-' -loa ol AD 110-1 iDoIude &be ~ Cteek pnioeL It 10 ..411l1ed \bat AD llO-l will _ LIIIlIlecI ObllpdoD ''''. .. . Boadt ill Mriylll82. 'I'ht Bcadt will lie -.ed IrJ' dla uar-id -.. ... prapercy riIliD AD 110-1. Aio." . will be Ioolod .-It ~ aplaat all ... -,4lt1 wIlbIIl dla b., . ill of AD 110-1, ......~ &be.... or IIIlit .bic:b bu1W 10....... . r fortbe~clJll1itlr_aDd "',... clthe_aadr004a..,... -. aall _ _....001 oc p81 for ouch __ Tbo a I - _ be prepaid UDder__ .....__._ The __ ol die -"""It t.bai 10 pqobIo Cor )'OUr lot or UDil it .. lOt. f_ OD lba _ OIl &be lollowiDl pap. Plplol8 BUYER IN1T1Wl_ BUYER IN1T1Wl_ -r==-t J Cj-,3 G. 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COUNCIL AGENDA STATEMENT ITEM TITLE: Item-.!.l Meeting Date 8/2/94 Resolution I 7 ~ t' P Ordering certain open space and maintenance facilities to be maintained, approving modification to the Engineer's Report and levying the assessments for Fiscal Year 1994-95 for Eastlake Maintenance District No. I - Zone D SUBMITTED BY: Director of Public Works ~ ()I City Manager f (4/5ths Vote: Yes_NoX) REVIEWED BY: At the Council meeting of June 14, 1994, Council directed staff to meet with the property owners of Salt Creek I to discuss the open space (Eastlake Maintenance District No. I - Zone D) budget and proposed assessments for FY 1994/95 before Council would consider levying the annual assessment. This report is being finalized and will be delivered under separate cover. /9-1; r COUNCIL AGENDA STATEMENT Item 2.0 Meeting Date 8/2/94 SUBMITTED BY: Report on Joint Meeting between City Council and Soutbwestern College Board to discuss soutbwest::: jllege Transit Facility Project Director of Public Works rY!f/ ITEM TITLE: REVIEWED BY: City Manager .)J U (4/5ths Vote: Yes_NoX) At the April 12, 1994 meeting, Council considered the attached report on the Southwestern College Transit Facility. Council adopted recommendation #2 only which was to schedule a joint meeting between Council and the Soutbwestern College Board to discuss the project (Council did not adopt staff recommendation #1). The joint meeting between the College Board and Council is scheduled for Wednesday, August 10, 1994 at 6:00 p.m. at Soutbwestern College. The purpose of this report is to provide information to Council and Southwestern College on tbe proposed project prior to the August 10 meeting, and to receive any direction from Council to assist in preparation for the meeting. RECOMMENDATION: That Council accept this report. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: The attached report which Council considered on April 12, 1994 discussed the proposed transit facility project in detail and presented City staff s reasons why tbe College's proposed site at the future LibrarylLearning Resource Center (LRC) does not meet the City's objectives for a transit facility. These objectives are: . Improve Chula Vista Transit (CVT) service to Soutbwestern College, . Serve as a transfer point for CVT routes, Improve CVT operating efficiency including reducing costs, and . To meet tbe transportation requirements of all CVT riders including Soutbwestern College students, Bonita Vista Middle and High School students, and the general public. At tbis point the City and College differ on the recommended site for the transit facility. The College recommended site is identified on Attachment 3 of tbe attached April 12, 1994 report and is also shown on the Attachment 1 (evaluation matrix) as site 5. The College recommended site is located on the north side of tbe campus near the perimeter campus road and Devore Stadium in tbe vicinity of the proposed LibrarylLRC. Access to this site would be from tbe East H Street entrance to tbe campus. The City staff recommended location is site 1B 1, identified on Attachment 2 of the April 12, 1994 report. This site is a modification of ~I/-I Page 2, Item ..2 tJ Meeting Date 8/2/94 the site originally recommended by the Southwestern College Transit Center Feasibility approved by the College Board. Site 1B 1 is located between the Gotham and Elmhurst Street entrances to the campus, but is set back about 150 feet from Otay Lakes Road and utilizes part of an existing parking lot. Following is a summary of the advantages and disadvantages of theses two sites: Site 5 (College Recommended site) Advantages: . Visual Impact - Since this location is not visible from either Otay Lakes Road or East H Street, there should be no negative visual impacts on surrounding neighborhoods. Landscaping - There is sufficient space to development a facility in this area with no apparent loss of existing landscaping. Bus Service - CVT buses serving the College would stop at one location, thereby improving bus capacity utilization. The location provides convenient access for College destined passengers to the north side of the campus and the proposed new Library/LRC. Disadvantages: . Cost It is estimated that this site would add approximately $304,000 annually to CVT operating cost (page 3 of the April 12 report, and attachment 8-A). Please note that Attachment 8 has been updated (8A) to reflect CVT's operating costs for FY 1994-95; the original attachment 8 was based on FY 1993-94 operating costs. . Access Several disadvantages exist including: time, distance, and potential nOise impact (discussed on pages 3 and 4). . Transfer function The distance of this site from East H Street detracts from its function as a transfer point particularly for non-college passengers (discussed on page 5). . Safety The relative isolation of this site on campus raises safety concerns for passengers, particularly during early morning and late evening hours and at times when College is not in session. . Timing of development It is staff s understanding that the College Library/LRC will not be built for at least five years. Coordinating transit facility development with the Library/LRC raises two Issues: ~d - .).. Page 3, Item .2 () Meeting Date 8/2/94 I) If the transit facility is built now, perhaps five years in advance of the Library/LRC, the facility will not serve the present campus well; however, 2) The County staff has indicated it would like to implement this project in the near future, since it can reallocate the remaining $720,000 to other projects if the Southwestern transit facility is not built. Site lEI (Citv Staff Supported Site) As a result of City and County staff s conceptional evaluation of additional transit facility locations in Fall 1992 (Attachment I - April 12, 1994 report), one site that met CVT's operating objectives and Council's objective of not impacting existing landscaping on campus was site 1B I (Attachment 2-2 of the April 12 Report). This site was also concurred in by the neighborhood representatives who considered various alternative sites on October 30, 1992. Site IB I is a modification of the original site recommended by the Southwestern College Transit Center Feasibility Study and utilizes an existing parking lot on the Southwestern College campus. Site 1B I is set back about 150 feet from Otay Lakes Road. Advantages: This site meets transit objectives for a transit facility and provides the following advantages: CVT Operations . It would improve CVT bus service to Southwestern College by centralizing all bus routes in one location, thereby improving CVT's bus capacity utilization. . It would allow quick access to and from the College campus. . It provides a convenient point for CVT buses ending at the College (for buses not proceeding to the Eastlake area) to terminate and turn around before proceeding back to western Chula Vista. It also provides a terminus for future CVT routes serving the Eastlake area. . This site serves well as a transfer point for non College destined passengers. Other Advantages Visual Impact - This site, by being located in an eXlstmg parking lot, would have limited aesthetic or environmental impact on the neighborhood. . Both MTDB and County staff concur that this site would function well as a transit facility. . Safety - This site offers good visibility from both on campus and from Otay Lakes Road and should present no safety concern for transit passengers. .).1} , ::J Page 4, Item ,;2, tJ Meeting Date 8/2/94 Disadvantages: . Impact on Existing Landscaping - Although this site is proposed to be located in an existing parking lot, there would some removal of existing grass for buses to access this site from the Gotham Street and Elmhurst entrances to the campus. . Some parking spaces would either be lost or could be relocated to a vacant area. Relocation would mean loss of some grass. Alternative Transit Site If Councilor Southwestern College do not wish to pursue a transfer facility at the 1B 1 site (or at any alternate location off Otay Lakes Road), staff recommends improvements on Otay Lakes Road to better accommodate bus passengers as the next best alternative. A new traffic signal and crosswalks at the intersection of Gotham and Otay Lakes Road would facilitate movement to and from the Southwestern College campus for CVT riders. Installation of a traffic signal at this location is being held in abeyance pending resolution of the transit facility project, since a transit facility off Otay Lakes Road would require a signal to function properly. Since three of the four routes currently Southwestern College do not enter the campus, but stop on Otay Lakes Road, the installation of a traffic signal would result in pedestrian movement to and from the College for CVT riders. Bus passenger amenities such as shelters and benches could also be installed on Otay Lakes Road. Advantages: . Capital Cost - Minimum compared to all other transit facility sites. Estimated improvement cost is between $100,000 - $]50,000 (including traffic signal, crosswalks, shelters, and benches). CVT Operating Costs - No major change to present CVT operating costs. Perhaps small decrease in cost since Route 704 would no longer enter the College campus. (Under this alternative, all four CVT routes currently serving the College would board and de-board passengers on Otay Lakes Road). CVT Operations - Since all CVT buses would stop on Otay Lakes Road and not enter the College campus, bus capacity utilization would be improved. Disadvantages: Southwestern College Service - Since one of four CVT routes currently enters the Southwestern College campus, College destined passengers who ride Route 704 would experience a longer walk between Otay Lakes Road and the campus. . CVT Operations - This alternatives does not provide the planning and operations flexibility offered by most transit facility sites. A transit facility would provide a specific central location in which buses could terminate, layover, or dischargelboard ~~~1 Page 5, Item ~() Meeting Date 8/2194 passengers and continue on to eastern Chula Vista. A transit facility provides more convenient transfer opportunities for passengers. Summarv . The College preferred transit facility location near the stadium and the future LibrarylLRC would result in substantial operating cost increase for CVT, currently estimated at approximately $300,000 based on the current fiscal year operating cost. This cost includes the additional miles and buses that would be required to retain the existing CVT service frequency to the College. . The College preferred site, while meeting the objectives for further College development, does not function well as a transit facility for non-college destined passengers. . There currently remains approximately $720,000 in County funds for the transit facility project. While a detailed cost analysis has not been done of all sites, City and County staffs estimate that any of the transit facility sites would cost at least $720,000 to build. The County has indicated it does not have additional funds to supplement the $720,000 remaining for this project. Any additional funds required to implement a transit facility could be supplemented by City of Chula Vista Transportation Development Act (TDA) Article 4.0 funds. . In October 1992, a number of additional sites were evaluated as shown in Attachment I in the April 12 Council report Any site for a transit facility removed from the Southwestern College campus (for example south of Telegraph CanyonlOtay Lakes Road) would cost more to develop and serve the College than an on-campus site, since bus shuttle service from a remote site to the College would need to be provided. . Making improvements on Otay Lakes Road would better accommodate CVT buses and passengers is a low cost alternative to building a formal transit facility. This alternative basically is an improvement to current CVT service to the College area. This alternative does not provide the operations and passenger service convenience and flexibility of some transit facility alternatives (such as site lEI), but from a CVT operations standpoint, is preferable to the College preferred location. A copy of this report, including the April 12, 1994 staff report, has been sent to Southwestern College. In addition, prior to the August 10, 1994 joint meeting, staff will send a meeting notice to approximately 570 households in the following areas: 1) The neighborhood bounded by Otay Lakes Road, Rutgers Street, and East H Street (east of Southwestern College); 2) Residents in the area on and to the east of Buena Vista Way (west of Southwestern College). ;J.. P.,5 Page 6, Item ,;J.. t1 Meeting Date 8/2194 FISCAL IMPACT: The County of San Diego has dedicated a total of $900,000 for the Southwestern College Transit Facility. Approximately $180,000 has been spent to date on planning and design work; therefore $720,000 remains for this project. Additional funds required for the facility could come from City of Chula Vista TDA Article 4.0 funds. File: DS-030 \VMG:SB m:\engmeer\agenda\swccntr.wmg 072894 .ll)...~ INFORMATION MEMO ~~ f-A-11 i~~ August I, 1994 File No: DS-030 FROM: Honorable Mayor and City Council John Goss, City Manager tJ John P. Lippitt, Director of Public Works Pf7L/t'5C- Bill Gustafson, Transit Coordinator 13 C-- TO: VIA: VIA: SUBJECT: Additional Information on Southwestern College Transit Facility Supplemental information was requested on Item 20 for the August 2, 1994 council meeting, the report on Joint Meeting between City Council and Southwestern College Board to discuss Southwestern College transit facility project. In that report, Transit staff estimates (Attachment 8A) that the net cost increase to maintain the existingCVT service level at the College proposed transit facility site would be approximately $304,000 annually based on FY 1994-95 operating costs. It was requested that Transit staff develop one or more options that would result in no cost increase for CVT based on the College preferred facility location. While staff does not recommend either of these two options, they do attempt to respond to Council's request by presenting two possible CVT service change alternatives that would involve no additional cost to serve a transit facility near the proposed College Library! Learning Resource Center. Both options involve CVT service reductions to accomplish this objective. Option 1 reduces service frequency on Route 709 and restructures Route 711. Option 2 adds 2 buses to Route 709 to maintain current service frequency, restructures Route 711 and eliminates about 65,740 annual CVT miles by reducing service on Routes 701, 703, and 705. Council should also be aware that staff developed these options in a short time period. They are meant to show only two cost reduction approaches that could be evaluated further. Option 1 CVT route structure under Option 1 is shown on Attachment 1. The following is a summary of the service changes for each of the four existing CVT routes serving Southwestern College, including cost and service impacts. 1. Route 704: No change to existing service. 020- 7 Southwestern College Transit Facility -2- August 2, 1994 2. Route 705: Terminate route at new SWC transit facility; eliminate service on Otay Lakes Road, Gotham and Rutgers Streets. Retain current frequency of approximately 40 minutes. Annual cost savings estimated at $37,500. 3. Route 709: Restructure route to serve SWC transit facility, Eastlake High SchoollLibrary, and terminate at intersection of East H Street and Eastlake Parkway. Reduce frequency from current 30 minutes peak/45 minute off-peak to 1 hour. Annual estimated cost increase of $65,700. 4. Route 711 Terminate at SWC transit facility; eliminate service to Eastlake area (Eastlake area service provided by Route 709) Current service frequency of approximately 1 hour and 20 minutes improve to 1 hour. Annual estimated cost savings of $85,000. 5. Annual estimated total cost savin~ is $57.500 or about 21,300 miles based on current CVT total operating cost. Option 2 Under option 2 CVT Routes 704, 705, and 711 would be the same and described in Option 1. However, two buses would be added to Route 709 in order to maintain the current service frequency. The following is a summary of estimated changes and impacts. 1. Route 704 (Same as Option 1) 2. Route 705 (Same as Option 1) 3. Route 709 Maintain current 30 minute peak/45 minute off-peak frequency. Restructure Route as under Option 1. ~CJ-?5 Southwestern College Transit Facility -3- August 2, 1994 Estimated annual cost increase is $300,000, including $250,000 operating cost, and annual depreciated cost over 15 years of $50,000 for two new buses. 4. Route 711 (Same as Option 1) 5. Total annual estimated cost increase is $177.500. 6. Estimated annual cost increase under this option of $177,500 is 65,740 miles based on CVT total operating cost of $2.70 or about 5.5% of total CVT system annual miles. In order to make up this cost increase, staff looked at reducing service on a number of routes. Although staff has not had time to do a detailed analysis, following is an example of some potential service cuts that could be evaluated further. Eliminate Route 705 Sunday service: 14,200 annual miles Eliminate four evening trips on Route 701: 22,000 annual miles. (The last trip on Route 701 would depart H Street station at 8:00 pm instead of 10:00 pm.) Route 703: Eliminate two evening trips for a savings of 11,000 miles. (The last trip would depart H Street at 7:45 pm instead of 10:00 pm.) The balance of the mileage could be made up by reducing Route 701 weekend service (Saturday and Sunday) from current 30 minutes to 1 hour frequency. In addition, listed below for your information is a current ridership boarding and deboarding from Southwestern College from CVT Routes 704, 705, 709, and 711. This data was collected by SANDAG in Fall 1993. This data shows that total College ridership for these four routes is 1,420 or approximately 47% of total ridership for these four routes. Southwestern College Routes Daily Data from FY 1993/94 Passenger Counts Route # FY 1993/94 Route College Trips to At Southwestern College Daily Ridership SWC Ons Offs Total Total Percentage 704 22 370 329 699 1,048 66.70% 705 26 95 104 199 1,007 19.76% 709 20 164 245 409 874 46.80% 711 13 66 47 113 212 53.30% Totals 81 695 725 1,420 3,141 46.64% WMG:SB M:\HOME\ENGrnEER\BD..LG\SWCMOORE cf((j~4 f~'+\\*\< ~ v' ~ <,. Bon/""'\%?:&~o- Of.... :~:~'in, ,,;1 j-= @j4Vii;' ~ , II I I I I IIII II I IIIIIIII~ 1111\ IIIIII1 Routes Serving 1111\ Southwestern '11111 College Transit Center ~ o , --- () ftTr~J.t jf1t;:j// J. Co"e' Cenyon Roed ~ Route 709 Term/n.". .t E..fLAke Drive & Eee' H Street prive ellstLBk~ street &. ellst Leke.hore DrIve. . . ~ "S'o",<'." 0- .... l.et~ *e' e let _....~ ~\~c,e<' ~o. (jo ~ to' -f"tf Eelltub High School & LIbrary ~V?- ~ ~~~~ Cf1Y OF CHUlA VIS1"A ~ ~ I ....... ....... Eost '"' st. J - <<- ,%, Arr~HJteff S' Otay LOkes ~ (I. ,09 ~6' 0<:' (>('41 -s:-V ~oq ~fI>(:f, "e Route Legend: Existing CVT Routes Serving Southwestern College Route 704 Route 705 Route 709 I_._:.\:~Z ""{:::~~~ Route 711 ... Chula Vi.to I "- ~ /f-TTffCIff'-'1GJ../J' '6 -::.. ~ 00. ~ oJ)~ d. ~ . -,oq East \-\ St. o - ,\ ~o. 0(' ()('.... () ~v;:.. '10~ a~C) '\~ Route Legend: CVT Routes Serving Proposed Transit Facility at Southwestern College TIt9.,sor "'/le.'l..rry "*" Route 704 .......... Chula Vi.to Route 711 Route 705 Route 709 I ,~, ..~~3f,J~.~}~ l ~ '+ffIJ<:.H/It€ Pr '1. ~,~. ~~ ~~~~ odl~ I I ----.. NORTH ---r- I -- ~ - , Not to Sell" - ,~ -\ C) ~ - This Page Blank - ~ .1.0-'<0 COUNCIL AGENDA STATEMENT Ite~20 Meetina Date 4/11194 Report on Southwestern College Transit Facility Director of Public Works W City Manager .J4 ~ ~ At the June 9, 1992 meeting, Council considered a location for a transit facility at Southwestern College located on Otay Lakes Road between the Gotham and Elmhurst Streets entrance to the College. Many residents of the area objected to this location..t the Council meeting. Council rejected this transit facility location and directed staff to look at other locations which would not impact existing landscaping on the College campus, and also to encourage public participation in the planning process. Councilmembers Rindone and Horton were appointed to a Council subcommittee to facilitate transit facility location discussions. ITEM 'TITLE: SUBlW.J1)!;J) BY: REVIEWED BY: (4/5tbs Vote: Yes_NoA) RECOMMENDATION: That Council: 1. Not pursue developing a transit facility at the proposed location of the Southwestern College LibrarylLearning Resource Center. 2. Schedule a joint meeting between Council and the Southwestern College Board to discuss the transit facility project BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: On October 5, 1992, a meeting was held in the Council Conference Room to discuss the proposed transit facility. This meeting was attended by representatives from the City, County of San Diego, Southwestern College, and residents from the neighborhood near Southwestern College. The meeting concluded with the understanding that City and County staffs would identify a greater number of possible locations, both on and off Southwestern College campus, that might be suitable for a transit facility. City, County, and College staffs jointly identified additional sites; each site was evaluated based on criteria that took into account concerns expressed by the College, the community, and factors related to bus operations. These sites are presented in Auachment 1. A second meeting of this group was held on October 3D, 1992, to discuss these various site alternatives. The objective of this meeting was to reach consensus on up to three site locations for presentation to the Southwestern College Board at its November II, 1992, meeting for consideration. The group reached consensus on three sites in order of priority: Site 6A16Al; Site IBl; and Site 4. These sites are shown on Attachment 2. Site 6A16Al are variations on an expansion of the existing CVT bus drop off area on the Southwestern College ring road. Site IBl is a modification of both the original proposal approved by the O::!1ege and presented to Council on 1une 9, 1992, and Site IB on Attachment 1. This proposal sets back the facility about 150 feet off Otay Lakes Road and uses part of an existing parking lot area. Site IBl was identified by the group at the October 3D, 1992 m~ as a site that potentially could _ . . a;)..t:J? - /1 Pale 1. ItemJk... Meetinl Date 4/12/94 meet Transit Operations objectives and the concerns of both Council and area residents. Site 4 is a -horseshoe" design that uses the Gotham Street campus entrance and is perpendicular to Otay Lakes Road. These sites were presented to the Southwestern College BllIU"d at its m~ng on November 11, 1992. At that meeting, the Board requested some additional information on the proposed transit facility at the College, including existing and proposed Chula VISta Transit service to the College. This information was presented to the Board at its December 9, 1992 meeting. At this meeting, the Board also solicited comments from the public. The Board indicated that it would consider the transfer facility location again at its February 10, 1993 meeting. At the February 10, 1993 meeting, the Southwestern College Board approved a location for a transit , facility neat the proposed new Library/Leaming Resource Center. This site is adjacent to the Campus Ring Road in the existing parking lot next to Devore Stadium; access is off East H Street. This site is shown on Attachment 3; it is also indicated as Site 5 on Attachment 1. This site received the lowest score of all sites evaluated in Fall 1992. On February 26, 1993, a meeting was held between City, County and Southwestern College staffs to discuss this location. City staff identified numerous concerns about this location including: additional operating cost for CVT buses; access improvements that would be needed both on East H Street and on campus; and the timing of developing a transit facility with the new Library/Leaming Resource Center, which the College anticipates would not be built for at least five years. The three parties involved in this project - the City, Southwestern College, and County of San Diego - agreed that this location should be evaluated further. The College agreed to contact the architectural . firm, LPA, working on the Library/Leaming Resource Center plan, and request LPA to address some of the development issues and concerns of a transit facility at this location. A meeting was held on November I, 1993, with the College to discuss this project. The attached letter from lohn W1lsoD, Director of Business and Operations for the College, to Assistant City Manager Sid Morris, presents the College's commitment to a transit facility at this location (Attachment 4). The College has asked the City to respond to this location for the transit facility. A transit facility at this location has severe access constraints for CVT buses. It would increase CVT's operating costs; it does not function well as a transfer location; and it would result in longer trip time on most CVT routes for all passengers, including those destined for the College. T",n~it Facility Functions Staff believes a transit facility at Southwestern College should meet the following operation objectives: Improve CVT aervice to Southwestern College. Serve as a transfer point for CVT,routes. Improve CVT operating efficiency, including reducing operating costs. '. There are two bus operations functions that should be achieved to meet these objectives: quick access to and from the College for CVT buses; and cenu:aJization ~f all CVT buses at rme location. Currently, there are four CVT routes that serve Southwestern College: Routes 704, 70S, 709, and 711 (Attachment :Lo-l1- Pale 3, Item 1(, Meetin& Date 4/12/94 S shows these four CVT routes). Route 704 enters the College campus on Otay Lakes Road, and Routes 70S, 709, and 711 board and deboard passengers on Otay Lakes Road. Therefore, only Route 704 enters the College campus. The eadsting CVT service to Southwestern College does Dot meet two important operations objectives of quick access and bus centralization. Route 704, which enters the campus, experiences delays of 5-} 0 minutes during certain times of day, particularly when College classes are starting or ending. Secondly, since the four routes serving the College do not stop in one location, bus capacity is not used efficiently. Most students want to ride the bus that enters the campus; therefore, Route 704 is often over capacity while the other three routes that stop OD Otay Lakes Road are often under capacity. Centralizing the buses in one location is also necessary in order for the transit facility to serve as a convenient transfer point for non-College destined CVT passengers. This transfer point would serve future CVT routes operating in the EastLake area, and avoid the need for all CVT routes to travel from the eastern part of the City to one of the three Trolley stations. When evaluating the transit facility at the proposed LibrarylLeaming Resource Center site against the bus service and operations objectives discussed above, there are certain advantages and disadvantages with this location. Attachments 6 and 7 show how CVT routes would be changed to access this transit facility. Advantal!es Since this location is not visible from either Otay Lakes Road or East H Street, there will be no negative DiJW impact on surrounding neighborhoods. There is sufficient space to develop a facility in this area and no apparent loss of existing landscaping. CVT buses serving the College would stop at one location, thereby improving bus capacity utili:ation. The location provides convenient access for College destined passengers to the north side of the campus and the proposed new Library!Leaming Resource Center. Disadvantal!es ~ This site would increase CVT's operating and capital costs. Staff estimates that in order to maintain the tlresent CVT service leveL a transit facility in this location would add avp.o.l<i"'-tely 5285,000 annually to CVT's operating and capital costs. This cost increase is due both to the additionsl miles to access the facility from East H Street, and ad"i." three buses on Routes 709 and 711 to maintain current service frequency (.,ltttol'.h"'ent 8 summarizes the cost impact of this location on eadsting CVT service). Access to the tlrOtlosed location presents the following problems for CVT operations: . ~ There is considerable traffic entering the College before classes, exiting after classes, a:.d when there are specisl events or activities at the College such as football games. Delays occur both pro~i"g east on East H Street, and 'Westbound at the left ~/3 Pale 4, Item J (, Meetinl Date 4/12/94 tum signal at the campus entraDce on East H Street. For example, on Tuesday, January 25 and Thursday, January 27, 1994, at approximately 7:45 Lm., the Transit Division Adminiotrative Analyst recorded the time delay for two approaches to the proposed tnmsit facility site. The time to proceed from Otay Lakes Road and Elmhurst Street to the site was 10 minutes. This routing simulates CVT Routes 704, 709 and 711. The other approach took about 6 minutes, from Otay Lakes Road north of East "II" Street (in front of Bonita Pointe Plaza). This routing simulates CVT Routes 705 and 711. For the two CVT routes that proceed to the East1ake Area - 709 and 711, these delays would occur on both the inbound and outbound trips, resulting in up to 16 minutes additional trip time per one round trip. Therefore, without extensive oft'site improvements on East H Street, such as an exclusive bus lane, buses would experience sisnificant delays on East H Street while entering and exiting the campus during certain time periods. The College has committed to access improvements on campus only; oft'-site improvements would be the City's responsibility. Traffic counts were taken for vehicles entering and exiting the campus via the East "R" Street access road. The counts covered the period from 12 p.m. Monday, December 6, 1993 through 12 p.m. Friday, December 10, 1993. The average daily traffic (AD1) was 8,220, with 4,260 vehicles entering and 3,960 exiting. The counts showed definite peaks in traffic flow, generally coinciding with class start and end times. For example, between 7 Lm. - 8 Lm., an average 668 vehicles entered the campus, or 16% of total daily entering vehicles. Another sisnificant period for entering vehicles was between 6 p.m. - 7 p.m., when 445 vehicles, loolo of the total entering vehicles, entered the campus. The major period for vehicles leaving the campus was between 10 Lm. and 2 p.m., when an average of 385 vehicles ner hour exited, representing 39% of all daily exiting vehicles. These peak times for vehicles entering and leaving the campus would impact CVT operations, and complicate CVT scheduling, since schedules would have to allow sufficient trip time during peak traffic periods. It should also be noted that these traffic counts did AQ1 include traffic generated by sporting events (such as football games), since no events were scheduled when the counts were taken. . Distance: The distance from East H Street to the proposed tnmsit facility location is approximately 1/4 mile (please see Attachments 1 and 6). Therefore, every time a CVT bus entered the campus, there would be an approximate 112 mile round trip diversion from East H Street to the facility and retum.Routes that do not terminate at the College, but continue on to the east (cumntly Routes 709 and 711) would enter the campus llmh on the outbound and inbound trips, resultinLin a one mile addition to _r.h rnnnd trip _This diversion to the tnmsit facility would increase CVT's operating costs, reduce service frequency due to increased travel distance, and is an out-of-direction travel pattern for non-College destined CVT passengers. . Noise: _The entraDce road to the campus has a steep grade and there would be engine noise from buses accelerating When enterins the campus and potential brake noise when buses exii"the campus. This noise, and exhaust fumes ~;:n buses, could have a negative impact on existing residences adjacent to the campus entraDce road off East H Street. eQV~ lJ/ Pale 5, Item~ Meetinl Date 4/12194 _ Tnn.fer Function: This location detracts from the facility's function as a transfer point, panicularly for non-College destined passengers. Its distance from East H Street, and the out-of- direction travel pattern for through CVT passengers, becomes even more evident and inconvenient when the College is not in session, and CVT buses proceed to the transit facility when there are no College destined passengers. In snmm.'Y, bus access in terms of_and distance are the major disadvantages to this location. Bus access time could be improv~ by on-campus traffic flow improvements and tDd.enSive off-site improvements on East H Street.. The College has indicated that any oft'-campus improvements. would be the City's responsibility. HoweVer, even with unrestricted or preferential bus access, the distance to the location from EUt H Street severely detracts from the transit facility's function as a transfer point Therefore, it is staff's recommendation that the City not pursue developing a transit facility at this location. Altmnative T",n~it Facility Location Ju a result of City and County stafrs conceptual evaluation of additional transit facility locations in Fall 1992 (Attachment I), one site that met CVT's operating objectives, and Council's objective of not impacting existing landscaping on the campus, was Site IBl (Attar.hment 2). This site was also concurred in by the group considering various alternative sites on October 30, 1992. This site is a modification of the site originally recommended by the Southwestern College Tmnsit Center Feasibility Study and approved by the College Board (modified in that it required removal of less green space). Site IBI is located between the Gotham and Elmhurst Street entrances to the campus but is set back about 1 SO feet from Otay Lakes Road and lltili...." part of an existing parking lot Site IBI was identified by the group as a variation of Site IB (Attachment 1). Site IBI is located about SO feet further on campus than IB, and uses part of an existing parking lot The primary advantages of this site are: It would meet Tmnsit Operations objectives of quick access to the College, and centralization of bus routes at one location. It serves well as a Tmnsit transfer point It meets Council's objective of not impacting campus landscaping. It should have no aesthetic or environmental impact on the neighborhood. Both MTBD and County staffs concur that this site would function well as a transit facility. It is staft"s recommendation that Council schedule a joint meeting with the Southwestern College Board to reconsider a transit facility at the Site IBI location. Minor Imtlrovements on Otav , ..lees Road If either Council or Southwestern College do not wish to pursue a transit facility at the IBI site (or at any alternate location oft' Otay Lakes Road), then staff recommends that a transit facility at the College not be pursued further, and that CVT routes board and deboard passengers at stops on Otay Lakes Road. A new traffic signal and crosswa1ks will be installed by Summer 1994 at Gotham Street and Otay Lakes Road. Once the signal is activated, College destin~ CVT passengers will have a safe way to cross Otay Lakes Road when boarding or deboarding CVT buses. Bus passenger amenities such as shelters and . _", ~ 0 - I :5 Pale 6, Item I" Meetinl Date 4/12/94 benches could be installed on Otay Lakes Road. 1bis area would serve College destined CVT passengers and also serve as a transfer point for CVT passengers with minor low cost improvements. !l:nmm.rv A transit facility at the proposed LibrarylLearning Resource Center would increase CVT's operating cost, reduce service efficiency and effectiveness, and result in less convenient bus service, particularly for Don- college destined CVT passengers. Staff does Dot recommend pursuing a transit facility at this location. A transit facility at Site IB I, located about 200 ft. off Otay Lakes Road in an existing parking lot, would meet CVT's operating objectives. If Site IBI is Dot a feasible alternative for the facility, th-=n staff recommends m.lring minor capital improvements OD Otay Lakes Road and boarding and deboarding all CVT passengers in this location. - FISCAL IMPACT: The County of San Diego has dedicated a total of $900,000 for the Southwestern College transit facility. Approximately 5180,000 has been spent to date on planning and design work; therefore, 5720,000 r..m.in. for this project. It is staff's opinion that the transit facility location at the LibrarylLearning Resource Center site has access and operations problems that cannot all be mitigated, . even with significant design and engineering improvements, such as exclusive lane for buses on H Street and priority signalization for buses entering and existing the campus. Including offsite improvements such as these as part of the project would exceed substantially the 5720,000 pml.ining in the County of San Diego's budget for this project. The County has indicated that additional funds are Dot available for this project. Southwestern College has committed to access improvements on campus only; off-site improvements would be the City's responsibility. Staff also estimates that a transit facility at this location would increase CVT's operating costs initia11y by 5285,000 annually in order to maintain the current CVT service level. Attachments: Attachment 1 - Attachment 2 - Attachment 3 - Attachment 4 - Attachment 5 - Attachment 6 - Auachment 7 - Attachment 8 - Attachment 9 - Attachment 10 - WMGIF"J1e: DS.o30 WI'C r_-.uu.cN'''.lI!I Alternate Transit Facility Matrix Transit Facility Sites IB1, 6A16AI, and 4 Southwestern College Board approved Transit Facility Location Letter from John Wdson to Sid Morris Existing CVT Routes to Southwestern College Map CVT Routes serving College-approved Transit Facility (area) CVT Routes serving College-approved Transit Facility (detailed) Estimated CVT cost to serve College-approved site Council Agenda Statement 8r. Minutes of June 9,1992 Excerpt Minutes from Southwestern College Board ~-o-l ~ f~- r- ~~/~ IJTrIJCHMGI.IT I. Evaluation of Possible Southwestern College Transit Facility Locations Legend: 0 Good (2) e Fair (1) · Poor (0) , :} } Criteria I ~ i I ) I f~ a I ~~ II "'= "'= ~ ! a~ ?let Sites I f ... l !l t~ 1& ! t II I J Ii ~ l~ a !a l.A. Original Propoaal: E> 0 0 . 0 E> E> . 0 0 0 0 Between Cotham.. _ 17 Elmhunt (Opt. 1) 1.B. Modified p""pout: 19 E> 0 E> E> 0 P E> E> 0 0 0 0 Setback~ from Otay Lakes Road :z.A. Original ~poaal: 16 E> 0 E> E> E> E> E> . 0 0 0 0 South of Cotham (Option %) :z.B. Modified Propoaal: E> 0 E> E> E> E> . E> E> 0 0 0 Option % Setback IS Behind !!" II.... ~'), :z.c. Option 2: Setback to ' 14 E> E> E> E> E> 0 0 0 E> . E> E> u.. swc Paddng Lot.. _~Road - -- 3. Original Propoaal: E> 0 E> 0 0 E> . 0 . 0 . 0 ~orth Parkins Lot (Opt. IS 3) 4- Hoanh_ Uaing n E> 0 E> 0 0 0 0 0 E> 0 0 0 Cotham 5. 'H'StnetUaingSWC 8 . E> . e E> e . 0 . . E> E> Stadium IlDtrance 6.A. IUDs Road Option: Expand. ExUtlDs Bua ~2 0 0 e 0 0 0 0 0 0 e 0 0 Area with Dropoff@ Acbnin. B14 6.B. IUJIS Road. Optlon: u.. 14 E> 0 E> 0 0 0 0 e . . . E> &....lty B14 7. Vacant Lot: North ': Comer H SVOtay T .1.-. 12 E> e e 0 9 . . 0 0 e . 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ONe~'1 )i 611: fJ J7 wruOV.lS l1j ~ "'., + c,~ " I[ ." w.-c~ . . - ~~^TlVIS · A . . ~ ~'JlON NM'.; f1:rrncu-plG-AJlj CI uvtnrtJT ._.... .."_.... .../.....,....... _.... ~w!ST~ Q~ . _~o~~.;:..,..._..~--- .~~~1'1-."IO ~.~_J ...=,~ -.'- '. .' o souihweSten -1:OIIege ~1f",eJ/i ~ (c.rtu) C,e: ~""6-, :rPL ." 7" ::: i:.:, .':" .,:: : 0:::":' '.,:: ~ t. :-~"::.I..~ ~;:.'.': :..~.~'~ '''''3 ..~" 15 J:l. :\_l IJ! II: 13 caovemlll; Ioatd Augle Bareno G. GordCl'l"OWllW'lg. D.M.D Jerry J. ~h MorICl ,...,.. Perman JudV SchuIenbllrg ~~ M. Conte ~endenl/Pr"d<<'>f . November 10, 1993 Mr. Sid Morris Assistant City Manager City of Chula Vista 276 Fourth Avenue Chula Vista, CA 91910 Dear Sid: I have enclosed the information from requested regarding the location and improvements to our access road from improvements near our stadium. our architect which you project description for "R" street and parking the lot In reference to our commitment to the project, the District will be responsible for the widening of our access road from "R" street and the parking lot improvements in the stadium parking lot. The City/county would be responsible for the construction of the Transit Center and the "fifth lane" for bus traffic. I have attached the correspondence that Mr. Conte sent to Mr. John Goss in February regarding the approved site by our Governing Board. If you have any further questions, please contact me at 482-6320. Sincerely, 11 r{ )J7. 't,.1 d.,p&.v ~~. Wilson, Di~ector v-usiness and Operations JMW /ym ~ eel Joseph M. Conte, Superintendent/president Ken Fite, Viee President, Fiscal Affairs Bill Lieberman, MTDB Steve Ron, San Diego County Transit John T.ippatt, City of .......,,. Vista enclosure . YM\COMSP\SMOARlS.CCV\ 113 ~~o-.:Lt. _. ..... . ,...,M "-"J.,m ~AlU6'9) Al2-6323 . SOUIh_8Item Coml'\'U1IIY C'c'-ge l)Istr\Ct NO'v g \993 LPA .~;::C~~ '!J...nrr:~ MEMQRANOUM Inrerior ;:n..j~" U!:;':ri:J,'.'I!Atl.:,'!::::'. TO: John Wilson Southwestern College FROM: Joe Yee DATE: November 3, 1993 PROJECT NAME: Southwestern College RE: Orculation Description for the North Parking Lots and Transit Center PROJECT NO.: 93072.10 cc: Dan Heinfeld, LPA (;Ienn Carets, LPA MEMO: The entry drive has two lanes entering and two lanes exiting the north parking lots via 'H' Street. At the 'H' Street intersection there are five lanes of traffic, two for entering the campus and three for exiting the campus. (See Alternative 'B' diagram.) Connected to the entry drive is a two lane semi-loop road traveling two ways and linking to the campus ring road. The semi-loop road will also be servicing the parking lots In this sector and Transit Center with six bus parking spaces for the loading and unloading of passengers. An altemative to the two-way semI-loop road will be to designate It a one- way, 2 lane, road. (See Alternate 'It! diagram.) The entry drive connecting to 'H' Street will remain the same. The construction of a fifth entry drive lane dedicated for bus services would require additional intrusion Into the slope of the stadium, Into the paved area west of the field house, and additional height to retaining walls. VISually the slope bank will need to be re-Iandscape, icreening and softening the Intrusion of additional roadway Into the stadium area. This will need to be done with the four lane entry drive also. I think that the dedicated bus lane can be built and the visual Impact between a four lane road and a five lane road Is minimal and can be resolved. ' 0InP Caunly Sin Ditfo SoKr.1m.r.ro Tli\~". l.ac. - ~J. -- .- ~.( '"'~o - ~3 OM \.nIU~ Sun. 300 'rv;ne, C~ 9'::-18 ~X ~.,;5J.16:8 _. --1M,71~Jl)(l~ t" j - .. .. --;-1".. - . . 1'\Z; 1-"'~" ON'~'i ') wrnaV1S .. ",. + c..~ '. '10 VM~ . . ~ ~Tff!.N^Tl v& · A ~ t7, " ~ ~:q.ON ~ · ~ ~/, L" Cl utlfTL~ . so..' ._._ ,,__ _.;ef).-..R1l ~I/J~~ ~~ .;0;0. I ....;=1 .. .._~..::..... ~-:--- -4\,,61").,'10 I1f . I - II .. 11' { - , " II . .. ~ '. ~ ~'-\ . . .~,.~1lV6 ' ~ _H _ ..Ql)c.Q.S t~~ ceL.L,~ · ,",u LJ ~ ..-...-.... .".2.A1 _= ...... _'_ ., _ -:,..,., "" I 611: WC1lCV1S ~ . -~. - This Page Blank - ~ ~o -~-b If!1 8 i I! I . I . . I ~ e ))11 0 - 's .. B N ! .. I i .. ~ e- If t. i II I)J I .- . I I I I .. i i ~ I I ;; Ii f )1 I I I I I .. .. .. ! i \a I 1 ! II .. I " B J J Ii ... ... .. ... 0 .. I I. Ii I S I ! Id I d~~ .a & I ' I i f Jlj ,,' I I I , JJ ) II t ~ I I .r ~ II I ' I ~ i .: Ii .. II I I I I I I ! I 2 I I I a I) , . .. I J I II ... ... ... .. to. J II I I i I I I .. I J:: I ~ i if ~7T ,l/<:.JfIf<1GJJT 81/ CVT Service to Southwestern College Service to Southwestern CoI'ege Via Proposed College Transit Center (1) Current Service to Southwe.tem College Roule Number Current Number Bueee Current Deily Tot"s Current Annul' Mo.. Current Totl' Annuli COlts Number Bu", Required Proposed Dilly Totlls Annuli Mil.. Totl' Annul' Costs Annuli Revenue Miles Difference Annuli Operating Cost Difference 704 259 259 93 93 178 178 704 To"'. 2 99,388 $268,294 2 99,388 705 489 446 343 313 705 To,.,. 153 128 2 f50,978 $407,835 2 f37, f08 709 323 624 176 272 709 To"'. 2 9f,840 $247,968 4 f73,888 711 338 440 711 To,.,. f 88,528 $233,828 2 112,840 Total. 7 428,7f2 $f, f57,522 10 523,004 (@SJ.7ltt'.lIe) Totll EstlmlJted Annuli COlIt I_s. $254,588 Oparet/ng Cost Increl.. $50,000 Ceplt., Cost Increas. $304,588 To,., Annuli Cost Increl.. (2) $288,294 o $0.00 $370,192 (13,888) ($37,443.60) $469,498 82,048 $22f,529.60 $304,128 28,112 $70,502.40 $1,412,111 ~ 94.2921 $254.588.4011 (@SJ.1111.lIe) No (f.) (2.) Thl. comperl_ .sssumes Ihat IIHI present I.WlI of seMel on CVT routes 704, 70S, 709, " 7f f would be ml/nt./ned wlflllh. Trlnslt Cen'" The 311dd1t1onll buees required Ire esllmllld to cost $250,000 eech. They Ire depreciated over f5 yelrs to reflect III annUlI capltel cost of $50,000. If r;-- 2- ..€a - 3 't. COUNCIL AGENDA STATEMENT *rrJJCH/I1E~T 9. I~ IIHttllll Date 5/g/g, lTEJI TITLE: Resolution r"Loll Approving agreellent between the County of San Diego, Southwestern Community College District, and the City of Chula Vista for construction, _intenance and operation of the Southwes~e.rn~ollege Transit Center SUBMITTED BY: Director of Public Works ~ ' REVIEVm BY: City tu.na~e1 (4/5ths Vote: 'es-lto...JJ Council conSidered this item at its ..eting on May 5, 1992, and directed staff to provide the following additional' information on the transit center project: the traffic pattern exiting the college and transit center at Elmhurst St; a ~re detailed cost breakdown of the project; the cost of other transit center alternatives ..ntioned in the feaSibility study; and solicit the City Attorney's review of the contract to ensure that it contains adequate cost control language. Attached for Council's information is the agenda statement (including the feasibility study and agreement) considered by Council on May 5, 1992 (Exhibit 1). This agenda statement will present the additional information requested by Council. RECClMENDATION: That Council approve: 1. Agreement between the County of San Diego, Southwestern Community College District, and the City of Chula Vista for construction, .aintenance, and operation of the Southwestern College Transit Center; and Conceptual site plan Alternative 1 as shown in the Southwestern College Transit Center feasibility Study. BOARDS/CCMUSSIONS RECOIItEHDATION: Hot applicable. DISCUSSION: . 2. Traffic Pattern The conceptual design of the transit center has been slightly lIOdified to provide better ..nagement of traffic on the college access road (Elmhurst Street extended) and to its intersection with Otay Lakes Road. As noted on the attached diagram (Exhibit 2), a raised barrier island has been incorporated into the design for the purpose of creating an exclusive right-turn bus lane and to reduce confusion at the Otay Lakes Road tntersection. The lIOdified design creates better definition of the transit center exit driveway and should result in Opti.lIII safety perforlllnce of the Otay Lakes Road/Elmhurst Street intersection. After tt was determined that the best location for the Transit Center was in the proposed location it was determined that a traffic signal would be required at the intersection of Otay Lakes Road and Elmhurst Street in order ~~o-.33 Page 2, It. \3 Meeting Date 6/9/92 to permit bus traffic to safely and expeditiously ..ke a left turn out of the center to go north on OtIY Lakes Road. It would also provide the necessary brake in OtIY Lakes Road traffic to allow busses coming frOll the south to enter the Transit Center at Gotham Street. Under this plan it is also expected that college traffic will be attracted to the signalized intersection. Since the ranking of the intersection of Gotham Street and OtIY Lakes Road is based on the .ntering volume of traffic, which is basically warranted by the college traffic and not the neighborhood traffic, the diversion of traffic to Elllhurst would effect the nU1llber of signal priority points that this intersection receives. It was concluded that re-distribution of traffic due to the Transit Center would also reduce conflicts at the Gotham Street intersection but would cause a greater impact at the El.nurst Street intersection. Cost Braakdown A cost estillate for the project is attached IS Exhibit 3. Transit Center construction, including the traffic signal and a 15S contingency, is estillated at $745,000 or about 65" of the total project cost. The other ..jor cost components of the project are: the feasibility study, design, construction inspection, and project .anagement. Land will be dedicated by the College. As indicated in the attached letter from Sharon Jasek Reid, Deputy Director Public Works, County of San Diego (Exhibit 4), the two lIain objectives of the project design were to develop a facility whose function would improve transit service and auto access to and from the College; and also be aesthetically compatible with College architecture and enhance existing development in the area. Cost of Altarnatives Detailed cost estillates were prepared only for Alternative 1, the recommended site plan. All four alternatives share the same basic design components; the only lIajor difference among the alternatives that would affect cost is location. The County staff and consultant for the project, Estrada Land. Planning, estillate that the recOlllll8nded Alternative 1 and Alternative 4 are comparable in cost, while Alternatives 2 and 3 would be aore expensive. City Attorney Rav1ew of Aareement The attached letter from Ms. Jasek Reid (Exhibit 4) indicates that the agreement allows all three parties cost .control through the design and review process. Section I.C. requires the County to obtain City and College final approval of project design and Section IV.A. states that the County will submit 301, 701, and final working drawings and specifications to the City and College for approval. The City Attorney has reviewed the agreelll8nt and concurs that the existing language provides adequate cost control for the City on the project. ,~...~ ~ cflo - 3lJ Page 3, It. )..!. Meeting Date 6/9/92 FISCAL IMPACT: The total estlaated cost of the Southwestern College, Transit Center is $1,150,000, which includes the completed feasibility study, engineering drawings, construction, inspection, and project unagement, including a 15S contingency. Southwestern College w111 dedicate land to the City for the Transit Center. The County of San Diego has programmed $900,000 of its TOA funds for this project, and the City will commit up to $250,000 of its TDA Article 4.0 funds to this project, if needed after expenditure of the County funds. It is difficult to estimate annual -.jor ulntenance and repair costs or potential ltablltty costs related to center operations. However, SCOOT .aintenance and repair costs at the H Street Trolley Station Transit Center (which is a comparable fac11 ity to the one proposed at the COllege) have averaged about $800 annually over the past ten years and there have been no liability costs related to the H Street Station Transit Center. WMG:DS-030/DS-037 liPC 15571 . - aE:'l_ ",-..20-35 nns PAGE BLANK . , 020 -g~ \~"l.f ~ RESOLUTION No.-1101o n RESOLUTION or ~~ eITY eOUNe~L OP THE exTY OF CHtlLA VISTA APPROVING AGREEMENT BETWEEN THE COUNTY OF SAN DIEGO, SOUTHWESTERN COMMUNITY COLLEGE DISTRICT, AND THE CITY OF CHtlLA VISTA FOR CONSTRUCTION, MAINTENANCE AND OPERATION OF THE SOUTHWESTERN COLLEGE TRANSIT CENTER WHEREAS, at its meeting of February 20, 1990, Council approved an aqreement between the County of San Diego, 'Southwestern College and the city of Chula Vista for a Southwestern College Transit Center feasibility study; and WHEREAS, the feasibility study has been completed which concluded that the Southwestern College Transit Center Project is necessary and feasible; and WHEREAS, the aqreement, and Alternative 1 Conceptual site Plan, have been approved by the Southwestern College Board of Directors; and WHEREAS, the total estimated cost of the transit center project is $1,150,000, including contingencies; and WHEREAS, said aqreement authorizes the County to proceed with construction of the transit center and defines maintenance and operation responsibility between the College and the City once the center is completed; and WHEREAS, according to County staff, the project will follow California Environmental Quality Act (CEQA) quidelines for environmental approvals through use of a Ne~ative Declaration; and WHEREAS, Council, at its May 5, 1992 meeting, directed staff to provide more information regarding traffic patterns, cost breakdown and other transit alternatives. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby approve aqreement between the County of San Diego, Southwestern Community College District, and the City of Chula Vista for construction, maintenance and operation of the Southwestern College Transit Center, a copy of which is on file in the office of the city Clerk. BE IT FURTHER RESOLVED that the Mayor of the City of Chula Vista is hereby authorized and directed to execute said aqreement for and on behalf of the City of Chu1a Vista. '~_r ~o..:.37 ~ BE IT FURTHER RESOLVED that the city Council does hereby approve the Conceptual Site Plan Alternative 1 as shown in the southwestern College Transit Center feasibility, study. Presented by John P. Lippitt, Director of Public Works C::\n\__ \~~ -e 6":' :s Y ~ Urban V: r. Veronica E. Jones 891 otay Lakes Road Chula Vista, CA 91913 May 28, 1992 I r. 1= "i. ~. ;,.:----- r:. i.' ,'of; ;!. I .~I. .- . I -:----: Faxed to (619) 425-6184 o~ 5-28-92 4:30 p.m. Honorable Mayor and city Council City of Chu1a Vista 276 4th Avenue Chula Vista, CA 91910. SUbject: SOuthwestern College Transit Center Honorable Mayor and Council Members, 'this request is for a public hearing to allow input from the public into the matter of the proposed transit center within the Southwestern College Campus and along the West side of otay Lakes Road. As you can see by our address our home of the past 26 years fronts on otay Lakes Road and would be immediately across the street from the proposed transit center. We had 10 years ago a transit stop in front of our home and got it moved to a commercial area due to the fumes and increased traffic at our front door. In the intervening years our side of otay Lakes was designated by you the City for no parking during school hours as the impact on the residences along otay Lakes was too great. Robberies have forced us to put bars on all our windows and doors and this is in part due to the growth in the area part of which was on again Campus Property. Although our request is self motivated in part it is also for the balance of the community. It was in. fact the effort of a neighbor so.e blocks away from Otay Lakes Road that alerted us to the approval of the project by the Southwestern College Board of Trustees. His alert was more of an alarm as the rest of the neighbors we have discussed this with are equally concerned with the negative impact of this project. .The following are so.e of the concerns: 1. No EIR was filed on the project. 2. Southwestern was originally planned to become a 4 year college and in fact was promoted as such for the bond financing to acquire the land and build the facility. A. 'the efforts of the Board of trustees in selling off parcels of land has reduced the land of the campus to prevent the conversion to a 4 year school. ~ ~a -3; ~1 B. Any further reduction in available campus land will further prevent future expansion of the existing institution. C. A review of the original and subsequent bond financing vehicles to check the propriety of the boards actions relating to the selling of land .specifically acquired for the c~pus. D. A review of the propriety of the Board to enter into a joint venture unrelated to education. 3. Lack of adequate traffic studies before the Board took action and prior to formulation of the proposal. 4. Air quality studies on the impact of Bus pollution. S. Moise studies on the impact of noise on the adjoining property owners and student population. 6. Environmental issue of reduction of qrass and plants in lieu of acres of concrete and asphalt. Sounds like the Brazilian Rain Forest syndrome. 7. A study on the impact on crime due to increased transient population. 8. A study on the need and feasibility if a 4 year campus is built elsewhere in area thereby possiblY reducting student populations and ridership. 9. Increased danger to Junior High and High School students walking, riding bicycles, and driving to area schools on otay Lakes Road.. 10. Increased danger and congestion to college campus students both driving and walking to college from ajoining community. '1'0 our knowledge these issues have not been addressed. In addition the lack of normal procedures to notify adjoining effected property owners is apalling, unfair and reminescent of railroading techniques of the Boss '!'Weed days. Before you mm city council passes judgement on the proposed project we are asking you to be a truly representative form of government. Please hear us, protect us, and in all sincerity represent us. ''!'bank you and we look forward to getting your response. Respectfully yours, U~~~ Urbon v:.Jijies / j ~~t ~(.{2.a/ ~onica E. ~~:' ,2~-40 ~4:.""'.A~ 4 o o - - CD cc CD -{I ~ A) =- (fh -. fI9 o CD :3 fI9 CD ~ -- '" . THJSPAGBBLANK . . 1 ~"'It> . o! 0 ... LIZ .~ Thomas A. Davfs 1657 Gotham Street Chula Vfsta. CA 91913 421-6577 May 21. 1992 . . - ; Th~ Mayor and Cfty Councfl of the Cfty of Chula Yfsta 276 Fourth Avenue Chula Yfsta. CA 91910 Dear Hayor and .embers of the Cfty Council: In February of this year I wrote to you regarding a decision by the city staff not to install a traffic signal at the intersection of Otay Lakes Road and Gotham Street. When that letter appeared on the City Council agenda for February 18. 1992. the city staff provided you with a brief written information report to substantiate their reasons for not fnstalling a traffic si9nal at the intersection. and recommended that you receive and file my letter without further action - which was done. After the Council action I corresponded with the City Manager. requesting further details that supported the staff decision not to install a traffic signal. e.g.. traffic warrants and traffic analysis. and so on. I also asked to know Why another intersection further north on Otay Lakes Road. at Camino Del Cerro Grande. had a traffic signal funded and installed. along with extensive curb and cross walk improvements. ahead of other intersections (Gotham Street being one of these) that the City staff itself had established as having greater need. I did not receive a reply to my request for information until May 12. 1992. more than two and a half months later. I can understand that the cfty staff has many important func- . I tions and duties to perform. and that responding to citizens requests for information intrudes on this process. but.it seems odd that it took so long to answer questions that should have .lready had answers ff the decisfon not to install a signal at Otay Lakes Road and Gotham Street had previously been documented. While this time delay is irri- tating. ft now appears to be a .inor issue. . The overriding reason for not installing a traffic signal at Otay Lakes Road and Gotham Street are city. col- lege and county plans f4r the construction of a Transit Center fn place of the front lawn at Southwestern College along Otay Lakes Road. The City of Chula Yista. San Diego dlo-4.:!. ... ~e._ I City Council. May 21. 1992. Page 2. County and Southwestern College staffs have been negotiating for some time among themselves to develop a plan for the construction of the Transit Center that will draw $900.000 dollars from county transportation funds and $250.000 dol- lars from similar City of Chula Vista funds. The front lawn of the college seems to have been chosen. as the site for the Transit Center in a roundabout way. Southwestern College controls adequate unde~eloped land on the corner of Otay Lakes Road and East H Street to build- the Transit Center. If this site were used. the cost might even be less than putting it on the front lawn since there are already traffic control devices installed in the immediate vicinity of the corner location. However. the Southwestern College administration wishes to reserve this undeveloped site for some future joint development venture with a yet-to-be-determined partner. As a result. the college has chose~acrifice the aesthetically pleasing and environmen- tally benign front lawn and convert it into an acre and a half of concrete. asphalt. transplanted palm trees and fake -Aztec-like- pillars. When I appeared before the City Council in February and appealed to you to reverse the decision not to install a traffic signal at Otay Lakes Road and Gotham Street. the city staff informed you that their decision was sound. based on a significantly reduced traffic volume at that intersec- tion. The staff position was further enhanced by certain financial benefits to the city derived from funding provided by the county for the construction of the Transit Center. The staff. it turns out. had not done a traffic study at the Otay Lakes Road/Gotham Street intersection. or the area. in a number of years - the information provided to you in February had no basis in fact. and was guess-work. It was not until April 28. 1992. according to the traffic warrants provided to me by the Director of Public works in his Hay 12. 1992 letter. that a traffic survey was actually done. some two months after I appeared before the City Council. No accurate traffic-data appears to have been used in the Transit Center planning to this point. either. The statement that staff made to you in February that the traffic count at the Gotham Street intersection had declined to 1100 vehicles per day was wildly inaccurate. After the April traffic count the previously reported volume turned out to be in error by 3781 - the April count indicates the average daily traffic volume at Gotham to be 4160 vehicles per day! -26 - 4 $ ~'i \"2 _ ,'" . City Council. May 21. 1992. Page 3. It distresses me that the city staff was so careless in providing you with accurate inforaation. I feel that this severely prejudiced your action on my February request. It was made to appear that there was no substantiation or justification for .y appeal. and naturally you acted accord- ingly. However. almost every aspect of the staff position in February was not supported by accurate facts (in some cases. none at all). The situation appears little changed now.-even after receiving the .answers. to ay questions addressed to the City Manager. The Director of Public Works. for example. indicates in his May 12th reply, that the traffic survey done in April demonstrates that the intersection of Otay Lakes Road and Elmhurst Street is now busier than the one at Gotham Street. My examination of the warrants clearly shows that the traf- fic volume at Elmhurst (the minor street) has a volume of 2000 fewer vehicles per day than Gotham Street. Somehow. with a traffic count half that of Gotham, Elmhurst was awarded a maximum of 12 points for vehicle volume - as opposed to 6 points for Gotham Street. This kind of suspi- cious manipulation of figures produced a forced total of 55 points for Elmhurst and only 43 for Gotham Street. Another weakness in the traffic study is the failure to take into account that traffic flow has been severely reduced along Otay Lakes Road between the Gotham Street intersection and Telegraph Canyon Road because of road construction. For over a year much of the traffic that might otherwise use Telegraph Canyon is. and has been. opting to use East H Street rather that fight the construction and congestion on Telegraph Canyon Road. I also note that the city staff has never produced factual justification for the installation of a traffic signal and side walk and curb improvements at the intersec- tion of Otay Lakes Road and Camino Del Cerro Grande/Surrey Drive. Failure to support this decision with facts aakes it appear more and more likely that the decision to fund a signal at that intersection was made arbitrarily. and ahead of intersections having a greater need. There are two request that I wish to make of the City Council. First. I would like the City's involvement in the matter of the Transit Center. and the commitment of funds for its construction at the site in front of Southwestern College. to be impartially reexamined. This project has c2tJ - 4S- ~~~ . . Cfty Councfl. May 21, 1992. Page 4. never properly fnvolved the resfdents fn the vfcfnfty of the college, and ft has not recefved a realistfc or accurate examinatfon of the ~ffect of fts constructfon on Otay Lakes Road trafffc flow. Second, I would request that a accurate, strafghtforward, determfnatfon be made of the traffic and pedestrian situation at the Otay Lakes Road/Gotham Street intersection, wi~h serious consideration being given to the fnstallation of a traffic signal there at the earliest possible tille. Thank you for your fndulgence once again of this mat- ter. A"'jk. ~vfs .20 - 4~ AA-=ft' I ::l.../LJ 11t Robert C. Muff 874 Xavier Avenue Chula Vista,. CA '1913 (619) 421.3320 -. . . , .: ...~~___ "___:7_:_ . ." i~' \ . Mayor Tim Nader 276 4th Avenue Quia Vista, CA 91910 27 May 92 SUB1: Proposed Transit Center - Southwestern College. Dear Mayor Nader: I have just recently learned about the proposed transit center being planned for the "front yard" of Southwestern College. As a CODcerned citizen and close neighbor to. SWC. I atronv1v onpose any plans to alter the beautiful landscaped area in front of the college bordering Olay Lakes Road. As Chula Vista rapidly expands eastward. Otay Lakes Road is becoming more and more commercialized. One of the last remaining garden &pots in this immediate area is the SWC campus. Much time. effort. and money has been spent planning and maintaining the front approach to the campus. 1 would hate to see the trees and grass removed to make way for lots of concrete to luppon a handful of noisy and polluting busses. Alternatives must be considered: j I. Empty lot - southwest corner of Otay Lakes and East "H" Streets. 2. Another area on campus. possibly in the ex;stin2 parking lot above Ik. west of the stadium. (This approach would save lots of concrete...and taxpayers money) Unless you have forecasted and documented a dramatic increase in passenger uaffic Into and out of Southwestern College. 1 seriously question the necessity to increase the capacity of the current bus stop. Request you reevaluate this uansit center requirement before we College Estates residents lose this beautiful area to yet another concrete jungle. ~::;~-c..} - ~rt C. Muff ~ Copy to: . 1. County Supervisor Bilbray 2. SWC President Conte 3. Star News Editor Jo-41 ._u~ \ - . THISPAGBBIANK . \ '2. ~ JI_ .2o~ ~lJ ~ .. June 1. 1992 Mr. Joseph Conte. President Southwestern College 900 Otay Lakes Road Chula Vista. CA 91913 Re: Proposed Southwestern College Transit Center Dear Sir: Recently it has come to our attention that San Diego County and South- western College are proposing to build a transit center at the present front entrance to the college. After reviewing the plans. we are list- ing below a number of reasons why we. as residents of College Estates (the residential area immediately to the Ea,t of the college) are opposed to the transit center: 1. Present economic conditions for Federal. County and City do not warrent this expendure of tax payers' dollars (estimated cost $1.150.000.00). Budget deficiencies have forced many public employees to accept their jobs on a part-time basis. or face lay-off. 2. In future planning this Center may be a Dlus for East Lake developers. However. it will empact the residential com- munity that exists all around the campus (North. South. East and West) by the additional traffic that would be created; as well as adding to the pOllution. Furthermore. zoning has been changed at the East Corner of Otay Lakes Road and H Stret. making this property available fOr another Shopping area. Together with Ralph's shopping center and the 7-11 strip mall at the other end of Otay Lakes Road. plus the Fire Station .at Elmhurst. the eventuality for an intolerable congestiDn of traffic in this immediate area is very probable. 3. We seriously question how the Transit Center would benefit the students who attend Southwestern. Our home being directly across from the main entrance to the campus. and also the fact City buses stop almost directlY in front of our house. we observe a very small percentage (perhaps as small as 10%) of the students using the buses as their means of transportation to the college. We ourselves also use the buses frequentlY (#704 and #705). and find there is a very small percentage of residents taking advantage of them. It is a well-known fact that students of highschool and college age are car-oriented; and most of John Q. Public for that matter. 4. We believe there is a safety matter to be considered also. With a Middle School. a Highschool. and a College along Otay Lakes Road. there are a large number of their students who walk along this busy highway to and fro~ school. The possibility for serious accidents to happen with the increased flow of traffic the Center would bring should not be taken liPUy. ~..2o - 41 , I Mr. Joseph Conte, President Southwestern College June 1, 1992 Page 2 5. Although this opposition to the Transit Center is more of a personal consideration, it is also one that we are sure is of considerable concern to all College Estate home owners. We believe the Transit Center would mean a great deal more traffic than what we already contend with when attempting to enter Otay Lakes Roadl would mean more air pollution and litterl and a lowering of our proper~y values. 6. The proposed location of the Transit Center at the main en- trance to the Southwestern College would mean destroying the beautiful setting it now presents to the public. It is our understan"ing after talking with persons in the City of Chula vista administration that this project has been in the planning stage now for two years. However, it only came to our attention ten days ago. Certainly more advanced information would have been appreciated by those of us living in the area. Thank you to give our objections your serious consideration. C~ Robert F. Kelley, Sr. ~Vt.~ ~j(~ )r~eanor E. Kell~Y-~ 875 Otay Lakes Road Chula Vista, CA 91913 482-1809 cc: Brian Bilbray, Supervisor, City of Chula Vista Tim Nader, Mayor Jerry Rindone, Councilman Leonard M. Moore, Councilman Shirley Grasser. Horton, Councilwoman David Malcolm, Councilman John Wilson, Southwestern College Tom Davis, resident College Estates ~~ (J.S 0 ,~~ \~ . '1!M vr>iA ~1.,y(bOIl>t (1lr~OIt Ire," #./3 1.]'tI'Z. A PETITION OPPOSIIIG THE CO~STRUCTlON OFA TRAIlSIT CEIlTER Oil THE FRONT LAWN 2F SOUTHWEST~RN COL~~GE By the residents of College Estates and surrounding areas Name Pr,-,,4- Address Date' Signature ~~:~_,.,_ __ .tl~ -~~_uuu~~~~~";-u.-w~t_~!.:__~.:!;_t~u~-:t 9'.... -v ~C"Lt.:Jio.U.Jluu_~WI.pu..At!../P.:i:.._qz. _ ~..- . 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By the residents of College Estates and surrounding areas Name Address Date Signature -:t!t~~'.r-A.g,~-"'tr_.L~_~.f~.?t_.G:f[:J..>:..?;:~~2 -r L\.l(c:, r; '/P-f.:' ".- ~ 6~J.' ~ ,{- _,r. .LJ.{ 'ct.icrT> -----------------~---~-~~L~~u~------.-------A- ---- , ~ ~/7 - . .t'~-" ,'" t' I..' ~ L..,~ U-Al"w., ,~.yt'-~.<~~-k........-._._...r' J' ___-:..I~_~.._'~(;~J:.._..b':::../~././,.?~ Wh' ." . ~ ..,.. , .~. --n.~~-.bL~Lu-~~.:~J...~u \~, ~ ;...~-t\:.~~~~'?./.I:!'~..c-' ~~ '-Iii ---l")-~.:~Jl ~ ~'~7 j:.~ .;- -~~~:"- --~~\ --:~--~--- C~.~: - ~ J.--U ctvl1:c ---~'"---~_u~)jaiL_ud~_______'_~_______ , ---~~JlcrJ:____rrJ:~:~l!~~~-~~J:~~_~~___~____~___~~~~. _it If!.. f!!!_!:.._!!t1/~:.tl@k _ j!l!!!!_!..@_ ~y_,i.._?! ~1.f.zd1..fiT",-7JJ::i, . ..tl.m-.~~~d-..-....~\.<;:;J"..cll--J,JiJtm,..... '# ~:~~~~f-l.:'p--..-~s..W--,:'>.:LCL~u~Lv..'f.f----.~4_. h?!.'''.1-~ k'1'!-;p~;'-li~':!fr-.....fJI..t:Jj--(~---~tb=--~:~~-~<'-~-.~ -Y~-I:..~!:t-..b.:J!!.d.~..::i~-ff..---W4'.k--....~~-.~'-r .~~ . -~e::(~f!J~Kf:----....-~A.. r:~~?.J)~.;..~~-~t~'~_-:r..!~75t:-~~~( ~ -~4~~~~K.1fJ/~~~..-~::..~&-~-~-~ - -~i'~~..-~f~~&-M..--~{~C{'Z.-?--""Q(~~~~St:/ITrr -:tk.~:-.:-c..~--~-~J~--..~!!~~-CY..--kJ~:.t.;-ec=k~~ _L.1~~!j~r. _tL':&..&'! y. u"~f!l'!~~ :?f..!:::_Ji~!~:___?v~;._:~ t!..I7'-4 (.c.."":;; ~ . ". -D-IVl.d..__~~:__...~rtf~_r..~_~_v___'_l_=/U__~~ _ -;/l~~~__P:.ijMs..?~~_.._~__tl_~'1YLtrJ2.__'Y..__M~~kl _ . .~ -- u_'. ~u~l!JJ~:_ ____._ft&..I{~1i_~_C_ _ ,.. . d'(,O.cJ . . . . .' ,i' : --_u__u___u_~_.,.- ___.&~_:~,,~l:",,& -_.:L~- . _ H'_ @ ~\ ~O - ~-S , aI/ill. '1lsTA- CIl'! C~tJNe, 4"~O~ ~Tertl" I~ ~,!., "l.. A PETITIOI ~TRUCTIOI OF A TRAISIT CENTER ON N L SOU't'1N!'rrlRN CoratE By the residents of College Estates and surrounding areas Name Pr:^ + Address Date Signature ..C!q,uk.A!" . _ _ ~_~l2 ,_i<:f..-~_~~~...J ~~__ ,g_1 ~~J:.f/_t:f:~~A: _~_~~_______ __IN _ __&.:.~_f_-'(.J!:}:~f:!..~ 1 ~ c./L~1. _SrI1_~_ u ....Wi)'~ _tt'f.i_ - bl<._ - ~:?:--~~~ - -- __~_-::!?Z:!{o/--_..-W-4--'1:!3e-~--~.u:----;'-....~ - ~ ~~.n~~~~-\eXl~~;__~jdrnL/itd..--'t.J~~Q~, i~ ~e;..k:X};!€u?-"2~.l..lru~i~'j!:C!;.-t.:~';.-~-\L __ _. . I __ ~ ~ J - "';'\.. .. I a .... '~-,' ftrA(~.f~tkf?:;!'-;S-~_<L.-:_tJ-:lt~~_:J:~-:c::.!~~tiiJ. ~_"_._,,,_.(,;~ I r /..:'- L.,. Gc.a.rs~~_~~.s.:I=-.....~~.:6_C:V_'--X--'..;l .&lt~t:. ~fl?7_;r.fJ!q~_~A-C--I2--&. :.~_n-_ ___u _1h€'t:f~<s-j.~.'2~c;I!!P--~---B~~-~-~~..._~:-t.~~- . ~ _ _~ r_'f..~n. _ G~V'::O'-_ V. _.....:r-1l.l&iC0- _~.: ~:.\l.__i. :.B.: l~~_ a"", _ -2l:e.g" 21:"" C~j l~ . 0 ~ . ~ 'A' 1/ t - f'- ~ 1. ' ,." 17" --' ---~- l:1~-~i -- itJ. ~__e.,________uu./.____ Tl~ -1:t/~:'~-(".(t:.l:~----- <4!L('I1w_..JJuc.v..u~~:i..:~_utJrrrL lEI/I, ~bld~5-A "'f..qfi:/Je.r:___-JJM.cA.-S.i..-QJLu~:-~-'i'- ~ .:Jni;;; .J.-!~.E~.JllN?rt1..~-..-lrt(~~-.sr--tgr;-6..:-<(;..1~fl( f./d;. _\t~~_~.:_C.hI,\~Lt.---..--:bfuM~--2t-.-c..\.:J>:-~;.!~-iJ..~~J) ,~ ~~8)_'lWu'----~~-~f.:-c.."---b:;-if..:J..~-~~li ~-f-..A _____;.____-~-$"L--~v{..--':I:-!~u~~-~ _ L~.w------ ______~-~-~--'-.-t:!J:~~ G. ~ u_tl..._~---~L~d'd..!..t.-(/'--f:.:l..::?:- r; (e.4-c.'" ,..7IA< -) -1 '''7.-.,1 ~~.Qo-S9 ;"5~~~ -13 ;;:2- , ~"II~ 1651 If Ury~ocJrcJe/L . ItG54IO" 7:1.... ~" "/'/n... A PETITION OPPOSING THE CO STRUCTION OF A TRANSIT CENTER ON R N. IIN By the residents of College Estates and surrounding areas Nllle Pr ;lIt . Address Date Si gna ture . - 7/\- ~ .....,1'1_ '1- c..+ '"' f/ G:i j, , .N:- a 7- '-!T"' ---- --, ~-~-~~.rJ.l~~__.1"1..V..:_ ~/~..:t__ ~4L . /tk4 c..-i.i/LEf?.'iL.'C_~~U~~b:ui!.__!WJ_~~ 11~_~t _~';_\'~'_ --~--f.:'U"__~_ . -/./ 1f;J!.... hr---.e- ~ .-'-. ~~jf.J.~--e..c;k--Lz:b---'t.!--);7 -r ?I~- -- - ----_~~--(!.t/.-k:7:..c:z~~~ ~9{ . 6RjS$O/l\~". '.. _ .....__-- Z'i4t!__ s.~~-.P-7~~fc2.- _ ~. - - -------__-~ ---q;_tJJ___~ ^ s ~ f'_ IMi~ ~""7_ . \A1. L. J::____ ~_~ _~L__ ~----'.I__.2:2__ - '~ ... /" ~~~ ' .. t-2- 9.2. . ----~- --~.-~7o~~- ______ _J~___ _ ~:r~ "'1~,]'__T..'_ --,-&-<;:;~th!J-""2_5..t__~:7:j.iL _ - '- 41-;;t':"'-GAf,Jf.. -.t"~itlS.t.;4.7~ -~-ifl~Lt---- -f- -".L6/..L94-5..lJ;!1J_"u,c -' ~ i / .... '-Jr-LJ ~ (7!7.7:!f..#J....,. ~/ -~ if--"-h.';1. ~ J u_.._ . -J"""':_~.u.A.Io___~_ -;-,-::..__t".. ': . V! .. J ' -{(""=-':1fL~';It~--..<r"'':';:;'-~''.~~--~'"4..L_t_'''___!l;-:J_'.2''-' ---- ~~t-t..~.7.----- . ---'!It----C.ry-----1'L'1.L~ra7~1 . ~---- r--'i_L.!.:_::;:'B-lJ:.~s.________'U'!.~~_ --;-~~---~---~~~.:-~-il.~_~L::~~__L~~~!~;:3 , /, .t:JI.JJ.UP..tWkf.-..!itrPJu!xJ,&c"-~--_.4i.-.2=~_~__.~e::t. ~~jf&fttlJ.J;;.-y.-.~~~~Y__:,_k1_-5.d_~ t( l ;;';;1:~.-!~>P~::5~~J.~~ .:z4!~.~~...f_~..I>U.d.t.......,,~J!'Y..."~_ ~ . . . ." .. Z-\\ J+Ct-~~6-SS . ../- , ~ CIhLI. vlSiA errl( t!d'h()~,L ACoetJOA nelM" 13 '1"[ ,~ .A PETITION OPPOSING THE CON~TRUCTION OF A TRANSIT CENTER ON THE 'RONT LA~N 0 SOUTH~EslllN COL~E By the residents of College Estltes Ind surrounding'lrels Nllle Address Dlte Signlture ,~ ~~J4f.F---- Cl~~~ti..__V/;~cp--~ --~- .._ _ ~ ___~~-Jlll//llR-CR.h~~/Jlsl-~.h.IJ~fiJl ,'5-7 A ..411 ' __________....~~/~~-L~~ ?/Y/3 I .... . , _ __ -lJIlIIII'I'= - c:~~:'. ~ !?.(-~- .rlZ;J~ ~':'1._IC:s.:::?t - tif.!? ~~. \omL..IA.~-L CltU,-:" rl .'IA IJ,._.. _ _ __. ____~=~ fo-..u:-----~---v....., r _ ___ ___ _. _VJ1bB-2CCbtjlaJ/iSA-C}/c;/3 _~--.- __ _____~_?:A.~U~l)~ 9/-7/.3. .:fJJ :.:Jar:;- - ~ /I /! /.:i. ~ ~I r:L ")~. -~. "7 ,<:2 . {. ....-tI-t.U.7[,/-f. <(..,. . .. b.. , ~ . ~,. . ~.f;_ ~__ ~__ __...___~______ ---- :..- ~'"' - i' I I - ~'~: ~ J,.. C"oLu Mbul 5T - ,I... ,I . V's,,, ~ A '91 '113 --. -~---~---~----- -----------------~~~~- -------- , .' . l~. ~) iJ ) q - , '~-;;,~-'~~.:-fl;.:~~-: ! __~fS_!BtJ_ll_'i~___~~il~_~~/CA /Yo ; ~ CL1cuJa1<:~- ! .Atl&J~~- .l:it;,. _ _ C;tls.L(,,~_Il11 r:5 _I:A_51'1t ~ --:..M&----;iFfr/:;.---- ___f!..~~f!.4t:--b:~--(J!~'-t--t(/_7A--CJ!?i' tj 13 _i\Jrr;;i..../;::L~..u:.!h-....~--..~~;:;.~-.:---'1~!;Jt::J.:-"J!~-~ q:? I 3> ~-~V:,.jt'f%-.~5t---9MJjJlA.if..:llJ 13 d~~---~-~~/f!:-1~rC--f..~:.c-~L7I -JL}._l;!'L~r::_.:cL.__r;,'_~___~- . ~. _~__~;.r___~~:,Kl ~ t"b:Z:~ _' _~__ -- T~~[.~j:.v.;jL_c:.:e:.__r:.:'L:_fc ~ '\' 1/"_' .'.' .\)~ ,I ___ /". 'i~/..... ::;...... . ';..J' ; , ... ~ I /- ..; - -;:>." tJ-- _~~_~~~----- _+~_ -------r~-----~------------ -' -. . , .J. ~, -, ,... u"" ?Co ___ _ ._~... , ".' ... ' f(. _I "'. ......-.r - ~. .~ , .~f. ~__~~_~~__----~----4-.-~-~s-.--------'---- ~~---- --- .., a.? 1 ~~.,r ;,J" - "_~~--.;.-_~L-...---AL=~ l' 1 j __1vJ.11..'?5T..Sr---~81--C)(-/.~d. . "D<t ~ ~q"... .~~ ~ /~~~~f ()~ _/ , (7:0 C'fIIL.I\ VI~i8 C,Tyee"AJe/( oi~/~14 ~M ,. " " fJtt'Z- A PETITION OPPOSING THE CO~STRUCTION OF A TRANSIT CENTER ON T~E FRONT LAWN F SOUTHWESTERN COLLE6E . By the resfdents of Coll.ge Estates and surroundfng areas Nalle ~ . ~ .uA1L2A1.-ZaN~~t2.rft);.BJ(ELfiD.~_-:.~_~_ . -~!i~!!L~f..Eiu_~.f!l1t'f~*-~?.RI-i';;~ __ . 4 J.!!'d.~C;./i-.tZL ,eJ~_oAL ~__._t;ZlJ.j b1!~l?!L~fJh_:__ _u ~ -C./!/!e.~-flAf_C}!~~1-___~_'Y'Lak~f~_~#s~_~_ '_ - tc~~!.P..1.l1U.g.t:c~.&(.'fLa._~~t.~ /.!9i..f~_ B.d..:__ ___ cb...!-s.-i.~cJ.':!-.!.A~ -~.1.fr.?:~--~.t2I.~ J -,k,.&-~-~<Lft -_ ___ :Jf?!t-Q.~J!r./?r!tQu_____C1oRJj[{}JSTCtL__~~_ ' J:~I-~~--~_~______Q9~__~J._rJ~__ ">- -L"-.J4.t~_-----_c....tfi..,>.._o;-.o~-t-.,dt1, ~ lc.i..r::~.kJ.._u ~_~ __ J!I!I!I!:i!i-~i1!..l..~u~!:_f...Jd_ ~!~~_ct. ~~J< ' .~~~-~~.i12.--.~a~r~~_?/~_~J(__~7r_~~ u$.Li~u-t/~LW'=~~~~u- ---~t~!~"S7!.:____q~_u_____ . 8.....,,___..,1V\ ,'1 .' - '?LA ~..L /') 1/ --~~~.:... _ _ _~_L~~__~""__---- ~~QL:cwkQ- ,-~~~~-~-/;t~~ ~~.c.' / E:t -;ff.. !:; ~.2~ ..u- /"~ ~~~' L _ ~- - - C!c ,-- -7- -------- -~- -----~--------..i~/ r t!.,.t. ~~ .,1/ ~~~------------- - - ~~--~-~~-,---- -, ~ -- - ~~~ -{;~~~_CJ!-... . _ 'iNd_{~fJ$Hzc..&a. ~!lM~-SC_._J:.1/.___~klj4 4 -~~_u_ _k!3~;~_st_"-~___0~~j . p~""" "-" . ~ \, ~Ct. ~ ' --~~T~u -l--------.;\L. - - ~, , ~ ---------------------------~------------------------------- VJ -' .~02<1~57 ....., --/~ . - _."....- , . . ~MA "'7r" <!f1o{ ~acJe'l ^,EIJOIt 'TU(<Ar3 1t(~lq~ .Jun. 3. 1992 Philip Ed. Ry.n 1631 Got.h.. St.. Chul. V1at. CA 91913 IIr. To. D.v1a 16S7 Goth.. St. Chul. V1at. CA 91913 I ! D..r IIr. D.v1a. -I ..y not b. .bl. to ..k. 1 tto th. ...1:.1ng on .Jun. 9th du. to working obl1g.t1on.. I .upport you in your ~1gh1:. .g.~n.t 1:.h. 1na1:..11.1:.10n o~ . bu. d.pot on th. ~ront l.wn .r.. o~ Sou1:.h~..t.rn Coll.g.. You ..k. ..ny v.11d point. .bout 1:.h. proj.ct. ..p.c~.llY 1:.h. l.ck o~ con.ult.t1on with, .nd 1n~or.at1on p....d 1:.0 th. p.opl. in 1:.h. n.1ghborhood that will . b. .:f~.ct.d. I~ I c.n ..k. it 1:.0 1:.h. ...t1n, on 1:.h. 9th I will go but 1~1 can not pl.... u.. my l.tt.r to yo~ .. . vo1c. .g.1nat th. bu. d.pot. (j ~ j.~ 1% ,20 - S-g ~ :r.J -,;L c, ~tltJfA "'51"'4- (!tlyC4fJN',(. ItGcvPII i 1"(;11;1 13 "If/'i t.. A PETITIOII OPPOSIIlG THE HE FRONT LAII OIlSTRUCTIOII OF OUTHII OF A TRAilS IT CEIITER RN OL ON By the residents of College Estates and surrounding areas Nalle Address Date Signature ~~~-~~~~~~~~~-~- ~-- , ~~-/A~~ ' ----- --~~ ----------cl~--...~~~!'L------ ___~__~ ----------------------------------------------------------- ----------------------------------------------------------- ----------------------------------------------------------- ----------------------------------------------------------- ----------------------------------------------------------- -------------------------~--------------------------------. -------------------------~--------------------------------- -------------------------*--------------------------------- ----------------------------------------------------------- - -- - --- -- -- -- -- ---- -- ---- -;----- -- ---- -- -- -- ---------------- ----------------------------------------------------------- --------------------------~-------------------------------- --------------------------~-------------------------------- --------------------------~-------------------------------- ----------------------------------------------------------- ----------------------------------------------------------- ----------------------------------------------------------- . - ~ ---I+-G}-... d.c==J .!2 0 - s 1 , Minutes June 9, 1992 Page 12 Councllman Moore stated one of the criteria included bi-cu1tj1r11 aspects. In reviewing the tum it included two Mexicm Nationals, eight other Hispanics, one Black, siPt of those listed were females, for Asians, and one Other. . CouncDwoman Grasser Horton agreed with many of Mayor liIader's concerns and stated it was an extremely hard decision to make.. She was very impressed with the Ust of architects but due to the time frame and funding, she felt that the City would be receiving a beaut\fu!ly designed project that they could be very proud of. She felt that if CouncD reviewed the top eight cjmdidates it would be very comprehensive and time consuming and she did not feel the time was available for such a review. . VOTE ON MOTION: ",".u...d 3-1-0-1 with Nader opposed and Malcolm alwhini"g. Mayor Nader requested that the City Clerk docket, under "'ayor's Comments, for 7/21192. amending the. CouncD policy for the selection of architects. councilman Malcolm returned to the dias at 9:43 p.m. 13. RESoumON 16611 APPROVING AGREEMENT BE'IWEEN nm coumY OF SAN DIEGO, soUIliWESl'ERN coMMUNITY COu.EGEOlSTRICT,ANDi'HE C1YFORCONSTRUcnON,MAJN'IENANCE AND OPERATION OF nm soUIliWESl'ERN COu.EGE TllANSlT CENTER . Council considered this item at its 5/5/92 meeting and requested additional information on the project. Staff recommends Council approve: 1) the resolution, and 2) the Conceprual Site Plan Alternative 1 as shown in the Feasibility Srudy. (Director of Public Works) Continued from the 5/5/92 meeting. William Gustafson, Transit Coordinator, summarized the project. l CouncDman Rindone requested clarification of the differences of the plan, specifically regarding the exit from the college on Elmhurst Street and the flow from the college exits. Mr. Gustafson stated the primary change was the island bl!ing extended to the west. It would segregate the traffic coming out of the college on Elmhurst extension rj-om the bus traffic that would either merge into the Elmhurst area or to circle around an exit on Otay Wes Road for the buses heading south. CouncDman Moore questioned whether there was landscaping on the island and the number of routes to the college in the fall. Mr. Gustafson presented a conceprual drawing of the isll\l1d and landscaping. He stated that there would be four routes which was one less route, but they would ~ adding all day service on Route 709. It would be less routes but more frequent service. . Counci\man Malcolm questioned whether there would be additional bus trips once the tranSit center was completed. He also questioned whether buses would be: allowed to idle in the bays. Mr. Gustafson responded that there would not be additicinal bus trips next Iiscal year but the fact that the center was there would enable them to expand service oyer the years if needed. He stated there would be a layover for some of the routes, i.e. between five to seven minutes. Mayor Nader questioned what new traffic signalization would be included. Mr. Gustafson responded that a new signal would be pla~ed at the intersection at Elmhurst and Otay Lakes Road. I ~...~a- ho , . Minutes June 9, 1992 Page 13 The following people IpOke in opposition to the transit center due to concems of air pollution, noise pollution, removal of open space, costs involved, limited parkins. me! aesthetic value: . Eugene Dershem, 1618 Elmhunt Street, Clula Vasta, CA 91913 .. Dawn Dershem. 1618 Elmhunt Street, Chula Vista. CA 91913 Do~d C. Bodie, 16S4lthaca. Clula Vista. CA 91913 Kathy Hibbard, 1651 Gotham Street. Clula Vista. CA 91913 John F. Markham Jr., 1663 Gotham Street, Clula Vista, CA 91913 Katherine Belo. 815 Otay Lakes Road, Chula VISta, CA 91913 Cecilia Vasquez, 811 Otay Lakes Road. Clula Vista, CA 91913 Samuel R. Longanecker, 1689 Ithaca Street. Chula Vista. CA Robert E. Chaffee. 1641 Gotham Street, Clula Vista, CA Veronica E. Jones. 891 Otay Lakes Road, Chula Vista. CA 91913 Urbon Jones, 891 Otay Lakes Road. Chula Vista, CA 91913 Mario Failla, 879 Otay Lakes Road, Chula Vista, CA 91913 Margarete Failla, 879 Otay Lakes Road. Chula Vista, CA 91913 Barbara Longanecker. 1689 Ithaca, Chula Vista. CA 91913, was not present when called to speak. Tom Davis spoke in opposition to the staff recommendation and presented petitions in opposition with 165 signatures. He also referred to his request regarding the installation of a traffic signal on Gotham Street and Otay Lakes Road. He felt the information regarding survey numbers given to Council were incorrect. Steve Harris. 713 Brookstone Road. "204. Chula Vista. CA, IpOke in support of the staff recommendation. Councilman Moore informed the public that there was a state mandate to improve the air quality by increasing the number or riders per car. If the City did not improve ridership the Air Quality Control Board would set mandatory fees and fmes. Therefore, the City was caught in the middle. The number of buses would not be increased due to the transit center. the turn around would allow safer movement for the buses. but it would also move the pollution closer to the homes. The question was whether It was the right location and he felt Council should direct staff to come back with a recommendation for the second best place. Councilman Malcolm stated he was committed to public trarlSit but wanted to make it clear that the County of San Diego could move forward with the project without the approval of the City of Clula Vista. The only reason it was before the Council was because they were requesting $250,000 towards the project. He wanted to have a transit center there but did not want the IBIS taken OUL The faculty parkins lot in front of the College could be utilized as a transit center which would utilize existing paved areas. He did not feel that public input hall been included early enough in the project. fie would like to send It back to staff to see what could be done to encourage public participation. public availability, and to be able to save the expanse of the grassy area. Councilman Rindone .tated he served on the Metropolitan Transit Deve10pment Board and felt a transit center was needed. He also referred to the .tate mandates and regulations and stated he was very much transit oriented. This was an occasion where citizens came forth and the rime had come were there needed to be a balance. Most speakers had acknowledged the need for a transit center and he felt It should be referred to staff to look for the next best location. MS (JUDdonclGrasser Horton) refer to staff to fiDd another appropriate location for the trarIIir center but DOt m place It where It would destroy the aesthetic beauty of the College. ~~02o-61 utes t 9. 1992 e 14 1II,.n.,.." Moore questioned whether the City would have to be a salesman and ,en the County on the t that the City Council did not want it there. that they would have to conaibute more money toward esiJll, and may have to ~ some infrastNCNre costs also. , Gustafson responded that the County wanted to do what the City wanted to do and the City wantecl to what the public wanteeL They did need to ta1k to the Collele u some of the issues discussed had been viously discussed and dismissed. mcilman Rindone felt there were other options to be considered. Le. main parking lot, southeut portion IDain lot, Otay Lakes !load at the bue with shuttle service to the Collele. etc. He felt that Southwestern Ilese wanted to be a loocI nelshbor ane! would work with the Council and the neishbors. I}'Or Nader stated that the neighborboocl wa. broulht into the process rather late and felt a lot of time we! have been Aved if there was a process early on where the public had been notified. He encouraled ishborboocls to establish community planning councils. . 7TE ON MOTION: lIJ'i"vvecI .......imously. lyor Nader informecl the public of the existing ordinance reluding the adjournment of a Council meeting 10'.30 p.m. unless there was a motion to continue. Due to several members of the public waiting to ldrea items on the alenda he would prefer to see the meetinl continued. S (Nadcr/Malcolm) to continue the meerlnl to bear items Sa, 14. 15, CouDcil Comments, acl QosecI siou. All other items to be continued to the meeting of June 16. 1992- arolyD Butler. 97 Bishop Street, Chula Vista, CA 91911, stated she hae! requested that 51 be pulled from \I Consent Calendar and now requestee! that it be continued to the meetinl of June 16, 1992. IayW Nader stated he would amend his motion to continue item Sa to the June 16, 1992 meetinl. ~ty Manlier Goss informed Council that item #8 required a 4/5th's vote and requested that Council address llat item. :ouncilman Malcolm requested that item 8 be docketee! for the meetinl of June 30. 1992. IO'IE ON MOTION: .pp,o)ftd .m...lmously. l4. REPORT REGARDING 1HE REQUESTBY!lOBERTO GRAnANNE. MD., FO!lAUEN . MiREEMENl" IN UEU OF POSl1NG A ~ BOND FOR 1HE DEFERRAL OP PUBUC 1MPIl0VEMENl'S AT 360 "H" sTREET . The owner of the property at 360 "H" Street is convertinl an existing sinlle family ~wel1in1 on the site to a medical office. The City has required wie!ening and installinl public improvements alonl the frontale of"H" Street. The owner hu appliee! for and was crantee! a deferral of this requirement with a condition a cuh bond be posted in the amount of 59.700. The owner hu requested that the City accept a lien on the property insteae! of postinl the cuh bond. As directed by Council at the 5/12192 meetinl, staff is c:umntly revisinl the policy relardinl the hancllinl and approval of lien asreements. However. because this request was alreae!y in process before the Councillleferral. staff is submitting the request to Council for consideration. Staff recommends Council accept the report and deny the applicants request. (Director of Public Works) MIyor Nader stated that Council would consie!er items 14 and 15 aitDultllleously. ~.20"-.b'L . . TEL: 619-421-0346 Apr 6~94 15:19 No.OOl P.02 . . ()li~ 10 o ~tsm eo...nIng _d Augle 8or..-.o Q. Qcrdon 81o_g. D.M.D Jerry J. Griffith MorIO NDYOI'PIlImOn Judy Sc:huI8nberg JoIopI. M. Cont.. ~..InI..ndant{Pr"cWI' MOVED BY GRIFFITH, SECONDED BY BARENO AND CARRIED, TO APPROVE AGREEMENT BETWEEN THE COUNTY OF SAN DIEGO, CITY OF CHULA VISTA, AND SOUTHWESTERN COLLEGE FOR A FEASIBILITY STUDY FOR A BUS TRANSIT CENTER AT SOUTHWESTERN COLLEGE, AT NO COST TO THE DISTRICT. AGREEMENT FOR FEASIBILITY STUDY -------.------------------ STATE OF CALIFORNIA) )SS COUNTY OF SAN DIEGO) I, JOSEPH M. CONTE, SECRETARY TO THE GOVERNING BOARD OF THE SOUTIiWES'!'b:HN COMMUNITY COLr.F:GR DISTRICT OF SAN DIEGO COUNTY, CALIFORNIA, DO HEREBY CERTIFY THAT THE FOREGOING IS A FULL, TRUE AND CORRECT COpy OF A MOTION UNANIMousr.y PASSED BY THE GOVERNING BOARD OF THE SOUTHWESTERN COMMUNITY COLLEGE DISTRICT AT A MEETING HELD ON THE 14TH DAY OF PEBRUARY, 1990. .2~ :::'NI~O ~.RO -b3 .--' -...- .....-- -........ ..1-. . <<>> s~ ~Ing IoCIld N.rJe Ilareno G. Gorden 8ro~. D.M.D Jerry J. ~lltIItl McwIo Ne.el-Permon N:Jy SChUlercerQ JolllPh M. Conte ~..lntendent/PrOlldonl CHULA VISTA CITY, SAN DIEGO COUNTY AND TRANSIT REPRESENTATIVES DISPLAYED ARCHITECTURAL RENDERINGS AND DISCUSSED PROPOSED TRANSIT CENTER AT SOUTHWESTERN COLLEGE. SUPERINTEN- DENT/ PRESIDENT'S REPORT -------------------------- STATE OF CALIFORNIA) )SS COUNTY OF SAN DIEGO) I, JOSEPH M. CONTE, SECRETARY TO THE GOVERNING BOARD OF THE SOUTHWESTERN COMMUNITY COLLEGE DISTRICT OF SAN DIEGO COUNTY, CALIFORNIA, DO HEREBY CERTIFY THAT THE FORF-GOING IS A PULL, TRUE AND CORRECT COPY OF A MOTION UNANIMOUSLY PASSED BY THE GOVERNING BOARD OF TH~ SOUTHWESTERN COMMUNITY COLLEGE DISTRICT AT A MEETING HELD ON THE 8TH DAY OF MAY, 1991. }u c;.di TO GOVERNING BOARD ~..Q6-CLf 900 Olay Lnlco. Rood . Cl'1Jla VIslc1. CA 91910. (619) 482-6301 F/'\X (619) 421-0346. SOUltlwesl.m Carnr'rlI-nIty College Olltrlct . o ~ eov.mIng Ioon:I NJrIe BorOtlQ G, Gardon Browning. 0,11II.0 JerrV J. G"tfltll lIIIarlo N.......Permon .Iud'( Scf>.jlenbelg JoIQph M. Conle 5lA:>..lIlIendenl/PrOlld...... . MOVED BY GRIFFITH, SECONDED BY PERMAN AND CARRIED, TO APPROVE AGREEMENT WITH THE COUNTY OF SAN DIEGO AND CITY OF CHULA VISTA TO CONSTRUCT A SOUTHWESTERN COLLEGE TRANSIT CENTER. AGREEMENT POR CON- STRUCTION OF TRANSIT CRNTER -------------------------- STATE OF CALIFORNIA) )SS COUNTY OF SAN DIEGO) I, JOSEPH M. CONTE, SECRETARY TO THE GOVERNING BOARD OF THE SOUTHWESTERN COMMUNITY COLLEGE DISTRICT OF SAN DIEGO COUNTY, CALIFORNIA, DO HEREBY CERTIFY THAT THE FOREGOING IS A PULL, TRUE AND CORRECT COpy OF A MOTION UNANIMOUSLY PASSED BY THE GOVERNING BOARD OF THE SOUTHWESTERN COMMUNITY COLLEGE DISTRICT AT A MEETING HELD' ON THE 8TH DAY OP APRIL, 1992. 0-", .~. CRETARY TO GOVERNING BOARD , ~3eJO-b5 900 Olav LnlcOl Rood. CN..da VIlla. CA 91910. (619) A82-6301 FAX (619) 421.0346. Southwest.rn CorTvnlIlIIy .~,ClIt.trlc:t .--- _.~ --. ---- o or' -'-' -- -- .'-'..- . o ~ eovernInQ Ioard AugO' Bareno G. Gcrdon Ilr~g. 0.1.4.0 Jerry J.l;lltfnh Marlo Neves-Perman ~ Sdlllltrberg Joaaph M. Conte Sl.ptttnlendttlt/Prosldonl CITY OF CHULA VISTA/COUNTY OF SAN DIEGO PRE- SENTATION ON TRANSIT CENTER CONCEPT/LOCATION. SID MORRIS, JOHN LIPPITT AND BILL GUSTAFSON, CITY OF CHULA VISTA, REVIEWED SIT~ OPTIONS FOR PROPOSED TRANSFER CENTER ON SOUTHWESTERN COMMUNITY COLLEGE DISTRICT LAND. CINDY RESLER, STUDENT, ALSO SPOKE TO STUDENT TRANSPORTATION NEEOS. THE GOVERNING BOARD EXPRESSED INTEREST IN THE CITY REVIEWING OPTIONS 6A, 6A1 AND 1B1 AND PROVIDING EXPANDED INF'OHMA'l'ION, AS WELL AS INFORMATION ON RIDERSHIP TO THE COLLEGE AND THE SURROUNDING NElGHBORHOOD. THE DISTRIC'l' Wl1,L HOLD A PUBLIC HEARING ON '1'H~: TRANSFER CENTER CONCEPT AT THE DECEMBER 9TH MEETING. TRANSIT CENTER -------------------------- ~.J'o, b~ .ooOtovLaket Rood. CtUaVlata.CA91910. (619)482-6301 FAX(619)421-o346. SoUlhwestem~CollegeDlstrlct TEL: 619-421-0346 ~pr 6.9i 15:19 No.OOl P.06 o ~m $ov.rnlnQ a-d Auglo 8orono Ii Gordon lIrownng. 01,10 Jewy J GI\1IWh Moria NevCK-Pormon JUdy Sc:tUonbOlg JOMph M. ConIe Sulxwlnlondonl/Pres;dllnl A. PUBL!C HEARING ON PROPOSED TRANSIT CENTER, 7150 - 9100 P.M. STUDENTS CINDY RESLER, DENNIS JOHNSON, AND PATRICIO M. FLORES, AND COMMUNITY RESIDENTS JOE AND ELIZABETH BONNER, TOM DAVIS, ALLEN JONES, ROBERT F. KELLY, AND CECILIA V. VASQUEZ ADDRESSED THP. BOARD REGARDING THE PROPOSED TRANSIT CENTER. SID MORRIS, ASSISTANT CITY MANAGER, AND BILL GUSTAFSON, CITY OF CHULA VISTA, AND BILL LIEBERMAN, MTDB, ALSO ADDRESSED THE BOARD REGARDING THE MATTER. AT THE CLOSE OF THE HFARING, PRESIDENT BROWNING ADVISED THE BOARD WOULD CONSIDER THIS ITEM AT A SPECIAL BOARD HERTING, OR AT THE REGULAR FEDRUARY 10 BOARD MBF.TING INASMUCH AS THE JANUARY MEETING WOULD BE HELD AT THE SOUTHWESTERN COLLEGE EDUCATION CENTER AT SAN YSIDRO. TRANSIT CENTER -------------------------- STATE OF CALIFORNIA) )SS COUNTY OF SAN DIEGO) I, JOSEPH M. CONTE, SECRETARY TO THE GOVERNING BOARD OF.'THE SOUTHWESTERN COMHUtllTY COLI,EGI': DISTRICT OF SAN DIEGO COUN'l'Y, CALtFORNIA, DO HF.REBY CERTIFY THAT THE FOREGOING IS A FULl., TRUE AND CORRECT COpy OF A MOTION UNANIMOUSLY PASSED BY ~HR GOVERNING BOARD OF THE SOU~HWESTERN COMMUNITY COLLEGE DISTRICT AT A MEETING HELD ON THE 9TH DAY OF DECEMBtR, 1992. ..~~ ~I'~ -A-tO::5 c2(j- C,7 . "i".. . .' . <<~ SolrlhwEstll'n - -1:cI1figE $oytfnlng Ioard AuO'. IlortflO :; GOldon lIrowrl,..g. D.M.D J8rry J. c;rtllllh 1.101'10 Neves-Permon Judy $crluIonbOIQ ~M. ConI. Superilltendenl/PJOIIdonl CONSIDER SITE OF TRANSIT CENTER. TOM DAVIS, 1657 GOTHAM ST., ROBERT KELLEY, 875 OTAY LAKES RD., ALLEN JONES, 891 OTAY LAKES RD, MARIA ISAB~L PARMER, 1363 PETERMAN DR., SAN DIEGO, JOHN LIPPITT, CI~Y OF CHULA VISTA, AND BILL LIEBERMAN, COUNTY OF SAN DIEGO, ADDRESSED THE GOVERNING BOARD REGARDING THE PROPOS~D TRANSIT CENTER. MOVED BY GRIFFITH, SECONDED BY BROWNING, TO AUTHORIZE THE SUPERINTENDENT/PRESIDENT, WITH CON- TINU~D CONSULTATION WITH THE GOVERNING BOARD, TO NEGOTIATE WITH THE APPROPRIATE TRANSIT AUTHORITIES TO LOCATE A TRANSIT TRANSFER CENTER ON CAMPUS IN THE APPROXIMATE OR ADJACENT LOCATION TO THE PROPOSED NEW LIBRARY, AND THAT ANY AGREEMENT WITH APPROPRIATE TRANSIT AUTHORITIES WOULD CONTAIN THE ARRANGEMENTS TO SUBSIDIZE THE RIDERSHIP OF FULL-TIME SOUTHWESTERN COLLEGE STUDENTS. DISCUSSION ENSUED WHICH INDICATED THAT WHILE ALL FELT THE LIBRARY LOCATION MIGHT BE BETTER THAN THR PRE- VIOUSLY IDENTIFIED FRONT OF THE CAMPUS, FACJNG OTAY LAKES ROAD, AND THE BACK ROWS OF THE STAFF PARKING LOT (PLAN 1B1), THERE WAS LACK OF CONSENSUS ON A MANDATED SUBSIDIZATION OF COLLEGE RIDERSHIP. THE GOVERNING BOARD REQUESTRD THE SUPERINTENDENT/PRESIDENT TO PROVIDE THEM A REPORT ON COMMUNITY COLLEGES TllAT HAVE AGREEMENTS/ ARRANGEMF.NTS THAT CREATE A SUBSIDIZATION FOR STUPENTS. MOVED BY GRIFFITH, SECONDED BY BROWNING AND CARRIED, TO AUTHORIZE SUPERINTENDENT/PRESIDENT CONTE, WITH CON- TINU~D CONSULTATION WITH THE GOVERNING BOARD, TO NEGOTIATE WI~H APPROPRIATE TRANSIT AUTHORITIES TO HAVE A TRANSIT CENTER AT SOUTHWESTERN COLLEGE APPROXIMATELY AT OR ADJACENT '1'0 THE LOCATION OF THE PROPOSED NEW LIBRARY/ LEARNING RESOURCE CENT~R. ~ 020-b"t I TRANSIT CENTER " toOOtoyLOl<..Aood. crua"'''o.C''91910. (619)482-6301 FAX(619)42100346. ~tem con."unltyCon.geOlstr1ct TEL: 619-421-0346 Apr 6.94 l~:lY No.UUl ~.U~ J'kG!!: -2- . GOVERNING BOARD EXCERPT FEBRUARY 10, 1993 ---------------------- STATE OF CALIFORNIA) )SS COUNTY OF SAN DIEGO) I, JOSEPH M. CONTE, SECRETARY TO THE GOVERNING BOARD OF THE SOUTHWESTERN COMMUNITY COLLEGE DISTRICT OF SAN DIEGO COUNTY, CALIFORNIA, DO HEREBY CERTIFY THAT THE FOREGOING IS A FULL, TRUE AND CORRECT COpy OF A MOTION UNANIMOUSLY PASSED BY THE GOVERNING BOARD OF THE SOUTHWESTERN COMMUNITY COLLEGE DISTR AT A EETING HEL ON THE 10TH DAY OF FEBRUARY, 1993. "n1 RETARY T VERNIN p&-1 J2.0 ~ CC; an'" I/DIItIINI$TIIATlON lIUlU1ING . ~. \,,\ ""':;'IlI?I, ..~.,' fl:.r".' ~i:r?, "\:1' '~"J- "ti,~"t/,'J/ ~ -'- -..,.... ., THB CITY OF SAN DIE Fax' -/' llPI'ICE CIF THE CI1Y MANAGER (&18) 2311 Dl3 July 28. 1994 Mr. John GoSS, City Manager City of Chula Vista 276 Fourth AvalUC Chula Vista, CA 91910 .~. _ ':" _, "," .~ -, ,---. -,,, -....,. -0' r-:" :'" ,.'1-'" lV' 'o:-:r. - I -. ~. -. -7.-- ~~ ..., . ...... Dear Mr. Closs. The Mayor and City Cwucil of San Diego asked me to send this request to you cooceming !be . action taJren at the Council meeting of July 26, 1994 when the question of. continuing membership in the San Diego Area Wastewarer Management District (District) was considered. . During public testimony OIl !his item a request was made by CDWlCilman Tony Snesko of the City. . of Poway to provide for a thirty (30) day extension of timt 80 !be Member Agencies had one mon: oppor1lIDity to aeree 10 tbe CoDSellSUS Memorandum of UnderSll1lding and the turrent voting strUcture cmrtaiDed in Slate law. After considerable discussion tht Mayor and City Cwucil, by nnammous vote, decided to withdraw from lbe District, but furthtr decided to hold tbc withdrawal in abeym:e fur thir1y (30) days so that each Member AgeDI:;y has 1he oppormnity 10 again consider agreement on these f;......""""... 1 points. Therefore, the City of San Ditgo's withdrawal from 1he District will be efftctive August 26, 1994 unless, prior to that daTe, 1he City of San Diego rec:eives a letter from ead1 Member ~y* stating that meir legislative body has agreed 10 remain a member of die District in ~rdance with all the tmlIB and condiUOllS <nntIlined In lbe c:urrent Slate legislation and the Consensus Memorandum of Unde~nding (as approved by the District Board at its JlIIIC 17, 1994 meeting). .. The City COIlDCil specified lhat, as pertaiDs to ChuIa Vista ami. EI Cajon. a IIlnm of agreement from either ageo;y (or both) will suffice. ~_._... * DIVERSITY IlRINGS us AU. TOGfTI-ER 02//'1 2 The San Diego City Co\lDcil recognizes lbat many of the Mcmbor AgellllieS are agreeable 10 this request aod is hopc:ful that a favorabk acreement on lhcse cri&al Wucs may be readied by all. It is our \mdentanding. dIrough the District General ~.n.gl'r, that Coronado, Del Mar. Lemon Grove, National City, Ora)' Warer District lIIid powa)' have already agreed to these fn""..-ntal points. On bebaIf of the Mayor and Council I am asking !bat your Agenc)' COIISider this request and. if)'ou have not already clone 10, aeod a 1etter of acreemem on these timdamenIal points to the City of San Dieeo. City Attorney's OffICe, 202 'C' St, 3 CAB, San Diego, Ca 92101 by 5:00 p. m. OD Aull11st ~ INFORMATION MEMORANDUM ~~~ July 29, 1994 TO: Honorable Mayor and City Council FROM: Legislative Committee SUBJECT: Legislative Analysis - (for discussion under Councilwoman Horton's comments) Attached for your review are analyses of SB 845 and SB 1779. These bill are n21 covered by the 1993-94 Legislative Program and therefore require formal action by the City Council. These bills are scheduled for hearing soon after the State Legislature reconvenes on August 8. With the Council's approval, staff will prepare and send appropriate letters of support and opposition. 1. SB 845 (Rol!ers) Ente1Jlrise Zones: Establishment Would allow for establishment of three additional state enterprise zones. The sites eligible for designation would be limited to those nine agencies still on the finalist list from three years ago. Chula Vista is not among those cities which would be considered eligible under this bill. The Legislative Committee disagrees with this bill's intent to limit the potential program expansion (and all the ensuing benefits) to an outdated and limited list of agencies and would favor amendments to authorize a new round of applications. Recommendation: OPPOSE 2. SB 1779 (Ber~eson) Graffiti Prevention Would make several changes in statewide graffiti laws that would, among other things, enable cost recovery for removing graffiti, allow arrests of graffiti suspects for "reasonable cause," and delay or suspend driving privileges for graffiti offenders. Recommendation: SUPPORT Although the recommendations on these items have the support of the respective departments (Community Development and Police) and the Legislative Committee, they are not covered by the Legislative Program and are being brought forward for approval by the City Council. cc: League of California Cities Advocation, Inc. a: \ana94 \covxxxx c2~ - / CITY OF CHULA VISTA LEGISLATIVE ANALYSIS July 22, 1994 BILL AUTHOR TITLE INTRODUCED AMENDED II ROGERS ENTERPRISE ZONES: 3/4/93 7/6/94 i S6 845 I EST A6L1SHMENT I , CITY POSITION LEAGUE POSITION RELATED BILLS ADDRESSED BY LEG. PROGRAM I PENDING SUPPORT NONE NO I STATUS: PENDING IN ASSEM6L Y REVENUE AND TAXATION COMMITTEE BACKGROUND: California currently has 25 enterprise zones, authorized and overseen by the California Trade and Commerce Agency. These areas receive targeted employment tax credits (Bank and Corporation Tax, Income Tax) from the state and favorable consideration for other state and federal programs and assistance (such as HUD's recent Enterprise Community and Empowerment Zone programs for social service grants of up to $50 million). Chula Vista applied for enterprise zone designation in late 1991, the last time applications were accepted, but the application was not approved. SB 845 would: Allow for establishment of three additional enterprise zones. The sites eligible for designation would be limited to those nine agencies still on the finalist list. Chula Vista is IlQ1 among those who would be considered eligible under this bill. The finalist list this bill would propose to use is three years old. Staff supports the enterprise zone program and believes that its expansion is a worthwhile goal. However, staff disagrees with this bill's intent to limit the potential expansion (and all the ensuing benefits) to an outdated and limited list of agencies and would favor amendments to authorize a new round of applications, during which time Chula Vista and other cities would be eligible to re-apply. FISCAL IMPACT: The most recent data indicate that an average of 29 businesses receive state tax credits per zone per year, for a total of $192,000 in direct state assistance per zone per year. The amount and duration of each credit varies with the number of qualified employees and the length of time they are employed within the zone. The establishment of an enterprise zone could have a major impact on Chula Vista's ability to attract and retain a strong business and industrial base and to encourage business expansion. Through links to other state and federal legislation, an enterprise zone could also help the City compete for additional credits, grants and other assistance. DATE TO COUNCIL City Council August 2, 1994 RECOMMENDATION OPPOSE LETTERS YES "':\(ANAl VS[S)\SB84~,en. e2SIt-R CITY OF CHULA VISTA LEGISLATIVE ANALYSIS July 22. 1994 BILL AUTHOR TITLE INTRODUCED AMENDED Ii SB 1779 BERGESON GRAFFITI PREVENTION 2/24/94 6/27/94 I CITY POSITION LEAGUE POSITION RELATED BILLS ADDRESSED BY LEG. PROGRAM 1 I' PENDING PENDING NONE NO 1: STATUS: PENDING IN ASSEMBLY Wf>.YS AND MEANS COMMITTEE BACKGROUND: Graffiti violations are currently subject to state penalties and various forms of regulation by the City of Chula Vista. City regulation includes restrictions on the sale and display of graffiti implements, prosecution of vandals for either an ordinance violation or misdemeanor, and the option of participation in the Police Department graffiti diversion program and community service. SB 1779 would: * Authorize local governments and school districts to determine the cost of removing graffiti and recover those costs via the juvenile court system. * Make it unlawful to sell graffiti implements to minors. * Increase the penalties for acts of vandalism valued between $400 and $1,000 and require restitution by minors committing such acts or their parents. (Currently, vandalism valued between $1,000 and $5,000 is punishable by a fine of $5,000 or one year in prison or both. This change would lower the threshold for such punishment from $1,000 to $400.) * Allow for police officers to arrest under the guidelines of "reasonable cause" those suspected of committing acts of vandalism. * Amend the vehicle code to delay or suspend the driving privilege of any person 13 years of age or older upon conviction for such acts of vandalism. This bill would provide a variety of tools for local authorities to deal with the problems of graffiti. It would not preclude continued administration of the Police Department's community service diversion program or the enforcement of the City ordinance on the display of graffiti implements. FISCAL IMPACT: Undetermined. This bill could make it easier for Chula Vista to recoup the costs of graffiti removal, although this cost recovery would be limited to cases where court action is taken. DATE TO COUNCIL City Council August 2, 1994 RECOMMENDATION SUPPORT LETTERS YES A:\I...NAl'l'Sf:Sl\S81179.... ~)A- 3 r c AMENDED IN ASSEMBLY JULY 6,1994 AMENDED IN ASSEMBLY JUNE 13, 1994 AMENDED IN ASSEMBLY MARCH 7, 1994 AMENDED IN ASSEMBLY JANUARY 26, 1994 AMENDED IN ASSEMBLY AUGUST 30, 1993 AMENDED IN SENATE MAY 26, 1993 AMENDED IN SENATE APRIL 28,1993 AMENDED IN SENATE APRIL 20,1993 SENATE BILL No. 845 ( c Introduced by Senators Rogers, Beverly, Hurtt, Leonard, Leslie, Lewis, and Wyman (Coauthors: Assembly Members Andal, Baca, Bornstein, Costa, Ferguson, Haynes, Honeycutt, Knight, Polanco, Richter, Umberg, Weggeland, and Woodruff) ~ \ ~ ~ ~ March 4, 1993 An act to amend Section 7073 of the Governmen t Code, and to amend Sections 17963.8 ltfttI gaegg 17052.13, 17053.8, 17053.9, 17231, 17252.5, 17276.2, 23612, 23622, 24356.2, 24384, and 24416.2 of the Revenue and Taxation Code, relating to enterprise zones. SB 845, as establishment. The Enterprise Zone Act required the Department of Commerce to designa,te not more than 25 enterprise zones within the state by December 1991. .. This bill would increase the number of enterprise zones to .. 28 and specify the method by which the additional 3 c I LEGISLATIVE COUNSEL'S DIGEST amended, Rogers. Enterprise zones: ,'\ L~!:r {.:. '. ,...... ~.,.....l_.. J" .,,~ ... .." t ~ ''Or n'. "'-'~:~-' .."",.~\.;. 5B 845 -2- enterprise zones would be designated. The bill would provide that the Trade and Conunerce Agency may not designate any area as an enterprise zone iF that designation would result in the existence of more thaJI 18 enterprise zones in the state as of December 31, 2001. The bill would require the agency to review the progress and e{{ectiveness of each i enterprise zone, as specified, and report its findings to the . Legislature. It would authorize the agency to revoke the 1 designation of any zone that fails to make demonstrable .,1, progress toward achieving its stated goals, as specified. . The existing Personal Income Tax Law and the Bank and Corporation Tax Law authorize various credits and deductions against the taxes imposed by those laws with respect to certain activities conducted within an enterprise zone, including a credit for qualified wages paid or incurred by an employer to a qualified disadvantaged individual who meets specified criteria; iHeltuHng It reqltirelfleftt ~ the inaividual is ft l'ttIltliftea empI6)'ee, tIS aefinea, wfte fttIS }iartii:i13stea tft 3pseifie;a jeDs pragram3. This bill would require taxpayers who claim the credits and deductions allowed under the Personal Income Tax Law and the Bank and Corporation Tax Law with respect to enterprise zones to provide the Franchise Tax Board with the number of full-time, part-time, and seasonal employees employed by the taxpayer within an enterprise zone as of the first and last day of each taxable or income year. The bill wouU specify that those credits and deductions shall not be available after the termination of enterprise zone designation. The bill would revise the definition of "qualified disadvantaged individual" for the purpose of Mtese the wage tax credits. Vote: majority, Appropriation: no. Fiscal committee: yes. State-mandated local program: no. The people of the State of California do enact as Follows: 1 SECTION 1. Section 7(J13 of the Government Code is 2 amended to read: 3 7073. (a) The governing body of any city or county 4 may, either by ordinance or resolution, propose an 5 eligible area plus one commercial or industrial area o~.: 91 . ~ J , t -3- 5B 845 1 both within its respective jurisdiction as the geographic 2 area for an enterprise zone. A county may propose an 3 area within the unincorporated area as the geographic 4 area for an enterprise zone, but shall not propose an area 5 within an incorporated area. This proposed geographic 6 area shall be based upon findings by the governing body 7 that the area is a depressed area and that the designation 8 as an enterprise zone is necessary in order to assist in 9 attracting private sector investment in the area. The city 10 or county shall establish definitive boundaries for the 11 area to be included in the application for designation and, 12 if designated by the agency, the designation shall be t 13 binding for a period of 15 years. Th.e designation of an 114 area as an enterprise zone shall terminate 15 years from 15 the date of original designation. 16 (b) Following the application for designation of an I 17 enterprise zone by a city or county, the governing body 18 shall apply to the agency for designation, The agency 19 shall adopt regulations and guidelines concerning the , 20 necessary contents of each application for designation; 21 (c) Any city, county, or city and county with an 22 eligible area within its jurisdiction may complete a 23 preliminary application. A maximum of 20 applications 24 may be chosen each year to complete a final application. 25 (d) (1) From the applications received, the agency 26 may designate not more than 28 enterprise zones within 27 the state, one of which may be designated an airport 28 enterprise zone and not more than three of which may 29 be designated high technology enterprise zones. The 30 agency may not designate any area as an enterprise zone 31 if that designation would result in the existence of more 32 than 18 enterprise zones in the state as of December 31, 33 2001. 34 (2) In the case of any existing enterprise zone or area 35 established pursuant to Chapter 12.9 (commencing with 36 Section 7080), or any new enterprise zone Or area 37 established pursuant to Chapter 12.9 (commencing with 38 Section 7080) designated on or after the effective date of 39 the act adding this paragraph, a city or county may 40 propose that the enterprise zone or' area established ~ \ <::t:. 'y.. ~ 58 845 -4- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 ~ S~~ (17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 pursuant to Chapter 12.9 (commencing with Section 7080) within the incorporated area be expanded by 15 percent to include definitive boundaries that are contiguous to the enterprise zone or area established pursuant to Chapter 12.9 (commencing with Section 7080). The agency may approve that expansion for enterprise zones based upon the criterion specified in subdivision ~ (g), and for expansion of areas established pursuant to Chapter 12.9 (commencing with Section 7(80), the criterion specified in Section 7082. (3) Notwithstanding any other provision to the contrary, the three additional enterprise zones authorized by the act adding this paragraph shall be designated by the agency as follows: (A) The agency shall consider applications only from the nine governing bodies that submitted applicativns that were not selected for designation during the last period in which applications were received. (8) Each of the nine governing bodies that previously submitted applications may use the same application or the same application with minor changes, or may submit a new application. (e) The agency shall require each application for enterprise zone designation to include specific performance goals, standards, and target dates for achieving those goals. In evaluating applications, the agency shall base its decision on the specificity of the stated goals and shall give priority to applications that demonstrate the greatest ability to increase employment within the enterprise zone, reduce unemployment within the zone, reduce zone residents' dependency on public social service programs, attract businesses to the zone, improve the household earnings of zone residents, leverage additional public and private resources, and otherwise improve the social and economic status of zone residents. (E) The agency shall review the progress and effectiveness of each enterprise zone within Five years of the date of designation, or by December 31, 1999, for. zones designated prior to January 1, 1994, and eveI)' five" . ., t. fl r 2 \ 3 4 5 6 . 7 8 9 10 11 12 13 14 15 16 17 18 19 .20 21 22 23 .24 25 26 27 28 29 30 I 31 . 32 . 33 134 35 36 37 38 39 40 -5- 58 845 years thereafter, and report the Findings to the Legislature. The agency may revoke the designation of any zone that fails to make demonstrable progress toward achieving its stated goals. (g) In designating enterprise zones, the agency shall select from the applications submitted those proposed enterprise zones which, based on those applications, meet, to the extent possible, the following criterion: Those proposed enterprise zones which, upon a comparison of all of the applications submitted, indicate that they propose the most effective, innovative, and comprehensive regulatory, tax program, and other incentives in attracting private sector investment in the zone proposed. > For purposes of this paragraph, regulatory incentives include, but are not limited to, all of the following: the suspension or relaxation of locally originated or modified building codes, zoning laws, general development plans, or rent controls; the elimination or reduction of fees for applications, permits, and local government services; and the establishment of a streamlined permit process. Tax incentives include, but are not limited to, the elimination or reduction of construction taxes or business license taxes. Program and other incentives may include, but are not limited to, all of the following: the provision or expansion of infrastructure; the targeting of federal block grant moneys, including small cities, education, and health and welfare block grants; the targeting of economic development grants and loan moneys, including grant and loan moneys provided by the federal Urban Development Action Grant program and the federal Economic Development Administration; the targeting of state and federal job disadvantaged and vocational education grant moneys, including moneys provided by the federal Job Partnership Training Act of 1982; the targeting of federal or state transportation grant moneys; and the targeting of federal or state low-income housing and rental assistance moneys. In the process of designating new zones, the agency ~ l <t "'" ~ SB 845 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 7006 shall not apply to the extent it the provisions of the act adding this -7- SB 845 purchase of qualified property. (b) For purposes of this section: (1) "Taxpayer" means either of the following: (A) A qualified business as defined in Section 7082 of the Government Code. (B) A person or entity engaged in a trade or business within an enterprise zone designated pursuant to Section 7m3 of the Government Code. (2) "Qualified property" means machinery and machinery parts used for fabricating, processing, assembling, and manufacturing, and machinery and machinery parts used for the production of renewable energy resources or air or water pollution control mechanisms, up to a value of one million dollars ($1,000,000), which; tft meets either of the following requirements: (A) In the case of a taxpayer described in subparagraph (A) of paragraph (1), the property is used exclusively in a program area; ttttft; tft . (B) In the case of a taxpayer described in subparagraph (B) of paragraph (1), thepropertyisusM exclusively in an enterprise zone and is purchased prior to the termination of enterprise zone designation pursuant to Section 7073 of the Government Code. (c) if the taxpayer has purchased property upon which a use tax has been paid or incurred, the credit provided under subdivision (a) shall be allowed only if qualified property of a comparable quality and price is not timely available for purchase in this state. (d) In the case where the credit allowed under this section exceeds the "net tax" for the taxable year, that portion of the credit which exceeds the "net tax" may be carried over to the "net tax" in succeeding taxable years, until the credit is used. The credit shall be applied first to the earliest years possible. (e) Any taxpayer who elects to be subject to this section shall not be entitled to increase the basis of the property as otherwise required by Section 164(a} of the Internal Revenue Code with respect to sales or use tax paid or incurred in connection with the purchase of \' , ~ ~ ~ SB 845 -8- J 1 qualified property. 2 (f) In the case of a taxpayer described in subparagraph ! 3 (A) of paragraph (1) of subdivision (b), the amount of I 4 the credit allowed by this section in any taxable year shall 5 not exceed the amount of tax which would be imposed on 6 the income attributed to business activities of the 7 taxpayer within the program area (as defined in Section . 8 7082 of the Government Code) as if that attributed 9 income represented all of the income of the taxpayer 10 subject to tax under this part. The amount of that 11 attributed income shall be determined in accordance 12 with the provisions of Article 2 (commencing with 13 Section 25120) of Chapter 17 of Part 11, modified for 14 purposes of this section as follows: 15 (1) For taxable years beginning on or after January 1, 16 1991, and ending on or before December 31, 1996, inl!ome 17 shall be apportioned to the program area by multiplying 18 total income from the business by a fraction, the 19 nurneratorofwhich is the property factor plus the payroll . 20 factor, and the denominator of which is two. 21 (2) "The program area" shall be substituted for "this 22 state." 23 (g) In the case of a taxpayer described in 24 subparagraph (B) of paragraph (1) of subdivision (b), 4 25 the amount of the credit allowed by this section in any 26 taxable year shall not exceed the amount of tax which 27 would be imposed on the income attributed to business 28 activities of the taxpayer within an enterprise zone 29 (designated pursuant to Section 7(J13 of the Government 30 Code) as if that attributed income represented all of the 31 income of the taxpayer subject to tax under this part. The 32 amount of that attributed income shall be determined in 33 accordance with the provisions of Article 2 (commencing , 34 with Section 25120) of Chapter 17 of Part 11, modified for T 35 purposes of this section as follows: 36 (1) For taxable years beginning on or after January 1, 37 1991, and ending on or before December 31,1996, income 1. 38 shall be apportioned to the enterprise zone by 39 multiplying total income from the business by a fraC.:J'on., 40 the numerator of which is the property factor plus the '. . t. <, ., '(i, .1f'1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 -9- SB 845 payroll factor, and the denominator of which is two. (2) "The enterprise zone" shall be substituted for "this state. " (h) Any taxpayer described in subparagraph (B) of paragraph (1) of subdivision (b) who claims a credit pursuant to this section shall provide, in a fomJ and manner specified by the Franchise Tax Board, the number of full-time (defined as 35 hours or more per week), part-time, and seasonal employees employed by the taxpayer within an enterprise zone as of the first and last day of the taxable year. SEe. 3. Section 17053.8 of the Revenue and Taxation Code is amended to read: . 17053.8. (a) There shall be allowed as credit against the "net tax" (as defined in Section 17039) for the taxable year an amount equal to the sum of each of the following: (1) Fifty percent for qualified wages in the first year of employment. (2) Forty percent for qualified wages in the second year of employment. (3) Thirty percent for qualified wages in the third year of employment. (4) Twenty percent for qualified wages in the fourth year of employment. (5) Ten percent for qualified wages in the fifth year of employment. (b) For purposes of this section: (1) "Qualified wages" means the wages paid or incurred by the employer during the taxable year to qualified disadvantaged individuals. "Qualified wages" means that portion of hourly wages which does not exceed 150 percent of the minimum wage. (2) "Qualified years one through five wages" means, with respect to any individual, qualified wages received during the 6O-month period beginning with the day the individual commences employment within an enterprise zone. . 'Qualified years one through five wages" shall not include any wages paid or incurred after the date enteJprise zone designation terminates, expires, or becomes inoperative. ('- ~ '"^ ~ 5B 845 -10- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 \ (3) "Minimum wage" means the wage established by , 21 the Industnal Welfare Commission as provided for in Chapter 1 (commencing with Section 1171) of Part 4 of 3 Division 2 of the Labor Code. 4 (4) "Qualified disadvantaged individual" means an 5 individual- 6 (A) Who is a qualified employee within the meaning f 87 of paragraph (5). (B) ~ho is hired by the employer after the 9 deSIgnation of the area in which services were performed 10 as an enterprise zone (under Section 7073 of the 11 Government Code). 12 (C) Who is any of the following: 13 (i) An individual who has been determined eligible for 14 serVIces under the federal Job Training Partnership Act 15 (29 V.S.C. Sec. lSOI et seq.). . 16 (ii) Any voluntary or mandatory registrant under the 17 Greater Avenues for Independence Act of 1985 provided 18 for pursuant to Article 3.2 (commencing with Section . 19 11320) of Chapter 2 of Part 3 of Division 9 of the Welfare 20 and Institutions Code. 21 (iii) Any individual who has been certified eligible by 22 the California Employment Development Department 23 under the federal Targeted Jobs Tax Credit Program as ~ 24 long as that program is in effect. 25 (5) "Qualified employee" means an individual who 26 satisfies both of the following: 27 (A) At least 90 percent of whose services for the 28 taxpayer during the taxable year are directly related to 29 the conduct of the taxpayer's trade or business located in 30 an enterprise zone, and 31 (B) Who performs at least SO percent of his or her 32 services for the taxpayer during the taxable year in an . 33 enterprise zone. 34 (c) (1) For purposes of this section: 35 (A) All employees of trades or businesses that are i 36 nO,t incorporated and are under common control shall i 37 be treated as employed by a single employer, and I 38 (B) The credit (if any) allowable by this secti:Jn 39 wIth respect to each trade or business shall be 40 ;" , "' -11- SB 845 determined by reference to its proportionate share of the qualified wages giving rise to the credit. The regulations prescribed under this paragraph shall be based on principles similar to the principles which apply in the case of controlled groups of corporations as specified in subdivision (c) of Section 23622. (2) If an employer acquires the major portion of a trade or business of another employer (hereinafter in this paragraph referred to as the "predecessor") or the major portion of a separate unit of a trade or business of a predecessor, then, for purposes of applying this section (other than subdivision (d)) for any calendar year ending after that acquisition, the employment relationship between an employee and an employer shall not be treated as terminated if the employee continues to be employed in that trade or business. (d) (1) If the employment of any employee, with respect to whom qualified wages are taken into account under subdivision (a) is terminated by the taxpayer at any time during the first 270 days of that employment (whether or not consecutive) or before the close of the 270th calendar day after the day in which that employee completes 90 days of employment with the taxpayer, the tax imposed by this part for the taxable year in which that employment is terminated shall be increased by an amount (determined under those regulations) equal to the credit allowed under subdivision (a) for that taxable year and all prior taxable years attributable to qualified wages paid or incurred with respect to that employee. (2) (A) Paragraph (1) shall not apply to any of the following: (i) A termination of employment of an employee who voluntarily leaves the employment of the taxpayer. (ii) A termination of employment of an individual who, before the close of the period referred to in paragraph (1), becomes disabled to perform the services of that employment, unless that disability is removed before the close of that period and the taxpayer fails to offer reemployment to that individual. (iii) A termination of employment of an individual, if ~ \ ~ ~ 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 1 it is determined under thc applicable employment ~ 1 compensation provisions that the termination was due to 2 the misconduct of that individual. 3 (iv) A termination of employment of an individual 4 due to a substantial reduction in the trade or business 5 operations of the taxpayer. 6 (v) A termination of employment of an individual if. 7 that individual is replaced by other qualified employ~es 8 so as to create a net increase in both the number of 9 employees and the hours of employment. 10 (B) For purposes of paragraph (1), the employment 11 relationship between the taxpayer and an employee shall 12 ~ot be treated as terminated by reason of a mere change 13 m the form of conducting the trade or business of the 14 taxpayer, if the employee continues to be employed in 15 that trade or business and the taxpayer retains a 16 substantial interest in that trade or business. 17 (3) Any increase in tax under paragraph (1) shall not 18 be trea~e? as tax imposed by this part for purposes of. 19 deternurung the amount of any credit allowable under 20 this part. 21 (e) In the case of an estate or trust- 22 (1) The qualified wages for any taxable year shall be 23 apportioned between the estate or trust and the . 24 beneficiaries on the basis of the income of the estate.or 25 trust allocable to each, and 26 (2) Any beneficiary to whom any qualified wages have 27 been apportioned under paragraph (1) shall be treated 28 (for purposes of this part) as the employer with respect 29 to those wages. 30 (f) For purposes of this section, "enterprise zone" 31 means ~ area for which designation as an enterprise 32 zone IS III effect under Section 7073 of the Government . 33 C~ 34 (g) The credit shall be reduced by the credit allowed 35 under Section 17053.7. The credit shall also be reduced by 36 the federal credit allowed under Section 51 of the : 37 Internal Revenue Code. I 38 In addition, any deduction otherwise allowed u~:~, 39 this part for the wages or salaries paid or incurred b:. 40 SB 845 -12- -13- 5B 845 taxpayer upon which the credit is based shall be reduced by the amount of the credit. (h) In the case where the credit allowed under this section exceeds the net tax for the taxable year, that portion of the credit which exceeds the net tax may be carried over to the net tax in succeeding taxable years for the number of taxable years in which the designation of an enterprise zone under Section 7073 of the Government Code is operative, or 15 taxable years, if longer, until thc credit is used. The credit shall be applied first to the earliest taxable years possible. (i) The amount of the credit allowed by this section in any taxable year shall not exceed th~ amount of tax which would be imposed on the income attributed to business activities of the taxpayer within the enterprise zone (as defined in Section 7073 of the Government Code) as if that attributed income represented all of the income of the taxpayer subject to tax under this part. The amount of that attributed income shall be determined in accordance with the provisions of Article 2 (commencing with Section 25120) of Chapter 17 of Part 11, modified tor purposes of this section as follows: (1) For taxable years beginning on or after January 1, 1991, and ending on or before December 31, 1996, income shall be apportioned to the enterprise zone by multiplying total income from the business by a fraction, the numerator of which is the property factor plus the payroll factor, and the denominator of which is two. (2) "The enterprise zone" shall be substituted for "this state." SEG 3, U) Any taxpayer claiming a credit pursuant to this section shall provide, in a Form and manner specified by the Franchise Tax Board, the number of Full-time (defined as 35 hours or more per week), part-time, and seasonal employees employed by the taxpayer within an enterprise zone as of the first and last day of the taxable year. SEe. 4. Section 17053.9 of the Revenue and Taxation Code is amended to read: ~ \ ~ ~ 5B 845 -14- 1 17053.9. (a) In the case of a qualified employee, there 2 shall be allowed as a credit against the "net tax" (as 3 defined by Section 17039) for the taxable year an amount 4 equal to 5 percent of the qualified wages for the taxable 5 year. 6 (b) FOT purposes of this section: 7 (1) "Qualified employee" means an individual- 8 (A) Who is described in paragraph (5) of subdivision 9 ~ (b) of Section 17053.8. 10 (B) Who is not an employee of the federal 11 government or of this state or of any political subdivision 12 of this state. 13 (2) (A) "Qualified wages" has the meaning given to 14 the term "wages" under subsection (b) of Section 3306 of 15 the Internal Revenue Code, attributable to services 16 performed for an employer with respect to whom the 17 employee is a qualified employee, in an amount which 18 does not exceed one and one-half times the dollar 19 limitation specified in that subsection. 20 (B) "Qualified wages" does not include ~ either of . 21 the following: 22 (i) Any compensation received from the federal 23 government or this state or any political subdivision of 24 this state. 25 (ii) Any wages paid or incurred after the date 26 enterprise zone designation terminates, expires, or 27 becomes inoperative. 28 (3) "Enterprise zone" means any area with respect to 29 which a designation as an enterprise zone is in effect 30 under Section 7(173 of the Government Code. 31 (c) For each dollar of income received by the taxpayer 32 in excess of qualified wages, as defined in this section, the 33 credit shall be reduced by nine cents ($0.09). 34 (d) The amount of the credit allowed by this section 35 in any taxable year shall not exceed the amount of tax 36 which would be imposed on the income of the employee 37 attributable to emplcyment within the enterprise zone as 38 if that income represented all of the income of the 39 taxpayer subject to t'il( under this part. 40 SEe. 5. Section 17231 of the Revenue and Taxation . l . -15- 5B 845 1 Code is anwnded to read: 2 17231. (a) There shall be allowed as a deduction the 3 amount of net interest received by the taxpayer in 4 payment on indebtedness of either of the following: 5 (1) A qualified business (as defined in Section 7082 of 6 the Government Code). 7 (2) A person or entity engaged in the conduct of a 8 trade or business located in an enterprise zone (as 9 defined in Section 7(173 of the Government Code). 10 (b) No deduction shall be allowed under subdivision 11 (a) unless at the time the indebtedness is incurred each 12 of following requirements are met: 13 (1) The qualified business is located solely within a 14 program area (as defined in Section 7082 of the 15 Government Code), or the trade or business is located 16 solely within an enterprise zone (as defined in Section 17 7(173 of the Government Code). 18 (2) The indebtedness is incurred solely in connection 19 with activity within the program area or enterprise zone. 20 (3) The taxpayer has no equity or other owneJ;Ship 21 interest in the debtor. 22 (4) With respect to the deduction allowed under 23 paragraph (2) of subdivision (a), the interest is received 24 prior to the termination of enterprise zone designation 25 purswmt to Section 7073 of the Government Code. 26 SEe. 6. Section 17252.5 of the Revenue and Taxation 27 Code is amended to read: 28 17252.5. (a) A taxpayer may elect to treat the cost of 29 any Section 17252.5 property as an expense which is not 30 chargeable to capital account. Any cost so treated shall be 31 allowed as a deduction for the taxable year in which 32 Section 17252.5 property is placed in service. 33 (b) In the case of a husband or wife filing separate 34 returns for a taxable year in which a spouse is entitled to 35 the deduction under subdivision (a), the applicable 36 amount shall be equal to 50 percent of the amount 37 otherwise determined under subdivision (a). I 38 (c) (1) An election under this section for any taxable 39 year shall- . 40 (A) Specify the items of Section 17252.5 property to , . () -- <t:' ~ ~ . . "'" SB 845 - 16 - I 1 which the election applies and the portion of the cost of . 2 each of those items which is to be taken into account 3 under subdivision (a), and 4 (B) Be made on the taxpayer's return of the tax 5 imposed by this part for the taxable year. 6 (2) Any election made under this section, and any 7 specification contained in that election, may not be . 8 revoked except with the consent of the Franchise Tax 9 Board. 10 (d) (1) For purposes of this section, "Section 17252.5 11 property" means any recovery property which is Section 12 1245 property (as defined in Section 1245(a) (3) of the 13 Internal Revenue Code) and which is acquired by 14 purchase for exclusive use in a trade or business 15 conducted within an enterprise zone designated 16 pursuant to Section 7073 of the Government Codli. 17 (2) For purposes of paragraph (1), "purchase" means 18 any acquisition of property, but only if- 19 (A) The property is not acquired from a person whose 20 relationship to the person acquiring it would result in the . 21 disallowance of losses under Section 267 or 707 (b) of the 22 Internal Revenue Code (but, in applying subsections (b) 23 and (c) of Section 267 of the Internal Revenue Code for 24 purposes of this section, Section 267 (c) (4) of the Internal . 25 Revenue Code shall be treated as providing that the 26 family of an individual shall include only his or. her 27 spouse, ancestors, and lineal descendants). 28 (B) The basis of the property in the hands of the 29 person acquiring it is not determined- 30 (i) In whole or in part by reference to the adjusted 31 basis of such property in the hands of the person from 32 whom acquired, (If. 33 (ii) Under Section 1014 of the Internal Revenue Code, . 34 relating to basis of property acquired from a decedent. 35 (C) The property is acquired prior to the termination 36 of enterprise zone designation pursuant to Section 7M3 37 of the Government Code. 38 (3) For purposes of this section, the cost of property 39 does not include so much of the basis of the property as 40 is determined by reference to the basis of other property , 91 ~f&.J -17- SB 845 held at any time by the person acquiring the property. (4) This section shall not apply to estates and trusts. (5) This section shall not apply to any property for which the taxpayer may not make an election for the taxable year under Section 179 of the Internal Revenue Code because of the application of the provisions of Section 179(d) of the Internal Revenue Code. (6) In the case of a partnership, the dollar limitation contained in subdivision (f) shall apply with respect to the partnership and with respect to each partner. (7) This section shall not apply to any property described in Section 168(f) of the Internal Revenue Code, relating to property to which Section 168 of the Internal Revenue Code does nol apply. (e) For purposes of this section, "taxpayer" means a taxpayer who conducts a trade or business within an enterprise zone designated pursuant to Section 7m3 of the Government Code. _ (f) The deduction allowable under subdivision (a) for - any taxable year shall not exceed the following applicable \ amount for the taxable year of the designation bf an o:::t enterprise zone and taxable years thereafter: V, C'( 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 Taxable year of designation ...................... 1st taxable year thereafter ........................ 2nd taxable year thereafter ...................... 3rd taxable year thereafter ...................... Each taxable year thereafter .................... The applicable amount is: $ 5,000 5,000 7,500 7,500 10,000 (g) This section shall apply only to property which is used exclUSively in a trade or business conducted within an enterprise zone. (h) Any amounts deducted under subdivision (a) with respect to property which ceases to be used in the trade or business within an enterprise zone at any time before the close of the second taxable year after the property was placed in service shall be included in income for that year. SB 845 -18- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 2B 29 30 31 32 33 34 35 36 37 38 39 40 (i) Any taxpayer who elects to be subject to this · secl10n shall not be entitled to claim for the same property the deduction under Section 179 of the Internal Revenue Code, relating to an election to expense certain depreciable business assets. OJ Any taxpayer who elects to be subject to this sectlOn shall provide, in a form and manner specified by . the Franchise Tax Board, the number of full-time (defined as 35 hours or more per week), part-time, and seasonal. employees employed by the taxpayer within an enterpnse zone as of the first and last day of the taxable year. SEe. 7. Section 17276.2 of the Revenue and Taxation Code is amended to read: 17~6.2. The term "qualified taxpayer" as used in Section 17276.1 means any of the following: . (~) A t~p~yer engaged in the conduct of a qualified busmess WIthin a program area (as defined in Section 7082 of the Government Code). (1) A net operating loss shall not be a net operating loss carryback to any taxable year and a net operating loss for any taxable year beginning on or after the date that the taxpayer becomes a qualified business shall be a net operating loss carryover to each of the 15 taxable years following the taxable year of loss. (2) For purposes of this subdivision: (A) "Net operating loss" means the loss determined under Section 172 of the Internal Revenue Code as modified by Section 17276.1, attributable to the busU;ess activities of the taxpayer within the program area (as de~ed in Section 7082 of the Government Code). That attributed loss shall be determined in accordance with the provisions of Article 2 (commencing with Section 25120) of Chapter 17 of Part 11, modified for purposes of this section as follows: (i) For each taxable year beginning on or after January 1, 1991, and ending on or before December 31 1996 loss shall be apportioned to the program area by ~ultipiying total loss from the business by a fraction, the numerator of which is the property factor plus the payroll factor, and 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 . ~ 35 36 37 38 39 40 . . . I -19- SB 845 the denominator of which is 2. (ii) "The program area" shall be substituted for "this state." (B) A net operating loss carryover shall be a deduction only with respect to income attributed to the business activities of the taxpayer within the program area (as defined in Section 7082 of the Government Code) determined in accordance with the provisions of Article 2 (commencing with Section 25120) of Chapter 17 of Part 11, modified for purposes of this section as follows: (i) For each taxable year beginning on or after January 1, 1991, and ending on or before December 31, 1996, income shall be apportioned to the program area by multiplying total income from the business by a fraction, the numerator of which is the property factor plus the payroll factor, and the denominator of which is 2. (ii) "The program area" shall be substituted for "this state. " (b) A taxpayer who is engaged in the conduct of a trade or business within an enterprise zone designated pursuant to Section 7073 of the Government Code on or after that designation. (1) A net operating loss shall not be a net operating loss carryback to any taxable year and a net operating loss for any taxable year beginning on or after the date that the area in which the taxpayer conducts a trade or business is designated an enterprise zone shall be a net operating loss carryover to each following taxable year that ends before the expiration or revocation of the designation of the enterprise zone under Section 7073 of the Government Code or to each of 15 taxable years following the taxable year of loss, if longer. (2) For purposes of this subdivision: (A) "Net operating loss" means the loss determined under Section 172 of the Internal Revenue Code, as modified by Section 17276.1, attributable to the business activities of the taxpayer within the enterprise zone (as defined in Section 7073 of the Government Code). The attributed loss shall be determined in accordance with the provisions of Article 2 (commencing with Section J - ~ '--" ~ SB 845 -20- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 25120) of Chapter 17 of Part 11, modified for purposes of · this section as follows: (i) For each taxable year beginning on or after January 1, 1991, and ending on or before December 31, 1996, loss shall be apportioned to the enterprise zone by multiplying total loss from the business by a fraction, the numerator of which is the property factor plus the payroll . factor, and the denominator of which is 2. (ii) 'The enterprise zone" shall be substituted for "this state." (8) A net operating loss carryover shall be a deduction only with respect to income attributed to the business activities of the taxpayer within the enterprise zone (as defined in Section 7073 of the Government Code) determined in accordance with the provisions of Article 2 (commencing with Section 25120) of Chapter 17 of Part 11, modified for purposes of this section as follows: (i) For each taxable year beginning on or after January 1, 1991, and ending on or before December 31, 1996, income shall be apportioned to the enterprise zone by . multiplying total income from the business by a fraction, the numerator of which is the property factor plus the payroll factor, and the denominator of which is 2. (ii) "The enterprise zone" shall be substituted for . "this state." (C) A net operating loss carryover shall be a deduction only with respect to taxable years ending prior to the termination of enterprise zone designation pursuant to Section 7(Jl3 of the Government Code. (c) A taxpayer engaged in the conduct of a trade or business within the Los Angeles Revitalization Zone designated pursuant to Section 7102 of the Government Code. ~ (1) A net operating loss shall not be a net operating loss carryback for any taxable year, and a net operating loss for any taxable year beginning on or after the date the area in which the taxpayer conducts a trade or business is designated the Los Angeles Revitalization Zone shall be a net operating loss carryover to each following taxable year that ends before the expiration or . I -21- SB 845 1 revocation of the designation of the Los Angeles 2 Revitalization Zone under Section 7102 of the 3 Government Code or to each of the 15 taxable years 4 following the taxable year of loss, if longer. 5 (2) For the purposes of this subdivision: 6 (A) "Net operating loss" means the loss determined 7 under Section 172 of the Internal Revenue Code, as 8 modified by Section 17276.1, attributable to the business 9 activities of the taxpayer within the Los Angeles 10 Revitalization Zone (as defined in Section 7102 of the 11 Government Code). The attributable loss shall be 12 determined in accordance with the provisions of Article 13 2 (commencing with Section 25120) of Chapter 17 of Part 14 11, modified as follows: 15 (i) For each taxable year beginning on or after January 16 1, 1992, and ending before January 1, 1998, loss shall be 17 apportioned to the Los Angeles Revitalization Zone by 18 multiplying total loss from the business by a fraction, the r'> 19 numerator of which is the property factor plus the payroll - 20 factor, and the denominator of which is 2. . \ 21 (ii) "The Los Angeles Revitalization Zone" shall be <c. 22 substituted for "this state." "'^ 23 (B) A net operating loss carryover shall be a deduction <:::>J 24 only with respect to income attributed to the business - 1::1 25 activities of the taxpayer within the Los Angeles 26 Revitalization Zone (as defined in Section 7102 of the 27 Government Code) determined in accordance with the 28 provisions of Article 2 (commencing with Section 25120) 29 of Chapter 17 of Part 11, modified as follows: 30 (i) For each taxable year beginning on or after January 31 1, 1992, and before January 1, 1998, income shall be 32 apportioned to the Los Angeles Revitalization Zone by 33 multiplying total income from the business by a fraction, 34 the numerator of which is the property factor plus the 35 payroll factor, and the denominator of which is 2. 36 (ii) "The Los Angeles Revitalization Zone" shall be 37 substituted for "this state." 38 (3) This subdivision shall cease to be operative on 39 January 1, 1998. However, any unused net operating loss 40 may continue to be carried over to following years as SB 845 -22- 1 provided in this subdivision until the net operating loss 2 has been used. 3 (d) For each taxable year beginning on or after 4 January 1, 1995, and before January 1, 2003, a taxpayer 5 engaged in the conduct of a trade or business within a 6 LAMBRA. 7 (1) A net operating loss shall not be a net operating 8 loss carryback for any taxable year, and a net operating 9 loss for any taxable year beginning on or after the date 10 the area in which the taxpayer conducts a trade or 11 business is designated a LAMBRA shall be a net operating 12 loss carryover to each following taxable year that ends 13 before the expiration or revocation of the designation of 14 a LAMBRA under Section 7116 of the Government Code 15 or to each of the 15 taxable years following the taxable 16 year of loss, if longer. . 17 (2) For the purposes of this subdivision: 18 (A) "LAMBRA" means a local agency military base 19 recovery area designated in accordance with Section 20 7114 of the Government Code. 21 (B) 'Taxpayer" means a taxpayer or partnership that 22 conducts a trade or business within a LAMBRA and, for 23 the first two taxable years, has a net increase in jobs 24 (defined as 2,000 paid hours per employee per year) of 25 one or more employees in the LAMBRA. 26 (i) The net increase in the number of jobs shall be ~ determined by subtracting the total number of full-time 28 employees (defined as 2,000 paid hours per employee per 29 year) the taxpayer employed in this state in the taxable 30 year prior to commencing business operations in the 31 LAMBRA from the total number of full-time employees 32 the taxpayer employed in this state during the second 33 taxable year after commencing business operations in the 34 LAMBRA. For taxpayers who commence doing business 35 in this state with their LAMBRA business operation, the 36 number of employees for the taxable year prior to 37 commencing business operations in the LAMBRA shall 38 be zero. If the taxpayer has a net increase in jobs in the 39 state, the credit shall be allowed only if one or more 40 full-time employees is employed within the LAMBRA. . . . -23- SB 845 . 1 (ii) The total number of employees employed in the 2 LAMBllA shall equal the sum of both of the following: 3 (I) The total number of hours worked in the LAMBRA 4 for the taxpayer by employees (not to exceed 2,000 hours 5 per employee) who are paid an hourly wage divided by 6 2,000. 7 (II) The total number of months worked in the 8 LAMBRA for the taxpayer by employees who are salaried 9 employees divided by 12. 10 (iii) In the case of a taxpayer who first commences 11 doing business in the LAMBRA during the taxable year, 12 for purposes of subclauses (I) and (II), respectively, of 13 clause (ii) the divisors "2,000:' and "12" shall be 14 multiplied by a fraction, the numerator of which is the 15 number of months of the taxable year that the taxpayer 16 was doing business in the LAMBRA and the denominator 17 of which is 12. 18 (C) "Net operating loss" means the loss determined 19 under Section 172 of the Internal Revenue Code, as 20 modified by Section 17276.1, attributable to the busmess 21 activities of the taxpayer within a LAMBRA. The 22 attributable loss shall be determined in accordance with 23 the provisions of Article 2 (commencing with Section 24 25120) of Chapter 17 of Part 11, modified as follows: 25 (i) For each taxable year beginning on or after January 26 1 1995 loss shall be apportioned to a LAM BRA by 27 ~ultipl~ng total loss from the business by a fraction, the 28 numerator of which is the property factor plus the payroll 29 factor and the denominator of which is 2. 30 (ii)' "The LAMBRA" shall be substituted for "this 31 state." 32 (D) A net operating loss carryover shall be a 33 deduction only with respect to income attributed to the 34 business activities of the taxpayer within a LAMBRA 35 determined in accordance with the provisions of Article 36 2 (commencing with Section 25120) of Chapter 17 of Part 37 11, modified as follows: 38 (i) For each taxable year beginning on or after January 39 1 1995 and before January 1, 2003, income shall be 40 apporti~ned to a LAMBRA by multiplying total income <c '-'"' ~ -.:J -. . \ I , S8 845 -24- 1 from the business by a fraction, the numerator of which 2 is the property factor plus the payroll factor and the 3 denominator of which is 2. ' 4 (ii) "The LAMBRA" shall be substituted for uthis 5 state." 6 (iii) If a loss carryover is allowable pursuant to this 7 section for any taxable year after the LAMBRA 8 designation has expired, the LAMBRA shall be deemed to 9 remain in existence for purposes of computing this 10 limitation. 11 (e) A taxpayer who qualifies as a "qualified taxpayer" 12 shall, for the taxable year of the net operating loss and any 13 taxable year to which that net operating loss may be 14 carried, designate on the return filed for each year the 15 su.bdivision of this section which applies to that taxpayer 16 wIth respect to that net operating loss. If the taxpaye'r is 17 ehgJble to qualify under more than one subdivision of this 18 section, the designation is to be made after taking into 19 account subdivision (f). 20 (f) If a taxpayer is eligible to qualify under more than 21 o~e subdivision of this section as a "qualified taxpayer," 22 Wlth respect to a net operating loss in a taxable year, the 23 taxpayer shall designate which subdivision of this section 24 is to apply to the taxpayer. 25 (g) Notwithstanding Section 17276, the amount of the 26 loss de~ermined under this section shall be the only net 27 operatmg loss allowed to be carried over from that 28 taxable ~ear and ~he designation under subdivision (e) 29 shall be mcluded III the election under Section 17276.1. 30 (~) Any taxpayer described in subdivision (b) who 31 chums a net operating loss deduction pursuant to this 32 section shall provide, in a fonn and manner specified by 33 the Franchise Tax Board, the nwnber of full-time 34 (defined as 35 hours or more per week), part-time, and 35 seasonal employees employed by the taxpayer within an 36 enterprise zone as of the first and last day of the taxable 37 year. 38 SEe. 8. Section 23612 of the Revenue and Taxation 39 Code is amended to read: 40 23612. (a) There shall be allowed as a credit against -25- 58 845 . 1 the "tax" (as defined by Section 23036) an amount equal 2 to the sales or use tax paid or incurred by the taxpayer in 3 connection with the purchase of qualified property. 4 (b) For purposes of this section: 5 (1) "Taxpayer" means either of the following: 6 (A) A qualified business as defined in Section 7082 of 7 the Government Code. 8 (B) A bank or corporation engaged in a trade or 9 business within an enterprise zone designated pursuant 10 to Section 7fJ13 of the Government Code. 11 (2) "Qualified property" means machinery and 12 machinery parts used for fabricating, processing, 13 assembling, and manufacturing. and machinery and 14 machinery parts used for the pr<xluction of renewable 15 energy resources or air or water pollution control 16 mechanisms, up to a value of twenty million dollars 17 ($20,000,000), which; 1ft meets either of the following 18 requirements: 19 (A) In the case of a taxpayer described in 20 subparagraph (A) of paragraph (1) the property, is used 21 exclusively in a program area; tIftft; itt . . 22 (B) In the case of a taxpayer described in 23 subparagraph (B) of paragraph (I), the property is used 24 exclusively in an enterprise zone and is purchased prior 25 to the termination of enterprise zone designation 26 pursuant to Section 7073 of the Government Code. 27 (c) If the taxpayer has purchased property upon 28 which a use tax has been paid or incurred, the credit 29 provided under subdivision (a) shall be allowed only if 30 qualified property of a comparable quality and price is 31 not timely available for purchase in this state. 32 (d) In the case where the credit allowed under this 33 section exceeds the "tax," the excess may be carried over 34 to reduce the "tax" in the following year, and succeeding 35 years if necessary, until the credit has been exhausted. 36 (e) Any taxpayer who elects to be subject to this 37 section shall not be entitled to increase the basis of the 38 property as otherwise required by Section 164(a) of the 39 Internal Revenue Code with respect to sales or use tax 40 paid or incurred in connection with the purchase of - \ "t y., ci . ~ . . . . I S8 845 -26- 1 qualified property. 2 (f) In the case of a taxpayer described in subparagraph 3 (A) of paragraph (1) of subdivision (b), the amount of 4 the credit allowed by this section shall not in any year 5 exceed the amount of tax which would be imposed on the 6 income attributed to business activities of the taxpayer 7 within the program area (as defined in Section 7082 of 8 the Government Code). The amount of that attributed 9 income shall be determined in accordance with the 10 provisions of Article 2 (commencing with Section 25120) I I of Chapter 17, modified for purposes of this section as 12 follows: 13 (1) For income years beginning on or after January 1, 14 1991, and ending on or before December 31,1996, income 15 shall be apportioned to the program area by multiplying 16 total income from the business by a fraction, die 17 numerator of which is the property factor plus the payroll 18 factor, and the denominator of which is two. 19 (2) "The program area" shall be substituted for "this 20 state." 21 (g) In the case of a taxpayer described in 22 subparagraph (B) of paragraph (1) of subdivision (b), 23 the amount of the credit allowed by this section in any 24 year shall not exceed the amount of tax which would be 25 imposed on the income attributed to business activities of 26 the taxpayer within the enterprise zone (designated 27 pursuant to Section 7073 of the Government Code). The 28 amount of that attributed income shall be determined in 29 accordance with the provisions of Article 2 (commencing 30 with Section 25120) of Chapter 17, modified for purposes 31 of this section as follows: 32 (1) For income years beginning on or after January 1, 33 1991, and ending on or before December 31,1996, income 34 shall be apportioned to the enterprise zone by 35 multiplying total income from the business by a fraction, 36 the numerator of which is the property factor plus the 37 payroll factor, and the denominator of which is two. 38 (2) "The enterprise zone" shall be substituted for "this 39 state." 40 (h) Any taxpayer described in subparagraph (B) of . . -'1:1- S8 845 . 1 paragraph (1) of subdivision (b) who claims a credit 2 pursuant to this section shall provide, in a form and 3 manner specified by the Franchise Tax Board, the 4 number of full-time (defined as 35 hours or more per 5 week), part-time, and seasonal employees employed by 6 the taxpayer within an enterprise zone as of the first and 7 last day of the income year. S SEe. 9. Section 23622 of the Revenue and Taxation 9 Code is amended to read: 10 23622. (a) There shall be allowed as a credit against 11 the "tax" (as defined by Section 23(36) an amount equal 12 to the sum of each of the following: 13 (1) Fifty percent for qualified wages in the first year 14 of employment. 15 (2) Forty percent for qualified wages in the second 16 year of employment. 17 (3) Thirty percent for qualified wages in the third year 18 of employment. 19 (4) Twenty percent for qualified wages in the fourth 20 year of employment. . 21 (5) Ten percent for qualified wages in the fifth year of 22 employment. 23 (b) For purposes of this section: 24 (1) "Qualified wages" means the wages paid or 25 incurred by the employer during the income year to 26 qualified disadvantaged individuals. "Qualified wages" '1:1 means that portion of hourly wages which does not 28 exceed ISO percent of the minimum wage. 29 (2) "Qualified years one through five wages" means, 30 with respect to any individual, qualified wages received 31 during the 6O-month period beginning with the day the 32 individual commences employment within an enterprise 33 zone. "Qualified years one through five wages" shall not 34 include any wages paid or incurred after the date 35 enterprise zone designation terminates, expires, or 36 becomes inoperative. 37 (3) "Minimum wage" means the wage established by 38 the Industrial Welfare Commission as provided for in 39 . Chapter 1 (commencing with Section 1171) of Part 4 of 40 Division 2 of the Labor Code. ~ V "" ~ - . . . I SB 845 -2Il- 1 (4) "Qualified disac'.vantaged individual" means an 2 individual- 3 (A) Who is a qualified employee within the meaning 4 of paragraph (5). 5 (B) Who is hired by the employer after the 6 designation of the area in which services were performed 7 as an enterprise zone (under Section 7073 of the 8 Government Code). 9 (C) Who is any of the following: 10 (i) An individual who has been determined eligible for 11 services under the federal Job Training Partnership Act 12 (29 U.S.c. Sec. 1501 et seq.). 13 (ii) Any voluntary or mandatory registrant under the 14 Greater Avenues for Independence Act of 1985 provided 15 for pursuant to Article 3.2 (commencing with Section 16 11320) of Chapter 2 of Part 3 of Division 9 of the Welfare 17 and Institutions Code. 18 (iii) Any individual who has been certified eligible by 19 the California Employment Development Department 20 under the federal Targeted Jobs Tax Credit Program as 21 long as that program is in effect. 22 (5) "Qualified employee" means an individual who 23 satisfies both of the following: 24 (A) At least 90 percent of whose services for the 25 taxpayer during the income year are directly related to 26 the conduct of the taxpayer's trade or business located in 27 an enterprise zone, and 28 (B) Who performs at least 50 percent of his or her 29 services for the taxpayer during the income year in an 30 enterprise zone. 31 (c) (1) For purposes of this section, all employees of 32 all corporations that are members of the same controlled 33 !1!oup of corporations shall be treated as employed by a 34 smgle employer. In any such case, the credit (if any) 35 allowable by this section to each member shall be 36 determined by reference to its proportionate share of the 37 qualified wages giving rise to the credit. For purposes of 38 this subdivision, "controlled group of corporations" has 39 the meaning given to that term by Section 1563(a) of the 40 Internal Revenue Code, except that- 1 (A) "More than 50 percent" shall be substituted for "at 2 least 80 percent" each place it appears in Section 3 1563(a) (1) of the Internal Revenue Code. 4 (B) The determination shall be made without regard 5 to subsections (a) (4) and (e) (3) (C) of Section 1563 of 6 the Internal Revenue Code. 7 (2) If an employer acquires the major portion of a 8 trade or business of another employer (hereinafter in this 9 paragraph referred to as the "predecessor") or the major 10 portion of a separate unit of a trade or business of a 11 predecessor, then, for purposes of applying this section 12 (other than subdivision (d)) for any calendar year 13 ending after that acquisition,.. the employment 14 relationship between an employee and an employer shall 15 not be treated as terminated if the employee continues 16 to be employed in that trade or business. 17 (d) (1) If the employment of any employee with 18 respect to whom qualified wages are taken into account 19 under subdivision (a) is terminated by the taxpayer at . 20 any time during the first 270 days of that employment 21 (whether or not consecutive) or before the close of die 22 270th calendar day after the day in which that employee 23 completes 90 days of employment with the taxpayer, the . 24 tax imposed by this part for the income year in which that 25 employment is terminated shall be increased by an 26 amount equal to the credit allowed under subdivision (a) 27 for that income year and all prior income years 28 attributable to qualified wages paid or incurred with 29 respect to that employee. 30 (2) (A) Paragraph (1) shall not apply to any of the 31 following: 32 (i) A termination of employment of an employee who 33 voluntarily leaves the employment of the taxpayer. 34 (ii) A termination of employment of an individual 35 who, before the close of the period referred to in 36 paragraph (1), becomes disabled to perform the services 37 of that employment, unless that disability is removed 38 before the close of that period and the taxpayer fails to 39 offer reemployment to that individual. 40 (iii) A termination of employment of an individual, if . . -29- SB 845 t- --- \ ~ "<"" ~ . . SB 845 -30- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 it is determined u.ndcr thc applicable unemployment · compensatlOn provIsIons that the termination was due to the mIsconduct of that individual. (iv) A termination of employment of an individual due to a substantial reduction in the trade or business operations of the taxpayer. (v) A termination of employment of an individual if . that individual is replaced by other qualified employ~es so as to create a net increase in both the number of employees and the hours of employment. (B) For purposes of paragraph (1), the employment relationship between the taxpayer and an employee shall not be treated as terminated- (i) By a transaction to which Section 381 (a) of the Internal Revenue Code applies, if the employ~e contmues to be employed by the acquiring corporation or ' (ii) By reason of a mere change in the form of conducting the.trade or business of the taxpayer, if the em~loyee continues to be employed in that trade or busmess and the taxpayer retains a substantial interest in that trade or business. (3) Any increase in tax rmder paragraph (1) shall not be treated as tax imposed by this part for purposes of de,ternumng the amormt of any credit allowable rmder this part. (e) In the case of- (1) An organization to which Section 593 of the Internal Revenue Code applies, and . (2) A regulated investment company or a real estate mveslr?ent trust subject to taxation under this part rules slTmlar to the rules provided in subsections (e) and (h) of Section 46 of the Internal Revenue Code shall apply. (f) For purposes of this section, "enterprise zone" mean~ ~ area for which designation as an enterprise zone IS m effect rmder Section 7073 of the Government Code. (g) The credit shall be reduced by the credit allowed under Section 23621. The credit shall also be reduced by -31- SB 845 1 the federal credit allowed under Section 51 of the 2 Intcrnal Revenue Code. 3 In addition, any deduction otherwise allowed under 4 this part for the wages or salaries paid or incurred by the 5 taxpayer upon which the credit is based shall be reduced 6 by the amount of the credit. 7 (h) In the case where the credit allowed under this 8 section exceeds the "tax," the excess may be carried over 9 to reduce the "tax" in the following year, and succeeding 10 years if necessary, for the number of years in which the II designation of an enterprise zone under Section 7073 of 12 the Government Code is operative, or 15 income years, 13 if longer, until the credit has been e.xhausted. 14 (i) The amormt of the credit allowed by this section 15 shall not in any year exceed the amount of tax which 16 would be imposed on the income attributed to business 17 activities of the taxpayer within the enterprise zone (as 18 defined in Section 7073 of the Government Code). The 19 amount of that attributed income shall be determined in 20 accordance with the provisions of Article 2 (commencing 21 with Section 25120) of Chapter 17, modified for purposes 22 of this section as follows: 23 (1) For income years beginning on or after January 1, . 24 1991, and ending on or before December 31,1996, income 25 shall be apportioned to the enterprise zone by 26 multiplying total income from the business by a fraction, 27 the numerator of which is the property factor plus the 28 payroll factor, and the denominator of which is two. 29 (2) "The enterprise zone" shall be substituted for "this 30 state." 31 lj) Any taxpayer claiming a credit pursuant to this 32 section shall provide, in a form and manner specified by 33 the Franchise Tax Board, the number of full-time 34 (defined as 35 hours or more per week), part-time, and 35 seasonal employees employed by the taxpayer within an 36 enterprise zone as of the first and last day of the income 37 year.v38 SEe. 10. Section 24356.2 of the Revenue and Taxation 39 Code is amended to read: 40 24356.2. (a) A taxpayer may elect to treat the cost of ~ - . 't: v-, ~ . .' SB 845 -32- 1 any Section 24356.2 property as an expense which is not 2 chargeable to capital account. Any cost so treated shall be 3 allowed as a deduction for the income year in which the 4 Section 24356.2 property is placed in service. 5 (b) (1) An election under this section for any income 6 year shall- 7 (A) Specify the items of Section 24356.2 property to 8 which the election applies and the portion of the cost of 9 each of those items which is to be taken into account 10 under subdivision (a). and 11 ,(B) Be made on the taxpayer's return of the tax 12 imposed by this part for the income year. 13 (2) Any election made under this section, and any 14 specification contained in that election, may not be 15 revoked except with the consent of the Franchise Tax 16 Board. . 17 (c) ( 1) For purposes of this section, "Section 24356.2 18 property" means any recovery property which is Section 19 1245 property (as defined in Section 1245 (a) (3) of the 20 Internal Revenue Code) and which is acquired by 21 purchase for exclusive use in a trade or business 22 conducted within an enterprise zone designated 23 pursuant to Section 7fY73 of the Government Code. 24 (2) For purposes of paragraph (1), "purchase'" means 25 any acquisition of property, but only if- 26 (A) The property is not acquired from a person whose 27 relationship to the person acquiring it would result in the 28 disallowance of losses under Section 267 or 7fY7 (b) of the 29 Internal Revenue Code (but, in applying Sections 267 (b) 30 and 267 (c) of the Internal Revenue Code for purposes of 31 this section, Section 267 (c) (4) of the Internal Revenue 32 Code shall be treated as providing that the family of an 33 individual shall include only his or her spouse, ancestors, 34 and lineal descendants), 35 (B) The property is not acquired by one member of an 36 affiliated group from another member of the same 37 affiliated group, and 38 (C) The basis of the property in the hands of the 39 person acquiring it is not determined in whole or in part 40 by reference to the adjusted basis of such property in the -33- S8 845 . 1 hands of the person from whom acquired. 2 (D) The property is acquired prior to the termination 3 of enterprise zOJle designation pursuant to Section 7m3 4 of the GoveT1l11Jcnt Code. 5 (3) For purposes of this section, the cost of property 6 does not include so much of the basis of that property as 7 is determined by reference to the basis of other property 8 held at any time by the person acquiring that property. 9 (4) This section shall not apply to any property for 10 which the taxpayer may not make a federal election for 11 the taxable year under Section 179 of the Internal 12 Revenue Code because of the application of the 13 provisions of Section 179(d) of the Internal Revenue 14 Code. 15 (5) For purposes of subdivision (b)- 16 (A) All members of an affiliated group shall be treated 17 as one taxpayer, and 18 (B) The taxpayer shall apportion the dollar limitation 19 contained in subdivision (f) among the members of the 20 affiliated group in whatever manner the board shall by 21 regulations prescribe. 22 (6) For purposes of paragraphs (2) and (5), "affiliated 23 group" has the meaning assigned to it by Section 1504 of 24 the Internal Revenue Code, except that, for these 25 purposes, the phrase "more than 50 percent'" shall be 26 substituted for the phrase "at least 80 percent'" each place 27 it appears in Section 1504(a) of the Internal Revenue 28 Code. 29 (7) This section shall not apply to any property 30 described in Section 168(f) of the Internal Revenue 31 Code, relating to property to which Section 168 of the 32 Internal Revenue Code does not apply. 33 (d) For purposes of this section, "taxpayer" means a 34 taxpayer who conducts a trade or business within an 35 enterprise zone designated pursuant to Section 7fY73 of 36 the Government Code. 37 (e) Any taxpayer who elects to be subject to this 38 section shall not be entitled to claim additional 39 depreciation pursuant to Section 24356 with respect to 40 any property which constitutes Section 24356.2 property. \ ~ \-"', ~ . ~ . . . . SB 845 -34- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 . (f) The deduction allowable under subdivision (a) for any income year shall not exceed the following applicable amount for the income year of the designation of an enterprise zone and income years thereafter: The applicable amount is: . Income year of designation............................ 1st income year thereafter ............................ 2nd income year thereafter .......................... 3rd income year thereafter ............................ Each income year thereafter ........................ $ 5,000 5,000 7,500 7,500 10,000 (g) This section shall apply only to property which is used exclusively in a trade or business conducted within an enterprise zone. (h) Any amounts deducted under subdivision (a) with respect to property which ceases to be used in the trade or business within an enterprise zone at any time before . the close of the second income year after the property is placed in service shall be included in income for that year. (i) Any taxpayer who elects to be subject to this section shall provide, in a Form and manner specified by . the Franchise Tax Board, the number of Full-time (dermed as 35 hours or more per week), part-time, and seasonal employees employed by the taxpayer within an enterprise zone as of the first and last day of the income year. SEe. 11. Section 24384 of the Revenue and Taxation Code is amended to read: 24384. (a) There shall be allowed as a deduction the amount of net interest received by the taxpayer in . payment of indebtedness of either of the following: (1) A qualified business (as defined in Section 7082 of the Government Code). (2) A person or entity engaged in trade or business located in an enterprise zone (as defined in Section 7073 of the Government Code). (b) No deduction shall be allowed under subdivision .' -35- SB 845 1 (a) unless at the time the indebtedness is incurred each 2 of the following requirements are met: 3 (1) The qualified business is located solely within a 4 program area (as defined in Section 7082 of the 5 Government Code), or the trade or business is located 6 solely within an enterprise zone (as defined in Section 7 7073 of the Government Code). 8 (2) The indebtedness is incurred solely in connection 9 with activity within the program area or enterprise zone. 10 (3) The taxpayer has no equity or other ownership 11 interest in the debtor. 12 (4) With respect to the deduction allowed under 13 paragraph (2) of subdivision (a), the interest is received 14 prior to the termination of enterprise zone designation 15 pursuant to Section 7(Jl3 of the Government Code. 16 SEe. 12. Section 24416.2 of the Revenue and Taxation 17 Code is amended to read: 18 24416.2. The term "qualified taxpayer" as used in 19 Section 24416.1 means any of the following: 20 (a) A taxpayer engaged in the conduct of a qualified 21 business within a program area (as defined in Section 22 7082 of the Government Code). 23 (1) A net operating loss shall not be a net operating 24 loss carryback for any income year and a net operating 25 loss for any income year beginning on or after the date 26 that the taxpayer becomes a qualified business shall be a 27 net operating loss carryover to each of the 15 income 28 years following the income year of loss. 29 (2) For purposes of this subdivision: 30 (A) "Net operating loss" means the loss determinal 31 under Section 172 of the Internal Revenue Code, as 32 modified by Section 24416.1, attributable to the business 33 activities of the taxpayer within the program area (as 34 defined in Section 7082 of the Government Code). That 35 attributed loss shall be determined in accordance with 36 the provisions of Article 2 (commencing with Section 37 25120) of Chapter 17, modified for purposes of this section 38 as follows: 39 (i) For each income year beginning on or after 40 January 1,1991, and ending on or before December 31, () ~ ~ V- ~ SB 845 -36- I 2 3 4 5 6 7 8 9 10 II 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 1996,. loss shall be apportioned to the program area by multiplymg total loss from the business by a fraction the numerator of which is t~e property factor plus the pa~roll factor, and the denommator of which is 2. (ii)" 'The program area" shall be substituted for "this state. (B) A net operating loss carryover shall be a deduction only .~th respect to income attributed to the business activIties of the taxpayer within the program area (as defined. in ~ection 7082 o~ the Government Code) deternuned In accordance WIth the provisions of Article 2 (c?mmencing with Section 25120) of Chapter 17, mo?ified for purposes of this section as follows: (1) For each income year beginning on or after Janu~y 1, 1991, and ending on or before December 31, 1996,.mcome shall. be apportioned to the program area by multiplymg total mcome from the business by a fraction the numerator of which is the property factor plus th~ payroll factor, and the denominator of which is 2 (ii) "The program area" shall be substituted fo~ "this state. " (b) A taxpayer who is engaged in the conduct of a trade or business within an enterprise zone designated pursuant to Section 7(J73 of the Government Code on or after that deSignation. (I) .(A) A net operating loss shall not be a net opera~g lo~s carryback to any income year and, except as p~oVlded m subparagraph (B), a net operating loss for any I?COme year beginning on or after the date that the area ~ whICh the taxpayer conducts a trade or business IS deSIgnated an enterprise zone shall be a net operating loss carryover .to each following income year that ends before the expIration or revocation of the designation of the enterprise zone under Section 7073 of the Gover~ent .Code or to each of 15 income years followmg the mcome year of loss, if longer. (~) In the case of a financial institution to which Section 585, 586, or 593 of the Internal Revenue Code apphes: a net operating loss for any income year begmrung on or after January I, 1984, shall be a net . . . . . .. -37- S8 845 1 operating loss carryover to each of the five income years 2 following the income year of the loss. Subdivision (b) of 3 Section 24416.1 shall not apply. 4 (2) For purposes of this subdivision: 5 (A) "Net operating loss" means the loss determined 6 under Section 172 of the Internal Revenue Code, as 7 modified by Section 24416.1, attributable to the business 8 activities of the taxpayer within the enterprise zone (as 9 defined in Section 7(J13 of the Government Code). The 10 attributed loss shall be determined in accordance with II the provisions of Article 2 (commencing with Section 12 25120) of Chapter 17, modified for purposes of this section 13 as follows: 14 (i) For each income year beginning on or after 15 January 1, 1991, and ending on or before December 31, 16 1996, loss shall be apportioned to the enterprise zone by 17 multiplying total loss from the business by a fraction, the 18 numerator of which is the property factor plus the payroll 19 factor, and the denominator of which is 2. 20 (ii) 'The enterprise zone" shall be substituted for 21 "this state." 22 (B) A net operating loss carryover shall be a deduction 23 only with respect to income attributed to the business 24 activities of the taxpayer within the enterprise zone (as 25 defined in Section 7(J13 of the Government Code) 26 determined in accordance with the provisions of Article 'Z1 2 (commencing with Section 25120) of Chapter 17, 28 modified for purposes of this section as follows: 29 (i) For each income year beginning on or after 30 January 1,1991, and ending on or before December 31, 31 1996, income shall be apportioned to the enterprise zone 32 by multiplying total income from the business by a 33 fraction, the numerator of which is the property factor 34 plus the payroll factor, and the denominator of which is 35 2. 36 (ii) "The enterprise zone" shall be substituted for 37 "this state." 38 (C) A net operating loss carryover shall be a deduction 39 only with respect to income years ending prior to the 40 termination of enterprise zone designation pursuant to c{ ~ ~ ~ n' .."',.., SB 845 -38- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 Section 7073 of the Govemment Code. (c) A taxpayer engaged in the conduct of a trade or business within the Los Angeles Revitahzation Zone designated pursuant to Section 7102 of the Government Code. (1) (A) A net operating loss shall not be a net operati~g lo~ carryback for any income year and, except as p~oVlded ill subparagraph (B), a net operating loss for any mcome year beginning on or after the date the area in which the taxpayer conducts a trade or business is designated the Los Angeles Revitahzation Zone shall be a net operating loss carryover to each following income year that ends before the expiration or revocation of the designation of the Los Angeles Revitahzation Zone under Section 7102 of the Government Code or to each of the 15 income years following the income year of loss, J longer. (B) In the case of a financial institution to which Section 585, 586, or 593 of the Internal Revenue Code apphes, a net operating loss for any income year be~g on or after January I, 1984, shall be a net operating loss carryover to each of the five years following the income year of the loss. Subdivision (b) of Section 24416.1 shall not apply. (2) For the purposes of this subdivision: (A) "Net operating loss" means the loss determined under Section 172 of the Internal Revenue Code as modified by Section 24416.1, attributable to the busu;.ess activities of the taxpayer within the Los Angeles Revitahzation Zone (as defined in Section 7102 of the Government Code) . The attributable loss shall be determined in accordance with the provisions of Article 2 (~ommencing with Section 25120), modified as follows: (I! The ~oss shall be apportioned to the Los Angeles Revltahzation Zone by multiplying the loss from the business by a fraction, the numerator of which is the property factor plus the payroll factor and the denominator of which is 2. ' (ii) "The Los Angeles Revitahzation Zone" shall be substituted for this state. . . ." . . . -39- SB 845 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 (B) A net operating loss carryover shall be a deduction only with respect to income attributable to the business activities of the taxpayer within the Los Angeles Revitalization Zone (as defined in Section 7102 of the Government Code) determined in accordance with the provisions of Article 2 (commencing with Section 25120) of Chapter 17 of Part 11, modified as follows: (i) For each taxable year beginning on or after January 1, 1992, and before January I, 1998, income shall be apportioned to the Los Angeles Revitalization Zone by multiplying total income from the business by a fraction, the numerator of which is the property factor plus the payroll factor, and the denominator of which is 2. (ii) "The Los Angeles Revitahzation Zone" shall be substituted for "this state." (3) This subdivision shall cease to be operative on January I, 1998. However, any unused net operating loss may continue to be carried over to following years as provided in this subdivision until the net operating loss has been used. . (d) For each income year beginning on or after January I, 1995, and before January 1, 2003, a taxpayer engaged in the conduct of a trade or business within a LAMBRA. (1) (A) A net operating loss shall not be a net operating loss carryback for any income year and, except as provided in subparagraph (B), a net operating loss for any income year beginning on or after the date the area in which the taxpayer conducts a trade or business is designated a LAM BRA shall be a net operating loss carryover to each following income year that ends before the expiration or revocation of the designation of a LAMBRA under Section 7116 of the Government Code or to each of the 15 income years following the income year of loss, if longer. (B) In the case of a financial institution to whichnSection 585, 586, or 593 of the Internal Revenue Code applies, a net operating loss for any income year beginning on or after January 1, 1984, shall be a net operating loss carryover to each of the five years c-.J ~ . ~ ~ ~ sa 845 -40- 1 following the income year of the loss. Subdivision (b) of 2 Section 24416.1 shall not apply. 3 (2) For the purposes of this subdivision: 4 (A) "LAMBRA" means a local agency military base 5 recovery area designated in accordance with Section 6 7114 of the Government Code. 7 (B) "Taxpayer" means a bank or corporation that 8 conducts a trade or business within a LAMBRA and for 9 the first two income years, has a net increase in Jobs 10 (defined as 2,000 paid hours per employee per year) of 11 one or more employees in the LAMBRA. 12 (i) The net increase in the number of jobs shall be 13 determined by subtracting the total number of full-time 14 employees (defined as 2,000 paid hours per employee per 15 year) the taxpayer employed in this state in the income 16 year prior to commencing business operations in the 17 LAMBRA from the total number offull-time employees 18 the taxpayer employed in this state during the second 19 mcome year after commencing business operations in the 20 !-AMBRA. Fo~ taxpayers who commence doing business 21 m this state WIth their LAMBRA business operation, the 22 number of employees for the income year prior to 23 commencing business operations in the LAMBRA shall 24 be zero. If the taxpayer has a net increase in jobs in the 25 state, the credit shall be allowed only if one or more 26 full-time employees is employed within the LAMBRA. 27 (ii) The total number of employees employed in the 28 LAMBRA shall equal the sum of both of the following: 29 (I) The total number of hours worked in the LAM BRA 30 for the taxpayer by employees (not to exceed 2,000 hours 31 per employee) who are paid an hourly wage divided by 32 2,000. 33 (II) The total number of months worked. in the 34 LAMBRA for the taxpayer by employees who are salaried 35 employees divided by 12. 36 (iii) In the case of a taxpayer that first commences 37 doing business in the LAM BRA during the income year, 38 for purposes of subclauses (I) and (II), respectively, of 39 clause (n) the divisors "2,000" and "12" shall be 40 multiplied by a fraction, the numerator of which is the e) .J . . . e,; I -41- 58 845 1 number of months of the income year that the taxpayer 2 was doing business in the LAMBRA and the denominator 3 of which is 12. 4 (C) "Net operating loss" means the loss determined 5 under Section 172 of the Internal Revenue Code, as 6 modified by Section 24416.1, attributable to the business 7 activities of the taxpayer within a LAMBRA. The 8 attributable loss shall be determined in accordance with 9 the provisions of Article 2 (commencing with Section 10 25120), modified as follows: 11 (i) For each income year beginning on or after 12 January 1, 1995, the loss shall be apportioned to a 13 LAMBRA by multiplying the loss from the business by a 14 fraction, the numerator of which Is the property factor 15 plus the payroll factor, and the denominator of which ts 16 2. 17 (ii) "The LAMBRA" shall be substituted for "this 18 state." 19 (0) A net operating loss carryover shall be a 20 deduction only with respect to income attributable to the 21 business activities of the taxpayer within a LAMBRA 22 determined in accordance with the provisions of Article 23 2 (commencing with Section 25120) of Chapter 17 of Part 24 11, modified as follows: 25 (i) For each taxable year beginning on or after January 26 1, 1995, and before January 1, 2003, income shall be 27 apportioned to a LAMBRA by multiplying total income 28 from the business by a fraction, the numerator of which 29 is the property factor plus the payroll factor, and the 30 denominator of which is 2. 31 (ii) "The LAMBRA" shall be substituted for "this 32 state." 33 (iii) If a loss carryover is allowable pursuant to this 34 section for any income year after the LAM BRA 35 designation has expired, the LAM BRA shall be deemed to 36 remain in existence for purposes of computing this 37 limitation. 38 (e) A taxpayer who qualifies as a "qualified taxpayer" 39 shall, for the income year of the net operating loss and 40 any income year to which that net operating loss may be ~ ~ , ~ \/"\ ~ 91 ~111 .. 1 carried, designate on the return filed for each year the 2 subdivision of this section which applies to that taxpayer 3 with respect to that net operating loss. If the taxpayer is 4 eligible to qualify under more than one subdivision of this 5 section, the designation is to be made after taking into 6 account subdivision (f). 7 (f) If a taxpayer is eligible to qualify under more than 8 one subdivision of this section as a "qualified taxpayer," 9 with respect to a net operating loss in an income year, the 10 taxpayer shall designate which subdivision of this section 11 is to apply to the taxpayer. 12 (g) Notwithstanding Section 24416, the amount of the 13 loss determined under Section 24416.1 shall be the only 14 net operating loss allowed to be carried over from that Ip income year and the designation under subdivision (e) 16 shall be included in the election under Section 24416.1. 17 (h) Any taxpayer described in subdivision (b) who. 18 claims a net operating loss deduction pursuant to this 19 section shall provide, in a form and manner specified by 20 the Franchise Tax Board, the number of full-time 21 (defined as 35 hours or more per week), part-time, and 22 seasonal employees employed by the taxpayer within an 23 enterprise zone as of the first and last day of the income 24 year. o 91 B20 .1 . ., - -.J c( . ~ \~ "'( . .u -- r"". ". ~. r 1 " , :a , I I l ;,', . " ~ ;. t t. i , l AMENDED IN ASSEMBLY JUNE ?:T, 1994 AMENDED IN SENATE APRIL?:T, 1994 AMENDED IN SENATE APRIL 13,1994 SENATE BILL No. 1779 , Introduced by Senator Bergeson (Principal coauthor: Assembly Member Johnson) (Coauthon: Senaton Beverly, Hurtt, Lewis, Presley, and Torres) (Coauthors: Assembly Memben Connolly, Hauser, Hoge, Morrow, O'Connell, Pringle, 8ft8 Riehter) Richter, and Snyder) February 24, 1994 An act to amend Section 1714.1 of the Civil Code, to amend Section 53069.3 of the Government Code, to arqend Sections 594,594.1,594.4,594.6,594.7,640.5, and 640.6 of, and to add Sections 594.15 and 836.1 to, the Penal Code, to amend Section 13202.6 of the Vehicle Code, to add Article 18.5 (commencing with Section 743) to Chapter 2 of Part 1 of Division 2 of, and to repeal Section 728 of, the Welfare and Institutions Code, relating to graffiti. LEGISLATIVE COUNSEL'S DIGFSI' S8 1779, as amended, Bergeson. Graffiti prevention. . Existing law prohibits the defacement of property of , another. Every person who maliciously defaces, damages, or i destroys the real or personal property of another is guilty of : vandalism, which is punishable by a fine, imprisonment, or I' , both, as specified. Liability for an act for the willful . misconduct of a minor which results in the defacement of , ' I property with paint or a similar substance is imputed to the l . parent or guardian of that minor. It is unlawful to sell to a I t, 96 III . r, I i I " , , " it r' (') r 1 (-I .oOOO(")O;)Q '_'.8.'~ ';. ~~J;.jhr~~'~ ' t, f\''''J~,h~;;1 ,r".,) r".1"'\ ') <";.0ohn(jt}~o ' l~~.'.O.'O'; : , C......,)' I't'...",~-,,~r"'" , \' \ J- ' I . ;'," ~C' .( ~/J l~ I',~;'; (), ,~r)f( ()h (UJn(~(/,)~~ql,; , U..t).l' i q '.'. Utibr~ ,~),' ~., 'f )", ) l; \- ' R rV b d u.t),~ y ~~: ~.;r( ) :u. C~K' ~,U:;fllt;Od::, "', t:-!r.i.J~ UIoo"~~0i t (J~UU~ ,~." . t~ .PW!-l( ,H \<\i~\,.J, \,), Ur\u. "..J'- u. U.~, " (I ,0 (.;p:i) t.;i':'I'U. ~ "'1"\'1 ',,:t ..J,'U~ ,~)7:C' LP-U' V ~ ., "II;..)' 'U.' (..; ,', '!"UU' ,I I,,:..... ,',' "U.1 t]~tT , , '''UU' '~,( .r-., , ',' H' ~T, (,: fII U '~i )I~U" p" . " '~0' ,.~, J ,~, (] .l~'~ L ~'. -,,',..)~"I...,i:.\I.J !p"ut...t ~.' r". , ,:"'~'~,' '~l'), . I,:' ".... '-I, rT, , ''-0< -" '- 1 .,',.' _'...."" ,r', "'y '" i w . ... i ... .' ........ . . . . ~ ~ "/I ~ 11779 -2- inor, or for a minor to possess, a container of aerosol paint ,pable of defacing property. Existing law authorizes a city or lunty to enact an ordinance to provide for the use of city or lunty funds to remove graffiti or other inscribed material. This bill would, among other things, make it unlawful to sell ) a minOT any grafliti implement. The bill would increase the enalties for specified acts of vandalism resulting in efacement, damage, or destruction valued at $400 or more, ut less than $5,000. The bill would authorize a peace officer J arrest persons whom the officer has reasonable cause to . elieve has committed specified acts of vandalism, whether or ,ot the acts were committed in his or her presence. The bill ~ould authorize local governments and school districts to letermine and recover the costs of removing graffiti, as pecified. The bill would also require minors who commit pecified acts of vandalism to provide restitution. In addition, he bill would make parents liable for the payment of lpecified fines levied on the minor if the minor is unable to Jay, and would establish a procedure whereby the parent or ~ardian of that minor may be ordered to pay restitution if the minor or the minor's estate is unable to do so. The bill would impose a state-mandated local program by expanding the definition of various crimes. The CalifonUa Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason. . Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: yes.. . .. The people of the State of California do enact as follows: 1 SEGnON1. Section 1714.1 of the Civil Code is 2 amended to read: 3 1714.1. (a) Any act of willful misconduct of a minor 4 which results in injury or death to another person or in 5 any injury to the property of another shall be imputed to 6 the parent or guardian having custody and control of the 96 110 ~ ....,.., "' . -3- . . - ~.. 1\ . sa 1779 .. 1 minor. for all ~urpose8 of civil damages, and the parent or 2 guardian haVIng custody and control shall be jointly and 3 severally liable with the minor for any damages resulting 4 from the willful misconduct. . 5 ~e joint and several liability of the parent or guardi~ 6 haVlOg custody and control of a minor under this 7 subdivision shall not exceed ten thousand dollars 8 ~$~O,OOO) for each tort of the minor, and in the case of 190 ~J~ to a ~rson, imputed liability shall be further limited to medical, dental and hospital expenses incurred 11 by the injured person, not to exceed ten thousand dollars 12 ($10,000). The liability imposed by this section is in 13 addition to any liability now imposed by law. 14 (b) Any act of willful misconduct of a minor which 15 results. in the ~efacement of property of another by 16 graffiti or other mscribed material shall be imputed to the 17 parent or guardian having custody or control of the minor 18 ~or all purposes of civil damages. These damages shall 19 mclude, ,but are not necessarily limited to, court costs, . '. 00 attorney s fees, costs of removal of graffiti or other 21 inscribed material by private parties or public entities _ 22 costs of repair and replacement of defaced property and 23 !he l~w ~nforcement costs incurred by public entitles in ... 24 Identifying and apprehending the minor. These damages 25 may be recovered by civil action or in juvenile court 26 proceedings pursuant to Section 746 of the Welfare and 27 Institutions Code. The parent or guardian having custody 28. or control of the minor shall be jointly and severally liable 29 ~th the minor for any damages resulting from the willful 30 miscOnduct,. not to exceed twenty thousand dollars 31 ($00,000) for each tort of the minor. 32 (c) Notwithstanding any other provision of law if a .. 33 minor is found to be a person described in Section 002 of 34 the ~e~are and Institutions Code by reason of the 35 COmIDlSSlon of an act prohibited by Section 594 594 3 36 594.4, 640.5, 640.6, or 640.7 of the Penal Code, that imm.:.g 37 and the names and addresses of the minor's parents, if 38 known, shall be reported by the probation officer of the 39 county to the person or entity in possession of the . . 40 property defaced by.the minor. and to the city clerk or .. '-J o-.t " ~ \r. ~ , 96 181 SB ,17'79 -4- 1 other official designated by the city council of the city u: .. ,2 which the defaced property is located, or to the clerk of 3 the board of supervisors or other official designated by 4 the board of supervisors, if the I defaced property is 3 located in an unincorporated area of a county or in a city 6 and county. 7 (d) As used in subdivision (b), the term "civil action" .. 8, means an action in municipal court, including small 9' claims court. , ' 10 ' (e) In any proceeding brought pursuant to subdivision 11 (b) by a public entity that has adopted cost findings 12 pursuant to Section 7415 of the Welfare and Institutions 13 ,Code, there shall bea presumption affecting the burden 14 of proof that the cost findings made by the public entity, 13 or the most recent review thereof, accurately reflect the 16 , actual ,costs inCWTed by the public entity. A certified 17 copy of an ordinance or resolution memorializing the coSt 18 findings or the most recent review' thereof shall be 19, admissible as proof of those costs., ' ' 00 (f) In any proceeding brought pursuant to subdivision . . 21 (b), there shall be a conclusive presumption that a person' 22 convicted by final judgment of violation of Section 594, 23 594.3, 594.4, 640.5, 640.6, or 640.7 of the Penal Code, ot 24 declared a ward of the juvenile court pursuant to Section .. 25 602 of the Welfare and Institutions Code by reason of the 26 commission' of an act prohibited by Section 594, 594.3, 27 640.5, or 640.6 of the Penal Code, committed the act 28 described in the judgment, and a certified copy of the 29 , judgment shall be admissible as proof of that fact., " 30 ' " (g) As used in this section, the term "graffiti or other 31 inscribed material" includes any unauthorized 32 inscription, word, figure, mark, or design that is written. 33 marked, etched, scratched, drawn, or painted on any real .. 34 or personal property. ' ,,;' , 35 ' (h)' As used in this section the term "custody" means 36 either physical or legal custody. " , 37, SEC. 2. Section 53069.3 of the Government Code is 38 amended to read: 39 53069.3. A city, county, or city and county may enact 40 an ordinance to provide for the use of city or county funds . . 1181l1O ,.-t> ". ,...., -5- SB 17'79 1 to re~ove graffiti or other inscribed material from public 2 o~ pnvately owned property within that city, county, or 3 CIty and county and to replace or repair public or ,4 privately owned property within that city, county, or city 5 and county that has been defaced with graffiti or other 6 inscribed material that cannot be removed cost 7, effectively. 8 That ordinance shall authorize only the removal of the 9 graffiti or other inscribed material itself, or, if the graffiti 10 or other inscribed, material cannot be removed 11 cost-effectively, the repair or replacement of the portion 12 of the property that was defaced, and not the painting, 13 repair, or replacement of other parts of the property that 14 were not defaced., ' 15 The removal, repair," or 'replacement may be 16 performed only after a finding by the city, county, or city 17 and county that the graffiti or other inscribed material is 18 obnoxioUll,'and, in the case of publicly owned property, 19 only after securing the consent of the public entity 00 having jurisdiction over the property, and in the case of 21 privately owned property, only, after securing the 22 consent of the owner or possessor. 23 ,The law enforcement agency with primary jurisdiction 24 in a city, county, or city and county which enacts an 2S ordinance pursuant to this section. 'may promulgate 26, procedures for preremoval preservation of sufficient 27 evidence of the graffiti or other inscribed material for 28, criminal prosecutions or proceedings pursuant to Section 29 602 of the Welfare and Institutions Code pertaining to the 30 person or persons who iIw:ribed the graffiti or other 31 material. These procedures shall be followed by the city, 32 county, or city and county prior to or during removal of 33 graffiti ot other inscribed material. ' 34 As WJed in this section, "graffiti or' other inscribed as material" includes any unauthorized inscription, word, 36 figure, mark, or design that is written, marked, etched, 37 tcratched, ,drawn, or painted on any real or personal 38 property. 39, This section does not preclude the abatement of graffiti 40 or other inscribed material as' a nuisance pursuant to t"- o{ \ <t:.. \v-. <i , .' Il8 1110 ..,. "', ...""" -6- SB .1'779 1 Section 25845 or 38773.5, or the enacbnent or 2 enforcement of any criminal law with respect to 3 nuisance. 4 SEC. 3. Section 594 of the Penal Code is amended to 5 read: ,,6 594. (a) Every person who maliciously commits analy 7 of the following acts with respect to any real or person 8 property not his or her own. in cases other than those . ,9 specified by state law. is guilty of vandalism: 10. (1) Defaces with graffiti or other inscribed material. 11 (2) Damages. '. . 12 . . (3) Destroys. 13 .' Whenevera person violates paragraph (1) with respect 14 to real property belonging to any public entity. as dE;fined 15 by Section 811.2 of the Government Code~ or real 16 property belonging to the federal government. It shall be 17 a pennissive inference that the person neither owned the 18 property nor had the permission of the owner to deface. 19 damage. or destroy the property. 00 (b) (1) If the amount of defacement. damage. or 21 destruction is fifty thousand dollars ($50.000) or more. 22 vandalism is punishable by imprisonment in the state 23 prison or in a county jail not exceeding one year. 'or by a 24 fine of not more than fifty thousand dollars ($50.000). or 25 by both that fine and imprisonment. 26 (2) If the amount of defacement.' damage. or . 'Z1 destruction is five thousand dollars ($5.000) or more but. 28 less than fifty thousand dollars ($50.000). vandalism is 29 punishable by imprisonment in the state prison. or in a 30 county jail not exceeding one year. or by a fine of not 31 more than ten thousand dollars ($10.000). or by both that 32 fine and imprisonment. 33 (3) If the amount of defacement. damage. or 34 destruction is four hundred dollars ($400) or more but 35 less than five thousand dollars ($5.000). vandalism is 36 punishable by imprisonment in a county jail not 37 exceeding one year. or by a fine of five thousand dollars 38 ($5.000). or by both that fine and imprisonment. 39 (4) If the amount of defacement. damage, or 40 destruction is less than four hundred dollars ($400). Il6 111I . "'4" .. . -7- SB '1779 .. 1 vandalism is punishable by imprisonment in a county jail 2 for not more than six months. or by a fine of not more 3 than one thousand dollars ($1.000). or by both that fine 4 and imprisonment. . 5 (c) Upon conviction of any person under this section 6 for acts of vandalism consisting of defacing property with 7 graffiti or other inscribed materials. the court may. in 8 addition to any punishment imposed under subdivision 9 (b). at the victim's option. order the defendant to clean 10 up. repair. or replace the damaged property himself or 11 herself, or to pay for someone else to do so. 12 (d) If a minor is personally unable to pay a fine levied 13 for acts prohibited by this section. the parent of that 14 minor shall be liable for payment of the fine. A court may 15 waive payment of the fine or any part thereof by the 16 parent upon a finding of good cause. 17 (e) As used in this section. the term "graffiti or other 18 inscribed material" Includes any unauthorized 19 inscription. word. figure. mark. or design that is written. 20 marked. etched. scratched. drawn. or painted on real or 21 personal property. 22 SEC. 4. Section 594.1 of the Per1al Code Is amended to 23 read: 24 594.1. (a) (1) It shall be unlawful for any person, 25 firm. or corporation. except a parent or legal guardian, to 26 sell or give or in any way furnish to another person. who 'Z1 is in fact under the age of 18 years. any graffiti implement 28 that is capable of defacing property without first 29 obtaining bona fide evidence of majority and identity. 30 (2) For purposes of this subdivision. "bona fide 31 evidence of majority and identity" is any document 32 evidencing the age and identity of an individual which 33 has been issued by a federal. state. or local governmental 34 entity, and includes, but Is not limited to. a motor vehicle 35 operator's license. a registration certificate issued under 36 the federal Selective Service Act, or an identification card 37 issued to a member of the armed forces. 38 (3) This subdivision shall not apply to the furnishing of 39 an aerosol paint container of six ounces or less. a large . 40 marker pen. a paint stick. or an etching tool to a minor I;' efl "0- Oil \ <c 'vi ot . Il6 lIIO - ........... ' .". ,~ .. . '", ...... -9- SB 1779 '.or. ," .. .....,.., ., - SB .1779 -8- . for the minor's use or possession under the supervision of 1 his or her hours of school attendance or employment. 1 2 (C) If the person has two prior convictions under this 2 the minor's parent, guardian, instructor, or employer. 3 subdivision, community service not to exceed 300 hours 3 (4) Aerosol container.s of paint or related su.b~tances 4 over a period not to exceed 240 days during a time other 4 may be furnished for use in school-related actiVities that 5 than during his or her hours of school attendance or 5 are part of the instructional program when used under 6 employment. 6 controlled and supervised situations within the classroom I 7 (e) (1) As used in this section, the term "graffiti 7 or on the site of a supervised project. These containers 8 implement" means any aerosol paint container, large 8 may not leave the supervised site and shall be inventoried 9 marker pen, paint stick, or etching tool. 9 by the instructor. This use shall comply with Section 10 (2) As used in this section, "aerosol paint container" 10 32060 of the Education Code regarding the safe use of 11 means any aerosol containvr regardless of the material 11 toxic art supplies in schools. 12 from which it is made, which is adapted or made for the 12 (b) It shall be unlawful for any person under the age 13 purpose of spraying paint or other substance capable of 13 of 18 years to purchase a graffiti implement that is 14 defacing property. . 14 capable of defacing property. 15 (3) As used in this section, "large marker pen" means 15 (c) Every retailer selling or offering for sale in this 16 any indelible marker or similar implement with a tip 16 state graffiti implements capable of defacing property 17 which, at its broadest-width, is greater than one-fourth of 17 shall post in a conspicuous place a sign in letters at least 18 one inch, containing anything other than a solution which cr:- 18 three-eighths of an inch high stating: "Any person who 19 can be removed with water after it dries. 19 maliciously defaces real or personal property is guilty of 20 (4) As used in this section, "paint stick" means any ~ 20 vandalism which is punishable by a fine, imprisonment, 21 device containing a solid form of paint, chalk, wax, epoxy, 21 or both." 22 or other similar substance capable of being applied to a <c. 22 (d) (1) It shall be unlawful for any person to possess 23 surface by pressure, and upon application, leaving a mark \r.. 23 a graffiti implement while in or on any public or private 24 at least one-fourth of one inch in width, visible from a 24 property without the permission of the owner or 25 distance of 20 feet, and not water soluble. ~ 25 possessor of the property. This subdivision does not 26 (5) As used in this section, "etching tool" means any 26 prohibit possession of a graffiti implement by a person 27 tool designed for the purpose of scarring or inscribing 27 over the age of 18 years when in a moving vehicle with 28 glass, metal, concrete, or wood. 28 the permission of the vehicle's owner or possessor, on a 29 (f) Violation of any provision of this section is a 29 public highway, street, or alley. 30 misdemeanor. 30 (2) As a condition of probation for any violation of this 31 SEC. 5. Section 594.15 is added to the Penal Code, to 31 subdivision, the court may order a defendant convicted 32 read: 32 of a violation of this subdivision to perform community . 33 594.15. (a) Every person or entity that sells aerosol 33 service as follows: 34 paint containers, large marker pens, paint sticks, or 34 (A) For a first conviction under this subdivision, 35 etching tools shall store or cause such items to be stored 35 community service not fo exceed 100 hours over a period 36 tit !tit __ wmeh .-,. he lie Mthle e,. tfte ptthlie, htH 36 not to exceed 90 days during a time other than during his . 37 v. mllh is ~ aeee_Ie M tfte ptthlie tit tfte regttlBl' e8t1PSe 37 or her hours of school attendance or employment. 38 M lruMft688 v.;ithetlt 8lftpleyee BMishmee, peB8tBg ~ , 38 (B) If the person has a prior conviction under this 39 pending sale or disposition, in an' area viewable from a 39 subdivision, community service not to exceed 200 hours G 40 cash register or other workstation at which at least one 40 over a period of 180 days during a time other than during 96 uo 961*1 SB 1779 -10- . ~., . ".'","- . " '.. 1 person is stationed, or shall use antitheft devices. ~ Violation of this section is an infraction punishable by a 3 fine not to exceed two hundred fifty dollars ($250). 4 (b) The following terms used in this section shall have 5 the meaning herein set forth: 6 (1) "Aerosol paint container" means any aerosol 7 container regardless "r the material from which it is 8 made, which is adapted or made for the purpose of 9 spraying paint or other substance capable of defacing 10 property. 11 (2) "Antitheft device" means a device placed at all 12 entrances and exits through which members of the public 13 pass that makes a noise audible For at least 50 Feet when 14 merchandise that bas not been purchased is passed 15 through it. . 16 (3) "Large marker pen" means any indelible marker 17 or other similar implement with a tip which, at its 18 broadest width, is greater than one-fourth of one inch, 19 containing anything other than a solution which can be 00 removed with water after it dries. 21 13T 22 (4) "Paint stick" means any device containing a solid 23 form of paint, chalk, wax, epoxy, or other similar 24 substance capable of being applied to a surface by 25 . pressure, and upon application, leaving a mark at least 26 . one-fourth of one inch in width, visible from a distance of 'r1 2D feet, and not water soluble. 28 . tIT 29 (5) "Etching tool" means any tool or material 30 designed for the purpose of scarring or inscribing glass, 31 metal, concrete, or wood, including etching creams. 32 (c) Nothing in this section shall invalidate, limit, or 33 modify an ordinance oF, nor be construed to prohibit the 34 . adoption of an ordinance by, a city, county, or city and 35 county, if that ordinance imposes restrictions on the 36 display of aerosol paint containers, large marker pens, 37 paint sticks, or etching tools. 38 SEC. 6. Section 594.4 of the Penal Code is amended to 39 read: 40 594.4. (a) Any person who willfully and maliciously flll 1'10 .' 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 00 21 22 23 24 25 26 'r1 28 29 30 31 32 () ~ 35 36 37 38 39 ~ 40 , e(} ''',' -. -11- SB 1779 injects into or throws uIJOn, or otherwise defaces, damages, destroys, or contaminates, any structure with butyric acid, or any other similar noxious or caustic chemical or substance, is guilty of a public offense, punishable by imprisonment in the state prison or in a county jail, by a fine as specified in subdivision (b), or by both that imprisonment and fine. (b) (1) If the amount of the defacement, damage, destruction, or contamination is fifty thousand dollars ($50,000) or more, by a fine of not more than fifty thousand dollars ($50,000). (2) If the amount of the defacement, damage, destruction, or contamination is five thousand dollars ($5,000) or more, but less than fifty thousand dollars ($50,000), by a fine of not more than ten thousand dollars ($10,000) . . (3) If the amount of defacement, damage, destruction, or contamination is four hundred dollars ($400) or more, but less than five thousand dollars ($5,000), by a fine of not more than five thousand dollars ($5,000). (4) If the amount of the defacement, damage, destruction, or contamination is less than four hundred dollars ($400), by a fine of not more than four hundred dollars ($400). (c) For purposes of this section, "structure" includes any house or other building being used at the time of the . offense for a dwelling or. for commercial purposes. SEC. 7. Section 594.6 of the Penal Code is amended to read: 594.6. Every person who, having been convicted previously of vandalism or affixing graffiti or other inscribed material under Sectioh 594, 594.3, 594.4, 640.5, 640.6, or 640.7, or any combination of these offenses, on two separate occasions, and having been incarcerated pursuant to a sentence, a conditional sentence, or a grant of probation for at least one of the convictions, is subsequently convicted of vandalism under Section 594, may be ordered by the court as a condition of probation to perform community service not to exceed 300 hours over a period not to exceed 240 days during a time other o ~ \ < V' ~ fllllllO - 58 1779 -10- . ~ "' . ...... . .' '.. .. ~.- . , 1 person is stationed, or shall use antitheft devices. ~ Violation of this section is an infraction punishable by a 3 fine not to exceed two hundred fifty dollars ($250). 4 (b) The following terms used in this section shall have 5 the meaning herein set forth: 6 (1) "Aerosol paint container" means any aerosol 7 container regardless dT the material from which it is 8 made, which is adapted or made for the purpose of 9 spraying paint or other substance capable of defacing 10 property. 11 (2) "Antitheft device" means a device placed at all 12 entrances and exits through which members of the public 13 pass that makes a noise audible for at least 50 feet when 14 merchandise that bas not been purchased is passed 15 through it. 16 (3) "Large marker pen" means any indelible marker 17 or other similar implement with a tip which, at its 18 broadest width, is greater than one-fourth of one inch, 19 containing anything other than a solution which can be 20 removed with water after it dries. 21 -(3T 22 (4) "Paint stick" means any device containing a solid 23 form of paint, chalk, wax, epoxy, or other similar 24 substance capable of being applied to a surface by 25 . pressure, and upon application, leaving a mark at least 26 . one-fourth of one inch in width, visible from a distance of Z1 2D feet, and not water soluble. 28 . fit 29 (5) "Etching tool" means any tool or material 30 designed for the purpose of scarring or inscribing glass, 31 metal, concrete, or wood, including etching creams. 32 (c) Nothing in this section shall invalidate, limit, or 33 modify an ordinance of, nor be construed to prohibit the 34 . adoption of an ordinance by, a city, county, or city and 35 county, if that ordinance imposes restrictions on the 36 display of aerosol paint containers, large marker pens, 37 paint sticks, or etching tools. . 38 SEC. 6. Section 594.4 of the Penal Code is amended to 39 read: 40 594.4. (a) Any person who willfully and maliciously 96 270 .' 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 (t ~ 35 36 37 38 39 @ 40 .~ e() \,,' -11- S8 1779 injects into or throws upon, or otherwise defaces, damages, destroys, or contaminates, any structure with butyric acid, or any other similar noxious or caustic chemical or substance, is guilty of a public offense, punishable by imprisonment in the state prison or in a county jail, by a fine as specified in subdivision (b), or by both that imprisonment and fine. (b) (1) If the amount of the defacement, damage, destruction, or contamination is fifty thousand dollars ($50,000) or more, by a fine of not more than fifty thousand dollars ($50,000). (2) If the amount of the defacement, damage, destruction, or contamination is five thousand dollars ($5,000) or more, but less than fifty thousand dollars ($50,000), by a fine of not more than ten thousand dollars ($10,000) . (3) If the amount of defacement, damage, destruction, or contamination is four hundred dollars ($400) or more, but less than five thousand dollars ($5,000), by a fine of not more than five thousand dollars ($5,000). (4) If the amount of the defacement, damage, destruction, or contamination is less than four hundred dollars ($400), by a fine of not more than four hundred dollars ($400). (c) For purposes of this section, "structure" includes any house or other building being used at the time of the . offense for a dwelling or. for commercial purposes. SEC. 7. Section 594.6 of the Penal Code is amended to read: 594.6. Every person who, having been convicted previously of vandalism or affixing graffiti or other inscribed material under Sectiob 594, 594.3, 594.4, 640.5, 640.6, or 640.7, or any combination of these offenses, on two separate occasions, and having been incarcerated pursuant to a sentence, a conditional sentence, or a grant of probation for at least one of the convictions, is subsequently convicted of vandalism under Section 594, may be ordered by the court as a condition of probation to perform community service not to exceed 300 hours over a period not to exceed 240 days during a time other o ~ \ ~ 1..,/'1 ~ 96 IllO -"";...:_-.. .. \ .......... ""..".' ,. " SO 1779 -12- 1 than during his or her hours of school attendance or 2 employment. 3 SEC. 8. Section 594.7 of the Penal Code is amended to 4 read: . ~ ~94j7. Notwithstanding subdivision (b) of Section ~94, .6 every person who, having been' convicted previously of 7 vandalism under Section 594 for maliciously defacing 8 with graffiti or other inscribed material any real or 9 . personal property not - his or her own on two separate 10 occasions and having been incarcerated pursuant to Il 11 sentence, a conditional sentence, or a grant of probation 12 for at least one of the convictions, is subsequently 13 convicted of vandalism under Section ~94, shall be 14. punished by Imprisonment in a county jail not exceeding 1~ one year, or in the state prison. . . 16 SEC. 9. . Section 640.~ of the Penal Code is amended to 17 read: . 18 640.~. (a) Any person who defaces with graffiti or 19 other inscribed material the interior or exterior of the 00 facilities or vehicles of a governmental entity, as defined 21 by Section 811.2 of the Government Code, or the interior 22 or - exterior. of the facilities or vehicleS of a public 23 transportation system.as defined by Section 99211 of the 24 Public Utilities Code, or the interior or exterior of the ~ facilities of or vehicles operated by entities subsidized by 26 the Department of Transportation or the interior or 'Z1 exterior of any leased or rented facilities or vehicles for 28 which any of the above entities incur costs of less than 29 two hundred fifty dollars ($250) for cleanup, repair, or 30 . replacement is guilty of an Infraction, punishable by a 31 fine not to exceed five hundred dollars ($l5OO) and by a 32 minimum of 24 hours of community service for a total 33 time not to exceed 100 hours over a period not to exceed . 34 90 days,_ during a time other than during his or her hours ~ of school attendance or employment. This subdivision 36 does not preclude application of Section 594.' 37 (b) If the person has been convicted previously of an 38 infraction under subdivision (a) or has a prior conviction 39 of Section 594, ~94.3, 594.4, 640.6, or 640.7, the offense is 40 a misdemeanor, punishable by Imprisonment in a county INI' 3lMI -13- SO 1779 . 1 jail not to exceed six months, by a fine not to exceed one 2 thousand dollars ($1,000), or by both that Imprisonment 3 and fine. As a condition of probation, the court shall order 4 the defendant to perform a minimum of 48 hours of ~ community service not to exceed 200 hours over a period 6 not to exceed 180 <<Jays during a time other than during 7 ,his or her hours of school attendance or employment. 8 (c) Every person who, having been convicted 9 previously under this section or Section ~94, 594.3, Ii94.5 10 694.4,640.6, or 640.7, or any combination of these offenses, 11 on two separate occasions, and having been incarcerated 12 pursuant to a sentence, a conditional sentence, or a grant 13 of probation for at least one of the convictions, is 14 subsequently convicted under this section, shall be 1~ punished by Imprisonment in a county jail not to exceed 16 . one year. As a condition of probation, the court may order 17 the defendant to perform community service not to 18 exceed 300 hours over a period not to exceed 240 days 19 during a time other than during his or her hours of school 20. attendance or employment. 21 (d) (1) Upon conviction of any person under 22 subdivision (a), the court, in addition to any punishment 23 imposed pursuant to subdivision (a), (b), or (c), at the 24 victim's option, may order the defendant to perform the 25 necessary labor to clean up, repair, or replace the 26. property damaged by that person. . Z1 (2) . If a minor is personally unable to pay any fine 28 levied for violating subdivision (a), (b), or (c), the parent 29 or legal guardian of the minor shall be liable for payment 30 of the fine. A court may waive payment of the fine or any 31 .part thereof by the parent or legal guardian upon a 32 finding of good cause. (t 33 (e) Any fine levied for a violation of subdivision (a), 34 , (b), or (c) shall be credited by the county treasurer M pursuant to Section 1463.29 to the governmental entity 36 having jurisdiction over, or responsibility for, the facility 37 or vehicle involved, to be used for removal of the graffiti 38 or other inscribed material or replacement or repair of 39 the property defaced by the graffiti or other inscribed (9 40 material. Before crediting these fines to the appropriate ~ \ ~ \r, ~ i\ - .r~ 8lI 330 -) liB 1779 -14- 1 governmental entity, the county may determine the 2 administrative costs it has incurred pursuant to this 3 section, and retain an amount equal to those costs. 4 Any community service which is required pursuant to ,5 subdivision (a), (b), or (c) of a person under the age of 6 18 years may be performed in th~ presence, and under 7 the direct supervision; of the person's parent or legal 8 guardian. 9 (f) 1u used in this section, the term "graffiti or other 10 inscribed material" includes any unauthorized 11 inscription, word, figure, mark, or design that is written, 12 marked, etched, scratched, drawn, or painted on real or 13 personal property. 14 SEC. 10. Section 640.6 of the Penal Code is amended 15 to read: 16. 640.6. (a) Except as provided in Section 640.5, any 17 person who defaces with graffiti or other inscribed 18 material any real or personal property not his or her own, 19 when the amoWlt of the defacement, damage, or 00 destruction is less than two hundred fifty dollars ($250), 21 is guilty of an infraction, punishable by a fine not to 22 exceed five hundred dollars ($500). This subdivision does 23 not preclude application of Section 594. 24 In addition to the penalty set forth in this section, the 25 court shall order the defendant to perform a minimum of 26 24 hours of community service not to exceed 100 hours 'Z1 over a period not to exceed 90 days during a time other 28 than during his or her hours of school attendance or 29 employment. 30 (b) If the person has been convicted previously of an 31 infraction under subdivision (a) or has a prior conviction 32 of Section 594, 594.3,594.4,640.5, or 640.7, the offense is 33 a misdemeanor, punishable by not to exceed six months 34 in a county jail, by a fine not to exceed one thousand 35 dollars ($1,000), or by both that imprisonment and fine. 36 As a condition of probation, the court shall order the 37 defendant to perform a minimum of 48 hours of 38 community service not to exceed 000 hours over a period 39 not to exceed 180 days during a time other than during 40 his or her hours of school attendance or employment. 1I63l1O . ,>':'"..... . .,". .i~ Il' .0~ tI(() 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 'Z1 28 29 30 31 32 (() : 35 36 37 38 39 40 --15- 5B 1779 (c) Every person who, having been convicted previously under this section or Section 594, 594.3, 594.4, 640.5, or 640.7, or any combination of these offenses, on two separate occasions, and having been incarcerated pursuant to a sentence, a conditional sentence or a grant of probation for at least one of the con~ctions is subsequently convicted under this section, shall' be punished by imprisonment in a county jail not to exceed one year. 1u a condition of probation, the court may order the defendant to perform community service not to exceed 300 hours over a period not to exceed 240 days during a time other than during his or her hours of school attendance or employment. . . (d) Upon conviction of any person under subdivision (a), the court, in addition to any punishment imposed pursuant to subdivision (a), (b), or (c), at the victim's option, may order the defendant to perform the necessary labor to clean up, repair, or replace the property damaged by that person. . (e) If a minor is personally unable to pay BnY fine levied for violating subdivision (a), (b), or (c),theparent or legal guardian of the minor shall be liable for payment . of the fine. A court may waive payment of the fine or any part thereof by the parent or legal guardian upon a finding of good cause.; . . , Any community service , which is required pursuant to subdivision (a), (b), or (c) ofa person under the age of 18 years may be performed in the presence, and Wlder the ~ect supervision, of the person's parent or legal guardian. . (f) As used in this section, the term "graffiti or other inscribed material" includes any unauthorized inscription, word, figure, mark, or design that is written, marked, etched, scratched, drawn, or painted on real or personal property. . . SEe. 11.. Section 836.1 is added to the Penal Code, to read: .' 836.1. Notwithstanding any ~ther provision of law, a peace officer may arrest a person pursuant to the authority granted to him or her by Chapter 4.5 ~ CC) \ ~ \r- ~ 116 3lIl. SB 1779 -16- 1 (commencing with Section 830) of this title, without a 2 warrant, whenever either of the following circumstances 3 occurs: 4 (a) The person to be arrested has violated Section 594, 5 394.3,594.4,640.3,640.6, or 640.7, whether or not in the 6 officer's presence. 7 (b) The officer has reasonable cause, based on 8 corroborating testimony by an eye witness, to believe 9 that the person to be arrested has violated Section 594, 10 594.3, 594.4,640.3, 640.6, or 640.7, whether or not that 11 violation, in fact, has been committed. 12 SEC. 12. Section 13002.6 of the Vehicle Code is 13 amended to read: 14 13202.6. (a) (1) For eeeh every conviction of a 15 person for ~ eflaMe lIpeeiJietl Ht slIhtli M8Il -tdh 16 eeHUBiM;ed while a violation of Section 594, 594.3, or 594.4 17 of the Penal Code, committed while the person was 13 18 years of age or older, the court may suspend the person's 19 driving privilege for one year. H the person convicted 20 does not yet have the privilege to drive, the court may 21 order the department to delay issuing the privilege to 22 drive for one year subsequent to the time the person 23 becomes legally eligible to drive. However, if there is no 24 further conviction for ~ e9'eme lIpeeifted Ht 25 etli-,w8B ~ violating Section 594, 594.3, or 594.4 of the 26 Penal Code in a 12-month period after the conviction, the 'Z1 court, upon petition of the person affected, may modify 28 the order imposing the delay of the privilege. For each 29 successive offense, the court shall suspend the person's 30 driving privilege for those possessing a license or delay 31 the eligibility for those not in possession of a license at the 32 time of their conviction for one additional year. 33 (2) Any person whose driving privilege is suspended 34 or delayed for an act involving vandalism in violation of 35 Section 594, 594.3, or 594.4 of the Penal Code, may elect 36 to reduce the period of suspension or delay imposed by 37 the court by performing community service under the 38 supervision of the probation department. The period of 39 suspension or delay ordered under paragraph (1) shall be 40 reduced at the rate of one day for each hour of 86400 ,.. .' " ill .c~ -17- SB 1779 it 1 community service performed. For purposes of this 2 paragraph, "community service" means cleaning up 3 graffiti from any public property, including public transit 4 vehicles. 5 (3) As used in this section, the term "conviction" 6 includes the findings in juvenile proceedings specified in 7 Section 13105. 8 (b) (1) Whenever the court suspends driving 9 privileges pursuant to subdivision (a), the court in which 10 the conviction is had shall require all drivers' licenses 11 held by the person to be surrendered to the court. The 12 court shall, within 10 days following the conviction, 13 transmit a certified abstract of the conviction, together 14 with any drivers' licenses surrendered, to the 15 department. 16 (2) Violations of restrictions imposed pursuant to this 17 section are subject to Section 14603. 18 (c) When the court is considering suspending or 19 delaying driving privileges pursuant to subdivision (a), 20 the court shall consider if a personal or family hardship 21' exists that requires the person to have a driver's license 22 for his or her own, or a member of his or her family's, 23 employment or medically related purposes. 24 (d) The suspension, restriction, or delay of driving 25 privileges pursuant to this section shall be in addition to. 26 any penalty imposed upon conviction of any violation 27 lIpeeified Ht pat'/l!I'aph ~ M lIlIhtli\ i8i81l ~ of Section 28 594, 594.3, or 594.4 of the Penal Code. 29 SEC. 13. Section 728 of the Welfare and Institutions 30 Code is repealed. . 31 SEC. 14. Article 18.5 (commencing with Section 743) 32 is added to Chapter 2 of Part 1 of Division 2 of the Welfare 33 and Institutions Code, to re:ld: 34 35 . Article 18.3. Graffiti Removal and Damage Recovery 36 Program 37 38 743. It is the intent of the Legislature in enacting this 39 article to accomplish the following purposes: 40 (a) To assist public and private owners and possessors <t:. \r ~ C"\ C'<) @ .((t @ 86 430 .sit =I'm -18- ,1 . ,of property defaced by minors with graffiti or other 2 , inscribed material to recover their full damages. . 3. .(b). To safeguard the fiscal integrity of cities and .. counties that expend public funds to remove graffiti and ! 5 ,other material inscribed by minors from public or private ,fi . property. .or. to repair' or replace public or private 7 ,property defaced by .minors with graffiti or other ,~. insc~ material, by enabling those cities and counties ,9 to recoup the full costs. of that removal, repair, and 10, ,replacement.. , ' , " . 11,:" (c) To. safeguard the fiscal integrity of cities and 12, ,CQunties by, enabling,. them to recoup the law 1~ " enforcement costs' of. identifying and apprehending 14:, minors who deface the property of others with graffiti or 15 other inscribed material. . . , 16 L,,(d):;To,rninimi7.f' the costs of collecting those costs and 17 dAmlllges.. "",.,' 18 " .(e) Tp discourage the inscription of graffiti and other 19. material by minors by requiring the offending minors, 20, ,and their parents who have the financial ability to do so, 21 . , to bear the costs associated with the unlawful defacement 22 , of property with graffiti or other inscribed material. 23. ,(f) To retain, in the juvenile court the discretion ,24oeededto ~mplishthe goal ofrehabilitating minors. 25 '. ]U.". (a) As. used in this article, the term "graffiti or 26 ,OlDer .inscribed material" includes any unauthorized 27 inscription, word, figure, mark, or design that is written, ~. marked, etched, scratched, drawn, or painted on real or 29.personal property. 3/) ".(b) As used in subdivision (d) ofSection746,theword 31. . ..custody" means either legal custody or physical custody 32 of, a minor., .,. '. ' ..., .' 33 ' . 745. (a) A city, county, or city and county may elect, ~. by ordinance,to have the probation officer of the county ~. recoupfo~,it. through juvenile court proceedings in 36 accordance with ,Section 746, its costs associated with 37 . defacement by minors of its property and the property of 38. others by graffiti or other inscribed material. That 39:, ordinance, shall include the cost finding or findings 40, .~ed iIl.subdivision(b). and if the city, county, or city ">' , 88 4IlO 88 4IIl sa-1m' ~ " ,0" ,. .. -210- 1 ,other inscribed material, and of repairing and replacing 2 ' property of the types frequently defaced with graffiti or 3 other inscribed material that cannot be removed cost ,4 effectively. A city, county, or city and county that does ,!5, not adopt an ordinance pursuant to subdivision (a) may , I) I adopt, an ordinance 'containihg the cost findings ,7' ,described in this subdiviSion. Findings of costs per unit of 8 ,measure may include I but are not limited to, findings of ,9 , the costs per square inch of removing painted graffiti or 10 of the costs per item of replA('il\g items that have been 11 etched.", , ." ',,' ,., . 12 (d) A school district, district, or other local public 13 I agency may elect, by formal action of its governing body, 14 to have the probation officer of the county recoup for it; 15. through. juvenile court, proceedings in accordance with 16~tion 746, its costs associated with the defacement by 17. .mmors of property it owns or possesses by graffiti or other 18 inscribed material. Upon election, the school district 19 district, or other local public agency shall make the cort ~ findings described in subdivision ,(c). These cost findings 21 ~ be. reviewed at least once every three years, at 22 which time the school district, district, or other local 23 public agency, by formal action of its governing body, 24 I shall adopt updated cost findings in accordance with 25 ~subdivision (c). A school district, district, or other local 26. public agency may rescind, by resolution, its election to rzr have the probation officer recoup its costs pursuant to 28 this section.. Immediately, after making the election 29 described, in this subdivision and adopting initial or 30 ,updated cost findings, and immediately after rescinding 31 said election, the school district, district, or other local 32, public agency shall caUBe a certified copy of a document 33,' memorializing the election; rescission, or cost findings to 34 be forwarded to the clerk of the juvenile court in the 35, county ~d. to the .probation officer of the county. A 36 school district, district, or other local public agency that 37 ,~oes not elect to have the probation officer of the county 38 recoup i~ costs p~~t to Section 746 may adopt the 39 . cost findings descnbed m this subdivision. ' ' , 40 ;' ,(e) A city. county, o~ city and county that has elected' III 4SO . ,-,.,.-.; "rt . :, e <<ct e{t . (() ~((t -21- sJi 1 'ri9 1 to have the probation officer of the county recoup its 2 costs pursuant to Section 746 shall transmit to the 3 probation officer, forthwith, data about its expenditure of 4 resources in identifying and apprehending any minor 5 ,about whom a petition is filed alleging that the minor is ,6 a person deacribed by Section 602 by reason of the ,7 commission of an act prohibited by Section 594, 594.3, 8 594.4, 640.5, 640.6, or 640.7 of the Penal Code. That data 9 shall be sufficient to enable the probation officer and the 10 juvenile court to calculate the costs to the city, county, or 11 city and county in identifying and apprehending the 12 minor. ' " " 13 ,(f) A city, county,or otter public agency that' has 14 elected to have the probation officer of the eounty 15 recoup its costs pursuant to Section 746 and that has made 16 cost findings pursuant to subdivisions (c) or (d) shall 17 transmit to the probation officer, forthwith, data about its 18 expenditure of resources to remove graffiti' or other 19 material inscribed by, or to repair or replace property ~, defaced by, any minor about whom a petition is filed 21 alleging that the minor is a person described by Section 22 602 by reason of the commission of an act prohibited by . 23 Section 594, 594.3, 594.4, 640.5, 640.6, or 640.7 of the Penal 24 Code. That data shall be sufficient' to enable the' 25 ' probation officer and the juvenile court to calculate the 26 costs to the cityl county, or other local agency for that, rzr removal, repair, or replacement. ' 'p 28 (g) The probation officer of a eounty may establish. 29 procedures for collecting the data d~bed in 30 subdivision (e) and (f). These procedures may mclude a 31 provision that the juvenile eourt may not award and the 32 probation officer may refuse to collect costs described in 33 this section unless the data required to be provided to the 34 probation officer pursuant to subdivisions (e) 'and (f) is 35 provided to him or her within a time certain after he or 36 she makes a demand therefor.". . 37 " 746.' (a) If a minor is found to bea person described 38 in Section 602 by reason of the commission of an act 39 prohibited by Section 594, 594.3, 594.4, 640.5, 640.6 or 640.7 40 ,of the Penal Code, and the court does not remove the \n tv) , ~ V"\ <>i III 110O 811.:17'$.'.....' ........,--...........:. ...... ," .-..:...,: 22 ~ ~ _. ..... .,- .' -., _t".. ':"'" -.,....., "'~'''''iI" 1 minor. from the physical custody of the parent or 2 guardian~ the ~ourt as a condition of probation, except in 3. any case m which the court makes a finding and states on 4 ~e recor~ its reasons why that condition would be : map~ropnate, shall require the minor to wash, paint, repalJ', or replace ~e property defaced, damaged, or 7 destroyed ~y the rmnor or otherwise pay restitution to 8 the probation officer of the county for disbursement to 9 the o~er .or possessor of the property or both. 10 any 10 ~ m whic~ th,e minor is not granted probation or in 11. which the mmor s cleanup, repair, or replacement of the 12 prope~ will not return the property to its condition 13 before It was defaced, damaged, or destroyed, the court 14 shall make a finding of the amount of restitution that 13. would be required to fully compensate the owner and 16 possessor of the property for their damages. The court 17 ~ or~er the minor or the minor's estate to pay that 18 . r~stitution to the probation officer of the county for 19 disbursement to the owner or possessor of the property 20 or bc:'th. to the extent the court determines that the minor 21 ?r his ~tate have the ability to do so, except in any case 22 m whi~ the court makes a finding and states on the 23 ~rd I~ reasons' why full restitution would be 24 ~pprop~te.. If full restitution is found to be 25 mappropnat~, the court,. shall require the minor to 26 ~o~ specified community service, except in any case 27 m whic~ the court makes a finding and states on the 28 ~rd I~ reasons wh,. that condition would be 29 mappropnate. . . 30 . (b) If a minor is found to be a person described in 31 Section 602 by reason of the commission of an act 32 prohibited by Section 594 594.3 594 4 640 5 640 6 33 !>W.7.of the Penal Code, and the ~affiti ~r otb~r mai:~ri~ 34 mscnbed by the minor has been removed or the 35 property defaced by the minor has been repaired or 36 repl~ed by a public entity that has elected, pursuant to :n . Section .145, to have the probation officer of the county 38 r~p I~ costs through proceedings in accordance with 39. . tIJ.is secti~n. ~d has made cost findings in accordance 40 With subdiVISIOns (c) or (d) of Section 745, the court shall '. " 8ft alo . ,.,......-~._,...... . H'" _., i ."~" ..~.-~..-23...:. ... .~,....'_~h~11J..l'rnr ect . (it e{t e (. ect e(t 1 determine the total cost incurred by the public entity for 2 said removal, repair, or replacement, using, if applicable, 3 the cost findings most recently adopted by the public 4 entity pursuant to subdivision (c) or (d) of Section 745. 5 The court shall order the minor or the minor's estate to 6 pay those costs to the probation officer of the county to 7 the extent the court determines that the minor or the 8 minor's estate have the ability to do so.' . 9 (c) If the minor is found to be a person described in 10 Section 602 by reason of the commission of an act 11 prohibited by Section 594, 594.3, 594.4, 640.5, 640.6, or 12 640.7 of the Penal Code and the minor was identified or 13 apprehended by the law enforcement agency of a city or 14 county that has elected, pursuant to Section 745. to have 15 the probation officer of the county recoup its costs 16 through proceedings in accordance with this section, the 17 'court shall determine the cost of identifying or 18 apprehending the minor, or both, using, if applicable, the 19 cost findings adopted by the city or county pursuant to 20 subdivision (b) of Section 745. The court shall order the 21 minor or the minor's estate to pay those costs to the 22 probation officer of the county to the extent the court 23 determines that the minor or the minor's estate have the 24 ability to do so. .,. 25 (d) If the court determines that the minor or the 26 minor's estate is unable to pay in full the costs and 27 damages' determined pursuant to subdivisions (a), (b), 28 and (c), and if the minor's parent or parents have been 29 cited into coUTt pursuant to Section 747, the court shall 30 hold a hearing to determine the liability of the minor's 31 parent or parents pursuant to Section 1714.1 of the Civil 32 Code for those costs and damages. Except when the court 33 makes a finding setting forth unusual circumstances in 34 which parental liability would not serve the interests of 35 justice, the court shall order the minor's parent or parents 36 to pay those costs and damages to the probation officer of 37 the county to the extent the court determines that the 38 parent or parents have the ability to pay, if the minor was 39 in the custody or control of the parent or parents at the 40 time he or she committed the act that forms the basis for ..,J) ClJ \ ~ 'v- ~ 8fta:JO '. SB 17"19 ,'...... " . - 24 - _ 25 _ SB 1779 ,1 the finding that the minor is a person described in Section . '. 1 person described'in Section 602. 2 602. In evaluating the parent's or parents' ability to pay, 2 (i) If the parent or parents after having been cited to 3 the court shall take into consideration the family income, 3 appear pursuant to Section 747, fail to appear as ordered, 4 the necessary obligations of the family, and the number 4 the court shall order the parent or parents to pay the full 5 of persons dependent upon this income. 5 amount of the costs and damages determined by the ,6 (e) The hearing described in subdivision (d) may be 6 court pursuant to subdivisions (a), (b), and (c). , 7 held immediately following the disposition hearing or at . rt 7 U) Execution may be issued on an order issued by the 8 a later date, at the option of the court. 8 court pursuant to this section in the same manner as ~n 9 (f) If the amount of costs and damages sought to be 9 ajudgment in a civil action, including any balance unpwd 10 recovered in the hearing pursuant to subdivision (d) is '10 at the tennination of the court's jurisdiction over the 11 five thousand dollars ($5,000) or less, the parent or 11 minor.' , 12 parents may not be represented by counsel and the 12 (k) At any time prior to the satisfaction of a)udgment '13 probation officer of the county shall be represented by his 13 entered pursuant to this section, a person agBlDSt whom 14 or her nonattorney designee. The court shall conduct 14 the judgment was entered ~y petition the rende~g 15 such a hearing in accordance with Sections 116.510 and 15 urt to modify or vacate the Judgment on the showmg 16 116.520 of the Code of Civil Procedure. Notwithstanding , 16 ~ a change ~ circwnstances relating to his or her ability 17 the foregoing, if the court determines that a parent 17 to pay the judgment. 18 cannot properly present his or her defense, the court 18 ' (I) For purposes of a hearing conducted pursuant to \-- 19 may, in its discretion, allow another individual to assist 19 subdivision (d), the judge of the juvenile court shall have ~ 20 that parent. In addition, a husband or wife may appear . <t 20 ,the jurisdiction of a judge of the municipal court. . . 21 and participate in the hearing on behalf of his or her 21 (m) Nothing in this section shall be construed.t? limit 22 spouse if the representative's spouse has given his or her 22 .the authority of a juvenile court to provide conditions of ~ 23 consent and the court determines that the interest of 23 probation. , 24 justice would be served thereby. 24 (n) The options available to the court pursuant to ~ 25 (g) If the amount of costs and damages sought to be . Ct 25 subdivisions (a), (b), (c), (d), and (k), to order payment 26 recovered In the hearing pursuant to subdivision (d) 26 by the minor and his or her parent or parents ofless than CZT exceeds five thousand dollars ($5,000), the parent or CZT the full costs described in subdivisions (a), (b), and (c), 28 parents may be represented by counsel of his or her or 28 on grounds of financial inability or for reasons of justice, 29 their own choosing, and the probation officer of the 29 shall not be available to a municipal court in an ordinary 30 county shall be represented by the district attorney or an 30 civil proceeding pursuant to subdivision (b), of Section 31 attorney or nonattorney designee of the probation 31 1714.1 of the Civil Code, except that in any proceeding 32 , officer. The parent or parents shall not be entitled to 32 pursuanUo either subdivision (b) of Section 1714.1 of the 33 court-appointed counselor to counsel compensated at, . rlt 33 Civil Code or this section, the maximum amount that a 34 public expense. ' \! 34 parent or a minor may be ordered to pay shall not exceed 35 (h) At the hearing conducted pursuant to subdivision 35 twenty thousand dollars ($20,000) for each tort of the 36 (d) , there shall be a presumption affecting the burden of 36 minor. 37 proof that the findings of the court made pursuant to 37 747. (a) If the petition alleges that the minor is the 38 subdivisions (a),' (b), and (c) represent the actual 38 person described by Sect:,io~ 602 by r.eason of the 39 damages and costs attributable to the act of the minor 39 commission of an act prohibited by Section 594, 594,3, 40 that forms the basis of the finding that the minor is a . (j 40 594.4, 640.5, 640.6, or 640.7 of the Penal Code, the court, ,~ , tl8 IllIO tl8 IIlIII SB;i*!f..,..~...,*..................,...,t". ~Is'~''''''~'''''''-'l ., ,""'... ...,... .,.. ,4Ij,f. 1,.-......"".......'.'. ~ .... ,...". .' ~ rr:-' ..... .. -', .V' SB 17'79 . 1 in ad~tion to th~ n?tice provided in Sections 658 and 659, . · 2 shall ~ssue. a Cl~ation to the minor's parent or legal 3 ~ardian, ordenng them to appear in the court at the 4 time and date stated for a hearing pursuant to subdivision 5 (d) of Section 746. 6. (b). The citation shall notify the parent or legal 7 guardian that at the hearing, he, she, or they may be . . 8 ordered to pay restitution sufficient to fully compensate 9 th~ owner and possessor of the property defaced by the 10' mmor for the damage caused by that defacement the law 11 e~rce~ent ~osts of identifying and apprehending the 12 nunor, if applicable, and the costs incurred by a public 13 entity to remove graffiti or other material inscribed by 11~ ' the min~r, or .to re~air or replace the property defaced ~ by the.mmor, if ap?licable..The citation shall set forth the 16 provisions of Section 746 and shall advise the parent or 17 parents that he, she, or they may be ordered to pay an 18 amount not exceeding twenty thousand dollars ($20 (00) 19' for the abo~e-referenced damages and costs. The cit~tion 21/D1 shall contam a. warning to the parent or parents that if he, .. . she, or ~ey fail to.appear at the time and date stated, the 22 court will order him, her, or them to pay in full the costs 23 and damages caused by the act of the minor. 24 (c) Service of the citation shall be made on all parents . . 25 . or legal guardians of the minor whose names and 26 addresses are known to the petitioner. CZ1 (d) ~rvice of the. citation shall be made at least 10 ~ days pnor t~ the time and date stated therein for 29 a~ance, lit the manner provided by law for the 3301 seTVl~?f a summons in a civil action, other than by publication. " , 32 . 748. Any moneys collected by the probation officer of 33 the ~ounty pursuant to an order rendered pursuant to . . 34 SectiO? 746 shall be distributed by the county to the 35 followmg persons and entities in the following priority' 36 (a) Restitution to the owner and possessor of th~ 37 property defaced by the minor, in the amount 38 determmed by the court. 39 (b) After. ~e restitution described in subdivision (a) 40 has been paid lit full, or if restitution was not ordered, the. . Il6 IlllO 1 2 3 4 3 6 7 8 9 10 11 12 13 14 . 13 16 17 18 19 00 21 22 23 24 215 26 27 28 29 30 31 32 33 34 315 costs of removing graffiti or other material inscribed by the minor and of repairing or replacing property defaced by the minor, to the city, county, or other local public agency that incurred those costs, except that the county may deduct and retain 13 percent of the amount collected for the removal, repair, or replacement,costs, or an amount equivalent to its actual costs of collection, whichever is less. (c) After the costs and damages described in subdivisions (a) and (b) have been paid in full,orifthere are no costs or damages, the law enforcement costs of identifying and apprehending the minor, to the city or county that incurred those costs, except that the county may deduct and retain 13 percent of the amount collected for those law enforcement costs, or an amount equivalent to its actual costs of collection. whichever is less. 749. If any provision or clause of this article or the application thereof to any person or circumstances is held invalid, the invalidity shall not affect other provisions or applications of this article which can be given effect 'without the invalid provision or application, and to this end the provisions of this article are severable. SEC. 13. No reimbursement is required by this act pursuant to Section 6 of Article XIIl B of the California Constitution because the only costs which may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, changes the definition of a crime or infraction, changes the penalty for a crime or infraction, or eliminates a crime or infraction. Notwithstanding Section 17580 of the Government Code, unless otherwise specified in this act, the provisions of this act shall become operative on the same date that the act takes effect pursuant to the California Constitution. ~ C"i) ~ ~ o Il6 SIlO