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HomeMy WebLinkAboutAgenda Packet 2000/06/06 CITY COUNCIL AGENDA June 6, 2000 -Jr 4:00 p.m. Council Chambers Public Services Building 276 Fourth Avenue, Chula Vista CIIY OF CHULA VISTA City Council City Manager Patty Davis David D. Rowlands, Jr. John S. Moot City Attorney Stephen C. Padilla John M. Kaheny Mary Salas City Clerk Shirley A. Horton, Mayor Susan Bigelow The City Council meets regularly on the first calendar Tuesday at 4:00 p.m. and on the second, third and fourth calendar Tuesdays at 6:00 p.m. Regular meetings may be viewed at 7:00 p.m. on Wednesdays on Cox Cable Channel 24 or Chula Vista Cable Channel 47 JUNE 6, 2000 I dec*re uncIIIr pIIIIIty of perjury l1li,- u"IJlld ..,.. car of CIIua VIllI.. r. ...... car an- ""11 - AGE.......... "l1li n. ... II r JtI ...AllJI U. I n MIlD ~k/M Ill'. P.M CALL TO ORDER ROLL CALL: Councilmembers Davis, Moot, Padilla, Salas, and Mayor Horton. PLEDGE OF ALLEGIANCE TO THE FLAG, MOMENT OF SILENCE SPECIAL ORDERS OF THE DAY · PRESENTATION OF A PROCLAMATION TO THE EMPLOYEE OF THE MONTH, CECIL CHAU, SIGNAL SYSTEMS ENGINEER IN THE ENGINEERING DIVISION OF THE PUBLIC WORKS DEPARTMENT · PRESENTATION OF AN AWARD TO DOUG REID, THE ENVIRONMENTALIST OF THE YEAR FOR 1999 - PRESENTED BY A REPRESENTATIVE FROM THE RESOURCE CONSERVATION COMMISSION · PRESENTATION OF A PROCLAMATION COMMENDING HENRY BARROS UPON RECEIVING SAN DIEGO COUNTY'S MINORITY-OWNED SMALL BUSINESS OF THE YEAR AWARD · PRESENTATION BY A REPRESENTATIVE FROM COORS AMPHITHEATER RECOGNIZING THE MOST PRODUCTIVE SWEETWATER UNION HIGH SCHOOL DISTRICT CAMPUS ASSOCIATED STUDENT BODY WITHIN CHULA VISTA, A TWELVE-MONTH JOINT EFFORT OF THE HIGH SCHOOL DISTRICT AND THE CITY · PRESENTATION BY A REPRESENTATIVE FROM KNOTT'S SOAK CITY, USA RECOGNIZING THE MOST PRODUCTIVE SWEETWATER UNION HIGH SCHOOL DISTRICT CAMPUS NEWSPAPER STAFF WITHIN CHULA VISTA, A TWELVE-MONTH JOINT EFFORT OF THE HIGH SCHOOL DISTRICT AND THE CITY CONSENT CALENDAR (Items I through 7) 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 removed for discussion. If you wish to speak on one of these items, please fill out a "Request to Speak"form (available in the lobby) and submit it to the City Clerk prior to the meeting. Items pulled from the Consent Calendar will be discussed after Action Items. Items pulled by the public will be the first items of business. Page I - Council Agenda 06/0612000 1. WRITTEN COMMUNICATIONS A. Letter from the City Attorney stating that to the best of his knowledge from observance of actions taken in Closed Session on May 23, 2000, there were no actions taken which are required under the Brown Act to be reported. Staff recommendation: The letter be received and filed. B. Letter of resignation from Teresa Thomas, member of the Board of Ethics. Staff recommendation: The letter be accepted with regret and the City Clerk's Office be directed to post immediately according to Maddy Act requirements. C. Letter from Dulce Alvarez, a student at Bonita Vista High School, requesting financial support to attend the Junior Statesmen Summer School at Stanford University in June. Staffrecommendation: $50 from the Council Contingency Fund be granted to the Junior Statesmen Foundation towards Ms. Alvarez' expenses. 2. ORDINANCE OF THE CITY OF CHULA VISTA, CALIFORNIA, AMEND1NG ORDINANCE 2554 RELAT1NG TO A DEVELOPMENT IMPACT FEE TO PAY FOR VARIOUS PUBLIC FACILITIES WITHiN THE CITY OF CHULA VISTA'S GENERAL PLAN AREA BOUNDARY (2sn READiNG AND ADOPTION) Amendment of City Ordinance 2554 is recommended to increase development impact fees (PFDIF) by $468 per equivalent dwelling unit, to pay for various public facilities City-wide. The fee was last reviewedin 1992-93. (Assistant City Manager Krempl) Staffrecommendation: Council place the Ordinance on second reading for adoption. 3. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING THE FISCAL YEAR 1999/2000 BUDGET BY APPROPRIATING UNANTICIPATED DONATION REVENUE IN THE AMOUNT OF $8,240 TO THE LIBRARY AND RECREATION DEPARTMENT BUDGET FOR EXPENDITURES ASSOCIATED WITH THE SUMMER READING PROGRAM, "MUSIC iN THE PARK" SUMMER CONCERT SERIES AND "TASTE OF THE ARTS" EVENT (4/5THS VOTE REQUIRED) Since January 2000, the Library and Recreation Department has received donations from various organizations and individuals to support the programs in the Department. At this time, the Department wishes to accept the donations and appropriate and budget the funds for the Summer Reading Program, "Music in the Park" Summer Concert Series and the "Taste of the Arts" event. (Deputy City Manager Palmer) Staff recommendation: Council adopt the resolution. Page 2 - Council Agenda 06/06/2000 4. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING BENEFIT AND COMPENSATION ADJUSTMENTS FOR CITY MANAGER AND CITY ATTORNEY EFFECTIVE JUNE 2, 2000 Earlier this year, Council approved compensation adjustments for the majority of non- sworn classifications in the City. At that time, Executive Managers, including the City Manager and City Attorney received salary adjustments. Both the Manager's and Attorney's salaries were increased based on market data, and no modification to benefits was made. (Director of Human Resources) Staff recommendation: Council adopt the resolution. 5 A. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ADOPTING A BOUNDARY MAP SHOWING THE BOUNDARIES OF THE TERRITORY PROPOSED FOR THE INCLUSION IN PROPOSED COMMUNITY FACILITIES DISTRICT NO. 2000-1 (SUNBOW II- VILLAGES FIVE THROUGH TEN) B. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, DECLARING ITS INTENTION TO ESTABLISH COMMUNITY FACILITIES DISTRICT NO. 2000-1 (SUNBOW II - VILLAGES FIVE THROUGH TEN) AND TO AUTHORIZE THE LEVY OF A SPECIAL TAX THEREIN TO FINANCE THE ACQUISITION OF CERTAIN FACILITIES C. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ORDERING AND DIRECTING THE PREPARATION OF A REPORT FOR PROPOSED COMMUNITY FACILITIES DISTRICT NO. 2000-1 (SUNBOW II - VILLAGES FIVE THROUGH TEN) D. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, DECLARING ITS INTENTION TO ISSUE BONDS SECURED BY SPECIAL TAXES TO PAY FOR THE ACQUISITION OF CERTAIN FACILITIES IN COMMUNITY FACILITIES DISTRICT NO. 2000-1 (SUNBOW II - VILLAGES FIVE THROUGH TEN) ACI Sunbow, LLC has requested the City to initiate proceedings to form Community Facilities District No. 2000-1 for the acquisition or construction of certain facilities serving the Sunbow II property. Adoption of the resolutions will establish a boundary map, provide the proposed rate and method of apportionment for the district, describe the authorized improvements, direct the special tax consultant to prepare the Special Tax Report and set the public hearing for the district for July 11, 2000. (Director of Public Works) Staff recommendation: Council adopt the resolutions. Page 3 - Council Agenda 06/06/2000 6. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING A GRANT OF EASEMENTS AND MAINTENANCE AGREEMENT BETWEEN OTAY PROJECT, LP AND THE CITY FOR THE MAINTENANCE OF PUBLIC LANDSCAPING WITHIN A PORTION OF VILLAGE ONE, OTAY RANCH SPA ONE AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT Adoption of the resolution will approve an agreement with Otay Project, LP setting forth the obligations of the developer and future homeowners association for maintaining certain public landscaping improvements within Village One, Otay Ranch SPA One, "A" Map No. 13592. (Director of Public Works) Staff recommendation: Council adopt the resolution. 7. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING FINAL "B" MAPS FOR CHULA VISTA TRACT NO. 96-04, OTAY RANCH SPA ONE, VILLAGE 5, UNITS 7 AND 11 (PORTIONS OF NEIGHBORHOODS R-34 AND R-37), ACCEPTING ON BEHALF OF THE CITY OF CHULA VISTA THE ASSIGNABLE AND IRREVOCABLE GENERAL UTILITY AND ACCESS EASEMENTS, LOT "A" OF UNIT 7 AND THE 2-FOOT WALL EASEMENT ON UNIT 7, AND APPROVING TWO "B" MAP SUBDIVISION IMPROVEMENT AGREEMENTS AND AUTHORIZiNG THE MAYOR TO EXECUTE SAID AGREEMENTS Adoption of the resolution will give approval of the Final "B" Maps for Units 7 and 11 of Otay Ranch Village 5 (CVT 96-04) and associated agreements. On April 20, 1999, Council approved the agreement for "Financing and Construction of Olympic Parkway and Related Roadway Improvements". The approval of subject Final Maps is consistent with the cumulative equivalent dwelling unit threshold established by said agreement. (Director of Public Works) Staff recommendation: Council adopt resolution. ORAL COMMUNICATIONS Persons speaking during Oral Communications may address the Council on any subject matter within the Council's jurisdiction that is not listed as an item on the agenda. State law generally prohibits the Council from taking action on any issue not included on the agenda, but, if appropriate, the Council may schedule the topic for future discussion or refer the matter to staff Comments are limited to three minutes. BOARD AND COMMISSION RECOMMENDATION 8. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING REQUEST TO FLY THE PRISONER OF WAR (POW) MISSING IN ACTION (MIA) FLAGS ON ALL CITY OF CHULA VISTA FLAGPOLES ON CERTAIN DAYS SUCH AS NATIONAL POW/MIA RECOGNITION DAY, ARMED FORCES DAY, MEMORIAL DAY, FLAG DAY, VETERANS' DAY, AS WELL AS THE LAST BUSINESS DAY BEFORE EACH SAID HOLIDAY Page 4 - Council Agenda 06/06/2000 The goal of the Veterans Commission is to have the City of Chula Vista recognize and remember our POWs and MIAs and their sacrifices in accordance with Federal and Sate legislation. This can be accomplished by flying the legally recognized POW/MIA flag on City of Chula Vista flagpoles on certain days of the year. (Veterans Advisory Commission Liaison) Commission recommendation: Council adopt the resolution. ACTION ITEMS 9. CONSIDERATION OF ADOPTION OF A RESOLUTION APPROVING A DOCUMENT IMAGING CAPITAL IMPROVEMENT PROGRAM During Fiscal Year 1999/2000, the City implemented the LaserFiche document imaging system in the City Clerk's Office to meet records storage and retrieval needs, to preserve vital and permanent documents, and to provide access to imaged records to other departments via the citywide network. Also during Fiscal Year 1999/2000, the Engineering Division of Public Works purchased a scanner for large maps and drawings. The proposed Capital Improvement Program will expand imaging capabilities for the Engineering, Human Resources, Planning and Building, and Police Departments. (Director of Management and Information Services / City Clerk) Staff recommendation: Council adopt the following resolution: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE ESTABLISHMENT OF A DOCUMENT IMAGING CAPITAL IMPROVEMENT PROGRAM AND APPROPRIATING $147,587 FROM THE AVAILABLE FUND BALANCE IN THE GENERAL FUND THEREFOR (4/5THS VOTE REQUIRED) ITEMS PULLED FROM THE CONSENT CALENDAR OTHER BUSINESS 10. CITY MANAGER'S REPORTS A. Scheduling of meetings. 11. MAYOR'S REPORTS 12. COUNCIL COMMENTS A. Deputy Mayor Moot - Comments regarding water services to the City of Chula Vista. ADJOURNMENT to an Adjourned Meeting of the City Council in the Council Conference Room for the purpose of the continued 2000/2001 budget hearings; and thence to an Adjourned Meeting on June 12, 2000 at 6:00 p.m. in the Council Conference Room and thence to a Regular Meeting of June 13, 2000, at 6:00 p.m. in the Council Chambers. Page 5 - Council Agenda 06/06/2000 REVISED FROM PREVIOUS MEMO (Take Off Calendar 5/23 and place on 6/6) April 26, 2000 MEMO TO: City Clerk i '). tL( ,0 FROM: Patty Wesp i ~ {t t; ./'-' , SUBJECT: SPECIAL ORDERS OF THE DAY - JUNE 6, 2000 Presentation to the Environmentalist of the Year for 1999 Doug Reid The Award will be Presented by a representative from the Resource Conservation Commission. Thank you. cc: Armando Buelna Patricia Salva cion Marilyn Ponseggi -- Will make contact with Doug and appropriate Commissioners for presentation. April 19, 2000 MEMO TO: City Clerk FROM: Patty Wesp () & SUBJECT: SPECIAL ORDERS OF THE DAY - *. 2000 Presentation to the Environmentalist of the Year for 1999 Doug Reid The Award will be Presented by a representative from the Resource Conservation Commission. Thank you. cc: Armando Buelna Patricia Salva cion Marilyn Ponseggi June 1, 2000 FROM: Donna Norris, Deputy City Clerk a7 Patricia Salvacion, Mayor/Council office MEMO TO: SUBJECT: SPECIAL ORDERS OF THE DAY - JUNE 6, 2000 Please docket the following proclamation for presentation at the above council meeting: COMMENDING HENRY BARROS UPON RECEIVING SAN DIEGO COUNTY'S MINORITY-OWNED SMALL BUSINESS OF THE YEAR AWARD Mr. Barros is aware that the council meeting starts at 4:00 p.m. Thank you. ~ ~ ft... -.- . - - .....-.:- - - - - CllY OF CHUIA VISTA MEMORANDUM June 1, 2000 To: From: The Honorable Mayor and City Council iff v David D. Rowlands, Jr., City Manager fJ c)\ Subject: Council Meeting of June 6, 2000 This will transmit the agenda and related materials for the regular City Council meeting of Tuesday, June 6, 2000. Comments regarding the Written Communications are as follows: 1 a. This is a letter from the City Attorney stating that to the best of his knowledge from observance of actions taken in Closed Session on May 23, 2000, there were no actions taken which are required under the Brown Act to be reported. IT IS RECOMMENDED THAT THIS LETTER BE RECEIVED AND FILED. 1b. IT IS RECOMMENDED THAT THERESA THOMAS' RESIGNATION FROM THE BOARD OF ETHICS BE ACCEPTED WITH REGRET AND THE CITY CLERK BE DIRECTED TO POST IMMEDIATELY ACCORDING TO THE MADDY ACT IN THE OFFICE OF THE CITY CLERK AND THE PUBLIC LIBRARY. 1c. This is a request from Dulce Maria Alvarez, a student at Bonita Vista High School, requesting financial support to attend the Junior Statesmen Summer School at Stanford University in June. In accordance with Council Policy 159-02, and consistent with past practice (financial support to students attending the Freedoms Foundation meeting in Valley Forge), IT IS RECOMMENDED THAT $50 FROM THE COUNCIL CONTINGENCY FUND BE GRANTED TO THE JUNIOR STATESMEN FOUNDATION TOWARDS MS. ALVAREZ' EXPENSES. DDR:mab ~~t?- :-~: ~~~~ ~~~~ CllY OF CHUlA VISfA OFFICE OF THE CITY ATTORNEY DATE: May 24, 2000 TO: The Honorable Mayor and City Council q,J}1 , FROM: Ann Y. Moore, Senior Assistant City Attorney SUBJECT: Report Regarding Actions Taken in Closed Session for the Meeting of May 23, 2000 The City Council of the City of Chula vista met in Closed Session on May 23, 2000 to discuss: . CONFERENCE WITH LEGAL COUNSEL REGARDING ANTICIPATED LITIGATION PURSUANT TO GOVERNMENT CODE SECTION 54956.9(B) One Case - Claim No. 99-00-009 . CONFERENCE WITH LEGAL COUNSEL REGARDING SIGNIFICANT EXPOSURE TO LITIGATION PURSUANT TO GOVERNMENT CODE SECTION 54956.9(B) One Case . CONFERENCE WITH LEGAL COUNSEL REGARDING EXISTING LITIGATION PURSUANT TO GOVERNMENT CODE SECTION 54956.9(A) Brentwood Mobilehome Park v. city of Chula vista, S26517 The Senior Assistant City Attorney hereby reports to the best of her knowledge from observance of actions taken in the Closed Session in which the Senior Assistant City Attorney participated, that there were no reportable actions which are required under the Brown Act to be reported. AYM: clb H:\Home\Attorney\ClosedSession 276 FOURTH AVENUE. CHULA VISTA. CALIFORNIA 91910. (619) 691-5037. FAX (619) 409-5823 to PoOI.ConsumerAecyc'-df>ape, 1339 Second Avenue Chula Vista, CA 91911 City Clerk Susan Bigelow Office of the City Clerk City ofChula Vista City Hall 276 Fourth Avenue Chula Vista, CA 91910 May 23, 2000 Attention: Juan Gonzales, Chairperson Board of Ethics Carmen Sandoval, Cognizant Staff for Board of Ethics, City Attorney's Office Dear City Clerk Susan Bigelow: It is with deep regret that I inform you that I will not pursue a new reappointment to the Board of Ethics at this time. It is my understanding that since I am currently an active member of the Chula Vista Resource Conservation Commission that I may not also serve on the Board of Ethics within the city. It has been a pleasure meeting with the staff and the members of the Board of Ethics and participating in their workshops over the past years. I thank you for this opportunity to get to know the workings of our great city better and will certainly look forward to the possibility of reappointment sometime in the future. Please express my sincere feelings of gratitude to the members of both the Board of Ethics and also of the City Council and their staffs. Respectfully yours, ~~a~ Teresa (Terry) Thomas Board of Ethics Chula Vista, CA 1999-2000 ._,._-, Dulce M. Alvarez 1008 East J Street Chula Vista, CA 91910 (619) 482-9638 ~~~~4~:~1~ COUNCil OFFICES CHUlA VISTA. CA May 20, 2000 Mayor Shirley Horton City ofChula Vista 276 Fourth Avenue Chula Vista, CA 91910 Dear Mayor Horton, I have been selected to attend The Junior Statesmen Summer School at Stanford University in June 26. This month-long program is limited to 250 outstanding high school students who are interested in politics and government. It is an honor to be selected for the Summer School, and I am excited about attending. I am writing to ask for your financial support to help me attend. At the Summer School, I will be studying college- level Economics and Political Speech Communication with distinguished college professors. We will also have an opportunity to meet and question California's political leaders. The total amount I need in order to attend the Summer School is $2,850. This includes the tuition and room and board. Due to special circumstances, my family cannot afford to pay the entire amount. That is why I am asking you for assistance. A donation of any amount from you to the Junior Statesmen Foundation will make a big difference. The Junior Statesmen Foundation is a 50l(c)(3) educational organization, and your contribution is tax-deductible. Your contribution will be used to help local students like me to attend the Summer School where we will learn how to get involved in government and develop the skills to make a difference. If you are interested in helping me in my efforts, please make a check payable to The Junior Statesmen Foundation with a note identifying the check as a donation raised by Dulce Alvarez, and send it in the enclosed envelope. I am deeply thankful for whatever amount you can send. Be sure that I will use all of my new knowledge and skills to increase my effectiveness as a school and community leader. Thank you very much for your time and consideration. Sincerely, ~2:1~ ~ P.S. I[you'd like to reach me, I'm available after 4:00 p.rn. Dulce M. Alvarez 1008 East J Street Chula Vista, CA 91910 (619) 482-9638 alvarez@ieee.org Education: Class of2001 Bonita Vista High School *Full ill Diploma Candidate *overall weighed GP A 4.53 Class of 1997 Bonita Vista Middle School Awards: 2000 2000 2000 1999-2000 1998-1999 1999 1998 1998 Greater San Diego Science and Engineering Fair- Botany 3rd place Featured in Who's Who Among American High School Students National All Ventures Scholar The San Diego Union-Tribune's All Academic Team for achieving a4.32 GP A and participating in Cross Country Scholastic AII- CIF Selection in recognition of outstanding academic achievement- Girl's Track Dedication Award in Southwestern Swimming Team Most I~roved Student Award in French -Sweetwater Secondary Council BVM 3 place winner in Speech Tournament Extra-Curricular Activities: 1998-2000 Member of Girl's Varsity Cross Country Team 1998-2000 Member of Girl's Varsity Track and Field Team 1998-2000 Member ofCaliforrua Scholarship Federation (CSF) 1996-2000 Principal's Honor Roll in Scholarship and Citizenship 1999 The Summer Reading Program Sweepstakes Winner at the Civic Center Library The Summer Reading Program Sweepstakes Winner at the Civic Center Library Certificates of Merit for Scholarship, Citizenship, and Attendance BVM Participation in the Greater San Diego Inner-City Games Volunteer Service at Chula Vista Public Library 1997 1997 1997 1997 Leadership: 1999-2000 1999-2000 1997-1999 Team Leader Saint Rose of Lima Youth Group Link Crew member Teacher for CCD classes Saint Rose of Lima Church ORDINANCE NO. ~_~ ~C~ · . ,~) AN ORDINANCE OF THE CITY OF C~ VISTA, CALIFORNIA, AMENDING ORDINAN~C~>~5~4 RELATING TO A DEVELOPMENT IMPAC~T~E TO PAY FOR VARIOUS PUBLIC FACILITI~r.(~RIN THE CITY OF CHULA VISTA'S GENERAL~JAREA BOUNDARY WHEREAS, in January 1991, the City Council of the City of Chula Vista adopted Ordinance No. 2432, establishing a development impact fee for public facilities (PFDIF); and WHEREAS, Ordinance No. 2432 was amended by Ordinance No. 2320 and both were superceded by Ordinance No. 2554; and WHEREAS, the current list of public facilities was established in 1990-91 and is now in need of updating; and WHEREAS, the purpose of the PFDIF is to finance and construct public facilities within the City of Chula Vista; and WHEREAS, the impact fee is solely based upon that portion of project costs which are attributable to new development; and WHEREAS, development is considered to take place in accordance with the Phasing Plan established by the City's Planning Department which is subject to change depending on actual development phasing; and .WHEREAS, for the purposes of assigning benefit and apportioning fees, a common Equivalent Dwelling Unit (EDU) factor is used; and WHEREAS, in very limited circumstances, developers of Iow/moderate- income housing may need to prepay their impact fee for up to 500 EDUs, in order to financially protect the public-purpose project; and WHEREAS, the current fee does not include financing costs nor does it offset fees for projected interest earnings; and WHEREAS, the single, most costly PFDIF project - a new police facility - had not been previously included in the PFDIF program; and WHEREAS, the last real fee change occurred in 1990-91, pending a complete fee analysis after annexation of the Otay Ranch; and WHEREAS, that complete fee analysis has now been concluded effective April 2000; NOW, THEREFORE, the City Council of the City of Chula Vista does ordain as follows: SECTION 1: FINDINGS The City Council finds that developers of land within Chula Vista's General Plan area boundary should be required to mitigate the burden created by development through the payment of an impact fee for construction of public facilities within the boundaries of the development and for public facilities outside the boundaries of the development which are needed to provide service to the development in accordance with City standards; and The City Council finds that the legislative findings and determinations set forth in Ordinance No. 2554 continue to be true and correct and incorporate those findings herein; and The City Council finds, after consideration of the evidence presented to it including the "Development Impact Fee for Public Facilities 1999 Update", that certain amendments to Ordinance No. 2554 are necessary in order to assure that there are sufficient funds available to finance public facilities including police and fire facilities necessary to maintain public safety service levels; and The City Council finds, based on the evidence presented at the meeting, the City's General Plan, and the various reports and information received by the City Council in the ordinary course of its business, that the imposition of public facilities impact fees on all development in the eastern territories for which building permits have not been issued is necessary in order to protect the public health, safety and welfare and in order to assure effective implementation of the City's General Plan; and The City Council finds that the amount of the amended fees levied by this ordinance does not exceed the estimated cost of providing the public facilities. SECTION 2: That Sections 3.50.030(c), 3.50.070, and 3.50.090(c) of the Chula Vista Municipal Code are hereby amended to read as follows: 3.50.30 Public Facilities to be Financed by the Fee. (c) The facilities are as follows: Civic Center Expansion Police Department Facilities and Equipment Corporation Yard Relocation/Expansion Library System Expansion Fire Suppression System Expansion Geographic Information System Computer System Upgrades Telecommunication System Upgrade Records Management System 3.50.070 Time to Determine Amount Due. The Fee for each Development shall be calculated at the time of building permit issuance and shall be the amount as indicated at that time and not when the tentative map or final map were granted or applied for, or when the building permit plan check was conducted, or when application was made for the building permit, except that a Developer of a Development Project providing Iow- and/or moderate-income housing in accordance with Section III, Objective 1 of the 1991 Housing Element of the General Plan, may request authorization to prepay the Fee for up to 500 EDUs and said request may be approved at the sole discretion of the City Manager. Upon prepayment, the Developer of said Development Project shall receive EDU credit based on the then current fee. 3.50.090 Amount of Fee. (c) The Fee shall be the following, depending on land use: Land Use Fee Residential $2,618/dwelling unit Commercial/Office $13,090/acre Industrial $13,090/acra Special Land Use $13,090/acre Olympic Training Center $3,273/acre Public Purpose Exempt Non-profit Community Exempt Purpose Facility Special Purpose Project $7,854/acre including For-Prof t Day Care SECTION 3: That Section 3.50.140(b) is hereby added to the Chula Vista Municipal Code as follows: 3.50.140 Developer Construction of Facilities. (b) Unless otherwise stated herein, all Developer Credits shall be calculated on a dollar basis and converted into EDUs at the time building permits are pulled, based on the then current Fee. SECTION 4: That Section 3.50.155 is hereby added to the Chula Vista Municipal Code as follows: Sec. 3.$0.155 Developer Transfer of Credit~ A Developer who, in accordance with the provisions of Sections 3.50.140 and 3.50.150, receives credits aRainst future payments of the Fee for one or more Fee Components may transfer those credits as provided herein to another Developer. (a) The Developer shall provide the City with written notice of such transfer within thirty (30) days. The notice shall provide the following information: · The name of the Developer to whom the credits were transferred: · The dollar value of transferred credits: · The Fee Component(s) against which the credits will be applied: and · The projected rate, by Fiscal Year, that the credits will be applied, until said credits have been fully redeemed. (b) Credits ,qranted to a Developer of a Iow-and/or moderate-income project in accordance with Section 3.50.70, can only be transferred to another Iow- and/or moderate-income Development Project. SECTION 5: Time limit for protest and judicial action Any judicial action or proceeding to attack, review, set aside, void or annul this ordinance shall be brought within the time period as established by law. In accordance with Government Code Section 66020(d)(1), the ninety-day approval period in which parties may protest begins upon the effective date of this ordinance. SECTION 6: This ordinance shall take effect and be in full force on the sixtieth day from and after its second reading and adoption. Presented by Approved as to form by George Krempl UJVo~n M. Kaheny Assistant City Manager City Attorney COUNCIL AGENDA STATEMENT Item -~ Meeting Date 6/6/2000 ITEM TITLE: Resolution Adopting a Boundary Map showing the boundaries of the territory proposed for the inclusion in proposed Community Facilities District No. 2000-! (Sunbow II - Villages Five through Ten) Resolution Declaring its intention to establish Community Facilities District No. 2000-1 (Sunbow II- Villages Five through Ten) and to authorize the levy of a special tax therein to finance the acquisition of certain facilities Resolution Ordering and directing the preparation of a report for proposed Community Facilities District No. 2000-1 (Sunbow II - Villages Five through Ten) Resolution Declaring its intention to issue bonds secured by special taxes to pay for the acquisition of certain facilities in Community Facilities District No. 2000-1 (Sunbow II - Villages Five through Ten) SUBMITTED BY: Director of Public Works~ ACI Sunbow LLC has requested the City to initiate proceedings to form a Community Facilities District No. 2000-1 (CFD 2000-1) for the acquisition or construction of certain facilities serving the Sunbow II property. Tonight's action will establish a boundary map, provide the proposed rate and method of apportionment for the district, describe the authorized improvements, direct the special tax consultant to prepare the Special Tax Report and set the public hearing for the district for Julyl 1, 2000. RECOMMENDATION: It is recommended that Council: 1) Approve the resolution adopting the boundary map for CFD 2000-1. 2) Approve the resolution declaring the intention to establish CFD 2000-1 and to levy a special tax to finance certain facilities. 3) Approve the resolution ordering and directing the preparation of the "Report" for CFD 2000-1. 4) Approve the resolution declaring intention of issuing bonds for financing the acquisition of facilities in CFD 2000-1. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. Page 2, Item __ Meeting Date 6/6/00 DISCUSSION: ACI Sunbow LLC has formally petitioned the City to form Communities District No. 2000-1 (CFD 2000-1) pursuant to the Mello-Roos Act of 1982 for financing the construction and/or acquisition of certain improvements serving the Sunbow II property in eastern Chula Vista. On May 2, 2000, Council approved the initiation of proceedings to consider the formation of CFD 2000-1. On May 16, 2000, Council approved a reimbursement agreement with ACI Sunbow LLC and approved agreements with a financing team of six consultants to perform services related to the formation of the district. Community Facilities Districts provide the necessary funding for the acquisition of public improvements by levying an annual "special tax", which is collected from the property owners in conjunction with the property taxes. There is no direct cost to City. All expenses related to the district administration (including levying and collecting the special taxes) are funded by the district. The ultimate security behind the bonds are the properties located within the district, not the City's General Fund or its ability to tax property within its jurisdiction. The district will be formed in conformance with the "City of Chula Vista Statement of Goals and Policies Regarding the Establishment of Community Facilities Districts" (CFD Policy). District Boundaries Exhibit IA presents the boundaries of the proposed CFD, which includes portions of parcels located within Villages Five through Ten owned by the developer (Sunbow). At buildout, the district would contain a total of 595 Single Family Residences and approximately a 10.0 acre school site, as shown on the Tentative Tract No. 90-7, approved by the City on May 3, 1990. Minor adjustments in the boundaries of the Planning Area may be made by the CFD Administrator to conform to the Final Residential Subdivision for these areas. The boundaries encompass parcels that are contiguous with Telegraph Canyon on the north and Olympic Parkway on the south. Exhibit 1B presents the existing Assessor's parcels that bisected by this formation. The Assessor's parcels are as modified by the Phase lC - Map 13917 that creates legal parcels for the purposes of forming this CFD. The Improvements The finance team has prepared a preliminary "2% maximum tax" analysis based on estimated house size and prices (Exhibit 2). This analysis sets the amount of the maximum special tax that may be levied by CFD 2000-1. The proposed taxes are discussed below in the section "Proposed Special Taxes". Additional calculations show that the maximum tax revenues (using the proposed taxes) from all the properties within the district would support the total bond indebtedness orS 7.4 million (assuming a 7% interest and a 30- year term on the bonds). A bond sale amount of $7.4 million will Page 3, Item __ Meeting Date 6/6/00 finance approximately $6.4 million in facilities. The balance will provide for a reserve fund, capitalized interest, pay district formation, underwriter and bond issuance costs. The developer is proposing to finance portions of the backbone streets and associated improvements, public facilities DIF improvements. Exhibit 3 show the preliminary list of facilities with a total cost estimate of $19.5 million. Tonight, the City Council would only be approving the general nature of the improvements to be financed by CFD 2000-1. As noted above, it is estimated that only $6.4 million of the facilities may be available for funding by the district. The actual amount to be financed by CFD 2000-1 would depend upon a number of factors including final interest rates on the bonds and value to lien ratio. The final amount may be higher than the 7.4 million mentioned above. The final bond sale amount will be a function of both the interest rate and the tax generation capacity of the land. Staff recommends that tonight, Council approve a bond authorization amount not to exceed $15 million which is specified in the "Resolution of Intention to Issue Bonds" that is before Council tonight. Staff recommends that the bond authorization amount be more than the anticipated $7.4 million to provide flexibility in the CFD formation process. The final amount of bonds to be sold will be presented to Council in conjunction with the acquisition and financing agreement. The developer concurs with staff's recommendation. Proposed Maximum Special Taxes Tonight, Council would be approving the "Rate and Method of Apportionment" ("RMA") which establishes the procedure for levying the special taxes in CFD 2000-1. The district's RMA includes the following descriptions: A. Assignment to Land Use Categories Each Fiscal Year, all Taxable Property within CFD No. 2000-1 shall be classified as Developed Property, Taxable Property Owner Association Property, or Undeveloped Property, and shall be subject to the levy of annual Special Taxes determined pursuant to Sections C and D. 1. Developed Property The Maximum Annual Special Tax for each Assessor's Parcel classified as Developed Property shall be the amount shown in Table 1 below: TABLE 1 Maximum Annual Special Tax for Developed Property Land Use Class Description Maximum Annual Special Tax 1 Residential Property $.44 per square foot of Residential Floor Area -T T I · 1 I Page 4, Item __ Meeting Date 6/6/00 2. Undeveloped Property and Taxable Property Owner Association Property The Maximum Annual Special Tax for each Assessor's Parcel classified as Undeveloped Property and Taxable Property Owner Association Property shall be the amounts shown in Table 2 below: TABLE 2 Maximum Annual Special Tax for Undeveloped Property and Taxable Property Owner Association Property Land Use Class Description Maximum Annual Special Tax 2 Undeveloped Property $7,851 per Acre 3 Taxable Property Owner Association $7,851 per Acre Property Collection of Taxes A. Method of Apportionment of the Special Tax Commencing with Fiscal Year 2000-2001 and for each following Fiscal Year, the Council shall determine the Special Tax Requirement and shall levy the Special Tax until the amount of Special Taxes equals the Special Tax Requirement. The Special Tax shall be levied each Fiscal Year as follows: First: The Special Tax shall be levied proportionately on each Assessor's Parcel of Developed Property at up to 100% of the applicable Maximum Annual Special Tax to satisfy the Special Tax Requirement. .Second: If additional monies are needed to satisfy the Special Tax Requirement after the first step has been completed, the Special Tax shall be levied Proportionately on each Assessor's Parcel of Undeveloped Property at up to 100% of the Maximum Annual Special Tax for Undeveloped Property. Third: If additional monies are needed to satisfy the Special Tax Requirement after the first two steps have been completed, then the Special Tax shall be levied Proportionately on each Assessor's Parcel of Taxable Property Owner Association Property at up to 100% of the Maximum Annual Special Tax for Taxable Property Owner Association Property. Page 5, Item __ Meeting Date 6/6/00 Notwithstanding the above, under no circumstances will the Special Tax levied against any Assessor's Parcel of Occupied Residential Property be increased by more than ten percent per year, not to exceed the applicable Maximum Annual Special Tax, as a consequence of delinquency or default in the payment of Special Taxes by the owner of any other Assessor's Parcel of CFD No. 2000-1. TABLE 3 Expected Development and Special Tax Revenue by Planning Area EXPECTED TOTAL ANNUAL PERCENT PLANNING EXPECTED NUMBER RESIDENTIAL SPECIAL OF TOTAL AREA PRODUCT TYPE OF UN1TS FLOOR AREA TAX REVENUE REVENUE Village 5 Residential Property 144 units 403,200 $177,408 26.94% Village 6 Residential Property 102 units 234,600 103,224 15.68% Village 7 Residential Property 112 units 313,600 137,984 20.96% Village 8 Residential Property 55 units 126,500 55,660 8.45% Village 9 Residential Property 79 units 181,700 79,948 12.14% Village 10 Residential Property 103 units 236,900 104,236 15.83% TOTAL 595 units $658,460 100.00% Value to Lien Ratio Policy Council policy requires a minimum 4:1 value-to-lien ratio. A ratio of less that 4:1, but equal to or greater that 3:1, may be approved, in the sole descretion of Council, when it is determined that a ratio of less than 4:1 is financially prudent under the circumstances of a particular CFD. A final appraisal and lien ratio analysis would be available for Council consideration prior to bond sale, which is planned for September 1999. If the final analysis shows parcels which fail to meet the 4:1 or 3:1 ratio, the developer would be required to either: · Provide cash or letters of credit to maintain the lien ratio within the City criteria; or · The principal amount of the bonds to be issued for CFD 99-1 will be reduced to comply with City policy; or, · Provide sufficient information to convince Council that a lesser lien ratio is prudent. Maximum Tax Policy Council Policy establishes that the maximum annual CD special taxes applicable to any newly developed residential property shall be no more that 1% of the sale price of the house. In addition, the aggregate of all annual taxes and assessments is limited to 2% of the sale price of the house. Page 6, Item __ Meeting Date 6/6/00 A preliminary calculation of the maximum tax, using estimated house prices, has been completed and all homes fall within the 2% limit (see Exhibit 2). A final test will be performed at escrow closing using all actual sale price of the house. Council Policy requires that at or prior to each closing of escrow, the escrow company shall apply a "calculation formula" previously approved by the City Engineer to determine the aggregate of regular County taxes, Mello-Roos taxes, and assessment installments. If the 2% limit is exceeded, the developer would be required to provide cash to buy down the lien to an amount sufficient to meet the 2% tax ceiling. Compliance with this procedure would ensure that the aggregate tax to be paid by the purchaser of the house meets the City's criteria. Since the 2% limit is a City policy the limit is not being included in the rate and method of the district. Resolutions Then are four resolutions on today's agenda, which, if adopted, will accomplish the following: The RESOLUTION ADOPT1NG THE BOUNDARY MAP is the formal action adopting the map and setting forth the boundaries of the proposed CFD 2000-1. The RESOLUTION OF INTENTION is the jurisdictional resolution declaring the intention on the City Council to establish the proposed CFD, authorize the levy of a special tax, and set the time and place for the public hearing for July 11, 2000. The RESOLUTION OF ORDERING THE "REPORT" is the formal action of the City Council directing the preparation of a detailed report containing a description of the facilities and its estimated cost. The RESOLUTION OF DECLARING INTENTION TO ISSUE BONDS is the formal declaration of the City Council determining that the public convenience and necessity requires that a bond indebtedness be incurred to finance certain public facilities proposed by CFD 2000-1. The bond amount of $15 million approved by this resolution is a maximum authorization. The actual amount of the bond sale will depend upon a number of factors including interest rate on the bonds and compliance with the value-to-lien ratio criteria. Future Actions Adoptions of tonight's resolutions will set the district's public hearing for July 11, 2000. Them will be an election following the public hearing for the landowners to vote on the district's formation. Once the votes are cast, Council will be requested to certify the election and the district will be formed. Page 7, Item __ Meeting Date 6/6/00 Fiscal Impact The developer will pay all costs and has deposited money to fund initial consultant and City staff costs in accordance with the Reimbursement Agreement. Such monies are eligible for reimbursement upon a successful sale of bonds. The City will receive the benefit of the full cost recovery for City staff (estimated range of $25-40,000). In accordance with the CFD policy, as consideration for the City's agreement to use the City's bonding capacity to provide the financing mechanism for the construction of the proposed improvements, the developer will pay one percent (1%) of the total bond authorization. Said requirements will be memorialized in the Acquisition/Financing Agreement that will be brought to Council at a later date. Based on a bond sale amount of $7.4 million, said monetary compensation would be $74,000. Said amount shall be paid prior to bond sale (tentatively scheduled in September 2000) and will be deposited into the General Fund. The "CFD Policy" also stipulates that said compensation is not eligible for financing by CFD 2000-1. Exhibits: iA. Proposed Boundary Map lB. Assessor's Parcel Map 2. 2% Tax Analysis - Table 3. List of Improvements H:\SHARED\ENGINEER\CFD2000\A113 Sunbow2000-1_mms. DOC 5/31/00 2:02:43 PM Proposed List of Improvements To be financed by Community Facilities District No. 2000-1 Public Agency Proposed Improvement List Total Estimated Cost A. CCV Telegraph Canyon Road $ 2,511,041.42 B. CCV Medical Center Rd/Brandywine $ 3,253,492.66 C CCV East Palomar Street-Phases IA $ 1,672,569.21 D. CCV Off-site Sewer $ 1,034,980.40 E. CCV East Palomar Street - Phase IB $ 1,888,932.00 F. CCV Olympic Prkwy - W. of Brandywine $ 1,500,000.00 G. CCV East Palomar - Phases IC&IIA $ 1,632,940.00 H. CCV Paseo.Ladera $ 2,783,135.00 I. CCV Medical Center Court $ 432,110.00 J. CCV Public Facilities D1F $ 2,831,858.00 Total estimated costs: $ 19,541,158.69 CCV = City of Chula Vista RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ADOPTING A BOUNDARY MAP SHOWING THE BOUNDARIES OF THE TERRITORY PROPOSED FOR THE iNCLUSION iN PROPOSED COMMUNITY FACILITIES DISTRICT NO. 2000-1 (SUNBOW li - VILLAGES 5 THROUGH 10) WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA ("City Council"), desires to initiate proceedings to create a Community Facilities District pursuant to the terms and provisions of the "Mello-Roos Community Facilities Act of 1982", being Chapter 2.5, Part 1, Division 2, Title 5 of the Government Code of the State of California (the "Act") and the City of Chula Vista Community Facilities District Ordinance enacted pursuant to the powers reserved by the City of Chula Vista under Sections 3, 5 and 7 of Article XI of the Constitution of the State of California (the "Ordinance") (the Act and the Ordinance may be referred to collectively as the "Community Facilities District Law"). This Community Facilities District shall hereinafter be designated as COMMUNITY FACILITIES DISTRICT NO. 2000-1 (SUNBOW II - VILLAGES 5 THROUGH I0) (the "District"); and, WHEREAS, there has been submitted a map showing the boundaries of the territory proposed for inclusion in the District including properties and parcels of land proposed to be subject to the levy ora special tax by the District. NOW, THEREFORE, IT IS HEREBY RESOLVED: SECTION 1. The above recitals are all true and correct. SECTION2. The map designated as "BOUNDARIES OF COMMUNITY FACILITIES DISTRICT NO. 2000-1 (SUNBOW II - VILLAGES 5 THROUGH 10)" showing the boundaries of the territory proposed for inclusion in the District including properties and parcels of land proposed to be subject to the levy of a special tax by the District. SECTION 3. A certificate shall be endorsed on the original and on at least one (1) copy of the map of the District, evidencing the date and adoption of this Resolution, and within fifteen (15) days after the adoption of the Resolution fixing the time and place of the hearing on the formation or extent of such District, a copy of such map shall be filed with the correct and proper endorsements thereon with the County Recorder, all in the manner and form provided for in Sections 3110 and 3111 of the Streets and Highways Code of the State of California. PREPARED BY: APPROVED AS TO FORM BY: John P. Lippitt John Kaheny Director of Public Works City Attorney 2 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, DECLARING ITS INTENTION TO ESTABLISH COMMUNITY FACILITIES DISTRICT NO. 2000-1 (SUNBOW II VILLAGES 5 THROUGH 10) AND TO AUTHORIZE THE LEVY OF A SPECIAL TAX THEREIN TO FINANCE THE ACQUISITION OF CERTAIN FACILITIES WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA (the "City Council"), at this time desires to initiate proceedings to create a Community Facilities District pursuant to the terms and provisions of the "Mello-Roos Community Facilities Act of 1982', being Chapter 2.5, Part 1, Division 2, Title 5 of the Government Code of the State of California (the "Act") and the City of Chula Vista Community Facilities District Ordinance enacted pursuant to the powers reserved by the City of Chula Vista under Sections 3, 5 and 7 of Article XI of the Constitution of the State of California (the "Ordinance") (the Act and the Ordinance may be referred to collectively as the "Community Facilities District Law"). This Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 2000-1 (SUNBOW 11 - VILLAGES 5 THROUGH 10) (the "District"); and, WHEREAS, this City Council is now required to proceed to adopt its Resolution of Intention to initiate the proceedings for the establishment of such District, to set forth the boundaries for such District, to indicate the type of public facilities the acquisition of which is proposed to be financed by such District, to indicate the rate and apportionment of a special tax sufficient to finance the acquisition of such facilities and the administration of the District and any indebtedness incurred by the District and to set a time and place for a public hearing relating to the establishment of such District; and WHEREAS, a map of such District has been submitted showing the boundaries of the territory proposed for inclusion in the District including properties and parcels of land proposed to be subject to the levy of a special tax by the District. NOW, THEREFORE, IT IS HEREBY RESOLVED: RECITALS SECTION 1. The above recitals are all true and correct. INITIATION OF PROCEEDINGS SECTION 2. These proceedings are initiated by this City Council pursuant to the authorization of Section 53318 of the Government Code of the State of California. BOUNDARIES OF DISTRICT SECTION 3. It is the intention of this City Council to establish the District pursuant to the provisions of the Community Facilities District Law, and to determine the boundaries and parcels on which special taxes may be levied to finance the acquisition of certain facilities. A description of the boundaries of the territory proposed for inclusion in the District including properties and parcels of land proposed to be subject to the levy of a special tax by the District is as follows: All that property as shown on a map as previously approved by this City Council, such map designated by the name of this District, a copy of which is on file in the Office of the City Clerk and shall remain open for public inspection. NAME OF DISTRICT SECTION4. The proposed District shall be known and designated as COMMUNITY FACILITIES DISTRICT NO. 2000-1 (SUNBOW II - VILLAGES 5 THROUGH 10). DESCRIPTION OF FACILITIES SECTION 5. It is the further intention of this City Council to finance the acquisition of certain facilities. A general description of the type of facilities to be acquired is set forth in Exhibit A attached hereto and incorporated herein by this reference. The facilities are facilities which this legislative body is authorized by law to contribute revenue to or to construct, own or operate. It is hereby further determined that the proposed facilities are necessary to meet increased demands and needs placed upon the City and other public agencies as a result of development within the District. The cost of acquiring the facilities includes incidental expenses including but not limited to the costs of planning and designing the facilities; all costs associated with the establishment of the District, the issuance and administration of bonds, including the payment of any rebate obligation due and owing to the federal government, the determination of the amount of any special taxes to be levied, the costs of collecting any special taxes, and costs otherwise incurred in order to carry out the authorized purposes of the District, together with any other expenses incidental to the acquisition, construction, completion and inspection of the facilities SPECIAL TAX SECTION 6. It is hereby further proposed that, except where funds are otherwise available, a special tax sufficient to pay for such facilities and related incidental expenses authorized by the Community Facilities District Law, secured by recordation of a continuing lien against all non- exempt real property in the District, will be levied annually within the boundaries of such District. Under no circumstances will the special tax levied against any parcel used for private residential purposes be increased as a consequence of delinquency or default by the owner of any other parcel or parcels within the District by more than 10 percent. For further particulars as to the rate and method of apportionment of the proposed special tax, reference is made to the attached and incorporated Exhibit B, which sets forth in sufficient detail the method of apportionment to allow each landowner or resident within the proposed District to clearly estimate the maximum amount that such person will have to pay. The special taxes herein authorized, to the extent possible, shall be collected in the same manner as ad valorem property taxes and shall be subject to the same penalties, procedure, sale and lien priority in any case of delinquency as applicable for ad valorem taxes. Any special taxes that may not be collected on the County tax roll shall be collected through a direct billing procedure by the Treasurer. PUBLIC HEARING SECTION7. NOTICE IS GIVEN THAT ON THE I1TH DAY OF JULY, 2000, AT THE HOUR OF 6:00 O'CLOCK P.M., IN THE REGULAR MEETING PLACE OF THE CITY COUNCIL BEING THE COUNCIL CHAMBERS, CITY HALL, LOCATED AT 276 E STREET, CHULA VISTA, CALIFORNIA, A PUBLIC HEARING WILL BE HELD WHERE THIS CITY COUNCIL WILL CONSIDER THE ESTABLISHMENT OF THE PROPOSED DISTRICT, THE PROPOSED METHOD AND APPORTIONMENT OF THE SPECIAL TAX, AND ALL OTHER MATTERS AS SET FORTH 1N THIS RESOLUTION OF INTENTION. THAT AT THE ABOVE-MENTIONED TIME AND PLACE FOR PUBLIC HEARING ANY PERSONS INTERESTED, INCLUDING TAXPAYERS AND PROPERTY OWNERS MAY APPEAR AND BE HEARD, AND THAT THE TESTIMONY OF ALL INTERESTED PERSONS FOR OR AGAINST THE ESTABLISHMENT OF THE DISTRICT, THE EXTENT OF THE DISTRICT, OR THE FINANCING OF THE FACILITIES, WILL BE HEARD AND CONSIDERED. ANY PROTESTS MAY BE MADE ORALLY OR IN WRITING. HOWEVER, ANY PROTESTS PERTAINING TO THE REGULARITY OR SUFFICIENCY ' OF THE PROCEEDINGS SHALL BE IN WRITING AND CLEARLY SET FORTH THE IRREGULARITIES AND DEFECTS TO WHICH THE OBJECTION IS MADE. ALL WRITTEN PROTESTS SHALL BE FILED WITH THE CITY CLERK OF THE CITY COUNCIL ON OR BEFORE THE TIME FIXED FOR THE PUBLIC HEARING. WRITTEN PROTESTS MAY BE WITHDRAWN IN WRITING AT ANY TIME BEFORE THE CONCLUSION OF THE PUBLIC HEARING. IF A WRITTEN MAJORITY PROTEST AGAINST THE ESTABLISHMENT OF THE DISTRICT IS FILED, THE PROCEEDINGS SHALL BE ABANDONED. IF SUCH MAJORITY PROTEST IS LIMITED TO CERTAIN FACILITIES OR PORTIONS OF THE SPECIAL TAX, THOSE FACILITIES OR THAT TAX SHALL BE ELIMINATED BY THE CITY COUNCIL. ELECTION SECTION 8. If, following the public heating described in the Section above, the City Council determines to establish the District and proposes to levy a special tax within the District, the City Council shall then submit the levy of the special taxes to the qualified electors of the District. If at least twelve (12) persons, who need not necessarily be the same twelve (12) persons, have been registered to vote within the District for each of the ninety (90) days preceding the close of the public hearing, the vote shall be by registered voters of the District, with each voter having one (1) vote. Otherwise, the vote shall be by the landowners of the District who were the owners of record at the close of the subject hearing, with each landowners or the authorized representative thereof, having one (1) vote for each acre or portion of an acre of land owned within the District. NOTICE SECTION 9. Notice of the time and place of the public hearing shall be given by the City Clerk by causing the publication of a Notice of Public Heating in the legally designated newspaper of general circulation, such publication pursuant to Section 6061 of the Government Code, with such publication to be completed at least seven (7) days prior to the date set for the public hearing. RESERVATION OF RIGHTS TO AUTHORIZE TENDER OF BONDS SECTION 10. The City Council reserves to itself, in its capacity as the legislative body of the District if formed, the right and authority to allow any interested owner of property within the District, subject to the provisions of Government Code Section 53344.1 and to such conditions as this City Council may impose, and any applicable prepayment penalties as may be described in the bond indenture or comparable instrument or document, to tender to the Treasurer of the City of Chula Vista, acting for and on behalf of the District, in full payment or part payment of any installment of' the special taxes or the interest or penalties thereon which may be due or delinquent, but for which a bill has been received, any bond or other obligation secured thereby, the bond or other obligation to be taken at par and credit to be given for the accrued interest shown thereby computed to the date of tender. ADVANCES OF FUNDS OR WORK-IN-KIND SECTION 11. At any time either before or after the formation of the District, the City Council may accept advances of funds or work-in-kind from any source, including, but not limited to, private persons or private entities and may provide, by resolution, for the use of those funds or that work-in-kind for any authorized purpose, including, but not limited to, paying any cost incurred by the City in creating the District. The City may enter into an agreement, by resolution, with the person or entity advancing the funds or work-in-kind, to repay all or a portion of the funds so advanced, or to reimburse the person or entity for the value, or cost, whichever is less, of the work-in-kind, as determined by the City Council. The City has entered into a Community 4 Facilities District Reimbursement Agreement with ACI Sunbow LLC to provide for such advances for the payment of all non-contingent initial consulting and administration costs and expenses related to the proceedings to consider the formation of the District and to subsequently authorize, issue and sell bonds for the District. Such advances are subject to reimbursement pursuant to the terms of such agreement. No such agreement shall constitute a debt or liability of the City. PREPARED BY: APPROVED AS TO FORM BY: John P. Lippitt John Kaheny Director of Public Works City Attorney 5 Proposed List of Improvements To be financed by Community Facilities District No. 2000-1 Public Agency Proposed Improvement List Total Estimated Cost A. CCV Telegraph Canyon Road $ 2,511,041.42 B. CCV Medical Center Rd/Brandywine $ 3,253,492.66 C. CCV East Palomar Street-Phases IA $ 1,672,569.21 D. CCV Off-site Sewer $ 1,034,980.40 E. CCV East Palomar Street - Phase lB $ 1,888,932.00 F. CCV Olympic Prkwy - W. of Brandywine $ 1,500,000.00 G. CCV East Palomar - Phases IC&IIA $ 1,632,940.00 H. CCV Paseo Ladera $ 2,783,135.00 I. CCV Medical Center Court $ 432,110.00 J. CCV Public FacilitiesDl~ $ 2,831,858.00 Totalestimated costs: $ 19,541,158.69 CCV = City of Chula Vista T I m ~ r EXHIBIT B RATE AND METHOD OF APPORTIONMENT FOR CITY OF CHULA VISTA COMMUNITY FACILITIES DISTRICT NO. 2000-1 (Sunbow II - Villages 5 thru 10) A Special Tax as hereinafter defined shall be levied on all Assessor's Parcels of Taxable Property within the City of Chula Vista Community Facilities District No. 2000-1 ("CFD No. 2000-1") and collected each Fiscal Year commencing in Fiscal Year 2000-2001, in an amount determined by the City Council through the application of the appropriate Special Tax for "Developed Property," "Taxable Property Owner Association Property," and "Undeveloped Property" as described below. All of the real property in CFD No. 2000-1, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided. A. DEFINITIONS The terms hereinafter set forth have the following meanings: "Acre or Acreage" means the land area of an Assessor's Parcel as shown on an Assessor's Parcel Map, or if the land area is not shown on an Assessor's Parcel Map, the land ama shown on the applicable final map, parcel map, condominium plan, record of survey, or other recorded document creating or describing the parcel. If the preceding maps am not available or are in conflict, the Acreage shall be determined by the City Engineer. "Act" means the Mello-Roos Community Facilities Act of 1982, as amended, being Chapter 2.5, Division 2 of Title 5 of the Government Code of the State of California. "Administrative Expenses" means the following actual or reasonably estimated costs directly related to the administration of CFD No. 2000-1 including, but not limited to, the following: the costs of computing the Special Taxes and preparing the annual Special Tax collection schedules (whether by the City or designee thereof or both); the costs of collecting the Special Taxes (whether by the County, the City, or otherwise); the costs of remitting the Special Taxes to the Trustee; the costs of the Trustee (including its legal counsel) in the discharge of the duties required of it under the Indenture; the costs to the City, CFD No. 2000-1 or any designee thereof of complying with arbitrage rebate requirements; the costs to the City, CFD No. 2000-1 or any designee thereof of complying with City, CFD No. 2000-1 or obligated persons disclosure requirements associated with applicable federal and state securities laws and of the Act; the costs associated with preparing Special Tax disclosure statements and responding to public inquiries regarding the Special Taxes; the costs of the City, CFD No. 2000-1 or any designee thereof related to an appeal of the Special Tax; and the costs associated with the release of funds from an escrow account, if any. Administrative Expenses shall also include amounts estimated or advanced by the City or CFD No. 2000-1 for any other administrative purposes of CFD No. 2000-1, including attorney's fees and other costs related to commencing and pursuing to completion any foreclosure of delinquent Special Taxes. City of Chula Vista May 28, 2000 Community Facilities District No. 2000-1 Page 1 T "Assessor's Parcel" means a lot or parcel shown in an Assessor's Parcel Map with an assigned Assessor's Parcel number. "Assessor's Parcel Map" means an official map of the County Assessor of the County designating parcels by Assessor's Parcel number. "Available Funds" means the balance in the reserve fund established pursuant to the terms of the Indenture in excess of the reserve requirement as defined in such Indenture, delinquent special tax payments, foreclosure proceeds, the portion of proceeds of Backup Special Tax payments and Special Tax prepayments collected to pay interest on Bonds, and other sources of funds available as a credit to the Special Tax Requirement as specified in such Indenture. "Backup Special Tax" means the Special Tax that is required to be paid as a condition precedent to the issuance of building permits or recordation of final maps, as determined in accordance with Section E below. "Bonds" means any bonds or other debt (as defined in the Act), whether in one or more series, issued by CFD No. 2000-1 under the Act. "CFD Administrator" means an official of the City, or designee thereof, responsible for determining the Special Tax Requirement and providing for the levy and collection of the Special Taxes. "CFD No. 2000-1" means City of Chula Vista Community Facilities District No. 2000-1 (Sunbow II - Villages 5 thru 10). "City" means the City of Chula Vista. "Council" means the City Council of the City, acting as the legislative body of CFD No. 2000-1. "County" means the County of San Diego. "Developed Property" means, for each Fiscal Year, all Taxable Property, exclusive of Taxable Property Owner Association Property, for which a building permit for new construction was issued prior to March 1 of the prior Fiscal Year. "Development Projection" means an annual calculation for each Planning Area of CFD No. 2000-1 of: (i) the number and total Residential Floor Area of existing dwelling units of Residential Property, and (ii) a projection of all future development, including the acreage, projected number of residential dwelling units, projected Residential Floor Area, and an absorption schedule for all future development within CFD No. 2000-1. The Development Projection shall be dated as of March I and prepared each Fiscal Year by the Master Developer. Upon submittal, the CFD Administrator shall review, modify if necessary, and City of Chula Vista May 28, 2000 Comtnunity Facilities District No. 2000-1 Page 2 approve the Development Projection. If the Development Projection is not received by the CFD Administrator on or before April 1, the CFD Administrator shall then prepare or cause to be prepared a Development Projection. "Final Residential Subdivision" means a subdivision of property created by recordation of a final map, parcel map, or lot line adjustment, approved by the City pursuant to the Subdivision Map Act (California Government Code Section 66410 et seq.) or recordation of a condominium plan pursuant to California Civil Code 1352 that creates individual lots for which residential building permits may be issued without further subdivision of such property. "Fiscal Year" means the period starting July 1 and ending on the following June 30. "Indenture" means the indenture, fiscal agent agreement, trust agreement, resolution or other instrument pursuant to which Bonds are issued, as modified, amended and/or supplemented from time to time, and any instrument replacing or supplementing the same. "Land Use Class" means any of the classes listed in Tables 1 and 2 of Section C. "Master Developer" means the owner of the predominant amount of Undeveloped Property in CFD No. 2000-1. "Maximum Annual Special Tax" means the maximum annual Special Tax, determined in accordance with the provisions of Section C below, that may be levied in any Fiscal Year on any Assessor's Parcel of Taxable Property. "Occupied Residential Property" means all Assessors' Parcels of Residential Property which have closed escrow to an end user (homeowners). "Outstanding Bonds" means all Bonds which remain outstanding. "Planning Area(s)" means Village 5, Village 6, Village 7, Village 8, Village 9, and Village 10 as shown on Tentative Tract No. 90-7'approved by the City on May 3, 1990. Minor adjustments in the boundaries of the Planning Areas may be made by the CFD Administrator to conform to the Final Residential Subdivision for these areas. "Property Owner Association Property" means any property within the boundaries of CFD No. 2000-1 owned by or dedicated to a property owner association, including any master or sub-association, "Proportionately" means for Developed Property that the ratio of the actual Special Tax levy to the Maximum Annual Special Tax is equal for all Assessor's Parcels of Developed Property within CFD No. 2000-1. For Undeveloped Property, "Proportionately" means that the ratio of the actual Special Tax levy per Acre to the Maximum Annual Special Tax per Acre is equal for all Assessor's Parcels of Undeveloped Property within CFD No. 2000-1. City of Chula Vista May 28, 2000 Community Facilities District No. 2000-1 Page 3 "Public Property" means any property within the boundaries of CFD No. 2000-1 that is used for rights-of-way or any other purpose and is owned by or dedicated to the federal government, the State of California, the County, the City or any other public agency. "Residential Property" means all Assessor's Parcels of Developed Property for which a building permit has been issued for purposes of constructing one or more residential dwelling units. "Residential Floor Area" means all of the square footage of living area within the perimeter of a residential structure, not including any carport, walkway, garage, overhang, patio, enclosed patio, or similar area. The determination of Residential Floor Area shall be made by reference to appropriate records kept by the City's Planning and Building Department. Residential Floor Area will be based on the building permit(s) issued for each dwelling unit prior to it being classified as Occupied Residential Property, and shall not change as a result of additions or modifications made after such classification as Occupied Residential Property. "Special Tax" means the: (i) annual special tax to be levied in each Fiscal Year on each Assessor's Parcel of Taxable Property to fund the Special Tax Requirement pursuant to Section D, and (ii) the Backup Special Tax that may be required as a result of changes in development. "Special Tax Requirement" means that amount required in any Fiscal Year for CFD No. 2000-1 to: (i) pay annual debt service on all Outstanding Bonds as defined in Section A.; (ii) pay periodic costs on the Bonds, including but not limited to, credit enhancement and rebate payments on the Bonds; (iii) pay Administrative Expenses; (iv) pay any amounts required to establish or replenish any reserve funds for all Outstanding Bonds in accordance with the Indenture; (v) and pay directly for acquisition and/or construction of facilities, which are authorized to be financed by CFD No. 2000-1; (vi) less a credit for Available Funds. "State" means the State of California. "Taxable Property" means all of the Assessor's Parcels within the boundaries of CFD No. 2000-1 which are not exempt from the Special Tax pursuant to law or Section F below. "Taxable Property Owner Association Property" means all Assessor's Parcels of Property Owner Association Property that are not exempt pursuant to Section F below. "Trustee" means the trustee, fiscal agent, or paying agent under the Indenture. ~'Undeveloped Property" means, for each Fiscal year, all Taxable Property not classified as Developed Property or Taxable Property Owner Association Property. City of Chula Vista May 28, 2000 Community Facilities District No. 2000-1 Page 4 B. ASSIGNMENT TO LAND USE CATEGORIES Each Fiscal Year, all Taxable Property within CFD No. 2000-I shall be classified as Developed Property, Taxable Property Owner Association Property, or Undeveloped Property, and shall be subject to the levy of annual Special Taxes determined pursuant to Sections C and D below. Co MAXIMUM ANNUAL SPECIAL TAX RATE 1. Developed Property The Maximum Annual Special Tax for each Assessor's Parcel classified as Developed Property shall be the amount shown in Table 1 below: TABLE 1 Maximum Annual Special Tax for Developed Property Land Use Class Description Maximum Annual Special Tax 1 Residential Property $.44 per square foot of Residential Floor Area 2. Undeveloped Property and Taxable Property Owner Association Property The Maximum Annual Special Tax for each Assessor's Parcel classified as Undeveloped Property and Taxable Property Owner Association Property shall be the amounts shown in Table 2 below: TABLE 2 Maximum Annual Special Tax for Undeveloped Property and Taxable Property Owner Association Property Land Use Class Description Maximum Annual Special Tax 2 Undeveloped Property $7,851 per Acre 3 Taxable Property Owner Association $7,851 per Acre Property D. METHOD OF APPORTIONMENT OF THE SPECIAL TAX Commencing with Fiscal Year 2000-2001 and for each following Fiscal Year thereafter until the 2035/2036 Fiscal Year as provided for in Section J, the Council shall determine the Special Tax Requirement and shall levy the Special Tax until the amount of Special City of Chula Vista May 28, 2000 Community Facilities District No. 2000-1 Page 5 Taxes equals the Special Tax Requirement. The Special Tax shall be levied each Fiscal Year as follows: First: The Special Tax shall be levied Proportionately on each Assessor's Parcel of Developed Property at up to 100% of the applicable Maximum Annual Special Tax to satisfy the Special Tax Requirement. Second: If additional monies are needed to satisfy the Special Tax Requirement after the first step has been completed, the Special Tax shall be levied Proportionately on each Assessor's Parcel of Undeveloped Property at up to 100% of the Maximum Annual Special Tax for Undeveloped Property. Third: If additional monies are needed to satisfy the Special Tax Requirement after the first two steps have been completed, then the Special Tax shall be levied Proportionately on each Assessor's Parcel of Taxable Property Owner Association Property at up to 100% of the Maximum Annual Special Tax for Taxable Property Owner Association Property. Notwithstanding the above, under no circumstances will the Special Tax levied against any Assessor's Parcel of Occupied Residential Property be increased by more than ten (10%) percent per year as a consequence of delinquency or default in the payment of Special Taxes by the owner of any other Assessor's Parcel of CFD No. 2000-1. E. BACKUP SPECIAL TAX The purpose for the development of a "Backup Special Tax" is to ensure that appropriate revenues are generated to pay for the annual bond debt service obligations, in the event that there are shortfalls in either the number of units or square-footages of the residential units. The following definitions apply to this Section E: "Actual Average Special Tax Per Unit" means, for each Planning Area, the Actual Special Tax Revenue divided by the sum of the number of units included in any current building permit application(s) plus the number of units within such Planning Area for which building permits have previously been issued. Any building permits issued after an Assessor's Parcel has been classified as Occupied Residential Property shall not be included in determining the Actual Average Special Tax Per Unit. "Actual Special Tax Revenue" means, for each Planning Area, the sum of the total Residential Floor Area shown on any current building permit application(s) plus the total Residential Floor Area from any previously issued building permits within the Planning Area multiplied by the Maximum Annual Special Tax in Table 1. Any building permits issued after an Assessor's Parcel has been classified as Occupied Residential Property shall not be included in determining the Actual Special Tax Revenue. City of Chula Vista May 28, 2000 Community Facilities District No. 2000-1 Page 6 "Backup Special Tax Fund" means, for each Planning Area, the fund or account identified in the Indenture to hold Backup Special Tax payments received from property owners within such Planning Area. "Expected Annual Special Tax Revenue" means, with respect to each Planning Area, the annual amount shown in the column so labeled in Table 3. "Required Average Special Tax Per Unit" means, for each Planning Area, the Expected Annual Special Tax Revenue divided by the total number of dwelling units expected to be developed within the Planning Area, as determined by the CFD Administrator based on tentative maps, Final Residential Subdivision maps, the Development Projection, and all other relevant information available to the CFD Administrator. "Share of Annual Debt Service" means, for each Planning Area, the maximum annual debt service on the Bonds multiplied by that Planning Area's percentage of the total Special Tax revenue, as shown in Table 3 below. A Planning Area's Share of Annual Debt Service shall be adjusted to reflect any prepayments within that Planning Area. 1. Expected Development and Annual Special Tax Revenues Table 3 below identifies the amount of development and Special Annual Tax revenue that is currently expected from each Planning Area. Any Planning Area's information in Table 3 may be revised by the CFD Administrator prior to the issuance of Bonds without limitation. TABLE 3 Expected Development and Special Tax Revenue by Planning Area EXPECTED TOTAL ANNUAL PERCENT PLANNING EXPECTED NUMBER RESIDENTIAL SPECIAL OF TOTAL AREAS PRODUCT TYPE OF UNITS FLOOR AREA TAX REVENUE REVENUE Village 5 !Residential Property 144 units 403,200 $177,408 26.94% Village 6 Residential Property 102 units 234,600 103,224 15.68% Village 7 Residential Property 112 units 313,600 137,984 20.96% Village 8 Residential Property 55 units 126,500 55,660 8.45% Village 9 Residential Property 79 units 181,700 79,948 12.14% Village 10 ResidentialProperty 103 units 236,900 104,236 15.83% TOTAL _595 units $658.460 _100.00% City of Chula Vista May 28, 2000 Community Facilities District No. 2000-1 Page 7 2. Calculation of Required Average Special Tax Per Unit At the time the first building permit application for a Planning Area is submitted to the City, the CFD Adn'finistrator shall calculate the Required Average Special Tax Per Unit. 3. Backup Special Tax due to Loss of Units If at any time after the Required Average Special Tax Per Unit has been calculated initially for a Planning Area, the CFD Administrator determines that based on tentative maps, Final Residential Subdivision maps, the Development Projection, and any other available information there has been a reduction in the total expected number of dwelling units within that Planning Area as shown in Table 3, then a Backup Special Tax payment shall be required for each lost unit prior to the issuance of any additional building permits or the recordation of any additional final maps for such Planning Area. 4. Backup Special Tax due to Loss of Residential Floor Area For Planning Areas that include Residential Property, before each building permit (or group of permits) is issued, the CFD Administrator shall calculate the Actual Average Special Tax Per Unit for the Planning Area. If the Actual Average Special Tax Per Unit is less than the Required Average Special Tax Per Unit then a Backup Special Tax payment will be required prior to issuance of the building permit(s) included within the calculation. 5. Calculation of Backup Special Tax The Backup Special Tax payment amount will be calculated using the prepayment formula described in Section 1.1, with the following exceptions: (i) if the Backup Special Tax is required as a result of Section E.3, then the amount used in Paragraph No. 1 of the prepayment formula described in Section 1.1 shall equal the number of lost units, times the Required Average Special Tax Per Unit; (ii) if the Backup Special Tax is required as a result of Section E.4, then the amount used in Paragraph No. 1 of the prepayment formula described in Section 1.1 shall equal the difference between the Actual Average Special Tax Per Unit and the Required Average Special Tax Per Unit times the sum of the number of units for which permits are being issued plus the number of units within the Planning Area for which building permits have previously been issued. The amount determined pursuant to the preceding sentence shall be reduced by the balance in the Backup Special Tax Fund that has been established for such Planning Area; (iii) in Paragraph No. 5 of the prepayment formula described in Section 1.1, compute the amount needed to pay interest on the Bond Redemption Amount until the first redemption date that occurs after five years from the date of the first Backup Special Tax payment in the Planning Area; (iv) any Backup Special Tax payments received for a Planning Area (less Administrative Fees and Expenses) shall be City ~f Chula Vista May 28, 2000 Community Facilities District No. 2000~1 Page 8 deposited into the Backup Special Tax Fund for that Planning Ama and disbursed pursuant to the Indenture; and (v) the Maximum Annual Special Taxes applicable to property within a Planning Area shall not be reduced or relieved as a result of payment of the Backup Special Tax. 6. Use/Release of Backup Special Tax Payments When a Planning Area reaches full buildout (i.e. all expected building permits have been issued), the CFD Administrator shall calculate the actual Developed Property Maximum Annual Special Tax revenues that will be generated from such Planning Area. If the actual Developed Property Maximum Annual Special Tax revenues are greater than or equal to 1.1 times that Planning Area's Share of Annual Debt Service, the balance in the Backup Special Tax Fund shall be returned to the payer. If Backup Special Taxes have been paid by more than one entity, the amount of Backup Special Taxes returned to each payer shall be in proportion to the amount paid by each entity. If the actual Developed Property Maximum Annual Special Tax revenues are less than 1.1 times that Planning Area's Share of Annual Debt Service, then to the extent necessary to generate 110% coverage, the balance in the Backup Special Tax Fund shall be used to redeem bonds on the next available redemption date unless the CFD Administrator reasonably determines, in its sole discretion, that thc actual Developed Property Maximum Annual Special Tax revenues and the estimated Developed Property Maximum Annual Special Tax revenues pursuant to the Development Projection that are expected to be generated from all Planning Areas in CFD No. 2000-1 are greater than or equal to 1.1 times the maximum annual debt service on the Bonds. Any moneys remaining in Backup Special Tax Fund after a required bond redemption, if any, shall be returned to the payer. Notwithstanding the above, if a Planning Area has not reached full buildout within five years after the first payment of Backup Special Taxes for such Planning Area, then all moneys in the Backup Special Tax Fund shall be used to redeem bonds on the next available redemption date. F. .EXEMPTIONS No Special Tax shall be levied on: (i) the land area that lies outside the Planning Areas, and (ii) up to 56.15 Acres of Property Owner Association Property and Public Property. Tax- exempt status will be irrevocably assigned by the CFD Administrator in the chronological order in which property becomes Property Owner Association Property or Public Property. After the limit of 56.15 exempt Acres has been reached the Maximum Annual Special Tax obligation for any additional Public Property shall be prepaid in full by the seller pursuant to Section 1.1, prior to the transfer/dedication of such property. Until the Maximum Annual Special Tax obligation for any such Public Property is prepaid, the property shall continue to be subject to the levy of the Special Tax as Undeveloped Property. City of Chula Vista May 28, 2000 Community Facilities District No. 2000-1 Page 9 Property Owner Association Property that is not exempt from Special Taxes under this section shall be subject to the levy of the Special Tax and shall be taxed Proportionately as part of the third step in Section D above, at up to 100% of the Maximum Annual Special Tax for Taxable Property Owner Association Property. G. REVIEW/APPEAL COMMITTEE The Council shall establish as part of the proceedings and administration of CFD No. 2000- 1 a special three-member Review/Appeal Committee. Any landowner or resident who feels that the amount of the Special Tax levied on their Assessor's Parcel is in error may file a written notice with the Review/Appeal Committee appealing the amount of the Special Tax levied on such Assessor's Parcel. The Review/Appeal Committee may establish such procedures as it deems necessary to undertake the review of any such appeal. The Review/Appeal Committee shall interpret this Rate and Method of Apportionment and make determinations relative to the annual administration of the Special Tax and any landowner or resident appeals, as herein specified. The decision of the Review/Appeal Committee shall be final and binding as to all persons. H. MANNER OF COLLECTION The annual Special Tax shall be collected in the same manner and at the same time as ordinary ad valorem property taxes; provided, however, that CFD No. 2000-1 may directly bill the Special Tax, may collect Special Taxes at a different time or in a different manner if necessary to meet its financial obligations, and may covenant to foreclose and may actually foreclose on Assessor's Parcels which are delinquent in the payment of Special Taxes. Tenders of Bonds may be accepted for payment of Special Taxes upon the terms and conditions established by the Council pursuant to the Act. However, the use of Bond tenders shall only be allowed on a case-by-case basis as specifically approved by the Council. 1. PREPAYMENT OF SPECIAL TAX The following definition applies to this Section I: "Outstanding Bonds" means all previously issued Bonds which will remain outstanding after the first interest and/or principal payment date following the current Fiscal Year, excluding Bonds to be redeemed at a later date with the proceeds of prior prepayments of Maximum Annual Special Taxes. City of Chula Vista May 28, 2000 Community Facilities District No. 2000-1 Page 10 1. Prepayment in Full The Maximum Annual Special Tax obligation may only be prepaid and permanently satisfied by an Assessor's Parcel of Developed Propcr~y, Undeveloped Property for which a building permit has been issued, or Public Property. The Maximum Annual Special Tax obligation applicable to such Assessor's Parcel may be fully prepaid and the obligation of the Assessor's Parcel to pay thc Special Tax permanently satisfied as described herein; provided that a prepayment may be made only if there are no delinquent Special Taxes with respect to such Assessor's Parcel at the time of prepayment. An owner of an Assessor's Parcel intending to prepay the Maximum Annual Special Tax obligation shall provide the CFD Administrator with written notice of intent to prepay. Within 30 days of receipt of such written notice, the CFI) Administrator shall notify such owner of the prepayment amount of such Assessor's Parcel. The CFD Administrator may charge a reasonable fee for providing this figure. The Prepayment Amount (defined below) shall be calculated as summarized below (capitalized terms as defined below): Bond Redemption Amount plus Redemption Premium plus Defeasance Amount plus Administrative Fees and Expenses less Reserve Fund Credit less Capitalized Interest Credit Total: equals Prepayment Amount As of the proposed date of prepayment, the Prepayment Amount (defined below) shall be calculated as follows: Paragraph No.: 1. For Assessor's Parcels of Developed Property, compute the Maximum Annual Special Tax for the Assessor's Parcel to be prepaid. For Assessor's Parcels of Undeveloped Property to be prepaid, compute the Maximum Annual Special Tax for that Assessor's Parcel as though it was already designated as Developed Property, based upon the building permit which has already been issued for that Assessor's Parcel. For Assessor's Parcels of Public Property to be prepaid, compute the Maximum Annual Special Tax for that Assessor's Parcel using the Maximum Annual Special Tax for Undeveloped Property. 2. Divide the Maximum Annual Special Tax computed pursuant to paragraph 1 by the sum of the total expected Special Tax revenues in Table 3 in Section E., excluding any Assessor's Parcels which have been prepaid. City of Chula Vista May 28, 2000 Community Facilities District No. 2000-1 Page 11 3. Multiply the quotient computed pursuant to paragraph 2 by the Outstanding Bonds to compute the amount of Outstanding Bonds to be retired and prepaid (the "Bond Redemption Amount"). 4. Multiply the Bond Redemption Amount computed pursuant to paragraph 3 by the applicable redemption premium, if any, on the Outstanding Bonds to be redeemed (the "Redemption Premium"). 5. Compute the amount needed to pay interest on the Bond Redemption Amount from the first bond interest and/or principal payment date following the current Fiscal Year until the earliest redemption date for the Outstanding Bonds. 6. Confirm that no Special Tax delinquencies apply to such Assessor's Parcel. 7. Determine the Special Taxes levied on the Assessor's Parcel in the current Fiscal Year which have not yet been paid. 8. Compute the amount the CFD Administrator reasonably expects to derive from the reinvestment of the Prepayment Amount less the Administrative Fees and Expenses from the date of prepayment until the redemption date for the Outstanding Bonds to be redeemed with the prepayment. 9. Add the amounts computed pursuant to paragraphs 5 and 7 and subtract the amount computed pursuant to paragraph 8 (the "Defeasance Amount"). 10. Verify the administrative fees and expenses of CFD No. 2000-1, including the costs of computation of the prepayment, the costs to invest the prepayment proceeds, the costs of redeeming Bonds, and the costs of recording any notices to evidence the prepayment and the redemption (the "Administrative Fees and Expenses"). 11. The reserve fund credit (the "Reserve Fund Credit") shall equal the lesser of: (a) the expected reduction in the reserve requirement (as defined in the Indenture), if any, associated with the redemption of Outstanding Bonds as a result of the prepayment, or (b) the amount derived by subtracting the new reserve requirement (as defined in the Indenture) in effect after the redemption of Outstanding Bonds as a result of the prepayment from the balance in the reserve fund on the prepayment date, but in no event shall such amount be less than zero. 12. If any capitalized interest for the Outstanding Bonds will not have been expended at the time of the first interest and/or principal payment following the current Fiscal Year, a capitalized interest credit shall be calculated by multiplying the quotient computed pursuant to paragraph 2 by the expected balance in the capitalized interest fund after such first interest and/or principal payment (the "Capitalized Interest Credit"). City of Chula Vista May 28, 2000 Community Facilities District No. 2000-1 Page 12 13. The Maximum Annual Special Tax prepayment is equal to the sum of the amounts computed pursuant to paragraphs 3, 4, 9, and 10, less the amounts computed pursuant to paragraphs 11 and 12 (the "Prepayment Amount"). 14. From the Prepayment Amount, the amounts computed pursuant to paragraphs 3, 4, 9, 11, and 12 shall be deposited into the appropriate fund as established under the Indenture and be used to mtim Outstanding Bonds or make debt service payments. The amount computed pursuant to paragraph 10 shall be retained by CFD No. 2000- 1. The Prepayment Amount may be sufficient to redeem other than a $5,000 increment of Bonds. In such cases, the increment above $5,000 or integral multiple thereof will be retained in the appropriate fund established under the Indenture to be used with the next prepayment of bonds or to make debt service payments. As a result of the payment of the current Fiscal Year's Special Tax levy as determined under paragraph 7 above, the CFD Administrator shall remove the current Fiscal Year's Special Tax levy for such Assessor's Parcel from the County tax rolls. With respect to any Assessor's Parcel that is prepaid, the Council shall cause a suitable notice to be recorded in compliance with the Act, to indicate the prepayment of Special Taxes and the release of the Special Tax lien on such Assessor's Parcel, and the obligation of such Assessor's Parcel to pay the Special Tax shall cease. Notwithstanding the foregoing, no Special Tax prepayment shall be allowed unless the amount of Maximum Annual Special Taxes that may be levied on Taxable Property within CFD No. 2000-1 both prior to and after the proposed prepayment is at least 1.i times the maximum annual debt service on all Outstanding Bonds. Tenders of Bonds in prepayment of Maximum Annual Special Taxes may be accepted upon the terms and conditions established by the Council pursuant to the Act. However, the use of Bond tenders shall only be allowed on a case-by-case basis as specifically approved by the Council. 2. Prepayment in Part The Maximum Annual Special Tax on an Assessor's Parcel of Developed Property or an Assessor's Parcel of Undeveloped Property for which a building permit has been issued may be partially prepaid. The amount of the prepayment shall be calculated as in Section 1.1; except that a partial prepayment shall be calculated according to the following formula: PP = (PE x F) + A City of Chula Vista May 28, 2000 Community Facilities District No. 2000-1 Page 13 These terms have the following meaning: PP = the partial prepayment PE = the Prepayment Amount calculated according to Section 1.1, minus Administrative Expenses and Fees pursuant to Step 10. F = the percent by which the owner of the Assessor's Parcel(s) is partially prepaying the Maximum Annual Special Tax. A= the Administrative Expenses and Fees pursuant to Step 10. The owner of an Assessor's Parcel who desires to partially prepay the Maximum Annual Special Tax shall notify the CFD Administrator of (i) such owner's intent to partially prepay the Maximum Annual Special Tax, (ii) the percentage by which the Maximum Annual Special Tax shall be prepaid, and (iii) the company or agency that Will be acting as the escrow agent, if applicable. The CFD Administrator shall provide the owner with a statement of the amount required for the partial prepayment of the Maximum Annual Special Tax for an Assessor's Parcel within 30 days of the request and may charge a reasonable fee for providing this service. With respect to any Assessor's Parcel that is partially prepaid, the City shall (i) distribute the funds remitted to it according to Paragraph 14 of Section 1.1, and (ii) indicate in the records of CFD No. 2000-1 that them has been a partial prepayment of the Maximum Annual Special Tax and that a portion of the Maximum Annual Special Tax equal to the outstanding percentage (1.00 - F) of the remaining Maximum Annual Special Tax shall continue to be authorized to be levied on such Assessor's Parcel pursuant to Section D. J. TERM OF MAXIMUM ANNUAL SPECIAL TAX The Maximum Annual Special Tax shall be levied commencing in Fiscal Year 2000-2001 to the extent necessary to fully satisfy the Special Tax Requirement for a period no longer than the 2035-2036 Fiscal Year. H:\SHARED'tENGINEER\CFD2000\S UNBOW-2.DOC City of Chula Vista May 28, 2000 Community Facilities District No. 2000-1 Page 14 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ORDERING AND DIRECTING THE PREPARATION OF A REPORT FOR PROPOSED COMMUNITY FACILITIES DISTRICT NO. 2000~ 1 (SUNBOW II - VILLAGES 5 THROUGH 10) WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA (the "City Council"), has declared its intention to initiate proceedings to create a Community Facilities District pursuant to the terms and provisions of the '~/Vlello-Roos Community Facilities Act of 1982", being Chapter 2.5, Part 1, Division 2, Title 5 of the Government Code of the State of California (the "Act") and the City of Chula Vista Community Facilities District Ordinance enacted pursuant to the powers reserved by the City of Chula Vista under Sections 3, 5 and 7 of Article XI of the Constitution of the State of California (the "Ordinance") (the Act and the Ordinance may be referred to collectively as the "Community Facilities District Law"). This Community Facilities District shall hereina~er be designated as COMMUNITY FACILITIES DISTRICT NO. 2000-1 (SUNBOW II - VILLAGES 5 THROUGH 10) (the "District"); and, WHEREAS, this City Council directs, pursuant to the provisions of Section 53321.5 of the Government Code of the State of California, the preparation of a report to provide more detailed information relating to the proposed District, the proposed facilities to be financed through the District, and estimate of the cost of providing such facilities (the "Special Tax Report"). NOW, THEREFORE IT IS HEREBY RESOLVED: SECTION 1. The above recitals are all true and correct. SECTION 2. The Director of Public Works is hereby directed and ordered to prepare or cause to be prepared the Special Tax Report to be presented to this City Council, generally setting forth and containing the following: FACILITIES: A full and complete description of the public facilities the acquisition of which is proposed to be financed through the District.. COST ESTIMATE: A general cost estimate setting forth costs of acquiring such facilities. SPECIAL TAX: Further particulars and documentation regarding the rate and method of apportionment for the authorized special tax. SECTION 3. The Special Tax Report, upon its preparation, shall be submitted to this City Council for review, and such report shall be made a part of the record of the public hearing on the Resolution of Intention to establish such District. PREPARED BY: APPROVED AS TO FORM BY: John P. Lippitt John Kaheny Director of Public Works City Attorney 2 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, DECLARING ITS INTENTION TO ISSUE BONDS SECURED BY SPECIAL TAXES TO PAY FOR THE ACQUISITION OF CERTAIN FACILITIES IN COMMUNITY FACILITIES DISTRICT NO. 2000-1 (SUNBOW II - VILLAGES 5 THROUGH 10) WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA (the "City Council"), has initiated proceedings to create a Community Facilities District pursuant to the tenns and provisions of the "Mello-Roos Community Facilities Act of 1982", being Chapter 2.5, Part 1, Division 2, Title 5 of the Govenu'nent Code of the State of California (the "Act") and the City of Chula Vista Community Facilities District Ordinance enacted pursuant to the powers reserved by the City of Chula Vista under Sections 3, 5 and 7 of Article XI of the Constitution of the State of California (the "Ordinance") (the Act and the Ordinance may be referred to collectively as the "Community Facilities District Law") to finance the acquisition of certain authorized facilities. This Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 2000-1 (SUNBOW FI VILLAGES 5 THROUGH I 0) (the "District"); and, WHEREAS, it is the intention of this legislative body to finance the acquisition of all or a portion of such facilities through the issuance of bonds, such bonds to be secured by special taxes to be levied on taxable property within the District, all as authorized pursuant to the Community Facilities District Law. NOW THEREFORE IT IS HEREBY RESOLVED: SECTION 1. The above recitals are all true and correct. SECTION 2. This City Council declares that the public convenience and necessity requires that a bonded indebtedness be incurred to finance all or a portion of certain public facilities as proposed for the designated District. SECTION 3. The purpose for the proposed debt is to finance the acquisition of authorized public facilities consisting of the types of public facilities described in Exhibit A attached hereto and incorporated herein by this reference. SECTION 4. The amount of the proposed bonded indebtedness, including the cost of the facilities, together with all incidental expenses, contingencies and financing costs is generally estimated to be: $15,000,000 SECTION 5. NOTICE IS GIVEN THAT ON THE 11TM DAY OF JULY, 2000, AT THE HOUR OF 6:00 O'CLOCK P.M. IN THE REGULAR MEETING PLACE OF THE LEGISLATIVE BODY, BEING THE COUNCIL CHAMBERS, CITY HALL, LOCATED AT 276 E STREET, CHULA VISTA, CALIFORNIA, A HEARING WILL BE HELD ON THE INTENTION OF THIS LEGISLATIVE BODY TO INCUR A BONDED INDEBTEDNESS TO FINANCE PUBLIC FACILITIES IN THE COMMUNITY FACILITIES DISTRICT BY THE LEVY OF A SPECIAL TAX. AT THE TIME AND PLACE FIXED FOR SAID PUBLIC HEARING ANY PERSONS iNTERESTED, INCLUDING PERSONS OWNiNG PROPERTY WITHIN THE AREA, MAY APPEAR AND PRESENT ANY MATTERS RELATING TO THE PROPOSED INTENTION AND NECESSITY FOR INCURRING THE BONDED INDEBTEDNESS WHICH WILL PAY FOR ALL OR A PORTION OF THE PROPOSED PUBLIC FACILITIES AND WHICH WILL BE SECURED BY A SPECIAL TAX TO BE LEVIED WITHIN SAID COMMUNITY FACILITIES DISTRICT. SECT1ON 6. Notice of the time and place of the public hearing shall be given by the City Clerk by publishing a Notice of Public Hearing in the legally designated newspaper of general circulation, being the STAR NEWS, said publication pursuant to Section 6061 of the Goven~ment Code, with said publication to be completed at least seven (7) days prior to the date set for the public hearing. PREPARED BY: APPROVED AS TO FORM BY: John P. Lippitt John Kaheny Director of Public Works City Attorney 2 Proposed List of Improvements To be financed by Community Facilities District No. 2000-1 Public Agency Proposed Improvement List Total Estimated Cost A. CCV Telegraph Canyon Road $ 2,511,041.42 B. CCV Medical Center Rd/Brandywine $ 3,253,492.66 C. CCV East Palomar Street-Phases IA $ 1,672,569.21 D. CCV Off-site Sewer $ 1,034,980.40 E. CCV East Palomar Street - Phase IB $ 1,888,932.00 F. CCV Olympic Prkwy - W. of Brandywine $ 1,500,000.00 G. CCV East Palomar - Phases IC&IlA $ 1,632,940.00 H. CCV Paseo Ladera $ 2,783,135.00 I. CCV Medical Center Court $ 432,110.00 J. CCV Public Facilities DIF $ 2,831,858.00 Total estimated costs: $ 19,541,158.69 CCV = City of Chula Vista COUNCIL AGENDA STATEMENT ; Item Meeting Date 6/6/2000 ITEM TITLE: Resolution Approving a grant of easements and maintenance agreement between Otay Project, LP and the City for the maintenance of public landscaping within a portion of Village One, Otay Ranch SPA One and authorizing the Mayor to execute said agreement SUBMITTED BY: Director of Public Works~2 REVIEWED BY: City Manager ~/~d 9~ ~" (4/Sths Vote: Yes_No X ) Council is requested to consider the approval of an agreement with Otay Project, LP setting forth the obligations of the developer (and future Homeowners Association) for maintaining certain public landscaping improvements within Village One, Otay Ranch SPA One, "A' Map No. 13592. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. RECOMMENDATION: That Council approve the Resolution approving the grant of easements and maintenance agreement with Otay Project LP and authorizing the Mayor to execute said agreement. DISCUSSION: In compliance with tentative map conditions of approval, the developer has formed the Otay Ranch One Community Association as the Master Homeowner Association (MHOA) to maintain common area landscaping within the project. Otay Project has requested that the MHOA be responsible for maintaining certain public landscaping improvements, specifically the landscaping within the Monarche Drive public right-of-way. Initially, the developer will construct and maintain the landscaping until it is established. After the landscaping has been established, Otay Project will transfer its obligations under the proposed agreement to the MHOA, which in turn may transfer said obligations to a subassociation or apartment project's owner (Transferee). The key points of the proposed agreement, which is an attachment to the Resolution are as follows: 1. The City shall grant an easement for landscape maintenance proposes over those public areas to be maintained by the MHOA. The City shall also trim the parkway trees (within the right- of-way) on both sides of Monarche Drive. 2. Otay Project and the MHOA are required to maintain the landscaped parkways along the north side of Monarche Drive, specifically to water the trees and water and mow the turf. 3. The agreement requires the MHOA to repair, at MHOA cost, any City's facility (i.e., sidewalk, trees, driveways) damaged by the MHOA maintenance operations. 4. The agreement contains provisions governing the transfer of the MHOA maintenance obligations, insurance requirements, and indemnity provisions to a Transferee. The agreement provides for the developer to be released from all landscaping maintenance for the project once transfer to the MHOA occurs. ! rl [ Page 2, Item __ Meeting Date 6/6/2000 Future maintenance agreements will cover other public improvements within the Otay Ranch project that will be maintained by the MHOA. Staffbelieves that the proposed agreement will guarantee the maintenance of the aforementioned public improvements and recommends Council approval. The City Attorney has reviewed and approved the proposed agreement as to form. FISCAL IMPACT: None to the City. The Developer is paying for the cost of City staff involved in processing the agreement. 0600-80-OR106F H:\HOME\ENGINEER~AGENDA\OR Villagel Maintenance Agrat.doc RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING A GRANT OF EASEMENTS AND MAINTENANCE AGREEMENT BETWEEN OTAY PROJECT, LP AND THE CITY FOR THE MAINTENANCE OF PUBLIC LANDSCAPING WITHIN A PORTION OF VILLAGE ONE, OTAY RANCH SPA ONE AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT WHEREAS, in compliance with tentative map conditions of approval, the developer has formed the Otay Ranch One Community Association as the Master Homeowner Association (MHOA) to maintain common area landscaping within the project; and WHEREAS, Otay Project has requested that the MHOA be responsible for maintaining certain public landscaping improvements, specifically the landscaping within the Monarche Drive public right-of-way; and WHEREAS, initially the developer will construct and maintain the landscaping until it is established and after the landscaping has been established, Otay Project will transfer its obligations under the proposed agreement to the MHOA, which in turn, may transfer said obligations to a subassociation or apartment project's owner. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby approve a Grant of Easements and Maintenance Agreement between Otay Project, LP, and the City of Chula vista for the maintenance of public landscaping within a portion of village One, a copy of which shall be kept on file in the office of the City Clerk. BE IT FURTHER RESOLVED that the Mayor of the City of Chula vista is hereby authorized and directed to execute said Agreement on behalf of the city of Chula vista. Presented by Approved as to form by ~/~R~ h ' %tt~rn John Lippitt, Director of John M. k6~heny, City Atto ey Public Works H: ~home\attorney\reso\Otay Project landscaping Village One RECORDING REQUESTED BY AND WHEN RECORDED RETURN TO: City Clerk City of Chula Vista 276 Fourth Avenue ChulaVista, CA 91910 No transfer tax is due as this is a conveyance to a public agency for less than a fee interest for which no cash consideration has been paid or received. (ABOVE SPACE FOR RECORDERS USE) GRANT OF EASEMENTS AND MAINTENANCE AGREEMENT Map 13592 (DEDICATED EASEMENTS) This GRANT OF EASEMENTS AND MAINTENANCE AGREEMENT ("Agreement") is made as of this __ day of 2000, by and between the CITY OF CHULA VISTA, a municipal corporation ("City"), and Otay Project L.P., a California limited parmership ("L.P."). RECITALS A. This Agreement concerns and affects certain real property located in Chul.a Vista, California, more particularly described in Exhibit "A" attached hereto and incorporated herein ("Property"). The Property is part of a planned residential development project commonly known as "Otay Ranch." For purposes of this Agreement, the term "Project" shall refer to the overall Otay Ranch project, including, but not limited to the "Property." B. L.P. is the Declarant under that certain Amended and Restated Declaration of Covenants, Conditions and Restrictions of Otay Ranch One filed for record on January 28, 1999 as Document 1999- 0049094, Official Records of San Diego County, California (the "Master Declaration"). L.P. has caused the formation of Otay Ranch One Master Association, a nonprofit mutual benefit corporation ("MHOA') to maintain certain areas in the Project. Furthermore, one or more sub-associations may be formed ("SHOA") for a particular project(s) within Otay Ranch, the purposes of which would include the maintenance of certain amenities within the project over which the SHOA has jurisdiction. C. The Property is covered by the certain final map (the "Final Map") described on Exhibit "A" attached hereto and referenced in the title to this Agreement. D, In order for L.P. to obtain the Final Map and for the City to have assurance that the maintenance of certain areas within the Project would be provided fOr, the City and L.P. entered into Supplemental Subdivision Improvement Agreements, pursuant to City Council resolutions, in which L.P. agreed that maintenance of such areas shall be accomplished by the creation of a home owners association and the establishment of a Community Facilities District. Parcel "A' shown on Exhibit "B" attached hereto describes those particular easements and rights-of-way which were dedicated to the public on the Final Map but which include landscaping improvements to be maintained by the MHOA. The public easements to be maintained by the MHOA are collectively referred to as the "MHOA Maintained Public Areas." E. The City desires to grant to L.P. easements for landscape maintenance purposes upon, over and across the MHOA Maintained Public Areas consisting of parkways comprised of eight feet of landscape improvements located between the curb and sidewalk adjoining the northerly side of Monarche Drive, described as Parcel "A" on Exhibit "A" and as shown on Exhibit "B," in order to facilitate the obligations of L.P. asset forth in Supplemental Subdivision Improvement Agreements, adopted pursuant to City resolutions. NOW, THEREFORE, in consideration of the mutual covenants herein contained, the parties agree as set forth below. 1. Grant of Easements. The City hereby grants to L.P. and its agents, successors and assigns, non-exclusive easements and rights-of-way over and across the MHOA Maintained Public Areas, for the purpose of maintaining, repairing and replacing the landscaping improvements located thereon. This grant is made without any warranties of any kind, express or implied, other than the warranty stated in Section 13 (f) below. 2. Maintenance Responsibilities. (a) L.P. to Initially Maintain. L.P. hereby covenants and agrees, at its sole cost and expense, to maintain, repair and replace, or cause to be maintained, repaired or replaced, the MHOA Maintained Public Areas, including all landscape improvements located thereon, at a level equal to or better than the level of maintenance set forth in the Project's Landscape and Irrigation Plan ("Landscape Plan"), as approved by the City. For purposes of this Agreement, the term "Maintenance" or "Maintain" shall mean the maintenance, repair and replacement obligations described herein and on Exhibit "C" hereto. Exhibit "C" also refers to the maintenance responsibilities of City. (b) Transfer to MItOA. Upon L.P.'s transfer of maintenance obligations to the MHOA, (i) the MHOA shall become obligated to perform the obligations so transferred and (ii) subject to the City determining that the requirements of Section 3 below have been satisfied, L.P. shall be released from such obligation. (c) Transfer By MHOA. The MHOA shall have the right to transfer Maintenance obligations to a subassociation ("SHOA") or to the owner of an apartment project ("Transferee"). Upon the MHOA's transfer of Maintenance obligations to a Transferee, (i) the Transferee shall become obligated to perform the obligations so transferred, (ii) MHOA shall retain the right to perform the Maintenance should the transferee fail to do so and (iii) the MHOA shall be released from the obligations so transferred subject to the City determining that the requirements of Section 4 below have been satisfied. Although it is possible that Maintenance obligations might be transferred to an apartment owner, L.P. does not believe it is likely that Maintenance obligations will be transferred to an apartment owner. 3. Assignment by L.P. and Release of L.P. (a) Assignment. Upon L.P.'s transfer of the Maintenance obligations to the MHOA, it is intended by the parties that the MHOA shall perform the Maintenance obligations either by its own forces or by contractors. Such transfer will release L.P. from its obligations only if all of the following occur: Final;05/17/00 Page 2 (i) MHOA Accepts Obligation. The MHOA has unconditionally accepted and assumed all of L.P.'s obligations under this Agreement in writing, such assignment provides that the burden of this Agreement mmXains a covenant running with the land, and the assignee expressly assumes the obligations of L.P. under this Agreement. The assignment shall also have been approved by the appropriate governing body of the MHOA by resolution or similar procedural method and approved as to form and content by the City Attorney. The City shall not unreasonably withhold its consent to such assignment. (ii) MHOA's Master Declaration. The City has reviewed and approved the MHOA's recorded Master Declaration to confirm that said document contains appropriate maintenance and insurance provisions. The City hereby acknowledges that it has so approved the Amended and Restated Declaration of Covenants, Conditions and Restrictions of Otay Ranch One filed for record on January 28, 1999 as Document 1999- 0049094, Official Records of San Diego County, California. This condition (ii) will apply to any further amendments which require City consent pursuant to provisions of the Master Declaration or which would be contrary to the terms of this Agreement. (iii) MHOA Insurance. The MHOA procures and formally resolves to maintain at its sole cost and expense, commencing upon the City's release of all of L.P.'s landscape maintenance bonds, a policy of public liability insurance written on a per occurrence basis in an amount not less than one Million Dollars ($1,000,000) combined single limit. The insurer issuing such insurance shall have a rating of "A, Class V" or better with no modified occurrences and as admitted by Best's Insurance Guide. Said insurance shall be primary insurance and shall name the City, its officers, employees and agents as additional insureds. The MHOA shall provide the City with a Certificate of Insurance upon acceptance of the transfer of the Maintenance obligations herein. (b) Release. When all conditions precedent in Paragraph 3(a) are fulfilled, L.P. shall be released from its obligations under this Agreement, including its security and insurance requirements. L.P. acknowledges that it has a contractual obligation to perform the terms and conditions of this Agreement until and unless released by the City from this Agreement. At least sixty (60) days prior to such transfer, L.P. shall give notice to the City of L.P.'s intent to transfer its Maintenance obligations herein and provide the City with the appropriate documents listed in Paragraph 3(a). 4. Assignment by I~tOA and Release of MItOA. (a) Assignment. Upon MHOA's transfer of the Maintenance obligations to a Transferee, it is intended by the parties that the Transferee shall perform the Maintenance obligations either by its own forces or by contractors. Such transfer will release the MI-IOA from its obligations only if all of the following occur: (i) Transferee Accepts Obligation. The Transferee has unconditionally accepted and assumed all of the MHOA's obligations under this Agreement in writing, such assignment provides that the burden of this Agreement remains a covenant running with the land, and the assignee expressly assumes the obligations of the MHOA under this Agreement. If the Transferee is an SHOA, the assignment shall also have been approved by the appropriate governing body of the SHOA by resolution or similar Final;05/17/00 Page 3 procedural method and approved as to form and content by the City Attorney. The City shall not unreasonably withhold its consent to such assignment. (ii) SHOA's Declaration of Restrictions. If the Transferee is an SHOA, the City has reviewed and approved the SHOA's recorded Declaration of Restrictions to confirm that said document contains appropriate maintenance and insurance provisions. (iii) SHOA Insurance. The Transferee procures and formally resolves to Maintain at its sole cost and expense, a policy of public liability insurance written on a per occurrence basis in an amount not less than One Million Dollars ($1,000,000) combined single limit. The insurer issuing such insurance shall have a rating of"A, Class V" or better with no modified occurrences and as admitted by Best's Insurance Guide. Said insurance shall be primary insurance and shall name the City, its officers, employees and agents as additional insureds. The SHOA shall provide the City with a Certificate of Insurance upon acceptance of the transfer of the Maintenance obligations herein. (b) Release. When all conditions precedent in Paragraph 4(a) are fulfilled, the MHOA shall be released from its obligations under this Agreement, including its security and insurance requirements. At least sixty (60) days prior to such transfer, MHOA shall give notice to the City of MHOA's intent to transfer its Maintenance obligations herein and provide the City with the appropriate documents listed in Paragraph 4(a). 5. Insurance. Section I 1.1.2 of the Master Declaration requires that the MHOA procure and maintain certain insurance. That Section reads as follows: 11.1.2 Liability Insurance. The Community Association shall procure and keep in force public liability insurance in the name of the Community Association and the Owners against any liability for personal injury or property damage resulting from any occurrence in or about the Community Common Area or Common Maintenance Area with at least such minimum limits as are set forth in Section 1365.9 of the California Civil Code (but in any event not less than One Million Dollars ($1,000,000) combined single limit), insuring each insured separately against liability for bodily injury, death and property damage arising from the Community Association's activities or with respect to property the Community Association maintains or is required to maintain including, if obtainable, cross-liability endorsement insuring each insured against liability to each other insured and a "cross suit" endorsement. Until such time as the MHOA has obtained such insurance, L.P. hereby agrees to procure and maintain a policy of comprehensive general liability insurance written on a per occurrence basis in an amount not less than One Million Dollars ($1,000,000) combined single limit, at its sole cost and expense. 6. Indemnity. L.P. hereby indemnifies the City as follows: Indemnity. L.P. and the MHOA, respectively shall indemnify and hold the City, its officers, agents and employees, harmless from any liability, cost or expense, including reasonably incurred attorneys' fees, which result from L.P.'s or the MHOA's respective failure to comply with the requirements of this Agreement. Neither L.P. nor the MHOA shall have any liability under this Paragraph by reason of (i) the other party's failure to maintain or (ii) any Transferee's failure to maintain. Final;05/24/00 Page 7. Indemnity If Transferee. The document whereby the MHOA transfers a Maintenance obligation to a SHOA or apartment owner shall be signed by both the MHOA and the Transferee and shall set forth an express assumption of Maintenance and other obligations hereunder and shall include the following indemnification provision: Indemnity The [Transferee's nameJ shall indemnify mad hold the City, its officers, agents and employees, harmless from any liability, cost or expense, including reasonably incurred attorneys' fees, which result from the Transferee's failure to comply with the requirements of the obligations transferred hereby to Transferee. Transferee shall not have any liability under this Indemnity by reason of another party's failure to maintain. It is specifically intended that the City shall have the right to enforce this Indemnity. This Indemnity may not be amended without the written consent of the City Planning Director or City Attorney. 8. Agreement Applicable to Subsequent Owners. (a) Agreement Binding Upon any Successive Parties. This Agreement shall be binding upon L.P. and any successive Declarant under the Master Declaration. This Agreement shall be binding upon MHOA and any Transferees upon transfer of maintenance obligations to the MHOA or Transferee, respectively. This Agreement shall inure to the benefit of the successors, assigns and interests of the parties as to any or all of the Property. (b) Agreement Runs With the Land. The burden of the covenants contained in this Agreement ("Burden") is for the benefit of the Property and the City, its successors and assigns, and any successor-in-interest thereto. The City is deemed the beneficiary of such covenants for and in its own right and for the purposes of protecting the interest of the community and other parties, public or private, in whose favor and for whose benefit such covenants running with the land have been provided, without regard to whether the City has been, remained or are owners of any particular land or interest therein. If such covenants are breached, the City shall have the right to exercise all rights and remedies and to maintain any actions or suits at law or in equity or other proper proceedings to enforce the curing of such breach to which it or any other beneficiaries of this Agreement and the covenants may be entitled. 9. Governing Law. This Agreement shall be governed and construed in accordance with the laws of the State of California. 10. Effective Date. The terms and conditions of this Agreement shall be effective as of the date this Agreement is recorded in the Official Records of the San Diego County Reeorder's Office. 11. Counterparts. This Agreement may be executed in any number of counterparts, each of which shall be original and all of which shall constitute one and the same document. 12. Recording. The parties shall cause this Agreement to be recorded in the Official Records of the San Diego County Reeorder's Office within thirty (30) days atler this Agreearent has been approved by the City Council. Final;05/17/O0 Page 5 -e 13. Miscellaneous Provisions. (a) Notices. Unless otherwise provided in this Agreement or by law, any and all notices required or permitted by this Agreement or by law to be served on or delivered to either party shall bc in writing and shall be deemed duly served, delivered and received when personally delivered to the party to whom it is directed or, in lieu thereof, when three (3) business days have elapsed following deposit in the United States mail, certified or registered mail, return receipt requested, first-class postage prepaid, addressed to the address indicated in this Agreement. A party may change such address for the purpose of this Paragraph by giving writ/en notice of such change to the other party. If To City: CITY OF CHULA VISTA Department of Public Works/Engineering Division 276 Fourth Avenue ChulaVista, CA 91910 Attn: City Engineer If To L.P.: Otay Project L.P. The Otay Ranch Company 350 W. Ash Street, Suite 730 San Diego, CA 92101 Attn: Ms. Ranie L. Hunter (b) Captions. Captions in this Agreement are inserted for convenience of reference and do not define, describe or limit the scope or intent of this Agreement or any of its terms. (c) Entire Agreement. This Agreement, together with any other written document referred to herein, embody the entire agreement and understanding between the parties regarding the subject matter hereof, and any and all prior or contemporaneous oral or written representations, agreements, understandings and/or statements shall be of no force and effect. This Agreement is not intended to supersede or amend any other agreement between the parties unless expressly noted. (d) Recitals; Exhibits. Any recitals set forth above and any attached exhibits are incorporated by reference into this Agreement. (e) Compliance With Laws. In the performance of its obligations under this Agreemant, L.P., its agents and employees, shall comply with any and all applicable federal, state and local rules, regulations, ordinances, policies, permits and approvals. (f) Authority of Signatories. Each signatory and party hereto hereby warrants and represents to the other party that it has legal authority and capacity and direction from its principal to enter into this Agreement, and that all resolutions and/or other actions have been taken so as to enable said signatory to enter into this Agreement. Final;05/17/00 Page 6 (g) Modification. This Agreement may not be modified, terminated or rescinded, in whole or in part, except by written instrument duly executed and acknowledged by the parties hereto, their successors or assigns, and duly recorded in the Official Records of the San Diego County Reeorder's Office. (h) Severability. If any term, covenant or condition of this Agreement or the application thereof to any person or circumstance shall, to any extent, be invalid or unenforceable, the remainder of this Agreement, or the application of such term, covenant or condition to person or circumstance, shall not be affected thereby and each term, covenant or condition shall be valid and be enforced to the fullest extent permitted by law. (i) Preparation of Agreement. No inference, assumption or presumption shall be drawn from the fact that a party or its attorney prepared and/or drafted this Agreement. It shall be conclusively presumed that both parties participated equally in the preparation and/or drafting of this Agreement. IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed the day and year first set forth above. CITY OF CHULA VISTA, a municipal corporation Otay Project L.P., a California limited partnership By: Otay Project, LLC, a California limited By: liability company, General Partner Mayor By: OTAY RANCH DEVELOPMENT, LLC, a Delaware limited liability ( c~o~ny, Autyrize~ ber Attest= /~//~(~ ~//~ ~7 C~/~ Title Susan Bigelow, City Clerk APPROVED AS TO FORM: ~ _, City Attorney Final;05/17/00 Page 7 STATE OF CALIFORNIA ) COUNTY OF SAN DIEGO ) On ~a~ F1t ,~aa~, before me, ~a~ {a~ O. ~ ~ Notary Public, personally appeared ~p~sonally~ (or proved to me on the basis of satisfactory evidence) to be, the person(~)w---'fi~ name(zS(~ta~ subscribed to the within instrument and acknowle~dged to me that ~/tl~Yth~ executed the same in lrl~th~ authorized capacity(je~), and that by lfl~s~tl~eir signatureg) on the instrument, the person(~e), or the entity upon behalf of which the person(~ acted, executed the instrument. WITNESS my hand and official seal. ~ STATE OF CALIFORNIA ) COUNTY OF SAN DIEGO ) On , before me, Notary Public, personally appeared ~ personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(les), and that by his/her/their signatures) on the instrument, the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature (Seal) Final;05/17/00 Page 8 EXHIBIT "A" LEGAL DESCRIPTION MONARCHE DRIVE MONARCHE DRIVE AS DEDICATED TO PUBLIC USE ON CHULA VISTA TRACT NO. 96-04, OTAY RANCH, VILLAGE 1 "A" MAP NO. 1, IN THE CITY OF CHULA VISTA, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 13592 FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY ON JUNE 24, 1998. DANA MICHAEL SEGUIN L.S. 6215 HUNSAKER & ASSOCIATES SAN DIEGO, INC. PAGE 1 OF 1 :TS M:\Legals\0025~265~A38.doc ,/ ~ /, WO 25-265 5/19/00 ~.~ EXHIBIT "B" s~,~rr , or, CHUI,A VISTA TRACT NO. 96-04 VILLAGE 1 "A" MAP NO. 1 MAP NO. 13592  6 SANTA YNEZ AVENUE (pRIVAT~ ~E~ CHULA VISTA TRACT NO, OTAY RANCH VILLAGE I 'A' MAP NO, 1 MAP NO, LO~ "S" (~,~V,~T~ OPeN SP~C~ ~.Or) LOT "F" 11.569 ACRES (FUTURE Cl~ P~K SITE) ~ ~ 11 PARCEL "D" Ii HUNSAKER & ASSOCIATES 200 0 200 400 600 SAN DIEGO, INC r~NmNc ~m~ ~, st ~ m0 SCALE 1" = 200' su.~Nc ,H(,.)S~ ~(~)S~.~ MHOA MA I NTA I NED PU~ I C AREAS R: ~0014~0014L026 - ~.0. 25-265 ~ ~, ~ EXHIBIT "C" Maintenance .Responsibilities Area HOA Maintenance Cit~ of Chula Vista Maintenance Monarche Drive (north side Lahdscaping in parlox~a~ ys Tree trimming and only) including irrigation of trees maintenance of curb, gutter, and maintenance and sidewalks and pavement. irrigation of turf areas. COUNCIL AGENDA STATEMENT Page 1, Item ~ Meeting Date: 6/6/2000 ITEM TITLE: Resolution Approving Final "B" Maps for Chula Vista Tract No. 96-04, Otay Ranch SPA One, Village 5, Units 7 and 11 (Portions of Neighborhoods R-34 and R-37), accepting on behalf of the City of Chula Vista the assignable and irrevocable general utility and access easements, Lot "A" of Unit 7 and the 2-foot wall easement on Unit 7, and approving two "B" Map Subdivision Improvement Agreements and authorizing the Mayor to execute said agreements SUBMITTED BY: Director of Public Works~/{~ REVIEWED BY: City Manager ~ (4/Sths Vote: Yes No X ) Tonight, Council will consider the approval of the Final "B' Maps for Units 7 and 11 of Otay Ranch Village 5 (CVT 96-04) and associated agreements. On April 20, 1999, Council approved the "Agreement for Financing and Construction of Olympic Parkway and Related Roadway Improvements". The approval of subject Final Maps is consistent with the cumulative equivalent dwelling unit threshold established by said agreement. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. RECOMMENDATION: That Council approves the Resolution approving the Final "B" Maps and the "B" Map Subdivision Improvement Agreemems. DISCUSSION: On November 19, 1996, by Resolution No. 18398, Council approved the temative map for Otay Ranch, Village 1 and a portion of Village 5 (CVT 96-04). One of the conditions of the tentative map required filing of an "A" map creating "superblock' lots prior to approval of any map creating individual residential lots. On August 4, 1998, by Resolution Nos. 19124 and 19125, Council approved the first Otay Ranch Village Five "A" Map and associated Supplemental Subdivision Improvement Agreement ("A" Map SSIA). The Final "A' Map created the "superblock" lots corresponding to Units 1-12 (Neighborhoods R-34, R-35, R-36, R-37, and R-38 of the Tentative Map). The "A" Map SSIA satisfied several conditions of approval of the tentative map. Final Maps and Subdivision Improvement Agreements The land to be subdivided by the final maps for Units 7 and 11 of Otay Ranch Village 5 is generally located south of Otay Lakes Road across from the Telegraph Canyon Estates subdivision and west of Eastlake Greens and the proposed SR-125 route. The final map for each unit consists of the following: 7-? Page 2, Item Meeting Date: 6/6/2000 No. of Number of Lots Offered for Public Total Final Map Single Open Space, Public Utilities / Other Final Family Public Uses Map Units Acreage Unit 7 16 1 5.714 Unit 11 23 0 4.651 TOTALS 39 0 10.365 Units 7 and 11 of Otay Ranch Village 5 contain a total of 39 single family lots (5.613 acres), 3 private street lots (1.407 acres), 1 public open space (2.318 acres), and 5 private open space lots (1.027 acres) totaling 10.365 acres. The private lots, private open space lots and the private streets will all be maintained by a Homeowner's Association. A plat and location map of each of the subdivisions are attached herewith as Attachments A-1 and A-2. The final maps for the two subdivisions have been reviewed by the Departments of Public Works and Planning and Building and have been found to be in substantial conformance with the approved Tentative Map. Approval of the maps and associated subdivision improvement agreements constitutes acceptance by the City of all assignable and irrevocable general access and utility easements. The developer has also executed Subdivision Improvement Agreements for each of the two maps and has provided bonds to guarantee construction of the required onsite public improvements and to guarantee the subdivision monumentation. The Subdivision Improvement Agreements and bonds are on file in the office of the City Clerk. The construction and bonding of all off-site street improvements required to serve Units 7 and 11 have been addressed in the Olympic Parkway Agreement. Final Map Conditions/Supplemental Subdivision Improvement The fees and/or cash deposits which are specific to the "B" maps have been collected in satisfaction of the various Tentative Map conditions of approval. A "B" Map Supplemental Subdivision Improvement Agreement was previously executed by the Developer encompassing units 2 through 12 on 8/31/99 by Resolution No. 19592 which satisfied several conditions. All other conditions of approval have been met. Miscellaneous The Minutes of the 11/19/96 and 8/4/98 Council meetings and the Developer's disclosure statements are attached as Attachments B and C, respectively. Page 3, Item Meeting Date: 6/6/2000 FISCAL IMPACT: None. All costs associated with the proposed "B" Map and related agreements are recovered in accordance with the Development Agreement for the Otay Ranch Company. Attachments: Attachment A-l: Plat - Chula Vista Tract 96-04, Otay Ranch SPA One, Village 5, Unit 7 Attachment A-2: Plat - Chula Vista Tract 96-04, Otay Ranch SPA One, Village 5, Unit 11 Attachment B: Minutes of 11/19/96 and 8/4/98 Council meetings Attachment C: Developer's Disclosure Statement Attachment D: Final Map Approval Dates (Tally of EDU's) H:\HOME\ENGINEERXAGENDAXA 113V5U7& 11 _TME.DOC File No. 0600-80-OR132F and 138F ~ ~, ' ~,.~ LOT 'C' \ V]LL.5 P~.O.S. ROAD SCALE: 1"= 150' OTAY RANCH VILLAGE 5 UNIT NO.7 A'FTAc-W~AF-.A'I' A-?- NO, ~ LOT 'A \ 'C', ~- ~6 orA); VILL, fi UNIT NO, 1 SCALE: 1"= 150' OTAY RANCH VILLAGE 5 UNIT NO.11 Miau~.~ November 19, 1996 PaR n ATTACHMENT tomPeUtiveaess, b~ause it ~ ~ aot ~ough ~ ~ ~e ~ if ~y ~ low~ ~ei~ ~e~ is a ~ of long b~ ~ it ~d~y ~m~ ~ ~ move a~t d~r. ~ ~e ~ h ~e opfi~. ~ ~ ~g ~ ~e ~ f~ ~e f~ 1998 ~ ~fl~t ~e ~ ~ of 19~, ~ ~ ~e ~ y~ it ~ ~t~ He ~ ~ not n~t y~, bm ~ ~d~ ~g ~ if ~.is ~ ~j~t o~y ~d~ ~e ab~t o~ f~ ~:~ m ~fl~ it ~ a m~ ~ ~j~ ~d a ~fi~t b~ ~, ~ is ~ ~0L~ON 1~01 0~ BY C0~C~ ~ON~, ~ of ~e ~7 w~ ~ved, ~o. ~ zAv-96q2; APPEAL FROM REQUEST FOR A V~ TO ~ ~ ~ OF A ROO~op TO ~ ~-~ ~R ~ CO~ B~G ~ AT 396 ~E~ ~ ~ ~ C-T '~'~OROuG~ CO~AT. ZO~ - ~ ~A~ - ~ ~ ~ ~ ~m ~e Pl~g ~'z ~ of a ~ f~ a ~ m ~ow ~e ~efion of a ~p ~ ~ 42 f~ ~ height for · e ~mm~ b~d~g 1~ ~ 396 'E' S~ ' ' ' ~ ~e C-T ~o~u~ ~blic h~ At ~e ~qu~ of~e appllmn ~C ~n~l~) ~ ~nfinue m ~e m~ of ~/lOlgfi, app~v~ ~-1 ~ ~done ab~. 11.~ ~ ~O~G A ~O~ CO~ 0TAy ~ ~A O~, ~ 9~ - ~Ln k a ~at~ it~, but d~ not ~ui~ a public hm~n~ DE~Op~ FOR ~ 9~ - ~h~ ~ a ~at~ it~, but C. ~LIC ~G ~S 9~: CON~TiON OF A ~ ~OR ]'~ OTAY ~ ~A 0~, ~ %~ G~LLy LOCA~ SOU~xH OF C~ON RO~ B~ P~O ~C~Ro ~ THE EX~G ~8 A~ ~SOR p~ ~ (~ ~60-~1-~ A ~R~ON OF ~N ~80-~1 - Adopt a S~d A~fl~ ~ ~ 95~I ~d ~ Omy ~ SPA ~e ~d T~ve S~v~ Map for ~ge ~e ~d P~ 1-A of V~age Five of ~e Omy · e m~ o~ 111~I~~ ~ ~ppmvm ol ~e ~lutm~. (Omy ~ D. ~SOL~ON 1~98 ~O~G ~ ~CO~ ~D~ TO ~ON~ ~A~ ~RT ~ 95~1 (~ ~50210~) ~OPI'~G-~ ~A~ OF O~G CONS~ON~ ~ ~ ~GA~ON MO~O~G ~ ~R~G ~OG~ ~R ~ ~ ~A~'IV~ ~D~ON ~ FOR ~R~ONS OF ~ OTAY ~ ~A O~, ~A ~A ~AT~ ~ ~O~s~s 3~, 3~s~, Omy ~eh S~i~ p~j~ ~ager, gave a P~mfion m~d~g ~ Omy ~ch deve]opm~t. ~e~mem~ ~done ~ why w~ S~fion 7.1 of ~e a~ment ch~g~ n~[ r~d~ for ~y o~:r develop. ATTACHNIENT ~ No,~em~r Page 5 .~m: Moore, Acting Ci,D' A~m~y, ~d ~ ~ndifion of ~e dev~lopm~t ag~m~t w~ ti~ to ~ ~ondifio~ of ~ ~mfiv~ ~p approve, ~ ~ ~dition log, ~ wor~ h~d ~ ~d wi~ one ~o~er. Boad~g is ~ f~fi~, ~ w~ ~ a pl~ for ~ ~-~-~g. ~e ~n~ ~fi~ would not ~ ~gg~ by J~ ~ppi~ Dk~mr of ~b~c Wo~, gave ~ e~ampl~ of ~e ~, ~t ~ey ~ ~ wi~ ~ OVe~ A ~p for ~e b~ne ~ ~d mine of ~e back'ne f~ti~. ~' w~ ~ m ~nd for ~ose ~5~ ~ek f~fi~ ~d w~m ~ m provide some off-sim ~rovem~. ~e Ci~ would haw ~e fight ~old b~g ~ if ~ey w~'t d~, ~d it ~ m ~om ~ o~ level of ~i~ or~ ~d or ~c~o del R~y, m it my not a~ly ~ ~s simfion. Sh* ~ ~e mn~ w~ ~ ~ ~e m~ wh~ it ~ ~ut ~e differ ~g~; however, it ~ h~ ~dmd~g ~ ~ff ~m~ ~e pm~fiom Ms. M~re ~d S~fion 7.1 ~ ~e ~nd ~m~t m ~e maqtrr b~d~, ~t ~ey ~ ~ ~o~ible for w~ m ~ ~t b~d~ m~i~g ~ ~ ~ pmj~ ~ b~d or m~ ~jor b~ne fae~fi~. S~on 7.1 pu~ it ~ m ~* ~ b~d~ for ~ ~ibffi~, ~d it is h~ ~dmd~g ~t ~ndmg for · e ~ne f~fi~ ~ ~ ~ ~ A ~p stage. ~ ~ ~, it's ~g done ~ ~e B ~p stage, ex.pt ~=~em~ M~t ~ if ~e memh~t b~de~ woMd pmdde ~e ~nd~g or would Village Development ob~ ~e ~ndMg ~fom ~e O~ ~lows a ~e to ~e m~t Mr. J~ ~id ~e~ were fo~ ~ic im~ ~at n~ m ~ ~nd~ prior m ~e ~t p~e of ~e backbon* fa*~fi~, ~d it is ~fi*i~ it ~ ~ ~e r~ment of ~e ~mr b~dem. ~ ~b~a=t back.ne ~:~em~ P~a ~'t ~ink ~ ~ a ~gfion ~ ~d ~ ~ ~ b~l-ing do~ w~ ~e obhgation levd wo~d ~ ~ ~e ~t b~fler levd. You ei~*r ~ve a m~lem obhg~on m ~ 1~ ~nt of b~k~ae f~fim ~ ~e Amp ~ge or you have 1~ ~t ~f~ or mhef of that obhgafion m ~e Ms. M~ ~d ~e ~nd~g is ~e mf~t ~mt~ te Ci~ a have, ~d hav~g ~e bonfl~g at ~e A is a more ~ure position for ~e Ci~ ~a do~g it at lat~ smg~. Mr. ~ppi~ ~d it wa m~s op~on ~ long ~ ~ere w~ a rendition ~ ~, ~ey ~'t do ~y B raps or ~y developm~m b~ ~s h~ ~ ~ ~olvM. It is a s~k ~ ~e, but not a s~fl ~ developm~t smg~g Maps A ~d B. ~c~em~r ~done ~d if we ~ge ~e ~e s~ of ~ ~d ~ is some qu~on of r~o~ib[li ~ wh~ a m~h~t b~am mm~ ~ ~d ~ot affo~ ~ ~e ~ b~fler fl~'t have ~e re~o~ibBi~'. He did noth~ ~e ~m~ ~at ~e Ci~ ~M im pm~tion, ~ ~e me~t bufldem ~11 not have r~ou~ ~e ~ buBfle~ wo~d have. ,/ Mayor Horton said it was her under~anding from the soft aport that it is the sole r~onsibility of nay LJzL, or itz mccessem in mterest, to provide or fman~ the co~ of the begone faciliti~ required in an)' final map. in:lading both A and B maps. Ms. Mona said it was corr~t ~'~,d what staff could do to chrify it would be to insert ~r~'ifie language in Section 7.1 that states the)' uh~11 provid* the bonding. 12.Coun¢ilm~mber Padilla asked what ~ mm'- of the poumtial issu~ if the City allowe, d the bonding to be at the B map sage, as oppo~ to the A map ~tage. Ms. Moore mid if you require the bonding at the A map range, yon have the bonding up front. If something were to happen to the masmr builder, we would have the bonding to go afar in order to construct the i.mprovememts. If we wait until lair stage~, wan though there is that provision in the agr,~.ment that dealz with ia mmn~ in interest, ther~ is always the pottmfial that we might not be able to get the mastm' build~ to antually constraet the ba:~.kbone faniliti~, and w~ won't have bonding at that point became it was done at a later ~.age in developmenL We would then try Io go to the m~,xmhant lmilder, wkich would be diffimxlt to have the m~.hant builds aet,,any ronsmmt major ba:kbone facilities. Couneilmember Alevy mid in marling the minutes of the p}unnlng Commi~ion, Coun:ilm~mber.-elmt Mary Salas expressed the specific coneer'ns that the master bnild~ is fo~ver obligated to do the bankbone infraatrm:mre should they not survive liea~holders to become obli~ated to the bankbone bafrastm~mr¢, etc. and the timing is the issme we're talking about, bat the reality is that the master builds is requir~ to be able to bond to do that. Cotm:ilmember l~indone said the requirements of funding the backbone fa:ilities is a greater risk. In ord~ to LD' to comp~-n~,?- that ~ we've put other safeguards in the agrl~.ment. Coun~l has the r~l:~on$1'billty to ansml~ that the backbone faciliti~ am built. He did not s~ why the old rules were shanged, bocaus~ they worked w~ll and ' provided adealn~ta safeguards. He said the bottom line is that with the ~ of the nay Rana.h and the projecwat bulldout, we dun't have the a.~n'ance from the vc'a-y front that the bankbone infrastmcn.tres axe in place, and it will set the wrong rune for this d~velopmgat. If we haft n~cluir~ the bonding at the very boEinnlng u~ done in the past, we wouldn't have to come up with all of these condition& Ms. Moore said according to the development agr~ment, fflan~maage is add~ to specifically deal with bonding, it would require Village Development, and its su:cessors in inter'eSI, m provide the bonding. There is also a provision in the agreement that tall.-u about subordination so it requires the lenders to subordinate to the development agreement. It is not the same as having the bonding up front, but th~ is a provision that holds Village Development to provide the fanility and the bond. Cotmr. iimember ?a~!la said this issue presmted itself at the request of Village Development. There is a res.~n econom;cally why they want to be able to sell offparc~Is without making the guarantees up front on this siae ora SPA or at the A Map stage, bm the question is whe~har that is what Coun*il wants. The question hem is this was chang~ at the request of the applicant, there m masons for that and the qnesfion for Council is whcth~ or not when we get to the development agreement and we look at the tenative maps, whethea' we will be satisfied, and we have enough comfort with this level of a guarantee. There is no qtmstien that the ',~,,,,~ in whi*h stuff is recomm~ding is l~s security to the City than if we required the bonds at the A map stage. * I, aim Kilkenuy, 11975E1 C'am;,,o Real, San Diego, CA., representing Village Developments, sated that City and Village Development staff put a lot of time to ens'um the problems that occurr~ in St. Claire are not experienced in Otay Ranch. ViLlage Development is see. king to provide security consistent with the ?l~k'P, and that is when a phase of development requl.ms an improvement in order to serve that phase, then adequate security has to be provided. The development ag, r~ement states that Village Development is the entity responsible. As a general rule when you have a tenafive map approved, and that's what Village Development is seeking in this besting, there is not an obligation in State law or Council pohcy that an appheaut follow-up a t~atative map approval with an A map. What is different about this project is through the development agr~ment came a proposal from staff that 7.~ Village Development be required to do an A map on the whole of the SPA, village by village. If you look at the conditions of approval, the)' have to be bonded at the twice their estimate, which is $160 millinn ~{' c' ..... ;~ Minu ~tr.s ATTACHMENT 13 Novem.mr 19, 1996 Page 7 to pursue the common practic~ of allowing Village D~velopmentz to do A maps on a less~r area., Village Developments would be willing to ]:~vide the setmrity on the inxproveme~ associated with that l~se:r are. a: If they do an A map on the whole of the village or aa A map on the whole of the SPA, th~m the bonding security r~quirements becomes burd~ason~ be~n~, the t~ntative map is so large. If you look at the whole of development a~t in ctmjunciion with the ~atative map requirements, the City is assured that fazilifies will b~ built in a timely ,~,,~,~r, the St. Clair~ expaa'i~c~ will not re-oc~ar, and the cost of the facilities will b~ equitably shared amongst all bea-..fiting properties ia the project. Coun.':ilm':.m.mr Rindone asked if staff comid~etl Mr. Kilk~mny's sugg~.ioo of the A map for a small portion of the project to =asur~ the backbone facilities wer~ part of the A map. Couacilmemly~r Moot stated statTs proposal was a bott~,-r guaraat~* for the City. Mr. Lippitt rapli~ it was corm& Staff tri~ to coma up with a mechanism that would m~..t the developer's needs Pdchani Rosal~r, $~mior ?lann~r, continued staffs pr~Zratalion r~gantiag the Otay Ranch project. This 'ming tha time and place az advertised, the public h~u'ing was declared open. · Will;z,,, Lieb'~man, 852 ]~lOood Road, C~ula Vista, CA, Dir~.or of ?l~,,,,i,,g and Oporafions with the Men'opolitan Transit D~velopn~at Boani, supported the project, lie ~xpr~sed ooncernz r~lating to guarded ~ntries and de~ities in the village& · l~ic.k Will'am% 3130 Bonita Road, Chula Vista, with Point Build~"s, spoke on behalf of West Coast ~a~d Fund, owner of the 2gg-aca~ pam~l span,,~,g Villages 1 and 5. West Coast supports staff's l'l~ornmelldatioI1, although they would like to !w'~haps build the concept to def~ any approvals in Village 5 until the City, West Coast, and Village D~velopm~at have an oppommity to meet and ~plor~ issues. · 'K~m l~Ik'~,~,y, retnesenting Village Development, supported ztalTs recommendation with the excerption of modifying a portinn of the tontative map in Village 5 to encompass all of their ow'a~rship in Village 5, with the exception of two specific parcels. * * * Cotmcilmember Padilla left the dais at 11:11 p.m. * * * · Kent Dayden, 11975 E1 C~mino R~I, Saw Diego, CA, mpresentlng Viltage Developments, gave a prr. sentation regarding Otay Ranch and ref~n't~d to the report by Village Developm~t. Mr. K. ilkea.ny concluded with the issue of the scope of the tratative map. He indicated Village Development supports staff rec. omm~mdafion with the single modification that the scope of the tentative map should include Village Developments ownership in Villag~ 5, except for two parce~ that immediamly abut West Coast property wkich is Parcol R-29 and Parc~ P-3. We.st Coast has pn~viouzly indicated they would like to flip a school or park onto our ownership. The portion of the prol~rty in R-29 and ?-3 whi& should ~ excluded from the map is approximately it) to 15 a~'~, an ample size to flip those kinds of u.~es, not that they am ac.~pti~g or advocating that, but at least it provides the possibility. There being no further spenker~, the public hearing was clos..nt. Councilmem.mr Moot expressed conce, m of the practical effects of delaying the bonding until the B map level. He asked what azsura.nc.es were in place that the backbone ~ctures would 'm construoted. Mr. Kilkcany answered that the d~velopment agreement envt,;-~ a statement that until released by ~he City Council, Village Development is obligated to provide for the backbone infrastructure. The development a__m'cement also Mi~ ATTACHMENT Nov--.mb~r 19, 1996 Page g r .e-'qun'~s the provision of a suborelina6on agr~m~t by the l~der on the p~ in the ~vem the)' hake title to the property, they are bound by the provisions of thc davelopm~ut agr~:ment, incJudiag the b',~ckbone provision. ~ a couple of leveds of ussuran~s ia this project- The City of Chula Vis~ has a v~-y aggressive d~velopmmt i ~mpaz-t f~: program and _,.~.h bulldingt~mit that goe. s fln'ough the penn,as has to pay for those development impa:t fc~ for a whole ar~y of facilities, md the City will com~tantly have the flow of r~vmue to make sure each individual parc.~l pays for its fair sha~ of the faeiliti~. Wiam both the d~velopment agr~ment and t~atative map hawe are reatuiyem~ts that security b~ in plan tl~ongh bonding, but there ar~ othm' mechanisms to era-ute completiun of the facility ia a timely manner. Coun:ilmember Alevy asked why the project did not include spe~ bumps, because it was diff~nt from the pohcy Coon:il eaact~ in ~rec~nt months. Mr. Jamrisl~ explained the sp¢~ bnm?s wer~ not provid~ ia response to x~quests by the Fire CYaiaf and Chief of ?olin who felt any imp~i~mt w the traffic flow wo~d iauder th~'~r qth response. Coun;ilmember Al,~y asked staff to address the impact of MSCP on a County-wine basis on this particular projeck and what am the iaapacts of Proposition 218 on tiffs project. Mr. Lippil~ said one impact would b~ if we had the open spare: disui~t to maintain the open spac~ around the vilJage. If there are ~ comrmmitie.% every'thin,g privat, g within the ~ community would ~ ~;ntalnl,~.~ by the homeowners' asso;iadon, and it would not be r~gulat~i at all by Proposition 218. ]:or the portion probably along the slop~ of Telegraph Canyon Road and Orange Aveaue with issues such as drainage, those could be and probahly would fall under the provisions of Propusition21g which means the initial hearing would be ~t up before. peopi= moveafl in. If the people ~ already moved into the proje~:t bofore the ~s~ssmemts, ther~ would have to be Coun:ilmember Moot expressed cone. em about guarded communifi~. He did not favor staff's recommendation and doesn't see the big diff;'muee whether it has a gate or guard, because the concept is still the same. He could not see valid x~.sons to ~a'ia any ;4tlw~ ia the City of ChaJa Vista from driving in and around this parti~lar area. Coun:.ilmemb~ Riadone was concerned that guarded or gat~ communities send~ the inappropriat~ m~sag~ of what this project was originally eunce:ivad to be. When you have artifi:ial ban-lets and even the insinuation of those barri~, even if the)' are guards that are not there during the day, it erea ~tes a differenc.~; sense of anabiann. We wa.at to have the pr~,.s,en~e this is a good commuhity and ali parts have good proration and safety, not just those who can afford to be in the single-family or higher resid~fial facility. He did not favor guarded commuaiti~ ia an)' form. Mayor Horton indicate, el that gated commuaities w~re common, and ther~ wert: two areas ia Rancho del Rey which Council did not oppose. T/,aer~ an~ mobile home parks behind gates, because it is the Lifestyle the Particolar mobile home pax'ks wa~teai. She do-'~n't think it is exclusive; it is a choin and markeling tool for this project. Coun:iknember Alevy r~ferred to an article 'The Next .F. xlen,' from Catifomis Lawyer maga:,ine that talked about the benefits of having gated communities. Earlier this evening Council spoke al length regarding section 7.1 of the developm;nt agreement and the ba2kbone infrastructure, and it w~ clear ~ Coune, il did llot want to oreate situation ia this development that was not required of oth~r development. ~e indicated we need to tul-a that around with r~p~t to gates, b-Cause we have allowed gates in other parts of the City, We have private singl~-family resid~nn deve2opments with gates in both ,~sstlake and ~,~neho Del ]Rey, and he stated Council should be consist~at, If we are going to hold Rancho del key and Easflake to the same requirements on other issues as Village ]Development, then we should be consistent and do the same with giving them the oppommity from a markefmg standpoint to allow guarded portions of theh- development. MSC ('Horton/Ale~y) to ullow gate closures from dusk to dawn~ failed 2-2,-1 with Moot and Ri~done opposed and ?adilla absent. 7 Minutes ATTACHMENT ~ November 19, 1996 ~C (kl~omn) m ~low ~me faflifi~ ~ded from dmk to ~, approved 34-1, ~ ~ndune op~sed ~d ~lla ~L 13. PUBLIC HEARING ADOPTING OTAY RANCH PRF~ANNEXATION DEVELOPMENT AGREEMENT WI'I-It VILLAGE DEVELOPMENT - An amendment to the development agreement to further guarantee infrastmzm~ improvem~ts where the developer wants to creat~ parrmls for r~e prior to finalizing the ~ subdivision map. The ameadm:mt also ad~ furore problems with regard to may debt paymgnt that might be levied to make public i.mprovem:m~ or should development be orgy partially completed on any particular projec, t due to any stoppage oiwork ezpec/ally due to a bankruptcy action. Sta.ff reeommemds Council place the ordina~c* on fu~t reading. (l)epuly City Ma~ag~, pl~,~,i-,g Director, and Otay Ran*h Manager) Continued from the meeting of .ORDINANCE 2691 AMENDING OTAY RANCH PRE-ANNEXATION DEVELOPMENT AGI~I~2MENT Bi::l'Wl~!N OTAY RANCH, L.P., A CAI.1TOP, NIA LIMI'I'~e;D PARTNERSHIP, VIIJ.~,GE DEVELOPMENT, A CALIFORNIA GENERAL PARTiVEP~ H ~ ~', AND Tl:fl~ CITY OF CULILA VISTA (first rea dine) ORDINANCE 2t;91 OI~>'I::RED BY COUNCILMEM~ER MOOT, including adding the bonding language to section 7.1, approved 3-14 with Rindone opposed and Padilla absent. --- ORAL COMMUNICATIONS · Bill Brash~r, 1755 Old Gillette Avgnue, Irvine, CA, represtmting Claire Crossing development. BOARD AND COMMISSION RECOIVI~fENDATIONS None submitted. ACTION rl'I:;MS 14. RESOLUTION 18494 DISSOLVING TI~ COUNCIL APPOIN'.t'.e2D INTERIM BECA BOA.RD - On 8/22J95, Council approved an Interim BECA Advisory Board mpres~mted by 11 org~-~-~tlons/individuals. These organizations/individuals were recommended by staff to provide a mix of public and private entities who are stakeholders in the re=~onal BECA alliance. The Board's contributions include wo 'rking with staff in the arr.~ of coordinating and leveraging regional resources, el:thanc~t pro,mom marketing, and providing tec. h:fical advice. These functioas may be be~t served by the Board continuing to act in an advisory capacity to the BECA program and staff. For the purposes of legal clarification, staffis recommending the existing Inn:rim Board, az appointed by Council, be dissolved and the new Board membership be selected by staff. Staff recommencls approval of the resolution. (Director of Commtmity Development) Continued from the meeting of 11/I2/96. Cheryl Dye, .Economic Development Manager, said staffrecommeads Council dissolve the Council-appointed BECA advisory board, with the tmdemtanding that staff would appoint a board. Councitmember Moot ~ggested constituting an Ad Hoc Council sub~mmitt~ on the BECA board and requested staff r"~h the issue of a~ ad hoc subcommittee with Coungil serving az an ex-officio non-voting member. -- [ ~ecreation Director) (0B/04/95) be~ter way to phrase it would be "there is no chanqe in the fiscal impact." There is a fiscal impact, but there is no change in it. community that this program is available for them. Chabbody does a good job of advertising through the Star News and through the u3/uT/00 'I'UE 11:43 FAX 619 691 5173. CIIULA 'v'ISTA ENGINEERING YOu ~ ~ui~ lO ~ a S~t Uz ~JS~O$~ O[ ~ O~p Or ~nnn~ ~t~, p,y~, or ~ga c mmouu~, bo~. ~e ~ow~g ~i~ m~t ~ 1. ~t ~c n~ of ~ p~ hav~g a ~ ~te~t in ~c ~ w~ is ~e subjc~ of ~ ~li~lon or b: Co~, e.g., o~, ~pH~t, ~n~c~r, su~on~tor, ~t~ sUppli~. 2. If any person* idemLfied pursuant to (1) above is a corporation or pa~narship..list the m, ~mes__ of all individuals t v~ning more than log of the shares in the corporatioa or own~g any partnership ina:rest in the pmmm-ship. 3. If any petsonV idemificd pursuant to (I) above is non-profit org?n;,'-t~on or a trust, list thc names of any perrm t ~ ~ director of the non-profit organization or as u'ustee or bencticiazy or trustor of thc LrU. SL 4. Have you had mom than $250 worth of business transacted with any member of th~ City staff, Boards, Ce r:,mi'~sionS, Committee~, and Couucil Within [he past twelve month.'? Yes ~ No ~f:; If yes, please: indic, ale person(s): .... 5. Please identify each and every pm*son, includillg any agents, cmployccs, consulmnLs, or independent Contract¢ :~ who you have aasig~d to rcprcscat you before the City in Lhis roarer. 6, Rave you and/or yo~ officers or agents, in the aggzegate, ConLributed more ~ $I ,000 to a Council member in the current or p _tec_~ing election period? Yes No ~ yes, state which Council members(s): ..... * * * (NOTE; Attached additional pag~s 9s nec .eqssry~l~,*" / , $igaature of ContractorTAt,pli~at P~.nt or p/pc name o~ ~on~-tor/~pli~ant ~ubdivL~on. or ~ oth~ gro~ or ~l~on ~ing ~ a ~it. OTA¥ RANCH **DRC appr'd MF Stage 3 Threshok H:home\engineer\landdev~otayrnch~triggers~Otay Ranch SPA One with VlW. AIt (Rev) .xls RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING FINAL KB" MAPS FOR CHULA VISTA TP~ACT NO. 96-04, OTAY PJkNCH SPA ONE, VILLAGE 5, UNITS 7 AND 11 (PORTIONS OF NEIGHBORHOODS R-34 AND R-37), ACCEPTING ON BEHALF OF THE CITY OF CHULA VISTA THE ASSIGNABLE AND IRREVOCABLE GENERAL UTILITY/kND ACCESS EASEMENTS, LOT "A" OF UNIT 7 AND THE 2- FOOT WALL EASEMENT ON UNIT 7, AND APPROVING TWO "B" MAP SUBDIVISION IMPROVEMENT AGREEMENTS, AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENTS NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista hereby finds that certain map survey entitled Chula Vista Tract 96-04 OTAY RANCH SPA ONE, VILLAGE 5, UNIT 7, and more particularly described as follows: Being a subdivision of Lot 20 of Otay Ranch Village 5 "A" Map No. 1, Chula Vista Tract No. 96-04, as shown on Map No. 13615, in the City of Chula Vista, County of San Diego, State of California, filed in the office of the County Recorder of San Diego County on August 12, 1998. Area: 5.714 Acres No. of Lots: 21 Numbered Lots: 16 Lettered Lots: 5 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 Assignable and Irrevocable General Utility and Access Easements, all as shown on said map within this subdivision. BE IT FURTHER RESOLVED that said Council hereby accepts on behalf of the City of Chula Vista the 2-foot wall maintenance easement as shown on said map within said subdivision. BE IT FURTHER RESOLVED that said Council hereby accepts on behalf of the City of Chula Vista the Dedication of the Fee Interest of Lot A for open space and other public purposes. BE IT FURTHER RESOLVED that the City Clerk of the City of Chula Vista is hereby authorized and directed to endorse upon said map the action of said Council; that said Council has approved said subdivision map, and that those certain Assignable and Irrevocable General Utility and Access Easements, and wall easement, as granted thereon and shown on said map within said subdivision, and the dedication of the fee interest of said Lot A shown on said map within said subdivision, are accepted on behalf of the City of Chula Vista as herein above stated. BE IT FURTHER RESOLVED that City Clerk is hereby directed to transmit said map to the Clerk of the Board of Supervisors of the County of San Diego. BE IT FURTHER RESOLVED that that certain Subdivision Improvement Agreement dated the for the completion of improvements in said subdivision, a copy of which is on file in the office of the City Clerk, is hereby approved. BE IT FURTHER RESOLVED that the City Council of the City of Chula Vista hereby finds that certain map survey entitled Chula Vista Tract 96-04 OTAY RANCH SPA ONE, VILLAGE 5, UNIT 11, and more particularly described as follows: Being a subdivision of Lot 3 of Otay Ranch Village 5 "A" Map No. 1, Chula Vista Tract No. 96-04, as shown on Map No. 13615, in the City of Chula Vista, County of San Diego, State of California, filed in the office of the County Recorder of San Diego County on August 12, 1998. Area: 4.651 Acres No. of Lots: 27 Numbered Lots: 23 Lettered Lots: 4 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 Assignable and Irrevocable General Utility and Access Easements, all as shown on said map within this subdivision. BE IT FURTHER RESOLVED that the City Clerk of the City of Chula Vista is hereby authorized and directed to endorse upon said map the action of said Council; that said Council has approved said subdivision map, and those certain Assignable and Irrevocable General Utility and Access Easements, as granted thereon and shown on said map within said subdivision, are accepted on behalf of the City of Chula Vista as herein above stated. 2 BE IT FURTHER RESOLVED that City Clerk is hereby directed to transmit said map to the Clerk of the Board of Supervisors of the County of San Diego. BE IT FURTHER RESOLVED that certain Subdivision Improvement Agreement dated the for the completion of improvements in said subdivision, a copy of which is on file in the office of the City Clerk, is hereby approved. BE IT FURTHER RESOLVED that the Mayor of the City of Chula Vista be, and is hereby authorized to execute said agreements for and on behalf of the City of Chula Vista. Presented by Approved as to form by John P. Lippitt John~M~C~Kaheny Director of Public Works City Attorney H:\home\attorney\reso~villa~e 5 units 7 and 11 final B Maps 3 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 2~4~' day of /~RIC , 2000, by and between THE CITY OF CHULA VISTA, a municipal corporation, hereinafter called "City", and OTAY RANCH V- 2, LLC, a Delaware Limited Liability Company, 3920 Valley Centre Drive, San Diego, CA 92130, hereinafter called "Subdivider" with reference to the facts set forth below, which Recitals constitute a part of this Agreement RECITALS: 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 CVT 96-04 Otay Ranch Village 5, Unit 7 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 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. 18398, approved on the 19th day of November, 1996 ("Tentative Map Resolution"); and WHEREAS, complete plans and specifications for the construction, installation and completion of said public improve- ment work have been prepared and submitted to the City Engineer, as shown on Drawings Nos. 99-1416 through 99-1413, 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 Two Thousand Dollars and No Cents ($102,000). NOW, THEREFORE, IT IS MUTUALLY UNDERSTOOD AND AGREED AS FOLLOWS: 1. Subdivider, for itself and his successors in interest, an obligation the burden of which encumbers and runs 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, including the improvements described in the above Recitals ("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 as described in the above Recitals this reference are incorporated herein and made a part hereof. 2. It is expressly understood and agreed that all monuments have been or will be installed within thirty (30) days after the completion and acceptance of. the Improvement Work, and that Subdivider has installed or will install temporary street 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 2 or before the second anniversary date of Council approval of the Subdivision Improvement Agreement. 4. It is understood and agreed that Subdivider will perform said Improvement Work as set forth hereinabove, or that portion of said Improvement Work serving any buildings or 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-One Thousand Dollars and No Cents ($51,000) 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-One Thousand Dollars and No Cents ($51,000) to secure the payment of material and labor in connection with the installation of said public improvements, which security is attached hereto, marked Exhibit "B" and made a part hereof and the bond amounts as contained in Exhibit "B", and made a part hereof. 8. Subdivider further agrees to furnish and deliver to the City of Chula Vista, simultaneously with the execution of this agreement, an approved improvement security from a sufficient surety, whose sufficiency has been approved by the City in the sum of Three Thousand One Hundred Fifty Dollars and No Cents ($3,150) 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 3 such specifications herein contained or referred, or at the option of the City, as are approved by the City Council at the time of engaging the work to be performed. Upon certification of completion by the City Engineer and acceptance of said work by City, and after certification by the Director of Finance that all costs hereof are fully paid, the whole amount, or any part thereof not required for payment thereof, may be released to Subdivider or its successors in interest, pursuant to the terms of the 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. 11. It is further understood and agreed by Subdivider that any engineering costs (including plan checking, inspection, materials furnished and other incidental expenses) incurred by City in connection with the approval of the Improvement Work plans and installation of Improvement Work hereinabove provided for, and the cost of street signs and street trees as required by City and approved by the City Engineer shall be paid by Subdivider, and that Subdivider shall deposit, prior to recordation of the Final Map, with City a sum of money sufficient to cover said cost.' 12. It is understood and agreed that until such time as all Improvement Work is fully completed and accepted by City, Subdivider will be responsible for the care, maintenance of, and any damage to, the streets, alleys, easements, water and sewer lines within the proposed subdivision. It is further understood and agreed that 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 4 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 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. 15. Assignability. Upon request of the Subdivider, any or all on-site duties and obligations set forth herein may be assigned to Subdivider's successor in interest if the City Manager in his/her sole discretion determines that such an assignment will not adversely affect the City's interest. The City Manager in his/her sole discretion may, if such assignment is requested, permit a substitution of securities by the successor in interest in place and stead of the original securities described herein so long as such substituted securities meet the criteria for security as set forth elsewhere in this Agreement. Such assignment will be in a form approved by the City Attorney. (NEXT PAGE IS SIGNATURE PAGE) 5 SIGNATURE PAGE TO SUBDIVISION IMPROVEMENT AGREEMENT CVT 96-04 OTAY R/kNCH VILLAGE 5, VILLAGE 7 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 OTAY RANCH V-2, LLC, a Delaware Limited Liability Company Mayor of the City of Chula ' ATTEST City Clerk Approved as to form by City ~o~e~ (Attach Notary Acknowledgment) 6 ! ! I · '1 T ~o~n m me - OR- ~ proved to m~ on the b~sis ~dencc to be ~e p~on~ w~ose ~owledged to me ~at h~s~ ex~u.d the same in hisSer/their authorized capacity~s); and that by his~/t~ ~a~e~ on ~e ~ment ~e ~so~, or the entity upon beh~f of which the nOa~fi~:~ ~rson~ acted, exeeut~ ~e ~s~ent~ ~ C0mm./1219172 not ~ed by ~w. However, it ~d ~nt ~aud~t ~hm~m of BY $~G~R (P~C~) DESC~ON OF A~AC~D DOC~ GU~/CONS~VATOR ' ~l LIST OF EXHIBITS Exhibit "A" Improvement Security - Faithful Performance Form: Bond Amount: $51,000 Exhibit "B" Improvement Security - Material and Labor: Form: Bond Amount: $51,000 Exhibit "C" Improvement Security - Monuments: Form: Bond Amount: $3,150 Securities approved as to form and amount by uU~ity Attorney~ Improvement Completion Date: Two (2) years from date of City Council approval of the Subdivision Improvement Agreement, H: \home \ at t orney\ sia~ORVSU7 7 "Executed in Triplicate" File No.: o,z2tJ BOND FOR FAITtIFLK, PERFORMANCE Bon No.: (To Be Used Prior to Approval of Subdivision Improvement Agreement) Premimn: $1.530.00 / 2 yr WHRREAS, the City Council of the City of Chnla Vista, County of San Diego, State of Califom/a, ~nd Ota~z Ranch V-2 LLC A Delaware limited liabilit~ company 01erelnmgt~T ~Principal~) desire to enter into a Subdivision Improvement Agreement (hereinafter referred to as "Agreement') whereby Principal agrees to install and complete certain designated public improvements for the project known as Otay Ranch Village 5 Unit 7 ;and WI4]qREAS, Principal desires to commence construction of said public improvements prior to approval of said Agreement by the City Council of the City of Chula Vista; and, WI-~.RF_a~, the City of Chula Vista, County of San Diego, State of California~ has issued to Principal Construction Permit No. (C_- \~v) ~ (hereimfter referred to as "Permit') for the public ;mprovement work as set forth in more ~ietail on City of Chula Vista Drawing Nos. c~ _ % q through 9fi - ~ ~G , regarding construction of said public improvements, which Permit is hereby r~ferred · to and made a part hereof; and, ~ ~ ~, ~_ WI~.RF_a~, smd Principal is required under the terms of said Permit to furnish a bond for faithful performance of said Permit. NOW TI~.REFORE, we, the Principal and Front~ier Pacific Insurance Company , a corporation of the State of California , (hereinafter ~Surety"), are held Jnd firmly bound unto the City of Chula Vista, a m,m~cipal corporation (here~n~fmr ~City") in the County of San Diego, State of CmHfornia, and to and for the benefit of any and all persons who m~y suffer damages by breach of the conditions hereof, in thc pCIlal sllm of Fifty One Thousand and No/100ths--d6~]~t~, ($ 51,000~00 ), ]a~511money of the United States, for the payment of which sum well ~nd truly to be nmde, we bind ourselves, our heirs, successors, executors and administrators, jointly and severally, firmly by these presents. The condition of this obligation is such that if the above-bound Principal, his or its heirs, executors, admini~a'afOrs, SUCCeSSOrs or assig]ls, mhm~] in all things staRd to and abide by, and well mud truly keep and perform the t~rms, covenants, conditions, and provisions of said Permit'and a subsequent Agreement and any alteration thereof m~de as therein provided, on his or their part, to be kept ~d performed at the time and ill the mmtmmr therein specified, a~t in all respects according to their [r~ in~ mhd memnlng, and indemnify and save tmrmless City, its officers, agents and e~loyees, as therein stipulated, then this obligation sh.H become null and void; otherwise, it sb.H be and remm~n in full force and effect. As part of the obligation secured hereby and in addition to the face amount specified therefor, there sha~ be included cos~ and reasomble expenses and fees, inc~ding reasonable attorney's fees, h~curred by City in successfully enforcing such obligation, all to be taxed as costs mhd included in any judgment rendered. The Surety hereby stipulates and agrees that no ch.nge, extension of Hme, alteration or addition to the terms'of the P=~,,,;t or to the work to be perfomed thereunder or the specifications accompanying the same sh~l] in anywise affect its obligations on this bond, and it does hereby waive notice of any such change, extension of time, alteration or addition to the terms of the Permit or to the work or to the In addition to the acts bonded for pursuant to the Permit incorporated above, the following acns and performances are additionally subject to the terms of this bond: n/a IN WITNESS WIqF~REOF, this ~ hah beell duly executed by the Principal and Surety above named, 011 January 25, ,-1~ 2000 OTAY RANCH V-2 LLC a Delaware limited liability company ~Frontier Pacific Insurance Company Name of Principal (Applicant) Nam~ ~f Su[ety Co~mpan~ A /q _ ~ ' ~ VIC~OR'fA ~ CAMPBELL ATTORNEy-~-FACT Address of Surety Company SD00083484 San D±e~o, CA 92101-8208 Bond/Policy No. City State Zip Code ABOVE-SIGNATORn*.~ MUST BE NOTARrZk'~ Bond/Policy No.: SD00083484 Prillcip~ 0TAY RARqCH V-2 LLC A DELAWARE LIMITED LI/~BILITY COMPANY Amoullt $51,000.00 In Favor of Ci_ty of Chul~ Vista This bond, submitted for Faithful Performance ., covers conslzucfion of public improvements, if any, both prior to and subsequent to, City approval of Principal's Subdivision Improvement Agreement as to the project known as Otay Ranch Village 5 Unit 7 ~ l{ider is ~f~ectiye January 25, 2000 ByName of [)/~~Sh~retyI Frontie~r ~.P a c i/~c / ~/~~Insuranc~e C91~ / ~ VICTORIA M CAMPBELL, 'ATTORNEY-IN-F~CT-- ~ APPROVED AS TO FOPdVI: City Anor~e~ ~/ m ~oxrmm~am ~WODma~omus~_~ OND.~m ALL-PURPOSE ACIt~OW'LEDGMENT State of C~fomia ~ ~ e~dence to be ~e pe~on(s) whose n~e(s) [ is/~e sub~d to ~e withM ins~ment ~d . · ac~owledged to me ~at h~sh~ey ex~umd [ the same in his/her/their authorized ~ capacity(les); and that by his/her/their ~ si~amre(s) on ~e ~s~ment ~e ~son(s), · .. - .............. or the entity upon behalf of which the ~ .~ co~m./~2~m ~ person(s) acted, executed ~e ins~ent. ~e ~fion ~low ~ not re~ by law. However, it m~d ~event ~aud~ent a~c~nt of ~s ac~owl- ~ c~Ac~ c~ n~ sIc~R (P~Clr~) B~SC~ON OF DOCU~ ~ GU~/CONS~VATOR ~O~R: SIGN~R IS REPRESENTING- St$ie' of California County of Orange On January 25, 20o0 before me, Patricia M White, Notary_ _P.u_blic . DA'rE NAME, TITLE OF OFFICER - E.G., 'JANE DOE. NOTARY PUBLIC' personally appeared VTCTORTA M C~]~-LL , NAME(S) OF SIGNER(S) r-~ personally known to me -z~- [] . __ ~ to be the person{e) whose name(~) is~el~ subscribed to the within instrument and acknowledged to me that kae/she/tknF~ executed the same in:xl~/her~ authorized capacity(~s), and that by lii]~'her/tl~ll~ signature(~ on the instrument the person~, or the entity upon behalf of which the person(~) ~'-~'-~'"~'~'~"~ acted, executed the instrument. _~ .- ., ~o,o,/~-c,,,,m~ ~~ WITNESS my hand and official seal. ~ , . Orange County SIGNATURE OF NOTARY' OPTIONAL I Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent re. attachment of this form. CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT J--]INDIVIDUAL ["-]CORPORATE OFFICER TITLE OR TYPE OF DOCUMENT Tn'LE(S) F-~PARTNER(S) J-]LIMITED ~--IGENERAL [-~A'I-TORNEY-IN-FACT NUMBER OF PAGES F--~TRUSTEE(S) [--]GUARDIAN/CONSERVATOR r-]OTHER: DATE OF DOCUMENT SIGNER IS REPRESENTING: SIGNER(S) OTHER THAN NAMED ABOVE i~AME OF PERSON(S) OR ENTITY{lES) "Executed in Triplicate" [ FDe No.: BOND FOR MATERIAL AND LABOR [ Bond No.: SD000S~4S4 (To Be Used Prior to Approval of Subdivision Improvement Agreement) [ Prmnium:~ in [Performance bond WHEREAS, the City Ccnm~l of the City of Clmla V'mm, Coumy of San Diego, State of Cnlheorn~m~and 0ray Ranch V-2LLC A Delaware l~,~ted liability (he~i~c~er ~PI~p~l desire to en~r imo a Subdivisign.. Improvement Agreement (hereimi~r ~T~a~to as "Agremnent") whereby Principal a~ees to ~ surl complet~ cc~n desk--ed public ~ms for the project known as Otay ILanch Village 5 Unit 7 ; and WJ-r~.EAS, Principal des'~es to co.,.,ence construction of said public improvements prior to approval of said Agreement by the City Council of the City of Chula Vista; and, V~rr~.EAS. the City of Chula~ Vista, County of San Diego, Sram of Caiifomia. ~ issued to public' t mvem~ work as set forth m more d. lail on Cify of Clmla ¥i~ta Drawing Nos. ~-~ -. V-~ ~ ~ through t~q ~ \~ [ (~ , regarding eom-traction of ~aid public improvements, which Permit is hereby referred to and made a part he.of; and, ~, reader the terms-of' said Permit. Pr~cipai is required, before entering upon the performance of the work, to file a good and Su~cient payment bond with the City of Chula Vista to secure the cln+m~ to which reference is made in Title 15 (cotnmenciog with Section 3082), Part 4, Division_ 3:, of the Civil Code of the State of Californin~ NOW ~ORE. $nid Pililc~pal and Frontier Pacific Insurance Company , a corporation of the State of California . ~ 'Surety~), are held and firmly bound umo the City of Chala Vista, a nnmicipal corporation (here{nnf~r 'City~) in the Coumy of San Diego, sram of California, and all cold. aCtOrS, sob¢ontractOrS, laborers, mntL~rinlmen ~ other persons employed in the perforTn~nce of the aforesaid Permit and referred to in the aforesaid Code of Civil Procedure in the sum of Fifty One Thousand and N0/100ths ......... dollars, ($ 51,o0o.00 ), lawful money of the United States, for materials f~rni~hed or labor thereon of any kind, or for amount~ due under the Une~uloymem Inmzrnnae Act ~ respect to such work or labor, ,hn, said Surety will pay the same in an amount not exceed{ng the amotmt here~n~hove set forth, and also in case suit is brought upon bond, will pay, in aad~ion to the face amount thereof, costs and reasonable expenses and.fees, incl, a~ng reasonnhte attorney's fees, inctmred by Ck'y in successfully enfoz:lng such obligation, to he awarded fixed by the court, and to be axed as costs nnd to be included in the judgment therein rendered. It is hereby expressly ailpalated nnrl agreed that th~ bond slmll inure to the benefit of any and all pemons, compnn~es and corporations e,,lllled to file claims und~ Tire 15 (commencing with Section 3082), Part 4, DivLsion 3, of the Civil Code, so as to give a right of action to them or their assigns in any suit brouglx upon m~.~ bond. Should the condition of this bond be fully performed, ~ this obligation shall become null and void, otherv~, it shall be and remain in full force and effect. The Surety hereby s~,late~ and agr~s that no chnn~, extension of time, alteration or addition to the te,~us of the Pe,'m~t or to the work to be perforrn~d theromder or the specifications accompanying the same shall in anywise affect its obligations on ~i~ bond, and it does hereby waive notice of any such change, extension of time, alteration or addition to the terms of the Permit or to the work or to the specifications. IN WITNESS ~OF, this ~ Ires been dnly execnted by the Prin~al ~na Surety above n~med, Oll January 25, ,19 2000 0TAY RANCH V-2 LLC A DELAWAKE LIMITED LIABILITY COI~PANY FRONTIER PACIFIC INSURANCE COMPANY Name of Principal (Appl~can~) N~me of ' , VICTORIA M CAI~BELL,' ATTORNEY~IN-FACT' Address of Surety SD00083484 San D±ego, CA 92101-8208 Bond/Policy No. City State Zip Code Bond/P _olicy No.: s30008348~ Prin~al. 0ray Ranch V-2 LI'.C a Delaware Lira±ted Liab±l±ty Company Amount $51,00o In Favor of · City_ of Ctmla V~a ~ bOll{t, 811bmitl~[ for Labor & Mater±al , covers ¢om'tru~on of public improvements, if any, both prior to and subsequent to, City approval of Principal's Subdivision Improvement Agreement as to the project known as Otay Ranch V±lla~e 5 Un±t 7 TI~ Rider is Effective January 25,· 2000 Name of ~S?ety F~.ONTIER ?AClF~,C INSUI~CE VI CTO'I(IA M ABOWE-SIGNATORIES MUST BE NOTAI~D APPROVED AS TO FORM: City-Attd~qy m~ItOI,~XEN6m~DEV~OP. MSh',a~4._BOND.RID .~L~LrI~P 0 S~- ACKi~OW~,EDGMENT } ~rso~y aped ~ ~ ~l'~g~ ~ ~ person~y ~own to me: - OR- proved to on ~e basis of satisfactory e~denm to ~ ~e p~on(s) whose nme(s) ~/~ sub~fi~d tO ~e ~ ~s~ent ~d ~owledged to me ~t h~she/~ey ex~u~d capacity(ies); ~d that by his/her/their or the entity upon beh~f of which the ~ Comm,!1219172 ,,, O~ON~ ~O~ON ~e ~on ~low ~ not ~ by ~w. H~ever, ~ ~AC~ C~D BY SIGma (P~C~) D~SC~ON OF A~AC~D DOC~ ~ A~O~-~-r~ ~ SIGN~ '$ta:-e bf California County of 0range On January 25, 2ooo before me, Patricia M White, Notary_ .P.u_blic . . , DATE NAME, TITLE OF OFFICER - E,G., 'JANE DOE, NOTARY PUBLIC' oersonally appeared VICTORIA M CAMPBELL NAME(S) OF SIGNER(S) ~ personally known to me -z~:- [] ~ to be the person{e) whose name~ is~ subscribed to the within instrument and acknowledged to me that l~a~/she/tla~y executed the same inzla~/her~ authorized capacity{l~), and that by Ir~fher/t1~i~i[signature{e) on the instrument the person{~, or the entity upon behalf of which the person(~) ~,.o..~ acted, executed the instrument. ~ .?~g-;:::;~ ~o~or~b,o--Co~,,~o ~ WITNESS my hand and official seal. OPTIONAL Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form. CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT I-'IlNDIVIDUAL r--]CORPORATE OFFICER TITLE OR TYPE OF DOCUMENT TITLE(S) F--~PARTNER(S) FJLIMITED r-]GENERAL r~A'FI'ORNEY-IN-FACT NUMBER OF PAGES [-]TRUSTEE(S) r~ GUARDIAN/CONS ERVATOR F--IOTHER: DATE OF DOCUMENT SiGNER(S) OTHER THAN NAMED ABOVE 31GNER IS REPRESENTING: ~AME OF PERSON(S} OR ENT~(IES) NTIER INSURANCE COMPANY (o C(31ifomio Company) 101 West Brooclwoy,Suite 700,Son D[ego,Colifornia 92101 POWER OF ATTORNEY .~/tO~0 c~["[' (7~/~tt (~,,a (~C$C (~t'CSCttt~: That FRONTIER PACIFIC INSURANCE COMPANY, a California Corporation, having its principal office in San Diego, Califomia, pursuant to the following resolution, adopted by the Board of Directors of ~e Corporation on the 15th day of November, 1991. 'RESOLVED, that the Chairman of the Bsen:l, the President, or any V'me President be, and hereby is, authorized to appoint Attorneys-in- Fact fo represent and act for and on behalf of the Company to execute bonds, undertakings, recognizances and other contracts of indemnity and writings obligatory in the nature thereof, and to attach thereto the corporate seal of the Company, in the transaction of its surety business; URESOLVED, that the signatures and attestations of such officers and the seal of the Company may be affixed to any such Power of Attorney or to any certificate relating thereto by facsimile, and any such Power of Attorney or ce~finate bearing such facsimile signatures or facsimile seal shall be valid and binding upon the Company when so affixed with respect to any bend, undertaking, recognizance or other contract of indemnity or writing obligatory in the nature thereof; 'RESOLVED, that any such Attorney-lo-Fact delivering a sscretaribl cedfficetian that the foregoing resolutions still be in effect may insert in such certification the date thereof, said date to be not later than the date of delivery thereof by such Attorney-th-Fact." This Power of Attorney is signed and sealed in facsimile under and by the authority of the above Resolution. DOES HEREBY MAKE, CONSTITUTE AND APPOINT: THOMAS G. MCCALL VICTORIA M. CAMPBELL PATRIClA M. WHITE JANINA MONROE of COSta Mesa , in the State of California its true and lawful Attorney(s)-in-Fsct with full power and authority hereby conferred in its name, place and stead to sign, execute, acknowledge and dsiive 'r in its behalf, and as its act and deed, without power of redalegebon, as follows: Bonds guaranteeing the fidelity of persons holding places of public or pdvate trust, guaranteeing the pedormance of contracts other than insurance policies; and executing or guaranteeing bonds and undertakings required or permitted in all actions or proceedings or by law allowed; IN AN AMOUNT NOT TO EXCEED THREE MILLION FIVE HUNDRED THOUSAND ($3,500,000.00) DOLLARS; and to bind FRONTIER PACIFIC INSURANCE COMPANY thereby as fully and to the same extent as if such bend or undertaking was signed by the duly authorized officers of FRONTIER PACIFIC INSURANCE COMPANY, and all the acts of said Attomey(s)-lo-Fact pursuant to the authority herein given are hereby ratified and confirmed. ~. (:~[t/!.¢$5 (~¢T¢O~, FRONTIER PACIFIC INSURANCE COMPANY of San Diego, California, has caused this Power of Attorney to be signed by its Vice President and its Corporate seal to be affixed this 1 0th day of. August 1998 FRONTIER PACIFIC INSURANCE COMPANY COUNTY OF SAN DIEGO) On AHOUSt 10 '~ CI~R before me, N. Ortiz, personally appeared David E. Campball, personally known {o me or proved to me on the basis of sati"'~-fa"~o ry evid§nc~ ~'o"be the person whose name is subscribed to the within instrument and acknowledged to me that he executed the same in his authedzed capacity, and that by his signature on the instrument the person(s), or the entity upon behalf of which the person(s) acted, I, the undersigned, Joseph P. Loughlin, Secretary of FRONTIER PACIFIC INSURANCE COMPANY, do hereby certify that the original POWER OF ATTORNEY, of which the foregoing is a full, true and correct copy, is in full force and effect. IN WITNESS WHEREOF, I have hereunto subscribed my name as Joseph P. Loughlin, Secretary, and affixed the Corporate Seal of the "Executed in Triplicate" SURVEY MONRJMENT INSTi&LLATION BOND Bond No.:SD00083489 Premium: $100. oo Ota¥ Ranch V-2'LLC LET IT BE KNOWN BY THESE PRESENTS, that a Delaware Limited Liability Company aS the subdivider (hereknafrer ~Prin¢ipa]"), andFRONTIER PACIFIC INSURANCE COMPLY · a corporation of the State of CALIFORNIA (hereinafter "Surety"), are ~ld and firmly, bound unto the City of Chula Vista, a municipal corporation (hereinafter ~City'), in the County of Sm~ Diego, State of California, ~md w and for the benefit of any and all persons who may suffer d~rn~ce by reason of the breach of the conditions hereof, in the penal sum of Three Thousand One Hundred Fifty and No/100ths dollars ($' 3,130:00' ) lawful money of the Un/ted Stares, m be paid to City. WHEREAS, Principal is presently engaged in subdividing certain lands to be known aS OTA¥ RANCH VILLAGE 5, UNIT 7 subdixSsion in the City of Chula Vista; and, WHE~, Principal and City have entered into a Subdivision Improvement A~eement approved by City Council Resolution No. (hereinafter referre3 to as "A~eemenC) ' whereby Principal a~ees to install durable survey monuments for said subdivision, which said A~ment, dated , 19 , and identified ms project 0TAY RANCH VILLAGE 5, UNIT 7 , is hereby referred to and made a part hereof; and, WHEREAS, Principal desires to not install dnrable survey monuments prior to the recordation of the :fin~] map of the subdivision and desires to install same at a later dam, NOW, THEREFORE, the condition of the above obligation is that if Principal shall have installed durable monuments of the survey by. Ltr~STROM & ASSOCIATES Oq~ of Lionel Civil ~/~g/n~r ~ L~d bhn'veyor) in accordance ~dth the final m~ of said subd/vision, a copy of whi~ said map is hereby made and same is incorporated herein as thougja set forth in full, and according to the ordinsnces of the City of Chula Vista in full force and effect at the time of the ~ving of tiffs bond, on or before the expiration of thirty (30) consecutive days following completion and acceptance of public improvements wit/fin' said subdivision as specified in said Agreement, then the obligation shall be void, otherwise to be and remain in full force and effect. A.LL-PLrRPO S~. AC~/OWLEDG~NT ~ personally ~own to me -OR- ~ proved to m~ on the basis of satisfactory e~dence m ~ ~ p~on(s) whos~ ~]~ subscfi~ t0 ~ ~thin ~ment ~d ' ~owledged to me ~ h~sh~ey ex~umd the same in his/her/their authorized capacity(ies); ~d that by his/her/their ~a~(s) on ~e ~ment ~e p~son(s), or the entity upon beh~f of which the ~e~so~(s) ~d, cxccu~d ~c ~ Comm.! 1219172 ._ , O~ON~ ~O~ON ~e ~on ~low ~ not ~d by ~w. H~v~r, it ~d ~wnt ~nt ~ehmant of ~s a~owl- ~ ~ ~ nn~nth~ d~menL CO~ ~ 0 - ~ ~ GH~/CONS~VATOR SIGNER ~ REPRESE~IHG- , State of California County of Orange On January 26, 2000 before me, Patricia M White, Notary_ ~qblic , DATE NAME. TITLE OF OFFICER - E.G.,'JANE DOE. NOTARY PUBLIC' personally appeared VICTORIA M CAMPBELL NAME(S) OF SIGNER(S) ~ personally known to me -z~l~- [] .... to be the person{e) whose name~) is~a~ subscribed to the within instrument and acknowledged to me that l~/she/t~ executed the same in~/her,a~ authorized capacity[~.l~), and that by lfl~her/t~i~F signature(~ on the instrument the ~._,,..,.,~:_..~_~,~.~,, ~> person(~, or the entity upon behalf of which the person(~) ~ ~ ,~,~ acted, executed the instrument. ~ ~'~ ........... ; WITNESS my hand and official seal. OPTIONAL Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form. CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT [--]INDIVIDUAL [--'JCORPORATE OFFICER ~TLE(S) TITLE OR TYPE OF DOCUMENT [--]PARTNER(S) r-]LIMITED F-~GENERAL F~A-I-rORNEY-IN-FACT NUMBER OF PAGES [-']TRUSTEE(S) ['-]GUARDIAN/CONSERVATOR [--]OTHER: DATE OF DOCUMENT ~IGNER IS REPRESENTING: SIGNER(S) OTHER THAN NAMED ABOVE NAME OF PERSON(S) OR ENTrrY(IES) INSURANCE COMPANY (O California Company) 101 West Broadway.Suite 700.SQn Diego.California (72101 POWER OF ATTORNEY ~t/,O~ c~, ['[' (~'[¢t!. ~ ~j~¢ ~t'¢$¢ll. tS: That FRONT1ER PACIFIC INSURANCE COMPANY, a California Corporation. having its pdncipal office in San Diego. California, pursuant to the following resolution, adopted by the Board of Directors of the Corporation on the 15th day of November, 1991. "RESOLVED, that the Chairman of the Board, the President, or any Vice President be, and hereby is, authorized to appoint Attomeys-in- Fact to represent and act for and on behalf of the Company to execute bends, undertakings, recognizances and other contracts of indemnity and writings obligatory in the nature thereof, and to attach thereto the corporate seal of the Company, in the transaction of its surety business; "RESOLVED, that the signatures and attestations of such officers and the seal of the Company may be affixed to any such Power of Attorney or to any certificate relating thereto by facsimile, and any such Power of Attomey or certificate bearing such facsimile signatures or facsimile seal shall be valid and binding upon the Company when so affixed with respect to any bond, undertaking, recognizance or other contract of indemnity or wdfing obligatory in the nature thereof; "RESOLVED, that any such Attorney-in-Fact delNedng a secrel~rial certification that the foregmng resolutions s~ll be in effect may insert in such ca,lit, cation the date thereof, said date to be not tster than the date of dalive~/thereof by such Attorney~in-Fact." This Power of Attorney is signed and sealed in facsimile under and by the authority of the above Resolution. DOES HEREBY MAKE, CONSTITUTE AND APPOINT: THOMAS G. McCALL VICTORIA M. CAMPBELL PATRICIA M. WHITE JANINA MONROE of Costa Mesa , in the Slate of California its true and lawful Attomey(s)-in-Fact with full power and authority hereby conferred in its name, place and stead to sign, execute, acknowledge and delive; in its behalf, and as its act and deed, without power of redalogation, as follows: Bonds guaranteeing the fidelity of parsons holding places of public or pdvato trust, guaranteeing the performance of contracts other than insurance policies; and executing or guaranteeing bonds and underlakings required or permitted in all actions or proceedings or by law allowed; IN AN AMOUNT NOT TO EXCEED THREE MILLION FIVE HUNDRED THOUSAND ($3,500,000.00) DOLLARS; and to bind FRONTIER PACIFIC INSURANCE COMPANY thereby as fully and to the same extent as if such bond or undertaking was signed by the duly authorized officers of FRONTIER PACIFIC INSURANCE COMPANY, and all the acts of said Attomey(s)-in-Fact pursuant to the authority herein given are hereby ratir~d and confirmed. ~t (~)ittt¢$$ ~¢~o~, FRONTIER PACIFIC INSURANCE COMPANY of San Diego, California, has caused this Power of Attorney to be signed by its Vice President and its Corporate seal to be affixed this 10th day of. Aug MSt 1998 FRONTIER PACIFIC INSURANCE COMPANY ~'"',.,..,,,,..;.,i..../ DAVID E. CAMPBELL, Vice President STATE OF CALIFORNIA) COUNTY OF SAN DIEGO) On AHc~HSt In lqqR beforeme, N. Ortiz, porsonallyappearedDavidE. Campbell, porsonally known io me or proved to me on the basis of s~ia's'~'u.r'o ry e~§nc~ '[6-be the person whose name is subscribed to the within instrument and acknowledged to me that he executed the same in his authorized capacity, and that by his signature on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. Witness my hand and official seal ~ C c, porSiagt i~ant ~rcek~foNwi°et~g~Yem ent I. the undersigned, Joseph P. Laughlin, Secretary of FRONTIER PACIFIC INSURANCE COMPANY, do hereby certify that the odginal POWER OF ATTORNEY. of which the foregoing is a full, true and correct copy, is in full force and effect. tN WITNESS WHEREOF, I have hereunto subscribed my name as Joseph P. Laughlin, Secretary, and affixed the Corporate Seal of the ~= ,,.. ~ L./ Joseph P. Laughlin, Secretary 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 2000, by and between THE CITY OF CHULA VISTA, a municipal corporation, hereinafter called "City", and OTAY RANCH V, LLC, a Delaware Limited Liability Company, 3920 Valley Centre Drive, San Diego, CA 92130, hereinafter called "Subdivider" with reference to the facts set forth below, which Recitals constitute a part of this Agreement; RECITALS: 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 CVT 96-04 Otay Ranch Village 5, Unit 11, 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 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. 18398, approved on the 19th day of November, 1996 ("Tentative Map Resolution"); and W~EREAS, complete plans and specifications for the construction, installation and completion of said public improve- ment work have been prepared and submitted to the City Engineer, as shown on Drawings Nos. 99-1584 throu§h 99-1587, 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 Two Hundred Twenty-Two Thousand Dollars and No Cents ($222,000.00). NOW, THEREFORE, IT IS MUTUALLY UNDERSTOOD AND AGREED AS FOLLOWS: 1. Subdivider, for itself and his successors in interest, an obligation the burden of which encumbers and runs 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, including the improvements described in the above Recitals ("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 as described in the above Recitals this reference are incorporated herein and made a part hereof. 2. It is expressly understood and agreed that all monuments have been or will be installed within thirty (30) days after the completion and acceptance of the Improvement Work, and that Subdivider has installed or will install temporary street 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 2 or before the second anniversary date of Council approval of the Subdivision Improvement Agreement. 4. It is understood and agreed that Subdivider will perform said Improvement Work as set forth hereinabove, or that portion of said Improvement Work serving any buildings or 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 One Hundred Eleven Thousand Dollars and No Cents ($111,000.00) 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 One Hundred Eleven Thousand Dollars and No Cents ($111,000.00) to secure the payment of material and labor in connection with the installation of said public improvements, which security is attached hereto, marked Exhibit "B" and made a part hereof and the bond amounts as contained in Exhibit "B", and made a part hereof. 8. Subdivider further agrees to furnish and deliver to the City of Chula Vista, simultaneously with the execution of this agreement, an approved improvement security from a sufficient surety, whose sufficiency has been approved by the City in the sum of Four Thousand Four Hundred Fifty Dollars and No Cents ($4,450.00) 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 3 ---"T I I · '1 I' such specifications herein contained or referred, or at the option of the City, as are approved by the City Council at the time of engaging the work to be performed. Upon certification of completion by the City Engineer and acceptance of said work by City, and after certification by the Director of Finance that all costs hereof are fully paid, the whole amount, or any part thereof not required for payment thereof, may be released to Subdivider or its successors in interest, pursuant to the terms of the 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. 11. It is further understood and agreed by Subdivider that any engineering costs (including plan checking, inspection, materials furnished and other incidental expenses) incurred by City in connection with the approval of the Improvement Work plans and installation of Improvement Work hereinabove provided for, and the cost of street signs and street trees as required by City and approved by the City Engineer shall be paid by Subdivider, and that Subdivider shall deposit, prior to recordation of the Final Map, with City a sum of money sufficient to cover said cost. 12· It is understood and agreed that until such time as all Improvement Work is fully completed and accepted by City, Subdivider will be responsible for the care, maintenance of, and any damage to, the streets, alleys, easements, water and sewer lines within the proposed subdivision· It is further understood and agreed that 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 4 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 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. 15. Assignability. Upon request of the Subdivider, any or all on-site duties and obligations set forth herein may be assigned to Subdivider's successor in interest if the City Manager in his/her sole discretion determines that such an assignment will not adversely affect the City's interest. The City Manager in his/her sole discretion may, if such assignment is requested, permit a substitution of securities by the successor in interest in place and stead of the original securities described herein so long as such substituted securities meet the criteria for security as set forth elsewhere in this Agreement. Such assignment will be in a form approved by the City Attorney. (NEXT PAGE IS SIGNATURE PAGE) 5 SIGNATURE PAGE TO SUBDIVISION IMPROVEMENT AGREEMENT CVT 96-04 OTAY PJ~NCH VILLAGE 5, UNIT 11 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 OTAY R3~NCH V, LLC, a Delaware Limited Liability Company Mayor of the City of Chula ATTEST City Clerk Approved as to form by (Attach Notary Acknowledgment) 6 7-¢¥ LIST OF EXHIBITS Exhibit "A" Improvement Security - Faithful Performance Form: Bond Amount: $111,000 Exhibit "B" Improvement Security - Material and Labor: Form: Bond Amount: $111,000 Exhibit "C" Improvement Security - Monuments: Form: Bond Amount: $4,450 Securities approved as to form and amount by ~/~/c~ ~-~ity Attorney Improvement Completion Date: Two (2) years from date of City Council approval of the Subdivision Improvement Agreement H: \Home~Attorney\SIA\OR5 11 7 "Executed in Triplicat"~ O~-~O ~y ~'~ BOND FOR FAITHFUL PF~RFORMANCE Bond No.: 8D00083486 (To Be Used Prior to Approval of Subdivision Improvement Agreement) Premium: $3,330.00 WHEREAS, thc City Cmmcil of th~ City of C~,,la Vis~, Coumy of San Di~go, S~,~ of C~l~omia, ~nd 0ray Ranch V-2 LLC A Dela~re L~ited Lia~ility Company ~ ~) deske m ~ ~to a ~ipn l~ve~m A~ ~n~ ~fe~ m ~ ~A~e~~) w~by ~M ~ ~ ~ ~ ~ ~ ~ public ~rov~e~ for ~ proj~t ~O~ 0TAY ~CH VIL~GE 5 ~IT 11~ (Por of Neimhborhood R-37) CVT 96-04 ; and ~AS, ~cipM d~ to comme~ ~m~cfion of smd public ~provemenm pdor to approv~ of s~d A~em by ~e CiW Co.neH of ~e CiF of ~ V~; ~d, ~~, ~e Ci~ of ~ V~m, C~ of S~ D~go, Sm~ of C~o~, has ~ed to ~fl Co~on Pe~it No. P~-/3~0 ~r refe~ m ~ 'Pe~t~) for ~e ~Hc ~rov~nt work ~ s~ f~ ~ mo~ &~ on Ci~ of ~a V~ Dm~g Nos. q~- / ~o,,gh ~-~/~¢~ , mg~mg ~on of s~d ~Hc i~ov~, w~ch Pe~t g ~ ~f~ to ~ made a p~ he. of; ~, ~, s~d ~ipfl g ~ ~ ~ m~ of s~d Pe~t to ~h a bond for peffo~a~ of s~d Pe~t. ~/ NOW ~0~, we, ~e ~ip~ ~fl FRONTIER PACIFIC INSU~CE CO~ a co~orafion of ~ Sram of c~vo~ , ~einafler "~'), ~ held ~ ~y bo~ ~to ~e Ci~ of Ch~a V~, a m.nic~fl co~orafion ~ina~r "Ci~') ~ ~ Co~ of S~ Diego, S~W of C~o~a, to and for ~e ~fit of ~y ~d ~ ~mom who ~y ~r ~mages by brach of ~e con~fiom ~mof, h~~ofO~ ~v gL~W~ ~0US~ ~ .... ~0~,($ 1~,000.00 ),h~momy of ~e U~md S~, for ~ palm of w~ch ~ weft ~d~ to ~ ~de, we bhd o~elves, o~ ~, mccesso~, execu~ ~d adminis~tors, jo~y ~d sever~y, ~y by ~ese pmse~. ~e co~fion of ~ obfig~on ~ ~ch ~t ff ~ ~ove-bo~ ~ipfl, ~ or i~ ~ks, ex--ton, admini~to~, m~ssom ~ ~si~, s~ ~ ~ thin~ ~ to and abide by, ~d well ~ ~y k~ ~d peffo~ ~e m~, cov~an~, co--om, ~ pm~iom of s~d Pe~t ~d a ~bse~eg A~me~ ~y flmmfion ~of made ~ ~re~ provide, on ~ or ~ek p~ to be kept ~ peffo~ed at ~ time ~d ~ ~ manner ~e~ ~, and h ~ ~ ~0~ ~ ~k ~ ~ ~ m~ning, and hde~ ~fl save ha~ess Ci~, i~ officers, age~ ~ employees, ~ ~ereh s~amd, ob~gafion s~ ~ome n~ ~d void; o~e~e, it s~ be ~d remain ~ ~ force ~d effect. ~ p~ of ~e obfi~fion s~ h~by ~d h ad. don to ~e ~ ~o~ ~ ~efor, ~em shall be ~I~ co~ ~ ~o~ble e~em~ ~d f~s, ~luding m~o~ble a~mey's fees, h~ed by Ci~ ~ suc~ss~y e~o~hg ~h obfigafion. ~ W be ~ed ~ cos~ ~ hcluded h ~y ~d~t ~nde~. ~e ~ hereby ~ ~ a~s ~t no c~e, e~mion of time, flmmfion or ad.don to ~ m~ of ~e P~ or m ~ work m be peffo~ ~em~der or ~e ~c~om a~~ ~e s~e s~ h ~e ~t i~ ob~afiom on thi~ bo~, ~ it does ~mby w~ve notice of ~y change, e~mion of time, ~fion or ad.don to ~e m~ of ~e Pe~t or to ~e work or to sp~fiom. In addition to the acts bonded for pursuant to the Permit incorporated above, the following acts and performances are additionally subject to the terms of this bond: n/~ IN WITNESS WFrRREOF, this illStlq,ment has been dilly exec~lted by the Principal and Surety above named, on January 25, , 19- 2.000 OTAY RANCH V-2 LLC A DELAWARE LIMITED LIABILITY COMPANY .FRONTIER PACIFIC INSURANCE COMPANY Name of Principal (Applicant) · Name of Sur~_Company ~/~6.d~_d~101 NEST BROADWAY SUITE 700 Address of Smrety Co~apany SD00083486 SA~ DIgg0, CA 92101 Bond/Policy No. City State Zip Code ABOVE-SIGNATORIES MUST Big Bond/Policy No.: SD00083486 Principal. OTAY RANCH V-2 LLC A DELAWARE LIMITED LIABILITY COMPANY Alnollnt $111,000 In Favor of Ci_ty of Chul8 V~ta This bond, submitted for FAITHFUL PERFORMANCE , , covers construction of public improvements, if any, both prior to and subsequent to, City approval of Principal's Subdivision Improvement Agreement as to the project known as Otay Ranch Village 5 UnJ:t 11 (Por of Neighborhood R-37) CVT 96-04 This Rider is Effective January 25, 2000 Name of Sure*,, FRONTIER PACIFIC I. NSU~R~NCE COMPANY, VICTORIA M CAHPBELL, ATTORNEY-IN-FACT ~ABO. ,VF_,-SIC~NATORIES MUST BE NOTARIZED APPROVED AS TO FORM: Ci~r'AR6~f~y  person~l~ ~own to me - 0~- ~ proved to m~ on ~e b~sis of safisfactor~ e~den~ ~ ~ ~o p~(s) whose n~e(s) ~ sub~fi~ t0 ~e ~in ~ment ~d <~owled~ to me ~ h~sh~ey ex~u~d capacity(les),' ~d that by his/her/their or the entity upon beh~f of which the ~-" ~' O~ON~ ~~ON ~A~ C~D BY SIG~R (P~) DESC~ON OF A~AC~D DOC~ D GU~/CONS~VATOR SIGNER ~ REPR~SEN~G- ' Sta, te cf California Ceunty of Orange On January 25, 2000 before me, Patricia M White, Notary_ _P_gblic _ DA%E NAME. T~TLE OF OFFICER- E.G., 'JANE DOE. NOTARY PUBLIC* personally appeared VZCTORIA M CA~m.L NAME(S) OF SIGNER{S) ~ personally known to me -z~ - ~ ~ to be the person~ whose name(~ is~a~ subscribed to the within instrument and acknowledged to me that I~/she/tt~y executed the same in~lis/her~ authorized capacity~l~), and that by lflflfher/t~signature(~ on the instrument the person~, or the entity upon behalf of which the person(~) ~ .:.~- ~,~r,M w.~ [ acted, executed the instrument. j~ ~::::~.;'o,o~co..~ ~ WITNESS my hand and official seal. OPTIONAL Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachme~ of this form. CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT [-'1INDIVIDUAL ['-]CORPORATE OFFICER Trr,Eis) TITLE OR TYPE OF DOCUMENT ~PARTNER(S) r-'ILIMITED r-]GENERAL r~ATTORNEY-IN-FACT NUMBER OF PAGES ~--]TRUSTEE(S) F-1GUARDIAN/CONSERVATOR E-1OTHER: DATE OF DOCUMENT SIGNER IS REPRESENTING: SIGNER(S) OTHER THAN NAMED ABOVE NAME OF PERSON(S) OR "Executed In Triplicate" File No.: BOND FOR MATERIAL AND LABOR Bond No.: SD00083486 (To Be Used Prior to Approval of Sabc~v~sion lmprovemem Agreement) Premilll~:included in Performance bond WHEREAS, the City Council of the City of Chula Vista, County of San Diego~ State of California, and Otay Ranch V-2 LLC A Delaware limited Liab~_t~ (hereinal)~r ~PrillCipa]~) desire to enter ~ a Subdivisipn Improvement Agtomment (herei~_~-dferred to as "Agreement") whereby Pxincipal agrees to inst~ and complete cermln designated publi~ improvements for the project knownas 0tay Ranch Village 5 Unit 11 (Pot of Neighborhood R-37) CVT 96-04 ;and WI-~.REAS, Principal desires to commence construction of said public improvements prior to approval of smd Agreement by the City Council of the City of Chula Vista; and, WHEREAS, the City of Chula Vi.~ta, County of San Diego, State of California, has issued to Principal Con,vmmfion F*tm~ No. ~ 6.-- ~q> ~A O (hereinafter referred to as "Permit") for the public improvement work as set forth m more detail on Ci/y of Ch~fla Vista Drawing Nos. qq - 175 ~ ~t through qq - I~B"I , regarding construction of said public improvements, which Permit is hereby referred to and made a part hereof; and, WHEREAS, under the terms of said Permit, Principal is required, before entering upon the performance of the work, to file a good and sufficient payment bond with the City of Chula Vista to secure the claim.q to which reference is made in Title 15 (commencing with Section 3082), Part 4, Division 3, of the Civil Code of the State of California. · NOW THEREFORE, said Principal and FRONTIER PACIFIC INSURANCE COMPANY , a corporation of the State of CALIFOm~IA , (hereinafter "Surety"), are held and firmly bound unto the City of Chula Vista, a municipal corporation (h~reinafter "City") in the County of San Diego, State of California, and all contractors, subcontractors, laborers, materialmen and other persons employed in the performance of the aforesaid Permit and referred to in the aforesaid Code of Civil Procedure in the sum of ONE HUNDRED ELEVEN THOSUAND AND No/100ths dollars, ($111~ 000. 00 ), lawful money of the United States, for materials furnished or labor thereon of any kind, or for mounts due under the Unemployment Inmaance Act with respect to such work or labor, that said Surety will pay the same in an amount not exceeding the mount hereinabove set forth, and also in case suit is brought upon thi,q bond, will pay, in addition to the face amount thereof, costs and reasonable expenses and fees, including reasonable attorney's fees, incurred by City in successfully enfoming such obligation, to be awarded and fixed by the court, and to be taxed 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 claim.~ under Title 15 (commellcing with Section 3082), Part 4, 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 shall become null and void, otherwise, it shall be and remain in full force and effect. The Stlrety hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of the Permit or to the work to be performed thereunder or the specifications accompanying the same shall in any~e affect its obliga~ons on this bond, and it does hereby waive notice of any such change, extension of ~ime, alteration or addi~on to the terms of the Permk or to the work or to the specifications. IN WITNESS WI-IEREOF, thi~ instrument has been duly executed by the Principal and Surety above ~, on JanUary 25, , -~} 2000. OTA¥ RANCH V-2 LLC A DELAWARE LIMITED LIABILI,-~Y COMPANY FRONTIER PACIFIC INSURANCE COMPANY Name of m'incipal (Applicant) Nam, ol Surety Company - - VICTORIA M CAMPBELL ATT~ORi~Y-~N-FACT Address of Surety Company SD00083486 SAN DIEGO, CA 92101 Bond/Policy No. City State Zip Code ABOVE-SIGNATOR~'~S MUST BE NOTA~tIZ~.D Bond/P?licY No.: SD00083486 Principal. OTAY RANCH V-2 LLC A DELAWARE LIMITED LIABILITY COMPANY fl~lloullt $111,000 In Favor of Ci.ty of Chula Vista ~ bond, submitted for LABOR & MATERIAL , covers construction of public improvements, if any, both prior to a~d subsequem to, City approva~ of lhincipal's Subdivision Improvement Agreement as to the project known as 0ray Ranch Village 5 Unit 11 (Por of Neighborhood R-~7) GV% 96-04 This Rider is Effective January 25, 2000 Name of Swety FRONZIER PACIFI.,C INSURANCE~ VICTORIA M CAMPBELL, ATTORNEY-IN-FACT ~ - ABOVE-SIGNATORIES 3~ST BE NOTARJZ~D APPROVED AS TO FORM: C~ty///td/r/iey H:~IOML~ENGINEIZR~d'qDDEV~FORMSh~i&L_BOND .RID ' e~den~ W ~ ~e p~on(s) whose ~e(s) . ~/~ s~b=a~ t° ~ ~- ~e~t ~d ~owledg~ to me ~at h~sh~ey ~u~d the same in his/her/their authorized capacity(ies); and that by his/her/their .................... ~e(s) on ~e ~ment ~e p~son(s), ~DAWN MARIE NORTON~ Or the entity Upon beh~f of which the Comm, 11219172 2 ~. ' - SOIARY ~-C~mR~ UJ p~OD~S) ~md, cxecu~d ~e ~s~ent. ~SS my h~d ~d offici, se~. not m~ by hw. H~evcr. it ~d ~ent ~t ~h~nt of ~ a~oM- BY SlG~R (P~C~} DZSC~ON OF A~AC~D DOC~ St,ate of California CrcDnty of Orange On January 25. 2000 before me, Patricia M White, Notary_ _P_u_b, lic. _ , DATE NAME. TITLE OF OFFICER - E.G., 'JANE DOE, NOTARY pLISLIC* personally appeared V[C~ORL~ M CAMPBELL , NAME(S) OF S~GNERJS) ~] personally known to me -z~l:- N .... to be the person~ whose name(~) is~al~ subscribed to the within instrument and acknowledged to me that l~/she/t~ executed the same inzl:~/her~ir authorized capacityJll~"), and that by lfl~her/t,~i~i[ signature(~ on the instrument the ~_~_~.~.~..~_~ personL~, or the entity upon behalf of which the person(~) acted, executed the instrument.  WITNESS my hand and official seal. SIGNATURE OF NOTARY OPTIONAL ~ Though the data below is not required by law, it may prove valuable to persons re~ying on the document and could prevent fraudulent reattachment of this form. CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT r 'hNDIVIDUAL ~--]CORPORATE OFFICER TITLE OR TYPE OF DOCUMENT 'mTJ~(s) r-]PARTNER(S) r-]LIMITED ~GENERAL [~A-FFORNEY-IN-FACT NUMBER OF PAGES ['-~TRUSTEE(S) [--]GUARDIAN/CONSERVATOR r'-~OTHER: DATE OF DOCUMENT SIGNER IS REPRESENTING: SIGNER(S) OTHER THAN NAMED ABOVE NA~E OF .E.SO.lS) o~ E.m~I, ES) (a California Company) 101 West Broadway,Suite 700.San Diego,California 92101 POWER OF ATTORNEY ~/~ttO~D c~ff CJ~tt ~ C~.~¢.SC O~¢SCttt$: That FRONTIER PACIFIC INSURANCE COMPANY, a California Corporation, having its pdncipal office in San Diego, Catifornia, pursuant to the following resolution, adopted by the Board of Directors of the Corporation on the 15th day of November, 1991. "RESOLVED, that the Chairman of the Board, the President. or any Vice President be, and hereby is, authodzed to appoint Attorneys-in- Fact to represent and act for and on behalf of the Company ~ execute bonds, undertakings, recognizances and other contracts of indemnity and writings obligatory in the nature thereof, and to attach thereto the corporate seal of the Company, in the transaction of its surety business; "RESOLVED, that the signatures end attestations of such officers and the seal of the Company may be affixed to any such Power of Attorney or to any cettificeta relating thereto by facsimile, and any such Power of Attomey or certificate bearing such facsimile signatures or facsimile seal shall be vatid and binding upon the Company when so affixed with respect to any bond, undertaking, recognizance or other contract of indemnity or writing obligatory in the nature thereof; "RESOLVED, that any such Altomey-in-Fect delivering a secretadal certification that the foregoing resolutions still be in effect may insert in such cerafication the date thereof, said date to be not later than the date of delivery thereof by such Attorney-in-Fact." This Power of Attorney is signed and sealed in facsimile under and by the authority of the above Resolution. DOES HEREBY MAKE, CONSTITUTE AND APPOINT: THOMAS G. MCCALL VICTORIA M. CAMPBELL PATRICIA M. WHITE JANINA MONROE of Costa Mesa . in the state of california its true and lawful Attomey(s)-in-Fact with full power and authority hereby conferred in its name, place and stead Io sign, execule, acknowledge and dalive; in its behalf, and as its act and deed, without power of redalegation, as follows: Bonds guaranteeing the fidelity of persons holding places of public or private trust, guaranteeing the performance of contracts other than insurance policies; and executing or guaranteeing bonds and undertakings required or permitted in all actions or proceedings or by law allowed; IN AN AMOUNT NOT TO EXCEED THREE MILLION FIVE HUNDRED THOUSAND ($3,500.000.00) DOLLARS; and lo bind FRONTIER PACIFIC INSURANCE COMPANY thereby as fully and to the same extent as if such bond or undertaking was signed by Ihe duly authorized officers of FRONTIER PACIFIC INSURANCE COMPANY, and all the acts of said Attomey(s)-in-Fact pursuant to the authority herein given are hereby ratified and confirmed. ~/. ()~i~:tt¢55 ~)~¢~0~, FRONTIER PACIFIC INSURANCE COMPANY of San Diego, California, has caused this Power of Attorney to be signed by its Vice President and its Corporate seal to be affixed this 1 0th day of. Aug ust 1998 FRONTIER PACIFIC INSURANCE COMPANY STATE OF CALIFORNIA) ............ ; ............ DAVID E. CAMPBELL, Vice Presirient COUNTY OF SAN DIEGO) On AUflUSt 10 .199~ before me. N. Or'dz, personally appearad David E. Campball, personally known {o me or proved to me on the basis of seasracrory e~'ldah~ to be the person whose name is subscribed to the within instrument and acknowledged to me that he executed the same in his authorized capacity, and that by his signature on the instrument the person(s), or the entity upon behalf of which lhe person(s) acted, executed the instrument. Witness my hand and official seal ~ Signature of Notary ' Corporation Acknowledgement I, the undersigned, Joseph R Loughlin. Secretary of FRONTIER PACIFIC INSURANCE COMPANY, do hereby certify Ihat the original POWER OF ATTORNEY. of which the foregoing is a full, true and correct copy, is in full force and effect. IN WITNESS WHEREOF, I have hereunto subscribed my name as Joseph P. Loughtin. Secretary, and affixed the Corporate Seal of the ~ %,...~. ~ . Loughlin, Secrets °' "Executed im Trip~licate" ~ ~ ,. , SURVEY MON~ ~ST.~LA~ON BO~ Bond N0.: sso0o83488 Premix: 0toy ~nch V-2'LLC L~ ~ BE ~O~ BY ~E P~E~S, ~h~t a Delaware L~ted Liability Company · e mb~Mder ~ein~r "P~cip~), ~d ~o~r~ ~ACrFZC r~S~C~ CO~ ~FO~ ~em~r "S~e~), ~e ~d ~d.~ bo~d ~m ~e Civ of Ch~a ~ a m,mi~ ~or~on ~rein~r "Ciw~), ~ ~ Co~ ~ S~ Diego, S~*e of ~fo~a, ~d m ~d for ~ benefit of ~y ~d MI perso~ who may refer d~m~e by r~on of ~e b~h of ~e con~fio~ hereof, ~ ~e pe~ ~of FO~ THOUS~ FO~ ~D FIFTY ~ No/100ths --- ~]lnrS ($ ~4;450~00 la~ money of ~ U~md Sm*e~, m ~ p~d m Ciw. WI-~.~, Principal is presently engaged in subdi~dding certain lands to be known as OTAY RANCH VILLAGE 5 UNIT I 1 subdivision in the City of Chula Vis'm; and, ~O~ ~ ×~/,- WHEREAS, Principal and City have entered into a Subdivision Improvement A~eement approved by City Council Resolution No. . (hereinafter referre~l m as ~Agreement~) whereby Principal a~ees to install durable survey monuments for said subdivision, which said Agre-~nent, dsted , 19 , and identified as project 0TAY RANCH VILLAGE 5 UNIT 11 , is hereby referred m and made a part hereof; and, WHEREAS, Principal desires m not install durable survey monuments prior to the recordation of the ~n~l 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 Ltrm)sTRoM & ASS0CZATES (Nm of I~a~i ~ ~=~ or L~fl Surveyor) in accordance with the f~n~! m? of said subdivision, a copy of which said map is hereby made and same is incerpomted heroin as though set forth in ful~, and according to the ordinances of the City of Chula ~sm in full force and effect at the time of the giving of this bond, on or before the expiration of thirty (30) consecutive days following completion and acceptance of public improvements within' said subdivision as specified in said A~eement, then the obli~afion ~b~]l be void, otherwise to be and remain in full force and effect. ~URPOS~E A~K~OWLED~MENT ~o.~11y ap~ ~ person~y ~own to L e~den~ ~/~ subs~b~ tO capacity(ies), ~d that by ~s/her/thek ~m(s) on ~e ~ment or the en~ty upon beh~f of which ~e ~fi~ ~ow ~O~ O~R ' ' u ~ GU~/CONS~VATOR DA~ OF D~ SIGNER ~ ~PRESE~NG- - .- State of California County of Orange On January 26. 2000 before me, Patricia M White, Notary_ _~ublic DATE NAME. TITLE OF OFFICER - E.G.. "JANE DOE, NOTARY PUBLIC' personally appeared VICTORIA M CAMPBELL , NAME(S) OF SIGNER(S) ~ personally known to me -m~l~- I--I ~ to be the personae} whose name~ is/~ subscribed to the within instrument and acknowledged to me that ~/she/tt~Ff executed the same in]~l~/her.J~l~J~ authorized capacity[~l~), and that by t~il~her/t,~tl~lFsignature(~ on the instrument the person~, or the entity upon behalf of which the person~) ~:~ '- ;^~ -v."~ - '~ acted, executed the instrument. ~, ·.. ~-: ~, -: ,,. WITNESS my hand and official seal. ' OPTIONAL Though the data below i~ not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form, CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT r--]INDIVIDUAL J-]CORPORATE OFFICER TITLE OR TYPE OF DOCUMENT TrrLEIS) E]PARTNER(S) E~]LIMITED r-~GENERAL FIA'FI-ORNEY-IN-FACT NUMBER OF PAGES F-~TRUSTEE(S) [~GUARDIAN/CONSERVATOR [--]OTHER: DATE OF DOCUMENT SIGNER IS REPRESENTING: ' SIGNER(S) OTHER THAN NAMED ABOVE NAME OF PERSON(S) OR ENTITY(lES) INSURANCE COMPANY (o California Compony) 101 West Broadway,Suite 700.San Dlego,Colifornio 92101 POWEFI OF ATTORNEY [i~tt O~ c~.['[' ~/t (Tj~ ~'~¢SC (~t~tttS: That FRONTIER PACIFIC INSURANCE COMPANY;, a California Co.ration, having its principal office in San Diego. California, pursuant to the following resofutise, adopted by the Board of Directom of the Co~omtion on the 15th day of November, 1991. 'RESOLVED. It.at the Chalm~an of the Boa~, the President, or any Vice President be. end hereby ts, authorized to appoint Attorneys-in* Fact lo represent and act for and on behalf of the Company to execste bends, undertakings, recegnlz~ncas and other contracts of indemni['y and writings obligatory in the nature thereof, and to attach thereto the corporals seal of the Company, in the transaction of its surety business; 'RESOLVED, that the signatures and attes~tions of such oft'mom and the seal of the Company may be affixed to any such Power of Attorney or to any certificate relating thereto by facsimile, and any such Power of Attomey or certificate bearing such facsimile signatures or facsimile seal shall be valid and binding upon the Company when so affixed with respect to any bond, undertaking, recognizance or other contract of indemnity or writing obligatory in the nature thereof; "RESOLVED, that any such Altomey-in-Faof delivering a secretarial cedffinaben that the foregoing resolutions still be in effect may insert in such cerffiicetfon the dais thereof, said date to be not later than the date of dative P/thereof by such Attomey-in-Fact" This Power of Attorney is signed and sealed in facsimile under and by the authority of the above Resolution. DOES HERESY MAKE, CONSTITUTE AND APPOINT: THOMAS G. McCALL VICTORIA M. CAMPBELL PATRICIA M. WHITE JANINA MONROE of Costa Mesa , in the State of california its tree and lawfulAttome¥(s)-in-Fact with full power and authority hereby coofermd in its name, place and stead to sign, execute, acknowledge and deliver in its behalf, and as its act and dead. without power of redelngatloe, as follows: Bonds guaranteeing the fidelity of persons holding places of public or pdvais trust, guamntseing the performance of contracts other than insurance policies; and executing or guaranteeing bends and undertakings required or permitted in all ac~ons or proceedings or by law allowed; IN AN AMOUNT NOT TO EXCEED THREE MILLION FIVE HUNDRED THOUSAND ($3,500,000.00) DOLLARS; and to bind FRONTIER PACIFIC INSURANCE COMPANY thereby as fully and to the same extent as if such bond or undertaking was signed by the duly authorized officers of FRONTIER PACIFIC INSURANCE COMPANY, and all the acts of said Attomey(s)-in-Fact pursuant to the authority herein given are hereby ref~bed and co~firmed. ~11 (~[tt1¢55 9~¢t'¢0~, FRONTIER PACIFIC INSURANCE COMPANY of San Diego. Calilomia, has caused this Power of Attorney to be signed by its Vice President and ils Corporate seal to be affixed this ~J 0t~l day of. Aug LIst 1998 FRONTIER PACIFIC INSURANCE COMPANY ~ .............. i.....,.,./~ DAVID E CAMPBELL, Vice President STATE OF CALIFORNIA COUNTY OF SAN D EGO On AIICtHql" ~n 'lClCjR beforeme. N. Oriiz, personeilyappearedDavidE. Campbell, personallyknown{omeorproved to me on fha basis of s~l~s~y' e ~n~db n'c~ '[o"~se the parson whose name is subscribed to the within instrument and acknowledged to me that he executed the same in his authorized ca~oacity, and that by his signature on the instrument the person(s), or the enUty upon behalf of which the person(s) acted, executed the instrument. Witsess my hand and official seal ~ C o r p o rS~gti~k°nfoNw~;~tr~e m ert, I, the undersigned, Joseph P. Loughlin, Secretary of FRONTIER PACIFIC INSURANCE COMPANY, do hereby certify that the original POWER OF ATTORNEY, of which the foregoing is a full, true and correct copy, is in full force and effect~ IN WITNESS WHEREOF, I have hereunto subscribed my name as Joseph P. Loughlin, Secretary, and affixed the Corporate Sear of the Corporation this 26th dayof J,..~.~y ,2000 ~ Jo~eph P / ~)'/~/ FM 19-5002^-FP (1/2~Y3) ~*%~ ~;'~°"*" ~ Loughlin, Secretary COUNCIL AGENDA STATEMENT Item No ~ Meeting Date 06-06-00 ITEM TITLE: Resolution - Approving Request to Fly Prisoner of War (POW)/Missing in Action (MIA) Flags on all City of Chula Vista flagpoles on certain days such as National "POW/MIA" Recognition Day, Armed Forces Day, Memorial Day, Flag Day, Veterans' Day, as well as the last business day before each of said holidays SUBMITTED BY: Ken Dyke, Veterans Advisory Commission Liaison RE¥1£1NED BY: City Manage (4/Sths Vote: Yes No XX ) BACKGROUND: The goal of the Veterans Commission is to have the City of Chula Vista recognize and remember POWs and MIAs and their sacrifices in accordance with federal and state legislation. This can be accomplished by flying the legally recognized POW/MIA flag on City of Chula Vista flagpoles, on certain days of the year. RECOMMENDATION: That Council adopt a Resolution approving the flying of the POW/MIA flags on City of Chula Vista flagpoles on the days of the year listed below. BOARDS/COMMISSIONS RECOMMENDATIONS: On April 18, 2000, the Veterans Advisory Commission unanimously endorsed going forward to Council to support the flying of the POW/MIA flag on City of Chula Vista flagpoles on certain days of the year. DISCUSSION: The Federal Government in 1997 passed legislation recognizing our POW/MIA's and designated the third Friday of September each year as National POW/MIA Recognition Day. This legislation also permits the flying of the POW/MIA flag on selected Federal property on the following days: Armed Forces Day; Memorial Page 2, Item Meeting Date 06-06-00 Day; Flag Day; Veterans' Day; National POW/MIA Recognition Day; and, on the last business day before each of these holidays. In 1998, the State of California passed legislation AB 1838 requiring the POW/MIA flag to be flown over certain prescribed state buildings on those holidays, but did not address the issue of the last business day before each of the holidays. AB 1838 also encourages, but does not require, local government of California to recognize POW/MIA Recognition Day, which the City of Chula Vista does. In 1997, the City of Chula Vista followed the lead of the Federal government and permitted the POW/MIA flag to be flown on POW/MIA Recognition Day on several City buildings and properties. The Veterans Advisory Commission of the City of Chula Vista is requesting that the City expand the number of days the flag can be flown following the lead of the Federal and State governments. The Veterans Advisory Commission further recommends that Federal guidelines be followed which would permit the flag to fly the last business day before each of the holidays listed. The Veterans Advisory Commission requests the changes discussed above for the following reasons: 1) The United States has fought in many wars and thousands of Americans who served in those wars were captured by the enemy or listed as missing in action. 2) Many of these Americans are still missing and unaccounted for and the uncertainty surrounding their fates has caused their families to suffer tragic and continuing hardships. 3) As a symbol of the nation's concern and commitment to accounting as fully as possible for all Americans still held prisoner, missing, or unaccounted for by reason of their service in the Armed Forces and to honor the Americans who in future wars may be captured or listed as missing or unaccounted for, Congress has officially recognized the National League of Families POW/MIA flag. The above three reasons were identified in Federal legislation. Additionally, the City of Chula Vista has a large contingent of military families and retirees due to decades of military presence in this City. The families and retirees as well as current military personnel deserve the recognition and remembrance of POW/MIA's. FISCAL IMPACT: No fiscal impact. Flags have already been purchased. RESOLUTION RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING REQUEST TO FLY PRISONER OF WAR (POW)/MISSING IN ACTION (MIA) FLAGS ON ALL CITY OF CHULA VISTA FLAGPOLES ON CERTAIN DAYS SUCH AS NATIONAL "POW/MIA" RECOGNITION DAY, ARMED FORCES DAY, MEMORIAL DAY, FLAG DAY, VETERANS' DAY, AS WELL AS THE LAST BUSINESS DAY BEFORE EACH OF SAID HOLIDAYS WHEREAS, the goal of the Veterans Advisory Commission is to have the City of Chula Vista recognize and remember POWs and MIAs and their sacrifices in accordance with federal and state legislation; and, WHEREAS, the federal government in 1997 passed legislation recognizing our POW/MIAs and designated the third Friday of September each year as National POW/MIA Recognition Day; and WHEREAS, this legislation also permits the flying of the POW/MIA flag on selected federal property on the following days: Armed Forces Day; Memorial Day; Flag Day; Veterans' Day; National POW/MIA Recognition day; and, on the last business day before each of these holidays; and, WHEREAS, in 1998, the State of California passed legislation AB 1838 requiring the POW/MIA flag to be flown over certain prescribed state buildings on those holidays, but did not address the issue of the last business day before each of the holidays; and, WHEREAS, AB 1838 also encourages, but does not require, local government of California to recognize POW/MIA Recognition Day, which the City of Chula Vista does; and, WHEREAS, in 1997 the City of Chula Vista followed the lead of the federal government and permitted the POW/MIA flag to be flown on POW/MIA Recognition Day on several City buildings and properties; and, WHEREAS, the Veterans Advisory Commission of the City of Chula Vista is requesting that the City expand the number of days the flag can be flown following the lead of federal and state government; and, WHEREAS, the Veterans Advisory Commission further recommends that federal guidelines be followed which would permit the flag to fly the last business day before each of the holidays listed; and, WHEREAS, the Chula Vista Veterans Advisory Commission unanimously agreed to request that the City Council approve the flying of the POW/MIA flag on City of Chula Vista flagpoles on the above listed days of the year; and, WHEREAS, there is no fiscal impact as the flags have already been purchased. NOW, THEREFORE, BE IT RESOLVED, that the City Council for the City of Chula Vista does hereby authorize and direct the flying of POW/MIA flags on all City of Chula Vista flagpoles on Armed Forces Day, Memorial Day, Flag Day, Veterans Day, National POW/MIA Recognition Day, as well as the last business day before each of said holidays, Presented by: Approved as to form by: R John M. Kahe¢'~ Chief of Police City Attorney I'flShared~User~clerk\POWMIAF LAG COUNCIL AGENDA STATEMENT Item No.: c/- Meeting Date: 06/06/00 ITEM TITLE: Resolution Approving the establishment of a Document Imaging Capital Improvement Program and appropriating $147,587 from the Available Fund Balance in the General Fund therefor SUBMITTED BY: Director of Management and Information Services~ / CityClerk affd(~, ,~ REVIEWED BY: City Manager/~(3~0~/ (4/Sths Vote: Yes X No ) During Fiscal Year 1999-2000, the City of Chula Vista implemented the LaserFiche document imaging system in the City Clerk's Office to meet records storage and retrieval needs, to preserve vital and permanent documents, and to provide access to imaged records to other Departments via the citywide network. Also during Fiscal Year 1999- 2000, the Engineering Division of Public Works purchased a scanner for large maps and drawings. The proposed Capital Improvement Program will expand imaging capabilities for the Engineering, Human Resources, Planning and Building, and Police Departments. RECOMMENDATION: That Council adopt the resolution and appropriate funds for a Document Imaging Capital Improvements Program. BOARDS/COMMISSIONS RECOMiVIENDATIONS: Not applicable DISCUSSION: The proposed Capital Improvement Project (CIP) would normally have been presented as a CIP for the next fiscal year as part of the normal budgeting process. It is presented at this time in order to avoid a software price increase of 25% effective July 1, 2000, which would increase the project by approximately $14,500 (9.82%). During FY 1999-2000, the City implemented the LaserFiche document imaging software, an excellent and user-friendly product that is used in more than 650 municipalities because of its successful implementation and level of customer satisfaction. The system was initially installed in the City Clerk's Office, where imaging has progressed during the past year, providing rapid access to information and preservation for permanent documents. The proposed project will expand the current citywide system from 10 to 25 users and from 35 to 100 viewers. It will also provide imaging capabilities to the Engineering, Human Resources, Planning and Building, and Police Departments. The CIP will provide complete scan stations, training and consultation for the Engineering and Human Resources Departments. Item No.: Meeting Date: 06/06/00 For the Planning and Building Department, it will provide two scan stations, a new server and an off-line batch-scanning module for the Planning and Building Department. One of the scan stations will be located in the off-site EastLake Building Division office in order to allow building permits to be scanned and transferred via the shared network into the citywide database. Digitizing these documents would allow direct public access, thereby significantly reducing staff time currently spent on researching public records. Planning and Building has over 60,000 sheets of plans with life-long retention schedules and must be stored on durable media. In addition, they have about 200,000 images on microfiche and aperture cards. Converting these documents to digital format and storing them on the LaserFiche system would facilitate records research and free up valuable office space. Scanning services to process these existing documents will be requested as part of the operating budget for FY 2000-2001. In the future, records will be scanned as they are received. The project will also add one scan station, a new server, a CD writer and five monitors to the Police Department, as well as bar code and audit trail software. The bar code software will assist in file retrieval, and the audit trail provides 24-hour monitoring of database access. The Police Department processes over 23,000 crime, arrest, traffic collision and miscellaneous reports on an annual basis. These reports are used by investigators, crime analysis, the District Attorney's and City Attorney's offices for prosecution and investigation of on-gong crime series. Space has become a high priority of the department, and storage is at a premium. The proposed system will provide better service to the public, provide real-time access to documents by all authorized sections of the department, speed the flow of documents through the records division, reduce or eliminate the number of lost or misfiled documents, reduce the number of times documents are handled, provide improved services to other law enforcement agencies, reduce the floor space required to store current documents, provide improved document security, and allow a document to be shared by different users simultaneously. Approving this request will enable the City to take advantage of technological opportunities in records management. It is anticipated that other Departments, such as Community Development, City Attorney and Finance, may wish to implement imaging activities in future years. Fiscal Impact: Total one-time costs for the project as proposed are $147,587. The first year of annual maintenance and support is included in the price. Annual on-going costs of $25,400 after the first year will be budgeted beginning in FY 2001-2002 in the MIS Department's budget. In addition, $112,200 for scanning services for the Planning and Building Department and $6,000 for Engineering to scan their existing documents has been included in the FY 2000-2001 operating budget. ? RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE ESTABLISHMENT OF A DOCUMENT IMAGING CAPITAL IMPROVEMENT PROGRAM ia_ND APPROPRIATING $147,587 FROM THE AVAILABLE FUND BALANCE IN THE GENER3kL FUND THEREFOR WHEREAS, During Fiscal Year 1999-2000, the City of Chula Vista implemented the LaserFiche document imaging system in the City Clerk's Office to meet records storage and retrieval needs, to preserve vital and permanent documents, and to provide access to imaged records to other departments via the citywide network; and WHEREAS, also during Fiscal year 1999-2000, the Engineering Division of Public Works purchased a scanner for large maps and drawings; and WHEREAS, the proposed Capital Improvement Program will expand imaging capabilities for the Engineer, Human Resources, Planning and Building, and Police Departments; and NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby approve the establishment of a Document Imaging Capital Improvement Program. BE IT FURTHER RESOLVED the City Council does hereby appropriate $147,587 from the available fund balance in the General Fund to the Document Imaging Capital Improvement Program. Presented by Approved as to form by Louie Vignapiano J/~ M. Kaheny Director of Management and C/Ity~/ Attorney Information Systems