HomeMy WebLinkAbout2007/12/18 Item 4
CITY COUNCIL
AGENDA STATEMENT
Item No.:--1-
Meeting Date: 12/18/2007
SUBMITTED BY:
RESOLUTION OF mE CITY COUNCIL OF mE CITY OF
CHULA VISTA WAIVING THE FORMAL CONSULTANT SELECTION PROCESS,
APPROVING mE SECOND AMENDMENT TO A THREE-PARTY AGREEMENT
WIm ANTHONY J. LETTIERI, FAICP, CONSULTANT, AND McMILLIN
OTAY RANCH, LLC, APPLICANT, FOR CONSULTING SERVICES ON mE
EASTERN URBAN CENTER PROJECT, AND AUmORIZING mE MAYOR TO
EXECUTE SAID CONTRACT AMENDMENT.
DIRECTOR OF PLAl'i~\G A~UlLDIN~
CITY MANAGER !~\~ .,
ASSISTANT CITY ~AGER 70
ITEM TITLE:
REVIEWED BY:
4/5THS VOTE: YES
NO----.2L
BACKGROUND
The Eastern Urban Center (EUe) is a large and complex project in the Otay Ranch, which
requires the attention of senior-level staff and uniquely qualified consultants. The proposed
contract amendment will take the project entitlement processing through completion of the
Environmental Impact Report and Sectional Planning Area Plan.
ENVIRONMENTAL REVIEW
The Environmental Review Coordinator has reviewed the proposed activity for compliance with
the California Environmental Quality Act (CEQA) and has determined that the activity is not a
"Project" as defmed under Section 15378 of the State CEQA Guidelines because it involves only
approval of a contract amendment for professional services; therefore, pursuant to Section
15060(c)(3) of the State CEQA Guidelines the activity is not subject to CEQA. Thus, no
environmental review is necessary.
RECOMMENDATION: That City Council adopt the resolution.
BOARDS/COMMISSION RECOMMENDATION: None.
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Date, Item No.: 4-
Meeting Date: 12/18/2007
Page 2 of 3
DISCUSSION
Background
The Planning and Building Director recognized the necessity of assigning the EUC project to a
uniquely qualified, very experienced, senior level staff member. The EUC project is extremely
complex and is intended to provide a unique functional and symbolic center for Otay Ranch.
McMillin Otay Ranch, LLC, (Applicant) and primary developer of the EUC, agreed to fund a
dedicated position to process their entitlement applications for this project. For several years the
project was in an exploratory stage.
In the more recent past, however, the Applicant, working with the City, has focused on
developing an appropriate proposed project for review. In May, 2005 Anthony J. Lettieri, FAICP
entered a three-party agreement with the City and Applicant to function as an extension of City
staff to process the entitlements for the EUC. Mr. Lettieri was chosen for his prior work on the
EUC when he was a member of City staff, and for his knowledge of Otay Ranch and experience
on other complex projects. In May, 2006 Council approved Resolution 2006-151 granting a first
amendment to Mr. Lettieri's contract. The Eastern Urban Center Sectional Planning Area Plan
(EUC SPA) was originally submitted in April of 2006 and it was anticipated that the project
would be ready for consideration by the Planning Commission and City Council in the Fall of
2007. The applicant and staff continue to coordinate on many SPA related issues, including
design and circulation details for the project. The City Council has been briefed on the project
on two separate occasions, the most recent being a presentation on the EUC consistency with the
General Plan Framework Strategy on May 1, 2007.
In June of this year the applicant determined that they needed to revise their land use plan and
requested that staff curtail most ofthe planning review. Although the project is not
fundamentally changing from that which has been presented to the City Council, there are
enough changes that a resubmittal of the SPA Plan will be necessary. McMillin is anticipating
that the resubmittal of the SPA Plan will occur before the end of calendar year 2007. Based on
this staff is anticipating that the SPA Plan and related documents will not be ready for your
consideration until November of2008. Time has now expired on Mr. Lettieri's contract, and it
will need to be amended to add another year to take the project through the entitlement process.
Consultant Selection Process
Staff recommends Council waive the formal bid process as impractical and amend the existing
contract for the services of Mr. Lettieri. The complex nature of this signature project in Chula
Vista requires a senior-level planner with applicable experience. Mr. Lettieri has 37 years of
planning experience working on complex, large projects throughout San Diego County,
including Chula Vista. He was also the past project manager for the Otay Ranch Development
Plan and is familiar with the plans and policies of the Otay Ranch, and the EUC. In the past, Mr.
Lettieri has worked as an employee of the City, and as extension of staff on a contract basis and
is familiar with City regulations and policies. In the past, Mr. Lettieri has prepared a number of
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Date, Item No.: L\.
Meeting Date: 12/18/2007
Page 3 of3
issue papers on the siting and policies associated with the EVC and is able to continue the
planning process without delay due to an understanding of the proj ect and the process.
DECISION-MAKER CONFLICTS:
Staff has reviewed the property holdings ofthe City Council and has found no property holdings
within 500 feet of the boundaries of the property which is subject to this action.
FISCAL IMPACT
There is no impact to the General Fund. The original contract was for $50,000, the first
amendment was for $180,000, and this second amendment is for $120,000, bringing the total of
this contract to $350,000. All funding comes from developer deposits.
ATTACHMENTS
I) Second Amendment
2) First Amendment
3) Original Agreement
Prepared by: Bob McSeveney, Principal Management Analyst, Planning & Building
H:\PlanninglBobMc\A113Lettieri 3pty 12-18-07.doc
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THE A TT ACHED AGREEMENT HAS BEEN REVIEWED
AND APPROVED AS TO FORM BY THE CITY
ATTORNEY'S OFFICE AND WILL BE
FORMALLY SIGNED UPON APPROVAL BY
THE CITY COUNCIL
nn Moore
City Attorney
Dated: J 2. /2/07
Second Amendment to the
Three-Party Agreement between
City of Chula Vista,
Anthony J. Lettieri FAICP, Consultant, and
McMillin Otay Ranch, LLC, Applicant
For Consulting Work to be Rendered
with regard to Applicant's Eastern Urban Center Project
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yJ--tr,..-c-tJ-v.e.u( 2-.
SECOND AMENDMENT
To the Three Party Agreement
Between City of Chula Vista,
Anthony J. Lettieri FAICP,Consultant, and
McMillin Otay Ranch, LLC, Applicant
For Consulting Work to be Rendered
with regard to Applicant's Eastern Urban Center Project
Recitals
This Second Amendment is effective as of 11/1/2007 by and between the City of Chula Vista
("City"), Anthony J. Lettieri FAICP ("Consultant") and McMillin Otay Ranch, LLC
("Applicant"), with reference to the following facts:
WHEREAS, City, Consultant and Applicant previously entered into an agreement on
May 10, 2005 whereby Consultant was to review and process the application by Applicant for a
Sectional Planning Area and one or more Tentative Map applications for the Eastem Urban
Center ("Original Agreement"); and
WHEREAS, City, Consultant and Applicant subsequently entered into a First
Amendment on May I, 2006 whereby Consultant was to continue to review and process the
application by Applicant for a Sectional Planning Area and one or more Tentative Map
applications for the Eastern Urban Center ("Original Agreement"); and
WHEREAS, Consultant estimates an effort of20 hours per week dedicated on this
project for the next twelve months to complete the entitlement process; and
WHEREAS, Consultant is uniquely qualified due to work experience in the City of Chula
Vista and experience acting as an extension of the Community Planning Section staff on this
project over the last year and working on this project while in the employ of the City; and
WHEREAS, all work performed by Consultant has been performed to the satisfaction of
the City's Director of Planning and Building.
NOW, THEREFORE, in consideration of the recitals and the mutual obligation of the
parties set forth herein, City and Consultant agree to amend the Original Agreement as follows:
I. Exhibit A, Section 2 entitled Project Description, is hereby amended to read as follows:
Reviewing and processing application by McMillin Otay Ranch, LLC (Applicant) for a Sectional
Planning Area (SPA), PC District Regulations and one or more Tentative Map applications for
the Eastern Urban Center (EUC), and other related discretionary entitlements as may be
identified during the course of such processing.
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? Exhibit A, Section 6 entitled Detailed Scope of Work ("Detailed Services"), is hereby
amended to read as follows:
a) Continue to meet with Director of Planning and Building and other appropriate City
staff to understand City objectives for the EUC, the Otay Ranch, and other known
land use issues that would impact both the planning and processing of the Applicant's
SPA Plan.
b) Review all the planning and policy documents that have been prepared that set a
direction for the EUC planning and processing and that indicate City Council public
policy direction, including the proposed General Plan and General Development Plan
Amendments.
c) Coordinate the EUC planning with adjacent projects, including university planning,
the planning of Otay Ranch Village 9, and regional transit planning with SANDAG.
d) Continue to meet with City staff from all City departments and other agencies to
determine what planning or policy direction has already been set with the General
Plan and Framework Plan that may impact the EUC.
e) Prepare all required staff reports documenting the options, issues and recommended
course of action. This would include a detailed scope of work, meeting schedule,
critical path, and cost estimate for the completion of the planning process.
f) Process all discretionary applications/entitlements to final City Council approval.
This would involve all necessary inter-departmental coordination, preparation of staff
reports, presentations to all reviewing bodies, and any other tasks that may be
required to finalize the discretionary approval as required by the City Council.
3. Exhibit A, Section 7, entitled Date for Completion of all Consultant Services, is hereby
amended to read as follows:
December 31. 2008
4. Exhibit C, entitled Compensation Schedule and Deposit, Limitation without Further
Authorization on Time and Materials Arrangement is hereby amended to read as follows:
At such time as Consultant shall have occurred time and materials equal to $120.000
("Authorization Limit") from the effective date of this Second Amendment through
December 31,2008, Consultant shall not be entitled to any additional compensation without
further authorization issued in writing and approved by the City Council. Nothing herein
shall preclude Consultant from providing additional services at Consultant's own cost and
expense.
5. All other terms and conditions of the Original Agreement not specifically modified by this
First Amendment shall remain in full force and effect.
C:\Word\Word\Contracts\3ptyLetteri Second Amend Il.14.Q7.doc 4-6
Signature Page
To the Second Amendment to the Three Party Agreement
Between City of Chula Vista,
Anthony J. Lettieri FAlCP,Consultant, and
McMillin Otay Ranch, LLC, Applicant
For Consulting Work to be Rendered
with regard to Applicant's Eastern Urban Center Project
IN WITNESS THEREOF, City and Consultant have executed this Second Amendment to
the Agreement thereby indicating that they have read and understood same, and indicate their
full and complete consent to its terms:
City of Chula Vista
Consultant: Anthony J. Lettieri, F AICP
By:
By:
Cheryl Cox, Mayor
Dated:
Dated:
Attest:
Susan Bigelow, City Clerk
Approved as to form:
Applicant:
McMillin Otay Ranch, LLC a Delaware
limited liability company By: McMillin
Companies, LLC a Delaware limited
liability company Its: Manager
Ann Moore, City Attorney
By:
By:
C:\Word\Contracts\3ptyLettieri Second Amend 11-14-07.doc
C:\Word\Word\Contracts\3ptyLeueri Second Amend 11-]4-07.do~_7
4"friIJ- C- iJ- "-A. &N-..,..- L..
FIRST AMENDMENT
To the Three Party Agreement
Between City of Chula Vista,
Anthony J. Lettieri FAICP,Consultant, and
McMillin Otay Ranch, LLC, Applicant
For Consulting Work regarding the Eastern Urban Center Project
Recitals
This J:{'Amendment to the three party agreement ("Amended Agreement") is effective
as of 31 ~006 (the "Effective Date") by and between the City ofChula Vista
("City"), Anthony.P.Lettferi F AICP, a sole proprietorship ("Consultant") and McMillin Otay
Ranch, LLC, a Delaware limited liability company ("Applicant"), with reference to the following
facts:
WHEREAS, City, Consultant and Applicant previously entered into a three party
agreement on May 10, 2Q9.2 (the "Original Agreement") whereby Consultant was to review and
process the application by Applicant for a Sectional Planning Area and one or more Tentative
Map applications for the Eastern Urban Center (the "Project"); and
WHEREAS, Consultant estimates that additional services in an amount of 20 hours per
week must be further dedicated on this Project for the next eighteen months to complete the
entitlement process; and
WHEREAS, Consultant is uniquely qualified due to work experience in the City of Chula
Vista and acting as an extension of the Co=unity Planning Section staff on the processing of
the entitlements for the Project; and
WHEREAS, all work performed by Consultant has been performed to the satisfaction of
the City's Director of Planning and Building.
NOW, THEREFORE, in consideration of the Recitals and the mutual obligation of the
parties set forth herein, City, Consultant and Applicant agree to amend the Original Agreement
as follows:
1. Exhibit A, Section 2 entitled Project Description, is hereby amended to read as follows:
Reviewing and processing application by McMillin Otay Ranch, LLC (Applicant) for a Sectional
Planning Area (SPA), PC District Regulations and one or more Tentative Map applications for
the Eastern Urban Center ("EUC''), and other related discretionary entitlements as may be
identified during the course of such processing.
2. Exhibit A, Section 6 entitled Detailed Scope of Work ("Detailed Services"), is hereby
amended to read as follows:
f4-avi, -g/
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a) Meet with Director of Planning and Building and other appropriate City staff to
coordinate processing of the SPA Plan and associated applications, including working
with City staff to identify issues relevant to the design and implementation of the
development proposal.
b) Review all the planning and policy documents that are applicable to the EVC, that set
a direction for the EVC planning and processing, and that indicate City Council
public policy direction, including the current City General Plan and Otay Ranch
General Development Plan ("GDP").
c) Meet with City staff from the Planning and Building and other appropriate
departments to determine what planning or policy direction has already been set with
the General Plan and Framework Strategy that may impact the EVC. Since the
Framework Strategy has yet to be finalized, continue to work with staff and all
interested parties to develop a strategy that implements the City policies for the
university and EVC.
d) Meet with Applicant on a regular basis to work on any issues that may develop
related to the SPA plan, related applications, and planning process.
e) In addition to the General Plan and GDP, ensure that the EVC planning is coordinated
with other public and private sector proj ects within the Otay Ranch, including
coordinating on the regional transportation system as it traverses through the EVC
and adjacent properties.
3. Exhibit A, Section 7, entitled Schedule, Milestone, Time-Limitations within which to
Perform Services, subsection. "Dates for Completion of all Consultant Services" is hereby
amended to read as follows:
October 30. 2007
4. Exhibit C, entitled Compensation Schedule and Deposit: Terms and Conditions. Subsection:
"Limitation without Further Authorization on Time and Materials Arrangement" is hereby
amended to read as follows:
At such time as Consultant shall have accrued time and materials equal to 5180.000
("Authorization Limif') from the effective date of this First Amendment through October 30,
2007, Consultant sha1l not be entitled to any additional compensation without further
authorization issued in writing and approved by the City Council. Nothing herein shall
preclude Consultant from providing additional services at Consultant's own cost and
expense.
5 All other terms and conditions of the Original Agreement not specifically modified by this
First Amendment shall remain in full force and effect.
C:\Documents and Scttings\michaelsh\Local Scttings\Tcmporary Internet Fites\OLl<35\AGREEME'NT-Letteri McMillan First Amcnamcnt-S.06-
Final.doc
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Signature Page
To the First Amendment Three Party Agreement
Between City of Chula Vista,
Anthony J. Lettieri FAlCP,Consultant, and
McMillin Otay Ranch, LLC, Applicant
For Consulting Work regarding the Eastern Urban Center Project
IN WITNESS THEREOF, City, Consultant and Applicant have executed this First
Amendment to the Original Agreement thereby indicating that they have read and understood the
same and indicate their full and complete consent to its terms as of the Effective Date first
written above:
.
Ci~:lE
By: Wrib-
Stephen C. Padilla, Mayor
Consultant: Anthony J Lettieri, F AICP
B~CQ)~
Attest:
~~~~~~
Susan Bigelow, City Clerk
Approved as to form:
Applicant:
~
:fo^--' -
McMillin Otay Ranch, LLC a Delaware
limited liability company By' McMillin
Companies, LLC a Delaware limited
liability compan ger
/lP
'If1rACtw'
~_ ~ /5rVP
Dd,.,) , reJh;.","
By'
C:\ W ord\Contracts\3ptyLetteriAmendRl.doc
C:\Documents lUld Settings,\michae1sh\Local Settings\Temporary Internet Filcs\OLOS\AGREEMENT-Letteri McMillan first Amcndment.5.06.
Final.doc
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A 7'-r40-/ VIA S.A.J ., -...3.
Three Party Agreement
Between
City of Chula Vista,
Anthony J. Lettieri FArCP,Consultant, and
McMillin Otay Ranch, LLC, Applicant
For Consulting Work to be Rendered
with regard to Applicant's Eastern Urban Center Project
1. Parties
This Agreement is made as of the reference date set forth in
Exhibit A, for the purposes of reference only, and effective as
of the date last executed by the parties hereto, between the City
of Chula Vista ("City") herein, a municipal corporation of the
State of California, the person designated on the attached
Exhibit A as "Consultant" Anthony J. Lettieri Arcp whose business
form and address is indicated on the attached Exhibit A, and the
person designated on the attached Exhibit A as "Applicant"
McMillin Otay Ranch, LLC. ~hose business form and address is
indicated on the attached Exhibit A, and is made with reference
to the following facts:
2. Recitals, Warranties and Representations.
2.1. 'Warranty of Ownership.
Applicant warrants that Applicant i~ the owner of land
( "Property") commonly known as, or generally located as,
described on Exhibit A, Paragraph 1, or has an option or other
entitlement to develop said Property.
2.2. Applicant desires to develop the Property with the
Project described on Exhibit A, Paragraph 2, and in that regard,
has made application ("Application") with the City for approval
of the plan, map, zone, or other permits ("Entitlements")
described on Exhibit A, Paragraph 3. It is also anticipated
Applicant will make application with the City for approval of the
plan, map, zone, or other permits ("Entitlements") described on
Exhibit A, Paragraph 4.
2.3.
Applicant,
Exhibit A,
In order for the City to process the Application of
Work of the general nature and type described in
Paragraph 5, ("Work") will need to be completed.
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Page 1
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.__A.,.11
2.4.
resources
requested
City does not presently have the
to process the application within
for review by the Applicant.
Ilin-housell staff or
the time frame
2.5. This agreement proposes an arran~ement by which
Applicant shall retain, and be liable for the costs of retaining,
Consultant, who shall per:orm the services required of Consultant
by this Agreement solely to, and under the direction of, the
City.
2.6. Additional facts and circumstances regarding the
background for this agreement are set forth on Exhibit B;
3 . Agreement.
NOW, THEREFORE, IT IS MUTUALLY AGREED TO AND BETWEEN THE
CITY, CONSULTANT, AND APPLICANT AS FOLLOWS:
3.1. Employment of Consultant by Applicant.
Consultant is hereby engaged by the Applicant, not the City,
and at Applicant's sole cost and expense, to perform to, and for
the primary benefit of, City, and solely at City's direction, all
of the services described on the attached Exhibit A, Paragraph 5,
entitled "General Nature of Consulting Services", ("General
Services"), and in the process of performing and delivering said
General Services, Consultant shall also perform to and for the
benefit of C{ty all of the services described in Exhibit A,
Paragraph 6, entitled "Detailed Scope of_Work", ("Detailed
Services"), and all services reasonable necessary to accomplish
said General Services and Detailed Scope of Work, and shall
deliver such documents required ("Deliverables") herein, all
within the time frames herein set forth, and in particular as set
forth in Exhibit A, Paragraph 7, and if none are set forth,
within a reasonable period of time for the diligent execution of
Consultant's duties hereunder. Time is of the essence of this
covenant.
The Consult~~t does hereby agree to perform said General and
Detailed Services to and for the primary benefit of the City for
the compensation herein fixed to be paid by Applicant.
In delivering the General and Detailed Services hereunder,
the Consultant shall do so in a good, professional manner
consistent with that level of care and skill ordinarily exercised
by members of the profession currently practicing under similar
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conditions and in similar locations, at its own cost and expense
except for the compensation and/or reimbursement, if any, herein
promised, and shall furnish all of the labor, technical,
administrative, professional and other personnel, all supplies
and materials, machinery, equipment, printing, vehicles,
transportation, office space and facilities, calculations, and
all other means whatsoever, except as herein otherwise expressly
specified to be furnished by the City or Applicant, necessary or
proper to perform and complete the work and provide the Services
required of the Consultant.
3.2. Compensation of Consultant.
Applicant shall compensate Consultant for all services
rendered by Consultant without regard to the conclusions reached
by the Consultant, and according to the terms and conditions set
forth in Exhibit C adjacent to the governing compensation
relationship indicated by a "checkmark" next to the appropriate
arrangement, by paying said amount to the City, within 15 days of
Consultant's billing, or in accordance with the security deposit
provisions of Paragraph 3;3 and Exhibit C, if checked, and upon
receipt of such payment by the City, City shall promptly, not
later than 15 days, or in accordance with the Bill Processing
procedure in Exhibit C, if checked, pay said amount to the
Consultant. City is merely acting in. the capacity as a conduit
for payment, and shall not be liable for the compensation unless
it receives same from Applicant. Applicant shall not make any
payments of compensation or otherwise d~rectly to the Consultant.
3.2.1. Additional Work. If the Applicant, with the
concurrence of City, determines that additional services
("Additional Services") are needed from Consultant of the type
Consultant is qualified to render or reasonably related to the
Services Consultant is otherwise required to provide by this
Agreement, the Consultant agrees to provide such additional
services on a time and materials basis paid for by Applicant at
the rates set forth in Exhibit C, unless a separate fixed fee is
otherwise agreed upon in writing for said Additional Work between
the parties.
3.2.1.1. In the event that the City shall
determine that additional work is required to be performed
above and beyond the scope of work herein provided, City
will consult with Applicant regarding the additional work,
and if thereupon the Applicant fails or refuses to arrange
and pay for said Additional Se~ices, the City may, at its
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option, suspend any further processing of Applicant's
Application until the Applicant shall deposit the City's
estimate of the costs of the additional work which the City
determines is or may be required. Applicant shall pay any
and all additional costs for the additional work.
3.2.2. Reductions in Scope of Work.
City may independe~tly, or upon request from
Consultant, from time to time reduce the Services to be performed
by the Consultant under this Agreement. . Upon doing so, City and
Consultant agree to meet in good faith and confer for the purpose
of negotiating a corresponding reduction in the compensation
associated with said reduction. Upon failure to agree, the Fixed
Fee may be unilaterally reduced by the City by the amount of time
and materials budgeted by Consultant for the Services deleted.
3.3. Security for Payment of Compensation by Applicant.
3.3.1. Deposit. As security for the payment of
Consultant by Applicant,.~pplicant shall, upon execution of this
Agreement, deposit the amount indicated on Exhibit C as "Deposit
Amount" with the City, as trustee for Consultant, the conditions
of such trust being as indicated on Exhibit C and as hereinbelow
set forth:
3.3.1.1 Other Terms of Deposit Trust.
3.3.1.1.1. City shaJI also be entitled to
retain from said Deposit all costs incurred by City for which it
is entitled to compensation by law or under the terms of this
agreement.
3.3.1.1.2. All interest earned on the
Deposit Amount, if any, shall accrue to the benefit of, and be
used for, Trust purposes. City may, in lieu of deposit into a
separate bank account, separately account for said deposit in one
or more of its various bank accounts, and upon doing so, shall
proportionately distribute to the Deposit Tr~st, the average
interest earned during the period on its general fund.
3.3.1.1.3. Any unused balance of Deposit
Amount, including any unused interest earned, shall be returned
to Applicant not later than 30 days after the termination of this
Agreement and any claims resulting therefrom.
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1 11
3.3.1.1.4.
within 30 days after of the use
Nothing herein shall invalidate
herein authorized.
Applicant shall be notified
of the Deposit in ~~y manner.
use of the Deposit in the manrier
3.3.1.1.5. At such time as City shall
reasonably determine that inadequate funds remain on Deposit to
secure future compensation likely due Consultant or City, City
may make demand of Applicant to supplement said Deposit Amount in
such amount as City shall reasonably specify, and upon doing so,-
Applicant shall, within 30 days pays said amount ("Supplemental
Deposit Amount") to City. Said Supplement Deposit Amount or
Amounts shall be governed by the same terms of trust governing
the original Deposit.
3.3.2. Withholding of Processing.
In addition to use of the Deposit as security, in order
to secure the duty of Applicant to pay Consultant for Services
rendered under this agreement, City shall be entitled to withhold
processing of Applicant's,Application upon a breach of
Applicant's duty to compensate Consultant.
4. Non-Service Related Duties of Consultant.
4.1. Insurance.
Consultant represents that it and it;s agents, staff and
subconsultants employed by it in connection with the Services
required to be,rendered, are protected against the risk of loss
by the following insurance coverages, in the following
categories, and to the limits specified, policies of which are
issued by Insurance Companies that have a Best's Rating of "A,
Class V" or better, or shall meet with the approval of the City:
4.1.1. Statutory Worker's Compensation Insurance and
Employer's Liability Insurance coverage in the amount set forth
in the attached Exhibit A, Paragraph 11.
4.1.2. Commercial General Liability Insurance
including Business Automobile Insurance coverage 'in the amount
set forth in Exhibit A, Paragraph 11, combined single limit
applied separately to each project away from premises owned or
rented by Consultant, which names City and Applicant as an
Additional Insured, and which is primary to any policy which the
Ci ty may otherwise carry (" Primary Coverage"), and which treats
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the employees of the City and Applicant in the same manner as
members of the general public ("Cross-liability Coverage") .
4.1.3. Errors and Omissions insurance, in the amount
set forth in Exhibit A, Paragraph 11, unless Errors and Omissions
coverage is included in the General Liability policy.
4.2. Proof of Insurance Coverage.
4.2.1. Certificates of Insurance. Consultant shall
demonstrate proof of coverage herein required, prior to the
commencement of services required under this Agreement, by
delivery of Certificates of Insurance demonstrating same, and
further indicating that the policies may not be canceled without
at least thirty (30) days written notice ~o the Additional
Insured.
4.2.2. Policy Endorsements Required. In order to
demonstrate the Additional Insured Coverage, Primary Coverage and
Cross-liability Coverage required under Consultant's Commercial
General Liability Insuran~e Policy, Consultant shall deliver a
policy endorsement to the City and Applicant demonstrating same.
4.2.3 Security for Performance - Performance Bond. In
the event that. the need for a Consultant to provide a Performance
30nd arises, .then Consultant shall provide to the City a
performance bond in the form prescribed by the City and by such
sureties which are authorized to transact ,such business in the
State of California, listed as approved DY the United States
Department of Treasury Circular 570,
http://www.fms.treas.gov/c570, and whose underwriting limitation
is sufficient to issue bonds in the amount required by the
agreement, and which also satisfy the requirements stated in
Section 995.660 of the Code of Civil Procedure, except as
provided otherwise by laws or regulations. All bonds signed by
an agent must be accompanied by a certified copy of such agent's
authority to act. Surety companies must be duly licensed or
authorized in the jurisdiction in which the Project is located to
issue bonds for the limits so required. Form must be satisfactory
to the Risk Manager or City Attorney which amount shall be
indicated in an attachment as "Performance Bond" Exhibit.
4.3. Public Statements.
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All public statements and releases to the news media shall
be the responsibility of the City and the Applicant. The
Consultant shall not publish or release news items, articles.or
present lectures on the Project, either during the course of the
study or after its completion, except on written concurrence of
the City and Applicant.
4.4. communication to Applicant.
Consultant shall not communicate directly to the Applicant
except in the presence of the City, or by writing an exact copy
of which is simultaneously provided to City, except with the
express consent of City. The Consultant may request such
meetings with the Applicant to ensure the adequacy of services
performed by Consultant.
5. Non-Comoensation Duties of the Apolicant.
5.1. Documents Access.
The Applicant shall provide to the Consultant, through the
City, for the use by the consultant and City, such documents, or
copies of such documents requested by Consultant, within the
possession of Applicant reasonably useful to the Consultant in
performing the services herein required of Consultant, including
but not limited to those described in Exhibit A, Paragraph 8.
5.2. Property Access.
The Applicant hereby grants permission to the City and
Cor-sultant to enter and access the Property, to take any borings,
make any tests, conduct any surveys or reconnaissance necessary
to deliver the Services of Consultant, subject to the approval'of
the Applicant. Consultant shall promptly repair any damage to
the subject property occasioned by such entry and shall
indemnify, defend, and hold Applicant harmless from all loss,
cost, damage, expenses, claims, and liabilities in connection
with or arising from any such entry and access.
6. Administrative Representatives.
Each party designates the individuals ("Administrators")
indicated in Exhibit A, Paragraph 9, as said party's contract
administrator who is authorized by said party to represent them
in the routine administration of this agreement.
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7. Conflicts of Interest
7.1. Consultant is Desiqnated as an FPPC Filer.
If Consultant is designated on Exhibit A, Paragraph 10, as
an "FPPC filer", Consultant is deemed to be a "Consultant" for
the purposes of the 'political Reform Act conflict of interest and
disclosure provisions, and shall report his economic interests to
the City Clerk on the re~ired Statement of Economic Interests in
suc~ reporting categories as are specified in Paragraph 10 of
Exhibit A, or if none are specified, then as determined by the
City Attorney.
7.2. Decline to Participate.
Regardless of whether Consultant is designated as an FPPC
Filer, Consultant shall not make, or participate in making or in
any way attempt to use Consultant's position to influence a
governmental decision in which Consultant knows or has reason to
know Consultant has a financial interest ocher than the
compensation promised by ~his Agreement.
7.3. Search to Determine Economic Interests.
Regardless of whether Consultant is designated as an FPPC
Filer, Consultant warrants and represents that Consultant has
diligently conducted a search and inventory of Consultant's
economic interests, as the term is used in the regulations
promulgated by the Fair Political Practi~es Commission, and has
determined that Consultant does not, to the best of Consultant's
knowledge, have an economic interest which,would conflict with
Consulta.~t's duties under this agreement.
7.4. Promise Not to Acquire Conflicting Interests.
Regardless of whether Consultant is designated as an FPPC
Filer, Consultant further warrants and represents that Consultant
will not acquire, obtain, or assume an economic interest during
the term of this Agreement which would constitute a conflict of
interest as prohibited by the Fair Political Practices Act.
7.5. Duty to Advise of Conflicting Interests.
Regardless of whether Consultant is designated as an FPPC
Filer, Consultant further warrants and represents that Consultant
will immediately advise the City Attorney of City if Consultant
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4 16
learns of an economic interest of Consultant's which may result
in a conflict of interest for the purpose of the Fair political
Practices Act, and regulations promulgated thereunder.
7.6. Specific Warranties Against Economic Interests.
Consultant warrants and represents that neither Consultant,
nor Consultant's immediate family members, nor Consultant's
employees or agents ("Consultant Associates") presently have any
interest, directly or indirectly, whatsoever in the property
which is the subject matter of the Project, or in any property
within 10 radial miles from the exterior boundaries of the
property which is the subject matter of the Project, or
("Prohibited Interest") .
Consultant further warrants and represents that no promise
of future employment, remuneration, consideration, gratuity or
other reward or gain has been made to Consultant or Consultant
Associates by Applicant or by any other party as a result of
Consultant's performance of this Agreement. Consultant promises
to advise City of any suc~ promise that may be made during the
Term of this Agreement, or for 12 months thereafter.
Consultant agrees that Consultant Associates shall not
acquire any such Prohibited Interest within the Term of this
Agreement, or for 12 months after the expiration of this
Agreement. .
Consultant may not conduct or solicit any business for any
party to this Agreement, or for any third party which may be in
conflict with Consultant's responsibilities under this Agreement.
8. Default of the Consultant for Breach.
This agreement may be terminated by the CITY for default if
the Consultant breaches this agreement or if the Consultant
refuses or fails to pursue the work under this agreement or any
phase of the work with such diligence which would assure its
comDletion within a reasonable period of time. Termination of
thi~ agreement because of a default of the Consultant shall not
relieve the Consultant from liability of such default.
9. City'S Riqht to Terminate Agreement for Convenience,
Documents.
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-4-19
9.1. Notwithstanding any other section or provision of this
agreement, the CITY shall have the absolute right at any time to
~erminate this agreement or any work to be performed pursuant to
'Chis agreement.
9.2. In the event of termination of this agreement by the
CITY in ~he absence of default of the Consultant, the City shall
pay the Consultant for the reasonable value of the services
actually performed by the Consultant up to the date of such
termination, less the aggregate of all sums previously paid to
the Consultant for services performed after execution of this
agreement and prior to its termination.
9.3. The Consultant hereby expressly waives any and all
claims for damage or compensation arising under this agreement,
except as set forth herein, in the event of such termination.
9.4. In the event of termination of this agreement, and upon
demand of the City, the Consultant shall deliver to the City, all
field notes, surveys, studies, reports, plans, drawings and all
other materials and documents prepared by the Consultant in
performance of this agreement, and all such documents and
materials shall be the property of the City; provided however,
that the Consultant rray retain copies for their own use and the
City shall provide a copy, at Applicant's cost, of all such
documents to the Applicant.
9.5.
and shall
work.
Applican~ shall have no right to terminate Consultant,
not exercise any control or di~ection over Consultant's
10. Administrative Claims Requirement and ?rocedures
No suit shall be brought arising out of this agreement,
against the City, unless a claim has first been presented in
writing and filed with the City of Chula Vista and acted upon by
the City of Chula Vista in accordance with the procedures set
forth in Chapter 1.34 of the Chula Vista Municipal Code, the
provisions of which are incorporated by this reference as if set
fully set forth herein.
11. Hold Harmless and Indemnification
11.1. Consultant to Indemnify City and Applicant re
Injuries.
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Consultant shall defend, indemnify, protect and hold
harmless the City, its elected and appointed officers and
employees and Applicant from and against all claims for damages,
liability, cost and expense (including without limitation
attorneys' fees) arising out of the conduct of the Consultant, or
any agent or employees, subcontractors, or others of City or
Applicant in co~~ection with the execution of the work covered by
this Agreement, except only for those claims arising from the
sole negligence or sole willful misconducc of the City, its
officers, or employees, or Applicant, Consultant's
indemnification shall include any and all costs, expenses,
attorneys' fees and liability incurred by the City, its officers,
agents, or employees or Applicant in defending against such
claims, whether the same proceed to judgnent or not. Further,
Consultant at its own expense shall, upon written request by the
City or Applicant, defend any such suit or action brought against
the City, its officers, agents, or employees or Applicant.
Consultants' indemnification of City and Applicant shall not be
limited by any prior or subsequent declaration by the Consultant.
11.2. Applicant to Indemnify City re Compensation of
Consultant.
Applicant agrees to defend, indemnify and hold the City
harmless against and from any and all claims, losses, damages,
expenses or expenditures of City, including its elected
officials, officers, employees, agents, or representatives of the
City ("City Indemnitees"), in any way resulting from or arising
out of the refusal to pay compensation a~ demanded by Consultant
for the performance of services required by this Agreement.
12. Business Licenses
Applicant agrees to obtain a business license from the City
and to otherwise comply with Chula Vista Municipal Code, Title 5.
Applicant further agrees to require Consultant to obtain such
business license and to comply with Chula Vista Municipal Code,
Title 5.
13. MiscellaneouS.
13.1. Consultant not authorized to Re resent Cit .
Unless specifically authorized in writing by City, neither
Consultant tior Applicant shall have authority to act as City'S
agent to bind City to .any contractual agreements whatsoever.
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13.2. Notices.
All notices, demands or requests provided for or permitted
to be given pursuant to this Agreement must be in writing. All
notices, demands and requests to be sent to any party shall be
deemed to have been properly given or served if personally served
or deposited in the United States mail, addressed to such party,
postage prepaid, registered or certified, with return receipt
requested, at the addresses identified for the parties in Exhibit
A.
13.3. Entitlement to Subsequent Notices.
No notice to or demand on the parties for notice of a.~ event
not herein legally required to be given shall in itself create
the right in the parties to any other or further notice or demand
in the same, similar or other circumstances.
13.4. Entire Agreemenc.
This Agreement, together with any other written document
referred to or contemplated herein, embody the entire Agreement
and understanding between the parties relating to the subject
matter hereof. Neither this Agreement nor any provision hereof
may be amended, modified, waived or discharged except by an
instrument in writing executed by the party against which
enforcement of such amendment, waiver or discharge is sought.
13.5. Capacity of Parties.
3ach signatory a.~d party hereto hereby warrants and
represents to the other party that it has legal authority and
capacity and direction from its principal to enter into this
Agreement; that all resolutions or other actions have been taken
so as to enable it to enter into this Agreement.
13.6. Governing Law/Venue.
This Agreement shall be governed by and construed in
accordance with the laws of the State of California. Any action
arising under or relating to this Agreement shall be brought only
in the federal or state courts located in San Diego County, State
of California, and if applicable, the City of Chula Vista, or as
close thereto as possible. Venue for this Agreement, a.~d
performance hereunder, shall be the City of Chula Vista.
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A ??
13.7. Modification.
No modification or waiver of any provision of this Agreement
shall be effective unless the same shall be in writing and signed
by the parties hereto, and then shall be valid only in the
specific instance and for the purpose for which given.
13.8. Counterparts.
This Agreement may be executed in'more than one counterpart,
each of which shall be deemed to be an original but all of which,
when taken together shall constitute but one instrument.
13.9. Severability.
In the event that any provision of this Agreement shall for
any reason, be determined to be invalid, illegal, or
unenforceable in any respect, the parties hereto shall negotiate
in good faith and agree to such amendments, modifications, or
supplements to this Agreement or such other appropriate action as
shall, to the maximum extent practicable in light of such
determination, implement and give effect to the intentions of the
parties as reflected herein.
13.10. Headings.
The captions and headings in this Agreement are for
convenience only and shall not define or_limit the provisions
hereof.
13.11. Waiver.
No course of dealing or failure or delay, nor the single
failure or delay, or the partial exercise of any right, power or
privilege, on the part of the parties shall operate as a waiver
of any rights herein contained. The making or the acceptance of
a payment by either party with knowledge of the existence of a
breach shall not operate or be construed to operate as a waiver
of any such breach.
13.12. Remedies.
The rights of the parties under this Agreement are
cumulative and not exclusive of any rights or remedies which the
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parties might otherwise have unless this Agreement provides to
the contrary.
13.13. No Additional Beneficiaries.
Despite the fact that the required performance under this
agreement may have an affect upon persons not parties hereto, the
parties specifically intend no benefit therefrom, and agree that
no performance hereunder may be enforced by any person not a
party to this agreement. Notwithstanding the foregoing, this is
a three party agreement and the City is 'an express third party
beneficiary of the promises of Consultant to provide services
paid for by Applicant.
14. Ownership, ~ublication, Reproduction and Use of Material
All reports, studies, information, data, statistics, forms,
designs, plans, procedures, systems and any other materials or
properties produced under this Agreement shall be the sole and
exclusive property of City. No such materials or properties
produced in whole or in part under this Agreement shall be
subject to private use, copyrights or patent rights by Consultant
in the United States or in any other country without the express
written consent of City. City shall have unrestricted authority
to publish, disclose (except as may be limited by the provisions
of the ~ublic Records Act), distribute, and otherwise use,
copyright or patent, in whole or in part, any such reports,
studies, data, statistics, forms or other materials or properties
produced under this Agreement.
(End of Page. Next Page is Signature Page.)
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~age 14
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4-24
Signature Page
Now therefore, the parties hereto, having read and
understood the terms and conditions of this agreement, do hereby
express their consent to the terms hereof by setting their hand
hereto on the date set forth adjacent thereto.
Dated:
City of Chula vista
by:
John
Approved as to Form:
~
/;~
I' r-' "
, ,/
( 1~f"'....,..., f_ .
Anz(',Moore
city Attorney ,
V
Dated:
Consultant:
Anthony J, Lettieri, FAICP
byaf1~~, ~t
\ '
Dated:
Applicant:
McMillin Otay Ranch
liability company
a Delawa t
b--:
LLC a Delaware limited
McMillin Companies, LLC
'lity company Its: Manager
l
vt
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Exhibit B
Additional Recitals
wdEREAS, the Applicant has deposited an initial sum for the
processing of development applications, such as rezone,
environmental studies and precise plans, and
WHEREAS, Consultant warrants time on this project will be
billed at no more than the hourly rate the City bills for an
equivalent City Staff, and
WHEREAS, both City and Applicant agree to waive the formal
consultant selection process due to prior work on the same
project performed by Consultant while in the employ of City, and
WHEREAS, the Planning and Building Director
the details of this agreement in accordance with
forth in the Chula Vista Municipal Code.
has negotiated
procedures set
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Exhibit A
Reference Date of Agreement: May 10, 200S
Effective Date of Agreement:
City of Chula vista, 276 Fourth Avenue, Chula Vista, CA 91910
Consultant: Anthony J. Lettieri FAICP,
Business Form of Consultant:
( X) Sole proprietorship
( ) Partnership
( ) corporation
Address: 1231 Oliver Avenue
San Diego, California 92109
Applicant: McMillin Otay Ranch, LLC,
Business Form of Appiicant:
( ) Sole Proprietorship
( ) Partnership
( xl Corporation
Address: 2727 Hoover Avenue
National City, CA 92109
1. Property (Commonly known address or General Description) :
The Application covers that property generally known as
Eastern Urban Center, which is located in the central
portion of the Otay Valley Parcel of the Otay Ranch General
Develooment plan area. The proposed Eastern Urban Center is
approximately 200 acres and is bounded by the proposed
alignments of Birch Road on the north, Hunte Parkway on the
south, Eastlake Parkway on the east, and SR-12S on the west.
Applicant is only applying for entitlements of their portion
of the ownership of subject property.
2. Project Description ("project"):
Reviewing and processing application by McMillin Otay Ranch,
LLC (Applicant) for a sectional Planning Area (SPA) and one
or more Tentative Map applications for the Eastern Urban
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Center, and other related discretionary entitlements as may
be identified during the course of such processing.
3. Entitlements applied for:
a) Sectional Planning Area (SPA) Plan and associated
regulatory documents, including but not limited to the
following: 1) Eastern Urban Center design plan; 2)
Planned Community District Regulations; 3) Air Quality
Improvement Plan; 4) Water Conservation Plan; 5) Non-
renewable Energy Conservation'Plan; 6) Public
Facilities Financing Plan; 7) Affordable Housing Plan
b) Otay Ranch 2004 General Development Plan amendments
4. Entitlements anticipated to be applied for:
a) Second Tier Environmental Impact Report(s) and supporting
tec~ical studies
b) Grading and Improvement Plans
c) Final Maps
d) Design Review App~ovals
e) Tentative subdivision maps
f) General plan Update
5. General Nature of Consulting Services ("Services--General"):
Process, under City's procedures, the necessary planning and
enviror~e~tal planning applications.for the entitlements
listed in paragraphs 3 and 4, for tDe property known as the
Eastern Urban Center described in paragraph 1. Consultant
to provide services to Applic~.t for t~is project as an
extension of City staff, under the direction of the Director
of Planning & Building.
6. Detailed scope of Work ("Detailed Services") :
a) Meet with Director of Planning and Building and other
appropriate city staff to understand City objectives for
the EUC, the Otay Ranch, and other known land use issues
that would impact both the planning and processing of the
Applicant's SPA Plan.
b) Review all the planning and policy documents that have
been prepared over the last two years that set a
direction for the EUC planning and processing and that
indicate City Council public policy direction, including
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the p=oposed General Plan and General Development Plan
Amendments.
c) Meet with City staff from the Planning and other
appropriate departments to determine what planning or
policy direction has already been set with the General
Plan and Framework plan that may impact the EUC.
Included in this analysis would be any Market Assessment
(any study available), Review and Analysis of any revised
EUC policies in the GDP and other policy analysis
associated with the University. Planning.
d) Meet with Applicant development staff to determine their
land use plans, suggested planning process, and issues.
e) Identify how Applicant'S plans correspond with the City-
Wide General plan and Otay Ranch GDP update process. In
addition to the General plan and GDP, the EUC planning
would have to relate to other development projects within
the Otay Ranch and the regional transportation system.
Because of its size and impact on the City, it would also
have to be coordinated with planning for western Chula
Vista.
f) Prepare Issue Papers or other required staff reports
documenting the options, issues and recommended course of
action. This would include a detailed scope of work,
meeting schedule, critical path, and cost estimate for
the completion of the planning process.
g) Process all discretionary applications/entitlements to
final City Council approval. This would involve all
necessary inter-departmental coordination, preparation of
staff reports, presentations to all reviewing bodies, and
any other tasks that may be required to finalize the
discretionary approval as required by the City Council.
7. Schedule, Milestone, Time-Limitations within which to Perform
Services.
Date for Commencement of Consultant Services:
(X) Same as Effective Date of Agreement
Dates or Time Limits for Delivery of Deliverables:
Under direction of City staff, and will function as an
extension of City staff.
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Dates for completion of all Consultant services:
December 31, 2005
8.
Documents to be
( ) site plans
elevations ( )
( ) other:
provided by Applicant to Consultant:
( ) grading plans ( ) 'architect=al
project description.
9. Contract Administrators.
City: J.D. Sandoval, Director of Planning & Building, City
of Chula Vista Planning a~d Building Department, 276 Fourth Av,
Chula Vista, CA 91910, ph: (619)691-5002, FAX: (619)409-5861,
email: jsandoval@ci.cnula-vista.ca.us.
Applicant: Todd Gala~neau, Vice-President, McMillin Otay
Ranch, LLC, 2727 Hoover Av, National City, CA 91950, ph:
(619)336-3959, FAX: (619)336-3093 email: tgalarneau@mcmillin.com
Consultant: Anthony J. Lettieri FAICP, 1231 Oliver Avenue
San Diego, California 92109, ph: (619)540-7202, FAX: (858)581-
9374, email: tonyl@san.rr.ccm.
10. Statement of Economic Interests, Coosultant Reporting
Categories, per Conflict of Interest Code:
X) Not Applicable. Not an FPPC Filer.
Category No.1. Investments and sources of income.
Category No.2. Interests in real property.
Category No.3. Investments, interest in real
property and sources of income
subject to the regulatory, permit
or licensing authority of the
department.
Category No.4. Investments in business e~tities
and sources of income which engage
in land development, construction
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4 30
Category No.5.
) Category No.6.
) Category No.7.
11. Insurance Requirements:
or the acquisition or sale of real
property.
Investments in business entities
and sources of income of the type
which, within the past two years,
have contracted with the City of
Chula Vista (Redevelopment Agency)
to provide services, supplies,
materials, machinery or equipment.
Investments in business entities
and sources of income of the type
which, within the past two years,
have contracted with the designated
employee's department to provide
services, supplies, materials,
machinery or equipment.
Business positions.
(X) commercial General Liability: $1,000,000.
(X ) Automobile Liability: $1,000,000.
( ) Worker's compensation: Statutory
( )' Employer's Liability: $1,000,000.
( ) Errors and Omissions Liability: $2,000,000.
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4-31
Exhibit C
Compensation Schedule and Deposit: Terms and Conditions.
Single Fixed Fee Arrangement.
For performance of all of the General and Detailed Services
of Consultant as herei~ required, Applicant shall pay a single
fixed fee in the amounts and at the times or milestones set forth
below:
) Single Fixed Fee Amount: $
Phased Fixed Fee Arrangement.
For the performance of each phase or portion of the General
and Detailed Services of Consultant as are separately identified
in Exhibit C, under the category labeled "Phased Fixed Fee
Arrangement", Applicant shall pay the fixed fee associated with
each phase of Services, in the amounts and at the times or
milestones set forth hereinbelow (" Phase Fixed Fee Arrangement")
Consultant shall not commence Services under any Phase, and
shall not be entitled to the compensation for a Phase, u-~less
Applicant shall have issued a notice to proceed to Consultant as
to said Phase. "
(X ) Time and Materials
For performance of the General and Detailed Services of
Consultant as herein required, Applicant shall pay Consultant for
the productive hours of time and material spent by Consultant in
the performance of said Services, at the rates or amounts set
forth 'hereinbelow according to the following terms and
conditions:
(Not-to-Exceed Limitation on Time and Ma~erials Arrangement
Notwithstanding the expenditure by Consultant of time and
materials in excess of said Maximum Compensation amount,
Consultant agrees that Consultant will perfor~m all of the
General and Detailed Services herein required of Consultant
for including all Materials, and other
nreirnburseables" ("Maximum Compensation") .
5
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( X ) Limitation without Further Authorization on Time and
Materials Arrangement
At such time as Consultant shall have incurred time and
materials equal to $50,000 ("Authorization Limit"),
Consultant shall not be entitled to any additional
compensatiqn without further authorization issued in writing
and approved by the City Council. Nothing herein shall
preclude Consultanc from providing additional Services at
Consultant's own cost and expense.
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Rate Schedule
Category of Employee
of Cor"sultant
Name
Hourly
Rate
Principal Consultant
>L~thony J. Lettieri
$125
Materials Separately Paid For by Applicant
Cost or Rate
Materials
Reports
Copies
Travel
Printing
Postage
Delivery
Long Distance Telephone Charges
Other Actual Identifiable Direct Costs
Actual
Actual
Actual
Actual
Actual
Actual
Actual
Deposit
( X) Deposit Amount: $ 25,000
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Use of Deposit to Pay Consultant.
Notwithstanding the sole duty and liability of App~icant to
pay Consultant, if this paragraph is "checked", upon City's
receipt of billing by Consultant, and determination by City in
good faith that Consultant's billing is proper, a judgment for
which Applicant agrees to hold City harmless and waive any claim
against City, City shall pay Consultant's billing from the amount
of the Deposit. If Applicant shall protest the propriety of a
billing to City in advance of payment, City shall consider
Applicant's protest a~d any evidence submitted prior to the due
date for the payment of said bill by Applicant in making its good
faith determination of propriety.
( ) Use of Deposit as Security Only; Applicant to Make Billing
Payments.
Upon determination by City made in good faith that
Consultant is entitled to compensation which shall remain unpaid
by Applicant 30 days after billing, City may, at its option, use
the Deposit to pay said billing.
----------------------------------
Bill Processing:
A. Consultant's Billing to be submitted for the following
period of time:
X Monthly
Quarterly
Other:
B. Day of the Period for submission of Consult~~t's
Billing:
X First of the Month
15th Day of each Month
End of the Month
Other:
C. City'S Account Number:
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RESOLUTION NO. 2007-
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA WAIVING THE FORMAL CONSULTANT
SELECTION PROCESS, APPROVING THE SECOND
AMENDMENT TO A THREE-PARTY AGREEMENT WITH
ANTHONY J. LETTIERI, FAICP, CONSULTANT, AND
MCMILLIN OTAY RANCH, LLC, APPLICANT, FOR
CONSULTING SERVICES ON THE EASTERN URBAN
CENTER PROJECT, AND AUTHORIZING THE MAYOR TO
EXECUTE SAID CONTRACT AMENDMENT.
WHEREAS, in May 2005, the City entered into an agreement with Anthony J.
Lettieri, F AICP ("Consultant") to work as an extension of staff and focus on developing
an appropriate project for review in the Eastern Urban Center; and
WHEREAS, on May 23, 2006 Council approved Resolution 2006-151 approving
the first amendment to this agreement; and
WHEREAS, the applicant's determination to revise their land use plan
necessitates a re-submittal of a Sectional Planning Area plan for the Eastern Urban
Center; and
WHEREAS, the first amendment to the original agreement does not have
sufficient remaining funding or timeframe to complete said tasks; and
WHEREAS, the complex nature of this signature project requires a senior-level
planner with applicable experience; and
WHEREAS, Consultant is uniquely qualified with 37 years of planning
experience working on complex, large projects throughout San Diego County, including
working on the staff of the City as well as working on this specific project over the last
two years; and
WHEREAS, staff recommends waiving the formal bid process as impractical due
to the complex nature of the project, and understanding of the City's entitlement process
on this project already understood by the Consultant.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of
Chula Vista does hereby waive the formal consultant selection process.
BE IT FURTHER RESOLVED that City Council does hereby approve the second
amendment to a three-party agreement with Anthony J. Lettieri, FAICP and McMillin
Otay Ranch, LLC for consulting services on the Eastern Urban Center Project.
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Resolution No. 2007-
Page 2
BE IT FURTHER RESOLVED that the Mayor of the City of Chula Vista is
hereby authorized to execute said First Amendment on behalf of the City ofChula Vista.
Presented by
Approved as to form by
James D. Sandoval
Planning & Building Director
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SECOND AMENDMENT
To the Three Party Agreement
Between City of Chula Vista,
Anthony J. Lettieri FAlCP,Consultant, and
McMillin Otay Ranch, LLC, Applicant
For Consulting Work to be Rendered
with regard to Applicant's Eastern Urban Center Project
Recitals
This Second Amendment is effective as of 11/1/2007 by and between the City of Chula Vista
("City"), Anthony J. Lettieri FAICP ("Consultant") and McMillin Otay Ranch, LLC
("Applicant"), with reference to the following facts:
WHEREAS, City, Consultant and Applicant previously entered into an agreement on
May 10, 2005 whereby Consultant was to review and process the application by Applicant for a
Sectional Planning Area and one or more Tentative Map applications for the Eastern Urban
Center ("Original Agreement"); and
WHEREAS, City, Consultant and Applicant subsequently entered into a First
Amendment on May 1, 2006 whereby Consultant was to continue to review and process the
application by Applicant for a Sectional Planning Area and one or more Tentative Map
applications for the Eastern Urban Center ("Original Agreement"); and
WHEREAS, Consultant estimates an effort of 20 hours per week dedicated on this
project for the next twelve months to complete the entitlement process; and
WHEREAS, Consultant is uniquely qualified due to work experience in the City of Chula
Vista and experience acting as an extension of the Community Planning Section staff on this
project over the last year and working on this project while in the employ of the City; and
WHEREAS, all work performed by Consultant has been performed to the satisfaction of
the City's Director of Planning and Building.
NOW, THEREFORE, in consideration of the recitals and the mutual obligation of the
parties set forth herein, City and Consultant agree to amend the Original Agreement as follows:
1. Exhibit A, Section 2 entitled Project Description, is hereby amended to read as follows:
Reviewing and processing application by McMillin Otay Ranch, LLC (Applicant) for a Sectional
Planning Area (SPA), PC District Regulations and one or more Tentative Map applications for
the Eastern Urban Center (EUC), and other related discretionary entitlements as may be
identified during the course of such processing.
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2. Exhibit A, Section 6 entitled Detailed Scope of Work ("Detailed Services"), is hereby
amended to read as follows:
a) Continue to meet with Director of Planning and Building and other appropriate City
staff to understand City objectives for the EVC, the Otay Ranch, and other known
land use issues that would impact both the planning and processing of the Applicant's
SPA Plan.
b) Review all the planning and policy documents that have been prepared that set a
direction for the EVC planning and processing and that indicate City Council public
policy direction, including the proposed General Plan and General Development Plan
Amendments.
c) Coordinate the EVC planning with adjacent projects, including university planning,
the planning ofOtay Ranch Village 9, and regional transit planning with SANDAG.
d) Continue to meet with City staff from all City departments and other agencies to
determine what planning or policy direction has already been set with the General
Plan and Framework Plan that may impact the EVC.
e) Prepare all required staff reports documenting the options, issues and recommended
course of action. This would include a detailed scope of work, meeting schedule,
critical path, and cost estimate for the completion of the planning process.
f) Process all discretionary applications/entitlements to final City Council approval.
This would involve all necessary inter-departmental coordination, preparation of staff
reports, presentations to all reviewing bodies, and any other tasks that may be
required to finalize the discretionary approval as required by the City Council.
3. Exhibit A, Section 7, entitled Date for Completion of all Consultant Services, is hereby
amended to read as follows:
December 31, 2008
4. Exhibit A, Section 10, entitled Statement of Economic Interests, Consultant Reporting
Categories, per Conflict of Interest Code, is hereby amended to read as follows:
( ) Not Applicable.
Not an FPPC Filer.
( X ) Category No. 1.
Investments and sources of income.
( X ) Category No.2.
Interests in real property.
( X ) Category No.3.
Investments, interest in real property and sources of
income subject to the regulatory, permit or licensing
authority of the department.
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( x ) Category No.4.
Investments in business entities and sources of
income which engage in land development,
construction or the acquisition or sale of real
property.
( X) Category No.5.
Investments in business entities and sources of
income of the type which, within the past two years,
have contracted with the City of Chula Vista
(Redevelopment Agency) to provide services,
supplies, materials, machinery or equipment.
( X ) Category No.6.
Investments in business entities and sources of
income of the type which, within the past two years,
have contracted with the designated employee's
department to provide services, supplies, materials,
machinery or equipment.
(X) Category No. 7.
Business positions.
5. Exhibit C, entitled Compensation Schedule and Deposit, Limitation without Further
Authorization on Time and Materials Arrangement is hereby amended to read as follows:
At such time as Consultant shall have occurred time and materials equal to $120.000
("Authorization Limit") from the effective date of this Second Amendment through
December 31, 2008, Consultant shall not be entitled to any additional compensation without
further authorization issued in writing and approved by the City Council. Nothing herein
shall preclude Consultant from providing additional services at Consultant's own cost and
expense.
6. Exhibit C, entitled Use of Deposit to Pay Consultant, is hereby amended to read as
follows:
(X) Use of Deposit to Pay Consultant.
7. All other terms and conditions of the Original Agreement not specifically modified by this
First Amendment shall remain in full force and effect.
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4-4
Signature Page
To the Second Amendment to the Three Party Agreement
Between City of Chula Vista,
Anthony J. Lettieri FAlCP,Consultant, and
McMillin Otay Ranch, LLC, Applicant
For Consulting Work to be Rendered
with regard to Applicant's Eastern Urban Center Project
IN WITNESS THEREOF, City and Consultant have executed this Second Amendment to
the Agreement thereby indicating that they have read and understood same, and indicate their
full and complete consent to its terms:
City of Chula Vista
Consultant: Anthony J. Lettieri, FAICP
Cheryl Cox, Mayor
BY:~ L6QJ
\
By:
Dated:
Dated:~'2..- i-z..-D+
Attest:
Susan Bigelow, City Clerk
Approved as to form:
Applicant:
McMillin Otay Ranch, LLC a Delaware
limited liability company By: McMillin
Companies, LLC Delaware limited
liability company ager
.P
Ann Moore, City Attorney
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