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HomeMy WebLinkAboutAgenda Packet 2000/06/20 CITY COUNCIL AGENDA June 20, 2000 ~ 6:00 p.m. Council Chambers Public Services Building 276 Fourth Avenue, Chula Vista CI'IY OF CHULA VISI'A 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 AGENDA JUNE 20, 2000 6:00 P.M. CALL TO ORDER ROLL CALL: Councilmembers Davis, Moot, Padilla, Salas, and Mayor Horton. PLEDGE OF ALLEGIANCE TO THE FLAG, MOMENT OF SILENCE CONSENT CALENDAR (Items 1 through 13) 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 ofthepublic, or City staff requests that the item be removed for discussion. If you wish to speak on one of these items, please ftll out a "Request to Speak"form (available in the lobby) and submit it to the City Clerk prior to the meeting. Items pulled from the Consent Calendar will be discussed after Action Items. Items pulled by the public will be the first items of business. 1. 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 June 13, 2000, there were no actions taken which are required under the Brown Act to be reported. Staff recommendation: The letter be received and filed. 2. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING THE AMENDED AND RESTATED PARS (PUBLIC AGENCY RETIREMENT SYSTEM) TRUST AGREEMENT; APPOINTING THE CITY MANAGER OR HIS SUCCESSOR OR DESIGNEE AS THE PLAN ADMINISTRATOR; AUTHORIZING THE PLAN ADMINISTRATOR TO EXECUTE THE ADOPTION OF THE PARS TRUST AGREEMENT; AND, AUTHORIZING THE PLAN ADMINISTRATOR TO TAKE WHATEVER ADDITIONAL ADMINISTRATIVE ACTIONS ARE NECESSARY TO MAINTAIN pARTICIPATION IN PARS The City is currently a member of the Public Agency Retirement System (PARS), which provides the City with an Alternate Retirement System for our part-time, seasonal and temporary employees who are not eligible for participation in PERS. Recently the PARS Trust Administrator informed the City that the legal documents of the PARS Trust Program have been updated in response to several law changes, which have amended the operation of qualified plans. Approval of the Resolution will adopt the amended and Restated Agreement, designate the City's Plan Administrator for PARS, and will confer authority to that designee to take whatever additional actions are required to administer the City's PARS plans. (Director of Human Resources) Staffrecommendation: Council adopt the Resolution. Page ! - Council Agenda 06/20/2000 3. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROViNG THE MEMORANDUM OF UNDERSTANDiNG (MOU) BETWEEN THE CITY OF CHULA VISTA AND THE CHULA VISTA ELEMENTARY SCHOOL DISTRICT REGARDING JOiNT OPERATON OF THE DASH (DYNAMIC AFTER SCHOOL HOURS) AFTER SCHOOL RECREATIONAL PROGRAM, AND THE STRETCH (SAFE TIME FOR RECREATION, ENRICHMENT AND TUTORING FOR CHILDREN) EXTENDED SCHOOL DAY EDUCATIONAL PROGRAM; AND AUTHORIZiNG THE MAYOR TO EXECUTE THE MOU The City entered into a partnership with the Chula Vista Elementary School District in Fiscal Year 1998/1999 to examine and revamp the City's existing after school program offerings based on individual school needs and priorities. The current MOU between the City and the District, which ends on June 30, 2000, authorizes the operation of the STRETCH program, with its emphasis on literacy and arts enrichment offered at eight district schools. The MOU also served as a launching point for a new, high quality, structured sports and recreation program called DASH, which was offered at 12 elementary school sites. The City and District are now ready to enter into a new MOU for Fiscal Year 2001 with expansion of the DASH program to 14 school sites and continuation of the STRETCH Program. (Deputy City Manager Palmer) Staff recommendation: Council adopt the Resolution. 4. ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ESTABLISHING A 35 MPH SPEED LIMIT ON LANE AVENUE BETWEEN OTAY LAKES ROAD AND MACKENZIE CREEK ROAD AND ESTABLISHiNG A 40 MPH SPEED LIMIT ON LANE AVENUE BETWEEN MACKENZIE CREEK ROAD AND PROCTOR VALLEY ROAD AND ADDING THESE ROADWAY SEGMENTS TO SCHEDULE X OF A REGISTER MAINTAINED BY THE OFFICE OF THE CITY ENGINEER Based on the provisions of Chapter 7, Article 1 of the California Vehicle Code, and pursuant to authority under the Chula Vista Municipal Code Section 10.48.020, the City Engineer has determined that in the interest of minimizing traffic hazards and traffic congestion, and for the promotion of public safety, the speed limit on Lane Avenue between Otay Lakes Road and Mackenzie Creek Road be established at 35 MPH, and the speed limit on Lane Avenue between Mackenzie Creek Road and Proctor Valley Road be established at 40 MPH. These speed limits will be added to Schedule X of the register maintained in the Office of the City Engineer. (Director of Public Works) Staff recommendation: Council place the Ordinance on first reading. 5 A. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, MAKiNG APPOINTMENTS iN PROPOSED COMMUNITY FACI~.ITmS r)IStP, ICt NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) B. 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. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) Page 2 - Council Agenda 06/20/2000 C. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, DECLARING ITS INTENTION TO ESTABLISH COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) AND TO AUTHORIZE THE LEVY OF A SPECIAL TAX THEREIN TO FINANCE CERTAIN SERVICES D. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ORDERING AND DIRECTING THE pREPARATION OF A SPECIAL TAX REPORT FOR PROPOSED COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) E. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ADOPTING BOUNDARY MAP SHOWING TERRITORY PROPOSED TO BE ANNEXED IN THE FUTURE TO COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) F. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, DECLARING ITS INTENTION TO AUTHORIZE THE FUTURE ANNEXATION OF TERRITORY TO COMMUNITY FACILITIES DISTRICT NO. 99- 2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) G. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ADOPTING BOUNDARY MAP SHOWING TERRITORY PROPOSED TO BE ANNEXED TO IMPROVEMENT AREA "A" OF COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAINTENANCE DISTRICT) H. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, DECLARING ITS INTENTION TO AUTHORIZE THE ANNEXATION OF TERRITORY TO IMPROVEMENT AREA "A" OF COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAINTENANCE DISTRICT) I. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ADOPTING BOUNDARY MAP SHOWING TERRITORY PROPOSED TO BE ANNEXED IN THE FUTURE TO COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAINTENANCE DISTRICT) AND IMPROVEMENT AREA "A" THERETO j. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, DECLARING ITS INTENTION TO AUTHORIZE THE FUTURE ANNEXATION OF TERRITORY TO COMMUNITY FACILITIES DISTRICT NO. 97- 2 (pRESERVE MAINTENANCE DISTRICT) AND IMPROVEMENT AREA "A" THERETO Page 3 - Council Agenda 06/20/2000 The Otay Ranch Company has requested the City to conduct proceedings for the formation of Community Facilities District No. 99-2 (CFD No. 99-2). The conditions of approval of the tentative map require that a maintenance district formation be initiated and authorization of a special tax levy approved by Council prior to approval of Village One West's first final "B" map. This district will fund the perpetual operation and maintenance of open space slopes, drainage channels, detention basins, medians and parkways of Village One West in Otay Ranch SPA One. In addition, CFD No. 99-2 district liens will take over the obligations of Village One West, with regard to CFD No. 98-1, the Interim Open Space Maintenance District. A Notice of Special Tax Lien Cancellation will be filed 30 days after the CFD No. 99-2 certified vote is approved by the City Council. The City has retained the services of McGill Martin Self, Inc. as special tax consultant and Brown, Diven& Hessell as legal counsel to provide assistance during the proceedings. Approval of the Resolutions will initiate the formal proceedings leading to the establishment of CFD No. 99-2. (Director of Public Works) Staff recommendation: Council adopt the Resolutions. 6. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROViNG AGREEMENT FOR LANDSCAPE ARCHITECTURAL SERVICES FOR VARIOUS CIP PARK PROJECTS AND AUTHORIZiNG THE MAYOR TO EXECUTE SAID AGREEMENT Various small CB? park improvement projects were approved by Council under the Capital Improvement Program on June 15, 1999. The current workload of the City's Landscape Architect staff does not permit them to do the required design, construction documents and other related services for the projects. The Public Works Department is requesting Council's approval of an agreement between the City and Van Dyke, LLP for landscape architectural services for the Feaster School improvement project, playground renovations at Valle Lindo Park, Los Ninos Park, Tiffany Park, Lancerlot Park, and the renovation of Connoley Park. The design phase will be completed by December, 2000. Construction will begin in January, 2001. There are sufficient funds appropriated in the respective CIP projects to complete the necessary services for these improvements. (Director of Public Works) Staff recommendation: Council adopt the Resolution. 7A. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING FiNAL "A" MAP NO. 2 FOR OTAY RANCH SPA ONE VILLAGE ONE, CHULA VISTA TRACT NO. 96-04A. REJECTING ON BEHALF OF THE PUBLIC, SANTA ANDREA STREET, PASEO RANCHERO AND OLYMPIC PARKWAY; ACCEPTING ON BEHALF OF THE CITY OF CHULA VISTA THE LANDSCAPE BUFFER EASEMENTS, THE PUBLIC DRAINAGE AND ACCESS EASEMENTS, THE TRAIL EASEMENTS, THE SIDEWALK EASEMENTS, THE EMERGENCY ACCESS EASEMENTS AND THE ASSIGNABLE AND IRREVOCABLE GENERAL UTILITY AND ACCESS EASEMENTS GRANTED ON SAID MAP WITHIN SAID SUBDIVISION. ACKNOWLEDGING ON BEHALF OF THE PUBLIC THE IRREVOCABLE OFFERS OF DEDICATION OF FEE INTEREST FOR OPEN SPACE LOTS "C", "D", "E", "F", "G", "N" AND "Q" AND LOT "O" FOR PUBLIC PARK PURPOSES Page 4 - Council Agenda 06/20/2000 B. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING "A" MAP SUPPLEMENTAL SUBDIVISION IMPROVEMENT . AGREEMENT FOR CHULA VISTA TRACT NO. 96-04A, PORTION OF VILLAGE ONE, OTAY RANCH SPA ONE AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT On May 4, 1999, Council approved a Tentative Subdivision Map for Chula Vista Tract 96-04A, Otay Ranch SPA One, Village One, Phase 7. Condition No. 14 of the Resolution requires the developer to submit and obtain the approval of the City of a master final map ("A" Map) of the tentative map showing "super block" lots. The "A" map is also required to show the public street dedications and backbone utility easements required to serve the super block lots. All super block lots created are also required to have access to a dedicated public street. (Director of Public Works) Staff recommendation: Council adopt the Resolution. 8. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ACTING AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 98-3 (OPEN SPACE MAINTENANCE DISTRICT NO. 35 [SUNBOW II]), MAKING THE DETERMINATION THAT SURPLUS FUNDS EXIST FOR SERVICES WITHIN SUCH COMMUNITY FACILITIES DISTRICT AND AUTHORIZING THE REFUND OF SPECIAL TAXES COLLECTED FROM THE UNDEVELOPED PROPERTIES Ayres Land Company has requested that the City consider refunding the special taxes collected from the undeveloped properties for Community Facilities District No. 98-3, an open space maintenance district for Sunbow II development. (Director of Public Works) Staff recommendation: Council adopt the Resolution. 9 A. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING A PARCEL MAP FOR LOTS 78, 79 AND 90 OF MAP NO. 13919, LOTS 3 AND "H" OF MAP NO. 13884, AND LOT "C" OF MAP 13962, ACCEPTING ON BEHALF OF THE CITY OF CHULA VISTA THE EASEMENTS FOR PUBLIC SEWER FACILITIES, THE SEWER ACCESS EASEMENTS AND THE EMERGENCY ACCESS EASEMENT AS SHOWN ON SAID MAP WITHIN SAID SUBDVISION, REJECTING ON BEHALF OF THE CITY OF CHULA VISTA THE PEDESTRIAN BRIDGE AND PEDESTRIAN ACCESS EASEMENT AS SHOWN ON SAID MAP WITHIN SAID SUBDIVISION, ACKNOWLEDGING ON BEHALF OF THE CITY OF CHULA VISTA THE IRREVOCABLE OFFERS OF DEDICATION OF FEE INTERESTS FOR OPEN SPACE AND OTHER PUBLIC PURPOSES AS SHOWN ON SAID MAP WITHIN SAID SUBDIVISION, VACATING A PUBLIC SEWER EASEMENT GRANTED ON MAP NO. 13884 AND A PEDESTRIAN BRIDGE AND PEDESTRIAN ACCESS EASEMENT GRANTED ON MAP NO. 13962, AND VACATING IRREVOCABLE OFFERS OF DEDICATION OF FEE INTEREST TO THE CITY OF CHULA VISTA OVER LOT "H" OF MAP NO. 13884 AND LOT "C" OF MAP NO. 13962 Page 5 - Council Agenda 06/20/2000 B. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AN AGREEMENT TO AMEND LEGAL DESCRIPTIONS AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT C. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ACTING IN ITS CAPACITY AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 99-1 (OTAY RANCH SPA ONE- PORTIONS OF VILLAGE ONE, VILLAGE FIVE AND VILLAGE ONE WEST) DETERMINING THAT THE SPECIAL TAX FOR SUCH COMMUNITY FACILITIES DISTRICT SHALL CEASE TO BE LEVIED AS TO CERTAIN REAL PROPERTY AND ORDERING THE RECORDATION OF A NOTICE OF SPECIAL TAX LIEN CANCELLATION D. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ACTING IN ITS CAPACITY AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 97-1 (OPEN SPACE DISTRICT [OTAY RANCH, SPA ONE, VILLAGES ONE AND FIVE]) TO AMEND THE BOUNDARIES OF SPECIAL TAX AREA B OF SUCH COMMUNITY FACILITIES DISTRICT The proposed Parcel Map will adjust the property lines of five existing parcels in the McMillin Otay Ranch project and one parcel owned by Otay Project (no new lots are created). Final planning and design efforts for a proposed condominium project (in the McMillin ownership) require minor adjustments of the surrounding residential and open space lots. In addition, the approved site plan of the condominium project incorporates a small piece of land currently owned by the Otay Ranch Company. This property will be conveyed to McMillin or their successors in interest upon recordation of the subject Parcel Map ("Exchanged Land"). By approving the proposed map, Council will also vacate certain existing easements and Irrevocable Offers of Dedication of fee interests (IODs) for open space lots within the proposed map and replace them with new easements and IODs in consistency with the new lot configuration. The agreement to amend legal descriptions will remove the Exchanged Land from the land encumbered by several existing Otay Project agreements, and will incorporate said property within the land encumbered by certain existing McMillin agreements. Approval of the Resolutions will also cancel the Special Tax lien for Cormmmity Facilities District No. 99-1 on the Exchanged Land, and will amend the boundaries of Special Tax Area B of Community Facilities District No. 97-1 to exclude the Exchanged Land. (Director of Public Works) Staff recommendation: Council adopt the Resolutions. 10 A. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA WA1V1NG THE CITY'S FORMAL BIDDING PROCESS, APPROVING THE SECOND CONTRACT AMENDMENT WITH MNA CONSULTING, AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT, AND AMENDiNG THE FISCAL YEAR 1999/2000 BUDGET BY APPROPRIATING $142,200 TO THE DEPARTMENT OF PLANNING AND BUILDiNG, FUNDED BY THE AVAILABLE FUND BALANCE OF THE GENERAL FUND (4/5THS VOTE REQUIRED) Page 6 - Council Agenda 06/20/2000 B. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA WAIVING THE CITY'S INFORMAL B1DDING PROCESS, APPROVING AN AMENDMENT TO THE AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND REMY, THOMAS AND MOOSE, LLP FOR LEGAL SERVICES RELATED TO THE PROPOSED CITY OF CHULA VISTA MULTIPLE SPECIES CONSERVATION PROGRAM SUBAREA PLAN AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT, AND AMENDING THE FISCAL YEAR 1999/2000 BUDGET BY APPROPRIATING AN ADDITIONAL $25,000 TO THE PLANNING AND BUILDING DEPARTMENT FROM THE AVAILABLE FUND BALANCE OF THE GENERAL FUND (4/5THS VOTE REQUIRED) In April 1999, MNA Consulting was retained by the City of Chula Vista to draft a revised MSCP Subarea Plan. In February 2000, the Draft Plan was released for public review, and almost 600 individual comments were received. In a City retreat with Resource Agencies on June 22 and 23, 2000, position papers on larger issues will be presented, then the Plan will be re-written to incorporate or address comments received. City staff has determined that the scope of work for completion of the City's MSCP Subarea Plan has expanded and additional tasks have been identified related to the Plan implementation. Staff recommends that the existing agreement with MNA Consulting be amended to include the expanded scope of work for completion of the Plan and associated implementation tasks. In addition to the environmental consulting on the MSCP, staff requires special legal assistance for the preparation of environmental legal documents. Remy, Thomas and Moose, LLP were contracted initially for this assistance, but the volume of response to public and Resource Agency comment on the draft MSCP has required the use of some contract resources and expanded the initial scope of work. Staff recommends that the existing agreement with Remy, Thomas and Moose be amended to include the expanded scope of work for completion of the Plan and associated implementation tasks. (Director of Planning and Building) Staff recommendation: Council adopt the Resolutions. 11 A. RESOLUTION APPROVING FINAL MAP FOR CHULA VISTA TRACT NO. 88-3, EASTLAKE GREENS UNIT 26, ACCEPTING ON BEHALF OF THE CITY OF CHULA VISTA THE PUBLIC EASEMENTS GRANTED ON SAID MAP WITHIN SAID SUBDIVISION, ACKNOWLEDGING THE IRREVOCABLE OFFER OF DEDICATION OF FEE INTEREST FOR TRANSPORTATION AND OPEN SPACE PURPOSES AS SHOWN ON SAID MAP WITHIN SAID SUBDIVISION, REJECTING A PORTION OF EASTLAKE PARKWAY RIGHT-OF-WAY AS SHOWN ON SAID MAP WITHIN SAID SUBDIVISION, VACATING CERTAIN EXISTING EASEMENTS AS INDICATED ON SAID MAP WITHIN SAID SUBDIVISION, AND APPROVING THE SUBDIVISION IMPROVEMENT AGREEMENT FOR THE COMPLETION OF IMPROVEMENTS REQUIRED BY SAID SUBDIVISION AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT B. RESOLUTION APPROVING SUPPLEMENTAL SUBDIVISION IMPROVEMENT AGREEMENT FOR CHULA VISTA TRACT NO. 88-3, EASTLAKE GREENS UNIT 26, REQUIRING THE EASTLAKE COMPANY, LLC TO COMPLY WITH CERTAIN UNFULFILLED CONDITIONS OF RESOLUTION 17618 AND RESOLUTION 15200 AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT Page 7 - Council Agenda 06/20/2000 On July 18, 1989, Council approved the Tentative Subdivision Map for Chula Vista Tract No. 88-3, Eastlake Greens, which included the subject property labeled as Unit R-26. On August 16, 1994, Cotmcil approved and imposed Amendments and Conditions on the Master Tentative Subdivision Map (PCS-88-3). Adoption of the resolutions will approve the Final Map, Subdivision Improvement Agreement and Supplemental Subdivision Improvement Agreement for Unit R-26. This project proposes the creation of 252 condominium units. (Director of Public Works) Staff recommendation: Council adopt the Resolutions. 12. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE ADDITIONAL APPROPRIATION OF $30,000 FROM THE AVAILABLE FUND BALANCE OF THE GENERAL FUND FOR PROFESSIONAL SERVICES RELATED TO ASSESSING POTENTIAL IMPACTS FROM THE PROPOSED BROWN FIELD CARGO PORT EXPANSION, AND APPROVING THE ADDITION OF THE FUNDING TO THE PROPOSED FISCAL YEAR 1999/2000 BUDGET OF THE DEPARTMENT OF PLANNING AND BUILDING (4/5THS VOTE REQUIRED) On November 24, 1998, City Council approved Resolution 19279 appropriating $25,000 for professional services related to assessing potential impacts from the proposed Brown Field Cargo Port Expansion and noise impacts of helicopter flyovers originating from Ream Field. Council has since approved an additional $30,000 for continued professional services. Staff is now requesting that Council appropriate an additional $30,000 for professional services from available fired balance from the general fund to retain professional services, thereby ensuring professional services and timely responses to future actions by the City of San Diego. (Director of Planning and Building) Staff recommendation: Council adopt the Resolution. 13. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA DIRECTING REVIEW OF THE CITY OF CHULA VISTA CONFLICT OF INTEREST CODE The proposed Resolution will direct the City Attorney and City Clerk 1) to review the City's Conflict of Interest Code on behalf of all staff and designated commissions and boards to determine whether or not amendments are needed and 2) to submit a notice to the Council prior to October 1, 2000, indicating either that amendments are required or that no amendments are necessary. (City Clerk/City Attorney) Staff recommendation: Council adopt the Resolution. ORAL COMMUNICATIONS Persons speaking during Oral Communications may address the Council on any subject matter within the Council's jurisdiction that is not listed as an item on the agenda. State law generally prohibits the Council from talcing action on any issue not included on the agenda, but, if appropriate, the Council may schedule the topic for future discussion or refer the matter to staff Comments are limited to three minutes. Page 8 - Council Agenda 06/20/2000 PUBLIC HEARINGS AND RELATED RESOLUTIONS AND ORDINANCES The following items have been advertised and/or posted as public hearings as required by law. If you wish to speak on any item, please fill out a "Request to Speak"form (available in the lobby) and submit it to the City Clerk prior to the meeting. 14. PUBLIC HEARING TO CONSIDER ADOPTION OF AN URGENCY ORDINANCE RELATING TO UPDATES IN THE PUBLIC FACILITIES DEVELOPMENT IMPACT FEES TO PAY FOR VARIOUS PUBLIC FACILITIES WITHIN THE CITY OF CHULA VISTA On May 23, 2000, Council approved Urgency Ordinance No. 2809-A, which is effective for 30 days only, amending the Public Facilities Development Impact Fee (PFDIF) Ordinance to increase development impact fees from $2,150 to $2,618 per equivalent dwelling unit, to pay for various public facilities Citywide, and to make a number of other amendments to the Ordinance detailed in "Development Impact Fee for Public Facilities, 1999 Update" presented to Council at the regular meeting on May 23, 2000. The total fee was last reviewed in 1992-1993. Adoption of the proposed Urgency Ordinance 2809-B will enable the City to continue to collect the updated fees during the 60-day waiting period before Ordinance 2810 becomes effective. Staff recommendation: Council adopt the following urgency Ordinance: URGENCY ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, AMENDING ORDINANCE 2554 RELATING TO A DEVELOPMENT IMPACT FEE TO PAY FOR VARIOUS PUBLIC FACILITIES WITHIN THE CITY OF CHULA VISTA'S GENERAL PLAN AREA BOUNDARY (4/5TH's VOTE REQUIRED) 15. PUBLIC HEARING TO CONSIDER TESTIMONY ON THE FISCAL YEAR 2000/2001 LEVY OF ASSESSMENTS FOR CITY OPEN SPACE DISTRICT NO. 10 Based upon the advice of the City Attorney, agenda items 15 and 16 have been separated from agenda item 17 due to conflict of interest concerns. One Council member owns property subject to the proposed assessment in this District. Council should note that agenda statement 17 gives all background information and details on Open Space Districts in general which is applicable to this item, but does not include specific information on Open Space District 10. (Director of Public Works) Staff recommendation: Council conduct thc public hearing and direct staff to return on July 25, 2000 for the second scheduled public hearing. Page 9 - Council Agenda 06/20/2000 16. PUBLIC HEARING TO CONSIDER TESTIMONY ON THE FISCAL YEAR 2000/2001 LEVY OF ASSESSMENTS FOR CITY OPEN SPACE DISTRICT NO. 14 Based upon the advice of the City Attorney, agenda items 15 and 16 have been separated from agenda item 17 due to conflict of interest concerns. One Council member owns property subject to the proposed assessment in this District. Council should note that agenda statement 17 gives all background information and details on open space districts in general which is applicable to this item, but does not include specific information on Open Space District 14. (Director of Public Works) Staff recommendation: Council conduct the public hearing and direct staff to return on July 25, 2000 for the second scheduled public hearing. 17. PUBLIC HEARING TO CONSIDER TESTIMONY OF THE FY 2000/2001 LEVY AND COLLECTION OF ASSESSMENTS FOR CITY OPEN SPACE DISTRICTS 1-9, Il, 15, 17, 18, 20, 23, 24, 26, 31, 33, BAY BOULEVARD, TOWN CENTRE AND EASTLAKE MAINTENANCE DISTRICT NO. 1 The City administers 25 Open Space Districts established over the last twenty-five years. The districts provide the mechanism to finance the maintenance of common open space areas (canyons, trails, medians, etc.) associated with and benefiting that particular development. As part of this process, a levy of an annual assessment is necessary to enable the City to collect funds for the proposed open space maintenance. Tonight's action continues the process for Fiscal Year 2000/2001. On May 23, 2000, Council approved the open space reports on assessments for all existing Open Space Districts and set a public hearing for tonight to take testimony on the proposed assessments. A second public hearing is scheduled for July 25, 2000. (Director of Public Works) Staff recommendation: Council conduct the public heating and direct staff to return on July 25, 2000 for the second scheduled public heating. 18. CONSIDERATION OF AMENDMENTS TO THE SUNBOW II SECTIONAL PLANNING AREA (SPA) PLAN AND PLANNED COMMUNITY DISTRICT REGULATIONS TO CHANGE THE LAND USE DESIGNATION OF 2.3 ACRES AT THE NORTHEAST CORNER OF MEDICAL CENTER DRIVE AND EAST PALOMAR STREET FROM RESIDENTIAL CONDOMINIUM TO VILLAGE CENTER; AND AMENDMENTS TO THE SUNBOW II DESIGN GUIDELINES TO CHANGE THE ADOPTED "MAIN STREET" PEDESTRIAN VILLAGE COMMERCIAL DESIGN TO A MORE CONTEMPORARY NEIGHBORHOOD COMMERCIAL CENTER DESIGN Kitchell Development Company has submitted an application to amend the Sunbow II Sectional Planning Area Plan-Planned Community District Regulations in order to change the Land Use Designation of 2.3 acres at the northeast comer of Medical Center Drive and East Palomar Street from Residential Condominium to Village Center. The applicant has also requested an amendment to the Sunbow II Village Center Design Guidelines to change the adopted "Main Street" Pedestrian Village commercial center design concept to a more contemporary neighborhood commercial center. (Director of Planning and Building) Staff recommendation: Council conduct the Public Heating, adopt the following Resolution and place the Ordinance on first reading: Page 10 - Council Agenda 06/20/2000 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING MITIGATED NEGATIVE DECLARATION IS-00-16 AND MITIGATION MONITORING AND REPORTING PROGRAM; AND APPROVING AMENDMENTS TO THE SUNBOW II SECTIONAL PLANNING AREA (SPA) PLAN AND SUNBOW II DESIGN GUIDELINES TO IMPOSE CONDITIONS AND AMEND THE ADOPTED VILLAGE COMMERCIAL CENTER DESIGN CONCEPT FROM A "MAIN STREET" PEDESTRIAN VILLAGE TO A MORE CONTEMPORARY NEIGHBORHOOD COMMERCIAL CENTER ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AMENDMENTS TO THE SUNBOW II SECTIONAL PLANNING AREA (SPA) PLAN - PLANNED COMMUNITY DISTRICTS REGULATIONS, LAND USE DISTRICT MAP TO CHANGE THE LAND USE DESIGNATION OF 2.3 ACRES AT THE NORTHEAST CORNER OF EAST PALOMAR STREET AND MEDICAL CENTER DRIVE FROM RESIDENTIAL CONDOMINIUM (RC) TO VILLAGE CENTER (VC) ACTION ITEMS The items listed in this section of the agenda are expected to elicit substantial discussion and deliberation by the Council, staff, or members of the public. The items will be considered individually by the Council, and staff recommendations may, in certain cases, be presented in the alternative. If you wish to speak on any item, please fill out a "Request to Speak" form (available in the lobby) and submit it to the City Clerk prior to the meeting. 19. CONSIDERATION OF ESTABLISHING A CONSTRUCTION MANAGEMENT SERVICES PRIORITY LIST, COMPRISED OF SIX CONSULTING TEAMS, TO BE USED FOR AWARDING DESIGN AND/OR CONSTRUCTION OF CONTRACTS ON FUTURE BUILDING FACILITIES On April 17, 2000, the Department of Public Works issued a Request for Qualifications (RFQ) for Construction Manager/Constructor Services, requesting statements of qualifications from Construction Managers/Constructors (CMC) qualified to provide the City with proper guidance and assistance in value engineering, construction management and construction services coordination for City Capital Improvement Projects. On May 19, 2000, the City received a total of 18 submittals in response to the RFQ. A selection committee appointed by the City Manager has reviewed and ranked the submittals and conducted interviews with the top six consulting teams. This resolution will establish the priority order of the six teams on an official list, which shall remain in effect for three years. (City Manager) Staffrecommendation: Council adopt the following Resolution: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ESTABLISHING A CONSTRUCTION MANAGEMENT SERVICES PRIORITY LIST, COMPRISED OF SIX CONSULTING TEAMS, TO BE USED FOR AWARDING DESIGN AND/OR CONSTRUCTION OF CONTRACTS ON FUTURE BUILDING 06/20/2000 Page 11 - Council Agenda 20. CONSIDERATION OF APPROVAL OF A SECOND AMENDMENT AND RESTATEMENT OF THE EASTLAKE GREENS AFFORDABLE HOUSING AGREEMENT AND REVISIONS TO THE EASTLAKE GREENS AFFORDABLE HOME OWNERSHIP PROGRAM The EastLake Greens affordable housing agreement is unique in the method of satisfying the City's affordable housing requirement by providing 130 for-sale units. Typical methods of providing affordable housing opportunities for low income households has been the production of rental units. The EastLake Greens project will be Chula Vista's premier affordable for-sale project located within the EastLake community. A number of benchmarks outlined in the amended agreement approved under Resolution no. 19135 have changed. Adoption of the Resolution will approve a second amendment to the EastLake Greens Affordable Housing Agreement and related changes to the EastLake Green Affordable Housing Home Ownership Program. (Director of Community Development) Staff recommendation: Council adopt the following Resolution: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING A SECOND AMENDMENT AND RESTATEMENT OF THE EASTLAKE GREENS AFFORDABLE HOUSING AGREEMENT AND REVISIONS TO THE EASTLAKE GREENS AFFORDABLE HOME OWNERSHIP PROGRAM 21. CONSIDERATION OF APPROVING THE SEVENTH AMENDMENT TO THE AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND RICK ENGINEERING COMPANY FOR PRELIMINARY ENGINEERING DESIGN SERVICES FOR INTERCHANGES WITH INTERSTATE 805 AT TELEGRAPH CANYON ROAD, OLYMPIC PARKWAY AND PALOMAR STREET PROVIDING FOR ADDITIONAL ENGINEERING DESIGN SERVICES FOR OLYMPIC PARKWAY FROM OLEANDER AVENUE TO BRANDYWINE AVENUE; WAIVING THE CONSULTANT SELECTION PROCESS AND AUTHORIZING THE MAYOR TO EXECUTE SAID AMENDMENT ON BEHALF OF THE CITY; AND APPROPRIATING $132,100 IN TRANSPORTATION DEVELOPMENT IMPACT FEES TO PROJECT NO. 24093440 (4/5THS VOTE REQUIRED) On January 23, 1996, Council approved a contract with Rick Engineering for preliminary engineering design services for three interchanges on Interstate 805 at Telegraph Canyon Road, Olympic Parkway, and Palomar Street. Since then, due to additional work requirements by Caltrans, six amendments to this contract have been made. The seventh amendment to the contract will provide for the final design of the sound walls/retaining walls on Olympic Parkway between Oleander Avenue and Brandywine Avenue and additional drainage, sewer and water design relocation work and right-of-way document and survey work related to this work. The Design includes preparation of Plans, Specifications and Estimate, modification of the existing Project Study report, Project Report and environmental documents for said segment of Olympic Parkway and allow for reimbursable expenses incurred in the completion of this work. (Director of Public Works) Staffrecommendation: Council adopt the following Resolution: Page 12 - Council Agenda 06/20/2000 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE SEVENTH AMENDMENT TO THE AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND RICK ENGINEERING COMPANY FOR PRELIMINARY ENGINEERING DESIGN SERVICES FOR THREE INTERCHANGES WITH INTERSTATE 805 AT TELEGRAPH CANYON ROAD, OLYMPIC PARKWAY AND PALOMAR STREET PROVIDING FOR ADDITIONAL ENGINEERING DESIGN SERVICES FOR OLYMPIC PARKWAY FROM OLEANDER AVENUE TO BRANDYWINE AVENUE; WAIVING THE CONSULTANT SELECTION PROCESS AND AUTHORIZING THE MAYOR TO EXECUTE SAID AMENDMENT ON BEHALF OF THE CITY; AND APPROPRIATING $132,100 IN TRANSPORTATION DEVELOPMENT IMPACT FEES TO PROJECT NO. 24093440 22. CONSIDERATION OF APPROVING AN AGREEMENT WITH MCGILL MARTIN SELF, INC., FOR THE PROVISION OF PROJECT MANAGEMENT SERVICES REQUIRED FOR THE DESIGN AND CONSTRUCTION OF THE SALT CREEK GRAVITY SEWER INTERCEPTOR AND THE WOLF CANYON TRUNK SEWER Due to the current pace of development in the "Eastern Territories", the City has identified the need to complete a major trunk sewer facility within the next 18 months to serve the developments within the Salt Creek and Wolf Canyon basins. It is the City's intention to begin the construction of this trunk sewer by January 2001 and have the system operational by January 2002. The City sought a qualified consultant, with similar work experience, to assist City staff in the construction and environmental process for this project. (Director of Public Works) Staff recommendation: Council adopt the following Resolution: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AN AGREEMENT WITH MCGILL MARTIN SELF, INC., FOR THE PROVISION OF PROJECT MANAGEMENT SERVICES REQUIRED FOR THE DESIGN AND CONSTRUCTION OF THE SALT CREEK GRAVITY SEWER INTERCEPTOR AND THE WOLF CANYON TRUNK SEWER 23. CONSIDERATION OF APPROVING A SECOND AMENDMENT TO THE CONTRACT WITH THE CHULA VISTA CHAMBER OF COMMERCE TO PROVIDE CHULA VISTA CONVENTION AND VISITORS BUREAU SERVICES; AND APPROVING SIXTH AMENDMENT TO THE CONTRACT WITH THE CHAMBER OF COMMERCE TO PROVIDE VISITOR AND TRANSIT INFORMATION SERVICES AT THE CHULA VISTA VISITOR INFORMATION CENTER AND CHAMBER OF COMMERCE MAIN OFFICE; AND RESOLUTION APPROVING THE FISCAL YEAR 2000/2001 BUDGET FOR THE CHULA VISTA CONVENTION AND VISITOR BUREAU AND VISITORS iNFORMATION CENTER 06/20/2000 Page 13 - Council Agenda According to Council Policy No. 230-01, each year the Council considers a budget and related contract for a Chula Vista Visitors and Convention Bureau. The budget and contract for operation of the Chula Vista Visitor Information Center also receives yearly approval. (Public Information Officer) Staff recommendation: Council adopt the following Resolutions: A. RESOLUTION APPROVING SECOND AMENDMENT TO THE CONTRACT WITH THE CHULA VISTA CHAMBER OF COMMERCE TO PROVIDE CHULA VISTA CONVENTION AND VISITORS BUREAU SERVICES B. RESOLUTION APPROVING SIXTH AMENDMENT TO THE CONTRACT WITH THE CHAMBER OF COMMERCE TO PROVIDE VISITOR AND TRANSIT INFORMATION SERVICES AT THE CHULA VISTA VISITOR iNFORMATION CENTER AND CHAMBER OF COMMERCE MAiN OFFICE C. RESOLUTION APPROVING THE FISCAL YEAR 2000/2001 BUDGET FOR THE CHULA VISTA CONVENTION AND VISITOR BUREAU AND VISITORS INFORMATION CENTER ITEMS PULLED FROM THE CONSENT CALENDAR OTHER BUSINESS 24. CITY MANAGER'S REPORTS A. Scheduling of meetings. 25. MAYOR'S REPORTS A. Ratification of appointment to the Economic Development Commission - Daniel Munoz B. Ratification of appointment to the Economic Development Commission - Carl Nelson C. Ratification of appointment to the Board of Ethics - Harold Dill D. Ratification of appointment to the Board of Ethics - Carmen Quintana 26. COUNCIL COMMENTS CLOSED SESSION 27. INITIATION OF LITIGATION PURSUANT TO GOVERNMENT CODE SECTION 54956.9(b) · One Case ADJOURNMENT to the Regular Meeting of July 11, 2000, at 6:00 p.m. in the Council Chambers. Page 14 - Council Agenda 06/20/2000 CI]Y OF CHULA VISTA MEMORANDUM June 14, 2000 To: The Honorable Mayor and City Council From: David D. Rowlands, Jr., City Manager Subject: Council Meeting of June 20, 2000 This will transmit the agenda and related materials for the regular City Council meeting of Tuesday, June 20, 2000. Comments regarding the Written Communications are as follows: la. This is a letter from the City Attorney stati.ng that to the best of his knowledge from observance of actions taken in Closed Session on June 13, 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. DDR:mab COUNCIL AGENDA STATEMENT Item ¢~- Meeting Date 6/20/00 ITEM TITLE: RESOLUTION Adopting the Amended and Restated PARS (Public Agency Retirement System) Trust Agreement; appointing the City Manager or his successor or designee as the Plan Administrator; authorizing the Plan Administrator to execute the adoption of the PARS Trust Agreement; and, authorizing the Plan Administrator to take whatever additional administrative actions are necessary to maintain participation in PARS SUBMITTED BY: Director of Human Resources~~'~J City Manager~ ~' (4/5ths Vote: Yes__ No _X_) REVIEWED BY: The City is currently a member of the Public Agency Retirement System (PARS), which provides the City with an Alternate Retirement System for our part-time, seasonal and temporary employees who are not eligible for participation in PERS. Recently the PARS Trust Administrator informed the City that the legal documents of the PARS Trust Program have been updated in response to several law changes, which have amended the operation of qualified plans. This Council Action will adopt the Amended and Restated Agreement, designate the City's Plan Administrator for PARS, and will confer authority to that designee to take whatever additional actions are required to administer the City's PARS plans. RECOMMENDATION: That Council adopt the resolution Adopting the Amended and Restated PARS (Public Agency Retirement System) Trust Agreement; appointing the City Manager or his successor or designee as the Plan Administrator; authorizing the Plan Administrator to execute the adoption of the PARS Trust Agreement; and, authorizing the Plan Administrator to take whatever additional administrative actions are necessary to maintain participation in PARS. BOARDS/COMMISSIONS RECOMMENDATION: N/A BACKGROUND: The City joined PARS as the result of a Federal mandate, the Omnibus Budget Reconciliation Act of 1990 (OBRA 90), which required that all employees not covered by a qualified retirement system either be enrolled in Social Security or in an alternate system beginning January 1992. The City's membership in PARS, administered by Phase II Systems, enabled the City to provide an Alternate Retirement System that fully complied with the new provisions of the Federal law. Participation in PARS results in savings for the City, when compared to Social Security, and yet provides more flexible retirement benefits for our part-time, temporary and seasonal employees. In addition, PARS has offered the City an efficient .2-/ Item ,~ Meeting Date 6/20/00 and cost effective administrative alternative with over 160 public agencies and 180,000 employees covered by the Trust. DISCUSSION: In 1991, the original Trust Agreement for the Public Agency Retirement System (PARS) was established. Recently, Phase II Systems, the PARS Trust Administrator informed the City that the legal documents of the PARS Trust Program have been updated in response to several changes in the law that affect the operation of qualified plans, including: ~ General Agreement on Tariffs and Trade (GATT) ~ Uniformed Service Employment and Reemployment Rights Act (USERRA) ~ Taxpayers Relief Act of 1997 (TRA '97) ~ Small Business Job Protection Act of 1996 (SBJPA '96) The PARS Trust Administrator has also taken this opportunity to modify the PARS Trust Agreement to better describe its features: ~ ~ Each party's role, powers and responsibilities have been defined and clarified, ~ Important terms have been defined, clarified and used consistently throughout the documents, and ~ Concise procedures have been established for executing the provisions of the documents. Participation in PARS is accomplished through the adoption of the PARS Trust, which is being updated at this time. FISCAL IMPACT: Currently, the City and the affected part-time, seasonal, or temporary employees each pay 3.75% of the employees' salary toward the PARS retirement plan. If it were decided to not approve the Amended and Restated Trust Agreement (assuming that at least 2/3rds of the other contracting agencies do approve the changes) the City would need to transfer all of the part-time, temporary, and seasonal employees covered under PARS to PERS. This would represent a significant cost increase to both the employee and the City. The employees would be required to contribute 7% (vs. 3.75%) of their salaries to PERS. In addition the City would have to contribute the Employer's PERS portion, which is currently equal to 6.641% of the employee's salary. This would be an additional 2.891% of the employees' salaries that the City would be paying which would cost the City an additional estimated $76,300 per year. Attachments:A) Public Agency Retirement System (PARS) Trust Agreement B) Exhibit A-Adoption Agreement to the PARS Trust Agreement (4) RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING THE AMENDED AND RESTATED PARS (PUBLIC AGENCY RETIREMENT SYSTEM) TRUST AGREEMENT AND APPOINTING THE CITY MANAGER, OR HIS/HER DESIGNEE AS THE CITY'S PLAN ADMINISTRATOR FOR PARS AND AUTHORIZING THE PLAN ADMINISTRATOR TO EXECUTE THE PARS LEGAL DOCUMENTS ON BEHALF OF THE CITY WHEREAS, the City is a member of the Public Agency Retirement System (PARS) for the purpose of providing tax qualified retirement benefits; and, WHEREAS, the City provides a Qualifying Retirement System for its part- time, temporary, and seasonal employees, thereby meeting the requirements of Section 11332 of the Omnibus Budget Reconciliation Act (OBRA 90) and Section 3121 (b)(7)(F) and 401(a), and meets the meaning of the term "retirement system" as given by Section 218(b)(4) of the Federal Social Security Act; and, WHEREAS, the City is a member of the PARS Trust. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby: ]. Adopt the Amended and Restated PARS Trust Agreement, effective June 20, 2000; and, 2. Appoints the City Manager, or his/her successor or his/her designee as the City's Plan Administrator for the Public Agency Retirement System; and, 3. Authorizes the City's Plan Administrator to execute the PARS legal documents on behalf of the City and to take whatever additional actions are necessary to maintain the City's participation in PARS and to maintain PARS compliance of any relevant regulation issued or as may be issued; therefore authorizing him/her to take whatever additional actions are required to administer the City's PARS plan. Presented by Approved as to form by Candy Emerson, Director of / .o.~M. Kaheny, City Human Resources ~t[orney H:~shared\attorney\loraine\Pars Trust Reso Attachment A-1 PUBLIC AGENCY RETIREMENT SYSTEM (PARS) TRUST AGREEMENT 11- Attachment A2 PREAMBLE The Huntington Beach City School District and State Center Community College District formed and adopted the Public Agency Retirement System Trust ("PARS Trust") on July 1,1991 ("Effective Date"). Subsequent to the Effective Date other California public agencies adopted the PARS Trust as the funding vehicle for tax qualified retirement plans for employees. Subsequent to the Effective Date the PARS Trust was amended. Effective as of July 1, 1999 ("Amended Effective Date") the PARS Trust was amended and restated in its entirety as contained herein. This amended and restated Trust shall supersede all prior versions of the PARS Trust as of the Amended Effective Date. Attachment A3 TABLE OF CONTENTS ARTICLE PAGE ARTICLE I DEFINITIONS 3 ARTICLE II THE PARS TRUST PROGRAM 4 ARTICLE III ADMINISTRATIVE MATTERS 7 ARTICLE IV THE TRUSTBE 12 ARTICLE V INVESTMENTS 18 ARTICLE VI FIDUCIARY RESPONSIBILITIES 25 ARTICLE VII AMENDMENT, TERMINATION AND MERGER 28 ARTICLE VIII MISCELLANEOUS PROVISIONS 30 ARTICLE IX ACKNOWLEDGI~/IENT AND ACCEPTANCE 32 2 -'T T i I I' Attachment A4 Article I DEFINITIONS 1.1 "Act" shall mean California Government Code Sections 53215 - 53224, or their successor sections. 1.2 "Agreement for Administrative Services" shall mean the agreement executed between the Member Agency and the Trust Administrator which authorizes the Trust Administrator to perform specific duties of administering the Member Agency Plan and related Agency Trust. 1.3 "Amended Effective Date" shall mean July 1, 1999, the date the PARS Trust Agreement was amended and restated in its entirety. 1.4 "Assets" shall mean all contributions and transfers of assets received by an Agency Trust on behalf of a Member Agency's Plan, together with the income and earnings from such contributions and transfers and any increments accruing to them. 1.5 "Agency Trust" shall mean the legally separate and individual trust, whose provisions are identical to those of the PARS Trust Agreement, that is established by a Member Agency when it adopts the PARS Trust by executing an Adoption Agreement. 1.6 "Alternate Trustee" shall mean a trustee, other than the Trustee of the PARS Trust Program,' appointed by a Member Agency to serve as a trustee of a portion of such Agency Trust's assets as to which the Trustee serves as custodian. 1.7 "Code" shall mean the Internal Revenue Code of 1986 as amended from time to time. 1.8 "Custodian" shall mean Union Bank of California, N.A. whose duties are limited to those specified in Section 4.3. 1.9 "Delegatee" shall mean an individual or entity, appointed by the Plan Administrator or Member Agency to act in such matters as are specified in the appointment. 1.10 "Effective Date" shall mean July 1, 1991, the date the PARS Trust Program was established. 1.11 "Investment Fiduciary" shall mean the fiduciary with the authority and duty to direct the investment and management (including the power to direct the 3 Attachment A5 acquisition and disposition) of some or all of the Assets of the Agency Trust appointed by a Member Agency' for its Agency Trust. 1.12 "Omnibus Account" shall mean an account, established for record keeping purposes only, to commingle the Assets of the Agency Trust. 1.13 "Member Agency" shall mean a California public agency that adopts the provisions of the PARS Trust Agreement. 1.14 "Plan" shall mean the tax qualified plan whose assets the Agency Trust holds. 1.15 "Plan Administrator" shall mean the individual designated by position of employment at the Member Agency to act on its behalf in all matters relating to the Member Agency's participation in the PARS Trust Program and Agency Trust. 1.16 "PARS Trust Agreement" or "Trust Agreement" shall mean the pro forma Public Agency Retirement System trust document adopted by each Member Agency upon execution of an Adoption Agreement, as amended from time to time. 1.17 "PARS Trust Program" shall mean the Public Agency Retirement System trust arrangement. 1.18 "Participant" shall mean individual participating in a Member Agency Plan or that individual's beneficiary. 1.19 "Trust Administrator'' shall mean Phase II Systems. 1.20 "Trustee" shall mean the entity appointed as trustee of the PARS Trust that shall also serve as trustee of each Agency Trust established pursuant to the provisions of this trust agreement except where an Alternate Trustee has been appointed. Article II THE PARS TRUST PROGRAM 2.1 Multiple Employer Trust The PARS Trust Program is a multiple employer trust arrangement established to provide economies of scale and efficiency of administration to public agencies that adopt it to hold the assets of their Member Agency Plans maintained for the benefit of their employees. The PARS Trust Program consists of the Agency Trusts adopted and not terminated by Member Agencies. 4 2567..12 PE[ ~ ~ Attachment A6 2.2 Qualified Governmental Retirement Trust The PARS Trust Program is established pursuant to the provisions of Section 501 of the Internal Revenue Code of 1986, as amended (the "Code"), and California Government Code Sections 53215 through 53224 providing for pension trusts established by public agencies. 2.3 Date of Adoption The date as of which each Member Agency adopts the PARS Trust Program shall be the "Effective Date" of the PARS Trust Agreement and the Agency Trust, as defined in Section 2.5, as to that Member Agency. 2.4 Member Agencies Any California public agency may, by action of its governing body in a writing accepted by the Trustee, adopt the provisions of the PARS Trust Agreement as the trust portion of a qualified governmental retirement plan established for the benefit of its employees. Executing an adoption instrument for the PARS Trust Program ("Adoption Agreement"), attached hereto as Exhibit "A", shall constitute such adoption, unless the Trustee requires additional evidence of adoption. In order for such adoption to be effective, the public agency must also execute an Agreement for Administrative Services with Phase I1 Systems, the Trust Administrator, pursuant to section 3.6 of this PARS Trust Agreement. Such adopting employer shall then become a Member Agency of the PARS Trust Program. Each such Member Agency shall, at a minimum, furnish the Trust Administrator with the following documents to support its adoption of the PARS Trust Program: (a) a certified copy of the Member Agency governing body resolution authorizing the adoption of the PARS Trust Agreement and the appointment of an individual designated by position of employment at the Member Agency to act on its behalf in all matters relating to the Member Agency's participation in the PARS Trust Program and Agency Trust ("Plan Administrator"); (b) an original of the Adoption Agreement executed by the Plan Administrator or other duly authorized Member Agency employee; (c) an original of the Agreement for Administrative Services with Phase II Systems executed by the Plan Administrator or other duly authorized Member Agency employee and Phase II Systems; (d) an address notice; and 5 2567 12PEI ~- 9 ~' ! r Attachment AI~ (e) such other documents as the Trustee may reasonably request. 2.5 Agency Trust By adopting the PARS Trust Agreement, as provided in Section 2.4, a Member Agency shall be deemed to have adopted a legally separate and individual Agency Trust whose provisions are identical to those of the PARS Trust Agreement. The Assets of an Agency Trust shall be available only to pay benefits pursuant to the provisions of the Plan to participants and beneficiaries of the Member Agency entitled to receive benefits under the provisions of the Plan. The Agency Trust is created for the purpose of receiving contributions made to fund the Member Agency's Plan; accumulating, managing and investing those contributions; and providing benefits to active or retired participants of the Plan, their joint annuitants, or their beneficiaries. Each Agency Trust shall be used to fund only a single Plan maintained by the Member Agency. A Member Agency may establish additional Agency Trusts to fund the assets of additional Plans by executing one or more additional Adoption Agreement(s). 2.6 Assets of Agency Trust The assets of the Agency Trust shall consist of all contributions and transfers received by the Agency Trust on behalf of the Member Agency's Plan, together with the income and earnings from such contributions and transfers, and any increments accruing to them ("Assets"). All contributions or transfers shall be received by the Trustee in cash or in other property acceptable to the Trustee. The Trustee shall manage and administer the Assets of the Agency Trust without distinction between principal and income. The Trustee and the Trust Administrator shall have no duty to compute any amount to be transferred or paid to the Agency Trust by the Member Agency and the Trustee and the Trust Administrator shall not be responsible for the collection of any centdbutions or transfers to the Agency Trust. 2.7 Commingling for Investment and Administration The Assets of more than one Agency Trust may be commingled by the Trustee or Investment Fiduciary in one or more Omnibus Accounts for investment and administrative purposes, to provide economies of scale and efficiency of administration to the Agency Trusts. The responsibility for Plan level accounting within this Omnibus Account(s) shall be that of the Trust Administrator. 2.8 Trustee Accounting The Trustee shall be responsible only for maintaining records and maintaining accounts for the aggregate assets of the PARS Trust Program. The 6 ! T I I [ Attachment A8 responsibility for Plan level accounting for each Agency Trust, based upon the Omnibus Account(s), shall be that of the Trust Administrator. 2.9 No Diversion of Assets The Assets in each Agency Trust shall be held in trust for the exclusive purpose of providing benefits to the Participants of the Plan for which the Agency Trust is holding assets and defraying the reasonable expenses of such Plan. The Assets shall not be used for or diverted to, any other purpose. 2.10 Type and Nature of Trust Neither the full faith and credit nor the taxing power of each Member Agency, the State of California or any political subdivision thereof other than each Member Agency is pledged to the distribution of benefits hereunder. Except for contributions and other amounts hereunder, no other amounts are pledged to the distribution of benefits hereunder. Distributions of benefits are neither general nor special obligations of any Member Agency, but are payable solely from the Assets of each Agency Trust, as more fully described herein. No employee of any Member Agency or beneficiary may compel the exercise of the taxing power by any Member Agency. Distributions of Assets under any Agency Trust are not debts of any Member Agency, the State of California or any of its political subdivisions within the meaning of any constitutional or statutory limitation or restriction. Such distributions are not legal or equitable pledges, charges, liens or encumbrances, upon any of a Member Agency's property, or upon any of its income, receipts, or revenues, except amounts in the accounts which are, under the terms of each Plan, Agency Trust and the Act, set aside for distributions. Neither the members of the legislative body of any Member Agency nor its officers, employees, agents or volunteers are liable hereunder. Article III ADMINISTRATIVE MATTERS 3.1 Appointment of Trustee Two thirds or more of the Member Agencies acting jointly, may by a two-thirds or greater vote, act to appoint a bank, trust company, retirement board, insurer, committee or such other entity as permitted by California law, to serve as the trustee of the PARS Trust Program ("Trustee"). Such action must be in writing. Upon the written acceptance of such entity it shall become the Trustee of the PARS Trust Program and, subject to the provisions of Section 3.10, the trustee of each Agency Trust. By executing an Adoption Agreement, the adopting Member 7 ,¢, -tt Attachment A9 Agency hereby appoints the Union Bank of California, N.A. as the Trustee as of the Amended Effective Date. 3.2 Removal of Trustee Two thirds or moro of the Member Agencies acting jointly, may by a vote of two - thirds or greater, act to romove the Trustee. Such action must be in writing and delivered to the Trustee and the Trust Administrator. Upon such rodnoval from the PARS Trust the Trustee shall also be removed as trustee of each of the Agency Trusts. The Plan Administrator may remove the Trustee as trustee of an Agency Trust by giving at least ninety (90) days pdor written notice to the Trustee and the Trust Administrator and withdrawing from the PARS Trust Program. 3.3 Resignation of Trustee The Trustee may resign as trustee of the PARS Trust Program at any time by giving at least ninety (90) days pdor wdtten notice to the Trust Administrator and to each Plan Administrator of each Member Agency that has adopted the PARS Trust Agreement and not terminated its participation in the PARS Trust Program. Such resignation shall also be deemed a resignation as trustee of each of the Agency Trusts. The Trustee may resign as trustee of an Agency Trust by giving at least ninety (90) written notice to the Plan Administrator of such Agency Trust and to the Trust Administrator. The Member Agency's appointment of a successor trustee to the Agency Trust will vest the successor trustee with title to the Assets of its Agency Trust upon the successor trustee's acceptance of such appointment. 3.4 The Plan Administrator The governing body of each Member Agency shall have plenary authority for the administration and investment of the Agency Trust pursuant to the laws and Constitution of the State of California and applicable federal laws and regulations. Each Member Agency shall by resolution designate a Plan Administrator. Unless otherwise specified in the instrument the Plan Administrator shall be deemed to have authority to act on behalf of the Member Agency in all matters pertaining to the Member Agency's participation in the PARS Trust Program and in regard to the Agency Trust of the Member Agency. Such appointment of a Plan Administrator shall be effective upon receipt and acknowledgment by the Trustee and the Trust Administrator and shall be effective until the Trustee and Trust Administrator are furnished with a resolution of the Member Agency that the appointment has been modified or terminated. 3.5 Failure to Appoint Plan Administrator If a Plan Administrator is not appointed, or such appointment lapses, the Member Agency shall be deemed to be the Plan Administrator. As used in this document 8 Attachment Al0 Plan Administrator shall be deemed to mean Member Agency when a Plan Administrator has not been appointed. 3.6 Delegatee The Plan Administrator, acting on behalf of the Member Agency, may delegate certain authority, powers and duties to an entity to act in those matters specified in the delegation CDelegatee"). Any such delegation must be in a writing that names and identifies the Delegatee, states the effective date of the delegation, specifies the authority and duties delegated, is executed by the Plan Administrator and is acknowledged in writing by the Delegatee, the Trust Administrator (if not the Delegatee) and the Trustee. Such delegation shall be effective until the Trustee and the Trust Administrator are directed in writing by the Plan Administrator that the delegation has been rescinded or modified. 3.7 Certification to Trustee The goveming body of each Meml~er Agency, or other duly authorized official, shall certify in writing to the Trustee and the Trust Administrator the names and specimen signatures of the Plan Administrator and Delegatee, if any, and all others authorized to act on behalf of the Member Agency whose names and specimen signatures shall be kept accurate by the Member Agency acting through a duly authorized official or governing body of the Member Agency. The Trustee and the Trust Administrator shall have no liability if it acts upon the direction of a Plan Administrator or Delegatee that has been duly authorized, as provided in Section 3.6, if that Plan Administrator or Delegatee is no longer authorized to act, unless the Member Agency has informed the Trustee and the Trust Administrator of such change. 3.8 Directions to Trustee Except as provided in Section 5.18 of this Trust Agreement, all directions to the Trustee from the Plan Administrator or Delegatee must be in wdting and must be signed by the Plan Administrator or Delegatee, as the case may be. For all purposes of this Trust Agreement, direction shall include any certification, notice, authorization, application or instruction of the Plan Administrator, Delegatee or Trustee appropriately communicated. The above notwithstanding direction may be implied if the Plan Administrator or Delegatee has knowledge of the Trustee's intentions and fails to file written objection. The Trustee shall have the power and duty to comply promptly with all proper direction of the Plan Administrator, or Delegatee, appointed in accordance with the provisions of this PARS Trust Agreement. In the case of any direction deemed by the Trustee to be unclear or ambiguous the Trustee may seek written instructions from the Plan Administrator, the Agency or the Delegatee on such 9 2567 12 PEL ~ -,/ ,~ Attachment Ail matter and await their written instructions without incurring any liability. If at any time the Plan Administrator or the Delegatee should fail to give directions to the Trustee, the Trustee may act in the manner that in its discretion seems advisable under the circumstances for carrying out the purposes of the PARS Trust Program and/or any Agency Trust which may include not taking any action. The Trustee may request directions or clarification of directions received and may delay acting until clarification is received. In the absence of timely direction or clarification, or if the Trustee considers any direction to be a violation of the PARS Trust Agreement or any applicable law, the Trustee shall in its sole discretion take appropriate action, or refuse to act upon a direction. 3.9 Alternate Trustee A Member Agency may appoint a trustee, other than the Trustee, as to a portion of the assets in the Agency Trust by designating such person or entity as an Alternate Trustee on the Adoption Agreement and by specifying which assets shall be subject to the fiduciary management of the Alternate Trustee. Such appointment shall not be effective~ unless it is in writing, specifies clearly the assets as to which the Alternate Trustee is to have trustee powers, is acknowledged in writing by the Alternate Trustee, is delivered to and acknowledged by the Trustee and the Trust Administrator. Only a bank, trust company, retirement board, insurer, the Member Agency or such entity as permitted by California law to be a trustee may be appointed an Alternate Trustee. Such appointment will become effective upon acceptance by the Alternate Trustee. 3.10 Powers Of Alternate Trustee The Alternate Trustee shall be deemed to have all of the powers and duties and responsibilities specified in the PARS Trust Agreement for the PARS Trustee in Article IV unless otherwise specified in the Adoption Agreement. 3.11 Responsibility of Trustee Upon Appointment of Alternate Trustee Upon the appointment of an Alternate Trustee, the Trustee shall have no liability or responsibility for any matters relating to the management, investment or administration of those assets as to which the Alternate Trustee has been appointed and shall only have the duties set forth in Section 4.3. 3.12 Trust Administrator The Member Agencies have appointed Phase II Systems as the Trust Administrator. The Trust Administrator has accepted its appointment subject to each Member Agency's delegation of authority, to act as such, pursuant to Section 3.6 of this PARS Trust Agreement. The Trust Administrator's duties 10 Attachment Al2 involve the performance of the following services pursuant to the provisions of this trust agreement and the Agreement for Administrative Services: (a) Performing periodic accounting of the Agency Trust; (b) Directing the Trustee to make distributions from the Agency Trust to Participants pursuant to the provisions of the Member Agency's Plan and liquidate assets in order to make such distributions; (c) Notifying the Investment Fiduciary of the amount of Assets in the Agency Trust available for further investment and management by the Investment Fiduciary; (d) Allocating contributions, earnings and expenses to each Agency Trust; (e) Directing the Trustee to pay insurance premiums, to pay the fees of the Trust Administrator and to do such other acts as shall be appropriate to carry out the intent of the Agency Trusts. (f) Such other services as the Member Agency and the Trust Administrator may agree in the Agreement for Administrative Services pursuant to Section 2.4. 3.13 The Trust Administrator shall be entitled to rely on, and shall be under no duty to question, direction and/or data received from the Plan Administrator, or other duly authorized entity, in order to perform its authorized duties under this trust agreement. The Trust Administrator shall not have any duty to compute contributions made to the Agency Trust, determine or inquire whether contributions made to the Agency Trust by the Plan Administrator or other duly authorized entity are adequate to meet and discharge liabilities under the Plan; or determine or inquire whether contributions made tothe Agency Trust are in compliance with the Plan; The Trust Administrator shall not be liable for non performance of duties if such non performance is directly caused by erroneous, and/or late delivery of, directions or data from the Plan Administrator, or other duly authorized entity. 3.14 Additional Trust Administrator Services The Plan Administrator may at any time retain the Trust Administrator as its agent to perform any act, keep any records or accounts and make any computations which are required of the Member Agency or the Plan Administrator by this PARS Trust Agreement or by the Member Agency's Plan. The Trust Administrator shall be separately compensated for such service and such services shall not be deemed to be contrary to the PARS Trust Agreement. 11 2567 12PEI f~ ~ /~, Attachment Al3 3.15 Trust Administrator's Compensation As may be agreed upon from time to time by the Member Agency and Trust Administrator, the Trust Administrator will be paid reasonable compensation for services rendered or reimbursed for expenses properly and actually incurred in the performance of duties with respect to the Agency Trust and to the PARS Trust Program in accordance with Section 53217 of the Act. 3.16 Resignation or Removal of Trust Administrator The Trust Administrator may resign at any time by giving at least one hundred twenty (120) days written notice to each Member Agency of the PARS Trust Program and the Trustee. The Member Agencies, by a two-thirds or greater vote, may remove the Trust Administrator by delivering, at least one hundred twenty (120) days pdor to the effective date of such removal, wdtten notice to the Trust Administrator and to the Trustee. Article IV THE TRUSTEE 4.1 Powers and Duties of the Trustee Except as otherwise provided in Article V and subject to Article VI, the Trustee shall have full power and authority with respect to property held in the Agency Trust to do all such acts, take all proceedings, and exercise all such rights and privileges, whether specifically referred to or not in this document, as could be done, taken or exercised by the absolute owner, including, without limitation, the following: (a) To invest and reinvest the Assets or any part hereof in any one or more kind, type, class, item or parcel of property, real, personal or mixed, tangible or intangible; or in any one or more kind, type, class, item or issue of investment or security; or in any one or more kind, type, class or item of obligation, secured or unsecured; or in any combination of them. To retain the property for the period of time that the Trustee deems appropriate; (b) To acquire and sell options to buy securities ("call" options) and to acquire and sell options to sell securities ("put" options); (c) To buy, sell, assign, transfer, acquire, loan, lease (for any purpose, including mineral leases), exchange and in any other manner to acquire, manage, deal with and dispose of all or any part of the Agency Trust 12 Attachment Al4 property, for cash or credit and upon any reasonable terms and conditions; (d) To make deposits, with any bank or savings and loan institution, including any such facility of the Trustee or an affiliate thereof provided that the deposit bears a reasonable rate of interest; (e) To invest and reinvest the Assets, or any part thereof in any one or more collective investment trust funds, including common and group trust funds that consist exclusively of assets of exempt pension and profit shadng trusts and individual retirement accounts qualified and tax exempt under the Code, that are maintained by the Trustee or an affiliate thereof. The declaration of trust or plan of operations for any such common or collective fund is hereby incorporated herein and adopted into this PARS Trust Agreement by this reference. The combining of money and other assets of the Agency Trust with money and other assets of other qualified trusts in such fund or funds is specifically authorized. Notwithstanding anything to the contrary in this trust agreement, the Trustee shall have full investment responsibility over assets of the trust invested in such commingled funds. If the plan and trust for any reason lose their tax exempt status, and the Assets have been commingled with assets of other tax exempt trusts in Trustee's collective investment funds, the Trustee shall within 30 days of notice of such loss of tax exempt status, liquidate the Agency Trust's units of the collective investment fund(s) and invest the proceeds in a money market fund pending investment or other instructions from the Plan Administrator. The Trustee shall not be liable for any loss or gain or taxes, if any, resulting from said liquidation; (f) To place uninvested cash and cash awaiting distribution in one or more mutual funds and/or commingled investment funds maintained by or made available by the Trustee, and to receive compensation .from the sponsor of such fund(s) for services rendered, separate and apart from any Trustee's fees hereunder. Trustee or Trustee's affiliate may also be compensated for providing investment advisory services to any mutual fund or commingled investment funds; (g) To borrow money for the purposes of the Agency Trust from any source with or without giving security; to pay interest; to issue promissory notes and to secure the repayment thereof by pledging all or any part of the Assets; (h) To take all of the following actions as directed by the Investment Fiduciary or other person with investment discretion over the trust assets: to vote proxies of any stocks, bonds or other securities; to give general or special proxies or powers of attorney with or without power of substitution; to exercise any conversion privileges, subscription rights or other options, 13 2567 .12 PEI ~' -- / 7 Attachment Al5 and to make any payments incidental thereto; to consent to or otherwise participate in corporate reorganizations or other changes affecting corporate securities and to delegate discretionary powers and to pay any assessments or charges in connection therewith; and generally to exercise any of the powers of an owner with respect to stocks, bonds, securities or other property held in the Agency Trust; (i) To make, execute, acknowledge and deliver any and all documents of transfer and conveyance and any and all other instruments that may be necessary or appropriate to carry out the powers herein granted; (j) To raze or move existing buildings; to make ordinary or extraordinary repairs, alterations or additions in and to buildings; to construct buildings and other structures and to install fixtures and equipment therein; · (k) To pay or cause to be paid from the Agency Trust any and all real or personal property taxes, income taxes or other taxes or assessments of any or all kinds levied or assessed upon or with respect to the Agency Trust or the Plan; (I) As directed by the Trust Administrator, to hold term or ordinary life insurance contracts on the lives of Participants (but in the case of conflict between any such contract and the Plan, the terms of the Plan shall prevail); to pay from the Agency Trust the premiums on such contracts; to distribute, surrender or otherwise dispose of such contracts; to pay the proceeds, if any, of such contracts to the proper persons in the event of the death of the insured Participant; to enter into, modify, renew and terminate annuity contracts of deposit administration of immediate participation or other group or individual type with one or more insurance companies and to pay or deposit all or any part of the Agency Trust Assets thereunder; to provide in any such contract for the investment of all or any part of funds so deposited with the insurance company in securities under separate accounts; to exercise and claim all rights and benefits granted to the contract holder by any such contracts; (m) To exercise all the further rights, powers, options and privileges granted, provided for, or vested in trustees generally under applicable federal or California laws, as amended from time to time, it being intended that, except as herein otherwise provided, the powers conferred upon the Trustee herein shall not be construed as being in limitation of any authority conferred by law, but shall be construed as consistent or in addition thereto. 14 2567 12 I '1 I- Attachment Al6 4.2 Additional Trustee Powers In addition to the other powers enumerated above, and whether or not the Member Agency has retained investment authority or delegated it to an investment Fiduciary or Participants in Participant Directed Accounts, the Trustee in any and all events is authorized and empowered: (a) To invest funds pending required directions in any type of interest-bearing account including without limitation, time certificates of deposit or interest- bearing accounts issued by Union Bank of California N.A., or any mutual' fund or short term investment fund ("Fund"), whether sponsored or advised by Union Bank of California or any affiliate thereof; Union Bank of California, N.A. or its affiliate may be compensated for providing such investment advice and providing other services to such Fund, in addition to any Trustee's fees received pursuant to this Trust Agreement; (b) To cause all or any part of the Agency Trust to be held in the name of the Trustee (which in such instance need not disclose its fiduciary capacity) or, as permitted by law, in the name of any nominee, and to acquire for the Agency Trust any investment in bearer form, but the books and records of the Agency Trust shall at all times show that all such investments are a part of the Agency Trust and the Trustee shall hold evidences of title to all such investments; (c) To serve as sole custodian with respect to the Agency Trust Assets; (d) To employ such agents and counsel as may be reasonably necessary in managing and protecting the Assets and to pay them reasonable compensation; to employ any broker-dealer, including a broker-dealer affiliated with the Trustee, and pay to such broker-dealer at the expense of the Agency Trust, its standard commissions; to settle, compromise or abandon all claims and demands in favor of or against the Agency Trust; and to charge any premium on bonds purchased at par value to the principal of the Agency Trust without amortization from the Agency Trust, regardless of any law relating thereto; (e) In addition to the powers listed herein, to do ail other acts necessary or desirable for the proper administration of the Agency Trust, as though the absolute owner thereof; (f) To abandon, compromise, contest, arbitrate or settle claims or demands; to prosecute, compromise and defend lawsuits, but without obligation to do so, all at the risk and expense of the Agency Trust; (g) To exercise and perform any and all of the other powers and duties specified in this Trust Agreement or the Plan; 15 25~7 12f~E~ C~--/~ Attachment Ai~ (h) To permit such inspections of documents at the principal office of the Trustee as are required by law, subpoena or demand by United States agency; (i) To comply with all requirements imposed by applicable provisions of law; (j) To seek written instructions from the Plan Administrator or other fiduciary on any matter and await their written instructions without incurring any liability. If at any time the Plan Administrator or the fiduciary should fail to give directions to the Trustee, the Trustee may act in the manner that in its discretion seems advisable under the circumstances for carrying out the purposes of this Agency Trust; (k) As directed by the Plan Administrator or Delegatee if duly authorized, to cause the benefits provided under the Plan to be paid directly to the persons entitled thereto under the Plan, and in the amounts and in the manner specified, and to charge such payments against the Agency Trust with respect to which such benefits are payable; (I) To compensate such executive, consultant, actuarial, accounting, investment, appraisal, administrative, clerical, secretarial, medical, custodial, depository and legal firms, personnel and other employees or assistants as are engaged by the Plan Administrator in connection with the administration of the Plan and to pay from the Agency Trust the necessary expenses of such firms, personnel and assistants, to the extent not paid by the Plan Administrator; (m) To act upon proper written directions of the Plan Administrator or Delegatee, including directions given by photostatic transmissions using facsimile signature; (n) To pay from the Agency Trust the expenses reasonably incurred in the administration of the Agency Trust as provided in the Plan; (o) To maintain insurance for such purposes, in such amounts and with such companies as the Plan Administrator shall elect, including insurance to cover liability or losses occurring by reason of the acts or omissions of fiduciaries but only if such insurance permits recourse by the insurer against the fiduciary in the case of a breach of a fiduciary obligation by such fiduciary. 16 2567 121~EL ~) _~,~ Attachment Al8 4.3 Custodial Powers if an Alternate Trustee has been appointed pursuant to Section 3.9, Union Bank of California, N.A., ("Bank") as Custodian, shall only have the following responsibilities: (a) Keep records of all transactions entered into for the Agency Trust and furnish to Alternate Trustee statements no less frequently than quarterly showing all principal and income transactions and Agency Trust Assets, which shall be deemed ratified and approved by Alternate Trustee unless Custodian is advised to the contrary within ninety (90) days of Custodian's mailing thereof by first class mail to Alternate Trustee; (b) Receive payments of income and principal on Agency Trust Assets, and retain or remit in accordance with Alternate Trustee's written instructions; (c) Hold Agency Trust Assets in Bank's name as Custodian for Alternate Trustee or in Bank's nominee name, or, as to securities eligible to be held by the depository trust company or other depository, in its nominee name; (d) Purchase and sell securities, attend to the exchange of securities, deposit or exchange securities of companies in reorganization, and tender securities on redemption or tender offer solely upon direction of Alternate Trustee; (e) Sign the name of Alternate Trustee to stock and bond powers and any other instruments required for the proper exercise of Bank's duties, and Bank is appointed Alternate Trustee's attorney-in-fact for these purposes; (f) Forward all proxies and accompanying materials to Alternate Trustee to be voted unless directed in wdting to the contrary. Disclose Alternate Trustee's name and address in response to requests from issuers of securities and others to facilitate direct communication for proxy and tender offer response; (g) Sell all fractional shares of stock received as a result of stock dividends or other corporate action; (h) Notify Alternate Trustee of any inability to collect income or principal if the securities or other property constituting Assets upon which such amount is payable is in default, or if payment is refused after due demand. Bank shall be under no obligation or duty to take any action to effect collection of defaulted payments, or to file or pursue any bankruptcy or class action claims with respect to Agency Trust. 17 Attachment Al9 (i) Perform a telephonic verification to Alternate Trustee or Alternate Trustee's authorized rePresentative or such other security procedure selected by Alternate Trustee prior to wiring funds or following facsimile directions as Bank may require. Alternate Trustee assumes all dsk of delay of transfer if Bank is unable to reach Alternate Trustee or Alternate Trustee's authorized representative, or in the event of delay as a result of attempts to comply with any other security procedure selected by Alternate Trustee. Article V INVESTMENTS 5.1 Investment Fiduciary Except as herein provided, the Plan Administrator shall be the Investment Fiduciary. 5.2 Appointment of Trustee or an Investment Manager as Investment Fiduciary The Plan Administrator may appoint the Trustee or an investment manager as the Investment Fiduciary, with the authority and duty to direct the investment and management of all or any portion of the Assets of the Agency Trust. 5.3 Appointment of Investment Fiduciary No action of the Plan Administrator pursuant to 5.2 shall be effective until a certified copy of the revised Adoption Agreement and, if required, any such resolution of the governing body of the Member Agency or Plan Administrator action is delivered to the Trustee. Upon receipt and acceptance, the Trustee or investment manager, as the case may be, shall assume fiduciary responsibility with respect to the investment and management of such assets of the Agency Trust as are specified in the resolution or action. Any transfer of investment authority to the Trustee or to an investment manager may be revoked by delivering to the Trustee or the investment manager a written notice from either the Member Agency governing body or the Plan Administrator, as the case may be. 5.4 Reliance by Trustee on Investment Fiduciary The appointment, selection and retention of an Investment Fiduciary shall be solely the responsibility of the Member Agency acting through its governing body or the Plan Administrator. The Trustee may rely upon the fact that the 18 Attachment A20 Investment Fiduciary is authorized to direct the investment and management of the Assets of the Agency Trust until such time as the Plan Administrator shall notify the Trustee in writing that another investment Fiduciary has been appointed to replace the Investment Fiduciary named, or, in the alternative, that the Investment Fiduciary named has been removed. 5.5 When Trustee is not Investment Fiduciary The Trustee shall not be the Investment Fiduciary and shall have no responsibility or authority for the investment and management of assets unless specifically designated as the Investment Fiduciary as to some or all of the assets in the Agency Trust and accepts such designation. (a) During such period or periods of time, if any, as the Plan Administrator or an Investment Fiduciary is authorized to direct the investment and management of the Assets of the Agency Trust, the Trustee shall (subject to the overriding limitations hereinafter set forth) effect and change investment of the Assets of the Agency Trust as directed in writing by the Plan Administrator, or Investment Fiduciary, as the case may be, and shall neither effect nor change any such investments without such direction and shall have no right, duty or responsibility to recommend investments or investment changes. The following previsions shall govern the Trustee during such period or periods of time, if any, during which the Plan Administrator or an Investment Fiduciary is authorized to direct the investment and management of the Assets of any Agency Trust: (b) So long as the Plan Administrator retains or reacquires full power and responsibility to direct the Trustee with respect to the investment and management of all or any portion of the Assets of the Agency Trust, the Trustee shall not be liable nor responsible for losses or unfavorable results arising from the Trustee's compliance with preper directions of the Plan Administrator which are made in accordance with the terms of this Trust Agreement and which are not contrary tothe previsions of any applicable federal or state statute regulating such investment. (c) In the event an Investment Fiduciary is given authority and responsibility with respect to the investment and management of the Assets of the Agency Trust, neither the Trustee nor the Plan Administrator shall be liable or responsible in any way for any losses or other unfavorable results arising from the Trustee's compliance with investment or management directions received by the Trustee from the Investment Fiduciary. 5.6 Investment Directions Must be in Writing Subject to the provisions of Section 5.18, in order to be valid all directions concerning investments made by the Plan Administrator, or the Investment Attachment A2~ Fiduciary, or PARS Trustee must be signed by the authorized person or persons acting on behalf of the Plan Administrator, Investment Fiduciary or Trustee, as the case may be. 5.7 Trustee Reliance On Directions (a) The Trustee shall be entitled to rely upon directions which the Trustee receives. The Trustee shall be under no duty to question any directions of the Investment Fiduciary or Plan Administrator nor to review any securities or other property of the PARS Trust or Agency Trust constituting assets thereof with respect to which an Investment Fiduciary or the Plan Administrator has investment responsibility, nor to .make any suggestions to the Investment Fiduciary or Plan Administrator in connection therewith. The Trustee shall, as promptly as possible, comply with any wdtten directions given by the Plan Administrator or an Investment Fiduciary hereunder. The Trustee shall not be liable, in any manner nor for any reason, for the making or retention of any investment pursuant to such directions, nor shall the Trus,tee be liable for its failure to invest any or all of the Assets of the Agency Trust in the absence of such wdtten directions. The Trustee shall be under no obligation to seek written clarification in the event of ambiguity. (b) During such period of time, if any, as the Plan Administrator, or an Investment Fiduciary, is authorized to direct the Trustee, the Trustee shall have no obligation to determine the existence of any conversion, redemption, exchange, subscription or other right relating to any securities purchased of which notice was given prior to the purchase of such securities, and shall have no obligation to exercise any such dght unless the Trustee is informed of the existence of the right and is instructed to exercise such right, in writing, by the Plan Administrator or the Investment Fiduciary, as the case may be, within a reasonable time pdor to the expiration of such right. (c) In any event, neither the Plan Administrator nor any Investment Fiduciary referred to above shall direct the purchase, sale or retention of any Assets of the Agency Trust if such directions are not in compliance with applicable law. 5.8 Trustee Fees As may be agreed upon, in writing, between the Plan Administrator and Trustee, the Trustee will be paid reasonable compensation for services rendered or reimbursed for expenses properly and actually incurred in the performance of duties with respect to the Agency Trust or the PARS Trust. 2O 2507 12PEI Q~ ~ ¢ Attachment A22 5.9 Contributions The Plan Administrator shall make all of its contributions to the Trustee, and shall also transmit all contributions of Plan participants, as may be required or allowed by the Plan, to the Trustee. Such contributions shall be in cash unless the Trustee agrees to accept a contribution that is not in cash. All contributions shall be paid to the Trustee for investment and reinvestment pursuant to the terms of this Trust Agreement. The Trustee shall not have any duty to determine or inquire whether any contributions to the Agency Trust made to the Trustee by any Plan Administrator are in compliance with the Plan; nor shall the Trustee have any duty or authority to compute any amount to be paid to the Trustee by any Plan Administrator; nor shall the Trustee be responsible for the collection or adequacy of the contributions to meet and discharge liabilities under the Plan. The contributions received by the Trustee from each Member Agency shall be held and administered pursuant to the terms hereof without distinction between income and pdncipal. 5.10 Money Market Fund , Pending any investment directions, such cash in the Agency Trust in an amount as is reasonable in the discretion of the Trustee, may be deposited in a money market fund selected by the Trustee or the Member Agency. 5.11 Purchase of Contracts The Trustee shall have the authority to purchase individual or group insurance, annuity, preliminary term, group pension, and variable annuity contracts in accordance with the directions of the Plan Administrator or other insurance contracts at the direction of the Plan Administrator or Investment Fiduciary if such contracts are acceptable to the Trustee. The Trustee shall act as custodian of such contracts if an Alternate Trustee is appointed as to such contracts. 5.12 Records (a) The Trustee shall maintain accurate records and detailed accounts of all investments, receipts, disbursements and other transactions hereunder at the PARS Trust level. Such records shall be available at all reasonable times for inspection by the Trust Administrator. The Trustee shall, at the direction of the Trust Administrator, submit such valuations, reports or other information as the Trust Administrator may reasonably require. (b) Valuation. The assets of the Agency Trust shall be valued at their fair market value on the date of valuation, as determined by the Trustee based upon such sources of information as it may deem reliable; provided, however, that the Plan Administrator shall instruct the Trustee as to valuation of assets which are not readily determinable on an established 21 Attachment A23 market. The Trustee may rely conclusively on such valuations provided by the Plan Administrator and shall be indemnified and held harmless by the Plan Administrator with respect to such reliance. If the Plan Administrator fails to provide such values, the Trustee may take whatever action it deems reasonable, including employment of attorneys, appraisers or other professionals, the expense of which will be an expense of administration of the Agency Trust. Transactions in the account involving such hard to value assets may be postponed until appropriate valuations have been received and Trustee shall have no liability therefore. 5.13 Statements (a) Periodically as specified, and within sixty days after June 30, or the end of the PARS Trust's fiscal year if different, Trustee shall render to the Trust Administrator as directed, a written account showing in reasonable summary the investments, receipts, disbursements and other transactions engaged in by the Trustee during the preceding fiscal year or period with respect to the PARS Trust, ~ Such account shall set forth the assets and liabilities of the PARS Trust valued as of the end of the accounting pedod. (b) The Trust Administrator may approve such statements either by written notice or by failure to express objections to such statements by written notice delivered to the Trustee within 90 days from the date the statement is delivered to the Trust Administrator. Upon approval, the Trustee shall be released and discharged as to all matters and items set forth in such statement as if such account had been settled and allowed by a decree from a court of competent jurisdiction. 5.14 Wire Transfers The Trustee shall follow the Plan Administrator's~ Delegatee's, or Trust Administrator's wire transfer instructions in compliance with the written security procedures provided by the party providing the wire transfers. The Trustee shall perform a telephonic verification to the Plan Administrator, Trust Administrator, or Delegatee, of such other security procedure, as selected by the party providing wire transfer directions, prior to wiring funds or following facsimile directions as Trustee may require. The Plan Administrator assumes the risk of delay of transfer if Trustee is unable to reach the Plan Administrator, or in the event of delay as a result of attempts to comply with any other secudty procedure selected by the directing party. 5.15 Exclusive Benefit The Assets of the Agency Trust shall be held in trust for the exclusive purpose of providing benefits to the participants and their beneficiaries of the Member Agency Plan, and defraying reasonable expenses of the Plan, and shall not be 2567 I?PF[ ~ _~ ~:p Attachment A24 used for or diverted to any other purpose. No party shall have authority to use or divert such Plan's Assets for the payment of benefits or expenses of any other Member Agency's Plan. 5.16 Delegation of Duties The Plan Administrator, Delegatee, or Trust Administrator, may at any time retain the Trustee as its agent to perform any act, keep any records or accounts and make any computations that are required of the Plan Administrator, Delegatee or Trust Administrator by this Trust Agreement or by the Plan. The Trustee may be compensated for such retention and such retention shall not be deemed to be contrary to this Trust Agreement. 5.17 Distributions All benefits payable pursuant to the Plan shall be paid out of the Assets of the Agency Trust by the Trustee pursuant to the direction of the Plan Administrator or Delegatee. The Trustee shall, from,time to time, upon the written direction of the Plan Administrator or Delegatee, make distributions from the Assets of the Agency Trust to or for the benefit of such persons, in such manner in such form(s), in such amounts and for such purposes as may be specified in such directions. The Trustee at the direction of the Plan Administrator or Delegatee may make any distribution required to be made by it hereunder by delivering to the Plan Administrator or Delegatee: Its check payable to the person to whom such distribution is to be made, for delivery to such person; or Its check payable to an insurer for the benefit of such person, for deliver/ by such insurer; or insurance contracts held on the life of the Participant to whom or with respect to whom the distribution is being made, for redelivery to the person to whom such distribution is to:be made; provided that any contract distributed shall be endorsed as non-transferable. In directing the Trustee to make distributions, the Plan Administrator or Delegatee shall follow the provisions of the Plan and shall not direct that any distribution be made either during the existence or upon discontinuance of the Plan, which would cause any part of the Assets of the Agency Trust to be used for or diverted to purposes other than as provided in the Plan and this PARS Trust. In no event shall the Trustee have any responsibility respecting the application of such distributions, nor for determining or inquiring into whether such distributions are in accordance with the Plan. 23 i Attachment A25 5.18 Participant Directed Accounts The Member Agency may, by written resolution and execution of the Adoption Agreement, terminate the Plan Administrator's right to direct the investment and management of all or any portion of the Assets of the Agency Trust and allow Participants to direct their own account balances ("Participant Directed Accounts"). Notwithstanding any other provision of this Trust Agreement, for Participant Directed Accounts, the Trustee shall be entitled to act upon proper directions of the Plan Administrator, Trust Administrator, and Participants including directions in writing, or oral instructions which Trustee in its discretion may follow without receipt of written instructions, instruction given by photostatic teletransmission using facsimile signature, or those instructions which are digitally recorded on the UBOC Voice Response Unit ('¥RU") or internet website. Trustee is hereby authorized to record conversations and transmissions made in connection with the Agency Trust. Trustee's recording or lack of recording of any such oral, internet or digital instructions, and/or receipt or lack of receipt of facsimile transmissions, as reflected in the Trustee's records maintained in the ordinary course of business shall constitute conclusive proof of Trustee's receipt or non-receipt of such instructions. The Trustee and/or Trust Administrator shall not be liable in any manner for investment or other losses or other liability attributable to Participant's directions, or lack thereof, or exercise of control over the investments of their Participant Directed Accounts. Likewise, the Trustee and/or Trust Administrator shall have no duty or responsibility to review, monitor or make recommendations regarding investments made at the direction of the Participants or the Plan Administrator. In order for Member Agency to be relieved of investment fiduciary liability, the requirements of California law including Section 53213.5 of the California Government Code must be met. The Plan Administrator shall establish uniform and nondiscriminatory rules for the operation of the Participant Directed Accounts, including whether the Participant shall direct the Trustee or direct the Plan Administrator who directs the Trust Administrator who forwards such directions to the Trustee. Member Agency shall designate whether Participant Directed Accounts are to be established pursuant to the provisions of section 5.18(a) or 5.18(b), below: (a) Participant Direction in Individually Directed Accounts. If the Member Agency has so elected, Participants may have investment direction power over their own segregated account balances ("Individually Directed Account" or "IDA"). Investments may be directed by Participants into assets administratively acceptable to Trustee, as limited by guidelines developed by the Plan Administrator (the "Permissible Investment Guidelines"). Plan Administrator shall notify Participants of the Plan's Permissible Investment Guidelines as in effect from time to time. In the absence of directions from a Participant, the Plan Administrator may direct the investment of the IDA. The Trustee may refuse to comply with the 24 I I[ Attachment A26 directions of the Participant to invest in assets other than those listed in its Permissible Investments Guidelines or with directions which the Trustee deems to be improper or contrary to the provisions of the Plan and Agency Trust or the Internal Revenue Code and shall have no liability for such refusal. (b) Participant Directed Account within Plan Administrator Selected Investment Options ("SelectBENEFIT Accounts"): If the Member Agency so elects, the Participant's Account Balance shall be segregated into a Participant Directed Account ("SelectBENEFIT Account"), over which the Participant may direct investment into one or more investment alternatives ("Investment Options"). The Plan Administrator or its appointed Investment Fiduciary shall have full responsibility for designating the Investment Options under the Plan and for selecting the underlying investment vehicle(s) for each designated Investment Option into which a Participant may direct investment of his or her SelectBENEFIT Account. To the extent allowed by law, neither the Member Agency, the Plan Administrator, the Trust Administrator nor the Trustee shall have any responsibility for monitoring the directions of the Participant nor shall the Member Agency, the Plan Administrator, the Trust Administrator or the Trustee be liable in any manner for investment or other losses or other liability for following directions of a Participant. (c) If SelectBENEFIT Accounts are established, notwithstanding any other provision of this Trust Agreement, the Member Agency may appoint the Trustee to provide ministerial services as recordkeeper for such accounts by so indicating in the Member Agency's Adoption Agreement, provided that an acceptable service agreement has been executed by and between the Member Agency, the Plan Administrator, the Trustee and the Trust Administrator. Article VI FIDUCIARY RESPONSIBILITIES 6.1 More Than One Fiduciary Capacity Any one or more of the fiduciaries with respect to the PARS Trust Agreement or the Agency Trust may, to the extent required thereby or as directed by the Plan Administrator pursuant to this PARS Trust Agreement and the Plan, serve in more than one fiduciary capacity with respect to the PARS Trust Agreement, the Agency Trust and the Plan. 25 Attachment A27 6.2 Fiduciary Discharge of Duties Except as otherwise provided in the Code and applicable law each fiduciary shall discharge such fiduciary's duties with respect to the PARS Trust Agreement and the Plan: Solely in the interest of the Participants and for the exclusive purpose of providing benefits to Participants, and defraying reasonable expenses of administering the Plan. VVith the care, skill, prudence, and diligence under the circumstances then prevailing that a prudent man acting in a like capacity and familiar with such matters would use in the conduct of an enterprise of like character and with like aims. By diversifying the investments of the Plan and the Agency Trust so as to minimize the risk of loss and to maximize the rate of return, unless under the circumstances it is clearly prudent not to do so. 6.3 Limitations on Fiduciary Responsibility To the extent permitted by applicabl? law: No fiduciary shall be liable with respect to a breach of fiduciary duty by any other fiduciary if such breach was committed before such party became a fiduciary or after such party ceased to be a fiduciary. No fiduciary shall be liable for a breach by another fiduciary unless the non- breaching fiduciary knowingly participates in such a breach, knowingly undertakes to conceal such breach, or has actual knowledge of such breach and fails to take reasonable steps to remedy such breach. No fiduciary shall be liable for carrying out a proper direction from another fiduciary, including refraining from taking an action in the absence of a proper direction from the other fiduciary possessing the authority-.and responsibility to make such a direction, which direction the fiduciary in good faith believes to be authorized and appropriate. 6.4 Indemnification of Trustee by Member Agency The Trustee shall not be liable for, and Member Agency shall indemnify, defend (as set out in 6.8 of this Trust Agreement), and hold the Trustee (including its officers, agents, employees and attorneys) and other Member Agencies and Alternate Trustees, harmless from and against any claims, demands, loss, costs, expense or liability imposed on the indemnified party, including reasonable attorneys' fees and costs incurred by the indemnified party, arising as a result of Member Agency's active or passive negligent act or omission or willful misconduct in the execution or performance of its duties under this Trust Agreement. 26 ! I I' Attachment A28 6.5 Indemnification of Member Agency by Trustee The Member Agency shall not be liable for, and Trustee shall indemnify, defend (as set out in 6.8 of this Trust Agreement), and hold the Member Agency (including its officers, agents, employees and attorneys) and other Member Agencies and Alternate Trustees, harmless from and against any claims, demands, loss, costs, expense or liability imposed on the indemnified party, including reasonable attorneys' fees and costs incurred by the indemnified party, adsing as a result of Trustee's active or passive negligent act or omission or willful misconduct in the execution or performance of its duties under this Trust Agreement. 6.6 ~ndemnification of Trustee by Trust Administrator The Trustee shall not be liable for, and Trust Administrator shall indemnify and hold the Trustee (including its officers, agents, employees and attorneys) harmless from and against any claims, demands, loss, costs, expense or liability imposed on the indemnified party, including reasonable attorneys' fees and costs incurred by the indemnified party, arising as a result of Trust Administrator's active or passive negligent act or omission or willful misconduct in the execution or performance of its duties under this Trust Agreement. 6.7 Indemnification of Trust Administrator by Trustee The Trust Administrator shall not be liable for, and Trustee shall indemnify and hold the Trust Administrator (including its officers, agents, employees and attorneys) harmless from and against any claims, demands, loss, costs, expense or liability imposed on the indemnified party, including reasonable attorneys' fees and costs incurred by the indemnified party, arising as a result of Trustee's active or passive negligent act or omission or willful misconduct in the execution or performance of its duties under this Trust Agreement. 6.8 Indemnification Procedures Promptly after receipt by an indemnified party of notice or receipt of a claim or the commencement of any action for which indemnification may be sought, the indemnified party will notify the indemnifying party in writing of the receipt or commencement thereof. When the indemnifying party has agreed to provide a defense as set out above that party shall assume the defense of such action (including the employment of counsel, who shall be counsel satisfactory to such indemnitee) and the payment of expenses, insofar as such action shall relate to any alleged liability in respect of which indemnity may be sought against the indemnifying party, Any indemnified party shall have the right to employ separate counsel in any such action and to participate in the defense thereof, but the fees and expenses of such counsel shall not be at the expense of the 27 2567 12 PEL Attachment A29 indemnifying party unless (i) the employment of such counsel has been specifically authorized by the indemnifying party or (ii) the named parties to any such action (including any impleaded parties) include both the indemnifying party and the indemnified party and representation of both parties by the same counsel would be inappropriate due to actual or potential differing interest between them, The indemnifying party shall not be liable to indemnify any person for any settlement of any such action effected without the indemnifying party's consent. 6.9 No Joint and Several Liability This document is not intended to and does not create any joint powers agreement or any joint and several liability. No Member Agency shall be responsible for any contributions, costs-or distributions of any other Member Agency. Article VII AMENDMENT, TERMINATION AND MERGER 7.1 No Obligation to Continue Plan and Trust Continuance of the Agency Trust, participation in the PARS Trust Program and continuation of the Plan are not assumed as a contractual obligation of the Member Agency. 7.2 Amendments (a) The PARS Trust Agreement may only be amended or terminated as provided herein. A two-thirds majority or greater of the Member Agencies shall have the right to amend this Trust Agreement from time to time, and to similarly amend or cancel any amendments, A.copy of all amendments shall be delivered to the Trustee, the Trust Administrator and Plan Administrators promptly as each is made. (b) Such amendments shall be set forth in an instrument in writing executed by the amending party, the Trust Administrator and the Trustee. Any amendment may be current, retroactive or prospective, provided, however, that no amendment shall: (1) Cause the Assets of any Agency Trust to be used for or diverted to purposes other than for the exclusive benefit of Participants who have an interest in such Agency Trust or for the purpose of defraying the reasonable expenses of administering such Agency Trust. 28 Attachment A30 (2) Have any retroactive effect so as to reduce the benefits of any Participant having an interest in the Agency Trust as of the date the amendment is adopted, except that such changes may be made as may be required to permit this PARS Trust Agreement to meet the requirements of applicable law. (3) Change or modify the duties, powers or liabilities of the Trustee or the Trust Administrator hereunder without its consent. (4) Permit the Assets of any Agency Trust to be used for the benefit of any other Plan of the Member Agency unless the Member Agency agrees to such use. 7.3 Termination of Plan A termination of the Plan for which the Agency Trust was established shall not, in itself, effect a termination of an Agency Trust. Upon any termination of the Plan, the Assets of the Agency Trust shall be distributed by the Trustee as and when directed by the Plan Administrator. From and after the date of such termination of the Plan and until final distribution of the Assets the Trustee shall continue to have all the powers provided herein as are necessary or expedient for the orderly liquidation and distribution of such assets and the Agency Trust shall continue until the interests of all Participants have been completely distributed to or for the benefit of the Participants in accordance with the Plan. 7.4 Reversion In the event a Member Agency's Plan is terminated, the vested interest of any Participant shall not be diminished or adversely affected. Except as may be provided in this Trust Agreement or the Plan, such termination shall not vest in the Member Agency any corpus or income under the Agency Trust, nor permit the Plan to discriminate as to coverage, or as to allocation of contributions or earnings, in favor of employees who .are officers, shareholders, or highly compensated, nor cause the Agency Trust to lose its exemption pursuant to 501(a) of the Code. No modification, amendment or termination of the Plan shall be construed to be a termination of the Agency Trust so as to require the Trustee to make a distribution of any of the Assets of the Agency Trust to any Participant. In order to make such distribution the Trustee must receive written instructions from the Plan Administrator or Delegatee in a form acceptable to the Trustee. If any Member Agency adopts a Plan whose assets are maintained in an Agency Trust and makes application to the Internal Revenue Service, within one year from the date of adoption of such Plan, for a determination that such Plan is a qualified plan under Section 401 (a) of the Code, and if such Plan is determined by the Internal Revenue Service not to be a qualified Plan, then all contributions 29 2567 12 Attachment A31 and investment income attributable to such Plan shall be returned to the Member Agency upon application to the Trustee. 7.5 Fund Recovery Based on Mistake of Fact Except as hereinafter provided, the Assets of the Agency Trust shall never inure to the benefit of the Member Agency. The Assets shall be held for the exclusive purposes of providing benefits to Participants having an interest in the Plan and defraying reasonable expenses of administering the Agency Trust. The sole exception to the foregoing is as follows: Mistake of Fact. In the case of a contribution which is made by the Plan Administrator because of a mistake of fact, that portion of the contribution relating to the mistake of fact (exclusive of any earnings or losses attributable thereto) may be returned to the Plan Administrator, .provided such return occurs within one (1) year after discovery by the Plan Administrator of the mistake. If any repayment is payable to the Plan Administrator, then, as a condition to such repayment, and only if requested by Trustee, the Plan Administrator shall execute, acknowledge and deliverrtb the'Trustee its wdtten undertaking, in a form satisfactory to the Trustee, to indemnify, defend and hold the Trustee harmless from all claims, actions, demands or liabilities arising in connection with such repayment. 7.6 Transfers from Other Qualified Plans Notwithstanding any other provision hereof, there may be transferred to the Trustee, upon direction of the Plan Administrator, all or any of the assets held (whether by a trustee, custodian or otherwise) on behalf of any other plan which satisfies the applicable requirements of Section 401 of the Code, and which is maintained for the benefit of any persons who are or will become Participants in the Plan. 7.7 Termination The PARS Trust Agreement may be terminated only by a unanimous agreement of all Member Agencies. Such action must be in writing and delivered to the Trustee and Trust Administrator. Article VIII MISCELLANEOUS PROVISIONS 8.1 Nonalienation To the maximum extent permitted by law, a Participant's interest in the Agency Trust shall not in any way be liable to attachment, garnishment, assignment or 30 2567 12 PEt Attachment A32 other process, or be seized, taken, appropriated or applied by any legal or equitable process, to pay any debt or liability of the Participant or any other party. Agency Trust Assets shall not be subject to the claims of the Member Agency or the claims of its creditors. 8.2 Saving Clause In the event any provision of this PARS Trust Agreement and each Agency Trust is held illegal or invalid for any reason, said illegality or invalidity shall not affect the remaining parts of the PARS Trust and/or Agency Trust, but this instrument shall be construed and enforced as if said provision had never been included. 8.3 Applicable Law This PARS Trust Agreement and each Agency Trust shall be construed, administered and governed under the Code and the applicable provisions of California law. To the extent any of the provisions of this Trust Agreement or the Plan are inconsistent with the Code or applicable California law, the provisions of the Code or California law shall cont'roL Inthe event, however, that any provision is susceptible to more than one interpretation, such interpretation shall be given thereto as is consistent with the Trust Agreement and the Plan being a qualified governmental retirement trust and plan within the meaning of the Code. 8.4 Joinder of Parties In any action or other judicial proceedings affecting this Trust Agreement, it shall be necessary to join as parties only the Trustee, the Plan Administrator or Delegatee. No participant or other persons having an interest in any Agency Trust shall be entitled to any notice or service of process unless otherwise required by law. Any judgment entered in such a proceeding or action shall be binding on all persons claiming under this Trust Agreement, provided, however, that nothing in this Trust Agreement shall be construed as to deprive a'participant of such participant's dght to seek adjudication of such participant's rights under applicable law. 8.5 Employment of Counsel The Trustee may consult with legal counsel (who may be counsel for the Trustee or Member Agency Plan Administrator) and charge the Agency Trust. 8.6 Gender and Number Words used in the masculine, feminine or neuter gender shall each be deemed to refer to the other whenever the context so requires; and words used in the singular or plural number shall each be deemed to refer to the other whenever the context so requires. 31 2567 12 PEL {;~ _ ~)~. Attachment A33 8.7 Headings Headings used in this Trust Agreement are inserted for convenience of reference only and any conflict between such headings and the text shall be resolved in favor of the text. 8.8 Counterparts The Adoption Agreement of this Trust Agreement may be executed in an original and any number of counterparts by the Plan Administrator (executing an Adoption Agreement), the Trust Administrator and the Trustee, each of which shall be deemed to be an original of the one and the same instrument. Article IX ACKNOWLEDGMENT AND ACCEPTANCE The provisions of the PARS Trust Agreement as contained herein are hereby amended and restated as of July 1, 1999 (the "Amended Effective Date") IN WITNESS WHEREOF, the Plan Administrator (by executing the Adoption Agreement) the Trust Administrator and Trustee have executed this Trust Agreement by their duly authorized agents on this19th day of January, 2000. ACKNOWLEDGED AND ACCEPTED this 19th day of January. 2000. THE TRUSTEE THE TRUST ADMINISTRATOR UNION BANK OF CALIFORNIA. N.A. PHASE II ~SYSTEMS~/,/,/,/,/,,~ By: .,~,.~] ~'. (C.~,,~--~ By: //\ f""-~'Jf~"-. J._,._._.V~'~_-_--.--..~ Title: Senior Vice President Title: President 32 2567_12 PEL Attachment Bi EXHIBIT "A" ADOPTION AGREEMENT TO THE PARS TRUST AGREEMENT Member Agency: City of Chula Vista Plan Name: PARS Alternate Retirement System Plan Administrator: David D. Rowlands, Jr. Title: City Manager Address: 276 Fourth Avenue Chula Vista, CA 91910 The above referenced California public agency ("Member Agency") adopts the PARS Trust Agreement, as amended and restated effective 7/1/99, as the trust portion ("Agency Trust") of the above referenced qualified plan ("plan"), effective as of the date set out below. Pursuant to resolution number dated , which authorizes the adoption of the PARS Trust Agreement and names the above referenced, individual by position of employment to act on behalf of the Member Agency in all matters relating to the Member Agency's participation in the PARS Trust Program and Agency Trust ("Plan Administrator"), the Plan Administrator certifies the following entities within the Agency Trust: TRUSTEE: Union Bank of California N.A. TRUST ADMINISTRATOR: Phase II Systems INVESTMENT FIDUCIARY: Union Bank of California N.A., acting through its affiliate Highmark Capital Management By: Title: City Manager Date; ACCEPTED: Trust Administrator: Phase II Systems By: Title: Date: Trustee and Investment Fiduciary: Union Bank of California, N.A. By: Title: Date: A%tachment B2 EXHIBIT "A" ADOPTION AGREEMENT TO THE PARS TRUST AGREEMENT Member Agency: City of Chula Vista Plan Name: PARS Alternate Retirement System Plan Administrator: David D. Rowlands, Jr. Title: City Manager Address: 276 Fourth Avenue Chula Vista, CA 91910 The above referenced California public agency ("Member Agency") adopts the PARS Trust Agreement, as amended and restated effective 7/1/99, as the trust portion ("Agency Trust") of the above referenced qualified plan ("plan"), effective as of the date set out below. Pursuant to resolution number , dated , which authorizes the adoption of the PARS Trust Agreement and names the above referenced individual by position of employment to act on behalf of the Member Agency in all matters relating to the Member Agency's participation in the PARS Trust Program and Agency Trust ("Plan Administrator"), the Plan Administrator certifies the following entities within the Agency Trust: TRUSTEE: Union Bank of California N.A. TRUST ADMINISTRATOR: Phase II Systems INVESTMENT FIDUCIARY: Union Bank of California N.A., acting through its affiliate Highmark Capital Management By: Title: City Manager Date: ACCEPTED: Trust Administrator: Phase II Systems By: Title: Date: Trustee and Investment Fiduciary: Union Bank of California, N.A. By: Title: Date: Attachment B3 EXHIBIT "A" ADOPTION AGREEMENT TO THE PARS TRUST AGREEMENT Member Agency: City of Chula Vista Plan Name: PARS Alternate Retirement System Plan Administrator: David D. Rowlands, Jr. Title: City Manager Address: 276 Fourth Avenue Chula Vista, CA 91910 The above referenced California public agency ("Member Agency") adopts the PARS Trust Agreement, as amended and restated effective 7/1/99, as the trust portion ("Agency Trust") of the above referenced qualified plan ("plan"), effective as of the date set out below. Pursuant to resolution number , dated , which authorizes the adoption of the PARS Trust Agreement and names the above referenced.individual by position of employment to act on behalf of the Member Agency in all matters relating to the Member Agency's participation in the PARS Trust Program and Agency Trust ("Plan Administrator"), the Plan Administrator certifies the following entities within the Agency Trust: TRUSTEE: Union Bank of California N.A. TRUST ADMINISTRATOR: Phase II Systems INVESTMENT FIDUCIARY: Union Bank of California N.A., acting through its affiliate Highmark Capital Management By: Title: City Manager Date: ACCEPTED: Trust Administrator: Phase II Systems By: Title: Date: Trustee and Investment Fiduciary: Union Bank of California, N.A. By: Title: Date: Attachment B4 EXHIBIT "A" ADOPTION AGREEMENT TO THE PARS TRUST AGREEMENT Member Agency: City of Chula Vista Plan Name: PARS Alternate Retirement System Plan Administrator: David D. Rowlands, Jr. Title: City Manager Address: 276 Fourth Avenue Chula Vista, CA 91910 The above referenced California public agency ("Member Agency") adopts the PARS Trust Agreement, as amended and restated effective 7/1/99, as the trust portion ("Agency Trust") of the above referenced qualified plan ("plan"), effective as of the date set out below. Pursuant to resolution number ., dated , which authorizes the adoption of the PARS Trust Agreement and names the above referenced individual by position of employment to act on behalf of the Member Agency in all matters relating to the Member Agency's participation in the PARS Trust Program and Agency Trust ("Plan Administrator"), the Plan Administrator certifies the following entities within the Agency Trust: TRUSTEE: Union Bank of California N.A. TRUST ADMINISTRATOR: Phase II Systems INVESTMENT FIDUCIARY: Union Bank of California N.A., acting through its affiliate Highmark Capital Management By: Title: City Mana.qer Date: ACCEPTED: Trust Administrator: Phase II Systems By:. Title: Date: Trustee and Investment Fiduciary: Union Bank of California, N.A. By: Title: Date: COUNCIL AGENDA STATEMENT Item: ,.~ Meeting Date: 6/20/2000 ITEM TITLE: Resolution approving the Memorandum of Understanding between the City of Chula Vista and the Chula Vista Elementary School District regarding joint operation of the DASH (Dynamic After School Hours) after school recreational program, and the STRETCH (Safe Time for Recreation, Enrichment, and Tutoring for CHildren) extended schooI day educational program; and authorizing thc Mayor to execute the MOU. SUBMITTED BY: Deputy City Manager Palmer~ REVIEWED BY: City Manager ~ ~ (4/5ths Vote: Yes X~ No __ ) In FY 1998-99 the City entered into :a unique partnership with the Chula Vista Elementary School District, the purpose of which was to examine the City's existing after school program offerings and, with District input, to revamp them based on individual school needs and priorities. The current MOU between the City and the District, in effect until June 30th, 2000, authorizes the operation of the STRETCH Program, with its emphasis on literacy and arts enrichment, at eight district schools. The MOU also served as the launching point for a new, high quality, structured, sports and recreation program called DASH (Dynamic After School Hours), which was offered at 12 elementary school sites this year. The budget for FY 2000-01 is based on the proposed expansion of the DASH Program from twelve to fourteen sites. Grant monies received by the District fund the two additional sites. The intent of this report is to present an updated MOU between the City and the Chula Vista Elementary School District for FY 2000-01. STAFF RECOMMENDATION: That Council approve the Memorandum of Understanding between the City of Chula Vista and the Chula Vista Elementary School District regarding joint operation of the DASH (Dynamic After School Hours) after school recreational program, and the STRETCH (Safe Time for Recreation, Enrichment, and Tutoring for CHildren) extended school day educational program; and authorizing the Mayor to execute the MOU. BOARDS/COMMISSIONSRECOMMENDATIONS: The Parks and Recreation Commission and the Library Board of Trustees will be consulted regarding the implementation of these programs as appropriate. Item , Page 2 Meeting Date: 6/20/00 DISCUSSION: Both the STRETCH and DASH programs have been deemed a great success. In fact, the League of California Cities has just awarded these programs a Helen Putnam Award for Excellence in Community Services. The City and the District are now ready to enter into a new Memorandum of Understanding for FY 2001 (Attachment A). The new MOU, which has been prepared in conjunction with the City Attorney's Office, authorizes: * An expansion of DASH from 12 to 14 elementary school sites. These sites will include Allen, Casillas, Chula Vista Hills, Clear View, Cook, EastLake (new in 2000), Feaster-Edison, Halecrest, Hi!lt. op, OlYmpic View, Palomar, Rogers, Rosebank (new in 2000), and Valle Lindo Elementary Schools. The District has recently been awarded additional State of Califomia grant funds for the expansion of the DASH program. · Continuation of the STRETCH program at 8 elementary school sites, including Harborside, Lauderbach, Loma Verde, Los Altos, Montgomery, Mueller, Otay, and Rice Elementary Schools. As in previous MOUs, the City will recruit, hire, and train appropriate staff to conduct both STRETCH and DASH. The District will actively promote communication, cooperation and coordination among and between school sites and school personnel. FISCAL IMPACT: The City will provide $347,265 towards the cost, the District will provide $500,000, and the State will provide (via the District) $162,000. These funds will be appropriated as part of the FY 2001 budget. RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF CHULA VISTA AND THE CHULA VISTA ELEMENTARY SCHOOL DISTRICT REGARDING JOINT OPERATION OF THE DASH (DYNkMIC AFTER SCHOOL HOURS) AFTER SCHOOL RECREATIONAL PROGRAM, AND THE STRETCH (SAFE TIME FOR RECREATION, ENRICHMENT, AND TUTORING FOR CHILDREN) EXTENDED SCHOOL DAY EDUCATIONAL PROGRAM, AND AUTHORIZING THE MAYOR TO EXECUTE THE MOU WHEREAS, in FY 1998/99 the City entered into a unique partnership with the Chula Vista Elementary School District, the purpose of which was to examine the City's existing after school program offerings and, with District input, to revamp them based on individual school needs and priorities; and WHEREAS, the current Memorandum of Understanding (MOU) between the. City and the District, in effect until June 30th, 2000 authorizes the operation of the STRETCH Program (Safe Time for Recreation, Enrichment and Tutoring for Children) with its emphasis on literacy, homework assistance and arts enrichment, at eight district schools; and WHEREAS, the MOU also served as the launching point for a new, high quality, structured, sports and recreation program called DASH (Dynamic After School Hours), which was offered at 12 elementary school sites this year; and NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby approving the Memorandum of Understanding between the City of Chula Vista and the Chula Vista Elementary School District regarding joint operation of the DASH (Dynamic After School Hours) after school recreational program, and the STRETCH (Safe Time for Recreation, Enrichment, and Tutoring for Children) extended school day educational program. BE IT FURTHER RESOLVED that the Mayor is hereby authorized to execute the MOU. Presented by Approved as to form by David Palmer, Library and John M.~ Kah~,~it~ A~ney Recreation Director H: ~ home \ at t orney~reso~ s~ re t ch MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF CHULA VISTA AND CHULA VISTA ELEMENTARY SCHOOL DISTRICT This MOU is entered into by the Mayor of the City of Chula Vista and the Superintendent of Chula Vista Elementary School District. This is an agreement to operate an after school recreational program ("DASH" - Dynamic After School Hours), and an extended school day educational program (STRETCH - Safe Time for Recreation, Enrichment and Tutoring for CHildren) in Chula Vista Elementary School District schools in FY 2000-2001. The parties agree that the Chula Vista Elementary School District's responsibilities shall be to: Facilitate conununication of the DASH and STRETCH Programs' missions, goals, and objectives to all participating school site~, )n particular to principals, PTAs, and School Site Councils. · Actively promote cooperation and coordination among and between school sites and all personnel involved in DASH and STRETCH activities. Participate in the development and actualization of a plan to evaluate the DASH and STRETCH programs. Provide a staff liaison with the City as a key contact. Coordinate the dally delivery of snacks for participating children through Child Nutrition Services. Provide the City of Chula Vista $662,000 in FY 2000-2001 towards the cost of operating the DASH and STRETCH Programs, payable within 30 days of receipt of four quarterly City of Chula Vista invoices of $165,500 each, on 7/15/00, 10/15/00, 1/15/01, and 4/15/01. The parties agree that the City of Chula Vista's responsibilities shall be to: Provide a Library and Recreation Department Manager to oversee and coordinate the DASH and STRETCH Programs' activities, in cooperation with District staff. Facilitate conununication of the DASH and STRETCH Programs' missions, goals, and objectives to all participating staff. · Actively promote cooperation and coordination among and between school sites and all personnel involved in DASH and STRETCH activities. Participate in the development and actualization of a plan to evaluate the DASH and STRETCH programs. · Operate the DASH Program at the following 14 District Schools: Allen, Casillas, Chula Vista Hills, Clear View, Cook, EastLake, Feaster-Edison, Halecrest, Hilltop, Olympic View, Palomar, Rogers, and Valle Lindo Elementary Schools. Page 1 of 2 Recruit, hire, and train 30 part-time DASH Leaders, under the supervision of a full-time DASH Supervisor. Operate the STRETCH Program at the following eight District Schools: Harborside, Lauderbach, Loma Verde Comer, Los Altos, Montgomery, Mueller Charter, Otay, and Rice Elementary Schools. Recruit, hire, and train eight part-time, benefited STRETCH School Site Coordinators, and 24 part-time Youth Leaders, under the supervision of a full-time STRETCH Supervisor. Provide individual participating schools with detailed terms of agreement regarding specific program hours, staffing, programming, shared use of facilities, etc. Contribute the following: $348,265 in STRETCH/DASH budgeted general funds; a .5 FTE Library Administrative Assistant ($15,000, in-kind); Citywide overhead (human resources, payroll, finance, MIS, purchasing, and other City Departments) - in-kind. · Act as fiscal agent for the combined District and City funds the duties of which include but are not limited to budgeting, appropriating, expending, tracking, and reporting funds. The parties agree that a joint decision-making panel shall continue to govern the DASH and STRETCH Programs. The panel is comprised of the following District and City employees: Chula Vista Elementary School District: Assistant Superintendent for Instructional Services and Support District Coordinator of Early Intervention City of Chula Vista Director, Chula Vista Library and Recreation Department Educational Services Manager The parties further agree to hold harmless each other against any and all claims asserted or liability established for damages or injuries, including death, to any person or property, including an officer, agent, or employee of one of the parties, which arise from or are connected with or are caused or claimed to be caused by the negligent acts or omissions of the District or the City in carrying out the terms of this agreement; provided, however, that no duty to hold harmless one party shall arise or exist regarding the established sole negligence or willful misconduct of that party. CHULA VISTA ELEMENTARY CITY OF CHULA VISTA SCHOOL DISTRICT Date: Date: Page 2 of 2 COUNCIL AGENDA STATEMENT Item /7/ Meeting Date 6/20/00 ITEM TITLE: Ordinance Establishing a 35 MPH speed limit on Lane Avenue between Otay Lakes Road and Mackenzie Creek Road and, establishing a 40 MPH speed limit on Lane Avenue between Mackenzie Creek Road and Proctor Valley Road and adding these roadway segments to Schedule X of a register maintained by the Office of the City Engineer. SUBMITTED BY: Director of Public Works /~ City Manager ~4~0~ (4/Sths Vote: Yes No X ) REVIEWED BY: Based on the provisions of Chapter 7, Artiele 1 of the California Vehicle Code (CVC), and pursuant to authority under the Chula Vista Munlcipal Code Section 10.48.020, the City Engineer has determined that in the interest of minimizing traffic hazards and traffic congestion, and for the promotion of public safety, the speed limit on Lane Avenue between Otay Lakes Road and Mackenzie Creek Road be established at 35 MPH, and the speed limit on Lane Avenue between Mackenzie Creek Road and Proctor Valley Road be established at 40 MPH. These speed limits will be added to Schedule X of the register maintained in the Office of the City Engineer. RECOMMENDATION: That the City Council adopt the ordinance establishing the 35 MPH and 40 MPH speed limits on the subject highways described in the ordinance and amend Schedule X of the register maintained in the Office of the City Engineer. BOARDS AND COMMISSIONS RECOMMENDATION: The Safety Commission, at their meeting of May 11, 2000 vote MSC (Liken/Cochrane) 5-0-1-1 with Commissioner McAlister absent and Commissioner Gove abstaining, to accept staff's report thereby concurring with the recommendation that the City Council adopt an ordinance establishing a 35 MPH speed limit on Lane Avenue between Otay Lakes Road and Mackenzie Creek Road, and a 40 MPH speed limit on Lane Avenue between Mackenzie Creek Road and Proctor Valley Road, thereby amending Schedule X of a register maintained in the Office of the City Engineer. DISCUSSION: The City Engineer has determined a posted speed limit is needed on various new highways recently constructed by developers and described in the title of the ordinance. An Engineering/Traffic Survey must be conducted within seven years in order for law enforcement officers to enforce the posted speed limit, where enforcement involves the use of radar or other electronic speed measuring devices. " I l' 1 [ Page 2, Item -/ Meeting Date 6/20/00 In accordance with the California Department of Transportation (CalTrans) Traffic Manual guidelines, speed limits should be established preferably at or near the 85th percentile speed in increments of 5 MPH. The 85th percentile speed, commonly referred to as the critical speed, is defined as that speed at or below which 85 percent of the traffic is moving. However, in considering existing conditions with the traffic safety needs of the community or where unusual conditions exist which are not readily apparent to drivers, speed limits of 5 MPH below the 85th percentile speed may be warranted. Historically, the courts in this area of the state have been reluctant to uphold citations in areas where the speed limit is established at more than 5 MPH below the 85th percentile speed. For this reason, local authorities have been careful to adopt speed limits that the courts will deem as enforceable or, more specifically those that most closely match the 85th percentile speeds. The establishment of a speed limit of more than 5 MPH below the 85th percentile speed should be done with great care as this may make violators of a disproportionate number of the reasonable majority of drivers. In determining the speed limit which is most appropriate to facilitate the orderly movement of traffic and is reasonable and safe, important factors are: prevailing speeds, unexpected conditions, and accident records. Speed limits higher than the 85th percentile are not generally considered reasonable and safe, and limits below the 85th percentile do not facilitate the orderly movement of traffic. Speed limits established on this basis conform to the consensus of drivers as to what speed is reasonable and safe. Speed limits set at or slightly below the 85th percentile speed provide law enforcement officers with a means of controlling the drivers who will not conform to what the majority considers reasonable and prudent. The Lane Avenue segment in the commercial area between Mackenzie Creek Road and Otay Lakes Road is a 4-lane street (two lanes in each direction and a two-way left-mm lane). It is a 64' wide curb to curb roadway that is 2,566 feet long (0.49 miles). This road segment functions as a Class I Collector road. Bike lanes exist on both sides of the street. No parking is allowed within this segment. The Average Daily Traffic (ADT) is 3,915 vehicles on this segment and the accident rate on this segment is (1.285 accidents per million vehicle miles) which is lower than the average of (3.60) for similar highways in the State of California. The Lane Avenue segment in the residential area between Mackenzie Creek Road and Proctor Valley Road is a 74-foot wide curb-to-curb roadway with four lanes (two lanes in each direction and a two-way left-mm lane). The segment is 1,964 feet (0.39 miles) long and will function as a Class I Residential Collector. On-street parking is not allowed. Bike lanes exist on both sides of the roadway. The ADT is currently 3,019 vehicles per day and is expected to grow in the near future. The roadway segment was recently constructed, therefore, no accident data has been established. According to the Engineering/Traffic Surveys conducted on 4/3/2000 for the commercial portion of Lane Avenue and 3/24/00 for the residential portion of Lane Avenue, the 85th percentile speeds Page 3, Item Meeting Date 6/20/00 are 38 MPH and 41 MPH respectively. There are no unexpected conditions on this roadway. CVC Sections 22357 and 22358 authorize local authorities to establish prima facie speed limits on streets under their jurisdiction, on the basis of an engineering and traffic survey. Based upon the criteria that the speed limit be set at or below the 85th percentile in 5 MPH increments, the speed limits on these street segments shall be set at 35 MPH and 40 MPH respectively. It is recommended that Schedule X be revised as follows: Schedule X - Establish Speed Limits in Certain Areas Name of Street Beginning At Ending At Proposed Speed Limit Lane Avenue Otay Lakes Road , Magkenzie Creek Road 35 MPH Lane Avenue Mackenzie Creek Road Proctor Valley Road 40 MPH FISCAL IMPACT: The cost to place signs and pavement legends is $450, which has already been obtained from the developers. Attachments: Area Plat Engineering and Traffic Surveys File No.: 0760-95-CY029 H:\HOME\ENGINEER\AGENDA\LANESPED.DMW ~ ~ ~ , ~ ~ R~ommended 40 M.P.H. Posting ~ /.~/ ~ ~ - ~-~ I ~ I Recommended 35 M.P.H. Posting DATE CREATED: TITLE: May 2, 2000 CREATED BY: AREA PLAT Dennis M. Wolfe ~- ~ SPEED LIMIT - ENGINEERING/TRAFFIC SURVEY STREET: Lane Avenue LIMITS: Otay Lakes Road - Mackenzie Creek Road Length of Segment(fO: 2566'(.49 miles) along centerline Existing Posted Limit (mph): Not Posted SUMMARY OF SPEED SURVEYS Segment: Dray Lakes Road - Fenton Street Date Taken: 04/03/2000 No. of Vehicles on Sample (cars): 100 85th Percentile (mph): 38mph Range of Speeds Recorded (mph): 21-43mph ROADWAY CHARACTERISTICS Width (ft): 64' curb to curb Total No. of Lanes: 4 total lanes (2 per direction with a 2-way left turn lane) Horizontal Alignment: 1500' radius over 226' of length along centerline. Vertical Alignment: 4.02% to -3.40% grade difference over 750' of length along centerline produces a desi=m~ speed of 45mph. TRAFFIC CHARACTERISTICS Average Daily Traffic: 3,915 (1999) On-Street Parking: Not allowed (bike lanes on both directions along entire segment) Special Conditions: Fire Department located near south end of Lane Avenue on the east side. Commemial/Business District with heavy concentration of large track and tractor-trailer traffic. Private School (K-12) located on Fenton Street just east of Lane Avenue. Accident History: The accident rate at this segment is (1.285 accidents per million vehicle miles) which is lower than the average of (3.60) for similar highways in the State of California, SURVEY RESULTS Study was Prepared by: Patrick Moneda Date: 04--~200---6~ Recommendation. Post Sneed L~~ ~~'- 'mit of 35mDh · ' ' ' ~-~ ~,~.Tr-l-2Od7 L?-! .r,~ Date Recommendation Approved: 04/28/2000 Approved Speed Limit (ml~h): 35mp~ ' Per CVC 40803, Survey Expi'res: 04)0~/2007 -- ,- Lane Avenue Otay Lakes Road - Boswell Road DESIGN SPEED CALCULATIONS STOPPING SIGHT DISTANCE ON CREST VERTICAL CURVES A L (S>L) S DESIGN SPEED(MPH) L=2S-(1330/A) (S<L) L=(A*S2)/1330 4.02% - -3.40% 750' 366.65 45mph STOPPING SIGHT DISTANCE ON SAG VERTICAL CURVES A L (S>L) S DESIGN SPEED(MPH) k=2S-((40, 0~+3.5S)/A) (S<L) L=(AS2)/(400+(3.5*S)) 0.00 [ 0.00 DESIGN SPEED FOR HORIZONTAL CURVES R m I DESIGN SPEED(MPH) S=(PJ2865)*[cos-~((R-m)/R)] ACCIDENT RATE CALCULATION 0.750 3915 0.4083 1.285 3.6 Accident Rate=((# of Accident/year)'(1,000,000veh.miles/mvm))/((ADT)*365'(Length of segment in miles)) Spdcalc 4/7/00 SPEED LIMIT - ENGINEERING/TRAFFIC SURVEY STREET: Lane Avenue LIMITS: Mackenzie Creek Road - Proctor Valley Road Length of Segment(ft): 1964'(.37 miles) along centerline Existing Posted Limit (mph): Not Posted SUMMARY OF SPEED SURVEYS Segment: Stone Canyon Road - Saddleback Street Date Taken: 03/24/2000 No. of Vehicles on Sample (cars): 100 85ta Percentile (mph): 41mph Range of Speeds Recorded (mph): 23-48mph ROADWAY CHARACTERISTICS Width (ft): 74' curb to curb Total No. of Lanes: 4 total lanes (2 per direction) Horizontal Alignment: 1100' Radius over 688' of length alon~ centerline produces a design speed of 47mph. Vertical Alignment: +I .80% to +3.02% srade difference over 400' of length along centerline. TIL~FFIC CHARACTERISTICS Average Daily Traffic: 3,019 (2000) On-Street Parking: Not allowed (bike lanes on both directions along entire segrnent) Special Conditions: Residential properties on both sides of roadway with no direct property access to the street. Accident History: No accidents have been reported. Se~oment has been open to traffic for less than 1 year. SURVEY RESULTS Stud)' was Prepared by: Patrick Moneda Date: ~ Recommendation: ~it ofaOmph Date Recommendation Approved: 04/28/~000 ~ ......... T a '1 r CITY OF CHULA VISTA-VEHICLE SPEED SURVEY DATE -,~/.*'t~'~/OOSURVEY SITE ,~ Ol~"r~,l~ ~ ~, C-¢,4,,I,¢0~ ~r .~¢~O,,P--J~.~POSTED SPEED I~O1' ~or.n'¢_.~ TIME START I1~0 A~PM TiME END Io~'~ ANI[~ WE. ATHE~ C~ ~PH DIRECTION: ~ = 0 ~ = / TOT~ CUM % OlOlOI I I. !q Lane Avenue Boswell Road - Proctor Valley Road DESIGN SPEED CALCULATIONS STOPPING SIGHT DISTANCE ON cREST VERTICAL CURVES A L (S>L) $ DESIGN SPEED(MPH) L=2S-(1330/A) (S<L), L={A*S2)/1330 STOPPING SIGHT DISTANCE ON SAG VERTICAL CURVES A L (S>L) S DESIGN SPEED(MPH) L=2S'((400+3.SS)/A ~ (S<L) L=(AS2)I(400+(3.5*S)) DESIGN SPEED FOR HORIZONTAL CURVES R m I J S DESIGN SPEED(MPH) S=(R/28.65)*[cos-1 ((R-m)/R)] ,074 18I 1394 47 ACCIDENT RATE CALCULAT/ON 1A/YR I ADTI L(MILE) AccidentRate StateAccidentRateI Accident Rate=((# of AccidentJyear)*(1,000,000veh.miles/mvm))/((ADT)*365*(Length of segment in miles)) Spdcalc , ORDINANCE NO. AIq ORDINAECE ESTABLISHING A 35 MPH SPEED LIMIT ON LANE AVENUE BETWEEN OTAY LAKES ROAD AND MACKENZIE CREEK ROAD, AND ESTABLISHING A 40 MPH SPEED LIMIT ON LANE AVENUE BETWEEN MACKENZIE CREEK ROAD AND PROCTOR VALLEY ROAD AND ADDING THESE ROADWAY SEGMENTS TO SCHEDULE X OF A REGISTER AS MAINTAINED BY THE OFFICE OF THE CITY ENGINEER WHEREAS, based on the provisions of Chapter 7, Article 1 of the California Vehicle Code, and pursuant to authority under the Chula Vista Municipal Code Section 10.48.020, the City Engineer has determined that in the interest of minimizing traffic hazards and traffic congestion, and for the promotion of public safety, the speed limit on Lane Avenue between Otay Lakes Road and Mackenzie Creek Road be established at 35 MPH, and the speed limit on Lane Avenue between Mackenzie Creek Road and Proctor Valley Road be established at 40 MPH; and WHEREAS, a engineering and traffic study, as required by State Law, has been conducted and it has been determined that the appropriate speed in this area is to be posted at 35 MPH and 40 MPH, respectively. NOW, THEREFORE, the City Council of the City of Chula Vista does ordain as follows: SECTION I: That Schedule X of a Register of Schedules maintained by the City Engineer as provided in Section 10.48.020 of the Chula Vista Municipal Code, Established Speed Limits in Certain Zones and Establishing a Speed Limit of 35 MPH on Lane Avenue between Otay Lakes Road and Mackenzie Creek Road and, Establishing a Speed Limit of 40 MPH on Lane Avenue between Mackenzie Creek Road and Proctor Valley Road adding these roadway segments to Schedule X, is hereby amended to include the following changes: Chula vista Municipal Code Section 10.48.020 SCHEDULE X ESTABLISHED SPEED LIMITS IN CERTAIN ZONES Name of Street Beqinninq At Ending At Proposed Speed Limit Lane Avenue Otay Lakes Mackenzie 35 MPH Road Creek Road Lane Avenue Mackenzie Proctor Valley 40 MPH Creek Road Road SECTION II: This ordinance shall take effect and be in full force on the thirtieth day from and after its adoption. Presented by Approved as to form by John P. Lippitt, Director of ~/~ M. Kaheny, Cit~-- Public Works ~T~'corney H:~home~lorraine\OR\SPEED.EST 7 T " i 1 [ COUNCIL AGENDA STATEMENT Item ~ Meeting Date 6/20/00 ITEM TITLE: A. Resolution of the City Council of the City of Chula Vista, California making appointments in proposed Community Facilities Dis~ict No. 99-2 (Otay Ranch - SPA One - Village One West) B. Resolution of the City Council of the City of Chula Vista, California adopting a boundary map showing the boundaries of the territory proposed for inclusion in proposed Community Facilities District No. 99-2 (Otay Ranch SPA One - Village One West) C. Resolution of the City Council of the City of Chula Vista, California declaring its intention to establish Community Facilities District No. 99-2 (Otay Ranch SPA One - Village One West) and to authorize the levy of a special tax therein to finance certain services D. Resolution of the City Council of the City of Chula Vista, California ordering and directing the preparation of a Special Tax Report for proposed Communit Facilities District No. 99-2 (Otay Ranch SPA One - Village One West) E. Resolution of the City Council of the City of Chula Vista, California adopting a boundary map showing territory proposed to be annexed in the future to Community Facilities District No. 99-2 (Otay Ranch SPA One - Village One West) F. Resolution of the City Council of the City of Chula Vista, California declaring its intention to authorize the future annexation of territory to Communit Facilities District No. 99-2 (Otay Ranch SPA One - Village One West) G. Resolution of the City Council of the City of Chula Vista, California adopting a boundary map showing territory proposed to be annexed to improvement area "A" of Community Facilities District No. 97-2 (Preserve Maintenance District) H. Resolution of the City Council of the City of Chula Vista, California declaring its imention to authorize the annexation of territory to improvement area "A" of Community Facilities District No. 97-2 (Preserve Maintenance District) I. Resolution of the City Council of the City of Chula Vista, California adopting a boundary map showing territory proposed to be annexed in the future to Community Facilities District No. 97-2 (Preserve Maintenance District) and improvement area "A" thereto J. Resolution of the City Council of the City of Chula Vista, California, declaring its intention to authorize the future annexation of territory to Community Facilities District No. 97-2 (Preserve Maintenance District) and improvement area "A" thereto SUBMITTED BY: Director of Public Works~j~(~/ REVIEWED BY: City Manager ~/~ ~v (4/5ths Vote: Yes No X ) The Otay Ranch Company has requested the City conduct proceedings for the formation of Community Facilities District No. 99-2 (CFD No. 99-2). The conditions of approval of the tentative map require that a maintenance district formation be initiated and authorization of a special tax levy approved by City Council prior to approval of Village One West's first final "B" map. This district will fund the perpetual operation and maintenance of open space slopes, drainage channels, detention basins, medians and parkways of Village One West in Otay Ranch SPA One. In addition, CFD No. 99-2 liens will take over .r~ / ~ ........ I ! Il- Page 2, Item d;;~ Meeting Date 6/20/00 the obligations of Village One West, with regard to CFD No. 98-1, the Interim Open Space Maintenance District. A Notice of Special Tax Lien Cancellation will be filed 30 days after the CFD No. 99-2 certified vote is approved by the City Council. The City has retained the services of McGill Martin Self, Inc. as special tax consultant and Brown, Diven& Hessell as legal counsel to provide assistance during the proceedings. Tonight's action will initiate the formal proceedings leading to the establishment of CFD No. 99-2. RECOMMENDATION: That Council: 1. Approve the resolution making appointments of the City Council as the legislative body for Community Facilities District No. 99-2, 2. Approve the resolution adopting the boundary map for Community Facilities District No. 99-2, 3. Approve the resolution declaring the intention to establish Community Facilities District No. 99-2 and to levy a special tax to finance certain services, and 4. Approve the resolution ordering and directing the preparation of the "Special Tax Report" for Community Facilities District No. 99-2, 5. Approve the resolution adopting the boundary map of territory to be annexed for Community Facilities District No. 99-2, 6. Approve the resolution declaring the intention to authorize the future annexation of territory to Community Facilities District No. 99-2, 7. Approve the resolution adopting a boundary map showing territory proposed to be annexed to improvement area "A" of Community Facilities District No. 97-2, 8. Approve the resolution declaring the intention to authorize the annexation of territory to improvement area "A" of Community Facilities District No. 97-2, 9. Approve the resolution adopting the boundary map showing territory proposed to be annexed in the future to Community Facilities District No. 97-2 and improvement area "A", 10. Approve the resolution declaring the intention to authorize the future annexation of territory to Community Facilities District No. 97-2 and improvement area "A'. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: On January 13, 1998, Council adopted the "City of Chula Vista statement of goals and policies regarding the establishment of Community Facilities Districts". The approval of this document ratified the use of CFDs as a public financing mechanism for (1) the construction and/or acquisition of public infrastructure, and (2) the financing of authorized public services, including services provided by open space districts. Taxes levied by maintenance districts, such as CFD No. 99-2, are excluded from the 2% maximum tax criterion. On April 28, 1998, Council enacted the "Chula Vista Community Facilities District Ordinance". This ordinance adopted the Mello-Roos Act with modifications to accomplish the following: 1) incorporate all maintenance activities authorized by the "Landscaping & Lighting Act of 1972" ("1972 Act"), 2) include maintenance activities not listed in the "Mello-Roos Act" or the "1972 Act" (i.e., monitoring activities on Page 3, Item Meeting Date 6/20/00 privately owned parcels within the Otay Ranch Preserve, and maintenance of pedestrian bridges and community gardens proposed in Otay Ranch SPA One), and 3) establish an operating reserve fund for open space districts. Community Facilities Districts will provide the necessary funding for the operation and maintenance of public landscaping 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 the City. All expenses related to the district administration including levying and collecting the special taxes, are funded by the district. The proposed CFD No. 99-2 is consistent with the above-mentioned Ordinance and Council Policy. In addition, staff has met with the developer to discuss their concerns, clarify the intent of the policy and ordinance, and review the methodology for the apportionment of the special taxes. All of the issues raised by the developers have been discussed and solutions, satisfactory to all parties, have been incorporated in the "Rate and Method of Apportionment" (RMA). The RMA has also been modeled after similar open space maintenance districts in the surrounding area, and similar list of maintenance items. Staff, the legal counsel, and the special tax consultant have reviewed the proposed methodology and consider it ready for council approval. Area of Benefit The proposed boundary of CFD No. 99-2 encompasses parcels located within the Otay Ranch SPA One, Village One West. Otay Project LLC owns most of the property within the proposed district boundaries (approximately 126 acres and 559 proposed units). In addition, LB/L-RWR Otay 62 LLC and LB/L- RWR Otay 91 LLC has purchased Planning Areas R51A, R51B, R52A, R51B, R53 and R49B (approximately 54.8 acres and 212 proposed units). Staff has reviewed the proposed boundary map and has found it acceptable and ready for approval by Council. A reduced copy of the map is presented in Exhibit 1. Description of Facilities The proposed CFD No. 99-2 will fund the operation and maintenance of the public landscaping improvements (i.e., open space slopes, trails, proportionate share of detention basins, drainage channels, parkways and medians) within the Otay Ranch SPA One Village One West. A complete list of said public facilities is presented in Exhibit 2. The taxes levied within the district will provide for the maintenance of all those common improvements (i.e., medians, parkways, drainage improvements, etc.) providing benefit to all of SPA One Village One West (regardless of ownership). In addition, the taxes levied will provide for the maintenance of open space, slopes, trails, the future trolley alignment open space area, and walls within the public open space lots. Otay Project LP will dedicate open space lots to the City over the slopes fronting Paseo Ranchero, Telegraph Canyon Road, East Palomar Drive, and Olympic Parkway, and the trolley alignment open space area. The City of Chula Vista, then would dedicate the trolley alignment in the future for trolley uses. Currently, trolley construction is expected to commence in 5-10 years. The developer is also proposing the formation of a Master Homeowners' Association (MHOA), which will complement the maintenance obligations of the district. Otay Project LP MHOA will maintain the entry monuments at the major entrances to the project, minor private open space lots within the subdivision, parkways along private local and collector streets, and private pedestrian parks. The developer will be required to include these areas in the CC&R's for the MHOA to address maintenance, liability and insurance issues. '~ I i 1 [ Page 4, Item Meeting Date 6/20/00 Three (3) parcels (Future Annexation Parcels 1, 2 & 3) within the proposed Village One West, are not currently owned by the developer and are not within the proposed boundaries of CFD No. 99-2 (see Exhibit 3) at this time. Council will be initiating proceedings "Annexation in the Future Proceedings" for these parcels. These Resolutions will establish the legal authorization to annex such parcels at some future date upon the consent of the owner of such property given at the time of annexation and without the necessity of a formal election. It should be noted that upon annexation of Parcels 1 & 2, the maximum tax rate for Developed Parcel's assigned to the Residential Category and for Parcel's assigned to the Vacant Land Category shall be adjusted to reflect the Rate and Method of Apportionment of Special Taxes for CFD 99-2. Cost Estimate The estimated annual budget for CFD No. 99-2 is approximately $715,676. This budget includes a total of $590,583 (includes additional 10% for reserve) for maintenance, $118,493 for administration by the Parks and Recreation Department, and $6,600 for CFD administration (preparing reports, levying and collecting taxes, public assistance, etc.) by the Engineering Division. Staff (Parks & Open Space and Engineering) has reviewed and approved the proposed budget. Exhibit 4 contains a detailed annual budget for the district at buildout. The unit prices used in determining the budget are based on historical costs of maintenance of roughly similar Landscape Code improvements (Codes 1 thru 5) within other existing Open Space Maintenance Districts in the City. The estimated landscape costs were further defined by the current public bid prices received in February 2000, for other maintenance districts. The estimated unit prices for the type of landscape improvements being proposed within the CFD 99-2 required a more detailed look at the design plans (landscape treatments and tree types). This was necessary given the overall maintenance costs vs. the maximum special tax. The City of Chula Vista's Open Space Department and Coordinator have reviewed the annual budget, cost estimates, and has verified at which level of maintenance unit costs were to be used. Proposed Special Tax The district has three categories of taxation, as follows: · Residential Developed Parcels (Single Family Residences) are taxed based on the square footage of the structure. · The Vacant Land category includes all the parcels for which a building permit has not been issued. The tax on Vacant Land is based on the total acreage of the parcel. * The Exempt Category includes all public parcels within the district. Developed Parcels are those parcels for which a building permit has been issued. The maximum tax rate on all Developed Parcels is determined by dividing the estimated annual budget at buildout (plus a reserve allocation of 10% of the annual budget) by the total estimated square footage of development at buildout (reduced by a 15% margin of error). The maximum tax rate on Vacant Land has been estimated by dividing the estimated annual budget at buildout (plus a reserve allocation of 10% of the annual budget) by the estimated net lot acreage within the district. Page 5, Item Meeting Date 6/20/00 Collection of Taxes At the beginning of each fiscal year the City shall determine the amount of the Special Tax Liability (budget plus reserve) of each Special Tax Area. Then, the special taxes will t-~rst be levied on the Residential Developed Parcels. If this pool of funds is not enough to meet the annual need, as may be the case in the early years of development, the district will levy a tax on the Vacant Land. The buffer of having the vacant land covering any remaining costs will disappear once the area has been fully developed. If the annual need is less than the collectible tax from the Developed Parcels, the special taxes to be levied in that specific year will be reduced accordingly. Following is a brief discussion of some key issues regarding the "Rate and Method of Apportionment (RMA) of the Special Taxes": (See Exhibit 5 for full description of RMA) · The maximum special taxes may be adjusted each year for inflation using a factor equal to the lesser of the annual change of the San Diego Consumer Price Index or the California Fourth Quarter Per Capita Personal Income. · The "City of Chula Vista Community Facilities District Ordinance" requires that the developer maintain the landscaping improvements for a minimum period of one year. During this period, the City will collect the special taxes with the purpose of building up a six months operating reserve. The special tax formula provides that the annual budget for any year may include an amount deemed necessary to maintain an adequate level of reserve fund. · The maximum tax rates are based on the best estimate by the developers of the square footage of residential development (reduced by 15% margin of error). This assumed reduction in total square footage has the net result of raising the maximum tax that can be levied on future residential parcels to account for any loss in projected square footage and the corresponding revenue. · The special tax formula provides that any cost due to delinquent taxes on vacant land shall be apportioned to the project where the delinquent parcels are located. · The annual budget used to calculate the tax rates are only the "best estimates" of the cost of maintenance at buildout. There is always a risk that actual expenses in future years may be higher than the total maximum collectable taxes. This may result in reduced levels of maintenance of the landscaping, unless the property owners approve an increase in the tax rates (2/3 voter's approval is required), which is considered unlikely. Staff believes, however, that the proposed tax rates contain enough of a cushion in the reserve, the inflation adjustment, and the assumed reduction of total square footage to minimize future problems. Proposed Maximum Taxes The proposed maximum special tax rates for fiscal year 2000/01 for a typical dwelling unit within CFD 99-2 is as follows: Unit Type with Average Square Footage Village One West at $0.4259/SF Single Family Detached (Largest Average Product Proposed for Village One West at 3,619 SF) $1,541.00 Single Family Detached (Smallest Average Product Proposed for Village One West at 2,016 SF) $858.00 Vacant Land $5,262.00/Acre Page 6, Item Meeting Date 6/20/00 After the Future Annexation Parcels (Parcels I & 2) are annexed into CFI) 99-2, the maximum special tax rates for the subsequent years will be is reduced to the following: Unit Type with Average Square Footage Village One West at $0,41391SF Single Family Detached (Largest Average Product Proposed for Village One West at 3,619 SF) $1,498.00 Single Family Detached (Smallest Average Product Proposed for Village One West at 2,016 SF) ! $834.00 Vacant Land ! $5,089.96/Acre Comparison to Other Open Space Maintenance Districts The total estimated budget for CFI) No. 99-2 at buildout is approximately $715,676.00, with an annual maximum tax of $858.00 for a 2,016 square foot single family residence, and an annual maximum tax of $1,541.00 for a 3,619 square foot single family residence. This is based on the proposed $0.4259 per developed square footage maximum tax. ~ The units proposed in Village One West are larger overall than the types of units being built within CFD No. 97-1, the Open Space Maintenance District for Otay Ranch SPA One, Villages 1 and 5. In addition to the lesser density, Village One West proposes to landscape the future trolley right of way running though the center of the development, which significantly adds to the maintenance costs. In addition, the ratio of landscape sloped areas to residential units is considerably higher within the Village One West development area. Within the Otay Ranch - Village One West, the maximum special tax for a residential dwelling unit within CFI) 99-2 ($.4259 per square foot) is approximately 42% greater than the maximum special tax for a residential dwelling within CFD 97-1 (Zones A & B), estimated to be $.30 per square foot for fiscal year 2000/01. Resolutions Them are ten resolutions on today's agenda, which, if adopted, will accomplish the following: The RESOLUTION MAKING APPOINTMENTS is the formal action of the City Council appointing itself as the legislative body of the proposed Community Facilities District No. 99-2. The RESOLUTION ADOPTING THE BOUNDARY MAP is the formal action adopting the map and setting forth the boundaries of the proposed Community Facilities District No. 99-2. The RESOLUTION OF INTENTION is the jurisdictional resolution declaring the intention of the City Council to establish the proposed Community Facilities District No. 99-2, authorize the levy of a Special Tax, and set the time and place for the public hearing. The RESOLUTION ORDERING THE PREPARATION OF THE "SPECIAL TAX REPORT" is the formal action of the City Council directing the preparation of a detailed report containing a description of the services and its estimated cost for the proposed Community Facilities District No. 99-2. The RESOLUTION ADOPTING THE BOUNDARY MAP is the formal action adopting the map and setting forth the boundaries of the proposed annexation of Community Facilities District No. 99-2. Page 7, Item ~ Meeting Date 6/20/00 The RESOLUTION OF INTENTION is the jurisdictional resolution declaring the intention of the City Council to authorize the future annexation of territory to Community Facilities District No. 99-2. The RESOLUTION ADOPTING THE BOUNDARY MAP is the formal action adopting the map and setting forth the boundaries of the territory proposed to be annexed to improvement area "A" of Community Facilities District No. 97-2. The RESOLUTION OF INTENTION is the jurisdictional resolution declaring the intention of the City Council to authorize annexation of territory to improvement area "A" of Community Facilities District No. 97-2. The RESOLUTION ADOPTING THE BOUNDARY MAP is the formal action adopting the map and setting forth the boundaries of the proposed future annexation of Community Facilities District No. 97-2 and improvement ama "A". The RESOLUTION OF INTENTION is the jurisdictional resolution declaring the intention of the City Council to authorize future annexation of territory to Community Facilities District No. 97-2 and improvement area "A". Future Actions The public hearing, Preliminary Findings and Passing on Protests, the Resolution Forming and Establishing CFD No. 99-2, and Submitting the Authorization for the Levy of Special Taxes to the Qualified Electors are scheduled for the City Council meeting of August 1, 2000 at 4:00 pm. Fiscal Impact All costs of formation of the district are being borne by the developers and the on-going administration will be funded entirely by the district. The City will receive the benefit of full cost recovery for staff cost involved in the following activities: 1) District formation (Staff cost estimated at $80,000), and 2) district administration in perpetuity (estimated annual staff cost each year is $6,000 and an additional $10,000 for the contractual administration for the Engineering Division.) Exhibits: 1. Boundary Map 2. List of Public Facilities 3. Future Annexation Exhibit 4. Annual Budget 5. Rate and Method of Apportionment 6/13/00 11:00:52 AM HASHAREDkENGINEER\CFD99-2~6-20A 113.DOC List of Public Facilities The proposed services include all direct, administrative, and incidental annual costs regarding the CFD operations and expenses related to providing for the maintenance and servicing of public facilities including irrigation, cultivation, and replacement of plant material, tree trimming and necessary supplies; personnel, utility, and equipment costs; contract services where applicable; maintenance and servicing of parks, parkway landscaping and medians, drainage facilities, pedestrian bridges and open space slopes, trails and walls serving the property within the CFD 99-2 District, will include, but not limited to: Parkway Landscaping and Medians and Regional Trails, which includes: a) The south half of the median along Telegraph Canyon Road between the eastern boundary of Sunbow and Pasco Ranchero. b) The west half of the median along Pasco Ranchero. between Telegraph Canyon Road and Olympic Parkway. c) The north half of the median along Olympic Parkway between the eastern boundary of Sunbow and Pasco Ranchero. d) The entire median along East Palomar Street between the eastern boundary of Sunbow and Paseo Ranchero. e) Regional trails along Olympic Parkway. Drainage Facilities, which include: a) A pro-rata share of the detention basin and channel in the Telegraph Canyon drainage area from Paseo Ranchero to the eastern boundary of Sunbow. b) A pro-rata share of the detention basin and channel in the Poggi Canyon drainage area from Pasco Ranchero to the eastern boundary of Sunbow. Open Space, Slopes, Trails, and Walls, which include: a) Connector trails within open space slopes along Telegraph Canyon Road and Olympic Parkway, which are within the public right-of-way or dedicated open space and located within the boundaries of the District. b) Slope areas adjacent to Telegraph Canyon Road, Pasco Ranchero, East Palomar Street and Olympic Parkway, which are within public open space areas and located within the boundaries of the District. c) Perimeter walls or fences adjacent to Telegraph Canyon Road, Pasco Ranchero, Olympic Parkway, and East Palomar Street which are within public open space areas or within the public right-of-way and located within the boundaries of the District. d) The future Trolley alignment. RATE AND METHOD OF APPORTIONMENT FOR CITY OF CHULA VISTA COMMUNITY FACILITIES DISTRICT NO. 99-2 (VILLAGE ONE WEST) ANNUAL SPECIAL TAX A Special Tax shall be levied annually on land within Community Facilities District No. 99-2 (Open Space Maintenance District) of the City of Chula Vista (the "District"), and collected according to the Special Tax Liability determined by the City of Chula Vista (the "City") through the application of the following procedures. All of the property within the District, unless otherwise exempted by law or the express provisions of the rate and method of apportionment expressed below, shall be taxed to the extent and in the manner provided below. All Special Taxes applicable to Parcels shall be collected in the same manner and at the same time as ordinary ad valorem property taxe~, and the Special Taxes so levied will be subject to the same penalties and procedures, sale and lien priority in case of delinquency as is provided for ad valorem taxes. A. DEFINITIONS The terms hereinafter set forth have the following meanings: "Acre or Acreage" means the area of a Parcel as shown on the latest maps of the Assessor of the County of San Diego, or, if the area of such Parcel is not shown on such Assessor's maps, the area as shown on a current recorded subdivision map, parcel map, record of survey or other recorded document creating or describing the Parcel. If the preceding maps are not available, the area shall be determined by the City Engineer. "Administrative Expenses" means the direct and indirect expenses incurred by the City in carrying out its duties with respect to the District (including, but not limited to, the levy and collection of the Special Taxes) including the fees and expenses of its counsel. Any fees of the County related to the District or the collection of Special Taxes, an allocable share of the salaries of City staff directly related thereto, any amounts paid by the City from its general fund with respect to the District, and expenses incurred by the City in undertaking actions to foreclose on properties for which the payment of Special Taxes is delinquent, and all other costs and expenses of the City related to the District. "Building Square Foot or Square Footage" means the square footage as shown on the Parcel's building permit(s), excluding garages or other structures not used as living space. 5:/4 "City" means the City of Chula Vista. "Developed Parcel" means Taxable Property for which a foundation building permit or other form of building permit has been issued as of March 1 of the preceding Fiscal Year. "District" means the Open Space Maintenance District-SPA One (Village One West) of the Community Facilities District No. 99-2 of the City of Chula Vista. "Facilities" means those improvements defined in Part II of the Special Tax Report dated June 6, 2000 for Community Facilities District No. 99-2 of the City of Chula Vista. "Fiscal Year" means the period starting on July 1 and ending the following June 30. "Future Annexation" means all of the specific Parcels that are subject to a one-time annexation into CFD No.99-2 as depicted in Exhibit A and identified as Parcels 1,2 & 3. In the event such Future Annexation occurs, any such Parcels that are annexed will be subject to the Maximum Special Tax as described in this Rate and Method of Apportionment of Special Tax. The Future Annexation Parcels may be annexed separately over time. "Maximum Special Tax" means the maximum special tax that can be levied within CFD No. 99-2 by the City Council in any Fiscal Year for each Parcel of Taxable Property. "Operating Fund" means a fund that shall be maintained by the District for any Fiscal Year to pay for the actual costs of maintenance, repair, and replacement of the Facilities, and the Administrative Expenses. "Operating Fund Balance" means the amount of funds in the Operating Fund at the end of the preceding Fiscal Year. "Operating Fund Requirement" means for any Fiscal Year an amount equal to the budgeted costs of the maintenance, repair and replacement of the Facilities which have been accepted and maintained by the District or are reasonably expected to be accepted and maintained by the District during the current Fiscal Year plus the budgeted Administrative Expenses of the District for the current Fiscal Year in which Special Taxes are levied. "Parcel" means any San Diego County Assessor's Parcel or portion thereof that is within the boundaries of the District designated on a map of the San Diego County Assessor and which has been assigned a discrete identifying number on the equalized tax rolls of the County. "Reserve Fund" means a fund that shall be maintained to provide necessary cash flow for operations and maintenance for the first six months of each Fiscal Year, working capital to cover maintenance and repair cost overruns and delinquencies that may arise in connection with the collection of Special Taxes and a reasonable buffer against large variations in annual Special Tax amounts. "Reserve Fund Balance" means the amount of funds in the Reserve Fund at the end of the preceding Fiscal Year. "Reserve Fund Requirement" means the required balance in the Reserve Fund equal to up to 100% of the Operating Fund Requirement. "Residential Uses" shall include those residential uses as permitted in the City zoning ordinance. "Special Tax" means the special tax or special taxes actually levied within CFD No. 99-2. "Special Tax Liability" for any Fiscal Year is an amount determined sufficient to pay the costs of the District, including: (i) the amount required to be deposited into the Operating Fund to meet the Operating Fund Requirement, less the Operating Fund Balance, and (ii) the total amount required to be deposited into the Reserve Fund if any, to meet the Reserve Fund Requirement, less the Reserve Fund Balance. "Taxable Property" is all real property or Parcels within the boundaries of the District which are not exempt from the Special Tax pursuant to law, or which are not classified or assigned to the Exempt Category as defined herein. B. CATEGORIES OF SPECIAL TAXES Residential Category: The residential category includes each Developed Parcel within the District which is zoned for Residential Uses by the City ("Residential Category"). ,, The Maximum Special Tax that may be levied for Fiscal Year 2000/2001 on each Developed Parcel assigned to the Residential Category shall be $.4259 per Building Square Foot, if the annexation of Future Annexation (Parcels 1 & 2) has not occurred or $.4139 per Building Square Foot if the annexation of Future Annexation (Parcels 1 & 2) has occurred, as provided for in the "Assignment to Categories of Special Taxes". Said Maximum Special Tax rates shall be increased or decreased each Fiscal Year thereafter by a factor which shall be the lesser of the annual percentage change in the January to January San Diego Metropolitan Area All Urban Consumer Price Index (All Items) or the annual percentage change in the estimated California Fourth Parcel assigned to the Residential Category, and Vacant Land Category in the following order of priority: Step 1:Determine the maximum revenue which could be generated by multiplying the total Building Square Footage of all Developed Parcels assigned to the Residential Category by the Maximum Special Tax per Building Square Foot. Step 2: If the total Special Tax revenue as calculated in Step 1 is greater than the Special Tax Liability, reduce the Special Tax for each Parcel proportionately so that the Special Tax levy for the Fiscal Year is equal to the Special Tax Liability for the Fiscal Year. Step 3: If the total Special Tax revenue as calculated in Step 1 is less than the Special Tax Liability, a Special Tax shall be levied upon each Parcel assigned to the Vacant land Category. The Special Tax for the Vacant Land Category shall be calculated as the lessor of: (i) The Special Tax Liabilityl less the total of funds generated for all Parcels under Step 1 above, divided by the total Acres for all Parcels assigned to the "Vacant Land Category". OR, (ii) the Maximum Special Tax rate for Parcels within the Vacant Land Category. However, in the event it is determined that the Special Tax Liability includes delinquent Special Taxes from Parcels in the Vacant Land Category from the prior Fiscal Year, the City shall determine the amount of such delinquent Special Taxes that arose from such Parcels and identify the owner(s). The amount of delinquent Special Taxes, if any, that arose from each owner shall first be divided by the total Acres owned by such owner(s), and collected from the respective owner with the remaining portion of the Special Tax Liability not related to delinquent Special Taxes to be collected from Parcels in the Vacant Land Category according to the procedure set forth in the preceding paragraph. -----r ! i 1 I RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA MAKING APPOINTMENTS IN PROPOSED COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA (the "City Council"), desires to initiate proceedings to create a Community Facilities District pursuant to the terms 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. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) (the "District"); and, WHEREAS, at this time, this legislative body desires to appoint and designate itself as the legislative body of the District in order to allow the proceedings to go forward to completion in accordance with the provisions of law. NOW, THEREFORE IT IS HEREBY RESOLVED: SECTION 1. The above recitals are all true and correct. SECTION 2. Throughout the course of these formation proceedings and following the formation thereof, the City Council of the City will be acting as the legislative body of proposed Community Facilities District No. 99-2 (Otay Ranch Spa One - Village One West), which shall upon the formation thereof be a legally constituted governmental entity as defined by Section 53317 of the Government Code of the State of California. SECTION 3. All applicable regulatory rules of the City, including date, time and place of meetings, as well as notice requirements shall be applicable for all proceedings conducted by this legislative body as the governing body of the Cornrnunity Facilities District. SECTION 4. The Star-News is hereby designated as the newspaper for all publications as required by law and as necessary for completion of this District. _fi,q-/ PREPARED BY: APPROVED AS TO FORM BY: Director of Public Works 2 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. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA, 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 Governmem 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. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) (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 of a special tax by the District. NOW, THEREFORE, IT IS HEREBY RESOLVED: SECTION 1. The above recitals are all true and correct. SECTION 2. The map designated as "BOUNDARIES OF COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST)" showing the 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 endi~rsements 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. RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, DECLARING ITS INTENTION TO ESTABLISH COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) AND TO AUTHORIZE THE LEVY A SPECIAL TAX THEREIN TO FINANCE CERTAIN SERVICES WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA (the "City Council"), at this time is desirous 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. 99-2 (OTAY RANCH sPA ONE - VILLAGE ONE WEST) (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 services to be financed by such District, to indicate the rate and apportionment of a special tax sufficient to finance such services, 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 a Community Facilities 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 certain services described in Section 5 below. 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 Community Facilities 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 SECTION 4. The name of the proposed Community Facilities District to be established shall be known and designated as COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WES%.. DESCRIPTION OF SERVICES SECTION 5. It is the further intention of this City Council to finance certain ser vices that are in addition to those provided in or required for the territory within the District and will not be replacing services already available. A general description of the services to be provided is as follows: The maintenance and servicing of the following types of public facilities serving the properties within the District: parks, parkway landscaping and medians, drainage facilities, pedestrian bridges and open space slopes, trails and walls. It is the intention of this City Council to finance all direct, administrative and incidental annual costs and expenses necessary to provide the maintenance and servicing such public 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 services 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. 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 "A", which sets forth in sufficient detail the method of apportionment to allow each landowner or resident within 2 the proposed District to clearly estimate the maximum amount that such person will have to pay for such services. 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 SECTION 7. NOTICE IS GIVEN THAT ON THE 1st DAY OF AUGUST, 2000, AT THE HOUR OF 4:00 O'CLOCK P.M., IN THE REGULAR MEETING PLACE OF THE CITY COUNCIL BEING THE COUNCIL CHAMBERS, CITY HALL, LOCATED AT 276 FOURTH AVENUE, CHULA VISTA, CALIFORNIA, A PUBLIC HEARING WILL BE HELD WHERE THIS CITY COUNCIL WILL CONSIDER THE ESTABLISHMENT OF THE PROPOSED COMMUNITY FACILITIES DISTRICT, THE PROPOSED METHOD AND APPORTIONMENT OF THE SPECIAL TAX', A ND ALL OTHER MATTERS AS SET FORTH IN 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 FURNISHING OF THE SERVICES, 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 SERVICES OR PORTIONS OF THE SPECIAL TAX, THOSE SERVICES OR THAT TAX SHALL BE ELIMINATED BY THE CITY COUNCIL. ELECTION SECTION 8. If, following the public hearing 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 3 District. If at least twelve (1.2) persons, who need not necessarily ~ 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 heating, the vote shall he 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. A successful election relating to the special tax authorization shall, as applicable, establish and/or change the appropriations limit as authorized by Article XIIIB of the California Constitution as it is applicable to this District. NOTICE SECTION 9. Notice of the time and place of the public heating shall he given by the City Clerk by publishing such notice 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. PREPARED BY: APPROVED AS TO FORM BY: John P. Lippitt ~~~ Director of Public Works 4 RATE AND METHOD OF APPORTIONMENT FOR CITY OF CHULA VISTA COMMUNITY FACILITIES DISTRICT NO. 99-2 (VILLAGE ONE WEST) ANNUAL SPECIAL TAX A Special Tax shall be levied annually on land within Community Facilities District No. 99-2 (Open Space Maintenance District) of the City of Chula Vista (the "District"), and collected according to the Special Tax Liability determined by the City of Chula Vista (the "City") through the application of the following procedures. All of the property within the District, unless otherwise exempted by law or the express provisions of the rate and method of apportionment expressed below, shall be taxed to the extent and in the manner provided below. All Special Taxes applicable to Parcels shall be collected in the same manner and at the same time as ordinary ad valorem property taxe~, and the Special Taxes so levied will be subject to the same penalties and procedures, sale and lien priority in case of delinquency as is provided for ad valorem taxes. A. DEFINITIONS The terms hereinafter set forth have the following meanings: "Acre or Acreage" means the area of a Parcel as shown on the latest maps of the Assessor of the County of San Diego, or, if the area of such Parcel is not shown on such Assessor's maps, the area as shown on a current recorded subdivision map, parcel map, record of survey or other recorded document creating or describing the Parcel. If the preceding maps are not available, the area shall be determined by the City Engineer. "Administrative Expenses" means the direct and indirect expenses incurred by the City in carrying out its duties with respect to the District (including, but not limited to, the levy and collection of the Special Taxes) including the fees and expenses of its counsel. Any fees of the County related to the District or the collection of Special Taxes, an allocable share of the salaries of City staff directly related thereto, any amounts paid by the City from its general fund with respect to the District, and expenses incurred by the City in undertaking actions to foreclose on propgrties for which the payment of Special Taxes is delinquent, and all other costs and expenses of the City related to the District. "Building Square Foot or Square Footage" means the square footage as shown on the Parcel's building permit(s), excluding garages or other structures not used as living space. "City" means the City of Chula Vista. "Developed Parcel" means Taxable Property for which a foundation building permit or other form of building permit has been issued as of March 1 of the preceding Fiscal Year. "District" means the Open Space Maintenance District-SPA One (Village One West) of the Community Facilities District No. 99-2 of the City of Chula Vista. "Facilities" means those improvements defined in Part 1/of the Special Tax Report dated June 6, 2000 for Community Facilities District No. 99-2 of the City of Chula Vista. "Fiscal Year" means the period starting on July 1 and ending the following June 30. "Future Annexation" means all of the specific Parcels that are subject to a one-time annexation into CFD No.99-2 as depicted in Exhibit A and identified as Parcels 1,2 & 3. In the event such Future Annexation Occurs, any such Parcels that are annexed will be subject to the Maximum Special Tax as described in this Rate and Method of Apportionment of Special Tax. The Future Annexation Parcels may be annexed separately over time. "Maximum Special Tax" means the maximum special tax that can be levied within CFD No. 99-2 by the City Council in any Fiscal Year for each Parcel of Taxable Property. "Operating Fund" means a fund that shall be maintained by the District for any Fiscal Year to pay for the actual costs of maintenance, repair, and replacement of the Facilities, and the Administrative Expenses. "Operating Fund Balance" means the amount of funds in the Operating Fund at the end of the preceding Fiscal Year. "Operating Fund Requirement" means for any Fiscal Year an amount equal to the budgeted costs of the maintenance, repair and replacement of the Facilities which have been accepted and maintained by the District or are reasonably expected to be accepted and maintained by the District during the current Fiscal Year plus the budgeted Administrative Expenses of the District for the current Fiscal Year in which Special Taxes are levied. "Parcel" means any San Diego County Assessor's Parcel or portion thereof that is within the boundaries of the District designated on a map of the San Diego County Assessor and which has been assigned a discrete identifying number on the equalized tax rolls of the County. "Reserve Fund" means a fund that shall be maintained to provide necessary cash flow for operations and maintenance for the first six months of each Fiscal Year, working capital to cover maintenance and repair, cost overruns and delinquencies that may arise in connection with the collection of Special Taxes and a reasonable buffer against large variations in annual Special Tax amounts. "Reserve Fund Balance" means the amount of funds in the Reserve Fund at the end of the preceding Fiscal Year. "Reserve Fund Requirement" means the required balance in the Reserve Fund equal to up to 100% of the Operating Fund Requirement. "Residential Uses" shall include those residential uses as permitted in the City zoning ordinance. "Special Tax" means the special tax or special taxes actually levied within CFD No. 99-2. "Special Tax Liability" for any Fiscal Year is an amount determined sufficient to pay the costs of the District, including: (i) the amount required to be deposited into the Operating Fund to meet the Operating Fund Requirement, less the Operating Fund Balance, and (ii) the total amount required to be deposited into the Reserve Fund if any, to meet the Reserve Fund Requirement, less the Reserve Fund Balance. "Taxable Property" is all real property or Parcels within the boundaries of the District which are not exempt from the Special Tax pursuant to law, or which are not classified or assigned to the Exempt Category as defined herein. B. CATEGORIES OF SPECIAL TAXES Residential Category: The residential category includes each Developed Parcel within the District which is zoned for Residential Uses by the City ("Residential Category"). The Maximum Special Tax that may be levied for Fiscal Year 2000/2001 on each Developed Parcel assigned to the Residential Category shall be $.4259 per Building Square Foot, if the annexation of Future Annexation (Parcels 1 & 2) has not occurred or $.4139 per Building Square Foot if the annexation of Future Annexation (Parcels 1 & 2) has occurred, as provided for in the "Assignment to Categories of Special Taxes". Said Maximum Special Tax rates shall be increased or decreased each Fiscal Year thereafter by a factor which shall be the lesser of the annual percentage change in the January to January San Diego Metropolitan Area All Urban Consumer Price Index (All Items) or the annual percentage change in the estimated California Fourth RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ORDERING AND DIRECTING THE PREPARATION OF A SPECIAL TAX REPORT FOR PROPOSED COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) 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 "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. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) (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 Special Tax Report to provide more detailed information relating to the proposed District, the proposed services, and estimate of the cost of providing such services. 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 the preparation of a Special Tax Report to be presented to this City Council, generally setting forth and containing the following: SERVICES: A full and complete description of the public services proposed to be financed. COST ESTIMATE: A general cost estimate setting forth costs of providing such services. SPECIAL TAX: Further particulars and documentation regarding implementation, definitions and all other matters necessary to clearly set forth the rate, method and apportionment for the authorized special tax. SECTION 3. Such 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 1 PREPARED BY: APPROVED AS TO FORM BY: John P. Lippitt Johi~aheny Director of Public Works ~y Attorney 2 RATE AND METHOD OF APPORTIONMENT FOR CITY OF CHULA VISTA COMMUNITY FACILITIES DISTRICT NO. 99-2 (VILLAGE ONE WEST) ANNUAL SPECIAL TAX A Special Tax shall be levied annually on land within Community Facilities District No. 99-2 (Open Space Maintenance District) of the City o£ Chula Vista (the "District"), and collected according to the Special Tax Liability determined by the City of Chula Vista (the "City") through the application of the following procedures. All of the property within the District, unless otherwise exempted by law or the express provisions of the rate and method of apportionment expressed below, shall be taxed to the extent and in the manner provided below. All Special Taxes applicable to Parcels shall be collected in the same manner and at the same time as ordinary ad valorem property taxes', and the Special Taxes so levied will be subject to the same penalties and procedures, sale and lien priority in case of delinquency as is provided for ad valorem taxes. A. DEFINITIONS The terms hereinafter set forth have the following meanings: "Acre or Acreage" means the area of a Parcel as shown on the latest maps of the Assessor of the County of San Diego, or, if the area of such Parcel is not shown on such Assessor's maps, the area as shown on a current recorded subdivision map, parcel map, record of survey or other recorded document creating or describing the Parcel. If the preceding maps are not available, the area shall be determined by the City Engineer. "Administrative Expenses" means the direct and indirect expenses incurred by the City in carrying out its duties with respect to the District (including, but not limited to, the levy and collection of the Special Taxes) including the fees and expenses of its counsel. Any fees of the County related to the District or the collection of Special Taxes, an allocable share of the salaries of City staff directly related thereto, any amounts paid by the City from its general fund with respect to the District, and expenses incurred by the City in undertaking actions to foreclose on properties for which the payment of Special Taxes is delinquent, and all other costs and expenses of the City related to the District. "Building Square Foot or Square Footage" means the square footage as shown on the Parcel's building permit(s), excluding garages or other structures not used as living space. "City" means the City of Chula Vista. "Developed Parcel" means Taxable Property for which a foundation building permit or other form of building permit has been issued as of March 1 of the preceding Fiscal Year. "District" means the Open Space Maintenance District-SPA One (Village One West) of the Community Facilities District No. 99-2 of the City of Chula Vista. "Facilities" means those improvements defined in Part II of the Special Tax Report dated June 6, 2000 for Community Facilities District No. 99-2 of the City of Chula Vista. "Fiscal Year" means the period starting on July 1 and ending the following June 30. "Future Annexation" means all of the specific Parcels that are subject to a one-time annexation into CFD No.99-2 as depicted in Exhibit A and identified as Parcels 1,2 & 3. In the event such Future Annex~ition OCcurs, any such Parcels that are annexed will be subject to the Maximum Special Tax as described in this Rate and Method of Apportionment of Special Tax. TheFuture Annexation Parcels may be annexed separately over time. "Maximum Special Tax" means the maximum special tax that can be levied within CFD No. 99-2 by the City Council in any Fiscal Year for each Parcel of Taxable Property. "Operating Fund" means a fund that shall be maintained by the District for any Fiscal Year to pay for the actual costs of maintenance, repair, and replacement of the Facilities, and the Administrative Expenses. "Operating Fund Balance" means the amount of funds in the Operating Fund at the end of the preceding Fiscal Year. "Operating Fund Requirement" means for any Fiscal Year an amount equal to the budgeted costs of the maintenance, repair and replacement of the Facilities which have been accepted and maintained by the District or are reasonably expected to be accepted and maimained by the District during the current Fiscal Year plus the budgeted Administrative Expenses of the District for the current Fiscal Year in which Special Taxes are levied. "Parcel" means any San Diego County Assessor's Parcel or portion thereof that is within the boundaries of the District designated on a map of the San Diego County Assessor and which has been assigned a discrete identifying number on the equalized tax rolls of the County. "Reserve Fund" means a fund that shall be maintained to provide necessary cash flow for operations and maintenance for the first six months of each Fiscal Year, working capital to cover maintenance and repair, cost overruns and delinquencies that may arise in connection with the collection of Special Taxes and a reasonable buffer against large variations in annual Special Tax amounts. "Reserve Fund Balance" means the amount of funds in the Reserve Fund at the end of the preceding Fiscal Year. "Reserve Fund Requirement" means the required balance in the Reserve Fund equal to up to 100% of the Operating Fund Requirement. "Residential Uses" shall include those residential uses as permitted in the City zoning ordinance. "Special Tax" means the special tax or special taxes actually levied within CFD No. 99-2. "Special Tax Liability" for any Fiscal Year is an amount determined sufficient to pay the costs of the District, including: (i) the amount required to be deposited into the Operating Fund to meet the Operating Fund Requirement, less the Operating Fund Balance, and (ii) the total amount required to be deposited into the Reserve Fund if any, to meet the Reserve Fund Requirement, less the Reserve Fund Balance. "Taxable Property" is all real property or Parcels within the boundaries of the District which are not exempt from the Special Tax pursuant to law, or which are not classified or assigned to the Exempt Category as defined herein. B. CATEGORIES OF SPECIAL TAXES Residential Category: The residential category includes each Developed Parcel within the District which is zoned for Residential Uses by the City ("Residential Category"). · The Maximum Special Tax that may be levied for Fiscal Year 2000/2001 on each Developed Parcel assigned to the Residential Category shall be $.4259 per Building Square Foot, if the annexation of Future Annexation (Parcels 1 & 2) has not occurred or $.4139 per Building Square Foot if the annexation of Future Annexation (Parcels 1 & 2) has occurred, as provided for in the "Assignment to Categories of Special Taxes". Said Maximum Special Tax rates shall be increased or decreased each Fiscal Year thereafter by a factor which shall be the lesser of the annual percentage change in the January to January San Diego Metropolitan Area All Urban Consumer Price Index (All Items) or the annual percentage change in the estimated California Fourth -3- Quarter Per Capita Personal Income as contained in the Governor's budget published every January. Exempt Category The exempt category includes each property owned by, conveyed or irrevocably offered for dedication to a public agency, land which is in the public right-of-way, unmanned utility easements which make utilization for other than the purpose set forth in the easement impractical, common areas, private streets and parks, and open space lots ("Exempt Category"). Vacant Land Category The vacant land category includes each Parcel of Taxable Property assigned to the District not subject to a Special Tax under any other category described above ("Vacant Land Category"). The Maximum Special Tax which may be levied on each Parcel within the Vacant Land Category for Fiscal Year 2000/2001' Shall be the rates set forth below (said amount to be levied pro rata for any portion of an Acre). Said Maximum Special Tax shall be increased or decreased each Fiscal Year thereafter by a factor which shall be the lesser of the annual percentage change in the January to January San Diego Metropolitan Area All Urban Consumer Price Index (All Items) or the annual percentage change in the estimated California Fourth Quarter Per Capita Personal Income as contained in the Governor's budget published every January. · The Maximum Special Tax that may be levied for Fiscal Year 2000/2001 on each Parcel Assigned to the Vacant Land Category shall be $5,262.00 per Acre, if the Future Annexation (Parcels 1 & 2) has not occurred or $5,089.00 per Acre if annexation of Future Annexation (Parcels 1 & 2) has occurred, as provided for in the "Assignment to Categories of Special Taxes". C. ASSIGNMENT TO CATEGORIES OF SPECIAL TAXES On or about July 1 of each year (but in any event in sufficient time to include the levy of the Special Taxes on the County's secured tax roll) the City shall assign each Parcel within the District including Parcels subject to Future Annexation if the Future Annexation has occurred by such date to the Residential Category, Exempt Category, or Vacant Land Category. Parcels subject to levy shall be determined based upon the records of the San Diego County Assessor. D. LEVY AND APPORTIONMENT OF SPECIAL TAXES The City shall determine the Special Tax Liability in each Fiscal Year on or about every July 1 (but in any event in sufficient time to include the levy &the Special Taxes on the County's secured tax roll). Special Taxes shall then be levied on each Parcel assigned to the Residential Category, and Vacant Land Category in the following order of priority: Step 1:Determine the maximum revenue which could be generated by multiplying the total Building Square Footage of all Developed Parcels assigned to the Residential Category by the Maximum Special Tax per Building Square Foot. Step 2: If the total Special Tax revenue as calculated in Step 1 is greater than the Special Tax Liability, reduce the Special Tax for each Parcel proportionately so that the Special Tax levy for the Fiscal Year is equal to the Special Tax Liability for the Fiscal Year. Step 3: If the total Special Tax revenue as calculated in Step 1 is less than the Special Tax Liability, a Special Tax shall be levied upon each Parcel assigned to the Vacant land Category. The Special Tax for the Vacant Land Category shall be calculated as the lessor of: (i) The Special Tax Liability,'less the total of funds generated for all Parcels under Step 1 above, divided by the total Acres for all Parcels assigned to the "Vacant Land Category". oK (ii) the Maximum Special Tax rate for Parcels within the Vacant Land Category. However, in the event it is determined that the Special Tax Liability includes delinquent Special Taxes from Parcels in the Vacant Land Category from the prior Fiscal Year, the City shall determine the amount of such delinquent Special Taxes that arose from such Parcels and identify the owner(s). The amount of delinquent Special Taxes, if any, that arose from each owner shall first be divided by the total Acres owned by such owner(s), and collected from the respective owner with the remaining portion of the Special Tax Liability not related to delinquent Special Taxes to be collected from Parcels in the Vacant Land Category according to the procedure set forth in the preceding paragraph. I I 1 [ RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ADOPTING BOUNDARY MAP SHOWING TERRITORY PROPOSED TO BE ANNEXED IN THE FUTURE TO COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA (the "City Council") desires to authorize the future annexation of territory to a Community Facilities District pursuant to the terms and provisions of the 'WIello-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"). The Community Facilities District has been designated as COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILE ~AGE ONE WEST) (the "District"); and WHEREAS, there has been submitted a map showing the territory proposed to be annexed in the future to the District, said area to be designated as COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) (FUTURE ANNEXATION AREA) (the '~Future Annexation Area"). NOW, THEREFORE, IT IS HEREBY RESOLVED AS FOLLOWS: SECTION 1. The above recitals are all true and correct. SECTION 2. The map showing the Future Annexation Area and to be subject to the levy of a special tax by the District upon the annexation of such territory to the District is hereby approved and adopted. Such map is designated by the name of the District and Future Annexation Area. SECTION 3. A certificate shall be endorsed on the original and on at least one (1) copy of the map of the Future Annexation Area, evidencing the date and adoption of this Resolution, and within fifteen days after the adoption of the Resolution fixing the time and place of the hearing on the intention to annex in the future, a copy of said map shall be filed with the correct and proper endorsements thereon with County Recorder, all in the manner and form provided for Section 3111 of the Streets and Highways Code of the State California. PREPARED BY: APPROVED AS TO FORM BY: John P. Lippitt John Kaheny Director of Public Works City Attorney ' RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, DECLARING ITS INTENTION TO AUTHORIZE THE FUTURE ANNEXATION OF TERRITORY TO COMMIfNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST) WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA, ("City Council"), at this time desires to authorize the future annexation of territory to a Community Facilities District pursuant to the terms 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 specifically Article 3.5 thereof, 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"). The Colnmunity Facilities District has been designated as COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE 5 VILLAGE ONE WEST) (the "District"); and, WHEREAS, it is determined to be within the public interest and convenience to establish a procedure to authorize and provide for the future annexation of territory to the District and further to specify the mnonnt of special taxes that would be levied and set forth the terms and conditions for certification of any annexation in the future; and, WHEREAS, the area proposed to be annexed in the future shall be known and designated as COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE- VILLAGE ONE WEST) (FUTURE ANNEXATION AREA) (the "Future Annexation Area"), and a map showing the Future Annexation Area has been submitted to and approved by this City Council and a copy of said map has been ordered to be kept on file with the transcript of these proceedings. NOW, THEREFORE, IT IS HEREBY RESOLVED AS FOLLOWS: RECITALS SECTION 1. The above recitals are all true and correct. AUTHORIZATION SECTION 2. These proceedings for future annexations are authorized and initiated by this legislative body pursuant to the authorization of the Community Facilities District Law in general and Section 53339.2 of the Government Code of the State of California in particular. PUBLIC CONVENIENCE AND NECESSITY SECTION 3. This legislative body hereby determines that the public convenience and necessity requires the establishment ora procedure to authorize and provide for terhtory to be annexed in the future to the District in order to pay the costs and expenses for the required and authorized services. BOUNDARiES SECTION 4. A general description of the territory included in the District is hereinafter described as follows: All that property and territory as previously included within the original District, as said property was shown on a map as approved by this legislative body designated by the name of the original District, a copy of which is on file in the Office of the City Clerk, as well as the County Recorder. A description of the boundaries and territory of the Future Annexation Area is as follows: All that property and territory in the Future Annexation Area, as said property is shown on a map as previously approved by this legislative body, said map identified by the name of the District and further designated as Future Annexation Area, a copy of which is on file in the Office of the City Clerk and shall remain open for public inspection. Completion of the future am~exation proceedings and of the annexation of any parcel within the Future Armexation Area to the District may occur only with the unanimous consent of the owner or owners of such pa[cel given at the time of such annexation.. NAME OF DISTRICT SECTION 5. The name of the District is COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE - VILLAGE ONE WEST), and the designation for the Future Annexation Area shall be COMMUNITY FACILITIES DISTRICT NO. 99-2 (OTAY RANCH SPA ONE- VILLAGE ONE WEST) (FUTURE ANNEXATION AREA). SERVICES AUTHORIZED TO BE FINANCED BY THE DISTRICT SECTION 6. The services that are authorized to be financed by the District are certain services which are in addition to those provided in or required for the territory within the District and will not be replacing services already available. A general description of the services to be financed by the District is as follows: The maintenance and servicing of the following types of public facilities serving the properties within the District: parks, parkway landscaping and medians, drainage facilities, pedestrian bridges and open space slopes, trails and walls. The District shall finance all direct, administrative and incidental annual costs and expenses necessary to provide the maintenance and servicing such public facilities. The same types of services which are authorized to be financed by the District are the types of services to be provided in the Future Annexation Area. If and to the extent possible such services shall be provided in common within the District and the Future Annexation Area. SPECIAL TAXES SECTION 7. It is the further intention of this City Council body that, except where funds are otherwise available, a special tax sufficient to pay for such services 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 Future Annexation Area, will be lev ied annually within the boundaries of such Future Annexation Area. For further particulars as to the rate and method of apportionment of the proposed special tax, reference is made to the attached and incorporated Attachment A (the "Special Tax Formula"), which sets forth in sufficient detail the method of apportionment to allow each landowner or resident within the proposed Future Annexation Area to clearly estimate the maximum amount that such person will have to pay. The special tax proposed to be levied within the Furore Annexation Area for services to be supplied within the Furore Annexation Area shall be equal to the special tax levied to pay for the same services in the District, except that a higher or lower special tax may be levied within the Furore Annexation Area to the extent that the actual cost of providing the services in the Future Annexation Area is higher or lower than the cost of providing those services in the District. Notwithstanding the foregoing, the special tax may not be levied at a rate which is higher that the maximum special tax authorized to be levied pursuant to the Special Tax Formula. 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. The maximum special tax rate in the District shall not be increased as a result of the annexation of the Future Annexation Area to the District. EFFECTIVE DATE OF ANNEXATION SECTION 8. Annexation to the District of any parcel within the Future Annexation Area shall be effective upon the unanimous approval of the owner or owners of such parcel at the time the parcel is annexed, and no further public hearings or additional proceedings will be required to authorize such armexation. PUBLIC HEARING SECTION 9. NOTICE IS GIVEN THAT ON THE 1st DAY OF AUGUST,2000, AT THE HOUR OF 4:00 O' CLOCK P.M., IN THE REGULAR MEETING PLACE OF THE LEGISLATIVE BODY, I' 1 [ BEING THE COUNCIL CHAMBERS, 276 FOURTH AVENUE, CHULA VISTA, CALIFORNIA, A PUBLIC HEARING WILL BE HELD WHERE THIS LEGISLATIVE BODY WILL CONSIDER THE AUTHORIZATION FOR THE ANNEXATION OF CERTAiN TERRITORY iN THE FUTURE TO THE DISTRICT, THE PROPOSED METHOD AND APPORTIONMENT OF THE SPECIAL TAX TO BE LEVIED WITHIN THE FUTURE ANNEXATION AREA AND ALL OTHER MATTERS AS SET FORTH IN THIS RESOLUTION OF iNTENTION. AT SUCH PUBLIC HEARING, THE TESTIMONY OF ALL INTERESTED PERSONS FOR OR AGAINST THE ANNEXATION OF THE FUTURE ANNEXATION AREA OR THE LEVYiNG OF SPECIAL TAXES WITHIN THE FUTURE ANNEXATION AREA WILL BE HEARD. AT SUCH PUBLIC HEARING, PROTESTS AGAINST THE PROPOSED ANNEXATION OF THE FUTURE ANNEXATION AREA, THE LEVY OF SPECIAL TAXES WITHIN THE FUTURE ANNEXATION AREA OR ANY OTHER PROPOSALS CONTAINED IN THIS RESOLUTION MAY BE MADE ORALLY BY ANY INTERESTED PERSON. ANY PROTESTS PERTAINiNG TO THE REGULARITY OR SUFFICIENCY OF THE PROCEEDINGS SHALL BE IN WRITING AND SHALL CLEARLY SET FORTH THE IRREGULARITIES OR DEFECTS TO WHICH OBJECTION IS MADE. ALL WRITTEN PROTESTS SHALL BE FILED WITH THE CITY CLERK PRIOR TO THE TIME FIXED FOR THE PUBLIC HEARING. WRITTEN PROTESTS MAY BE WITHDRAWN AT ANY TIME BEFORE THE CONCLUSION OF THE PUBLIC HEARING. MAJORITY PROTEST If (a) 50% or more of the registered voters, or six (6) registered voters, whichever is more, residing within the District, (b) 50% or more of the registered voters, or six (6) registered voters, whichever is more, residing within the Future Annexation Area, (c) owners of one-half or more of the area of land in the territory included in the District, or (d) owners of one-half or more of the area of land in the territory included in the Future Annexation Area, file written protests against the proposed annexation of the Future Annexation Area to the District in the future and such protests are not withdrawn so as to reduce the protests to less than a majority, no further proceedings shall be undertaken for a period of one year from the date of the decision by the City Council on the issued discussed at the public hearing. NOTICE SECTION 10. Notice of the time and place of the public hearing shall be given by the City Clerk by publication in the legally designated newspaper of general circulation, said publication pursuant to Section 6061 of the Government 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 U. Lippitt ~eYy'~~ j Director of Public Works ! '1 [ RATE AND METHOD OF APPORTIONMENT FOR CITY OF CHULA VISTA COMMUNITY FACILITIES DISTRICT NO. 99-2 (VILLAGE ONE WEST) ANNUAL SPECIAL TAX A Special Tax shall be levied annually on land within Community Facilities District No. 99-2 (Open Space Maintenance District) of the City of Chula Vista (the "District"), and collected according to the Special Tax Liability determined by the City of Chula Vista (the "City") through the application of the following procedures. All of the property within the District, unless otherwise exempted by law or the express provisions of the rate and method of apportionment expressed below, shall be taxed to the extent and in the manner provided below. All Special Taxes applicable to Parcels shall be collected in the same manner and at the same time as ordinary ad valorem property taxeS, and the Special Taxes so levied will be subject to the same penalties and procedures, sale and lien priority in case of delinquency as is provided for ad valorem taxes. A. DEFINITIONS The terms hereinafter set forth have the following meanings: "Acre or Acreage" means the area of a Parcel as shown on the latest maps of the Assessor of the County of San Diego, or, if the area of such Parcel is not shown on such Assessor's maps, the area as shown on a current recorded subdivision map, parcel map, record of survey or other recorded document creating or describing the Parcel. If the preceding maps are not available, the area shall be determined by the City Engineer. "Administrative Expenses" means the direct and indirect expenses incurred by the City in carrying out its duties with respect to the District (including, but not limited to, the levy and collection of the Special Taxes) including the fees and expenses of its counsel. Any fees of the County related to the District or the collection of Special Taxes, an allocable share of the salaries of City staff directly related thereto, any amounts paid by the City from its general fund with respect to the District, and expenses incurred by the City in undertaking actions to foreclose on properties for which the payment of Special Taxes is delinquent, and all other costs and expenses of the City related to the District. "Building Square Foot or Square Footage" means the square footage as shown on the Parcel's building permit(s), excluding garages or other structures not used as living space. "City" means the City of Chula Vista. "Developed Parcel" means Taxable Property for which a foundation building permit or other form of building permit has been issued as of March 1 of the preceding Fiscal Year. "District" means the Open Space Maintenance District-SPA One (Village One West) of the Community Facilities District No. 99°2 of the City of Chula Vista. "Facilities" means those improvements defined in Part 121 of the Special Tax Report dated June 6, 2000 for Community Facilities District No. 99-2 of the City of Chula Vista. "Fiscal Year" means the period starting on July 1 and ending the following June 30. "Future Annexation" means all of the specific Parcels that are subject to a one-time annexation into CFD No.99-2 as depicted in Exhibit A and identified as Parcels 1,2 & 3. In the event such Future Annexfition OCCurs, any such Parcels that are annexed will be subject to the Maximum Special Tax as described in this Rate and Method of Apportionment of Special Tax. The Future Annexation Parcels may be annexed separately over time. "Maximum Special Tax" means the maximum special tax that can be levied within CFD No. 99-2 by the City Council in any Fiscal Year for each Parcel of Taxable Property. "Operating Fund" means a fund that shall be maintained by the District for any Fiscal Year to pay for the actual costs of maintenance, repair, and replacement of the Facilities, and the Administrative Expenses. "Operating Fund Balance" means the amount of funds in the Operating Fund at the end of the preceding Fiscal Year. "Operating Fund Requirement" means for any Fiscal Year an amount equal to the budgeted costs of the maintenance, repair and replacement of the Facilities which have been accepted and maintained by the District or are reasonably expected to be accepted and maintained by the District during the current Fiscal Year plus the budgeted Administrative Expenses of the District for the current Fiscal Year in which Special Taxes are levied. "Parcel" means any San Diego County Assessor's Parcel or portion thereof that is within the boundaries of the District designated on a map of the San Diego County Assessor and which has been assigned a discrete identifying number on the equalized tax rolls of the County. "Reserve Fund" means a fund that shall be maintained to provide necessary cash flow for operations and maintenance for the first six months of each Fiscal Year, working capital to cover maintenance and repair, cost overruns and delinquencies that may arise in connection with the collection of Special Taxes and a reasonable buffer against large variations in annual Special Tax amounts. "Reserve Fund Balance" means the amount of funds in the Reserve Fund at the end of the preceding Fiscal Year. "Reserve Fund Requirement" means the required balance in the Reserve Fund equal to up to 100% of the Operating Fund Requirement. "Residential Uses" shall include those residential uses as permitted in the City zoning ordinance. "Special Tax" means the special tax or special taxes actually levied within CFD No. 99-2. "Special Tax Liability" for any F{scal Year is an amount determined sufficient to pay the costs of the District, including: (i) the amount required to be deposited into the Operating Fund to meet the Operating Fund Requirement, less the Operating Fund Balance, and (ii) the total amount required to be deposited into the Reserve Fund if any, to meet the Reserve Fund Requirement, less the Reserve Fund Balance. "Taxable Property" is all real property or Parcels within the boundaries of the District which are not exempt from the Special Tax pursuant to law, or which are not classified or assigned to the Exempt Category as defined herein. B. CATEGORIES OF SPECIAL TAXES Residential Category: The residential category includes each Developed Parcel within the District which is zoned for Residential Uses by the City ("Residential Category"). · The Maximum Special Tax that may be levied for Fiscal Year 2000/2001 on each Developed Parcel assigned to the Residential Category shall be $.4259 per Building Square Foot, if the annexation of Future Annexation (Parcels 1 & 2) has not occurred or $.4139 per Building Square Foot if the annexation of Future Annexation (Parcels 1 & 2) has occurred, as provided for in the "Assignment to Categories of Special Taxes". Said Maximum Special Tax rates shall be increased or decreased each Fiscal Year thereafter by a factor which shall be the lesser of the annual percentage change in the lanuary to January San Diego Metropolitan Area All Urban Consumer Price Index (All Items) or the annual percentage change in the estimated California Fourth Quarter Per Capita Personal Income as contained in the Governor's budget published every January. Exempt Category The exempt category includes each property owned by, conveyed or irrevocably offered for dedication to a public agency, land which is in the public right-of-way, unmanned utility easements which make utilization for other than the purpose set forth in the easement impractical, common areas, private streets and parks, and open space lots ("Exempt Category"). Vacant Land Category The vacant land category includes each Parcel of Taxable Property assigned to the District not subject to a Special Tax under any other category described above ("Vacant Land Category"). The Maximum Special Tax which may be levied on each Parcel within the Vacant Land Category for Fiscal Year 2000/2001 shall be the rates set forth below (said amount to be levied pro rata for any portion of an Acre). Said Maximum Special Tax shall be increased or decreased each Fiscal Year thereafter by a factor which shall be the lesser of the annual percentage change in the January to January San Diego Metropolitan Area All Urban Consumer Price Index (All Items) or the annual percentage change in the estimated California Fourth Quarter Per Capita Personal Income as contained in the Governor's budget published every January. · The Maximum Special Tax that may be levied for Fiscal Year 2000/2001 on each Parcel Assigned to the Vacant Land Category shall be $5,262.00 per Acre, if the Future Annexation (Parcels 1 & 2) has not occurred or $5,089.00 per Acre if annexation of Future Annexation (Parcels 1 & 2) has occurred, as provided for in the "Assignment to Categories of Special Taxes". C. ASSIGNMENT TO CATEGORIES OF SPECIAL TAXES On or about July 1 of each year (but in any event in sufficient time to include the levy of the Special Taxes on the County's secured tax roll) the City shall assign each Parcel within the District including Parcels subject to Future Annexation if the Future Annexation has occurred by such date to the Residential Category, Exempt Category, or Vacant Land Category. Parcels subject to levy shall be determined based upon the records of the San Diego County Assessor. D. LEVY AND APPORTIONMENT OF SPECIAL TAXES The City shall determine the Special Tax Liability in each Fiscal Year on or about every July 1 (but in any event in sufficient time to include the levy of the Special Taxes on the County's secured tax roll). Special Taxes shall then be levied on each RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ADOPTING BOUNDARY MAP SHOWING TERRITORY PROPOSED TO BE ANNEXED TO IMPROVEMENT AREA "A" OF COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAINTENANCE DISTRICT) WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA (the "City Council") desires to annex territory to an improvement area of an existing 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 Xl of the Constitution of the State of Califomia (the "Ordinance") (the Act and the Ordinance may be referred to collectively as the "Community Facilities District Law"). The Community Facilities District has been designated as COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAINTENANCE D~S~TRICT) (the "District") and the improvement area to which such territory is proposed to be annexed has been designated as "IMPROVEMENT AREA 'A'" ("Improvement Area 'A'"); and, WHEREAS, there has been submitted a map showing the territory proposed to be annexed to Improvement Area "A', said area to be designated as COMMUNITY FACILITIES DISTRICT NO. 97-2, IMPROVEMENT AREA "A", (PRESERVE MAINTENANCE DISTRICT) ANNEXATION NO. 1 (the "Improvement Area 'A' Annexation Territory"). NOW, THEREFORE, IT IS HEREBY RESOLVED AS FOLLOWS: SECTION 1. The above recitals are all true and correct. SECTION 2. The map showing the Improvement Area "A' Annexation Territory and to be subject to the levy of a special tax by the District upon the annexation of such territory to the Improvement Area is hereby approved and adopted. Such map is designated by the name of the District and Improvement Area "A" Annexation Territory. SECTION 3. A certificate shall be endorsed on the original and on at least one (1) copy of the map of the Improvement Area "A" Annexation Territory, evidencing the date and adoption of this Resolution, and within fifteen days after the adoption of the Resolution fixing the time and place of the hearing on the intention to annex or extent of such annexation to Improvement Area "A", a copy of said map shall be filed with the correct and proper endorsements thereon with County Recorder, all in the manner and form provided for Section 3111 of the Streets and Highways Code of the State California. PREPARED BY: APPROVED AS TO FORM BY: RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, DECLARING ITS INTENTION TO AUTHORIZE THE ANNEXATION OF TERRITORY TO IMPROVEMENT AREA "A" OF COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAINTENANCE DISTRICT) WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA, ("City Council"), formed a Community Facilities District and certain improvement areas therein 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"). The Community Facilities District has been designated as COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAINTENANCE DISTRICT) (the "District") and the Improvement Areas were designated as IMPROVEMENT AREA "A" and IMPROVEMEN, T AREA "B" of such District ("Improvement Area 'A'" and "Improvement Area 'B'", respectively); and, WHEREAS, the District was formed for the purpose of financing the monitoring, maintenance, operation and management of public property required to be maintained as open space or habitat preservation or both; and WHEREAS, Improvement Area "A" was established to finance Preserve Operations and Maintenance plus a pro-rata share of Administrative Expenses of the District as such terms are defined in the rate and method of apportionment of special taxes (the "Special Tax Formula") attached as Exhibit A hereto and incorporated herein by this reference; and WHEREAS, Improvement Area "B" was established to finance a proportionate share of the Resource Monitoring Program (as defined in the Special Tax Formula) plus a pro rata share of Administrative Expenses of the District; and WHEREAS, the properties that were included within Improvement Area "B" were those properties within the District which are only required to participate in the financing of the'Resource Monitoring Program; and WHEREAS, the territory proposed to be annexed to Improvement Area "A" shall be known and designated as COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAINTENANCE DISTRICT), IMPROVEMENT AREA "A," ANNEXATION NO. 1 (the "Territory"). WHEREAS, this legislative body is now desires to proceed to adopt its Resolution of Intention to annex the Territory to Improvement Area "A", to describe the territory included within Improvement Area "A" and the Territory proposed to be annexed thereto, to specify the services to be financed from the proceeds of the levy of special taxes within the Territory, to set and specify the special taxes that would be levied within the Territory to finance such services, and to set a time and place for a public hearing relating to the annexation of the Territory to the Improvement Area; and, WHEREAS, a map showing the Territory proposed to be annexed has been submitted, which map has been previously approved and a copy of the map shall be kept on file with the transcript of these proceedings. NOW, THEREFORE, IT IS HEREBY RESOLVED AS FOLLOWS: RECITALS SECTION 1. The above recitals are all tree and correct. LEGAL AUTHORITY SECTION 2. These proceedings for annexation are initiated by this City Council pursuant to the authorization of the Community Facilities District. Law. INTENTION TO ANNEX; DESCRIPTION OF TERRITORY SECTION 3. This legislative body hereby determines that the public convenience and necessity requires that the Territory be added to Improvement Area "A" and this City Council declares its intention to annex the Territory to Improvement Area "A". A description of the boundaries and Territory proposed to be annexed is as follows: All that Territory proposed to be annexed to Improvement Area "A", as such property is shown on a map as previously approved by this legislative body, such map designated by the number of the annexation and the name of the existing District, a copy of which is on file in the Office of the City Clerk and shall remain open for public inspection. A general description of the territory included in the District is hereinafter described as follows: All that property and territory as originally included within the District, as such property was shown on a map of the original District as approved by this City Council and designated by the name of the original District. A copy of such map is on file in the Office of the City Clerk and have also been filed in the Office of the County Recorder. NAME SECTION 4. The proposed annexation shall be known and designated as COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAINTENANCE DISTRICT), IMPROVEMENT AREA "A," ANNEXATION NO. 1. SERVICES AUTHORIZED TO BE FINANCED BY THE DISTRICT SECTION 5. The services that are authorized to be financed by the District from the proceeds of special taxes levied within Improvement Area "A" are certain services which are in addition to those provided in or required for the territory within Improvement Area "A" and will not be replacing services already available. A general description of such services to be financed by the District is as follows: The monitoring, maintenance, operation and management of public property in which the City has a property interest and which conforms to the requirements of the Ordinance or private property within the Otay Ranch Preserve which is required by the Preserve Owner/Manager to be maintained as open space or for habitat maintenance or both. Such property may be located outside the boundaries of the District and outside the jurisdictional boundaries of the City of Chula Vista. Such services shall not include the maintenance, operation and/or management of any property owned, maintained, operated and/~or managed by the federal and/or state government as open space, habitat maintenance and/or for any other purpose. The District shall finance all direct, administrative and incidental annual costs and expenses necessary to provide the such monitoring, maintenance, operation and management of such public property. The same types of services which are authorized to be financed by the District from the proceeds of special taxes levied within Improvement Area "A" are the types of services to be provided in the Territory. If and to the extent possible such services shall be provided in common within the District and the Territory. SPECIAL TAXES SECTION 6. It is the further intention of this City Council body that, except where funds are otherwise available, a special tax sufficient to pay for such services 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 Territory, will be levied annually within the boundaries of such Territory. For further particulars as to the rate and method of apportionment of the proposed special tax, reference is made to the attached and incorporated Attachment A (the "Special Tax Formula"), which sets forth in sufficient detail the method of apportionment to allow each landowner or resident within the proposed Territory to clearly estimate the maximum amount that such person will have to pay. The special tax proposed to be levied within the Territory shall be equal to the special tax levied to pay for the same services in Improvement Area "A," except that a higher or lower special tax may be levied within the Territory to the extent that the actual cost of providing the services in the Territory is higher or lower than the cost of providing those services in Improvement Area "A." Notwithstanding the foregoing, the special tax may not be levied at a rate which is higher that the maximum special tax authorized to be levied pursuant to the Special Tax Formula. 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. The maximum special tax rate in Improvement Area "A" shall not be increased as a result of the annexation of the Territory to Improvement Area "A." PUBLIC HEARING SECTION 7. NOTICE IS GIVEN THAT ON THE 1 st DAY OF AUGUST,2000, AT THE HOUR OF 4:00 O'CLOCK P.M., 1N THE REGULAR MEETING PLACE OF THE LEGISLATIVE BODY, BEING THE COUNCIL CHAMBERS, 276 FOURTH AVENUE, CHULA VISTA, CALIFORNIA, A PUBLIC HEARING WILL BE HELD WHERE T, HIS LEGISLATIVE BODY WILL CONSIDER THE AUTHORIZATION FOR THE ANNEXATION OF THE'TERRITORY TO IMPROVEMENT AREA "A," THE PROPOSED METHOD AND APPORTIONMENT OF THE SPECIAL TAX TO BE LEVIED WITHIN THE TERRITORY AND ALL OTHER MATTERS AS SET FORTH IN THIS RESOLUTION OF INTENTION. AT SUCH PUBLIC HEARING, THE TESTIMONY OF ALL INTERESTED PERSONS FOR OR AGAINST THE ANNEXATION OF THE TERRITORY OR THE LEVYING OF SPECIAL TAXES WITHIN THE TERRITORY WILL BE HEARD. AT SUCH PUBLIC HEARING, PROTESTS AGAINST THE PROPOSED ANNEXATION OF THE TERRITORY, THE LEVY OF SPECIAL TAXES WITHIN THE TERRITORY OR ANY OTHER PROPOSALS CONTAINED IN THIS RESOLUTION MAY BE MADE ORALLY BY ANY INTERESTED PERSON. ANY PROTESTS PERTAINING TO THE REGULARITY OR SUFFICIENCY OF THE PROCEEDINGS SHALL BE IN WRITING AND SHALL CLEARLY SET FORTH THE IRREGULARITIES OR DEFECTS TO WHICH OBJECTION IS MADE. ALL WRITTEN PROTESTS SHALL BE FILED WITH THE CITY CLERK PRIOR TO THE TIME FIXED FOR THE PUBLIC HEARING. WRITTEN PROTESTS MAY BE WITHDRAWN AT ANY TIME BEFORE THE CONCLUSION OF THE PUBLIC HEARING. MAJORITY PROTEST SECTION 8. If(a) 50% or more of the registered voters, or six (6) registered voters, whichever is more, residing within the District, (b) 50% or more of the registered voters, or six (6) registered voters, ~vhichever is more, residing within the Territory, (c) owners of one-half or more of the area of land in the territory included in the District, or (d) owners of one-half or more of the area of land in the territory included in the Territory, file written protests against the proposed annexation of the Territory to the District in the future and such protests are not withdrawn so as to reduce the protests to less than a majority, no further proceedings shall be undertaken for a period of one year from the date of the decision by the City Council on the issued discussed at the public hearing. ELECTION SECTION 9. Upon the conclusion of the public hearing, if the legislative body determines to proceed with the annexation, a proposition shall be submitted to the qualified electors of the proposed annexed area. The vote shall be by registered voters within the proposed annexed area; however, if there are less than 12 registered voters, the vote shall be by landowners, with each landowner having one vote per acre or portion thereof within the annexed territory. NOTICE SECTION 10. Notice of the time and place of the public hearing shall be given by the City Clerk by publication in the legally designated newspaper of general circulation, said publication pursuant to Section 6061 of the Government Code, with said publication to be completed at least seven (7) days pr/or to the date set for the public hearing. PREPARED BY: APPROVED AS TO FORM BY: John P. Lippitt Joh~tleny~ ~ Director of Public Works ~y/Attorney Community Facilities District No. 97-2 July 1, 1998 Page 6 Part IV - Rate and Method of Apportionment of Special Taxes - ANNUAL TAX A Special Tax shall be levied annually on each Parcel of land within the Preserve Mainten~ance District, Community Facilities District No. 97-2 of the City of Chula Vista (the "Distri~"), and collected according to the Special Tax Liability determined by the City of Chula Vista (the ~City") through the application of the following procedures. All of th~ i~roperty within the District, unless otherwise exempted by law or the express pr6~isions of the rate and method of apportionment expressed below, shall be taxed to the extent and in the manner provided below. All Parcels within the District are included within either Improvement Area A or improvement Area B. A map of the Improvement areas is included as Exhibit B. AIl Special Taxes applicable to Parcels ~be collected in the same manner and at the same time as ordinary ad valorem property taxes, and Special Taxes so levied will be subject to the same penalties and procedures, sale and lien priority in case of delinquency as is provided for ad valorem taxes. DEFINITIONS Acre or Acreage means the area of a Parcel as shown on the latest maps of the Assessor of the County of San Diego, or if the area of such Parcel is not shown on such Assessor's maps, the area as shown on a current recorded subdivision map, parcel map, record of survey or other recorded document creating or describing .the Parcel. If the preceding maps are not available, the area shall be determined by the City Engineer. Administrative Expenses means the direct and indirect expenses incurred by the City in carrying out its duties with respect to the District (including, but not limited to, the levy and collection of the special taxes) including the fees and expenses of its counsel, any fees of the County related to the District or the collection of special ~'&xes, an allocable share of the salaries of City staff directly related thereto and a proportionate amount of the City's general administrative overhead related thereto, any amounts paid by the City from its general fund with respect to the District, and all other costs and expenses of the City related to the District. Building Square Foot or Square Footage means the square footage as shown on a Parcel's building permit, excluding garages or other structures not used as living space. City means the City of Chula Vista. M:\$project\chulavis\psrvmain 8.d cc Community Facilities District No. 97-2 July 1, 1998 Page 9 Preserve Operations and Maintenance Fund Requirement means for any Fiscal Year an amount applicable to Improvement Area A equal to the budgeted costs for Preserve Operations and Maintenance plus a pro-rata share of the budgeted Administrative Expenses of the District for the current Fiscal Year in which Special Taxes are levied. Residential Parcels shall include each Parcel within the District which is zoned for Residential Uses by the City. R~s-idential Uses shall include those residential uses as permitted in the City zoning ordinance. Reserve Fund means a fund that shall be maintained for each Improvement Area to provide necessary cash flow for the first six months of each Fiscal Year, working capital to cover monitoring, maintenance and [epair cost overruns and delinquencies that may arise in connection with the collection of Special Taxes and a reasonable buffer against large variations in annual special tax amounts. Reserve Fund Balance means the amount of funds in the Reserve Fund at the end of - the preceding Fiscal Year. Reserve Fund Requirement means an amount equal to up to 100% of the Operating Fund Requirement for any Fiscal Year. Resource Monitoring Program means those activities defined in Part II B. of the Special Tax Report dated July 1, 1998 for Community Facilities District No. 97-2 of the City of Chula Vista. Resource Monitoring Fund Requirement means for any Fiscal Year an amount for each Improvement Area equal to the Improvement Area's fair share of the budgeted costs of the Resource Monitoring Program plus a pro rata share of the budgeted Administrative Expenses of the District for the current Fiscal Year in which,, Special Taxes are levied. An Improvement Area's "fair share" shall be based upon the Improvement Area's percentage of the total acreage within the Otay Ranch General Development Plan Planning Area for which a Resource Monitoring Program funding mechanism has been established. Special Tax means the special tax or special taxes actually levied within CFD No. 97-2 each Fiscal Year. Special Tax Liability for any Fiscal Year is an amount sufficient to pay the costs of an Improvement Area within the District equal to: (i) the Resource Monitoring Fund Requirement, and Preserve Operations and Maintenance Fund Requirement, less the Operating Fund Balance, and (ii) the Reserve Fund Requirement, less the Reserve Fund Balance. M:tSproject\chula vis~psrvmainS.doc Community Facilities District No. 97-2 July 1, 1998 Page 10 Tax Categories are those Categories I, II and III described in the body hereof. Taxable Property is all real property or Parcels within the boundaries of the District which are not exempt from the Special Tax pursuant to the law or which are not classified or assigned to the Exempt Category as defined herein. Categories of Special Taxes Category I Category I includes each Developed Parcel within the District. (Category I) The Maximum Special Tax for Resource Monitoring, and Preserve Operations and Maintenance that may be levied for Fiscal Year 1998/99 on each Developed Parcel shall be at the rates set forth in Table 1 'b~e ow. For Residential Parcels the Special Tax shall be levied based upon Building Square Footage and for Non-Residential Parcels shall be levied based on Acreage. The Maximum Special Tax shall be increased or decreased each Fiscal Year thereafter by a factor which is the lesser of the annual percentage change in the January to January San Diego Metropolitan Area All Urban Consumer Price Index (All Items) or the annual percentage change in the estimated California Fourth Quarter Per Capita Personal Income as contained in the Governor's budget published every January. TABLE 1 Maximum Special Tax Category I Resource Operation & Monitoring Maintenance Residential Parcels $0.0049 per sq. ft. $0.0078 per sq. ft. Non-Residential Parcels $80.96 per Acre $128.53 per Acre Category II category I1 includes each Parcel of Taxable Property within the District for which a Final Map has been recorded, but which is not classified as a Developed Parcel (Category II). The Maximum Special Tax for Resource Monitoring, and Preserve Operations and Maintenance that may be levied for Fiscal Year 1998/99 on each Parcel in Category II shall be as shown in Table 2 below (said amount to be levied pro rata for any portion of an Acre). Said Maximum Special Tax shall be increased or decreased each Fiscal Year thereafter by a factor which is the lesser of the annual percentage change in the January to January San Diego Metropolitan Area All Urban Consumer Price Index (A. II Items) or the annua] percentage change in the estimated California Fourth Quarter Per M:\$project \ch ulavis~psrvmain 8.doc Community Facilities District No. 97-2 July 1, 1998 Page 11 Capita Personal Income as contained in the Governor's budget published every January. TABLE 2 Maximum Special Tax Category II Resource I Operation & Monitoring I Maintenance $80.96 per Acre $128.53 per Acre Categor~ III Category III includes each Parcel of Taxable Property wi_thin the District not subject to a Special Tax under any other category ("Category II1'). The Maximum Special Tax which may be levied for Fiscal Year 1998/99 on Taxable Property within Category Ill shall be as shown in Table 3 below (said amount to be levied pro rata for any portion of an~ Acre)~ Said Maximum Special Tax shall be increased or decreased each Fiscal Year thereafter by a factor which is the lesser of the annual percentage change in the January to January San Diego Metropolitan Area All Urban Consumer Price Index (All Items) or the annual percentage change in the estimated California Fourth Quarter Per Capita Personal Income as contained in the Governor's budget published every January. TABLE 3 Maximum Special Tax Category III Resource Operation & Monitoring Maintenance $51.21 per Acre $81.30 per Acre Exempt Category The Exempt Category includes each property owned, conveyed or irrevocably offered for dedication to a public agency, or land which is in the public right-of-way, unmanned utility easements which make utilization for ether than the purpose set forth in the easement impractical, common areas, private streets and parks, and open space lots ("Exempt Category"). ..Assignment to Cateqories of Special Tax On or about July 1 of each year, (but in any event in sufficient time to include the levy of the Special Taxes on the County's secured tax roll), the City shall assign each Parcel within the District to Category I, Category 11, Category III or the Exempt Category. Parcels subject to levy shall be determined based upon the records of the San Diego County Assessor. M:LSproject\chulavisLpsrvmainS.cloc ,.~ /W, ~ / Community Facilities District No. 97-2 July 1, 1998 Page 12 Levy and Apportionment of Special Taxes The City shall determine the Special Tax Liability for each Improvement Area in each Fiscal Year on or about every July 1. Special Taxes shall then be levied on each Parcel classified as the Category I, Category II, or Category III in the following order of priority: ' Improvement Area A St~l~ 1: Determine the revenue which could be generated by Parcels assigned to Category I by multiplying the Building Square Footage for Parcels classified as Residential Parcels by the Maximum Special Tax per Building Square Foot for Resource Monitoring, and Preserve Operations and Maintenance for Parcels and adding to that the maximum revenue which could be generated by multiplying the total acres for Palrcels classified as Non-Residential Parcels by the Maximum Special Tax per Acre for Resource Monitoring and Preserve Operations and Maintenance. Step 2: If the total revenue as calculated in Step 1 is greater than the estimated Special Tax Liability for Improvement Area A, reduce the Special Tax for each Parcel proportionately so that the Special Tax levy for the Fiscal Year is equal to the Special Tax Liability for the Fiscal Year. Step 3: If the total revenue as calculated in Step 1 is less than the Special Tax Liability for Improvement Area A, a Special Tax shall be levied upon each Parcel within Improvement Area A, classified as Category II. The Special Tax for Parcels assigned to Category II shall be calculated as the lessor of: (i) The Special Tax Liability for Improvement Area /~, as determined by the City, less the total revenue generated for all Parcels under Step 1 above, divided by the total Acres for att Parcels within Improvement Area A assigned to Category II, OR (ii) the Maximum Special Tax rate for Parcels assigned to Category II Step 4: If the total revenue as calculated in Step I and 3 is less than the Special Tax Liability, for Improvement Area A, a Special Tax shall be levied upon eaci~ Parcel within Improvement Area A classified as Category III. The Special Tax for Parcels assigned to Category III shall be calculated as the lessor of: (i) The Special Tax Liability for Improvement Area A as determined by the City, less the total revenue generated for all Parcels under Step 1 and 3 . above, divided by the total Acres for all Parcels within Improvement Area A assigned to Category III, M:\$project\ch ulavis~psrvmain 8.doc Community Facilities District No. 97-2 July 1, 1998 Page 13 OR (ii) the Maximum Special Tax rate for Parcels assigned to Category III and within Improvement Area A. However, in the event it is determined that the Special Tax Liability for Improvement Area A includes delinquent Special Taxes from Parcels in Category III from the prior Fiscal Year, the City shall determine the amount of delinquent taxes that arose from sue_,h Parcels and identify the owner(s). The amount of delinquent Special Taxes, if any, that arose from the applicable owner(s) shall first be divided by the total Category III Acres owned by such owner(s) and collected from the applicable owner(s) with the remaining podion of the Special Tax Liability not related to delinquent Special Taxes to be collected from all Parcels in Category III according to the procedure set forth in the preceding paragraph. Improvement Area B Step 1: Determine the revenue which could be generated by Parcels assigned to Improvement Area B for Resource Monitoring by multiplying the total Acres for Parcels assigned to Category III by the Maximum Special Tax for Category Ill. Step 2: If the total revenue as calculated in Step 1 is greater than the Special Tax Liability for Improvement Area B, reduce the Special Tax for each Parcel proportionately so that the Special Tax levy for the Fiscal Year is equal to the Special Tax Liability for Improvement Area B for the Fiscal Year. However, in the event it is determined that the Special Tax Liability for Improvement Area B includes delinquent Special Taxes from Parcels in Category I11 from the prior Fiscal Year, the City shall determine the amount of delinquent taxes that arose from such Parcels and identify the owner(s). The amount of delinquent Special Taxes, if any, that arose from the applicable owner(s) shall first be divided by the total Category Ill Acres owned by such owner(s) and collected from the applicable owner(s'~'with the remaining portion of the Special Tax Liability not related to delinquent Special Taxes to be collected from all Parcels in Category III according to the procedure set forth in the Step 1 and Step 2 above. M:~$project\chulavis\psrvm ainS.doc APPENDIX A RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ADOPTING BOUNDARY MAP SHOWING TERRITORY PROPOSED TO BE ANNEXED IN THE FUTURE TO COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAINTENANCE DISTRICT) AND IMPROVEMENT AREA "A" THERETO WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA (the "City Council") desires to authorize the future annexation of territory to a Community Facilities District and an improvement area thereto pursuant to the terms and provisions of the 'Wlello- 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 ~e powers reserved by the City of Chula Vista under Sections 3, 5 and 7 of Article XI of the Constitution of ~e State of California (~e "Ordinance") (the Act and the Ordinance may be referred to collectively as ~e "Community Facilities District Law").. The Community Facilities District has been designated as COMMUNITY FACILITIES DISTRICT NO. ?7-2 (PRESERVE MAINTENANCE DISTRICT) (the "District") and the improvement area has been designated as "IMPROVEMENT AREA 'A'" ("Improvement Area 'A'"); and, WHEREAS, there has been submitted a map showing the territory proposed to be annexed in the future to the District, said area to be designated as COMMUNITY FACILITIES DISTRICT NO. 97-2, IMPROVEMENT AREA "A" (PRESERVE MAINTENANCE DISTRICT) (FUTURE ANNEXATION AREA) (the "Future Annexation Area"). NOW, THEREFORE, IT IS HEREBY RESOLVED AS FOLLOWS: SECTION 1. The above recitals are all true and correct. SECTION 2. The map showing the Future Annexation Area and to be subject to the levy cfa special tax by the District upon the annexation of such territory to the District is hereby approved and adopted. Such map is designated by the name of the District and Future Annexation Area. SECTION 3. A certificate shall be endorsed on the original and on at least one (1) copy of the map of the Future Annexation Area, evidencing the date and adoption of this Resolution, and within fifteen days after the adoption of the Resolution fixing the time and place of the hearing on the intention to annex in the future, a copy of said map shall be filed with the correct and proper endorsements thereon with County Recorder, all in the manner and form provided for Section 3111 of the Streets and Highways Code of the State California. PREPARED BY: APPROVED AS TO FORM BY: John P. Lippitt Jo~Kaheny Director of Public Works ~Eity Attorney RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, DECLARING ITS INTENTION TO AUTHORIZE THE FUTURE ANNEXATION OF TERRITORY TO COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAINTENANCE DISTRICT) AND IMPROVEMENT AREA "A" THERETO WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA, ("City Council"), at this time desires to authorize the future annexation of territory to a Community Facilities District and an improvement area therein pursuant to the terms 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 specifically Article 3.5 thereof 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"). The Community Facilities District has been designated as COMMUNITY FACILITIES DISTRICT NO. 97-2. (pRESERVE MAINTENANCE DISTRICT) (the "District") and the Improvement Area has been designated at IMPROVEMENT AREA "A" of such District ("Improvement Area A"); and, WHEREAS, it is determined to be within the public interest and convenience to establish a procedure to authorize and provide for the future annexation of territory to the District and Improvement Area A thereto and further to specify the amount of special taxes that would be levied and set forth the terms and conditions for certification of any annexation in the future; and, WHEREAS, the area proposed to be annexed in the future shall be known and designated as COMMUNITY FACILITIES DISTRICT NO. 97-2 (PRESERVE MAINTENANCE DISTRICT), IMPROVEMENT AREA "A" (FUTURE ANNEXATION AREA) (the "Future Annexation Area"), and a map showing the Future Annexation Area has been submitted to and approved by this City Council and a copy of said map has been ordered to be kept on file with the transcript of these proceedings. NOW, THEREFORE, IT tS HEREBY RESOLVED AS FOLLOWS: RECITALS SECTION 1. The above recitals are all true and correct. AUTHORIZATION SECTION 2. These proceedings for future annexations are authorized and initiated by this legislative body pursuant to the authorization of the Community Facilities District Law in general and Section 53339.2 of the Govermnent Code of the State of California in particular. PUBLIC CONVENIENCE AND NECESSITY SECTION 3. This legislative body hereby determines that the public convenience and necessity requires the establishment ora procedure to authorize and provide for territory to be annexed in the future to the District and Improvement Area A thereto in order to pay the costs and expenses for the required and authorized services. BOUNDARIES SECTION 4. A general description of the territory included in the District is hereinafter described as follows: All that property and territory as previously included within the original District, as said property was shown on a map as approved by this legislative body designated by the name of the original District, a copy of which is on file in the Office of the City Clerk, as well as the County Recorder. A description of the boundaries and territory of the Future Annexation Ama is as follows: All that property and territory in the Future Annexation Area, as said property is shown on a map as previously approved by this legislative body, said map identified by the name of the District and Improvement Area A thereto and further designated as Future Atmexation Area, a copy of which is on file in the Office of the City Clerk and shall remain open for public inspection. Completion of the future annexation proceedings and of the annexation of any parcel within the Future Annexation Area to the District and Improvement Area A thereto may occur only with the unanimous consent of the owner or owners of such parcel given at the time of such annexation.. NAME OF DISTRiCT AND IMPROVEMENT AREA SECTION 5. The name of the District is COMMUNITY FACILITIES DISTRiCT NO. 97-2 (PRESERVE MAINTENANCE DISTRiCT), the name of the improvement area is IMPROVEMENT AREA "A" and the designation for the Future Annexation Area shall be COMMUNITY FACILITIES DISTRiCT NO. 97-2, iMPROVEMENT AREA "A" (PRESERVE MAINTENANCE DISTRICT) (FUTURE ANNEXATION AREA). SERVICES AUTHORIZED TO BE FINANCED BY THE DISTRICT SECTION 6. The services that are authorized to be financed by the District are certain services which are in addition to those provided in or required for the territory within the District and will not be replacing services already available. A general description of the services to be financed by the District is as follows: The monitoring, maintenance, operation and management of public property in which the City has a property interest and which conforms to the requirements of the Ordinance or private property within the Otay Ranch Preserve which is required by the Preserve Owner/Manager to be maintained as open space or for habitat maintenance or both. Such property may be located outside the boundaries of the District and outside the jurisdictional boundaries of the City of Chula Vista. Such services shall not include the maintenance, operation and/or management of any property owned, maintained, operated and/or managed by the federal and/or state government as open space, habitat maintenance and/or for any other purpose. The District shall finance all direct, administrative and incidental annual costs and expenses necessary to provide the such monitoring, maintenance, operation and management of such public property. The same types of services which are authorized to be financed by the District are the types of services to be provided in the Future Annexation Area. If and to the extent possible such services shall be provided in common within the District and the Future Annexation Area. SPECIAL TAXES SECTION 7. It is the further intention of this City Council body that, except where funds are otherwise available, a special tax sufficient to pay for such services and related incidental expenses authorized by the Connnunity Facilities District Law, secured by recordation of a continuing lien against all non-exempt real property in the Future Annexation Area, will be levied annually within the boundaries of such Future Annexation Area. For further particulars as to the rate and method of apportiomnent of the proposed special tax, reference is made to the attached and incorporated Attachment A (the "Special Tax Formula"), which sets tbrth in sufficient detail the method of apportionment to allow each landowner or resident within the proposed Future Annexation Area to clearly estimate the maximum amount that such person will have to pay. The special tax proposed to be levied within the Future Annexation Area for services to be supplied within the Future Annexation Area shall be equal to the special tax levied to pay for the same services in the District, except that a higher or lower special tax may be levied within the Future Annexation Area to the extent that the actual cost of providing the services in the Future Annexation Area is higher or lower than the cost of providing those services in the District. Notwithstanding the foregoing, the special tax may not be levied at a rate which is higher that the maximum special tax authorized to be levied pursuant to the Special Tax Formula. 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. The maximum special tax rate in the District shall not be increased as a result of the annexation of the Future Annexation Area to the District. EFFECTIVE DATE OF ANNEXATION SECTION 8. Annexation to the District of any parcel within the Future Annexation Area shall be effective upon the unanimous approval of the owner or owners of such parcel at the time the parcel is annexed, and no further public hearings or additional proceedings will be required to authorize such annexation. PUBLIC HEARING SECTION 9. NOTICE IS GIVEN THAT ON THE 1st DAY OF AUGUST,2000, AT THE HOUR OF 4:00 O' CLOCK P.M., IN THE REGULAR MEETiNG PLACE OF THE LEGISLATIVE BODY, BEING THE COUNCIL CHAMBERS, 276 FOURTH AVENUE, CHULA VISTA, CALIFORNIA, A PUBLIC HEARING WILL BE HELD WHERE THIS LEGISLATIVE BODY WILL CONSIDER THE AUTHORIZATION FOR THE ANNEXATION OF CERTAIN TERRITORY 1N THE FUTURE TO THE DISTRICT AND IMPROVEMENT AREA "A" THERETO, THE PROPOSED METHOD AND APPORTIONMENT OF THE SPECIAL TAX TO BE LEVIED WITHiN THE FUTURE ANNEXATION AREA AND ALL OTHER MATTERS AS SET FORTH IN THIS RESOLUTION OF INTENTION. AT SUCH PUBLIC HEARING, THE TESTIMONY OF ALL INTERESTED PERSONS FOR OR AGAINST THE ANNEXATION OF THE FUTURE ANNEXATION AREA OR THE LEVYING OF SPECIAL TAXES WITHIN THE FUTURE ANNEXATION AREA WILL BE HEARD. AT SUCH PUBLIC HEARING, PROTESTS AGAINST THE PROPOSED ANNEXATION OF THE FUTURE ANNEXATION AREA, THE LEVY OF SPECIAL TAXES WITHIN THE FUTURE ANNEXATION AREA OR ANY OTHER PROPOSALS CONTAINED iN THIS RESOLUTION MAY BE MADE ORALLY BY ANY INTERESTED PERSON. ANY PROTESTS PERTAiNiNG TO THE REGULARITY OR SUFFICIENCY OF THE PROCEEDINGS SHALL BE iN WRITiNG AND SHALL CLEARLY SET FORTH THE IRREGULARITIES OR DEFECTS TO WHICH OBJECTION IS MADE. ALL WRITTEN PROTESTS SHALL BE FILED WITH THE CITY CLERK PRIOR TO THE TIME FIXED FOR THE PUBLIC HEARING. WRITTEN PROTESTS MAY BE WITHDRAWN AT ANY TIME BEFORE THE CONCLUSION OF THE PUBLIC HEARING. MAJORITY PROTEST If (a) 50% or more of the registered voters, or six (6) registered voters, whichever is more, residing within the District, (b) 50% or more of the registered voters, or six (6) registered voters, whichever is more, residing within the Future Annexation Area, (c) owners of one-half or more of the area of land in the territory included in the District, or (d) owners of one-half or mom of the area of land in the territory included in the Future Annexation Area, file written protests against the proposed annexation of the Future Annexation Area to the District in the future and such protests are not withdrawn so as to reduce the protests to less than a majority, no further proceedings shall be undertaken for a period of one year from the date of the decision by the City Council on the issued discussed at the public hearing. NOTICE SECTION 10. Notice of the time and place of the public hearing shall be given by the City Clerk by publication in the legally designated newspaper of general cimulation, said publication pursuant to Section 6061 of the Government 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: Director of Public Works EXHIBiT~ Community Facilities District No. 97-2 July 1, 1998 Page 6 Part IV - Rate and Method of Apportionment of Special Taxes ANNUAL TAX A Special Tax shall be levied annually on each Parcel of land within the Preserve Maintenance District, Community Facilities District No. 97-2 of the City of Chula Vista (the "Distri~"), and collected according to the Special Tax Liability determined by the City of Chula Vista (the "City") through the application of the following procedures. All of th~ property within the District, unless otherwise exempted by law or the express provisions of the rate and method of apportionment expressed below, shall be taxed to the extent and in the manner provided below. All Parcels within the District are included within either Improvement Area A or improvement Area B. A map of the Improvement areas is included as Exhibit B. All Special Taxes applicable to Parcels~be collected in the same manner and at the same time as ordinary ad valorem property taxes, and Special Taxes so levied will be subject to the same penalties and procedures, sale and lien priority in case of delinquency as is provided for ad valorem taxes. DEFINITIONS Acre or Acreage means the area of a Parcel as shown on the latest maps of the Assessor of the County of San Diego, or if the area of such Parcel is not shown on such Assessor's maps, the area as shown on a current recorded subdivision map, parcel map, record of survey or other recorded document creating or describing the Parcel. If the preceding maps are not available, the area shatl be determined by the City Engineer. Administrative Expenses means the direct and indirect expenses incurred by the City in carrying out its duties with respect to the District (including, but not limited to, the levy and collection of the special taxes) including the fees and expenses of its counsel, any fees of the County related to the District or the collection of special taxes, an allocable share of the salaries of City staff directly related thereto and a proportionate amount of the City's general administrative overhead related thereto, any amounts paid by the City from its general fund with respect to the District, and all other costs and expenses of the City related to the District. Building Square Foot or Square Footage means the square footage as shown on a Parcel's building permit, excluding garages or other structures not used as living space. City means the City of Chuia Vista. M:\$project\ch ulavis\psrvmainS.doc T Community Facilities District No. 97-2 July 1, 1998 Page 9 Preserve Operations and Maintenance Fund Requirement means for any Fiscal Year an amount applicable to Improvement Area A equal to the budgeted costs for Preserve Operations and Maintenance plus a pro-rata share of the budgeted Administrative Expenses of the District for the current Fiscal Year in which Special Taxes are levied. Residential Parcels shall include each Parcel within the District which is zoned for Residential Uses by the City. R~Sidential Uses shall include those residential uses as permitted in the City zoning ordinance. Reserve Fund means a fund that shall be maintained for each Improvement Area to provide necessary cash flow for the first six months of each Fiscal Year, working capital to cover monitoring, maintenance and repair cost overruns and delinquencies that may arise in connection with the collection of Special Taxes and a reasonable buffer against large variations in annual special tax amounts. Reserve Fund Balance means the amount of funds in the Reserve Fund at the end of the preceding Fiscal Year. Reserve Fund Requirement means an amount equal to up to 100% of the Operating Fund Requirement for any Fiscal Year. Resource Monitoring Program means those activities defined in Part II B. of the Special Tax Report dated July 1, 1998 for Community Facilities District No. 97-2 of the City of ChuJa Vista. Resource Monitoring Fund Requirement means for any Fiscal Year an amount for each improvement Area equal to the Improvement Area's fair share of the budgeted costs of the Resource Monitoring Program plus a pro rata share of the budgeted Administrative Expenses of the District for the current Fiscal Year in which Special Taxes are levied. An Improvement Area's "fair share" shall be based upon the Improvement Area's percentage of the total acreage within the Otay Ranch General Development Plan Planning Area for which a Resource Monitoring Program funding mechanism has been established. Special Tax means the special tax or special taxes actually levied within CFD No. 97-2 each Fiscal Year. Special Tax Liability for any Fiscal Year is an amount sufficient to pay the costs of an Improvement Area within the District equal to: (i) the Resource Monitoring Fund Requirement, and Preserve Operations and Maintenance Fund Requirement, less the Operating Fund Balance, and (ii) the Reserve Fund Requirement, less the Reserve -. Fund Balance. M:LSproject\chula vis\[~srvm ain 8.doc CommUnity Facilities District No. 97-2 July 1, 1998 Page 10 Tax Categories are those Categories I, II and III described in the body hereof. Taxable Property is all real property or Parcels within the boundaries of the District which are not exempt from the Special Tax pursuant to the law or which are not classified or assigned to the Exempt Category as defined herein. Cateqories of Special Taxes c t;gory Category I includes each Developed Parcel within the District. (Category I) The Maximum Special Tax for Resource Monitoring, and Preserve Operations and Maintenance that may be levied for Fispal Year 1998/99 on each Developed Parcel shall be at the rates set forth in Table 1 below. For Residential Parcels the Special Tax shall be levied based upon Building Square Footage and for Non-Residential Parcels shall be levied based on Acreage. The Maximum Speciat Tax shall be increased or decreased each Fiscal Year thereafter by a factor which is the lesser of the annual percentage change in the January to January San Diego Metropolitan Area All Urban Consumer Price Index (All Items) or the annual percentage change in the estimated California Fourth Quarter Per Capita Personal Income as contained in the Governor's budget published every January. TABLE 1 Maximum Special Tax Category I Resource Operation & Monitoring Maintenance Residential Parcels $0,0049 per sq. ft. $0.0078 per sq. ft. Non-Residential Parcels $80.96 per Acre $128.53 per Acre Category II Category II includes each Parcel of Taxable Property within the District for which a Final Map has been recorded, but which is not classified as a Developed Parcel (Category II). The Maximum Special Tax for Resource Monitoring, and Preserve Operations and Maintenance that may be levied for Fiscal Year 1998/99 on each Parcel in Category II shall be as shown in Table 2 below (said amount to be levied pro rata for any portion of an Acre). Said Maximum Special Tax shall be increased or decreased each Fiscal Year thereafter by a factor which is the lesser of the annual percentage change in the January to January San Diego Metropolitan Area All Urban Consumer Price Index (A. II . Items) or the annual percentage change in the estimated California Fourth Quarter Per M:\$Droiect\chld~vi~\n~rvm~inF~ dn~ Community Facilities District No. 97-2 July 1, 1998 Page 11 Capita Personal Income as contained in the Governor's budget published every January. TABLE 2 Maximum Special Tax Category II Resource Operation & Monitoring Maintenance $80.96 per Acre $128.53 per Acre Category III Category III includes each Parcel of Taxable Property within the District not subject to a Special Tax under any other category ("Category liP), The Maximum Special Tax which may be levied for Fiscal Year 1998/99 on Taxable Property within Category III shall be as shown in Table 3 below (said amount to be levied pro rata for any portion of an'Acre): Said Maximum Special Tax shall be increased or decreased each Fiscal Year thereafter by a factor which is the lesser of the annual percentage change in the January to January San Diego Metropolitan Area All Urban Consumer Price Index (All Items) or the annual percentage change in the estimated California Fourth Quarter Per Capita Personal Income as contained in the Governor's budget published every January. TABLE 3 Maximum Special Tax Category III Resource Operation & Monitoring Maintenance $51.21 per Acre $81.30 per Acre Exempt Category The Exempt Category includes each property owned, conveyed or irrevocably offered for dedication to a public agency, or land which is in the public right-of-way, unmanned utility easements which make utilization for other than the purpose set forth in the easement impractical, common areas, private streets and parks, and open space lots ("Exempt Category"). Assi,qnment to Cate,qories of Special Tax On or about July 1 of each year, (but in any event in sufficient time to include the levy of the Special Taxes on the County's secured tax roll), the City shall assign each Parcel within the District to Category 1, Category II, Category III or the Exempt Category. Parcels subject to levy shall be determined based upon the records of the San Diego County Assessor. M:~$project\chulavis\psrvmain8.doc '~"-~' ' / ~ Community Facilities District No. 97-2 July 1, 1998 Page 12 Levy and Apportionment of Special Taxes The City shall determine the Special Tax Liability for each Improvement Area in each Fiscal Year on or about every July 1. Special Taxes shall then be levied on each Parcel classified as the Category I, Category II, or Category III in the following order of priority:' Improvement Area A St~l~ 1: Determine the revenue which could be generated by Parcels assigned to Category I by multiplying the Building Square Footage for Parcels classified as Residential Parcels by the Maximum Special Tax per Building Square Foot for Resource Monitoring, and Preserve Operations and Maintenance for Parcels and adding to that the maximum revenue which could be generated by multiplying the total acres for Parcels classified as Non-Residential Parcels by the Maximum Special Tax per Acre for Resource Monitoring and Preserve Operations and Maintenance. Step 2: If the total revenue as calculated in Step 1 is greater than the estimated Special Tax Liability for Improvement Area A, reduce the Special Tax for each Parcel proportionately so that the Special Tax levy for the Fiscal Year is equal to the Special Tax Liability for the Fiscal Year. Step 3: If the total revenue as calculated in Step I is less than the Special Tax LiabiJity for Improvement Area A, a Special Tax shall be levied upon each Parcel within Improvement Area A, classified as Category Il. The Special Tax for Parcels assigned to Category II shall be calculated as the lessor of: (i) The Special Tax Liability for Improvement Area /~ as determined by the City, less the total revenue generated for all Parcels under Step 1 above, divided by the total Acres for all Parcels within Improvement Area A assigned to Category II, OR (ii) the Maximum Special Tax rate for Parcets assigned to Category II Step 4: If the total revenue as calculated in Step 1 and 3 is less than the Special Tax Liability, for Improvement Area A, a Special Tax shall be levied upon each Parcel within Improvement Area A classified as Category Ill. The Special Tax for Parcels assigned to Category III shall be calculated as the lessor of: (i) The Special Tax Liability for Improvement Area A as determined by the City, less the total revenue generated for all Parcels under Step 1 and 3 above, divided by the total Acres for all Parcels within Improvement Area A assigned to Category III, ~.-~,--~. ? / Community Facilities District No. 97-2 July 1, 1998 Page 13 OR (ii) the Maximum Special Tax rate for Parcels assigned to Category Ill and within Improvement Area A. However, in the event it is determined that the Special Tax Liability for Improvement Area A includes delinquent Special Taxes from Parcels in Category III from the prior Fiscal Year, the City shall determine the amount of delinquent taxes that arose from such Parcels and identify the owner(s). The amount of delinquent Special Taxes, if any, that arose from the applicable owner(s) shall first be divided by the total Category III Acres owned by such owner(s) and collected from the applicable owner(s) with the remaining portion of the Special Tax Liability not related to delinquent Special Taxes to be collected from all Parcels in Category III according to the procedure set forth in the preceding paragraph. Improvement Area B Step 1: Determine the revenue which could be generated by Parcels assigned to Improvement Area B for Resource Monitoring by multiplying the total Acres for Parcels assigned to Category III by the Maximum Special Tax for Category III. Step 2: If the total revenue as calculated in Step 1 is greater than the Special Tax Liability for Improvement Area B, reduce the Special Tax for each Parcel proportionately so that the Special Tax levy for the Fiscal Year is equal to the Special Tax Liability for Improvement Area B for the Fiscal Year. However, in the event it is determined that the Special Tax Liability for Improvement Area B includes delinquent Special Taxes from Parcels in Category Ill from the prior Fiscal Year, the City shall determine the amount of delinquent taxes that arose from such Parcels and identify the owner(s). The amount of delinquent Special Taxes, if any, that arose from the applicable owner(s) shall first be divided by the total Category III Acres owned by such owner(s) and collected from the applicable owner(s) with the remaining portion of the Special Tax Liability not related to delinquent Special Taxes to be collected from all Parcels in Category III according to the procedure set forth in the Step 1 and Step 2 above. M:~;project\chulavis~psrvmain 8.doc APPENDIX A COUNCIL AGENDA STATEMENT Item ~ Meeting Date 6~20~00 ITEM TITLE: Resolution Approving agreement for landscape architectural services for various CIP park projects and directing Mayor to execute said agreement / SUBMITFED BY: Director of Public Works ~ REVIEWED BY: City Manager ~'~ (4/5ths vote: Yes No X ) Various small CIP Park Improvement Projects were approved by Council under the Capital Improvement Program approved by Council on June 15, 1999. The City's Landscape Architect staff current workload does not permit staff to do the required design, construction documents and other related services for the projects. The Public Works Department is requesting Council's approval of an agreement between the City and Van Dyke LLP for landscape architectural services for the Feaster School Improvement project, playground renovations at Valle Lindo Park, Los Ninos Park, Tiffany Park, Lancerlot Park, and the renovation of Connoley Park. The design phase will be completed by December 2000. Construction will begin in January 2001. There are sufficient funds appropriated in the respective CIP projects to complete the necessary services for these improvements. RECOMMENDATION: That Council adopt the resolution approving the contractual agreement with Van Dyke LLP for landscape architectural services for various park CIP projects. BOARDS & COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: In the FY 99/00 Capital Improvement Program, Council approved the funding of the following park projects: 1. PR 215 Connoley Park Renovation. Connoley Park is over 25 years old and in need of major renovation to the turf, slopes, playground equipment and park fencing. The park serves a high- density area. 2. PR 222 Feaster School Playground Renovation. The City of Chula Vista and the Chula Vista School District are funding an improvement project at the Feaster School playground. The project includes new turf and irrigation for approximately 2 acres, additional playground equipment, restroom and storage area for the after school program. 3. PR 225 Tiffany Park Playground Renovation. The project includes a new tot lot with playground equipment that is handicap accessible. 4. PR 228 Playground Equipment Renovation. The City has provided funds for the past three years to renovate old playgrounds throughout the City to make them safe and compliant with the Americans with Disabilities Act. This year, the playgrounds at Los Ninos, Valle Lindo and Lancerlot Parks are scheduled for renovation. Page 2, Item __ Meeting Date 6/20/00 The RFP Process Originally, these park improvement projects were scheduled to be designed by the in-house landscape architect section. However, the workload of the section precluded completion of the projects in a timely manner. The landscape section did not project reimbursement of the General Fund for new staff to design the projects. The Department began the Request for Proposals (RFP) process in September 1999 and followed Municipal Code 2.56, Ordinance 2517, and Council Policy 102-05 to select a Landscape Architect for these projects. RFP's were sent to the ten (10) landscape architecture firms who had previously done work for the Department. Four firms responded by the deadline date. Selection Committee During the interim period before receiving the RFP's, a selection committee, as required by the City's Consultant Selection Policy, was formed. The three members were: Jerry Foncerrada, Deputy Director/Parks; Joe Gamble, Landscape Planner; David Dow, Maintenance Superintendent, Chula Vista School District. The Committee members were provided with individual copies of the four responses. The Committee reviewed the proposals and evaluated the proposals. The four firms were invited to make an oral presentation to the Committee on November 4, 1999. An evaluation sheet was used to determine: 1. Related project experience 2. Ability to perform work 3. Understanding of the project scope 4. Management techniques to be used 5. Sub-consultants that will be employed 6. Time schedule 7. Financial controlling methods At the conclusion 0f the interviews, the Committee ranked the firms in the following order: Name Oriqinal Cost Estimate 1. Van Dyke LLP $ 83,000 2. Marques/Kulken 65,500 3. Schmidt Design Group 107,000 4. DeLorenzo Inc. 71,000 Although the cost estimate was higher than two of the proposals, cost is not the determining factor in the consultant selection. Van Dyke's proposal of the scope of work required for the four projects was thorough and more comprehensive then the other proposals. It was the consensus of the Selection Committee to recommend that the City enter into negotiations with Van Dyke LLP. The Agreement The proposed agreement (Attachment A) with Van Dyke LLP uses the City's standard two-party agreement. Under this agreement, Van Dyke LLP agrees to perform the scope of work as outlined in Exhibit "A" to the agreement. This section details what is required ofthe firm during the design and construction document phases of the project. This agreement has been approved as to form by the City Attorney's office. Page 3, Item __ Meeting Date 6/20/00 The final negotiated fee for the four projects was: · Base Park Prelects 1. Connoley Park $ 22,830 2. Feaster School 30,000 3. Tiffany Park 9,570 4. Playground Renovations 19,300 Subtotal $ 81,700 · Supplemental Services 1. Civil Engineering at Conneley $ 2,500 2. Civil Survey at Feaster 5,000 3. Electrical at Connoley/Feaster 4,000 4. Misc. Survey 1,000 Subtotal $12,500 · Reimbursable Expense $ 3,000 TOTAL $97~200 The supplemental services will only be used if necessary. FISCAL IMPACT: The final negotiated fixed fee is $ 97,200. Funds are available in PR 215, PR 222, PR 225, PR 228 for the design cost for the various park projects. These projects are funded with PAD, Block Grant, and State Grant monies. Attachment (A): Two Party Agreement H:\SHARED\Public Works Operations~A-113 Park Project Revised.doc RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AGREEMENT FOR LANDSCAPE ARCHITECTURAL SERVICES FOR VARIOUS CIP PARK PROJECTS AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT WHEREAS, various small CIP Park Improvement Projects were approved by Council under the Capital Improvement Program approved by Council on June 15, 1999; and WHEREAS, the City's Landscape Architect staff's current workload does not permit staff to do the required design, construction documents and other related services for the projects; and WHEREAS, staff is re~uestlng Council's approval of an agreement between the City and Van Dyke LLP for landscape architectural services for the Feaster School Improvement project; playground renovations at Valle Lindo Park, Los Ninos Park, Tiffany Park, Lancerlot Park, and the renovation of Connoley Park; and WHEREAS, the design phase will be completed by December, 2000 and construction will begin in January, 2001. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby approve an agreement for landscape architectural services with Van Dyke LLP for various CIP park projects, 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 John P. Lippitt John M. Kahe~y Director of Public Works City Attorney IH: \HOME~ATTOR~EY~RESO~Van Dyke landscape architect agreement {June 14 , 2000 { 11: 48am) Parties and Recital Page(s) Agreement between City of Chula Vista and Van Dyke LLP for Landscape Architectural Services. This agreement dated June 20, 2000 for the purposes of reference only, and effective as of the date last executed unless another date is otherwise specified in Exhibit A, Paragraph 1 is between the City-related entity as is indicated on Exhibit A, paragraph 2, as such ("city"), whose business form is set forth on Exhibit A, paragraph 3, and the entity indicated on the attached Exhibit A, paragraph 4, as Consultant, whose business form is set forth on Exhibit A, paragraph 5, and whose place of business and telephone numbers are set forth on Exhibit A, paragraph 6 ("Consultant"), and is made with. reference to the following facts: Recitals Whereas, City desires Landscape Architectural Services for various park improvement project; and, Whereas, Consultant is a registered Landscape Architect and, Whereas, Consultant warrants and represents that they are experienced and staffed in a manner such that they are and can prepare and deliver the services required of Consultant to city within the time frames herein provided all in accordance with the terms and conditions of this Agreement; NOW, THEREFORE, BE IT RESOLVED that the City and Consultant do hereby mutually agree as follows: 1. Consultant's Duties A. General Duties 2ptyl3.wp Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 1 Consultant shall perform all of the services described on the attached Exhibit A, Paragraph 7, entitled "General Duties"; and, B. Scope of Work and Schedule In the process of performing and delivering said "General Duties", Consultant shall also perform all of the services described in Exhibit A, Paragraph 8, entitled" Scope of Work and Schedule", not inconsistent with the General Duties, according to, and within the time frames set forth in Exhibit A, Paragraph 8, and deliver to City such Deliverables as-are identified in Exhibit A, Paragraph 8, within the time frames set forth therein, time being of the essence of this agreement. The General Duties and the work and deliverables required in the Scope of Work and Schedule shall be herein refer~ed to as the "Defined Services" Failure to complete the Defined Services by the times indicated does not, except at the option of the City, operate to terminate this Agreement. C. Reductions in Scope of Work City may independently, or upon request from Consultant, from time to time reduce the Defined Services to be performed by the Consultant under this Agreement. Upon doing so, City and Consultant agree to meet in good faith and confer for the purpose of negotiating a corresponding reduction in the compensation associated with said reduction. D. Additional Services In addition to performing the Defined Services herein set forth, City may require Consultant to perform additional ~ consulting services related to the Defined Services ("Additional Services"), and upon doing so in writing, if they are within the scope of services offered by Consultant, Consultant shall perform same on a time and materials basis at the rates set forth in the "Rate Schedule" in Exhibit A, Paragraph 11 (C), unless a separate fixed fee is otherwise agreed upon. All compensation for Additional Services shall be paid monthly as billed. 2ptyl3.wp Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 2 E. Standard of Care Consultant, in performing any Services under this agreement, whether Defined Services or Additional Services, shall perform in a manner consistent with that level of care and skill ordinarily exercised by members of the profession currently practicing under similar conditions and in similar locations. F. Insurance Consultant represents that it and its agents, staff and sub consultants employed by it in connection with the Services required to be rendered, are p~ptected against the risk of loss by the following insurances coverage, in the following categories, and to the limits specified, policies of which are issued by Insurance Companies that have a Best's Rating of "A, Class V" or better, or shall meet with the approval of the City: Statutory Worker's Compensation Insurance and Employer's Liability Insurance coverage in the amount set forth in the attached Exhibit A, Paragraph 9. Commercial General Liability Insurance including Business Automobile Insurance coverage in the amount set forth in Exhibit A, Paragraph 9, combined single limit applied separately to each project away from premises owned or rented by Consultant, which names City as an Additional Insured, and which is primary to any policy which the City may otherwise carry ("Primary Coverage"), and which treats the employees of the City in the same manner as members of the general public ("Cross-liability Coverage").~ Errors and Omissions insurance, in the amount set forth in Exhibit A, Paragraph 9, unless Errors and Omissions coverage is included in the General Liability policy. G. Proof of Insurance Coverage. 2ptyl3.wp Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 3 (1) Certificates of Insurance. Consultant shall demonstrate proof of coverage herein required, prior to the commencement of services required under this Agreement, by delivery of Certificates of Insurance demonstrating same, and further indicating that the policies may not be canceled without at least thirty (30) days written notice to the Additional Insured. (2) Policy Endorsements Required. In order to demonstrate the Additional Insured Coverage, Primary Coverage and Cross-liabil{ty Coverage required under Consultant's Commercial General Liability Insurance Policy, Consultant shall deliver a policy endorsement to the City demonstrating same, which shall be reviewed and approved by the Risk Manager. ~, ~ H. ~ecurity for Performance. (1) Performance Bond. In the event that Exhibit A, at Paragraph 19, indicates the need for Consultant to provide a Performance Bond (indicated by a check mark in the parenthetical space immediately preceding the subparagraph entitled "Performance Bond"), then Consultant shali provide to the City a performance bond by a surety and in a form and amount satisfactory to the Risk Manager or City Attorney which amount is indicated in the space adjacent to the term, "Performance Bond", in said Paragraph 19, Exhibit A. (2) Letter of Credit. In the event that Exhibit A, at Paragraph 19, indicates the need for Consultant to provide a Letter of Credit (indicated by a check mark in the parenthetical space immediately preceding the subparagraph entitled "Letter of Credit"), then Consultant shall provide to the City an irrevocable letter of credit callable by the City at their unfettered discretion by submitting to the bank a letter, signed by the City Manager, stating that the Consultant is in breach of the terms of this Agreement. The 2ptyl3.wp Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 4 letter of credit shall be issued by a bank, and be in a form and amount satisfactory to the Risk Manager or City Attorney which amount is indicated in the space adjacent to the term, "Letter of Credit", in said Paragraph 19, Exhibit A. (3) Other Security In the event that Exhibit A, at Paragraph 19, indicates the need for Consultant to provide security other than a Performance Bond or a Letter of Credit (indicated by a check mark in the parenthetical space immediately preceding the subparagraph entitled "Other Security"), then Consultant shall provide to the City such other security therein listed in % form and amount satisfactory to the Risk Manager or City Attorney. I. Business License Consultant agrees to obtagn a~business license from the City and to otherwise comply with Title 5 of the Chula Vista Municipal Code. 2. Duties of the city A. Consultation and Cooperation City shall regularly consult the Consultant for the purpose of reviewing the progress of the Defined Services and Schedule therein contained, and to provide direction and guidance to achieve the objectives of this agreement. The city shall permit access to its office facilities, files and records by Consultant throughout the term of the agreement. In addition thereto, City agrees to provide the information, data, items and materials set forth on Exhibit A, Paragraph 10, and with the further understanding that delay in the provision of these materials beyond 30 days after authorization to proceed, shall consti~ute a basis for the justifiable delay in the Consultant's performance o~ this agreement. B. Compensation Upon receipt of a properly prepared billing from Consultant submitted to the City periodically as indicated in Exhibit A, 2ptyl3.wp Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 5 Paragraph 18, but in no event more frequently than monthly, on the day of the ~eriod indicated in Exhibit A, Paragraph 18, City shall compensate Consultant for all services rendered by Consult- ant according to the terms and conditions set forth in Exhibit A, Paragraph 11, adjacent to the governing compensation relationship indicated by a "checkmark" next to the appropriate arrangement, subject to the requirements for retention set forth in paragraph 19 of Exhibit A, and shall compensate Consultant for out of pocket expenses as provided in Exhibit A, Paragraph 12. All billings submitted by Consultant shall contain sufficient information as to the propriety of the billing to permit the City to evaluate that the amount-due and payable thereunder is proper, and shall specifically contain the city's account number indicated on Exhibit A, Paragraph 18 (C) to be charged upon making such payment. 3. Administration of Contract Each party designates the individuals ("Contract Administrators") indicated on Exhibit A, Paragraph 13, as said party's contract administrator who is authorized by said party to represent them in the routine administration of this agreement. 4. Term. This Agreement shall terminate when the Parties have complied with all executory provisions hereof. 5. Liquidated Damages The provisions of this section apply if a Liquidated Damages Rate is provided in Exhibit A, Paragraph 14. It is acknowledged by both parties that time is of essence in the completion of this Agreement. It is difficult to estimate the amount of damages resulting from delay in per- formance. The parties have used their judgment to arrive at a reasonable amount to compensate for delay. Failure to complete the Defined Services within the allotted time period specified in this Agreement shall result in the 2ptyl3.wp Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 6 following penalty: For each consecutive calendar day in excess of the time specified for the completion of the respective work assignment or Deliverable, the consultant shall pay to the City, or have withheld from monies due, the sum of Liquidated Damages Rate provided in Exhibit A, Paragraph 14 ("Liquidated Damages Rate"). Time extensions for delays beyond the consultant's control, other than delays caused by the City, shall be requested in writing to the City's Contract Administrator, or designee, prior to the expiration of the specified time. Extensions of time, when granted, will be based upon the effect of delays to the work and will not be granted for delays to minor-portions of work unless it can be shown that such delays did or will delay the progress of the work. 6. Financial Interests of Consultant A. Consultant is Designated as an FPPC Filer. If Consultant is designated on Exhibit A, Paragraph 15, as an "FPPC filer", Consultant is deemed to be a "Consultant" for the purposes of the Political Reform Act conflict of interest and disclosure provisions, and shall report economic interests to the City Clerk on the required Statement of Economic Interests in such reporting categories as are specified in Paragraph 15 of Exhibit A, or if none are specified, then as determined by the City Attorney. B. Decline to Participate. Regardless of whether Consultant is designated as an FPPC Filer, Consultant shall not make, or participate in makingar in any way attempt to use Consultant's position to influence a gbvernmental decision in which Consultant knows or has reason to know Consultant has a financial interest other than the compensation promised by this Agreement. C. Search to Determine Economic Interests. 2ptyl3.wp Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 7 Regardless of whether Consultant is designated as an FPPC Filer, Consultant warrants and represents that Consultant has diligently conducted a search and inventory of Consultant's economic interests, as the term is used in the regulations promulgated by the Fair Political Practices Commission, and has determined that Consultant does not, to the best of Consultant's knowledge, have an economic interest which would conflict with Consultant's duties under this agreement. D. Promise Not to Acquire Conflicting Interests. Regardless of whether Consultant is designated as an FPPC Filer, Consultant further warrants and represents that Consultant will not acquire, obtain, or assume an economic interest during the term of this Agreement which would constitute a conflict of interest as prohibited by the Fair Political Practices Act. E. Duty to Advise of Conflicting Interests. Regardless of whether Consultant is designated as an FPPC Filer, Consultant further warrants and represents that Consultant will immediately advise the City Attorney of City if Consultant learns of an economic interest of Consultant's which may result in a conflict of interest for the purpose of the Pair Political Practices Act, and regulations promulgated thereunder. F. Specific Warranties Against Economic Interests. Consultant warrants and represents that neither Consultant, nor Consultant's immediate family members, nor Consultant's employees or agents ("Consultant Associates") presently have any interest, directly or indirectly, whatsoever in any property which may be the subject matter of the Defined Services, or in any property within 2 radial miles from the exterior boundaries of any property which may be the subject matter of the Defined Services, ("Prohibited Interest"), other than as listed in Exhibit A, Paragraph 15. Consultant further warrants and represents that no promise of future employment, remuneration, consideration, gratuity or other reward or gain has been made to Consultant or Consultant 2ptyl3.wp Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 8 Associates in connection with Consultant's performance of this Agreement. Consultant promises to advise City of any such promise that may be made during the Term of this Agreement, or for 12 months thereafter. Consultant agrees that Consultant Associates shall not acquire any such Prohibited Interest within the Term of this Agreement, or for 12 months after the expiration of this Agreement, except with the written permission of City. Consultant may not conduct or solicit any business for any party to this Agreement, or for any third party which may be in conflict with Consultant's responsibilitie~ under this Agreement, except with the written permission of City. 7. Hold Harmless Consultant shall defend, indemnify, protect and hold harmless the City, its elected and appointed officers and employees, from and against all claims for damages, liability, cost and expense (including without limitation attorneys' fees) arising out of the conduct of the Consultant, or any agent or employee, subcontractors, or others in connection with the execution of the work covered by this Agreement, except only for those claims arising from the negligence or willful misconduct of the City, its officers, or employees. Consultant's indemnification shall include any and all costs, expenses, attorneys' fees and liability incurred by the city, its officers, agents, or employees in defending against such claims, whether the same proceed to judgment or not. Further, Consultant at its own expense shall, upon written request by the city, defend any such suit or action brought against the City, its officers, agents, or employees. Consultants' indemnification of City shall not be limited by any prior or subsequent declaration by t~e Consultant. 8. Termination of Agreement for Cause If, through any cause, Consultant shall fail to fulfill in a timely and proper manner Consultant's obligations under this Agreement, or if Consultant shall violate any of the covenants, 2ptyl3.wp Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 9 agreements or stipulations of this Agreement, City shall have the right to terminate this Agreement by giving written notice to Consultant of such termination and specifying the effective date thereof at least five (5) days before the effective date of such termination. In that event, all finished or unfinished documents, data, studies, surveys, drawings, maps, reports and other materials prepared by Consultant shall, at the option of the City, become the property of the City, and Consultant shall be entitled to receive just and equitable compensation for any work satisfactorily completed on such documents and other materials up to the effective date of Notice of Termination, not to exceed the amounts payable hereunder, and less any damages caused City by Consultant's breach. 9. Errors and Omissions In the event that the City Administrator determines that the Consultants, negligence, errors,' or omissions in the performance of work under this Agreement has resulted in expense to city greater than would have resulted if there were no such negligence, errors, omissions, Consultant shall reimburse City for any additional expenses incurred by the City. Nothing herein is intended to limit City's rights under other provisions of this agreement. 10. Termination of Agreement for Convenience of City City may terminate this Agreement at any time and for any reason, by giving specific written notice to Consultant of such termination and specifying the effective date thereof, at least thirty (30) days before the effective date of such termination. In that event, all finished and unfinished documents and other materials described hereinabove shall, at the option of the City, become City's sole and exclusive property. If the Agreemen~is terminated by City as provided in this paragraph, Consultant ~hall be entitled to receive just and equitable'~compensation for any satisfactory work completed on such documents and other materials to the effective date of such termination. Consultant hereby expressly waives any and all claims for damages or compensation arising under this Agreement except as set forth herein. 2ptyl3.wp Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 10 11. Assignability The services of Consultant are personal to the City, and Consultant shall not assign any interest in this Agreement, and shall not transfer any interest in the same (whether by assignment or novation), without prior written consent of City. City hereby consents to the assignment of the portions of the Defined Services identified in Exhibit A, Paragraph 17 to the subconsultants identified thereat as "Permitted Subconsultants". 12. Ownership, Publication, Reproduction and Use of Material Ail reports, studies, information, data, statistics, forms, designs, plans, procedures, systems and any other materials or properties produced under this Agreement shall be the sole and exclusive property of City. Na such materials or properties produced in whole or in part under this Agreement shall be subject to private use, copyrights or patent rights by Consultant in the United States or in any other country without the express written consent of City. City shall have unrestricted authority to publish, disclose (except as may be limited by the provisions of the Public Records Act), distribute, and otherwise use, copyright or patent, in whole or in part, any such reports, studies, data, statistics, forms or other materials or properties produced under this Agreement. 13. Independent Contractor City is interested only in the results obtained and Consultant shall perform as an independent contractor with sole control of the manner and means of performing the services required under this Agreement. City maintains the right only to reject or accept Consultant's work products. Consultant an~any of the Consultant's agents, employees or representatives are, for all purposes under this Agreement, an independent contractor and shall not be deemed to be an employee of City, and none of them shall be entitled to any benefits to which City employees are entitled including but not limited to, overtime, retirement benefits, worker's compensation benefits, injury leave or other leave benefits. Therefore, City will not withhold state or 2ptyl3.wp Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 11 federal income tax, social security tax or any other payroll tax, and Consultant shall be solely responsible for the payment of same and shall hold the City harmless with regard thereto. 14. Administrative Claims Requirements and Procedures No suit or arbitration shall be brought arising out of this agreement, against the City unless a claim has first been presented in writing and filed with the city and acted upon by the City in accordance with the procedures set forth in Chapter 1.34 of the Chula vista Municipal Code, as same may from time to time be amended, the provisions of which are incorporated by this reference as if fully set forth herein, an~ such policies and procedures used by the city in the implementation of same. Upon request by City, Consultant shall meet and confer in good faith with City for the p~rpos~ of resolving any dispute over the terms of this Agreement.. 15. Attorney's Fees Should a dispute arising out of this Agreement result in litigation, it is agreed that the prevailing party shall be entitled to a judgment against the other for an amount equal to reasonable attorney's fees and court costs incurred. The "prevailing party" shall be deemed to be the party who is awarded substantially the relief sought. 16. Statement of Costs In the event that Consultant prepares a report or document, or participates in the preparation of a report or document in performing the Defined Services, Consultant shall include, or cause the inclusion of, in said report or document, a statement of the numbers and cost in dollar amounts of all contracts~and subcontracts relating to the preparation of the report or document. 17. Miscellaneous A. Consultant not authorized to Represent City 2ptyl3.wp Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 12 Unless specifically authorized in writing by City, Consult- ant shall have no authority to act as city's agent to bind City to any contractual agreements whatsoever. B. Consultant is Real Estate Broker and/or Salesman If the box on Exhibit A, Paragraph 16 is marked, the Consultant and/or their principals is/are licensed with the State of California or some other state as a licensed real estate broker or salesperson. Otherwise, Consultant represents that neither Consultant, nor their principals are licensed real estate brokers or salespersons. C. Notices All notices, demands or requests provided for or permitted to be given pursuant to this Agreement must be in writing. All notices, demands and requests to be sent to any party shall be deemed to have been properly given or served if personally served or deposited in the United States mail, addressed to such party, postage prepaid, registered or certified, with return receipt requested, at the addresses identified herein as the places of business for each of the designated parties. D. Entire Agreement This Agreement, together with any other written document referred to or contemplated herein, embody the entire Agreement and understanding between the parties relating to the subject matter hereof. Neither this Agreement nor any provision hereof may be amended, modified, waived or discharged except by an instrument in writing executed by the party against which enforcement of such amendment, waiver or discharge is sought. E. Capacity of Parties 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 or other actions have been taken so as to enable it to enter into this Agreement. 2ptyl3.wp Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 13 F. Governing Law/Venue This Agreement shall be governed by and construed in accordance with the laws of the State of california. Any action arising under or relating to this Agreement shall be brought only in the federal or state courts located in San Diego County, State of California, and if applicable, the City of Chula Vista, or as close thereto as possible. Venue for this Agreement, and performance hereunder, shall be the City of Chula Vista. [end of page. next page is signature page.] 2ptyl3.wp Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 14 Signature Page to Agreement between City of Chula Vista and Van Dyke LLP for Landscape Architectural Services IN WITNESS WHEREOF, City and Consultant have executed this Agreement thereby indicating that they have read and understood same, and indicate their full and complete consent to its terms: Dated: June 20, 2000 City of Chula Vista by: Shirley Horton, Mayor Attest: Susan Bigelow, City Clerk ~ Approved as to form: John M. Kahen~/,~City Attorney Dated: Van Dyke LLP Thomas G.~ Dyke, Exhibit List to Agreement ( ) Exhibit A. 2ptyl3.wp Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 15 Exhibit A to Agreement between City of Chula Vista and Van Dyke LLP 1. Effective Date of Agreement: June 20, 2000 2. City-Related Entity: (x) City of Chula Vista, a municipal chartered corporation of the State of California ( ) Redevelopment Agency of the City of Chula Vista, a political subdivisioh~ of the State of California ( ) Industrial Development Authority of the City of Chula Vista, a ( ) Other: , a [insert business form] ("City") 3. Place of Business for City: City of Chula Vista, 276 Fourth Avenue, Chula Vista, CA 91910 4 Consultant: Thomas G. Van Dyke ASLA ~ Dan Jenkins, Project Manager Van Dyke LLP 5. Business Form of Consultant: ( ) Sole Proprietorship (x) Partnership 2ptyl3.wp Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 16 ( ) Corporation 6. Place of Business, Telephone and Fax Number of Consultant: 2970 Fifth Ave., Suite 240 San Diego, California 92103 Voice Phone (619) 294-8484 Fax Phone (619) 574-0626 7. General Duties: Consultant shall design and document all proposed park improvements for Connoley Park Renovation, Feaster School Playground Renovation and three play areas as part of the Citywide Playground Equipment Renovation. The Consultant will collaborate with City and school staff in the planning and design of the respective parks and school improvements. 8. Scope of Work and Schedule~:~ A. Detailed Scope of Work: Site Analysis / Research The Consultan~ will perform a visual, above grade site inspection that will note existing conditions, utility boxes, American Disability Act issues and site constraints as they relate to the proposed improvements. Special consideration will be given to identify potential design and construction issues that may adversely impact the project budget. For the purposes of this proposal a visual inspection will be sufficient to understand the required project site issues in order to develop an analysis and proceed with the preliminary design phase. In addition to the above-mentioned services, Connoley P~rk improvement plans will include a civil engineering survey to identify boundary, topographic data and above-ground utilities and improvements for the project site. The citywide playground equipment renovation survey will locate existing improvements and establish benchmarks for locating future improvements. The Chula Vista Elementary School district will provide as-built documents for site analysis as 2pty13.wP Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 17 it relates to existing utilities and improvements. A conceptual cost estimate will be prepared at this stage to determine the adequacy of the budgeted funds to achieve the program goals. The completed cost estimate will be reviewed with the City of Chula Vista Park Department to develop an understanding of the potential level of improvements feasible within project budgets and possible strategies to address any projected shortages. Preliminary Design Based on the site analysis developed through the research phase, the Consultant will prepare a concept plan for the playground improvements compatible with the existing site conditions and program requirements. Play area location, configuration, play equipment ty~e, arrangement and ancillary improvements will be indicated for all play areas. Concept site plans will be developed for Connoley Park and Feaster School indicating proposed location, design and materials for all park facilities. A cost estimate will also be provided at this stage to further clarify project feasibility with identified budgets. The completed concept plans will be presented to the City of Chula Vista staff for review comment and approval prior to commencement of construction documents. In addition, one presentation each for review and comment will also be made to the Connoley Park neighborhood and the Chula Vista Elementary School District for Feaster School. Construction Documents/Working Drawings After approval by City staff of the Concept Plan, the following construction documents will be prepared: 1. Play Area Layout Plans which shall include all proposed improvements, such as walk ways, play area curbs play equipment and site furnishings. Play equipment configuration will be indicated and general dimensions shown to locate play equipment in conformance with ADA guidelines. 2pty13.wp Standard Form Two Party Agreement (Thirteenth Revision} May 25, 1999 Page 18 2. Site Layout Plans will be prepared for Feaster School and Connoley Park projects to locate proposed site improvements. 3. The Planting Plans for Feaster School and Connoley Park which shall identify the location of and all ty~es of plant material to be used and existing conditions or materials to be preserved or removed. Plant material including quantity, sizes and varieties will be indicated. 4. The Irrigation Plans for Feaster School and Connoley Park which shall layout all piping, valves, control equipment, sprinkler heads and hose outlets for irrigation of planted areas. f The construction specifications document will identify types and quality of materials and equipment to be used and will set forth explicit and concise methods of construction and/or installation or to establish the quality and character of the finished work. ~ Construction details will be provided in the construction documents to fix and graphically describe the various improvement elements of the project. ~ A final Opinion of Probable Construction Costs will be prepared. Bidding Phase The Consultant shall attend pre-bid conference and answering questions during the bidding process. The Consultant will assist the City in reviewing bids and making a determination on the most appropriate subcontractor. Construction Period Services 2ptyl3.wp Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 19 The Consultant shall visit the project as deemed necessary by the City during construction up to become generally familiar with the progress and quality of the contractors' work and to determine if the work is proceeding in accordance with the construction documents. The Consultant also will respond to "REQUEST FOR INFOP~ATION" and prepare the necessary clarifications. 2ptyl3.wp Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 20 B. Date for Commencement of Consultant Services: (x) Same as Effective Date of Agreement ( ) Other: C. Dates or Time Limits for Delivery of Deliverables: Deliverable No. 1: Site knalysis - 45 days from execution of agreement. Deliverable No. 2: Preliminary Design - 45 days from acceptance by Cit~ of Deliverable No. 1 Deliverable No. 3: Construction Documents - 60 days from acceptance by City of Deliverable No. 2 Deliverable No. 4: Bidding phase -10 days from acceptance by City of Deliverable No. 3 Date for completion of all Consultant services: December 20, 2000 9. Insurance Requirements: (x) Statutory Worker's Compensation Insurance (x) Employer's Liability Insurance coverage: $1,000,000. (x) Commercial General Liability Insurance: $1,000,000. ( ) Errors and Omissions insurance: None Required (included in Commercial General Liability coverage). (x) Errors and Omissions Insurance: $250,000 (not included in Commercial General Liability coverage). 10. Materials Required to be Supplied by City to Consultant: The City and School District shall provide a certified land survey of their respective sites, giving applicable: grades, contours, lines of streets, alleys, pavements, and adjoining property, right of ways, restrictions, easements in encroachments, zoning, deed restrictions, boundaries, and complete data pertaining to existing or proposed buildings, other 2ptyl3.wp Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 21 improvements and trees, and full information concerning available services and utility lines both public and private. 11. Compensation: A. ( ) Single Fixed Fee Arrangement. For performance of all of the Defined Services by Consultant as herein required, City shall pay a single fixed fee in the amounts and at the times or milestones or for the Deliverables set forth below: Single Fixed Fee Amount: payable as follows: Milestone or Event or Deliverable Amount or Percent of Fixed Fee ( ) 1. Interim Mon~thly ~dvances. The city shall make interim monthly advances against the compensation due for each phase on a percentage of completion basis for each given phase such that, at the end of each phase only the compensation for that phase has been paid. Any payments made hereunder shall be considered as interest free loans which must be returned to the City if the Phase is not satisfactorily completed. If the Phase is satisfactorily completed, the City shall receive credit against the compensation due for that phase. The retention amount or percentage set forth in Paragraph 19 is to be applied to each interim payment such that, at the end of the phase, the full retention has been held back from the compensation due for that phase. Percentage of completion of a phase shall be assessed in the sole and unfettered discretion by the ContrE~ts Administrator designated herein by the City, or such other person as the City Manager shall designate, but only upon such proof demanded by the City that has been provided, but in no event shall such interim advance payment be made unless the Contractor shall have represented in writing 2ptyl3.wp Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 22 that said percentage of completion of the phase has been performed by the Contractor. The practice of making interim monthly advances shall not convert this agreement to a time and materials basis of payment. B. (X) Phased Fixed Fee Arrangement. For the performance of each phase or portion of the Defined Services by Consultant as are separately identified below, City shall pay the fixed fee associated with each phase of Services, in the amounts and at the times or milestones or Deliverables set forth . Consultant shall not commence Services under any Phase, and shall not be entitled to the compensation for a Phase, unless City shall have issued a notice to proceed to Consultant as to said Phase. ~ Phase Fee for Said Phase 1.Site Analysis Research $20,000 2.Preliminary Design $24,000 3.Construction Documents $32,000 4.Bidding Period $ 3,800 5.Supplemental Services $12,500 6.Reimbursable Expenses $ 3,000 TOTAL $97,200 (X) 1. Interim Monthly Advances. The City shall make interim monthly advances against the compensation due for each phase on a percentage of completion basis for each given phase such that, at th~.end of each phase only the compensation for that phase has been paid. Any payments made hereunder shall be considered as interest free loans which must be returned to the City if the Phase is not satisfactorily completed. If the Phase is satisfactorily completed, the City shall receive 2ptyl3.wp Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 23 credit against the compensation due for that phase. The retention amount or percentage set forth in Paragraph 19 is to be applied to each interim payment such that, at the end of the phase, the full retention has been held back from the compensation due for that phase~ Percentage of completion of a phase shall be assessed in the sole and unfettered discretion by the Contracts Administrator designated herein by the City, or such other person as the City Manager shall designate, but only upon such proof demanded by the City that has been provided, but in no event shall such interim advance payment be made unless the Contractor shall have represented in writing that said percentage of completion of the phase has been performed by the Contractor. The practice of making interim monthly advances shall not convert thi.~ agreement to a time and materials basis of payment. C. ( ) Hourly Rate Arrangement For performance of the Defined Services by Consultant as herein required, City shall pay Consultant for the productive hours of time spent by Consultant in the performance of said Services, at the rates or amounts set forth in the Rate Schedule hereinbelow according to the following terms and conditions: (1) ( ) Not-to-Exceed Limitation on Time and Materials Arrangement Notwithstanding the expenditure by Consultant of time and materials in excess of said Maximum Compensation amount, Consultant agrees that Consultant will perform all of the Defined Services herein ~' required of Consultant for $ including all Materials, and other "reimbursables" ("Maximum Compensation"). (2) ( ) Limitation without Further Authorization on Time and Materials Arrangement 2ptyl3.wp Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 24 At such time as Consultant shall have incurred time and materials equal to ("Authorization Limit"), Consultant shall not be entitled to any additional compensation without further authorization issued in writing and approved by the City. Nothing herein shall preclude Consultant from providing additional Services at Consultant's own cost and expense. Rate Schedule Category of Employee Hourly of Consultant Rate Principle $125.00 Project Manager $i00.00 Sr. Landscape Architect $ 90.00 Project Landscape Architect ~ ~ $ 85.00 Support Staff $ 75.00 CAD Technician $ 65.00 Administrative $ 45.00 ) ' Hourly rates may increase by 6% for services rendered after [month], 19 if delay in providing services is caused by City. 12. Materials Reimbursement Arrangement For the cost of out of pocket expenses incurred by Consultant in the performance of services herein required, city shall pay Consultant at the rates or amounts set forth below: (x) None, the compensation includes all costs. Cost or Rate Reports, not to exceed $ Copies, not to exceed $__ : Travel, not to exceed $ : Printing, not to exceed $ : Postage, not to exceed $ Delivery, not to exceed $ : Long Distance Telephone Charges, 2ptyl3.wp Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 25 not to exceed $ Other Actual Identifiable Direct Costs: not to exceed $ : not to exceed $ _: 13 Contract Administrator city: Jerry M. Foncerrada Deputy Director of Parks 707 '~F" Street Chula Vista, Ca 91910 (619) 585-5615 Consultant: Van Dyke LLP 2970 Fifth Avenue '~ Suite 240 San Diego, Ca 92103 (619) 294-8484 Dan Jenkins, Project Manager 14. Liquidated Damages Rate: ( } $ N/A per day. ( ) Other: 15. Statement of Economic Interests, Consultant Reporting Categories, per Conflict of Interest Code: (X) Not Applicable. Not an FPPC Filer. ( } FPPC Filer 4. ( ) Category No. 1. Investments and sources of income. ( ) Category No. 2. Interests in real property. 2ptyl3.wp Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 26 Category No. 3 Investments, interest in real property and sources of income subject to the regulatory, permit or licensing authority of the department. Category No. 4. Investments in business entities and sources of income which engage in land development, construction or the acquisition or sale of real property. Category No. 5. Investments in business entities and sources of income of the type which, within the past two years, have contracted with the city of Chula Vista (Redevelopment Agency) to provide services, supplies, material~, machinery or equipment. ) Category No. 6. Investments in business entities and sources of ~ncom~ of the type which, within the past two years, have contracted with the designated employee's department to provide services, supplies, materials, machinery or equipment. ) Category No. 7. Business positions. ( ) List "Consultant Associates" interests in real property within 2 radial miles of Project Property, if any: 16. ( ) Consultant is Real Estate Broker and/or Salesman 17. Permitted Subconsultants: Sillman/Wyman, Inc.(architecture) Burkett & Wong (civil engineering) 2ptyl3.wp Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 27 Kanrad Engineering(electrical engineering) 18. Bill Processing: A. Consultant's Billing to be submitted for the following period of time: (X) Monthly B. Day of the Period for submission of Consultant's Billing: (X) First of the Month C. City's Account Number: 19. Security for Performance ) Performance Bond, $ ) Letter of Credit, $ ) Other Security: Type: Amount: $ (X) Retention. If this space is checked, then notwithstanding other provisions to the contrary requiring the payment of compensation to the Consultant sooner, the City shall be entitled to retain, at their option, either the following "Retention Percentage" or "Retention Amount" until the City determines that the Retention Release Event, listed below, has occurred: (X) Retention Percentage: 10% ( ) Retention Amount: $ Retention Release Event: ~ (X) Completion of Ail Consultant Services ( ) Other: 2ptyl3.wp Standard Form Two Party Agreement (Thirteenth Revision) May 25, 1999 Page 28 COUNCIL AGENDA STATEMENT Item 7 Meeting Date 6/20/00 ITEM TITLE: Resolution Approving Final "A" Map No. 2 for Otay Ranch SPA One Village One, Chula Vista Tract No. 96-04A. Rejecting on behalf of the Public, Santa Andrea Street, Paseo Ranchero and Olympic Parkway. Accepting on behalf of the City of Chula Vista the Landscape Buffer Easements, the Public Drainage Easements, the Trail Easements, the Sidewalk Easements, the Emergency Access Easements and the Assignable and Irrevocable General Utility and Access Easements Granted on Said Map within Said Subdivision. Acknowledging on behalf of the Public the Irrevocable Offers of Dedication of Fee Interest for Open Space Lots "C", "D", "E", "F", "G", "N" and "Q" and Lot "O" for Public Park Purposes Resolution Approving "A" Map Supplemental Subdivision Improvement Agreement for Chula Vista Tract No. 96-04A, Portion of Village One, ~Otay Ranch SPA One and authorizing the Mayor to Execute Said Agreement I SUBMITTED BY: Director of Public Works~//I' REVIEWED BY: City Manager (~ r) ?~ (4/Sths Vote: Yes No X ) On May 4, 1999, by Resolution No. 19448, the City Council approved a Tentative Subdivision Map for Chula Vista Tract 96-04A, Otay Ranch SPA One, Village One, Phase 7. Condition No. 14 of the Resolution requires the developer to submit and obtain the approval of the City of a master final map ("A" Map) of the tentative map showing "super block" lots. The "A" map is also required to show the public street dedications and backbone utility easements required to serve the super block lots. All super block lots created are also required to have access to a dedicated public street. RECOMMENDATION: That Council approve the Resolution approving the Final "A" Map and the "A" Map Supplemental Subdivision Improvement Agreement. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: The project is generally located south of East Palomar Street and north of future Olympic Parkway and east of Paseo Ranchero within the area of Otay Ranch Village One designated as Phase 7 (or as the Purple Phase on the amended SPA One Plan). %/ Page 2, Item r~ Meeting Date 6~20\00 Chula Vista Tract 96-04A, Otay Ranch SPA One Village 1, Phase 7 tentative map consists of a total of five "Super Block" lots, (which will be further subdivided into 383 single family units by subsequent "B" Maps), three multiple-family sites (totaling 819 units), two commercial lots, two Community or Public Facility (CPF) lots, seven public open space lots, one public neighborhood park lot (Heritage Park, 10.17 acres), one private park lot, one public street (Santa Andrea). The "A" Map submitted for approval, however, shows the three multi-family lots as "Not-a-Part". The future development of two of these lots (Tentative Map 96-04A Neighborhoods R-47 and R- 15) is contingent on the submittal and approval of final parcel maps, at which time a Community Park PAD fee will be collected for each multi-family unit. The approval ora final parcel map(s) on these sites will also increase the cumulative EDUs that shall be counted against the Otay Ranch Company's Olympic Parkway Agreement threshold at a ratio of .84 EDU per unit. Neighborhood R-19 is also shown as "Not-a-Part" it is being handled differently, however, since it is under separate ownership. The developer of Neighborhood R- 19 has entered into a separate agreement to pay all applicable PAD fees prior to issuance of any building permit on that site. Also, a parcel map will not be required for development of this site. A plat of the subdivision is attached herewith as Attachment 2. The final map for said subdivision has been re(,iewed by the Public Works Department and found to be in substantial conformance with the approved Tentative Map. Approval of the map constitutes acceptance by the City of all assignable and irrevocable general access and utility easements and all public drainage easements within the subdivision. Approval of the map constitutes rejection on behalf of the public of Santa Andrea Street, Olympic Parkway and Paseo Ranchero. Approval of the map also constitutes acknowledgment on behalf of the public of Irrevocable Offers of Dedication for Lot "O" for Public Park Purposes, Lots "C" through "G", "N" and "Q" for Open Space. The dedicated streets are being rejected because the developer does not have an obligation to guarantee construction of the public streets with the "A" Map until future phases of the project are considered for approval ("B" Maps) in accordance with the conditions of approval of the tentative map. However, such offers of dedication are to remain open subject to future acceptance. Olympic Parkway and Paseo Ranchero Dedications Olympic Parkway between Paseo Ranchero and the easterly boundary of Otay Ranch Company's ownership in Village One and Paseo Ranchero south of East Palomar were originally offered for dedication and rejected on the first Village One "A" Map. Those original offers of dedication are abandoned on this final map. The final alignments of these roadways Olympic Parkway are reflected on the "A" Map and offered for dedication. These improvements will be secured in accordance with the Olympic Parkway and Related Roadway Improvements Agreement. Under Section 66477.2 of the Subdivision Map Act, these irrevocable offers of dedication may be accepted at any time and will be accepted when security, as required by the Olympic Parkway Agreement, is provided. Drainage easements appurtenant to the Olympic Parkway Dedication and located southerly of Olympic Parkway are not within the subdivision and are granted by separate instrument. Page 3, Item / Meeting Date 6~20\00 Re-subdivision of the Heritage Park Site (Lot "O") The "A" Map includes the Village One Neighborhood Park site as Lot "O". The site was previously offered for dedication as Lot "F" on the first Village One "A" Map. Since the approval of the first "A" Map, the plans for Heritage Park were submitted and have undergone revision. An outcome of the park design review process has been the separation of the pool and the pond sites out of the public park dedication area. The ownership and maintenance responsibility of the pool will remain with the developer until it is turned over to the Master Homeowner's Association. The pond, however, will be treated differently. It has been the Developer's intent that the Village One open space maintenance district (CFD 97-1) will maintain the pond. In order for the pond to be eligible for maintenance by the CFD, it would have to be within a dedicated open space. This is why there is an irrevocable offer of dedication for Lot The developer has executed an "A" Map Supplemental Subdivision Improvement Agreement which addresses several on-going conditions of the tentative map. FISCAL IMPACT: None to the City. Devel6per has paid all costs associated with the proposed "A" Map and agreement. Attachments: Attachment 1: Minutes of 5/4/99 (Resolution No. 19448) Attachment 2: Plat - Chula Vista Tract 96-04A, Otay Ranch, Village One, Phase 7 Attachment 3: Developer's Disclosure Statement H:\HOME\ENGINEER\AGENDA\V 1 MAPA2.113.DOC DRS/drs File No. 0600-80-OR165F 02/04/00 FRI 14:19 FAX 619 691 $171 CHULA VISTA ENGINEERING ~00~ CITY OF CHULA VISTA DISCLOSURE STATEMENT You are required w file a Stammem of Disclosur~ of certain ownership or fi,~,-cial intoreats, payments, or eaml~ contributions on all maters which will require discretionary a~ion on the part of the City Council, plant ng Commission, and all other official bodies. The following informatioo must be disclosed: 1. List thc names of all persons havi~ a finm, w.lal interes! in or the Contract, e.g.. owner, applicant, Contractor, subcontractor, mamial supplier, etc. South Bay Development:, LLC 0toy Ranch Development, LLC 2. If any person* identified pursuant lo (1) above ia a corpomtinn or part~ralxip, list tl~ llam~ of all illdividl iJ.s orating more than 10% of the shar~ in thc corlxa~tion or owni%~ any parmership interest in tt~ pm-metal ip. Jim Baldwin 3. If any person~ identified pursuant to ( 1 ) above is' a l~oo-profit or~n~atinn or a trot, list thc n,rnes of. ny person serving as dirr~tor of the non-pwfit org~-i~,alion or as tr~t~e or beneficiary or trnstor of the W ~.t. None 4. Have you had more tha~ $2.50 worth of business transacted with any memlmr of the City stm~, Bom Commmsions, Committees, and Council within the past twelve months? Yes~ No~XXIf yes, please indk ate person(s):. 5. Please identify each and every person, including agants, employes, consultant~, or iad~!~ndcalt Contracl who you have assigned m represent you before the City. in riffs mater. Jim Baldwin Robert Cameron Roy P.~_ace Kim Kilkenny Ranie Hunter Kent Aden Chunk Carat 6. Have you and/or your officers or agents, in ~he aggregatc, comn'butcd more than $1,000 to a Con: ¢:[1 member in thc current or preceding election period? Yea__ No.__ If yes, state which. Council member ' * * (NOTE: Attach Additional Pages ns Necessary) ~--/ The 0toy Ranc~-3CO~fy / signature of Contzl~fr/Applieant printed or Typed N~rn~ of Contractor~Applicant · l~e~o~z i~ defined as: t4r~ individual, firm, co-parmer~hip, joint ve.~ture, association, $ocia2 club, frate~ uti organization, corporation, e$rare, trust, receiver, ~yndicate, this and any other coumy, city, or coto~ry, municipality, district, or other political subdivision, or any other grou:v or combi~twn acting a~ a homeownership. Page 5 05/04/99 PUBLIC HEARINGS AND RELATED RESOLUTIONS (Continued) Mayor Pro Tern Salas suggested that there should be a study on the effects of high density living, and she expressed concern that those areas could turn into rental areas. Councilmember Moot questioned the cumulative effect of so many small lot products in one subdivision but expressed faith that Plarm/ng Department staff would review and resolve any issues. Mayor Horton stated that the impacts and effects need to be closely monitored in furore planning. She also indicated that when EastLake presents its low density proposal on the land adjacent to this project, it should offer a balance to the high density housing. Planning Director Leiter stated that the design solutions for small lot developments will be reviewed by the Planning Department, and a report will,be brought back to Council for further connnent and direction. ACTION: Mayor Horton offered Resolution #19447, heading read, text waived. The motion carded 5-0. 9. PUBLIC HEARING PCS-96-04A TO CONSIDER A TENTATIVE SUBDIVISION MAP REVISION SUBDIVIDING PHASE SEVEN (PURPLE PHASE) IN VILLAGE ONE OF OTAY RANCH, SECTIONAL PLANNING AREA (SPA ONE) INTO 447 LOTS - APPLICANT: THE OTAY RANCH COMPANY RESOLUTION 19448, APPROVING A TENTATiVE SUBDIVISION MAP REVISION FOR PHASE SEVEN (PURPLE PHASE) IN VILLAGE ONE OF THE OTAY RANCH SPECIFIC PLANNING AREA ONE PLAN, TRACT 96-04A The Planning Commission held a public heating on April t 4, 1999 and voted 7-0 to adopt a resolution recommending that Council approve the Phase Seven Tentative Subdivision Map, and adopt a resolution recommending that Council approve an amendment to the Otay Ranch Phase Two Resource Management Plan. Staffrecommendation: Council adopt the resolution. (Director of Planning and Building) Notice of the hearing was given in accordance with legal requirements, and the hearing was held on the date and at the time specified in the notice. Mayor Horton opened the public hearing and asked if anyone from the audience wished to speak. Kent Arden, Otay Ranch Company, spoke in support of staff recommendations. Carolyn Butler, 97 Bishop Street, expressed concern about armed guards. There being no further comments, Mayor Horton closed the hearing. ACTION: Mayor Horton offered Resolution #19448, heading read, text waived. The motion carded 5-0, Page 6 05/04/99 ACTION ITEMS 12.A. RESOLUTION 19449, APPROVING THE CONSOLIDATED ANNUAL PLAN FOR FISCAL YEAR 1999/2000 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) AND HOME INVESTMENT PARTNERSHIP (HOME) PROGRAM BUDGETS AND AUTHORIZING TRANSMITTAL OF THE CONSOLIDATED ANNUAL PLAN TO THE U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (HUD) B. RESOLUTION 19450, AUTHORIZING REALLOCATION OF $269,876 FROM PRIOR YEAR COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS TO INCORPORATE IN THE FISCAL YEAR 1999/2000 ENTITLEMENT RECEIVED FROM HUD (4/5TH'S VOTE REQUIRED) Council held a public hearing on April 13, 1999 to review and receive public comment on projects and programs being considered for CDBG and HOME funding. The City is eligible to receive $2,020,000 in CDBG entitlement funds from HUD for 1999/2000. In addition to the HUD entitlement, staff has identified $269,876 in prior year CDBG funds that are eligible to receive $843,000 in HOME funds fi.om HUD. Combining both CDBG and HOME entitlements, the City will be able to invest into the community a grand total of $3,132,876 for 1999/2000. Staffrecommendation: Council adopt the resolution. (Director of Community Development) ACTION: Mayor Horton offered Resolutions #19449 and #19450, headings read, texts waived. The motion carried 5-0. OTHER BUSINESS 13. CITY MANAGER'S REPORTS There were none. 14. MAYOR'S REPORTS 1. Mayor Horton moved to ratify the appointment of John McCarm to the Housing Advisory Commission. Councilmember Davis seconded the motion, and it carried 5-0. 1. Mayor Horton thanked Community Development Director Salomone and his stafffor an efficient CDBG process. 15. COUNCIL COMMENTS RESOLUTION NO.. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING FINAL "A" MAP NO. 2 FOR OTAY RANCH SPA ONE VILLAGE ONE, CHULA VISTA TRACT NO. 96-04A, REJECTING ON BEHALF OF THE PUBLIC, SANTA ANDREA STREET, PASEO RANCHERO AND OLYMPIC PARKWAY, ACCEPTING ON BEHALF OF THE CITY OF CHULA VISTA THE LANDSCAPE BUFFER EASEMENTS, THE PUBLIC DRAINAGE AND ACCESS EASEMENTS, THE TRAIL EASEMENTS, THE SIDEWALK EASEMENTS, THE EMERGENCY ACCESS EASEMENTS AND THE ASSIGNABLE AND IRREVOCABLE GENERAL UTILITY AND ACCESS EASEMENTS GRANTED ON SAID MAP WITHIN SAID SUBDIVISION. ACKNOWLEDGING ON BEHALF OF THE PUBLIC THE IRREVOCABLE OFFERS OF DEDICATION OF FEE INTEREST FOR OPEN SPACE LOTS "C", "D", "E", "F", "G", "N" AND "Q" AND LOT "O" FOR PUBLIC PARK PURPOSES. 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 96-04A OTAY RANCH, VILLAGE ONE "A" MAP NO. 2, and more particularly described as follows: A portion of Parcel Map No. 18471, together with a portion of Parcel Map No. 18349, together with Lot "F" of Otay Ranch, Village One "A" Map No. 1 according to Map thereof No. 13592. Gross Area: 263.622 Acres No. of Lots: 29 Numbered Lots: 12 Lettered Lots: 17 Public Open Space Lots: 37.565 Acres Public Park Lot: 10.169 Acres is made in the manner and form prescribed by law and conforms to the surrounding surveys; and that said map and subdivision of land shown thereon is hereby approved and accepted. BE IT FURTHER RESOLVED, said Council hereby accepts on behalf of the City of Chula Vista the sixty-two (62) foot wide general utility and access easements within Lots 1, 2, 3, 4, 5, 6, 7, 12 and "A" for installation of public utilities, and hereby accepts on behalf of the City of Chula Vista the easements for: public drainage and access, trails, sidewalks, landscape buffers, and emergency access, noting that use of said general utility and general access easements, and easements for public drainage and access, trails, sidewalks, landscape buffers, and emergency access by others is subject to written permission and issuance of an Encroachment Permit from the City of Chula Vista, all as shown on this map within this subdivision, subject to the conditions set forth thereon. H:\SHARED~ATTORNEY\OR 165 RESO.DOC BE IT FURTHER RESOLVED that the City Clerk of the City of Chula Vista be and she is hereby authorized and directed to endorse upon said map the action of said Council; that said Council has approved said subdivision map, and that those certain easements with the right of ingress and egress for general utility and general access, and the easements for public drainage and access, trails, sidewalks, landscape buffers, and emergency access 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. BE IT FURTHER RESOLVED, said Council hereby rejects on behalf of the City of Chula Vista, the offer o f dedication of the easement for street purposes and other public purposes on this map within this subdivision, noting that Section 66477.2 of the Government Code of the State of California provides that an offer of dedication shall remain open and subject to future acceptance by the City; and has acknowledged on behalf of the City of Chula Vista the Irrevocable Offers of Dedication of Fee Interest in Lots "C", "D", "E", "F", "G", "N", and "Q" for Public Open Space and Lot "O" for Public Park Purposes, all as shown on this map within this subdivision noting that Section 7050 of the Government Code of the State of California provides that an offer of dedication shall remain open and subject to future acceptance by the City. BE IT FURTHER RESOLVED that ~City Clerk be and she is hereby directed to transmit said map to the Clerk of the Board of Supervisors of the County of San Diego. Presented by Approved as to form by Jotm P. Lippitt, Director of JohnM. Kaheny, CitY'Attomey Public Works H:~SHAREDLATTORNEY\OR 165 RESO.DOC Recording Requested by and ' ~' f Please Return to: City Clerk City of Chula Vista P.O. Box 1087 Chula Vista, CA 91912 This Instrument Benefits City Only. No fee is required. This Space for RecordeCs Use Only APN(s) 642-073-10 C,V. File No. OR-165F IRREVOCABLE OFFER OF DEDICATION OF FEE INTEREST FOR A VALUABLE CONSIDERATION, receipt of which is hereby acknowledged, OTAY PROJECT, L.P., A CALIFORNIA MM,ITED PARTNERSHIP represents that, as the owner(s) of herein-described real property, (in the case of multiple owners, collectively referred to as "Grantor"), Grantor hereby makes an Irrevocable Offer of Dedication of fee interest, pursuant to Section 7050 of the Government Code of the State of California, to THE CITY OF CHULA VISTA, A MUNICIPAL CORPORATION, the hereinafter described real property for the following public purpose: PUBLIC PARK PURPOSES The real property referred to above is situated in the City of Chula Vista, County of San Diego, State of California and is more particularly described as follows: LOTS "O" OF CHULA VISTA TRACT NO. 96-04, OTAY RANCH, VILLAGE t, "A" MAP NO. 2, PER MAP NO. RECORDED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY. (Contains 10.169 Acres, more or less) This Offer of Dedication is made pursuant to Section 7050 of Government Code of the State of California and may be accepted at any time by the City of Chula Vista. This Offer of Dedication of fee interest shall be irrevocable and shall be binding on the Grantor, its heirs, executors, administrators, successors and assigns. SIGNATURE PAGE Signed this __ I day of Grantor Signatures: (Notary Acknowledgement Required for Each Signatory) State of ) County of ) On , before me, . . , Notary Public, personally appeared personally k~-own to me or proved to m? on the~s'f~ of satisfactory evidence) to be the person(s) whose name(s) is/are subscdlsed t.~tfie within instrument and acknowledged to me that he/she/they executed the same/icf~is/her/their authorized capacity(les), and that by his/her/their signatures on the i..oMfument, the person(s), or the entity upon behalf of which the person(s) acted, e~d/the instrument. WITNESS my hand~official seal. Signature..,/,,, , , CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT State of California t ss. County of On ./~,4/~.-/'~.~.~,~ ~) , before me, ~.f,~c/,.~,~',~,-,~ Z,~¥'4~r~, ,~ ,~,v.~-.,, personally appeared ~-.~,w,/,c..l~ Name(s) of S~gner(s) ~"personally known to me [] proved to me on the basis of satisfactory evidence to be the persor~ whose name(s) is~rc~  subscribed to the within instrument and acknowledged to me that he/she~ executed the same in his/her-Rt'~, authorized ~ ~ Son Diego Ceurfly [ t capacity~, and that by his/he~th~r ~ : signature(.~ on the instrument the person(~, or the entity upon behalf of which the person(,~. acted, executed the instrument. WITN__ESS my hand and offic, i~l ~al. OPTIONAL Description of Attached Document Title or Type of Document: ~ ,4~4~'~!~0. 2-. Document Date: Number of Pages: Signer(s) Other Than Named Above: Capacity(les) Claimed by Signer Signer's Name: [] individual E~ Corporate Officer-- Title(s): [] Partner -- [] Limited [] General E~ Attomey in Fact [] Trustee [] Guardian or Conservator [] Other: Signer Is Representing: This is to certify that the interest in rea/properly offered herein to the City of Chula Vista, a governmental agency, is hereby acknowledged by the undersigned, City Clerk, on behalf of the Chula Vista City Council pursuant to authority conferred by Resolution No. 15645 of the Chula Vista City Council adopted on June 5, 1990, and the grantee(s) consent(s) to the recordation thereof by its duly authortzed officer. SUSAN BIGELOW CITY CLERK By: Dated: This is to cer~y that the interest in real properly offered herein to the City of Chula Vista, a governmental agency, is hereby acknowledged by the undersigned, City Clerk, on behalf of the Chula Vista City Council pursuant to authority conferred by Resolution No. 15645 of the Chula Vista City Council adopted on June.5, ~ 990, and the grantee(s) consent(s) to the recordation thereof by its duly authorized officer. SUSAN BIGELOW CITY CLERK By: Dated: Recording Requested by and P/ease Return to: City Clerk City of Chula Vista P.O. Box 1087 Chula Vista, CA 91912 This Instrument Benefits City Only. No fee is required. This Space for,Recorder's Use Only APN(s) 642-073-01, 09 C.V. File No. OR-165F IRREVOCABLE OFFER OF DEDICATION OF FEE INTEREST FOR A VALUABLE CONSIDERATION, receipt of which is hereby acknowledged, OTAY PROJECT, L.P., A CALIFORNIA LIMITED PARTNERSHIP represents that, as the owner(s) of herein-described real property, (in the case of multiple owners, collectively referred to as "GrantoF'), Grantor hereby makes an Irrevocable Offer of Dedication of fee interest, pursuant to Section 7050 of the Government Code of the State of Califomia, to THE CITY OF CHULA VISTA, A MUNICIPAL CORPORATION, the hereinafter described real property for the following public purpose: OPEN SPACE AND OTHER PUBLIC PURPOSES The real property referred to above is situated in the City of Chula Vista, County of San Diego, State of California and is more particularly described as follows: LOTS "C" THROUGH "G" INCLUSIVE, LOT "N" AND LOT "Q", ALL OF CHULA VISTA TRACT NO. 96-04, OTAY RANCH, VILLAGE 1, "A" MAP NO. 2, PER MAP NO. RECORDED IN THE OFFICEOF THE COUNTY RECORDER OF SAN DIEGO COUNTY. (Contains 37. 565 Acres, more or less) This Offer of Dedication is made pursuant to Section 7050 of Govemment Code of the State of Ca~lifomia and may be accepted at any time by the City of Chula Vista. This Offer of Dedication of fee interest shall be irrevocable and shall be binding on the Grantor, its heirs, executors, administrators, successors and assigns. SIGNATURE PAGE Signed this I day of Grantor Signatures: (Notary Acknowledglment ~equired ~ State of _ County of On , before me, ., Notary Public, personally appe~-e'~. personally known to me or proved to me/.effthe basis of satisfactory evidence) to be the person(s) whose name(s) is/are sub..~scfibed to the within instrument and acknowledged to me that he/she/they executed _~$ame,in~ his/~er/their authorized capacity(les), and that by his/her/their signatures/elf the instrument, the person(s), or the entity upon behalf of which the perso.~J;~,e'd, executed the instrument. WlTNESS~n.~and and official seal. .~fure CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT State of Califomia t ss. County of On -/~",'~"~' // ~o , before me, ,4~,~-C. /....ucv,~,¢~:~ ~',¢-r~. ,~¢"~ .~'~ personally appeared ~ ~ ,~personally known to me ~ proved to me on the basis of satisfactory evidence to be the person(s') whose name(e)-is/m'~ _~ .~f~;a,. · subscribed to the within instrument and · '- ~F.a~ ~l~Ccomml_~,onLUclANO# ].~r~lOVATO ·· acknowledged to me that he/ehe/~xecuted ~ ~ Notary ~ub~c - Colifomlo ~ the same in his/hef~5~l" authorized ] 'k~'~:~;2' Son D~go County ~ , capacity(-ies-), and that by his/~w~'~ ~ '~'C°mm'-~re~cr~3'2a~r signature(e) on the instrument the person(e), or the entity upon behalf of which the person(~) acted, executed the instrument. OPTIONAL Description of Attached Document ~ Title or Type of Document: ,'/~b a',~','ral~/,(.~1~,'4~'"- ~,,~ '~' '~,¢~. '~,¢ ~'/.~.¢~M4¢1//4. / ~ ~ ,I '~ Document Date: Number of Pages: Signer(s) Other Than Named Above: Capacity(les} Claimed by Signer [] Corporate OE~cer -- Title(s): [] Partner-- ~ Limited [] General [] Attorney in Fact [] Trustee [] Guardian or Conservator [] Other: Signer Is Representing: This is to certify that the interest in real property offered herein to the City of Chula Vista, a governmental agency, is hereby acknowledged by the undersigned, City Clerk, on behalf of the Chula Vista City Council pursuant to authority conferred by Resolution No. 15645 of the Chula Vista City Council adopted on June 5, 1990, and the grantee(s) consent(s) to the recordation thereof by its duly authorized officer. SUSAN BIGELOW CITY CLERK By: Dated: RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING "A" MAP SUPPLEMENTAL SUBDIVISION IMPROVEMENT AGREEMENT FOR CHLrLd% VISTA TRACT NO. 96-04A, PORTION OF VILLAGE ONE, OTAY RANCH SPA ONE, AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT WHEREAS, the developer of Chula Vista Tract No. 96-04A, Portion of Village One, Otay Ranch SPA One has executed a Supplemental Subdivision Improvement Agreement; and WHEREAS, staff has reviewed said Agreement and determined that it satisfies all the applicable tentative map conditions for final map approval and recommends Council approval. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista ~does hereby approve the "A" Map Supplemental Subdivision Improvement Agreement for Chula Vista Tract No. 96-04A, Portion of Village One, Otay Ranch SPA ONE, a copy of which is on file with 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 for and on behalf of the City of Chula Vista. Presented by Approved as to form by John P. Lippitt, Director of Jo~ M. Kah-eny,~C~t'y AttOrney Public Works RECORDING REQUEST 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. Developer ' ) ) Above Space for Recorder's Use VILLAGE 1, PHASE 7 OF THE OTAY RANCH PROJECT SUPPLEMENTAL SUBDIVISION IMPROVEMENT AGREEMENT (Conditions 1, ~, 3, 4, 5, 8, 9, 10, 11, 14, 22, 23, 24, 34, 40, 56, 84, 85a and b, 88b, 91, 92, 93, 104, 105, 108, 109, 114, 121, 122, 123, 124, 125, 126, 127, 132, 136, and 144) This Supplemental Subdivision Improvement Agreement ("Agreement") is made this __day of June, 2000, by and between THE CITY OF CHULA VISTA, California ("City" or "Grantee" for recording purposes only) and OTAY PROJECT L.P., a California Limited Partnership, ("Developer" or "Grantor"), with reference to the facts set forth below, which recitals constitute a part of this Agreement: RECITAI~$ A. This Agreement concerns and affects certain real property located in Chula Vista, California, more particularly described on Attachment "A" attached hereto and incorporated herein ("Property"). The Property is within approved Tentative Subdivision Map Chula Vista Tract 96-04A (Resolution No. 19448 on May 4, 1999 the "Resolution"), which project is commonly known as village 1, Phase 7 of the Otay Ranch Project, Sectional Planning 1 Area One (SPA One), and a portion of Chula Vista Tract 96-04. For purposes of this Agreement the term "Project" shall also mean "Property". B. "Owner" or "Developer" means the person, persons or entity having a legal or an equitable interest in the property or parts thereof and includes Owner's, successors-in-interest and assigns of any property within the boundaries of the "A" Map. C. Otay Ranch L.P, conveyed title of the Project area to South Bay Project, LLC, a Delaware limited liability company on August 26, 1997, which in turn conveyed the Property to Otay Project LLC, ("Otay Project"), a venture jointly owned by South Bay Project, LLC, a Delaware limited liability company and Otay Ranch Development, LLC, a Delaware limited liability company; and Otay Project sold SPA One Planning Area R-19 to Prowswood- Matsushita Otay Ranch Partners,LLC; and Otay Project sold a portion of SPA One Planning Area C-1 to Jeffery L. Rush, married man a~ his sole and separate property, and Jaime Liwerant, Co-Trustee. of the Liwerant Family Trust U/T/D. D. Developer and/or Developer's predecessor in interest has applied for and the City has approved Tentative Subdivision Map commonly referred to as Chula Vista Tract 96-04A ("Tentative Subdivision Map") for the subdivision of the Property. E. The Developer had also applied for and the City approved the Tentative subdivision Map commonly referred to as Chula vista Tract 96-04. Said tentative map included Neighborhood Park P-1 that was subsequently offered for dedication on the first village 1 "A" Map, Map No. 13592 thereof, as Lot "F". Lots "O" "P" and "Q" of the herein incorporated Property are a re- subdivision of Lot "F". F. The City has adopted Resolution No. 19448 ("Resolution") pursuant to which it has approved the Tentative Subdivision Map subject to certain conditions as more particularly described in the Resolution. The conditions are attached hereto as Schedule G. City is willing, on the premises, security, terms and conditions herein contained to approve the final map for which Developer has applied as being in substantial conformance with the Tentative Subdivision Map described in this Agreement. Developer understands that subsequent final maps may be subject to the same security terms and conditions contained herein. H. The following defined terms shall have the meaning set 2 forth herein, unless otherwise specifically indicated: a. For purposes of this Agreement, "B" Map means any final map subsequent to the "A" Map and within the "A" Map boundaries. b. "Commencing Construction" means when a construction permit or other such approval has been obtained from the City or a construction contract has been awarded for the improvement, whichever occurs first. c. "Complete Construction" means when construction on said improvement has been completed and the City accepts the improvement. d. "Owner or Developer" means the person, persons or entity having a legal or an equitable interest in the property or parts thereof and includes Owner's successors-in-interest and assignors of any property within the boundaries of the map. This includes Otay Project, L.P. and any and all owners of real property within the boundaries of the Proper~y, and all signatories to this Agreement including: i) Otay Project, L.P. ii)Jeffery Rush and Jaime Liwerant e. "Guest Builder" means those entities obtaining any interest in the Property or a portion of the Property, after the "A" Map has been recorded. f. "PFFP" means the SPA One Public Facilities Financing Plan adopted by Resolution No. 18286, as amended by Resolution No. 19408 and as may be further amended from time to time. g. "RMP 2" means the Otay Ranch Resource Management Plan, Phase 2, approved by the City Council on June 4, 1996, as amended on July 20, 1999 by Resolution No. 19538 and as may be further amended from time to time. h. "Preserve/Owner Manager" is the entity or entities defined by the RMP 2 with the duties and responsibilities described therein. i. "Parks Master Plan" means the City-wide Parks Master Plan, subject to future City Council approval. "Otay Ranch Parks Agreement" means the agreement pertaining to the construction of parks in Otay Ranch SPA One, McMillin Lomas Verdes and Otay Ranch adopted by Resolution No. 19636 as may be amended from time to time. k. "Backbone Improvement Plans" means all the onsite and offsite improvements required to serve the lots created by the "A" Map, in accordance with improvement plans to be approved by the City. Said improvements shall include, but not limited to, asphalt concrete pavement, base, concrete curb, gutter and sidewalk, sewer, reclaimed and potable water utilities, drainage facilities, street lights, signage, landscaping, irrigation, fencing and fire hydrants. 1. "SPA One Plan" means the Otay Ranch Sectional Planning Area Plan as adopted by the City Council on June 4, 1996 pursuant to Resolution No. 18286 and amended on February 16, 1999 by Resolution No. 19376. NOW, THEREFORE, in exchange for the mutual covenants, terms and conditions herein contained, the parties agree as set forth below. 1. Performance Obligation. Otay Project, L.P., co- signator to this Agreement, represents to the City that it is acting as the Master Developer for this Project and expressly assumes performance of the obligations set forth in paragraphs 8, 11 a, b and d, of this Agreement. Notwithstanding the foregoing, all parties to this Agreement acknowledge and agree that all such obligations remain a covenant running with the land as set forth more particularly in paragraph 2 below. 2. Agreement Applicable to Subsequent Owners. a. Agreement Binding Upon Successors. This Agreement shall be binding upon and inure to the benefit of the successors, assigns and interests of the parties as to any or all of the Property as described on Attachment "A" until released by the mutual consent of the parties. b. Agreement Runs with the Land. The burden of the covenants contained in this Agreement ("Burden") is for the benefit of the Property and the City, its successors and assigns and any successor in interest thereto. City is deemed the beneficiary of such covenants for and in its own right and for the purposes of protecting the interest of the community and other parties public or private, in whose favor and for whose benefit of such covenants running with the land have been provided without regard to whether City has been, remained or are owners of any particular land or interest therein. If such covenants are breached, the City shall have the right to exercise all rights and remedies and to maintain any actions or suits at law or in equity or other proper proceedings to enforce the curing of such breach to which it or any other beneficiaries of this agreement and the covenants may be entitled. c. Developer Release on Guest Builder Assi~T~ments. If Developer assigns any portion of the Project to a Guest Builder, Developer may request to be released from Developer's obligations under this Agreement, that are expressly assumed by the Guest Builder, provided Developer obtains the prior written consent of the City to such release. Such assignment to the Guest Builder shall, however, be subject to this Agreement and the Burden of this Agreement shall remain a covenant running with the land. The City shall not withhold its consent to any such request for a release so long as the assignee acknowledges that the Burden of the Agreement runs with the land, assumes the obligations of the Developer under this Agreement, and demonstrates, to the satisfaction of the City, its ability to perform its obligations under this Agreement as it relates to the portion of the Project which is being acquired by the Assignee. d. Partial Release of Developer's Assignees. If Developer assigns any portion of the Project subject to the Burden of this Agreement, upon request by the Developer or its assignee, the City shall release the assignee of the Burden of this Agreement as to such assigned portion if~such portion has complied with the requirements of this Agreement to the satisfaction of the City and such partial release will not, in the opinion of the City, jeopardize the likelihood that the remainder of the Burden will not be completed. e. Release of Individual Lots. Upon the occurrence of any of the following events, Developer shall, upon receipt of the prior written consent of the City Manager (or Manager's designee), have the right to release any lot(s) from Developer's obligation under this Agreement: i. The execution of a purchase agreement for the sale of a residential lot to a buyer of an individual housing unit; ii. The conveyance of a lot to a Homeowner's Association; iii. The conveyance of a school site as identified in the SPA One Plan to a school district; iv. The execution of a purchase agreement for the sale of a Commercial or Community Purpose Facility lot as identified in SPA One Plan; or v. The issuance of a permit for the development of a multifamily lot as identified in the SPA One Plan. The City shall not withhold its consent to such release so long as the City finds in good faith that such release will not jeopardize the City's assurance that the obligations set forth in 5 this Agreement will be performed. At the request of the Developer, the City Manager (or Manager's designee) shall execute an instrument drafted by Developer in a recordable form acceptable to the City Manager (or Manager's designee), which confirms the release of such lot or parcel from the encumbrance of this Agreement. Notwithstanding the foregoing, at the close of an individual homeowner's escrow on any lot or parcel encumbered by this Agreement, such lot or parcel shall be automatically released from the encumbrance hereof. 3. Condition No. I (General Preliminary). In partial satisfaction of Condition 1 of the Resolution, Developer hereby agrees, to comply with the requirements and guidelines of the Otay Ranch General Development Plan (GDP),the SPA One Parks, Recreation, Open Space and Trails Plan, the Public Facilities Financing Plan ("PFFP"), Ranch-Wide Affordable Housing Plan, SPA One Affordable Housing Plan, and the SPA One Non-Renewable Energy Conservation Plan, as may be amended from time to time, and shall remain in compliance with and ~plement the terms, conditions and provisions of said documents. 4. Condition No. 2 - (General Preliminary). In satisfaction of Condition No. 2 the Resolution the Developer hereby agrees to all of the terms, covenants and conditions contained herein shall be binding upon and inure to the benefit of the heirs, successors, assigns and representatives of the Developer as to any or all of the Property. 5. Condition No. 3 - (General Preliminary). In partial satisfaction of Condition No. 3 of the Resolution, Developer hereby agrees that if any of the terms, covenants or conditions contained within the Resolution shall fail to occur or if they are, by their terms, to be implemented and maintained over time, if any of such conditions fail to be so implemented and maintained according to their terms, the City shall have the right to deny the issuance of building permits for the Project, deny, or further condition the subsequent approvals that are derived from the approvals herein granted, institute and prosecute litigation to compel their compliance with said conditions or seek damages for their violation. The applicant shall be notified ten (10) days in advance prior to any of the above actions being taken by the City and shall be given the opportunity to remedy any deficiencies identified by the City within a reasonable period of time. 6. Condition No. 4 (General Preliminary). In partial satisfaction of Condition No. 4 of the Resolution, Developer hereby agrees to indemnify, protect, defend and hold the City harmless from and against any and all claims, liabilities and 6 --T T ! 1 f costs, including attorney's fees, arising from challenges to the Environmental Impact Report for the Project and/or any or all entitlements and approvals issued by the City in connection with the Project. 7. Condition No. 5 - (General Preliminary). In partial satisfaction of Condition 5 of the Resolution, Developer hereby agrees, that Developer shall comply with the all applicable SPA One conditions of approval. 8. Condition Nos. 8, 10 and 11- (Conveyance Obligation). In partial satisfaction of Condition Nos. 8, 10 and 11, the Developer agrees as follows: a. prior to approval of each "B" Map and each parcel map for Neighborhood C-1/CPF-1/R-47, or Neighborhood R-15/CPF-2 of the SPA One Plan, the Developer shall be in compliance with all applicable requirements of the RMP 2. b. Prior to approval of the first "B" Map, or a parcel map for Neighborhood C-1/CPF-1/R-47~/ or Neighborhood R-15/CPF-2 of the SPA One Plan, Developer shalI convey open space land in accordance with the RMP 2 for all applicable backbone street lots, open space lots, paseos, and park lots as shown on the "A" Map. c. Developer acknowledges that property within the boundaries of the "A" Map which will be the subject of future final maps or parcel maps may have conveyance obligations to fulfill for all development areas, including applicable streets, open space lots, paseos, pedestrian parks shown on the "A" Map. 9. Condition No. 9 - (CEQA). In satisfaction of Condition No. 9 of the resolution, Prior to approval of each final "B" Map, the applicant shall implement all applicable mitigation measures identified in EIR 95-01, subsequent EIR 97-03, the CEQA Findings of Fact for this Project (on file in the City Clerk's Office as Document No. CO96-056 and No. ) and the Mitigation Monitoring and Reporting Program (on file in the City Clerk's Office as Document No. CO96-057 and No. ). 10. Condition No. 14 - (Multi-family Lots). In partial satisfaction of Condition No. 14 of the Resolution Developer agrees that in the event the areas designated as Neighborhood R- 15 or R-47 as shown in the SPA One Plan are proposed for development, a parcel map shall be prepared, submitted and approved by the City Engineer prior to issuance of a building permit. Developer shall satisfy all the applicable conditions of approval of the Tentative Subdivision Map, as determined by the City Engineer and the Director of Planning and Building. 7 11. Condition No. 22, 23 and 24 - (streets, right-of-way and public improvements). In partial satisfaction of Condition Nos. 22, 23 and 24 of the Resolution Developer hereby agrees as follows: a. Off-site Improvements. The Developer shall construct all Otay Ranch SPA One public improvements and provide security satisfactory to the City Engineer in accordance with the first "B" Map Supplemental Subdivision Improvement Agreementfor Village One and attachment Exhibit "E" thereto approved by City Council Resolution No. 19211. b Backbone Improvements. Developer agrees to construct Backbone Improvements in accordance with the approved Improvement Plans for Otay Ranch village One Phase 7 Drawing Nos. 99-768 through 99-788. Prior to the earlier of the following: the first "B" Map approval, or the approval of a parcel map for either Neighborhood C-1/CPF-1/R-47, or Neighborhood R-15/CPF-2 of the SPA One Plan, the developer shall enter into an Agreement and shall secure said improvements in accordance with Section 18.16.220 of the Municipal Code ~ c. Neighborhood Improvements. Developer agrees to guarantee, prior to the approval of each "B" Map or the approval of a parcel map, for either Neighborhood C-1/CPF-1/R-47, or Neighborhood R-15/CPF-2 of the SPA One Plan, all public on and off-site improvements required to serve that particular "B" Map or Neighborhood C-1/CPF-1/R-47, or Neighborhood R-15/CPF-2 as determined by the City Engineer. d. Monumentation. Developer agrees to furnish and deliver to the City, 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 Fifteen Thousand Dollars and no cents ($15,000) to secure the installation of monuments within the Project. It is further agreed that if the monumentation work is not completed within thirty (30) days following completion of the Backbone Improvements described in llb above, the sums provided by said improvement securities may be used by the City for the completion of the monumentation within said Project in accordance with the applicable provisions of the City of Chula Vista Subdivision Manual, 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 the 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 Developer or its successors in interest, pursuant to the terms of the improvement security. Developer agrees to pay to the City any difference between the 8 --T-- ...... T I ! [ total costs incurred to perform the work, including design and administration of construction (including a reasonable allocation of overhead). 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 the City or the City's officer, 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 approved security in accordance with the requirements of the State Subdivision Map Act and the provisions of Title 18 of the Chula Vista Municipal Code. It is further understood and agreed by Developer that any engineering costs (including plan checking, inspection, materials furnished and other incidental expenses) incurred by City in connection with the approval of the Street Improvements plans and installation of Street Improvements described above, as required by City and approved by the~City Engineer shall be paid by Developer, and that Developer shall deposit, prior to recordation of the Final Map, with City a sum of money sufficient to cover said cost. Developer further understands and agrees that City, (as "Indemnitee") or any officer or employee thereof, shall not be liable for any bodily injury, death, or property damage, including thereto hazardous materials and property takings claims occasioned by reason of the acts or omissions of Developer, its subcontractors or suppliers, its agents or employees, or Indemnitee (which are not the result of Indemnitee's sole negligence or willful misconduct), related to the construction of the Improvements. Developer further agrees to defend, indemnify, protect and hold the Indemnitee, its officers and employees, harmless from any and all claims, demands, causes of action, liability, costs and expense (including, without limitation, reasonable attorney's fees) or loss for bodily injury, death or property damages, including thereto hazardous materials and property takings claims because of or arising out of Developer's construction of the Improvements or the acts or omissions of Developer, its subcontractors or suppliers, its agents or employees, or Indemnitee, related thereto; provided, however, that Developer shall have no obligation to indemnify, defend, protect or hold Indemnitee harmless from any such losses, claims, demands, causes of action, liability, damages, costs or expenses which arise out of the sole negligence or willful misconduct of the Indemnitee or any officer or employee thereof. Developer further agrees to defend, indemnify, protect and hold the Indemnitee, its officers and employees, harmless from any and all claims, demands, causes of action, liability, cost and expense (including without limitation, reasonable attorney's fees) made 9 or incurred by such third parties pursuant to or arising out of contracts entered into by third parties with or on behalf of Developer or its successors, assigns or agents concerning construction of the Improvements; provided, however, that Developer shall have no obligation to indemnify, defend or hold Indemnitee harmless from any such losses, claims, demands, damages, causes of action, liability, costs and expenses to the extent that they have arisen due to the sole negligence or willful misconduct of Indemnitee. The improvement securities referred to above shall not cover the provisions of this paragraph. The approval of plans for the Improvements shall not constitute the assumption by City of any responsibility for such damage or taking, nor shall City, by said approval, be an insurer or surety for said work and related improvements. 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. 12. Condition No. 34 (ADA Standards). In satisfaction of Condition No. 34 of the Resolution.the Developer agrees that in the event the Federal Government'.adopts ADA standards for street rights-of-way which are in conflict with the standards and approvals contained herein, all such approvals conflicting with those standards shall be updated to reflect those standards. Unless otherwise required be federal law, City ADA standards may be considered vested, as determined by Federal Regulations, only after construction has commenced. 13. Condition No. 40 (Encroachment Permit). In satisfaction of Condition No. 40 of the Resolution, the Developer shall apply and obtain an encroachment permit prior to the installation of all private facilities within the public right of way. The Developer shall maintain, in perpetuity, membership in an advance notice such as the USA Dig Alert Service and shall cause any private facilities owned by the Developer to be marked out whenever work is performed in the area. 14. Condition No. 56 - (NPDES). In satisfaction of Condition No. 56 of the Resolution, Developer agrees to comply with all the provisions of the National Pollutant Discharge Elimination System (NPDES) and the Clean Water Program. 15. Condition Nos. 84 (Neighborhood Parks). In partial satisfaction of Condition No. 84 of the Resolution, Developer has entered into the Otay Ranch Park Agreement wherein the Developer agrees to construct neighborhood parks (P-1 and P-2 in Village One) in accordance with the terms of said Otay Ranch Park Agreement and consistent with the Parks Master Plan. The Developer also agrees to comply with the City's Parklands and Public Facilities Ordinance and any future modification thereof. 10 The Otay Ranch Park Agreement also provides for reimbursement of park development fees and assignment of fee and/or land credits to the Developer as applicable. The Developer acknowledges that Lot "N" of the final map is Irrevocably Offered for Dedication thereon as Open Space for the express purpose of its future acceptance, and the pond improvements located thereon, by the Open Space Maintenance District known as Community Facility District 97-1 (CFD 97-1). The maintenance responsibility for the pond improvements are incorporated into the overall open space maintenance obligation of CFD 97-1 and that the maximum revenue generated by the existing Maximum Special Tax that can be levied within CFD 97-1 is sufficient to satisfy the cost of pond maintenance. The Developer further acknowledges the following: a. that no additional neighborhood park land credits shall be assigned to the Developer, or its successors in interest due to the fact that Lot "N" was Irrevocably Offered for Dedication. b. the terms of the Otay Ranch Park Agreement currently provide for the cost of the pond improvements to be included in the calculation of park development, fee credits to be assigned to the Developer and that no credits shall be granted in addition to those provided by said Agreement. 16. Condition Nos. 85. (Community Parks). In partial satisfaction of Condition No. 85 a and b of the Resolution, Developer entered into the Park Agreement to satisfy the SPA One Community Park obligation, which includes the dedication of park land and payment of per unit community park development fees prior to the approval of each final "B" Map. Therefore, in accordance with said Agreement, the Developer has offered for dedication a 15-acre community park site within the Otay Ranch General Development Plan area known as "Village Two". To satisfy the Developer's obligation to pay community park development fees for each dwelling unit within the project in compliance with the Park Agreement and the City's Parklands and Public Facilities Ordinance, the Developer, or its successors, heirs and assigns, agrees that, prior to the approval of any final "B" Map, the Developer, or its successors, heirs and assigns, shall pay the per unit community park development fee, which shall be determined by the Director of Planning and Building. Developer agrees to pay the PAD Fee obligation in accordance with the provisions of the Otay Ranch Park Agreement, Chula Vista Municipal Code Section 17.10.100 and Resolution No. 16146, as may be amended from time to time. For the areas shown as Neighborhood R-47 and Neighborhood R-15 in the SPA One Plan, and included within the legal description of the land covered by this Agreement, the Developer shall submit to and obtain the approval of the City Engineer for a parcel map prior to the issuance of a building permit. Developer agrees to pay all applicable fees, 11 including the PAD fee, prior to the approval of said parcel map. Parcel Map shall be in accordance with the City of Chula Vista Municipal Code Chapter 18.20. 17. Condition No. 88b - (Maintenance Agreement). In partial satisfaction of Condition No. 88b of the Resolution the Developer shall: a. Enter into a maintenance agreement prior to the acceptance by the City of the Public Right-of,Way and any improvements constructed within the Public Right-of-Way granted on the final map as Santa Andrea Street and rejected thereon. The agreement shall assign to the Developer and its successors in interest, including the Master Homeowners Association, the responsibility for maintenance activities within Santa Andrea Street that will not be assumed by the City or, specifically, by the Community Facilities District 97-1. The agreement shall also describe the maintenance standards and grant an easement to the Developer and its successors in interest to allow the Developer and its successors in interest to perform its maintenance responsibilities within Santa' ~Atndrea Street. b. Prior to acceptance of Public Park P-1 shown as Lot "0" on the final map by the City of Chula Vista, cause the area of Lot up,, on the final map to be annexed to the Master Homeowners Association to be maintained in accordance with the provisions of Declaration of Covenants, Conditions and Restrictions of said Master Homeowners Association for maintenance of Covered Property and Improvements located thereon by said Master Homeowners Association. 18. Condition No. 91 (No Protest of Maintenance District or Assessment District). In satisfaction of Condition No. 91 of the Resolution, Developer hereby agrees not to protest the formation of or the inclusion .in, a maintenance district, including a community facility district or a benefit zone, for the maintenance of landscaped medians and scenic corridors along streets within and adjacent to the subject subdivision. This agreement to not protest the inclusion of these public improvements shall not be deemed a waiver of the right to challenge the amount of any assessment, which may be imposed due to the addition of these new improvements and shall not interfere with the right of any person to vote in a secret ballot election. 19. Condition No. 92. - (Open Space lots). In satisfaction of Condition No. 93 of the Resolution, Developer agrees to provide the City, prior to execution of this Agreement, with irrevocable offer(s) of dedication (IODs), in accordance with Government Code Section 7050, a fee interest, free and clear of all encumbrances, in the real properties shown on the "A" Map as park lots and open space lots and offered to the City for 12 acceptance on such map. The IODs are attached to this Agreement as Attachment "C". 20. Condition No. 93. - (Public Facilities Development Impact Fee). In partial satisfaction of Condition No. 93 of the Resolution, Developer agrees to fund the revision of the Public Facilities Development Impact Fee {"PFDIF") Program, which shall be prepared by the City, as directed by the City Manager or his designee. The Developer shall receive 100% credits towards future PFDIF fees for funding this update. Ail cost of revising the PFDIF shall be borne by the Developer. In partial satisfaction of Condition No. 93, Developer has deposited $20,000 for commencement of said revision. Developer has requested that the City allow full satisfaction of Condition No. 93 of the Resolution be continued until such time as the City completes and approves the ("PFDIF") Program revisions. In order for the City to allow said continuance of satisfaction of this obligation, Developer agrees to pay the "PFDIF" in effect at the time of building permit issuance. ~ 21. Condition No. 104 (Withhold Building Permits and Hold Harmless). In partial satisfaction of Condition No. 104 of the Resolution, the Developer understands and agrees that the performance of Developer's obligations hereunder is required for the health and safety of the residents of its Project. Therefore Developer agrees: a That the City may withhold building permits for any and all buildings within the Project if any one of the following occur: i. Regional development threshold limits set by the East Chula Vista Transportation Phasing Plan have been reached. ii. Traffic volumes, levels of service, public utilities and/or services exceed the adopted City threshold standards in the then effective Growth Management Ordinance. iii. The Developer does not comply with the terms of the Reserve Fund Program. b That the City may withhold building permits for any of the phases of development identified in the PFFP, if the required public facilities, as identified in the PFFP or as amended by the Annual Monitoring Program or otherwise conditioned have not been completed or constructed to satisfaction of the City. c That, on the condition that City shall promptly notify the Developer of any claim, action or proceeding and on the 13 further condition that the City fully cooperates in the defense, the Developer shall defend, indemnify, and hold harmless the City, and its agents, officers and employees, from any claim, action or proceeding against the City, or its agents, officers or employees, to attack, set aside, void or annul any approval by the City, including approvals by its Planning Commission, City Council, or any approval by its agents, officers, or employees with regard to this Project. d That, on the condition that City shall promptly notify the Developer of any claim, action or proceeding, Developer shall defend, indemnify, and hold harmless the City, and its agents, officers and employees, from any claim, action, or proceeding against the City, or its agents, officers or employees, related to erosion, siltation or increased flow of drainage resulting from the Property. City agrees to reasonably cooperate with Developer in the defense of any such action, claim or proceeding. e. In partial satisfaction of Condition No.104(e) of the Resolution, the Developer understands and agrees that cable television companies franchised by the City of Chula Vista may place conduit within the City easements and provide cable television service for lots within the Final Map area, as described on Exhibit A. Developer agrees to comply with all rules, regulations, ordinances and procedures regulating and affecting the operation of cable television within Chula Vista. Developer further acknowledges and agrees that Developer will not in any way impair or interfere with City's use of City's easements as described herein. f To include in the Articles of Incorporation or Charter for the Homeowners= Association (HOA) provisions prohibiting the HOA from dedicating or conveying for public streets, land used for private streets without approval of 100% of all the HOA members. g. That the City may withhold the issuance of building permits for the Project, should the Developer be determined by the City to be in breach of any of the terms of the Tentative Map Conditions or any Supplemental Agreement. The City shall provide the Developer of notice of such determination and allow the Developer reasonable time to cure said breach. 22. Condition No. 105 (Congestion Management Program). In satisfaction of Condition No. 105 of the Resolution the Developer shall enter into a supplemental agreement with the City prior to approval of the first "B" Map or the approval of a parcel map for Neighborhood R-39 of the SPA One Plan where the Developer agrees to: a. Participate, on a fair share basis, in any deficiency 14 plan or financial program adopted by SANDAG to comply with the Congestion Management Program (CMP) and b. Agrees to not protest formation of any future regional impact fee program or facilities benefit district to finance the construction of regional facilities described in the Otay Ranch GDP and Otay Ranch SPA One PFFP. This agreement to not protest the inclusion of these public improvements shall not be deemed a waiver of the right to challenge the amount of any fee, which may be imposed due to these new improvements and shall not interfere with the right of any person to vote in a secret ballot election. 23. Condition Nos. 108 and 109 (School Sites). In partial satisfaction of Condition Nos. 108 and 109 of the Resolution, Developer agrees to: a. Deliver to the School District, a graded elementary school site including utilities provided to the site and an all weather access road acceptable to the District, located within Village Five, prior to issuance of the 2,500th residential building permit (750 students)3~within SPA One. The all weather access road shall also be acceptable to the Fire Department. This schedule is subject to modification by the School District as based on District facility needs. b. deliver to the School District, a graded elementary school site including utilities provided to the site and an all weather access road acceptable to the District, located west of Paseo Ranchero, prior to issuance of the 4,500th residential building permit (1,350 students) within SPA One. The all weather access road shall also be acceptable to the Fire Department. This schedule is subject to modification by the School District as based on District facility needs. 24. Condition Nos. 114 - (Growth Management Ordinance). In satisfaction of Condition No. 114 of the Resolution, the Developer agrees, upon the request of the City, to the following: a. Fund the preparation of an annual report monitoring the development of Otay Ranch as described in Chapter 9, "Growth Management of the Otay Ranch General Development Plan". The annual report will analyze the supply of, and demand, for public facilities and services governed by the thresholds. b. Prepare a five (5) year development phasing forecast identifying targeted submittal dates for future discretionary applications (SPAs and tentative maps), projected construction dates, corresponding public facility needs per the adopted threshold standards, and identifying financing options for necessary facilities as described in Chapter 9, "Growth Management" of the Otay Ranch General Development Plan". 15 25. Condition No. 121. (Development Phasing Plan). In partial satisfaction of Condition No. 121 of the Resolution, Developer agrees that if phasing is proposed within an individual map or through multiple final maps, the developer shall submit and obtain approval of a development phasing plan by the City Engineer and Director of Planning and Building prior to approval of any final map or parcel map as applicable. Improvements, facilities and dedications to be provided with each phase or unit of development shall be as determined by the City Engineer and Director of Planning and Building. The City reserves the right to require said improvements, facilities and/or dedications as necessary to provide adequate circulation and to meet the requirements of police and fire departments. The City Engineer and Director of Planning and Building may, at their discretion, modify the sequence of improvement construction should conditions change to warrant such a revision. 26. Condition No. 122. - (PFFP). In partial satisfaction of Condition No. 122 of the Resolution, Developer agrees to adhere to the PFFP and any a~endments thereto, approved by the City Council, including but not limited to the, SPA and tentative map improvements installed in accordance with said Plan or as required to meet threshold standards adopted by the City. Developer and City acknowledge that the PFFP identifies a facility phasing plan based upon a set of assumptions concerning the location and rate of development within and outside of the project area. Throughout the build-out of SPA One, actual development may differ from the assumptions contained in the PFFP (i.e., the development of EastLake III). Developer understands that neither the PFFP nor any other SPA One document grant the Applicant an entitlement to develop as assumed in the PFFP, or limit the SPA One's facility improvement requirements to those identified in the PFFP. Developer acknowledges that compliance with the City's threshold standards, based on actual development patterns and updated forecasts in reliance on changing entitlements and market conditions, shall govern SPA One development patterns and the facility improvement requirements to serve said development. In addition, the sequence in which improvements are constructed shall correspond to any future Eastern Chula vista Transportation Phasing Plan or amendment to the Growth Management Program and Ordinance adopted by the City. Developer understands and agrees that the City Engineer may modify the sequence of improvement construction should conditions change to warrant such a revision. Developer agrees that concurrent with the approval of the first final map approved after a Public Facility Financing Plan has been approved for the EastLake III GDP Area, the Developer shall update, at Developer's sole expense and subject to a Reimbursement Agreement, the SPA 1 PFFP and agrees that the City Engineer may change the timing of construction of the public facilities, including without 16 limitation, the nature, sizing, extent and timing for the construction of public facilities caused by SPA One, shall become a condition for all subsequent SPA One entitlements, including tentative and final maps. 27. Condition No. 123. - (Code Requirements). In partial satisfaction of Condition No. 123 of the Resolution, Developer agrees to comply with all applicable sections of the Chula Vista Municipal Code. Developer further agrees that any final map for the Project and all plans for said Project shall be prepared in accordance with the provisions of the Subdivision Map Act and the City of Chula Vista Subdivision Ordinance and Subdivision Manual. 28. Condition No. 124. - (Undergrounding). In partial satisfaction of Condition No. 124 of the Resolution, Developer agrees to underground all utilities within the subdivision in accordance with Municipal Code requirements. 29. Condition No. 125. - (Payment of Fees). In partial satisfaction of Condition No. 125 of the Resolution, Developer agrees to pay the following fe~s in accordance with the City Code and Council Policy: a. The Transportation and Public Facilities Development Impact Fees. b. Signal Participation Fees. c. Ail applicable sewer fees, including but not limited to sewer connection fees. d. Interim SR-125 impact fee. e. Telegraph Canyon Sewer Basin DIF. f. Poggi Canyon Sewer Basin DIF as may be adopted by the City in the future. h. Reimbursement District for Telegraph Canyon Road Phase 2 30. Condition No. 126. (Code Requirements). In partial satisfaction of Condition No. 126 of the Resolution, Developer agrees to comply with all relevant Federal, State, and Local regulations, including the Clean Water Act. The Developer shall be responsible for providing all required testing and documentation to demonstrate said compliance as required by the City Engineer. 31. Condition No. 127. - (Disclosure of Special Taxes). In partial satisfaction of Condition No. 127 of the Resolution, 17 Developer agrees to ensure that prospective purchasers sign a "Notice of Special Taxes and Assessments" pursuant to Municipal Code Section 5.46.020 regarding projected taxes and assessments. Submit disclosure form for approval by the City Engineer prior to Final Map approval. 32. Condition No. 132. (Code Requirements). In partial satisfaction of Condition No. 132 of the Resolution, Developer agrees to comply with Chapter 19.09 of the Chula Vista Municipal Code (Growth Management) as may be amended from time to time by the City. Said chapter includes but is not limited to: threshold standards (19.09.04), public facilities finance plan implementation (19.09.090), and public facilities finance plan amendment procedures (19.09.100). Developer further acknowledges and agrees that the City is presently in the process of amending its Growth Management Ordinance to add a proposed Section 19.09.105, to establish provisions necessary to ensure compliance with adopted threshold standards (particularly traffic) prior to construction of State Route 125. Said provisions will require the demonstration, to the satisfaction of the City Engineer, of sufficient street system cap~city to accommodate a proposed development as a prerequisite to final map approval for that development, and the applicant hereby agrees to comply with adopted amendments to the Growth Management Ordinance. 33. Condition No. 136 - (Guarded Entrances). In satisfaction of Condition No. 136 of the Resolution, Developer agrees that guarded entrances will not have physical barriers and that the entrances will be staffed from dusk until dawn, unless the MHOA or the applicant determines it is economically impractical. 34. Condition No. 144 - (MI{OA). In satisfaction of Condition No. 144 of the Resolution, Developer agrees that future property owners will be notified during escrow, by a document to be initialed by the owners, and approved by the City Engineer and Director of Planning, of the maintenance responsibilities of the MHOA and their estimated annual cost. 35. Satisfaction of Conditions. City agrees that the execution of this Agreement constitutes satisfaction or partial satisfaction of Developer's obligation of Condition Nos. 1, 2_~ 3, 4,~ 5, 8, 9, 10, 11, 14, 22, 23, 24, 34, 40, 56, 84, 85a and b, 88b, 91, 92, 93, 104, 105~ 108, 109, 114, 121, 122, 123, 124, 125, 126, 127, 132, 136 and 144 of the Resolution. Developer further understands and agrees that the some of the provisions herein may be required to be performed or accomplished prior to the approval of other final maps for the Project, as may be appropriate. 36. Unfulfilled Conditions. Developer hereby agrees, 18 unless otherwise conditioned, that Developer shall comply with all unfulfilled conditions of approval of the Tentative Map, established by Resolution No. 19448 and shall remain in compliance with and implement the terms, conditions and provisions therein. 37. Previous Agreements. The Developer acknowledges that nothing in this Agreement shall supersede, nullify or otherwise negatively impact the terms of the first Village 1 "A" Map Agreement, Map No. 13592 thereof or all prior "B" Map Agreements for Village 1, unless specifically noted herein. This Agreement affirms and reflects the terms, conditions and provisions of the first "A" Map Agreement, all subsequent Final "B" Map Agreements and of the Tentative Map 96-04 conditions applicable specifically to the Final Map for the Property. 38. Recording. This Agreement, or an abstract hereof shall be recorded simultaneously with the recordation of the Final Map. 39. Building Permits. Developer and Guest Builders understand and agree that the ~City may withhold the issuance of building permits for the Project, should the Developer be determined by the City to be in breach of any of the terms of this Agreement. The City shall provide the Developer of notice of such determination and allow the Developer with reasonable time to cure said breach. 40. Miscellaneous. a. Notices. Unless otherwise provided in this Agreement or by law, any and all notices required or permitted by this Agreement or by law to be served on or delivered to either party shall be in writing and shall be deemed duly served, delivered, and received when personally delivered to the party to whom it is directed, or in lieu thereof, when three (3) business days have elapsed following deposit in the U.S. mail, certified or registered mail, return receipt requested, first-class postage prepaid, addressed to the address indicated in this Agreement. A party may change such address for the purpose of this paragraph by giving written notice of such change to the other party. Facsimile transmission shall constitute personal delivery. CITY OF CHULA VISTA 276 Fourth Avenue Chula Vista, CA. 91910 Attn: Director of Public Works Developer: Otay Project, L.P. 350 West Ash Street, Suite 730 San Diego, CA 92101 Attn: Kim John Kilkenny Fax (619) 234-4088 South Bay Project, LLC 191 West Wilbur Road, Suite 102 Thousand Oaks, CA 91360 Attention: David Green Fax (805) 379-4472 A party may change such address for the purpose of this paragraph by giving written notice of such change to the other party in the manner provided in this paragraph. Facsimile transmission shall constitute personal delivery. 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 contains the entire agreement between the parties regarding the subject matter hereof. Any prior oral or written representations, agreements, understandings, and/or statements shall be of no force and effect. This Agreement is not intended to supersede or amend any other agreement between the parties unless expressly noted. d. Preparation of Agreement. No inference, assumption or presumption shall be drawn from the fact that a party or his attorney prepared and/or drafted this Agreement. It shall be conclusively presumed that both parties participated equally in the preparation and/or drafting this Agreement. e. Recitals; Attachments. Any recitals and Attachments set forth above are incorporated by reference into this Agreement. f. Attorneys' Fees. If either party commences litigation for the judicial interpretation, reformation, enforcement or rescission hereof, the prevailing party will be entitled to a judgment against the other for an amount equal to reasonable attorney's fees and court costs incurred. The "prevailing party" shall be deemed to be the party who is awarded substantially the relief sought. g. olympic Parkway Agreement. The parties do not intend by this Agreement to modify or amend in any way the Olympic Parkway Agreement. To the extent of any inconsistencies between this Agreement and the Olympic Parkway Agreement with regard to obligations specifically set forth in the Olympic Parkway Agreement, the Olympic Parkway Agreement shall control. [NEXT PA~E IS PA~E ONE OF TWO SIGNATURE PA~ES] [PAGE TWO OF TWO SIGNATURE PAGES TO SUPPLEMENTAL SUBDIVISION IMPROVEMENT AGREEMENT FOR VILLAGE I ~ A" MAP NO. 2] DEVELOPERS/OWNERS: OTAY PROJECT, L.P., a California limited partnership By: Otay Project, LLC, a California limited liability company, General Partner By: Otay Ranch Development, LLC, a Delaware limited liability company, Authorized Member Jeffery L. Rush, married man as .his/s~le and ~separate property, and Jaime Liwerant, Co-Trustee of l t~g,-Liw~ant Family Trust U/T/D. By: (~/~/~;z--"'-~ ~~J  ~ By: (At Notary Acknowledgment) CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT State of California t ss. County of ~ On ,,,~,~.-~, ~.~c~ beforeme, ,4~',,~¢.~ Z,.~c',~-~/~'~.~.'.,~r~ ' Name and ~tle of Officer (e g. "J~ne Doe, No~a~/Public") personally appeared ~..~'~v_.. ~ Name(s) ol Signer(s) j~personally known to me [] proved to me on the basis of satisfactory evidence to be the person,,(.e~whose name,~ is/ar~'  subscribed to the within instrument and acknowledged to me that hc/;,,hc/',,h~.y executed the same in his~ authorized ~all~ SonD~go(::o~r~ f i capacity.(Jes"~, and that by his/h~.r,'t,hc:,r' ~ M,~,Cemm. r~w~s~r13,3004 signature.(.sCon the instrument the persort(.e')~, or the entity upon behalf of which the person~ acted, executed the instrument. WITNESS my hand and official s{~al. OPTIONAL Though the information below is not required by/aw, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document. Description of Attached Document TiUe or Type of Document: /,"//-~'~'~-- //,~/-~'~ ~7' Document Date: Number of Pages: Signer{s) Other Than Named Above: Capacity{les) Claimed by Signer Signer's Name: LJ Individual [] Corporate Officer--Title(s): Top of thumb here [] Partner-- L~ Limited E; General [~ Attorney in Fact L~ Trustee [] Guardian or Conservator [~ Other: Signer Is Representing: CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT State of California County of ss. On '~01NP_ ~)~ ~[/~, before me, personally appeared Name(s) of Signer(s) L~personalty known to me [] proved to me on the basis of satisfactory evidence  to be the person,(~ whose name.(~ is/,are subscribed to the within instrument and acknowledged to me that h6/;hc/thoy executed the same in his~ authorized '. , capacity(Jes'~-', and that by hi~RmT¢tt'm~ signature(,e)'on the instrument the person,(~)', or the entity upon behalf of which the person.(,s..~. acted, executed the instrument. W~~ official seal. Place Notary Seal Above ~ ~......~t ur e of ~t a ry PUblic OPTIONAL Though the infon'nation below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document, Description of Attached Document Title or Type of Document: Document Date: Number of Pages: Signer(s) Other Than Named Above: Capacity(les) Claimed by Signer Signer's Name: ...... [] Individual [71 Corporate Officer -- Title(s): 'top of thumb here E~ Partner-- ~ Limited [] General [] Attorney in Fact L~ Trustee I~ Guardian or Conservator U Other: Signer Is Representing: CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT State of California '~ County of ~,~,,...~/~.~,~ ~ ss. On ,~/~,'~ ~;~2'~r;~,~ , beforeme, /~','~'~-- ~4/~'~ /.~;,~-,~ ,,~'~,, Name and T~/le of Of~cer (e g, 'Jarfe Doe, Notary Public") personally appeared ~./,,~r,,~ ,~ ~-/,,~ Name(s) of Signer(s) E~ personally known to me ~proved to me on the basis of satisfactory evidence to be the person(e)' whose name(e)' is.Zafe- subscribed to the within instrument and  acknowledged to me that h~ executed the same in h i s/.ber-/~d'r~ authorized '~ capacity(~')~, and that by signature(,s.).on the instrument the person~, or J ~__ _..~n D~ge County ~ the entity upon behalf of which the persorl.(...~ ~ acted, executed the instrument. WITN/E-S~anO and o~c~.aLsea~ OPTIONAL Though the information below is not required by/aw, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document. Description of Attached Document Title or Type of Document: //// ~"~ Document Date: Number of Pages: Signer(s) Other Than Named Above: Capacity(les) Claimed by Signer Signer's Name: ...... [] Individual FJ Corporate Officer -- Title(s): Top of thumb here [] Partner--I, Limited E~ General [] Attorney in Fact [] Trustee [] Guardian or Conservator [] Other: Signer Is Representing: List of Attachments Attachment A Legal Description of Property Attachment B Open Space and Park IODs Schedule 1 Conditions of Approval for Chula Vista Tract No. 96-04A ATTACHMENT "A" Legal Description of Property C}{ULA VISTA TRACT NO. 96-04A OTAY RANCH VILLAGE 1 "A" MAP NO. 2, BEING Pi~qCELS 1, 2, 4, 7, 9 AND PORTIONS OF PARCELS 3, 6, A/qD 8 OF PARCEL MAP NO. 18349 FILED IN THE OFFICE OF T}{E COUNTY RECORDER OF SA/q DIEGO COUNTY ON SEPTEMBER 29, 1999, EXCEPTING THEREFROM TRAT PORTION OF PARCEL 9 LYING SOUTI~ERLY OF OLYMPIC PARKWAY, TOGETHER WIT}{ LOT "F" OF OTAY P3~NC}{, VILLAGE 1 "A" MAP NO. 1 ACCORDING TO MAP THEREOF NO. 13592, FILED IN THE OFFICE OF SAID COUNTY RECORDER JUNE 24, 1998, ALL IN THE CITY OF CHULA VISTA, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA. ATTACHMENT "B" Irrevocable Offers of Dedication of Open Space and Park Lots Attachment "B" consists of nine pages of separately recorded instruments, which irrevocably offer Lots "C" through "G" inclusive and Lots "N" and "Q" for Open Space and other Public Purposes and Lot "0" for Public Park Purposes. SCHEDUL~E 1 Phase Seven (Purple) Tentative Subdivision Map (C.V.T. 96-04A) CONDITIONS OF APPROVAL Unless otherwise specified or required by law: (a) thc conditions and Code requirements set forth below shall be completed prior to the related final map as determined by the Director of Planning and Building, and the City Engineer, (b) unless otherwise specified, "dedicate" means grant the appropriate easement, rather than fee title. Where an easement is required the applicant shall be required to provide subordination of any prior lien holders in order to ensure that the City has a first priority interest in such land unless otherwise excused by the City. Where fee title is granted or dedicated to the City, said fee title shall be free and clear of all encumbrances, unless otherwise excused by the City. Should conflicting wording or standards occur ~between these conditions of approval, any conflict shall be resolved by the City Manager or designee. GENERAL/PRELIMINARY 1. Comply with all requirements and guidelines of the Parks, Recreation Open Space and Trails Plan, Public Facilities Financing Plan, Ranch Wide Affordable Housing Plan, Spa One Affordable Housing Plan, and the Non-Renewable Energy Conservation Plan, as amended from time to time, unless specifically modified by the appropriate department head, with thc approval of the City Manager. These plans may be subject to minor modifications by the appropriate department head, with the approval of the City Manager, however, any material modifications shall be subject to approval by the City Council. 2. All of the terms, covenants and conditions contained herein shall be binding upon and inure to the benefit of the heirs, successors, assigns and representatives of the Developer as to any or all of the Property. For purposes of this document the term "Developer" shall also mean "Applicant". 3. If any o£ the terms, covenants or conditions contained herein shall fail to occur or if they are? by their terms, to be implemented and maintained over time, if any o£ such conditions fail to be so implemented and maintained according to their terms, the City shall have the right to revoke or modify all approvals herein granted including issuance of building permits, deny, or further condition the subsequent approvals that are derived from the approvals herein granted, institute and prosecute litigation to compel their compliance with said conditions or seek damages for their violation. The applicant shall be notified 10 days in advance prior to any of the above actions being taken by the City and shall be given the opportunity to remedy any deficiencies identified by the City. 27 4. Applicant shall indemnify, protect, defend and hold the City harmless from and against any and all claims, liabilities and costs, including attomey--s fees, arising from challenges to the Environmental Impact Report for the Project and any or all entitlements and approvals issued by the City in connection with the Project. 5. The applicant shall comply with all applicable SPA conditions of approval. 6. Any and all agreements that the applicant is required to enter in hereunder, shall be in a form approved by the City Attorney. 7. The terms, conditions and time limits associated with this tentative map shall be consistent with the Development Agreement approved by Ordinance No. 2679 by the City Council on July 16, 1996 ("Development Agreement") and as amended on October 22, 1996. 8. The applicant shall comply with the terms of the Conveyance Agreement, as may be amended from time to time, adopted by Res61ution No. 18416 by the City Council on October 22, 1996 ("Conveyance Agreement"). ENVIRONMENTAL 9. Prior to approval of each final "B" Map, the applicant shall implement all applicable mitigation measures identified in EIR 95-01, subsequent EIR 97-03, the CEQA Findings of Fact for this Project (on file in the City Clerk's Office as Document No. CO96-056 and No. ) and the Mitigation Monitoring and Reporting Program (on file in the City Clerk's Office as Document No. CO96-057 and No. ). 10. Prior to the approval of each final "B" Map, the applicant shall comply with all applicable requirements of the Phase 2 Resource Management Plan (RMP) as approved by the City Council on June 4, 1996 and as may be amended from time to time by the City. 11. Prior to the approval of each final "B" Map, the applicant shall comply with the Otay Ranch Resource Preserve Conveyance Plan. 12. The Applicant shall comply with any applicable requirements of the California Department of Fish and Game, the U.S. Department of Fish and Wildlife and the U.S. Army Corps of Engineers. SPECIAL CONDITIONS OF APPROVAL 13. The following conditions of approval are based upon the project having multiple final maps for the entire subdivision which shall be referenced hereinafter as $~final 'B' Maps". Unless otherwise specified, all conditions and code requirements listed below shall be fully completed to the City=s satisfaction prior to approval of the first Final AB@ Map. 14. Prior to approval of the first f'mal map within each Village the tentative map, the developer shall submit and obtain the approval of the City of a master f'mal map ("A" Map) over the portion of the tentative map within each Village area showing "super block" lots corresponding to the units and phasing or combination of units and phasing thereof. Said "A" map shall also show open space lot dedications, the backbone street dedications and utility easements required to serve the "super block" lots created by this AA@ Map. All "super block" lots created by this AA@ Map or previous parcel map shall have access to a dedicated public street. Said "A" map shall not be considered the first map as indicated in other conditions of approval unless said map contains single or multiple family lots or a subdivision of the multiple family lots shown on the tentative map. A lot line adjustment, if utilized in accordance with City standards and procedures, shall not be considered the first "A" Map. The AA@ Map may contain single family residential units. 15. The subsequent development of a multiple family lot which does not require the filing of a "B" Map shall meet, prior to issuance of a building permit for that lot, all the applicable conditions of approval of the tentative map, as determined by the City Engineer. Construction of non-backbone streets adjacent to multiple family lots will not need to be bonded for with the final "A" Map which created such lot. However, such improvements will be required to be constructed under the Municipal Code provisions requiring construction of street improvements under the design review and building permit issuance processes. 16. In the event of a filing of a final map which requires oversizing (in accordance with the restrictions of state law and City ordinances) of the improvements necessary to serve other properties, said final map shall be required to install all necessary improvements to serve the project plus the necessary oversizing of facilities required to serve such other properties. DESIGN 17. A street connecting Montera Street and Cameros Street shall be installed as part of the improvements for Neighborhoods R-18 and R-48. The connection shall be located near lots 54 and 55 in R-18 and lots 26 and 27 in R-48. The connection shall be designed as a Residential Street - Condition AA@. The northerly ends of Montera Street and Carneros Street may utilize the AModified Cul-de-Sac@ design depicted on the Tentative Map if they are less than 150 feet in length. The exact location of the connecting street shall be determined by the City Engineer and the Director of Planning and Building. 18. Any proposed monumentation/signage shall be consistent with the Village Design Plan and shall be reviewed and approved by the Director of Planning and Building prior to approval of the appropriate final map. 19. In addition to the requirements outlined in the City of Chula Vista Landscape Manual, privately maintained slopes in excess of 25 feet in height shall be landscaped and irrigated to soften their appearance as follows: one 5-gallon or larger size tree per each 150 square feet of slope area, one 1-gallon or larger size shrub per each 100 square feet of slope area, and appropriate groundcover. Trees and shrubs shall be planted in staggered clusters to soften and vary the slope plane. Landscape and irrigation plans for private slopes shall be reviewed and approved by the Director of Planning and Building prior to approval of the appropriate final map. 20. A comprehensive wall plan indicating color, materials, height and location shall be reviewed and approved by the Director of Planning and Building prior to approval of any final "B" Map. Materials and color used shall be compatible and all walls located in comer side-yards or rear yards facing public or private streets or pedestrian connections shall be constructed of a decorative masonry and/or wrought iron material. A revised acoustical analysis indicating if view fencing, such as a combination of masonry and wrought iron, is allowable at the ends of cul,de-sacs backing up to, Olympic Parkway, and Paseo Ranchero, shall be prepared prior to submittal of the wall plan indicated above. If such fencing is allowable per the final acoustical analysis it shall be provided at the ends of the following streets:-Weaverville Street, Greenfield Street, Hayfork Place, Carueros Street, Santa Rita East, Grayson Street, Delano Street, Belmont Street, and Atherton Street. View fencing shall be provided at the ends of all other open cul-de-sacs where a sound wall is not required. Any combination free standing/retaining walls shall not exceed 8.5 feet in height. The applicant shall submit a detail and/or cross section of the maximum/minimum conditions for all "combination walls" which include retaining and free standing walls. Said detail shall be reviewed and approved by the Director of Planning and Building prior to the approval of the first final map. The maximum height of all retaining walls shall be 2.5 feet in height when combined with freestanding walls which are six feet in height. A 2-3 foot separation shall be provided between free standing and retaining walls where the combined height would otherwise exceed 8.5 feet. 21. Lots backing or siding onto pedestrian paseos or parks shall be provided with view fencing, such as three feet of wrought iron on top of a three foot masonry wall, subject to approval by the Fire Marshal and the Director of Planning and Building STREETS, RIGHT-OF-WAY AND PUBLIC IMPROVEMENTS 22. Install public facilities in accordance with the Otay Ranch SPA One, Public Facilities Finance Plan as may be amended from time to time or as required by the City Engineer to meet threshold standards adopted by the City of Chula Vista. The City Engineer and Director of Planning and Building may, at their discretion, modify the sequence of improvement construction should conditions change to warrant such a revision. The Developer shall construct 30 the public improvements and provide security satisfactory to the City Engineer as set forth in the first final /~B@ map Supplemental Subdivision Improvement Agreement for Village One and attachment Exhibit AE@ thereto, approved by City Council Resolution No. 19211 on October 6, 1998. 23. Dedicate for public use ail the public streets shown on the tentative map within the subdivision boundary. Prior to the approvai of the applicable "B" Map, the applicant shall enter into an agreement to guarantee the construction of all street improvements as required by the PFFP for each particular phase. 24. Secure in accordance with Section 18.16.220 of the Municipal Code, as necessary, the construction and/or construct full street improvements for ail on-site and off-site streets deemed necessary to provide service to the subject subdivision. Said improvements shall include, but not be limited to, asphalt concrete pavement, base, concrete curb, gutter and sidewalk, sewer, reclaimed water and water utilities, drainage facilities, street lights, signs, landscaping, irrigation, fencing and fire hydrants. Street cross sections shall conform to the cross sections shown on the Tentative Map, unless. otherwise conditioned or approved herein. All other design criteria shall comply with the current Chula Vista Design Standards, Chula Vista Street Design Standards, and the Chula Vista Subdivision Manual unless otherwise conditioned or approved herein. 25. As part of the improvement plans associated with the final "B" Map which triggers the installation of the related street improvements, install a fully activated traffic signal including interconnect wiring at the following intersections: a. East Palomar Street and Paseo Ranchero b. Olympic Parkway and Paseo Ranchero Instail underground improvements, standards and luminaries with construction of street improvements, and install mast arms, signal heads and associated equipment as determined by the City Engineer. 26. Submit to and obtain approval by the City Engineer of striping plans for all collector or higher classification streets simultaneously with the associated improvement plans. 27. Design ail vertical and horizontal curves and intersection sight distances to conform to the Caltrans Highway Design Manual. All streets which intersect other streets at or near horizontal or vertical curves must meet intersection design sight distance requirements in accordance with City standards. Sight visibility easements shail be granted as necessary to comply with the requirements in the Caltrans Highway Design Manuai. 28. All cul-de-sacs and knuckles not conforming to City standards shall have a design waiver submitted by the Engineer-of-Work to the City Engineer stating the deviations fi.om City standards and explaining that, in their professional opinion, no safety considerations will be compromised. The waiver will be subject to approval or disapproval at the discretion of the City Engineer. 29. Two (2) points of vehicular access shall be provided to each Neighborhoods/Sites as follows: a. Neighborhood R-19 b. Neighborhood R-47 c. CPF-1/C-1 d. Neighborhood R- 15 e. CPF-2 The Developer shall construct and complete the required access improvements prior to occupancy of any building within the above Neighborhood/Sites. The exact locations of the two (2) points of vehicular access for each Neighborhood/Site shall be approved by the Director of Planning and Building prior to Site Plan approval. The Director of Planning and Building may waive the requirement for one or more of the points of access to any Neighborhood/Site upon site plan approval in his/her sole discretion. 30. Access to East Palomar Street from the tentative map shall be relinquished on the final AA@ map. 31. The private paseo located in Neighborhood R-15/CPF-2 shall be constructed concurrent with the development of Neighborhood R-15 and completed prior to occupancy of the first dwelling trait in R-15. The exact location, alignment and landscaping of the Paseo in Neighborhood R-15/CPF-2 shall be approved by the Director of Planning and Building at the time of Site Plan approval for R-15/CPF-2. The applicant may request reconsideration of the requirement for the paseo which the Director of Planning and Building may determine at his/her sole discretion. 32. The General Utility Easement at the end of Santa Andrea leading to the emergency access road shown on the Tentative Map at the easterly end of Fieldbrook Street shall be included within the boundaries of Neighborhood R-16 and shall be granted on the final hBo map for R-16. The easement shall include pedestrian access improvements, construction of which shall be secured prior to the approval of the first final AB@ map for R-16 and shall be approved 32 by the Director of Planning and Building. Security shall be provided in the form of a bond or as otherwise approved by the City Engineer. 33. Install all street trees in accordance with Section 18.28.10 of the Chula Vista Municipal Code. All street trees shall be planted in parkways which have been selected from the revised list of appropriate tree species described in the Village Design Plan, and shall be approved by the Director of Planning and Building and Director of Public Works. The applicant shall provide root control methods per the requirements of the Director of Planning and Building, and provide a deep watering irrigation system for the trees. An irrigation system shall be provided from each individual lot to the adjacent parkway. A street tree improvement plan shall be submitted prior to or concurrent with the second submittal of street improvement plans for each subdivision. The street tree improvement plans, including final selection of street trees, for the street parkways shall be approved by the Director of Planning and Building and the City Engineer. 34. Construct sidewalks and construct pedestrian rumps on all walkways to meet or exceed the AAmericans with Disabilities Act@ standards and as approved by the City Engineer. In the event the Federal Government adopts ADA' standards for street rights-of-way which are in conflict with the standards and approvals contained herein, all such approvals conflicting with those standards shall be updated to reflect those standards. Unless otherwise required by federal law, City ADA standards may be considered vested, as determined by Federal regulations, only after construction has commenced. 35. Alley openings shall be per San Diego Regional Standard Drawing No. G-17, or approved modifications thereto. Additional requirements may be imposed by the City on alleys to address specific geometric and other design issues that may arise during the review of the site plan and/or improvement plans for Neighborhood R-16. These requirements shall include but are not limited to: a minimum turning radius for alleys, comer chumfers, alley signage, lighting, and unit addressing. 36. The applicant shall construct a 20-foot wide, all-weather concrete (6 inch minimum depth) emergency access road (secondary Village One Core access) from Olympic Parkway to the easterly end of Fieldbrook Street, upon the request of the City Engineer. The emergency access road shall be secured by a bond or as otherwise approved by the City Engineer prior to the approval of the/~A@ Map. The cross-section of the emergency access road shall be as shown on the Tentative Map. Upon the request of the City Engineer, the applicant shall submit a full set of road improvement plans; including but not limited to: horizontal alignment, vertical profiles, intersection details, drainage appurtenances and access control, all as approved by the City Engineer and the Fire Marshal. Emergency entrances shall be provided with mechanical gates and an "Opticom" system, or some other automated system with backup and/or fail safe features acceptable to the Police and Fire Chief. 33 37. Provide (1) twenty feet setback on driveways from property line to garage and (2) sectional roll-up type garage doors at all properties fronting on streets where cul-de-sacs are 150 feet or less in length except as provided for in the Planned Community District Regulations or approved by the City Engineer and the Director of Planning and Building. 38. Residential Street Condition A as denoted on the cover page of the tentative map is the preferred section and shall be implemented on all residential streets, including the connecting street in Neighborhood R-15 as defined in SPA One. Unless otherwise approved by the City Engineer and Director of Planning and Building. However, Mount Maclure Drive, between Fieldbrook Street and Greenfield Street, and the easterly side of Santa Rim, between Fieldbrook Street and Carneros Street shall be constructed with five foot sidewalks in lieu of the four foot sidewalks indicated on the Tentative Map cross-sections. 39. Requested General Waivers 1, 2 and 4, as indicated on the cover sheet of the tentative map, are hereby approved. Specific Waivers 1 and 2 are approved subject to the condition that one-way circulation be provided at the north-south streets adjacent to park P-12, unless otherwise approved by the City Engineer. ?' 40. Not install privately owned water, reclaimed water, or other utilities crossing any public street. This shall include the prohibition of the installation of sleeves for future construction of privately owned facilities. The City Engineer may waive this requirement if the following is accomplished: a. The developer enters into an agreement with the City where the developer agrees to the following: (1) Apply for an encroachment permit for installation of the private facilities within the public right-of-way. (2) Maintain membership in an advance notice such as the USA Dig Alert Service. (3) Mark out any private facilities owned by the developer whenever work is performed in the area. The terms of this agreement shall be binding upon the successors and assigns of the developer. b. Shutoff devices as determined by the City Engineer are provided at those locations where private facilities traverse public streets. 41. Prior to the approval of any improvement plan within the tentative map, submit and obtain preliminary approval for proposed street names from the Director of Planning and 34 Building and the City Engineer. No two intersections shall have the same name. Street name suffixes shall comply with City standards. 42. The applicant shall construct emergency access roads to East Palomar Street at the end of Weaverville Street and Fieldbrook Street upon the request of the City Engineer. The access roads shall be secured by a bond or as otherwise approved by the City Engineer and City Attorney in an amount approved by the City Engineer, prior to the approval of the fmal map for Neighborhood R-48 and R-18 respectively. The emergency access roads shall be contained within general access easements granted to the City of Chula Vista. Emergency access entrances shall be provided with mechanical gates and an "Opticom" system, or some other automated system with backup and/or fail safe features acceptable to the Police and Fire Chief. 43. The City of San Diego Water Line (Otay Lakes Pipeline No. 2) within the Tentative Map shall be relocated or a revised Tentative Map for Neighborhood R-17 shall be approved prior to the approval of the first Final Map within Neighborhood R-17. 44. Street light locations shall be approved 'by the City Engineer. 45. Prior to the approval of the first final @B@ map, the applicant shall process and obtain the approval of a Parcel Map, or similar plat or instnunent, whereupon the right-of-way for Olympic Parkway from Brandywine Avenue to SR-125 is offered for dedication to the City of Chula Vista. The alignment of Olympic Parkway shall substantially conform to the final Olympic Parkway Feasibility Report prepared by Kimley-Hom and Associates, Inc. If the City and Applicant enter into the Agreement for Financing and Construction of Olympic Parkway and Related Roadway_Improvements which requires the dedication of Olympic Parkway as described above, the Developer shall conform to that agreement. 46. The typical cross section of Olympic Parkway including the right-of-way, regional trail, and meandering sidewalks shall conform to the final Olympic Parkway Master Landscape Plan by Estrada Land Planning, Inc. The regional trail shall be located on the north side of Olympic Parkway, within the 20 foot landscape easement. Where the Poggi Canyon Channel crosses to the southerly side of Olympic Parkway, the developer shall provide an additional 12 foot wide flat area behind the Olympic Parkway right-of-way. GRADING AND DRAINAGE 47. Storm drain systems that collect water from private property shall be designated private on grading and drainage and/or improvement plans to the point of connection with a public system or to the point at which storm water that is collected from public street right-of-way, public park or open space areas is first introduced into the system. Downstream from that point, the storm drain system shall be public. An encroachment permit shall be processed and approved by the City for private storm drains within the public right-of-way or within C.F.D. maintained Open Space lots. 35 48. Submit with grading and drainage and/or improvement plans as applicable hydrologic and hydraulic studies and calculations, including dry lane calculations for all public streets. Calculations shall also be provided to demonstrate the adequacy of downstream drainage structures, pipes and inlets. 49. The developer shall submit notarized letters of permission to grade for all off-site grading. 50. Storm drain design shall conform to the requirements of the Subdivision Manual and the Grading Ordinance as may be amended from time to time. 51. Design the storm drains and other drainage facilities to include Best Management Practices to minimize non-point source pollution, satisfactory to the City Engineer. 52. Provide a setback, as determined by the City Engineer, between the property lines of the proposed lots and the top or toe of any slope to be constructed where the proposed grading adjoins undeveloped property or property owned 'by others. The City Engineer shall not approve the creation of any lot that does not meet the required setback. 53. Submit a list of proposed lots with the appropriate grading plan indicating whether the structure will be located on fill, cut or a transition between the two situations unless otherwise approved by the City Engineer. 54. Grant on the appropriate final "B" Map a 15 feet minimum drainage and access easement for storm drain lines located between residential units unless otherwise directed by the City Engineer. All other easements shall meet City standards for required width. 55. Prior to approval of the first final "B" Map or grading permit for land draining into Poggi Canyon or grading permit which requires construction of the Poggi Canyon Channel, whichever is earlier, the developer shall: a. Guarantee the construction of the applicable drainage facility, unless otherwise approved by the City Engineer including a runoff detention/desilting basin and naturalized channel in Poggi Canyon; The City Engineer may approve that these facilities are constructed at a later time if the developer provides private temporary runoff detention basins or other facilities, approved by the City Engineer, which would reduce the quantity of runoff from the development to an amount equal to less than the present 100 year flow. Said temporary facilities shall comply with all the provisions of the National Pollutant Discharge Elimination System (NPDES) and the Clean Water Program. Prior to issuance of any grading permit which approves any temporary 36 I - · I ' facility, the developer shall' enter into an agreement with the City to guarantee the adequate operation and maintenance (O & M) of said facility. The developer shall provide security satisfactory to the City to guarantee the O & M activities, in the event said facilities are not maintained to City standards as determined by the City Engineer. The developer shall be responsible for obtaining all permits and agreements with the environmental regulatory agencies required to perform this work. b. Prepare a maintenance program including a schedule, estimate of cost, operations manual and a financing mechanism for the maintenance of the applicable facilities. Said program shall be subject to approval of the City Engineer, the Director of Planning and Building, and the applicable environmental agencies. c. Enter into an agreement with the City of Chula Vista and the applicable environmental agencies (Fish and Game, Fish and Wildlife) wherein the parties agree to implement the maintehance program. d. Enter into an agreement with the City where the developer agrees to the following: (1) Provide for the maintenance of the proposed naturalized channel and detention basin in Poggi Canyon until such time as maintenance of such facilities is assumed by the City or an open space district. (2) Provide for the removal of siltation in the Poggi Canyon Channel (including detention basins) until all upstream grading within the development is completed and erosion protection planting is adequately established as determined by the City Engineer and Director of Planning and Building. (3) Provide for the removal of any siltation in the Poggi Canyon Channel (including detention basins) attributable to the development for a minimum period of five years after maintenance of the facility is accepted by the City or an open space district. 561. Comply with all the provisions of the National Pollutant Discharge Elimination System (NPDES) and the Clean Water Program. 57. Provide runoff detention basins or any other facility approved by the City Engineer to reduce the quantity of runoff from the development to an amount equal to or less than the present 100-year frequency runoff. 37 58. Storm drain clean outs shall not be located on slopes or in inaccessible areas for maintenance equipment. Public storm drains shall be installed as close to perpendicular to the slope contours as possible but in no case greater than 15 degrees from perpendicular to the contours. 59. Brow ditches that flow over a slope greater than 10 feet in height and are steeper than a 3:1 shall not be allowed. Drainage shall be collected in an inlet and carried to the bottom of the slope in an underground storm drain. 60. Ensure that brow channels and ditches emanating from and/or running through City Open Space are not routed through private property and vice versa. 61. Provide a graded access (12 feet minimum width) and access easements as required by the City Engineer to all public storm drain inlet structures, including but not limited to the following: a. The 8 ft. by 8 ft. box culvert located at the southeast comer of Paseo Ranchero and Olympic Parkway. b. Both ends of the box culvert crossing Olympic Parkway in the vicinity of the Emergency Access Road. c. To a secondary drainage channel along the southerly side of Olympic Parkway easterly of the point where the Poggi Canyon Channel crosses to the southerly side of Olympic Parkway, if such a channel is indicated on the grading plans for that area._ The access road and easement may he deleted with the development of Village Two by approval of the City Engineer. Improved access as determined by the City Engineer shall be provided to public drainage structures located in the rear yard of any residential lot 62. Provide additional graded maintenance access roads along both sides of the proposed onsite and offsite portions of the Poggi Canyon Channel. The width of said roads shall be 12 feet unless otherwise approved by the City Engineer. The final dimensions and location of the access roads shall be as determined by the City Engineer. The maintenance access roads shall be designed to accommodate the space required for the 20 foot wide tree planting nodes as depicted on ~he Olympic Parkway Landscape Master Plan by Estrada Land Planning, Inc. 63. Provide a protective fencing system around (1) the proposed detention basins at Poggi Canyon, and (2) inlets and outlets of storm drain structures, as directed by the City Engineer. The final design and types of construction materials shall be subject to approval of the Director of Planning and Building and the City Engineer. 38 64. Designate all drainage facilities draining private property to the point of connection with public facilities as private. 65. Provide a 6 inch thick concrete access road to the bottom of the proposed detention basins. This access shall have a minimum width of 12 feet, a maximum slope of 8%, and a heavy broom finish on the ramp as directed by the City Engineer. 66. Obtain a Letter of Map Revision (LOMR) from the Federal Emergency Management Agency revising the current National Flood Insurance Program maps of the downstream end of Poggi Canyon Channel west of Brandywine Avenue to reflect the effect of the proposed drainage improvements. The LOMR shall be completed prior to acceptance by the City of the proposed detention facility. 67. Obtain, prior to approval of the first final "B" Map, the approval of the Director of Public Works of any amendment necessary to make the Master Drainage plan consistent with the approved Tentative Map. 68. Prepare and obtain approval by the City Engineer and Director of Planning and Building an erosion and sedimentation control plan and landscape/irrigation plans as part of the grading plans. 69. Indicate on all affected grading plans that all wails which are to be maintained by open space districts shall be constructed entirely within open space lots dedicated to the City. 70. Prior to issuance of any grading permit for any land that is contained within the Tentative Map or within the Poggi Canyon Basin, the applicant shall: a. secure the approval of an amendment to the Otay Ranch Phase Two Resource Management Plan by the City Council. b. secure the required permits from the Army Corps of Engineers (ACOE) and the California Department of Fish and Game (CDFG). Grading plans that do not require ACOE or CDFG permits may be approved by the City Engineer. No grading adjacent to the Poggi Canyon shall occur without prior consultation with the City Mitigation Monitor, the City Engineering Inspector, the ACOE, and the CDFG. SEWER 71. All sewer access points (manholes) shall be located at the centerline of streets or cul-de- sacs unless otherwise approved by the City Engineer and Director of Public Works. 39 72. Provide an improved access road with a minimum width of 12 feet to all sanitary sewer manholes. The roadway shall be designed for an H-20 wheel load or other loading as approved by the City Engineer. 73. Grant on the appropriate final "B" Map a 20 feet minimum sewer and access easement for sewerlines located between residential units unless otherwise directed by the City Engineer. All other easements shall meet City standards for required width. 74. No diversion from the natural boundaries of the Poggi Canyon Sewer Basin will be allowed, unless approved by the City Engineer. 75. Prior to the approval of the first final @B@ map or site plan approval, whichever comes first, for any portion of the tentative map which was within the Poggi Canyon Basin prior to any grading, the applicant shall submit a study analyzing the capacity of sewer facilities within and downstream from the Poggi Canyon Basin. The study shall be approved by the City Engineer and shall consider all approved land development projects and anticipated future land uses that would utilize the downstream facilities. The sewer study shall update the AOverview of Sewer Service for SPA One at the Otay Ranch Projeci@ (SPA One Sewer Report) prepared by Wilson Engineering dated June 4, 1996. PARKS/OPEN SPACE/VfILDLIFE PRESERVATION 76. The SPA One project shall satisfy the requirements of the City's Park Land Dedication Ordinance (PLDO) (Chapter 17.10). The ordinance establishes a requirement that the project provide three (3) acres of local parks and related improvements per 1,000 residents. Local parks are comprised of community parks, neighborhood parks and pedestrian parks (to the extent that pedestrian parks receive partial park credit as defined below). Two thirds (2 acres/I,000 residents) of local park requirement shall be satisfied through the provision of mm-key neighborhood and pedestrian parks within SPA One. The remaining requirement (1 acre/I,000 residents) shall be satisfied through the payment of Park Acquisition and Dedication (PAD) fees, dedication of land, or a combination thereof. 77. All local parks shall be consistent with the SPA One PFFP, as may be amended from time to time, and shall be installed by the Applicant. A construction schedule, requiring all parks to be completed in a timely manner, shall be approved by the Director of Planning and Building. 78. All local parks shall be designed and constructed consistent with the provisions of the Chula Vista Landscape Manual and related Planning and Building Department specifications and policies. 79. The applicant shall enter into a Chula Vista standard three party agreement with the City of Chula Vista and design consultant(s), for the design of all aspects of the neighborhood and 40 community parks in accordance with the Master Plan whereby the Planning and Building Director selects the design consultant(s), to be funded by the applicant. The cost for the consultant(s) shall be established and said amount deposited into an accotmt prior to any work being initiated by the consultant. The agreement shall include, but not be limited to, master planning, design development phase, construction document phase and construction supervision phase for the park sites. The construction documents shall reflect the then current requirements of the City--s Code/Landscape Manual requirements. 80. The Applicant shall receive surplus park credit to the extent the combined park credit for neighborhood parks, pedestrian parks, and the community park exceeds the 3 acres per 1,000 residents standard. This surplus park credit may be utilized by the Applicant to satisfy local park requirements in future SPAs. 81. The Applicant and the City shall mutually agree on a PAD fee reimbursement schedule in coordination with the adopted construction schedule. Milestones will be established for partial reimbursement during the construction process. The City may withhold up to 20% of the park construction funds until the park has been c{srflpleted and accepted. Reimbursement of PAD fees shall include the interest accrued by the citY on said PAD fees minus the City=s cost of processing and administering this reimbursement program. 82. Grant in fee all designated public park lands at such time as is necessary to implement the requirements of the PLDO and the PFFP. 83. Pedestrian Parks (also known as mini-parks): Pedestrian parks less than five acres, as identified in the SPA One Plan, shall be maintained by a funding entity other than the City=s General Fund. Pedestrian parks shall receive a minimum of 25% and a maximum of 50% park credit, as determined by the Director of Planning and Building pursuant to the City wide small park credit criteria which shall be approved by the City Council. Parks located within guarded areas shall not receive park credit. 84. Neighborhood Parks: a. In addition to those PAD fees required by Condition No. 76, the Applicant shall pay PAD fees based on a formula of 2 acres per 1,000 residents for the first 500 dwelling units within SPA One. In the City-s sole discretion, PAD fees may be : required for units in excess of the first 500 dwelling units within SPA One. b. Prior to the approval of the first final map which creates residential lots ("B" Map), the applicant shall enter into a supplemental agreement where the applicant agrees to construct the first neighborhood park in SPA One, in a location determined by the Director of Planning and Building, no later than issuance of the building permit for the 500th dwelling unit within SPA One. The agreement shall also provide the following: (1) Developer shall commence construction of the first neighborhood park in SPA One, identified as Park P-l, at the location set forth in SPA One Plan and as shown on the Village One AA@ Map No. 13592 thereof as lot AF@, no later than issuance of the building permit for the 500th dwelling unit for the Project. The level of amenities required in said construction of the first neighborhood park shall be determined by the Director of Planning and Building in conjunction with the park master planning effort required by the City of Chula Vista Landscape Manual. Notwithstanding anything herein to the contrary, the developer shall complete construction of the entire P-1 neighborhood park as identified in SPA One Plan within eight (8) months after commencing construction of said park. For purposes of this paragraph, Acomplete construction@ shall mean that the construction of the park has been completed and accepted by the City as being in compliance with the Park Master Plan, but prior to the City--s required mandatory maintenance period. (2) Developer agrees to commence construction of the second neighborhood park in SPA One, identified as P-2, at the location set forth in the SPA One Plan and as shown on said Village One AA@ Map as lot/~R@. Such construction shall commence upon the earlier off a) issuance of the building permit for the 2033th dwelling unit for SPA One, or b) if the Project is determined by the City to be in deficit in constructed neighborhood parks based upon 2 acres/l,000 residents. Such construction shall be completed within eight (8) months after commencing construction of said park. For purposes of this paragraph, Acomplete construction@ shall mean that the construction of the park has been completed and accepted by the City as being in compliance with the Park Master Plan, but prior to the City=s required mandatory maintenance period. This is not intended to supersede any of the City=s maintenance guarantee requirements. The Developer and City agree to negotiate in good faith a park agreement concerning Developer=s neighborhood and community park obligations for Villages 1 and 5 of SPA One. (3) At no time following completion of construction of the first phase of the first neighborhood park shall there be a deficit in "constructed neighborhood park" based upon 2 acres/I,000 residents. Applicant agrees that the City may withhold the issuance of building permits should said deficit occur. For purposes of this condition, the term "constructed neighborhood park" shall mean that construction of the park has been completed and accepted by the Director of Planning and Building as being in compliance with the Park Master Plan, but prior to the mandatory 9-12 42 month maintenance period. This condition is not intended to supersede any of the City=s maintenance guarantee requirements. (4) The Applicant shall receive reimbursement of PAD fees, proportionate to what has been constructed, should they deliver a turn-key park which has been constructed in accordance with the Parks Master Plan subject to approval by the Director of Planning and Building. c. The applicant shall grant to the City, at the "A" Map stage, an irrevocable offer of dedication for all public neighborhood parks shown on the Tentative Map. 85. Community Parks: a. Prior to the approval of each final "B" Map the Applicant shall comply with the PLDO for the Community Park based upon a formula of 1 acre per 1, 000 residents, until such time as a turn-key facility has been constructed by the applicant and accepted by thd DireCtOr of Planning and Building. Said mm-key facility is subject to the reimbursement mechanism set forth below. b. The first Otay Ranch Community Park, to satisfy SPA One demand, shall be located in Village 2 as identified in the GDP. c. Notwithstanding that the community park requirement (1 acre/I,000 residents) shall be satisfied through the payment of PAD fees, the Applicant shall commence construction of the first phase of the Community Park prior to issuance of the building permit for the 2,650th dwelling unit within SPA One. The first phase of construction shall include, but not be limited to, improvements such as a graded site with utilities provided to the property line and an all weather access road acceptable to the Fire Department. d. The Applicant shall commence construction of the second phase of the Community Park prior to issuance of the building permit for the 3,000th dwelling unit within SPA One. Second phase improvements shall include recreational amenities as identified in the Park Master Plan. e. The Community Park shall be ready for acceptance by the Director of Planning and Building for maintenance prior to issuance of the building permit for the 3,900th dwelling unit within SPA One. f. If the Director of Planning and Building determines that it is not feasible for the Applicant to commence construction of the first phase improvements of the community park prior to issuance of the building permit for the 2,650th unit within SPA One, then the Director of Planning and Building shall have the option to utilize the PAD fees for said improvements, or to construct another park 43 facility, east of the 1-805 Freeway within an acceptable service radius of SPA One, as set forth in the GDP. g. The Applicant shall provide a ma'mtenance period of 9-12 months in accordance with the City of Chula Vista Planning and Building Department policy. h. The Applicant shall receive reimbursement of PAD fees, proportionate to what has been constructed, excluding the cost of construction of the all weather access road, for the community park should they deliver a turn-key facility to the City in accordance with the Community Park Master Plan, subject to the approval of the Director of Planning and Building. 86. Trails/Open Space: The applicant shall construct trails as follows: a. The Regional Trail shall be Io~cated on the north side of Poggi Canyon (Olympic Parkway) for the entire length of Olympic Parkway in Village One, and shall be designed to incorporate the Olympic Parkway Landscape Master Plan by Estrada Land Planning, Inc., as approved by the the City and as amended from time to time including the Atree planting nodes@ as specified in the Olympic Parkway Landscape Master Plan. Specific locations shall be subject to the approval of the Director of Planning and Building. The Regional Trail shall meander away from the curb as much as possible avoiding the Atree planting nodes@ If retaining walls are necessary, they should be kept to a minimum and/or if a grading solution can be found, retaining walls will not be used to gain additional space for the street corridor. The retaining walls are to be located and detailed on the Grading Plans for Olympic Parkway and/or the Poggi Canyon Drainage Channel, and approved by the Director of Planning and Building. Slopes gradients may be increased to the maximum permitted in the grading ordinance in limited locations to accomodate the Atree planting nodes@ and maintenance access ways. Landform grading policies shall be observed. If a combination of Iow retaining walls and modified landform grading cannot accomodate Atree planting nodes@ and maintenance access areas, the top of slope shall be adjusted as necessary. Prior to the installation of the regional trail, install a fence along those portions of the . proposed maintenance access roads of the Poggi Canyon Channel, which are proposed to be incorporated into the Regional Trail System. The fence shall be erected only at those locations where its installation will not interfere with the normal channel maintenance. The specific locations where the fence will be allowed and the fence details shall be as determined by the City Engineer and Director of Planning and Building. 46 b. All trails shall be constructed concurrent with the approved Phase Seven rough grading, and connect to adjoining existing and/or proposed trails in neighboring development projects, as determined by the Director of Planning and Building. c. The maximum gradient for non-ADA compliant connector trails shall be 10%. Steeper grades of up to 12% for short runs of 50 feet may be permitted subject to the approval by the Director of Planning and Building. d. The graded section upon which the connecting trails are constructed shall be 10 feet in width. Six feet shall be provided for the trail bed, with a 2 foot graded shoulder on either side. e. Applicant shall install appropriate signage indicating location of trail connections, handicap access, and bikeway locations to the Regional Trail, and shall be approved by the Director of Planning and Building prior to the approval of the first final/~B@ map for Phase Seven (Purple Phase). Signage shall be installed upon the request of the Directo'r~0f Planning and Building. f. Prior to the installation of the regional trail, install a fence along those portions of the proposed maintenance access roads of the Poggi Canyon Channel, which are proposed to be incorporated into the Regional Trail System. The fence shall be erected only at those locations where its installation will not interfere with the normal channel maintenance. The specific locations where the fence will be allowed and the fence details shall be as determined by the City Engineer and Director of Planning and Building. 87. Community Gardens: a. Community Gardens shall be consistent with the guidelines in the SPA One Parks, Recreation, Open Space and Trails Master Plan, including creation of the Community Garden Committee and their responsibilities. b. Water lines shall be stubbed from the nearest open space water meter to the site(s) in order to facilitate development of the Commnnity Gardens. c. Community Garden sites shall be consistent with those identified on the tentative map. d. Maintenance of Community Gardens shall be funded by an Open Space Maintenance District, Homeowner=s Association or other funding mechanism approved by the Director of Planning and Building and the City Engineer. e. Community Gardens shall not receive park credit. 45 OPEN SPACE/ASSESSMENTS 88. Prior to the approval of the first final Map, the developer shall: a. Submit and obtain approval of an updated Open Space Maintenance Responsibilities Map from the Director of Planning and Building. b. Submit evidence acceptable to the City Engineer and the Director of Planning and Building of the formation of a Master Homeowner=s Association (MHOA), or another financial mechanism acceptable to the City Manager, which includes all the properties within the approved tentative map. The MHOA shall be responsible for the maintenance of all improvements not specifically maintained by the Community Facilities District 97-1 (CFD 97-I). The MHOA shall be structured to allow annexation of future tentative map areas in the event the City Engineer and Director of Planning and Building require such annexation of future tentative map areas. The MHOA formation documents shall be approved by the City Attorney. 89. Grade a level, clear area at least three feet wide (face of wall to top of slope), along the length of any wall abutting an open space district lot, as measured from face-of-wall to beginning of slope, said area as approved by the City Engineer and the Director of Planning and Building. 90. Ensure that all buyers of lots adjoining open space lots containing walls maintained by the open space district sign a statement, when purchasing their homes, stipulating that they are aware that the walls are on City property and that they shall not modify or supplement the wall or encroach onto City property. These restrictions shall also be incorporated in the CC&R=s for each lot. 91. Agree to not protest formation or inclusion in a maintenance district or zone for the maintenance of landscaped medians and scenic corridors along streets within and adjacent to the subject subdivision. 92. Grant in fee to the City on the first final map for the project, all open space lots shown on the tentative map and execute and record a deed for each of the lots to be maintained by the City through the open space district. 93. Fund the revision of the Public Facilities Development Impact Fee (PFDIF) Program, which shall be prepared by the City, as directed by the City Manager or his designee, and approved by the City Council prior to approval of the first final "B" Map. The developer shall receive 100% credits towards future PFDIF fees for funding this update. Provide a deposit of $20,000 to begin this process. All cost of revising the PFDIF shall be borne by the developer. 94. Prior to issuance of any grading permit which includes Landscaping and Irrigation (L&I) improvements to be installed in an open space lot to be maintained by the open space district, the developer shall place a cash deposit with the City which will guarantee the maintenance of the L&I improvements, prior to City acceptance of said improvements, in the event the improvements are not maintained to City standards as determined by the City Engineer and the Director of Planning and Building. The amount of the deposit shall be equivalent to the estimated cost of maintaining the open space lots to City standards for a period of six months as determined by the City Engineer. Any unused portion of said deposit could be incorporated into the open space district=s reserve at such time as the maintenance of the open space lot is assumed by the open space district. WATER 95. Provide to the City a letter from Otay Municipal Water District indicating that the assessments/bonded indebtedness for all parcels dedicated or granted in fee to the City have been paid or that no assessments exist on the parcel(s). 96. Present verification to the City Engineer in the form of a letter from Otay Water District that the subdivision will be provided adequate water service and long term water storage facilities. EASEMENTS 97. Grant to the City a 10' wide easement for general utility purposes along public street frontage of all open space lots offered for dedication to the City unless otherwise approved by the City Engineer. Ensure to the satisfaction of the Director of Planning and Building that sufficient room is available for street tree planting when locating utilities within this easement. 98. Indicate on the appropriate "B" Map a reservation of easements to the future Homeowners= Association for private storm drain and within open space lots as directed by the City Engineer. Obtain, prior to approval of any final "B" Map, all off-site right-of-way necessary for the installation of the required improveme.nts for that subdivision thereto. The developer shall also provide easements for all on-site and off-site public drainage facilities, sewers, maintenance roads, and any other public facilities necessary to provide service to the subject subdivision. 99. Notify the City at least 60 days prior to consideration of the final map by City if off-site right-of-way cannot be obtained as required by the Conditions of approval. (Only off-site right- of-way or easements affected by Section 66462.5 of the Subdivision Map Act are covered by this condition.) After said notification, the developer shall: a. Pay the full cost of acquiring off-site fight-of-way or easements required by the Conditions of Approval of the tentative map. b. Deposit with the City the estimated cost of acquiring said fight-of-way or easements. Said estimate to be approved by the City Engineer. c. Have all easements and/or fight-of-way documents and plats prepared and appraisals complete which are necessary to commence condemnation proceedings as determined by the City Attorney. d. Request that the City use its powers of Eminent Domain to acquire fight-of-way, easements or licenses needed for off-site improvements or work related to the final map. The developers shall pay all costs, both direct and indirect incurred in said acquisition. The requirements of a, b, and d above shall be accomplished prior to the approval of the appropriate Final Map. 100. Grant easements to subsequent owners pursuant to Section 18.20.150 of the City Code on any final map that proposes private utilities or drainage facilities crossing property lines as directed by the City Engineer. 101. Grant to City on the appropriate final AB@ Map two foot access easements along the rear and side property line of lots adjoining walls to be maintained by the open space district. The locations of these easements shall be as required by the Director of Planning and Building and the City Engineer to provide adequate access for maintenance of said walls. 102. Storm drain easements shall be private unless the storm drain systems therein are public. 103. Where a private storm drain easement will parallel a public sewer easement, the easements shall be delineated separately on the final map and on the grading and improvement plans. If any portion of the easements will overlap one another, the City shall have a superior right to the common portion of the easements. AGREEMENTS/FINANCIAL 104. Enter into a supplemental agreement with the City, prior to approval of each final "B" Map, where the developer agrees to the following: a. That the City may withhold building permits for the subject subdivision if any one of the following occur: 48 (1) Regional development threshold limits set by the adopted East Chuia Vista Transportation Phasing Plan have been reached. (2) Traffic volumes, levels of service, public utilities and/or services exceed the threshold standards in the then effective Growth Management Ordinance. (3) The applicant does not comply with the terms of the Reserve Fund Program. b. That the City may withhold building permits for any of the phases of development identified in the Public Facilities Financing Plan (PFFP) for Otay Ranch SPA One if the required facilities, as identified in the PFFP or as amended by the Annual Monitoring Program, have not been completed. c. Defend, indemnify, and hold harmless the City and its agents, officers and employees, from any claim, a6tion or proceeding against the City, or its agents, officers or employees to attack, set aside, void or annul any approval by the City, including approval by its Planning Commission, City Council or any approval by its agents, officers, or employees with regard to this subdivision provided the City promptly notifies the subdivider of any claim, action or proceeding and on the further condition that the City fully cooperates in the defense. d. Hold the City harmless from any liability for erosion, siltation or increase flow of drainage resulting from this project. e. Ensure that all franchised cable television companies ("Cable Company") are permitted equal opportunity to place conduit and provide cable television service to each lot on public streets within the subdivision. Restrict access to the conduit to only those franchised cable television companies who are, and remain in compliance with, all of the terms and conditions of the franchise and which are in further compliance with all other rules, regulations, ordinances and procedures regulating and affecting the operation of cable television companies as same may have been, or may from time to time be issued by the City of Chula Vista. f. Include in the Articles of Incorporation or Charter for the Homeowners= Association (HOA) provisions prohibiting the HOA from dedicating or conveying for public streets, land used for private streets without approval of 100% of all the HOA members. g. That the City may withhold the issuance of building permits for the Project, should the Developer be determined by the City to be in breach of any of the terms of the Tentative Map Conditions or any Supplemental Agreement. The City shall provide the Developer of notice of such determination and allow the Developer reasonable time to cure said breach. 105. Enter into an supplemental agreement with the City prior to approval of the first £mal "B" Map, where the developer agrees to the following: a. Participate, on a fair share basis, in any deficiency plan or financial program adopted by SANDAG to comply with the Congestion Management Program (CMP). b. To not protest the formation of any future regional impact fee program or facilities benefit district to finance the construction of correctional facilities. SCHOOLS 106. The Applicant shall deliver to the School District a graded high school site including utilities provided to the site and an all weather access road acceptable to the District prior to issuance of the 1,400th building permit. The all weather access road shall also be acceptable to the Fire Department. This schedule is subject to modification by the School District as based on District facility needs. 107. The Applicant shall deliver to the School District, a graded elementary school site including utilities provided to the site and an all weather access road acceptable to the District, located within Village One, prior to issuance of the 500th residential building permit (150 students) within SPA One. The all weather access road shall also be acceptable to the Fire Department. This schedule is subject to modification by the School district as based on District facility needs. 108. The Applicant shall deliver to the School District, a graded elementary school site including utilities provided to the site and an all weather access road acceptable to the District, located within Village Five, prior to issuance of the 2,500th residential building permit (750 students) within SPA One. The all weather access road shall also be acceptable to the Fire Department. This schedule is subject to modification by the School District as based on District facility needs. 109. The applicant shall deliver to the School District, a graded elementary school site including utilities provided to the site and an all weather access road acceptable to the District, located west of Paseo Ranchero, prior to issuance of the 4,500th residential building permit (1,350 students) within SPA One. The all weather access road shall also be acceptable to the Fire Department. This schedule is subject to modification by the School District as based on District facility needs. MISCELLANEOUS 110. Include in the Declaration of Covenants, Conditions and Restrictions (CC&R=s) provisions assuring maintenance of all streets, driveways, drainage and sewage systems which are private. The City of Chula Vista shall be named as party to said Declaration authorizing the City to enforce the terms and conditions of the Declaration in the same manner as any owner within the subdivision. The CC&R's shall also include language which states that any proposal by the HOA for dedication or conveyance for public purposes of land used for private streets will require prior written approval of 100% of all the Homeowners' Association members. 111. Submit copies of Final Maps, grading and improvement plans in a digital format such as (DXF) graphic file prior to approval of each Final Map. Provide computer aided Design (CAD) copy of all Final Maps based on accurate coordinate geometry calculations and submit the information in accordance with the City Guidelines for Digital Submittal in duplicate on media acceptable to the City Engineer prior to the approval of each Final Map. 112. Tie the boundary of the subdivision to the California System -Zone VI (1983). 113. The Applicant shall secure approval of a' Master Precise Plan for the Village One Core Areas, prior to or concurrent with submitting any development proposals for commercial, multi- family and Community Purpose Facility areas within the Village One Core. 114. Pursuant to the provisions of the Growth Management Ordinance (Section 19.09 of the CVMC) and the Otay Ranch General Development Plan (GDP), the Applicant shall complete the following: (1) Fund the preparation of an annual report monitoring the development of the community of Otay Ranch. The annual monitoring report will analyze the supply of, and demand for, public facilities and services governed by the threshold standards. An annual review shall commence following the first fiscal year in which residential occupancy occurs and is to be completed during the second quarter of the following fiscal year. The annual report shall adhere to those guidelines noted on page 353, Section D of the GDP/SRP; and (2) Prepare a five year development phasing forecast identifying targeted submittal dates for future discretionary applications (SPAs and tentative maps), projected construction dates, corresponding public facility needs per the adopted threshold standards, and identifying financing options for necessary facilities. 115. The Developer shall be responsible for retaining a project manager to coordinate the processing of discretionary permit applications originating from the private sector and submitted to the City of Chula Vista. The project manager shall establish a formal submittal package required of each developer to ensure a high standard of design and to ensure consistency with standards and policies identified in the adopted SPA Plan. The project manager shall have a well rounded educational background and experience, including but not limited to land use planning and architecture. 116. The applicant shall submit copies of any proposed CC&R=s for review and approval by the Director of Planning and Building and the City Engineer prior to approval of each final "B" Map. 117. The CPF-2 site located within Village One, shall be considered a floating designation and shall be located in Neighborhood R-15. A schematic project design for this site will be submitted, reviewed and approved by the Director of Planning and Bnilding concurrently with the Precise Plan for this area. 118. If developer desires to do certain work on the property after approval of the tentative map but prior to recordation of the applicable final "B" Map, they may do so by obtaining the required approvals and permits from the City. The permits can be approved or denied by the City in accordance with the City=s Municipal Code, regulations and policies. Said permits do not constitute a guarantee that subsequent submittals (i.e., final "B" Map and improvement plans) will be approved. All work performed by the developer prior to approval of the applicable "B" Map shall be at developer=s own risk. Prior to permit issuance, the developer shall acknowledge in writing that subsequent submittals (i.e., fihal "B" Map and improvement plans) may require extensive changes, at developers cost, to work done under such early permit. Prior to the issuance ora permit, the developer shall post a bond or other security acceptable to the City in an amount determined by the City to guarantee the rehabilitation of the land if the applicable final "B" Map does not record. 119. Slopes in excess of 2 feet above the adjacent curb elevation of residential streets shall be landscaped in accordance with the City of Chula Vista landscape manual and approved by the Director of Planning and Building. The slope areas shall be within open space lots that shall be maintained by a Homeowners Association. This slope landscaping/open space lot requirement shall apply to the front and side yard areas of individual residential units, including the return portion of comer lots as well. The open space lot boundary shall extend to a logical break in maintenance responsibility such as a driveway, a utility pad or other physical demarcation. PHASING 120. If the applicant modifies the SPA One approved phasing plan, the applicant shall submit to the City a revised phasing plan for review and approval prior to approval of the first final Map. The pFFp shall be revised where necessary to reflect the revised phasing plan. 121. If phasing is proposed within an individual map or through multiple final maps, the developer shall submit and obtain approval for a development phasing plan by the City Engineer and Director of Planning and Building prior to approval of any final map. Improvements, facilities and dedications to be provided with each phase or unit of development shall be as determined by the City Engineer and Director of Planning and Building. The City reserves the right to require said improvements, facilities and/or dedications as necessary to provide adequate circulation and to meet the requirements of police and fire departments. The City Engineer and 52 Director of Planning and Building may, at their discretion, modify the sequence of improvement construction should conditions change to warrant such a revision. 122. The Public Facilities Finance Plan or revisions thereto shall be adhered to for the SPA and tentative map with improvements installed in accordance with said plan or as required to meet threshold standards adopted by the City of Chula Vista. The PFFP identifies a facility phasing plan based upon a set of assumptions concerning the location and rate of development within and outside of the project area. Throughout the build-out of SPA One, actual development may differ from the assumptions contained in the PFFP (i.e., the development of EastLake III). Neither the PFFP nor any other SPA One document grant the Applicant an entitlement to develop as assumed in the PFFP, or limit the SPA One=s facility improvement requirements to those identified in the PFFP. Compliance with the City of Chula Vista threshold standards, based on actual development patterns and updated forecasts in reliance on changing entitlements and market conditions, shall govern SPA One development patterns and the facility improvement requirements to serve such development. In addition, the sequence in which improvements are constructed shall correspond to any future Eastern Chula Vista Transportation Phasing Plan or amendment to the Growth Management Program and Ordinance adopted by the City. The City Engineer may modify the sequence of improvement construction should conditions change to warrant such a revision. Concurrent with the approval of the first final map approved after the PFFP for the EastLake III GDP Area, the Applicant shall update, at the Applicant=s expense and subject to a Reimbursement Agreement, the SPA One PFFP and agrees that the City Engineer may change the timing of construction of the public facilities, including without limitation, the nature, sizing, extent and timing for the construction of public facilities caused by SPA One, which shall become a condition for all subsequent SPA One entitlements, including tentative and final maps. CODE REQUIREMENTS 123. Comply with all applicable sections of the Chula Vista Municipal Code. Preparation of the Final Map and all plans shall be in accordance with the provisions of the Subdivision Map Act and the City of Chula Vista Subdivision Ordinance and Subdivision Manual. 124. Undergrotmd all utilities within the subdivision in accordance with Municipal Code requirements. 125. Pay the following fees in accordance with the City Code and Council Policy: a. The Transportation and Public Facilities Development Impact Fees. b. Signal Participation Fees. c. All applicable sewer fees, including but not limited to sewer connection fees. s3 d. Interim SR-125 impact fee. e. Telegraph Canyon Sewer Basin DIF. f. Poggi Canyon Sewer Basin DIF as may be adopted by the City in the future. g. Telegraph Canyon Basin Drainage DIF. h. Reimbursement District for Telegraph Canyon Road Phase 2 Undergrounding. i. Otay Ranch Reserve Fund fee. j. Pedestrian Bridges Development Impact Fee Pay the amount of said fees in effect at the time of issuance of building permits. 126. Comply with all relevant Federal, stat~, and Local regulations, including the Clean Water Act. The developer shall be responsible for providing all required testing and documentation to demonstrate said compliance as required by the City Engineer. 127. Ensure that prospective purchasers sign a "Notice of Special Taxes and Assessments" pursuant to Municipal Code Section 5.46.020 regarding projected taxes and assessments. Submit disclosure form for approval by the City Engineer prior to Final Map approval. 128. Comply with Council Policy No. 570-03 if pump stations for sewer purposes are proposed. 129. Comply with Council Policy No. 522-02 regarding maintenance of natural channels within open spaces. 130. The applicant shall comply with all aspects of the City of Chula Vista Landscape Manual. 131. All proposed development shall be consistent with the Otay Ranch SPA One Planned Community District Regulations. 132. The Applicant shall comply with Chapter 19.09 of the Chula Vista Municipal Code (Growth Management) as may be amended from time to time by the City. Said chapter includes but is not limited to: threshold standards (19.09.04), public facilities finance plan implementation (19.09.090), and public facilities finance plan amendment procedures (19.09.100). The applicant acknowledges that the City is presently in the process of amending its Growth Management Ordinance to add a proposed Section 19.09.105, to establish provisions necessary 54 to ensure compliance with adopted threshold standards (particularly traffic) prior to construction of State Route 125. Said provisions will require the demonstration, to the satisfaction of the City Engineer, of sufficient street system capacity to accommodate a proposed development as a prerequisite to final map approval for that development, and the applicant hereby agrees to comply with adopted amendments to the Growth Management Ordinance. 133. Upon submittal of building plans for small lot single family (5,000 square feet or less as def'med in the City of Chula Vista Design Manual) residential development, plans shall clearly indicate that 750 square feet of private open space will be provided within the subdivision. 134. Development of the subdivision shall comply with all applicable regulations established by the United States Environmental Protection Agency (USEPA) as set forth in the National Pollutant Discharge Elimination System (N.P.D.E.S.) permit requirements for urban runoff and storm water discharge and any regulations adopted by the City of Chula Vista pursuant to the N.P.D.E.S. regulations or requirements. Further, the applicant shall file notice of intent with the State Water Resources Control Board to obtain coverage under the N.P.D.E.S. General Permit for Storm Water Discharges Associated with ~EonstrUction Activity and shall implement a Storm Water Pollution Prevention Plan (SWPPP) concurrent with the commencement of grading activities. The SWPPP shall include both construction and post construction pollution prevention and pollution control measures and shall identify funding mechanisms for post construction control measures. GUARDED AREAS 135. The following locations as proposed by the applicant are authorized for guarded entrances: Santa Alicia Drive and Santa Rita in Village One, Phase Seven. 136. Guarded entrances shall not have physical barriers. Guarded entrances shall be staffed from dusk until dawn, unless the MHOA or the applicant determines it is economically impractical. Physical barriers shall be prohibited at the entrances to guarded areas unless specifically approved by City Council. 137. All streets within guarded areas shall be designated as private. Design of said streets shall meet the City standards for public streets unless otherwise approved by the City Engineer. Private street cross sections shall conform to those shown on the Tentative Map. 138. All private streets within Final ,~B@ Maps shall be included in separate lots. The applicant shall provide a certificate granting to the City a public utility easement over the entire private street lots on the appropriate Final "B" Map. All private streets shall be owned as an equal and undivided interest by each subsequent property within the subdivision. 139. Guarded entrances shall: ss a. Require approval by the City Engineer and the Director of Planning and Building. b. Provide sufficient room on the private roadway to queue without interrupting traffic on public streets. c. Provide a turn around. The size and location of said turn around shall be approved by the City Engineer. d. Provide a clearly delineated border between public and private streets through the use of distinctive pavements. e. Provide a dedicated parking space for the gate attendant to be shown on appropriate grading and/or improvement plans. f. Be equipped with a video camera to record entering and exiting vehicles. 140. The CC&R=s shall prohibit "speed bOmps" on private streets. The CC&R=s shall also include language which states that any proposal by the HOA to allow "speed bumps" in the future shall require prior written approval of 100% of all the Homeowner=s Association members. 141. Establish Homeowners Associations (HOA) to provide for the maintenance of private storm drains, private open space lots, slope areas, landscape and irrigation and walls within each subdivision prior to the approval of the associated Final AB@ Maps and include such requirements in the CC&R--s. 142. Prior to approval of any "B" Map proposing private streets, the applicant shall initiate and complete the process enabling the City to enfome the California Vehicle Code on said private streets. s6 143. The MHOA shall be responsible for the maintenance and operation of all facilities within the common areas and streets behind the guarded entrance and such responsibility shall be included in the CC&R=s. The facilities to be maintained include, but are not limited to, pavements, sidewalks, street trees, street lights including energy, street sweeping, private drainage facilities and landscaping of private common areas. The only facilities to be maintained by the City are mainline sewers and public concrete drainage facilities (i.e., pipes and catch basins). 144. Future property owners shall be notified during escrow, by a document to be initialed by the owners, and approved by the City Engineer and Director of Planning and Building, of the maintenance responsibilities of the MHOA and their estimated annual cost. 145. The applicant shall comply with all previous Agreements as they pertain to the tentative map, including but not limited to: Maintenance Agreements, Financing Agreements, and the Supplemental Subdivision Improvement Agreement for previously approved Village One AA@ Map (Map thereof No. 13592, Resolution ~o. 19044) and subsequent AB@ Map Agreements thereto. ~ SCHEDULE "1" COUNCIL AGENDA STATEMENT Item jO Meeting Date 6/20/00 ITEM TITLE: Resolution Acting as the Legislative Body of Community Facilities District No. 98-3 (Open Space Maintenance District No. 35 [Sunbow II]), making the determination that surplus funds exist for services Within Such Community Facilities District and authorizing the refund of special taxes collected from the undeveloped properties. / SUBMITTED BY: Director of Public Works ~ REVIEWED BY: City Manager 5~ ~ (4/Sths Vote: Yes._No X ) Ayres Land Company has requested that the City consider refunding the special taxes collected from the undeveloped properties for Community Facilities District No. 98-3, an open space maintenance dislrict for Sunbow II development RECOMMENDATION: Approve the resolution making the determination that excess funds exist to provide services Within Such Commtmity Facilities District, authorizing the refund of special taxes collected from the undeveloped properties, and authorizing the Director of Finance to make a refund of the Special Taxes levied in Fiscal Year 1999/2000. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: Back~round In August 1998, Council established Community Facilities District No. 98-3 (CFD 98-3), an open space maintenance district for the Sunbow II development, pursuant to the Mello-Roos Act and "Chula Vista Community Facilities District Ordinance." CFD 98-3 provides the necessary funding for the operation and maintenance of public landscaping and drainage improvements by levying an annual "special tax," which is collected from property owners via their property tax bill. In August 1999, the City approved the levy of the first year's "special tax" (including the levy of the Extraordinary Special Tax). Ayres Land Company requested that staff review the 1999/2000 levy regarding 1) the levy of Extraordinary Special Tax and 2) the levy of Special Taxes against the undeveloped properties. In February of this year, Council made an interpretation to clarify provisions in the rote and method of apportionment of the special taxes (the "Special Tax Formula") regarding the Extraordinary Special Tax and the Extraordinary Special Tax was refunded. The second item was deferred from consideration by staff until such time as the bid for the maintenance was received to ensure that costs have not escalated. Page 2, Item ~a Meeting Date 6/20/00 Special Tax In August of 1999, Special taxes for CFD 98-3 were levied for the first time in anticipation that open space associated with the first phases of Sunbow IFs development would be ready for remover to the City during the second half of Fiscal Year (1999/00). The City levied $512,973 in annual Special taxes to fund the estimated maintenance for six months of this year, to build the reserve~ for the first six months of next fiscal year and to fund the Extraordinary Special Tax. The Extraordinary Special Tax, in the amount of $223,229 was refunded pursuant to Council direction in February. This left $289,744 to fund this year's maintenance and the first six months of next year's maintenance. The annual Special Taxes are collected first from the Developed properties and if this doesn't provide sufficient funds then the Undeveloped properties are taxed at a pro rata "per acreage" rate. The Developed and Undeveloped properties' Special Taxes were $ 205,959 and $ 83,784, respectively. Staff has compared the bids with the estimated maintenance costs, reviewed turnover and schedules, etc. and finds that there is a surplus of funds in CFD 98-3. Staffrecommends that the surplus be used to refund the $ 83,784 in Special Taxes collected from the undeveloped properties. Staff anticipates spending $ 38,677 this fiscal year and $122,000 for the first six months of next year for maintenance, staff time, etc. A surplus of $ 129,067 has been collected (see Exhibit 1). The surplus is a result of delayed turnover of open space (May vs. January) and various changes in anticipated turnovers and development schedules for the next fiscal year affecting the reserve amount. Typically a surplus would remain in the CFD fund yielding a reserve in excess of 50% and/or offsetting the amount collected in special taxes the following year. In this case the CFD is not yet built out (35% of building permits issued) and staffbelieves it is more appropriate to refund some of the money now. The advantages to refunding the money now are as follow: · Property owners of developed property are anticipated to be taxed at the Maximum Special Tax rate next fiscal year avoiding misunderstandings caused by surpluses being used to decrease the annual Special Tax in one year, followed by subsequent years' increases. · New property owners will see the Maximum Special Tax on their first tax bill thereby providing additional disclosure of their costs. · The reserve will be at approximately 50% of next year's budget, not 70% allowing for flexibility in the future to absorb surpluses via the reserve. If the reserve were to exceed 100%, the amount in excess of 100% would have to be refunded pursuant to the Special Tax Report. This may be problematic if hundreds of refunds become necessary as the district develops and homeowners move in. 1 The reserve is established to provide funds for maintenance during the first six months of the year prior to collection of that year's special tax. Page 3, Item f Meeting Date 6/20/00 The refund returns the money to the owners, or their designees, of the undeveloped properties who were only to be taxed in the event that sufficient taxes could not be collected fi.om the Developed properties. As a result of mover and development schedules, the Special Taxes collected from the owners of the undeveloped properties are no longer needed. If the surplus were to remain in the CFD 98-3 fund, the Developed properties would get a financial windfall at the expense of the owners of the undeveloped properties. Voter approval is not required for this action. Action Staffand the developers (Ayres Land Company and Centex) have reviewed the proposed refund and consider the item ready for Council approval. Approval of the resolution will authorize the Director of Finance to refund $83,784 in annual Special Taxes collected from the property owners of the undeveloped properties of CFD 98-3. FISCAL IMPACT: The cost of this proceeding to consider the refund of annual Special Tax regarding CFD 98-3 is being borne by the developer via a deposit account. Exhibit 1 - Budget and Surplus H:~H OME~'NGINE ERdA GENDA\REFLIND98 .DOC by DDS RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ACTING AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 98-3 (OPEN SPACE MAINTENANCE DISTRICT NO. 35 [SUNBOW II]), MAKING THE DETERMINATION THAT SURPLUS FUNDS EXIST FOR SERVICES WITHIN SUCH COMMUNITY FACILITIES DISTRICT AND AUTHORIZING THE REFUND OF SPECIAL TAXES COLLECTED FROM THE UNDEVELOPED PROPERTIES WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA (the "City Council"), has previously undertaken proceedings to form and has formed a comnmnity 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 Chnla Vista under Sections 3, 5 and 7 of Article XI of the Constitution of the State ~o,f California (the "Ordinance") (the Act and the Ordinance may be referred to collectively as the "Community Facilities District Law"), for the purpose of financing the maintenance of certain public improvements. Such Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 98-3 (OPEN SPACE MAINTENANCE DISTRICT NO. 35 [SUNBOW II]) (the "District"); and, WHEREAS, the City Council and the qualified electors within the District have authorized the levy of special taxes within the District to finance such maintenance; and WHEREAS, such special taxes are authorized to be levied pursuant to the rate and method of apportionment of such special taxes (the "Special Tax Formula"); and WHEREAS, as a result of current bids, delayed turnover of open space and current development schedules, there is a surplus of funds in the District and, therefore, the City staff has recommended and requested that the City Council make the determination that a surplus of funds exist; and WHEREAS, special taxes are first collected from developed properties pursuant to the Special Tax Formula and then collected from the undeveloped properties in the event that additional funds are needed to provide services, and therefore City staff has recommended and requested that the City Council authorize a refund of Special Taxes collected from the Undeveloped Properties. NOW, THEREFORE, BE 1T RESOLVED AS FOLLOWS: SECTION 1. The abox;e recitals are all true and correct. SECTION 2. The City Council hereby finds and determines that surplus funds exist for services within the District and authorizes the refund in the amount of $83,784.06 of special taxes collected from the undeveloped properties. PREPARED BY: APPROVED AS TO FORM BY: John P. Lippitt Jot(n/,~f. Kaheny Director of Public Works ~ Attorney H:\HOME\ATTORNEY\RESO\CFD983.Surptus Funds COUNCIL AGENDA STATEMENT Item ~ Meeting Date 6/20/00 ITEM TITLE: Resolution Approving a Parcel Map for Lots 78, 79 and 90 of Map No. 13919, Lots 3 and "H" of Map No. 13884, and Lot "C" of Map 13962, accepting on behalf of the City of Chula Vista the easements for public sewer facilities, the sewer access easements and the emergency access easement as shown on said map within said subdivision, rejecting on behalf of the City of Chula Vista the pedestrian bridge and pedestrian access easement as shown on said map within said subdivision, acknowledging on behalf of the City of Chula Vista the irrevocable offers of dedication of fee interests for open space and other public purposes as shown on said map within said subdivision, vacating a public sewer easement granted on Map No. 13884 and a pedestrian bridge and pedestrian access easement granted on Map No. 13962, and vacating Irrevocable Offers of Dedication of Fee Interest to the City of Chula Vista over, Lot 'H!' of Map No. 13884 and Lot "C" of Map No. 13962. Resolution Approving an Agreement to Amend Legal Descriptions and authorizing the Mayor to execute said Agreement. Resolution Acting in its capacity as the Legislative Body of Community Facilities District No. 99-1 (Otay Ranch SPA One- Portions of Village One, Village Five and Village One West) determining that the Special Tax for such Community Facilities District shall cease to be levied as to certain real property and ordering the recordation of a notice of Special Tax Lien Cancellation. Resolution Acting in its capacity as the Legislative Body of Community Facilities District No. 97-1 (Open Space District [Otay Ranch, SPA One, Villages One and Five]) to amend the boundaries of Special Tax Area B of such Community Facilities District. SUBMITTED BY: Director of Public Works ~/ REVIEWED BY: City Manager ff~ i~[ (4/Sths Vote: Yes_No X~) The proposed Parcel Map will adjust the property lines of five existing parcels in the McMillin Otay Ranch project and one parcel owned by Otay Project (no new lots are created). Final planning and design efforts for a proposed condominium project (in the McMillin ownership) require minor adjustments of the surrounding residential and open space lots. In addition, the approved site plan of the condominium project incorporates a small piece of land currently owned by the Otay Ranch Company. This property will be conveyed to McMillin or their successors in interest upon Page 2, Item '/ Meeting Date 6/20/00 recordation of the subject parcel map ("Exchanged Land"). By approving the proposed map, Council will also vacate certain existing easements and IODs for open space lots within the proposed map and replace them with new easements and IODs in consistency with the new lot configuration. Tonight's agenda also includes approval of an Agreement to Amend the Legal Descriptions of certain recorded agreements. This agreement will remove the Exchanged Land from the land encumbered by several existing Otay Project agreements and will incorporate said property within the land encumbered by certain existing McMillin agreements. Finally, Council will also consider a) cancelling the Special Tax lien for Community Facilities District No. 99-1 on the Exchanged Land, and b) amending the boundaries of Special Tax Area B of Community Facilities District N. 97-1 to exclude the Exchanged Land. RECOMMENDATION: That Council adopt the following: 1. Resolution approving the Parcel Map for Lots 78, 79 and 90 of Map No. 13919, Lots 3 and "H" of Map No. 13884, and Lot "C" of Map 13962. 2. Resolution approving the Agreement Amending Legal Descriptions. 3. Resolution determining that the Special Tax for CFD 99-1 shall cease to be levied as to certain real property and ordering the recordation of a notice of Special Tax Lien Cancellation. 4. Resolution amending Special Tax Area B of Open Space district CFD 97-1. BOARDS/COMMISSIONS RECOMMENDATION: None. DISCUSSION: Parcel Map On November 16, 1999, by Resolution 19663, City Council approved the McMillin Otay Ranch Phase 3 Map, Chula Vista Tract No. 98-04 (Map No. 13884). On January 11,2000, City Council approved the McMillin Otay Ranch SPA One Phase Three Unit One Final Map (Map No. 13919). On April 18, 2000, City Council approved the Otay Ranch "A" Map No. 2, Chula Vista Tract No. 96-04 owned by the Otay Project (Map No. 13962). Final planning and design efforts for a proposed condominium project in Parcel 1 of the proposed parcel map ("Parcel Map") resulted in minor changes in the configuration of the surrounding residential and open space lots. As a result, both developers have requested the City to process a parcel map (Attachment 1) for adjusting the boundaries of two lots created by Map No. 13884, three lots created by Map No. 13919 (owned by McMillin) and one lot of Map No. 13962 (owned by Otay Project). Parcel maps offer a simple and clean alternative for accomplishing (in one recorded document) complex lot line adjustments where no new parcels are created. The other alternative is to process a lot line adjustment plat (which is not recorded) and record multiple deeds for the properties being adjusted. This second alternative becomes more cumbersome, as the number of adjusted parcels grows higher. Approval of this Map constitutes the vacation of 1) certain existing sewer, pedestrian bridge, and pedestrian access easements, and 2) certain existing IODs for open space lots. The location of these easements and IODs are incompatible with the new lot configuration. They will be replaced by new easements and IODs for open space granted on the subject Map. Page 3, Item ~'~ Meeting Date 6/20/00 The Parcel Map has been reviewed by the Departments of Public Works and Planning & Building and is considered ready for Council approval. Typically, parcel maps are approved by staff. In this instance, staff considered necessary to bring this map to Council due to 1) proposed vacation (on the map) of existing easements and IODs for open space lots which needs Council action, and 2) proposed changes to the associated agreements, CFD 99-1, and CFD 97-1. Agreement to Amend Legal Descriptions Concurrent with this Parcel Map, certain agreements need to be adjusted to reflect the change in boundary between the McMillin and Otay Ranch Company ownership. The proposed Agreement to Amend Legal Descriptions will remove the Exchanged Land from the land encumbered by several Otay Project agreements and will incorporate said property within the land encumbered by existing McMillin agreements. Table 1 below lists the affected agreements. Staff has reviewed the Agreement and recommends Council approval. The City Attorney has already approved the proposed agreement as to form. ~ Table 1 Item Agreement Developer 1. Restated and Amended Pre-Annexation Development Otay Project 2. Detention Basin and Siltation Agreement (Telegraph Canyon) Otay Project 3. First Amendment to the Detention Basin and Siltation Agreement Otay Project (Telegraph Canyon) 4. Affordable Housing Agreement Otay Project 5. Village Five of the Otay Ranch Project Supplemental Subdivision Otay Project Improvement Agreement 6. Supplemental Subdivision Improvement Agreement for Chula Vista Otay Project Tract 96-04, Otay Ranch Village Five "A" Map No. 2 7. Desiltation and Maintenance Agreement (Poggi Canyon) Otay Project 8. Affordable Housing Agreement McMillin 9. McMillin Otay Ranch Phase 3 Supplemental Subdivision Improvement McMillin Agreement I0. Desiltation and Maintenance Agreement (Poggi Canyon) McMillin 11. Detention Basin and Siltation Agreement (Telegraph Canyon) McMillin Special Tax for CFD 99-1 On November 24, 1998 Council adopted Resolution No. 19276, which created Community Facilities District No. 97-3 for financing the construction of infrastructure improvements serving the Otay Ranch McMillin SPA One project. On August 31, 1999 Council adopted Resolution No. 19584 forming Community Facilities District No. 99-1 for financing the construction of Olympic Parkway and associated street improvements. The Exchanged Land is part ora Homeowner's Association open space lot located within CFD 99-1. With this Parcel Map, said property is being added to a Page 4, Item ~ Meeting Date 6/20/00 parcel located in CFD No. 97-3 and McMillin has requested approval and recordation of the necessary instruments documenting the termination of CFD 99-1 taxes over said property. By approving the proposed resolution, Council will determine that the special taxes for CFD No. 99-1 shall cease to be levied on the Exchanged Land upon recordation of the Parcel Map. The resolution also directs the City Clerk to record the corresponding Notice of Lien Cancellation. It should be noted that exclusion of the Exchanged Land would not affect the CFD 99-1 tax collection due to the tax-exempted nature of open space lots. Special Tax for CFD No. 97-1 Community Facilities District No. 97-1 will finance maintenance of landscaping improvements for Villages 1 and 5 of the Otay Ranch project. The Exchanged Land is currently located within both Special Tax Areas (A and B) created by CFD 97-1. Area A encompasses all the properties within the Otay Ranch Villages 1 and 5 (McMillin and Otay Ranch Company projects) while Area B only includes the properties within the Otay Ranch Company. The proposed Parcel Map will transfer the Exchanged Land from the Otay Ranch Company project to the McMillin project. Approval of the proposed resolution will make CFD No. 97-1 consistent with the Parcel Map by amending the boundaries of Special Tax Area B to exclude the Exchanged Land. Said property will still remain within Area A. This action would not affect the annual tax collection on Special Tax Area B. The Exchanged Land is a portion of a Homeowner's Association open space lot, which is exempted from taxes levied by CFD 97-1. FISCAL IMPACT: None to the General Fund. All cost associated with processing the parcel map, associated agreements, and CFD changes will be reimbursed from developer deposits. Attachment 1 - Plat of Parcel Map H:\HOME\ENGINEER\PERMITS~A 113OR229F.DOC 6/13/00 10:34:07 AM Attachment $ / .- / / / McMILLIN OTAY RANCH ~ICK..E~~~~ SPA I, PHASE 3 R-40. RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING A PARCEL MAP FOR LOTS 78, 79 Ai~D 90 OF MAP NO. 13919, LOTS 3 AND "H" OF MAP NO. 13884, AND LOT KC" OF MAP 13962, ACCEPTING ON BEHALF OF THE CITY OF CHULA VISTA THE EASEMENTS FOR PUBLIC SEWER FACILITIES, THE SEWER ACCESS EASEMENTS AND THE EMERGENCY ACCESS EASEMENT AS SHOWN ON SAID MAP WITHIN SAID SUBDIVISION, REJECTING ON BEHALF OF THE CITY OF CHULA VISTA THE PEDESTRIAN BRIDGE AND PEDESTRIAN ACCESS EASEMENT AS SHOWN ON SAID MAP WITHIN SAID SUBDIVISION, ACKNOWLEDGING ON BEHALF OF THE CITY OF CHULA VISTA THE IRREVOCABLE OFFERS OF DEDICATION OF FEE INTERESTS FOR OPEN SPACE AND OTHER PUBLIC PURPOSES AS SHOWN ON SAID MAP WITHIN SAID SUBDIVISION, VACATING A PUBLIC SEWER EASEMENT GRANTED ON MAP NO. 13884 Ai~D A PEDESTRIAN BRIDGE AND PEDESTRIAIq ACCESS EASEMENT GPJkNTED ON MAP NO. 13962, AND VACATING IRREVOCABLE OFFERS OF DEDICATION OF FEE INTEREST TO THE CITY OF CHULA VISTA OVER LOT ~H" OF MAP NO. 13884 AND LOT "C" OF MAP NO. 13962 WHEREAS, the proposed Parcel Map will adjust the property lines of five existing parcels in the McMillin Otay Ranch project and one parcel owned by Otay Project (no new lots are created); and WHEREAS, final planning and design efforts for a proposed condominium project (in the McMillin ownership) require minor adjustments of the surrounding residential and open space lots; and WHEREAS, in addition, the approved site plan of the condominium project incorporates a small piece of land currently owned by the Otay Ranch Company which property will be conveyed to McMillin or their successors in interest upon recordation of the subject parcel map (~Exchanged Land"); and WHEREAS, by approving the proposed map, Council will also vacate certain existing easements and IODs for open space lots within the proposed map and replace them with new easements and IODs consistent with the new lot configuration. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula vista does hereby approve a Parcel Map for Lots 78, 79 and 90 of Map No. 13919, Lots 3 and ~H" of Map No. 13884, and Lot "C' of Map 13962 and accept on behalf of the City of Chula vista the easements for public sewer facilities, the sewer access easements and the emergency access easement as shown on said map within said subdivision. BE IT FURTHER RESOLVED that the City Council of the City of Chula Vista does hereby reject on behalf of the City of Chula Vista the pedestrian bridge and pedestrian access easement as shown on said map within said subdivision. BE IT FURTHER RESOLVED that the City Council of the City of Chula Vista does hereby acknowledge on behalf of the City of Chula Vista the irrevocable off~rs of dedication of fee interests for open space and other public, purposes as shown on said map within said subdivision. BE IT FURTHER RESOLVED that the City Council of the City of Chula Vista does hereby vacate a public sewer easement and a pedestrian bridge and pedestrian access easement granted on Map No.13962 and vacate Irrevocable Offers of Dedication of Fee Interest to the City of Chula Vista over Lot ~'H" of Map No. 13884 and Lot "C" of Map No. 13962. Presented by Approved as to form by John P. Lippitt John~M. Kaheny Director of Public Works City Attorney [H \HOMEXATTORNEY\RESO\Parcel Map Lots 78, 79 and 90 (June 13, 2000 (12 7pm)] 2 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AN AGREEMENT TO AMEND LEGAL DESCRIPTIONS AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT WHEREAS, developers Otay Project and MCMillin Otay Ranch, LLC are exchanging certain small areas of real property ("Exchanged Land") which will result in revised lot configurations; and WHEREAS, certain legal descriptions attached to various agreements need to be revised to reflect the Exchanged Land; and WHEREAS, this proposed agreement will remove the Exchanged Land from the land encumbered by several existing Otay Project agreements and will incorporate said property within the land encumbered by certain existing McMillin agreements; and WHEREAS, staff has reviewed ~he. Agreement and recommends Council approval. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby approve an Agreement to Amend Legal Descriptions, 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 for and on behalf of the City. Presented by Approved as to form by John P. Lippitt John M~-~'~/n~-/ Director of Public Works City Attorney IH \H OME~ATTORN EY\RESOLa, greement to Amend Legal Oescciptions (May 15, 2000 (7 / 23am)] Recording Requested By: ! When Recorded Mail to: McMillin Companies ! 2727 Hoover Avenue ! National City, CA. 91950 ! Attu: Bob Pletcher ! AGREEMENT TO AMEND LEGAL DESCRIPTIONS This Agreement to Amend Legal Descriptions ("Agreement") is entered into as of Sune .._, 2000 by and between Otay Project L.P., a California limited partnership ("OP"), McMillin Otay Ranch, LLC, a Delaware limited liability company ("McMillin"), Western Pacific Housing- Lomas Verdes, LLC, a Delaware limited liability company ("Western Pacific") and the City of Chula Vista, a chartered municipal corporation of the State of California ("City") with respect to the following facts: A) WHEREAS, OP owns fee title to that certain land situated in the City of Chula Vista, County of San Diego, State of California, more particularly described as Portion- Parcel 6 in Exhibit "A" ("Property") attached hereto; and B) WHEREAS, Western Pacific will acquire fee title to the Property with the recordation of Parcel Map No. .; and C) WHEREAS, OP and McMillin Otay Ranch, LLC, a Delaware limited liability company ("McMillin") intend to execute that certain Land Exchange Agreement and Escrow Instructions (',Land Exchange") wherein OP agrees to convey the Property to MeMillin, or its successors; and D) WHEREAS, OP, McMillin, Western Pacific, and the City all desire to complete the Land Exchange as expeditiously as possible; and E) WHEREAS, certain documents have been recorded against the Property, which set forth the legal descriptions of the parcels affected by those documents, which legal descriptions must be amended to reflect the Land Exchange; and F) WHEREAS, a document entitled Restated and Amended Pre-Annexation Development Agreement with Otay Ranch, L.P., dated March 4, 1997, executed by City and Otay Ranch, L.P. was recorded against the Property on May 12, 1997 as File No. 1997-0219970; and 1 G) WHEREAS, a document entitled Detention Basin and Siltation Agreement, dated August 12, 1997, executed by Otay Ranch L.P. and City was recorded against the Property on September 26, 1997 as File No. 1997-0477304; and H) WHEREAS, a First Amendment to said Detention, Basin and Siltation Agreement was recorded against the Property on February 17, 1998 as File No. 1998-0079314; and I) WHEREAS, a document entitled Desiltation and Maintenance Agreement with Otay Project LLC (Poggi Canyon Drainage Improvements), approved by the City Council on November 12, 1999 as Resolution No. 19634; and J) WHEREAS, a document entitled Affordable Housing Agreement, dated December 16, 1997, executed by Otay Project, LLC, a Delaware limited liability company, South Bay Project, LLC, a Delaware limited liability company, and City was recorded against the Property on September 26, 1997 as File No. 1997~0477304; and K) WHEREAS, a document entitled Village Five of the Otay Ranch Project Supplemental Subdivision Improvement Agreement, dated August 4, 1998, executed by City and Otay Project, LLC, .a,Delaware limited liability company was recorded against the Property on August 12, 1998 as File No. 1998-0510232; and L) WHEREAS, a document entitled Village 5 "A" Map No. 2 of the Otay Ranch Project Supplemental Subdivision Improvement Agreement was executed by City and OP, recorded April 28, 2000 as document number 2000-0219623; and M) WHEREAS, Map No. 13962 grants an easement over all of Lot "C" for Pedestrian Bridge and Pedestrian Access purposes; and N) WHEREAS, a document entitled Affordable Housing Agreement, dated February 10, 1998, executed by McMillin - D. A. America Otay Ranch, LLC, McMillin Otay Ranch, Inc., and City was recorded on March 4, 1998 as File No. 1998-0115872; and O) WHEREAS, a document entitled Detention, Basin and Siltation Agreement dated, March 31, 1998, executed by McMillin - D.A. America Otay Ranch, LLC, and City was recorded on May 4, 1998 as File No. 1998-0257628; and P) WHEREAS, a document entitled Desiltation and Maintenenace Agreement with McMillin Otay Ranch LLC (Poggi Canyon Drainage Improvements), approved by the City Council on November 12, 1999 as Resolution No. 19635; and Q) WHEREAS, all of the documents referenced in Recitals F through M above are hereinafter referred to as th.e "OP Recorded Agreements"; and R) WHEREAS, all of the documents referenced in Recitals N through P above are hereinafter referred to as the "McMillin Recorded Agreements"; and S) Vv~rlEREAS, the OP Recorded Agreements and the McMillin Recorded Agreements are hereinafter collectively referred to as the "Recorded Agreements"; and 2 T) WHEREAS, OP, McMillin, Western Pacific and City now desire to amend the legal descriptions of the RecordedAgreements such that the OP Recorded Agreements currently recorded against the Property will be removed and the McMillin Recorded Agreements will be recorded against the Property; NOW, THEREFORE, the parties hereto mutually agree as follows: 1) The legal description referenced in each of the OP Recorded Agreements is heroby amended to except therefrom the Property. 2) The legal description referenced in each of the McMillin Recorded Agreements is hereby amended to include the Property. 3) OP, McMillin, and Western Pacific affirmatively represent that as of the date first set forth above, no intervening acts have affected the Recorded Agreements' place in their respective chains of title as to the Property. 4) As to the Property, this Agreement is intended to amend and restate the Recorded Agreements and assume the same recording priority as the original Recorded Agreements. ~ 5) OP, McMillin and Western Pacific hereby agree to indemnify and hold the City, and each of its officers (including elected officials), employees and agents ("Indemnitees") harmless from and against any and all claims, suits, actions, or other proceedings to which the Indemnitees are exposed ("Proceedings") and from and against any and all losses, expenses, expenditures, costs, judgements, decrees, and orders (including orders for the payment of attorney's fees and costs) to which the Indemnitees are exposed or which the Indemnitees incur ("Losses") relating to, caused by, or resulting from the Indemnitees's preparations, review, approval or implementation of this Agreement ("Indemnitee's Actions"), including, but not limited to: 1) any and all Proceedings to attack, set aside, void or annul any of the decisions and determinations that the Indemnitees make in connection wtith the approval of this Agreement; and 2) any and all Proceedings contending that the Indemnitee's Actions are invalid as not roughly proportional to the impact of this agreement; or 3) any aud all Proceedings asserting any other theory contesting or challenging the lawfulness or legality of the Indemnitee's Actions. 6) All other terms and provisions of the Recorded Agreements shall remain in full force and effect. [NEXT PAGE IS PAGE ONE OF SIGNATURE PAGE] IN WITNESS WHEREOF, this Agreement has been executed as of the date set forth above. OTAY PROJECT L.P., a California limited parmership By: Otay Project, LLC, a California limited liability company By: OTAY RANCH DEVELOPMENT, LLC, A Delaware limited liability company, By: J~/~ [NEXT PAGE IS PAGE TWO OF SIGNATURE PAGE] WESTERN PACIFIC HOUSING-LOMAS VERDES, LLC, A Delaware limited liability company By: LAMCO HOUSING, INC., A California Corporation, Its Managing Member,s.) [NEXT PAGE IS PAGE THREE OF SIGNATURE PAGE] 5 McMILLIN OTAY RANCH, LLC A Delaware limited liability company By: McMillin Companies, LLC A Delaware limited liability company Its: [NEXT PAGE IS PAGE FOUR OF SIGNATURE PAGE] 6 CITY OF CHULA VISTA By: Mayor Attest: Susan Bigelow City Clerk Approved as to form: Cit~Att~mey 7 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT State of California County of -~"~"~ *~/'~ ~ .~ ss. On ju..,v'.~ /.~/ ~,o~ o ,beforeme, Date Name and ~Rtle of Officer {e g, "Jane Doe, Notary Public') personally appeared Name(s) of Signer(s) j~personally known to me ~ proved to me on the basis of satisfactory evidence  to be the persor~ whose name(a) is/are subscribed to the within instrument and acknowledged to me that he/chc/thcy executed the same in hisLber/thclr - authorized . ,~ caP.acity(ies~, and that by his/~ signature(s)--on the instrument the person(.s-)~or the entity upon behalf of which the person(s*)- acted, executed the instrument. WlTN~ESS.~ny hand and offici, aJ~seaL._ OPTIONAL Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reagachment of this form to another document. Description of Attache~d.~:)ocument Title or Type of Docume~ Document Date: Number of Pages: Signer(s) Qther Than Named Above: Capacity(ies) Claimed by Signer Signer's Name: [] Individual Top of thumb here I~ Corporate Officer -- Title(s): ~ Padner-- [~ Limited [] General [] Attorney in Fact [] Trustee [] Guardian or Conservator ~] Other: Signer Is Representing: ff A M E R I Oq STATE OF CALIF~C~NIA ¢'--~ . ~., _ }ss. COUNTY OF ~_~"L~L~A--O-~b On ~-~-~ before me, , personally known to me ( ' ~~vi~to be the person~ whose name~)is/~re subscribed to the within instrument and acknowledged to me that he/ohcRhcy executed the same in his~hot/their authorized capaci~and that by his/~ir signatur~ on the instrument the person(~ or the entiw upon behalf of which the perso~cted, executed the instrument. WITNESS my hand and official seal. Signature~, .~ ~/)/[,d~ ~ · '~= ss~on # 1162715 r"' aEl~-~l~'~Notary Public - Califor ,,~ -~ SAN ma '~[~U C DIEGO County ~L. _'q~r~ ¥ ommE~p~resNov 23,~01 Title of ~ooum~nt ~k~ ~ Ot~er signatures not 3008 (1/94) (General) First American Title Insurance Company · 'I" CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT State of California County of ~---y~..~'~. ~,:~ ~) ~~' Date '~Name and T~ ~f ~r (e.g.'Jane D~. Nota~ Pu~ic'} ~ personally appeared~i~ ~.~~ ~ ~- - Name(s) of Signe~s) ~ ' ~personally known to me ~ proved to me on the basis of satisfacto~ evidence to be the pO~O~ whose subscdbod to th~ within instrument' acknowledged to mo thaiS/they oxecutod tho sam ~n ~/thoir authorized ~, ~capaci~ eno that by ~thoir si~n~iu~n th~ instrument the porso~ or ~$1~1~ tho entit~pon ~ohal[ of which the por~ ~ a~, executoO th~ instmm*nt. OPrlO~A~ Description of Attached Document _ TitleorTypeofDocument:~~ ~ A~ IZ~I Document Date: Number of Pages: Signer(s) Other Than Named Above: Capacity(ies) Claimed by Signer Signer's Name: - · · ~ Individual : ~ Gorpomto Officer ~ ~ Padner ~ ~ Umitod ~ General ~ A~om~y ~n Fact ~ lrusto~ ~ Guardian or Gonse~ator ~ Othor: Si~nor Is ~oOmsentin~: EXHIBIT "A" J-13126H PORTION - PARCEL 6 All that portion of Lot "C" of Map No. 13962, in the City of Chula Vista, on file in the Office of the County Recorder of San Diego County, State of California described as follows: Commencing at a point on the Easterly boundary of Chula Vista Tract No, 98-04 according to Map No. 13884, said point being on the Northerly Right-of-way line of Olympic Parkway as shown on said Map No. 13884; thence North 17°52'24" West along the Easterly line of said Map No. 13884 a distance of 261.65 feet to the TRUE POINT OF BEGINNING; thence continuing along said line North 17°52'24'' West 301.67 feet; thence leaving said line South 31 °06'07" East 43.48 feet; thence South 70°18'17" East 7.87 feet; thence South 30°33'13" East 110.30 feet; thence South 68°27'13'i,~ast 7.87 feet; thence South 29°01 '55" East 103.94 feet; thence South 12°59'59.'' West 3.98 feet; thence South 60°17'41" West 19.70 feet; thence South 48025'28'' West 19.17 feet; thence South 36°16'59" West 15.73 feet; thence South 29036'22" East 3.80 feet; thence South 35°06'41" West 19.71 feet to the TRUE POINT OF BEGINNING. Containing 0.238 acres more or less. Robert G. Schoettmer L.S. 4324 II !~ L0~,~_4 ~-1 [ Scale: ~1"= 100' LOT 3 OF MAP NO, 13884 TPOB LOT "H" OF LOT "C" MAP NO., J3884. LOT "C;" [..., MAP NO. I ~ OLY~,, IC PARKWAY OTAY RANCH VILLAGE $ PHASE LOT "~"  ~~ ~ NO. 13962 -- ....- ,.,,,- ¢~'- RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ACTING IN ITS CAPACITY AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 99-1 (OTAY RANCH SPA ONE - PORTIONS OF VILLAGE ONE, VILLAGE FIVE AND VILLAGE ONE WEST) DETERMINING THAT THE SPECIAL TAX FOR SUCH COMMUNITY FACILITIES DISTRICT SHALL CEASE TO BE LEVIED AS TO CERTAIN REAL PROPERTY AND ORDERING THE RECORDATION OF A NOTICE OF SPECIAL TAX LIEN CANCELLATION WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA ("City Council"), did 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 is designated as COMMUNITY FACILITIES DISTRICT NO. 99-1 (OTAY RANCH SPA ONE - PORTIONS OF VILLAGE ONE, VILLAGE FIVE AND VILLAGE ONE WEST) (the "District"); and, WHEREAS, a portion of Lot C of Map No. 13962 and described in more detail in Exhibit A hereto which is incorporated herein by this reference (the "Subject Property") is located within the District and is subject to the special tax lien for the District; and, WHEREAS, the Subject Property is to be added, pursuant to a lot line adjustment, to a parcel which is not located within the District but is located within Community Facilities District No. 97-3 (Otay Ranch McMillin Spa One); and, WHEREAS, the current owner and the future owner of the Subject Property have requested that the special tax lien for the District be cancelled upon the recordation of such lot line adjustment; and, WHEREAS, the cancellation of the special tax lien for the District on the Subject Property will interfere with the timely retirement of the special tax bonds issued by the District. NOW, THEREFORE, IT IS HEREBY RESOLVED: SECTION 1. The above recitals are all true and correct. SECTION 2. This City Council, acting in its capacity as the legislative body of the District, does hereby determine that the special tax for the District shall cease to be levied upon the Subject Property effective upon the recordation of the lot line adjustment to remove the Subject Property from its present legal parcel and directs the City Clerk to record or cause the recordation of a Notice of Special Tax Lien Cancellation for the Subject Property pursuant to Government Code Section 53330.5. PREPARED BY: APPROVED AS TO FORM BY: John P. Lippitt ~:~/I~M. Kaheny ~ Director of Public Works /gity Attorney H:\home\attorneyreso\cfd 99-1 Special Tax Lien Cancellation J-13126H PORTION - PARCEL 6 All that portion of Lot "C" of Map No. 13962, in the City of Chula Vista, on file in the Office of the County Recorder of San Diego County, State of (:::alifornia described as follows: Commencing at a point on the Easterly boundary of Chula Vista Tract No. 98-04 according to Map No. 13884, said point being on the Northerly Right-of-way line of Olympic Parkway as shown on said Map No. 13884; thence North 17°52'24'. West along the Easterly line of said MapNo. 13884 a distance of 261.65 feet to the TRUE POINT OF BEGINNING; thence continuing along said line North 17052'24'' West 301.67 feet; thence leaving said line South 31006'07'' East 43.48 feet; thence South 70°18'1 7" East 7.87 feet; thence South 30°33'13" East 110.30 feet; thence South 68°27'1 3" Eas, t 7.87 feet; thence South 29°01 '55" East 103.94 feet; thence South 12059'59'' west 3.98 feet; thenoe South 60°17'41" West 19.70 feet; thence South 48025'28'' West 19.1 7 feet; thence South 36°1 6'59" West 15.73 feet; thence South 29036'22'' East 3.80 feet; thence South 35°06'41"West 19.71 feet to the TRUE POINT OF BEGINNING. Containing 0.238 acres more or less. EXHIBIT "A" -. A-1 Scale: ~]-= 100' ~ u3 LOT 5 o? MAP b]O~ J3884 ' TPOB L~¥ "J4" OF LOT "C" I LOT "c" OF ]\./JAP NO ~ I 388 ~ POB OL~IC ~ P~AY OTAY RANCH V'~rLLAGE $ PHASE 2 LO ~r "C" RICE _I~G~IN~-:R~G COMPANY MAP ~0. 13962 ~-~--- .,.,~.. ! m~ EXHIBIT "A" RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, CALIFORNIA, ACTING IN ITS CAPACITY AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 97-1 (OPEN SPACE MAINTENANCE DISTRICT [OTAY RANCH, SPA ONE, VILLAGES ONE AND FIVE]) TO AMEND THE BOUNDARIES OF SPECIAL TAX AREA B OF SUCH COMMUNITY FACILITIES DISTRICT WHEREAS, the CITY COUNCIL of the CITY OF CHULA VISTA, CALIFORNIA ("City Council"), did 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 F, acilities District is designated as COMMUNITY FACILITIES DISTRICT NO. 9%1 (OPEN SPACE MAINTENANCE DISTRICT [OTAY RANCH, SPA ONE, VILLAGES ONE AND FIVE]) (the "District"); and, WHEREAS, a portion of Lot C of Map No. 13962 and described in more detail in Exhibit A hereto which is incorporated herein by this reference (the "Subject Property") is a part of a larger parcel (the "Original Parcel") which is currently located within both Special Tax Area A and Special Tax Area B of the District as shown in the Rate and Method of Apportionment of the Special Taxes for the District as previously approved by the City Council and the qualified electors of the District and the Subject Property is, therefore, subject to the levy of Special Taxes for both Special Tax Areas; and, WHEREAS, pursuant to the approval of a parcel map which will adjust the property lines of five existing parcels located only in Special Tax Area A and the Original Parcel (the "Parcel Map"), the Subject Property is to be added to one of the parcels that is located only within Special Tax Area A; and, WHEREAS, the current owner and the future owner of the Subject Property have requested that the boundaries of Special Tax Area B be amended to remove the Subject Property from Special Tax Area B effective upon the recordation of the Parcel Map; and, WHEREAS, the amendment of the boundaries of Special Tax Area B as requested, will not adversely affect the ability of the District to finance the maintenance and servicing of those improvements authorized to be financed from the proceeds of special taxes levied within Special Tax Area B. NOW, THEREFORE, IT IS HEREBY RESOLVED: SECTION 1. The above recitals are all true and correct. SECTION 2. This City Council, acting in its capacity as the legislative body of the District, does hereby amend the boundaries of Special Tax Area B to remove the Subject Property from Special Tax Area B. PREPARED BY: APPROVED AS TO FORM BY: John P. Lippitt John YqI~.Kaheny Director of Public Works ~ City Attorney H:\home\attorney\reso\cfd 99-1 amend boundaries Special Tax Area B J-13126II PORTION - PARCEL 6 All that portion of Lot "C" of Map No. 13962, in the City of Chula Vista, on file in the Office of the County Recorder of San Diego County, State of (~alifornia described as follows: Commencing at a point on the Easterly boundary of Chula VistaT~-act No. 98-04 according to Map No. 13884, said point being on the Northerly Ri~ht-of-way line of Olympic Parkway as shown on said Map No. 13884; thence North 17°52'24'' West along the Easterly line of said Map, No. 13884 a distance of 261.65 feet to the TRUE POINT OF BEGINNING; thence continuing along said line North 17°52'24'' West 301.67 feet; thence leaving said line South 31°O6'O7" East 43.48 feet; thence South 70°18'1 7" East 7.87 feet; thence Soutl~ 30°33'13" East 110.30 feet; thence South 68°27'1 3" Ees, t 7.87 feet; thence SoL~th 29001'55'' East 103.94 feet; thence South 12~59'59" West 3.98 feet; thence South 60~17'41" West 19.70 feet; thence South 48o25'28'' West 19.1 7 feet; thence South 36~1 6'59" West 15.73 feet; thence South 29~36'22TM East 3.80 feet; thence South 35o06'41"West 19.71 feet to the TRUE POINT OF BEGINNING. Containing 0,238 acres more or less. Robert G. Schoettmer L.S. 4324 EXHIBIT "A" A-1 Scale: ¢'= 100' LOT 5 FJF ¢./JAP NFO., J 3884 TPOB LOT "H" OF LOT "C" .MAP No~ 13884 J\TIAP NcO. 138~z} POB OLYMPIC PARKWAY OTAY RANCH V'~LLAGE 5 PHASE 2 LOX "C" ~ .... .,~ ~.m~ EXHIBIT "A" A-2 COUNCIL AGENDA STATEMENT Item No.: Meeting Date: 6/20/00 ITEM TITLE: Resolution of the City Council of the City of Chula Vista waiving the City's formal bidding process, approving an amendment to an agreement between The City of Chula Vista and MNA Consulting for land use consulting services related to the proposed City of Chula Vista Multiple Species Conservation Program Subarea Plan, authorizing the Mayor to execute said agreement, and amending the Fiscal Year 1999- 2000 Budget by appropriating $142,200 to the Planning and Building Department from the available fund balance of the General Fund. Resolution of the City Council of the City of Chula Vista waiving the City's informal bidding process, approving an amendment to the agreement between the City of Chula Vista and ferny, Thomas and Moose, LLP for legal ~ services related to the proposed City of Chula Vista Multiple Species Conservation Program Subarea Plan and authorizing the Mayor to execute said agreement, and amending the Fiscal Year 1999-2000 Budget by appropriating an additional $25,000 to the Planning and Building Department from the available fund balance of the General Fund. SUBMITTED BY: Director of Planning and Building Yf City Attorney REVIEWED BY: City Manager ~/~ t)~. (4/5tbs Vote: Yes X No ) In April 1999, MNA Consulting was retained by the City of Chula Vista to draft a revised MSCP Subarea Plan (Plan), assist in the drafting of the Implementing Agreement, and assist in processing the draft Subarea Plan and Implementing Agreement through the public hearing and approval process. In February 2000, the Draft MSCP Subarea Plan was released for public review, and almost 600 individual comments were received. In a City retreat with Resource Agencies on June 22 and 23, 2000, position papers on larger issues will be presented, then the Plan will be re-written to incorporate or address comments received. After public hearings and Council approval of the Plan, there will be a variety of tasks necessary to ensure smooth and timely implementation of the Plan. City staff has determined that the scope of work for completion of the City's MSCP Subarea Plan has expanded and additional tasks have been identified related to Plan implementation. Staff recommends that the existing agreement with MNA Consulting be amended to include the expanded scope of work for completion of the MSCP Subarea Plan and associated implementation tasks. The resulting fiscal impact of approving the MNA consulting contract would be an amendment to the Fiscal Year 1999-2000 Page 2, Item No.: /~) Meeting Date: 6/20/00 budget to appropriate $142,200 from the available funds balance of the City of Chula Vista General Fund to the Department of Planning and Building. Staff is also recommending that the Remy, Thomas and Moose, LLP agreement be amended. As a result of comments received during the public review period on the MSCP, additional research, analysis and documentation by outside legal counsel will be necessary. An attorney from Remy, Thomas and Moose will also attend the retreat with the Resource Agencies. Staff believes an additional $25,000 will be required to complete the legal work, including attendance at the retreat, necessary on the MSCP Subarea Plan. RECOMMENDATION: 1. That the City Council adopt the Resolution waiving the City's formal bidding process, approving an amendment to an agreement between the City of Chula Vista and MNA Consulting for land use consulting services related to the Proposed City of Chula Vista Multiple Species Conservation Program Subarea Plan, authorizing the Mayor to execute said agreement, and amending the Fiscal Year 1999-2000 Budget by appropriating $142,200 to the Planning and Building Department from the available fund balance of the General Fund. 2. That the City Council adopt the Resolution waiving the City's informal bidding process, approving an amendment to the agreement between the City of Chula Vista and Remy, Thomas and Moose, LLP for legal services related to the proposed City of Chula Vista Multiple Species Conservation Program Subarea Plan and authorizing the Mayor to execute said agreement, and amending the Fiscal Year 1999-2000 Budget by appropriating an additional $25,000 to the Planning and Building Department from the available fund balance of the General Fund. BOARDS/COMMISSIONS RECOMMENDATION: N/A DISCUSSION: Background The Multiple Species Conservation Program is a comprehensive, long-term habitat conservation plan that addressed the needs of multiple species and the preservation of natural vegetation communities in south San Diego County. The MSCP Framework Plan was adopted by the City of San Diego and County of San Diego in 1997. It addresses the potential impacts of urban growth, natural habitat loss and species endangerment, and creates a plan to mitigate for the potential loss of "Covered Species" and their habitat due to the direct impacts of future development of both public and private lands within the MSCP study area. In 1996, Council authorized staff to forward a draft version of its MSCP Subarea Plan to the City of San Diego for inclusion into the Draft MSCP Environmental Impact Page 3, Item No.: /~ Meeting Date: 6/20/00 Report/Environmental Impact Statement (EIR/EIS). Various policy options were contained in Chula Vista's Draft MSCP Subarea Plan, the most important of which addressed the specific configuration of university site in Otay Ranch. In April 1999, MNA Consulting was retained by the City of Chula Vista to draft a revised Plan, assist in the drafting of the Implementing Agreement, and assist in processing the draft Subarea Plan and Implementing Agreement through the public hearing and approval process. In August 1999, the first draft of the Plan was sent to Resource Agencies and the City received written comments. The Plan was then re- written to address the comments, and this draft was released for public review and comments on February 16, 2000. The City received 16 letters of comment from the public and one letter of comment from Resource Agencies totaling almost 600 individual comments. Position papers have been prepared on the largest issues, and these will be shared with Resource Agencies at a City retreat on June 22 and 23, 2000. Written responses have been prepared on a majority of the comments. After the retreat, the Plan will be re-written to incorporate or address Resource Agency comments. In addition, an analysis under the California Environmental Quality Act (CEQA) will be conducted to determine the appropriate environmental documentation for the Chula Vista Subarea Plan. A. staff report will then be prepared to accompany the revised Plan and accompanying environmental document, and they will be presented at one or more public meetings, including the City Council meeting. After City Council adopts the City's MSCP Subarea Plan there will be a variety of tasks necessary to ensure smooth and timely implementation of the Plan. These tasks include completion of the Implementing Agreement, preparation of a new Habitat Loss and Incidental Take Ordinance, and amendment of various plans and ordinances to be consistent with the City's MSCP Subarea Plan. The original agreement with Remy, Thomas and Moose was intended to cover sufficient time for completion of the CEQA analysis for the MSCP including meetings with City staff on the project, as necessary. The number of comment letters received as well as the complexity of the issues raised has resulted in the need for more involvement by the attorneys from Remy, Thomas and Moose than was originally anticipated. In addition, it has become apparent that their attendance at the retreat will be required. This contract amendment will cover the additional time that staff has determined will be necessary to complete the MSCP and its accompanying environmental documentation. Consultant Services Selection process 1. MNA Consulting The City of Chula Vista has determined that the scope of work for completion of the City's MSCP Subarea Plan has expanded and additional tasks have been identified related to Plan Implementation. Department of Plalming and Building staff have determined that land use consulting services of a firm that is very familiar with the overall Multiple Page 4, Item No.: /O Meeting Date: 6/20/00 Species Conservation Program and the City of Chula Vista's MSCP Draft Subarea Plan are necessary for timely and adequate completion of the City's Subarea Plan and the continuity of tasks related to the implementation of the Subarea Plan. MNA Consulting has been under contract with the City for assisting in the preparation of the City's MSCP Subarea Plan. Amending MNA Consulting's contract with the City will allow for timely completion of the Subarea Plan and associated implementation tasks. Pursuant to Chula Vista Municipal Code Section 2.56.070, staff believes that competitive bidding is impractical, and recommends waiving the normal consultant selection process for the following reasons: a. MNA Consulting has provided significant time and effort in the preparation of the City's Draft MSCP Subarea Plan and is extremely knowledgeable of the political and technical aspects of the project. b. Selection of an alternate firm would delay approval and implementation of the Subarea Plan, as well as impact the timeliness of processing and approval of development projects in the Otay Ranch, Rolling Hills Ranch, and San Miguel Ranch. c. Cost estimates by MNA Consulting have been reviewed and are found to be reasonable. The consultant represents that they are experienced and staffed in a manner such that they can prepare and deliver the required services to the City within the necessary time frames. Department of Planning and Building staff have negotiated the details of this agreement in accordance with procedures set forth in Sections 2.56.220-224 of the Chula Vista Municipal Code. 2. Remy, Thomas and Moose, LLP The City of Chula Vista has determined it is in need of specialized legal services for review of the legal adequacy of the environmental documentation required for the MSCP Subarea Plan. The City Attorney's Office and the Environmental Review Coordinator have determined that the legal services of a law firm that specializes in CEQA, as well as the processing of various federal and state environmental clearances (i.e., 404 permit, 1603 streambed alteration agreement, etc), are necessary to ensure the environmental documents are fully prepared in accordance with CEQA. The law firm of Remy, Thomas and Moose, LLP, is known throughout the State of California for their expertise and experience regarding CEQA. Pursuant to Chula Vista Municipal Code Section 2.56.070, staff believes that competitive bidding is impractical, and recommends waiving the normal consultant selection process for the following reasons: a. Remy, Thomas and Moose, LLP has provided significant time and effort advising on the preparation of the Environmental Impact Report of the City's General Plan, Page 5, Item No.: Meeting Date: 6/20/00 as well as numerous other environmental documents for various projects in the City. b. Remy, Thomas and Moose, LLP has been retained as counsel on related litigation. c. Cost estimates by Remy, Thomas and Moose, LLP have been reviewed and are found to be reasonable. The consultant represents they are experienced and staffed in a manner such that they can prepare and deliver the required services to the City within the necessary time frames. The Environmental Review Coordinator has negotiated the details of this agreement in accordance with procedures set forth in Sections 2.56.220-224 of the Chula Vista Municipal Code and Sections 6.5.2 and 6.6 of the Environmental Review Procedures. Scope of work 1. MNA Consulting , As an amendment to the existing agreement between the City of Chula Visa and MNA Consulting, MNA Consulting will perform tasks associated with an expanded scope of work for completion and implementation of the City's MSCP Subarea Plan for the time period of January 2000 through June 2000. These tasks include the following: a. Complete responses to comments from, and prepare for City retreat with Resource Agencies. Participate in said retreat, and in research and follow-up associated herewith. b. Coordinate the public review process 'and assist in the preparation of staff reports for public hearings. Serve as advisor to the City and environmental consultant on the preparation of environmental documents for public hearings. Participate in all public hearings associated with Chula Vista's Subarea Plan. c. Serve as advisor to the City Attorney in preparation of the Implementing Agreement, and assist in negotiations with Resource Agencies. d. Coordinate the preparation, submittal and processing of the City of Chula Vista lO(a) Application. e. Serve as advisor to the Planning and Building Department and the City Attorney in preparation of Habitat Loss and Incidental Take Permit Ordinance (HLIT). Assist in the preparation for and coordination of public hearings. f. Serve as advisor to the Planning and Building Director on completion of biological studies associated with the Chula Vista MSCP Subarea Plan, including the Otay River Valley Study. g. Serve as advisor to the Planning and Building Director and coordinate continued outreach with other agencies, including the County of San Diego, City of San Diego and the Wildlife Agencies. Page 6, Item No.: /~ Meeting Date: 6/20/00 h. Serve as advisor to the City Manager, City Attorney and Planning Director on questions and issues related to Implementation of Chula Vista's MSCP Subarea Plan. i. Coordinate the $58,000 subcontract with Dudek and Associates for biological expertise in the support of the above mentioned objectives. 2. Remy, Thomas and Moose, LLP As an amendment to the existing agreement between the City of Chula Visa and Remy, Thomas and Moose, the following tasks associated with an expanded scope of work for completion and implementation of the City's MSCP Subarea Plan for the time period of January 2000 through June 2000. These tasks include the following: a. Legal Review of Revised Subarea Plan and Draft Environmental documents b. Representation at administrative hearings c. Preparation for and attendance at the Resource Agencies retreat. FISCAL IMPACT: 1. MNA Consulting The City Council appropriated $127,000 for the original Agreement between the City and MNA Consulting in April 1999, funded by developer deposits. In November, 1999, $77,760 was appropriated for the MNA contract amendment, funded from the available fund balance of the City of Chula Vista General Fund. The resulting fiscal impact of approving the Amendment to the MNA Consulting contract would be an amendment to the Fiscal Year 1999-2000 budget to appropriate an additional $142,200 from the available fund balance of the City of Chula Vista General Fund to the Department of Planning and Building, to be funded by developer reimbursements. 2. Remy, Thomas and Moose, LLP The City Council approved a budget appropriation to the Planning and Building Department of $25,000 in April 1999 for legal services relating to the Environmental documentation for the City's MSCP Subarea Plan, funded by developer deposits. Based on the work to be completed an additional $12,500 was approved in December 1999, funded from the available fund balance of the City of Chula Vista General Fund. The resulting fiscal impact would be an amendment to the proposed Fiscal Year 2000-2001 Budget to appropriate an additional $25,000 from the available fund balance of the City of Chula Vista General Fund to the Department of Planning and Building, to be funded by developer reimbursements. H:\Home\Attorney\MNAA113rl .doc Resolution No. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA WAIVING THE CITY'S FORMAL BIDDING PROCESS, APPROVING THE SECOND CONTRACT AMENDMENT WITH MNA CONSULTING, AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT, AND AMENDING THE FISCAL YEAR 1999- 2000 BUDGET BY APPROPRIATING $142,200 TO THE DEPARTMENT OF PLANNING AND BUILDING, FUNDED BY THE AVAILABLE FUND BALANCE OF THE GENERAL FUND. WHEREAS, on April 13, 1999 the City Council approved Resolution 19430 approving MNA Consulting as the consultant to help prepare the Multiple Species Conservation Project Subarea Plan (MSCP); and WHEREAS, on November 30, 1999 the City Council approved Resolution 19674 amending the MNA Consulting agreement to cover the expanded scope of work to include concept formation and ~)utlin. e for a Habitat Loss and Incidental Take Permit Ordinance; coordination of additional studies related to boundary adjustment for the University site; coordination with the City's internal and external legal staff for CEQA related issues; attend special meetings with the City's Resource Conservation Committee; and WHEREAS, staff recommends a second amendment to the existing contract with MNA Consulting to encompass the expanded scope of work including, but not limited to, preparation for negotiations with Wildlife Agencies; advisor to City during the Wildlife Agencies negotiations, preparation of the final Chula Vista MSCP Subarea plan; and WHEREAS, MNA Consulting has prepared the draft MSCP Subarea Plan and has performed extensive work on the preparation of responses to comments on the Plan; and WHEREAS, adherence to the City's standard bidding practices would delay completion of the project; and WHEREAS, completion of the Subarea Plan is time sensitive because such delays will impact approval of the Otay Valley Regional Park and also impact development in San Miguel Ranch, Otay Ranch and Rolling Hills Ranch; and WHEREAS, the major developers in Eastlake, San Miguel Ranch and Otay Ranch paid for the initial contract with MNA Consulting; and WHEREAS, the contract extension requested is not to exceed $142,200 and this appropriation was not foreseen. NOW THEREFORE BE IT RESOLVED that the City Council of the City of Chula Vista approves the contract amendment with MNA Consulting. BE IT FURTHER RESOLVED that the City Council of the City of Chula Vista instructs the Mayor to sign said contract amendment. BE THEREFORE BE IT FURTHER RESOLVED that the City Council of Chula Vista does hereby waive the formal bidding process for the selection of consulting services. BE IT FURTHER RESOLVED that the City Council of the City of Chula Vista appropriates $142,200 and amends the Fiscal Year 1999-2000 budget of the Department of Planning and Building to reflect the appropriation, funded by the available fund balance of the general fund. Presented by Approved as to form Robert A. Leiter JoJ;~ M. Kalene,) - Planning and Building Director City Attorney H:\Shared\Planning\BobMc\MNAresoR2 · SECOND AMENDMENT TO the Agreement between the City of Chula Vista and MNA Consulting, a California Corporation Recitals This Second Amendment is entered into effective as of June, 2000 by and between the City of Chula Vista ("City") and MNA Consulting, a California Corporation ("Consultant"), with reference to the following facts: WHEREAS, City and Consultant previously entered into an agreement whereby Consultant was to prepare a revised draft MSCP Subarea Plan and accompanying environmental documents; and WHEREAS, City and Consultant entered a Frst Amendment on December 6, 1999 for additional work; and ~ WHEREAS, Consultant prepared an administrative draft MSCP Subarea Plan; and WHEREAS, City determined additional work beyond the original Scope of Work would be necessary to complete the document; and WHEREAS, the parties negotiated a new Scope of Work; and WHEREAS, the parties now desire to amend the Agreement to expand the Scope of Work required of Consultant to complete the MSCP Subarea Plan and accompanying environmental documents and to coordinate follow-up implementing tasks. NOW, THEREFORE, in consideration of the recitals and the mutual obligation of the parties set forth herein, City and Consultant agree as follows: 1. Exhibit A, Section 8A of the original Agreement, entitled Scope of Work and Schedule, Detailed Scope of Work, is hereby amended to add the following paragraphs: Consultant shall continue to work with the City to achieve adoption of the MSCP Subarea Plan. Work shall include the following: Complete responses to comments and preparation for City retreat with Resource Agencies. With City as the lead, participate in the retreat and in research and follow-up associated therewith. H:\Shared\Attomey\MNA Contract Amendment2.doc //~)"~ -"~ 1 of 4 Coordinate the public review process and assist in the preparation of staff reports for Planning Commission and City Council public heatings. Provide assistance to the City Attorney in preparation of the Implementing Agreement, and assist in negotiations with Wildlife Agencies. Participate in all public hearings associated with Chula Vista's Subarea Plan. Serve as advisor to the Planning and Building Department and assist the City Attorney in preparation of Habitat Loss and Incidental Take Permit Ordinance (HLIT). Assist in preparation for and coordination of public hearings on the HLIT. Serve as advisor to the Planning and Building Director on completion of biological studies associated with Chula Vista MSCP Subarea Plan, including the Otay River Valley Study. Serve as advisor to the Planning and Building Director and coordinate continued outreach with other agencies, including the County of San Diego, City of San Diego and the Wildlife Agencies. Serve as advisor to the City Manager, City Attorney and Planning and Building Director on questions and issues related to implementation of Chula Vista's MSCP Subarea Plan. Serve as advisor to the City and environmental consultant on the preparation of environmental documents. Consultant shall work with Consultant's biological subcontractor to complete the following: Create new tables and text to respond to agency and environmental organization comments on the MSCP Subarea Plan related to individual species. Prepare narrative for each of the species for which the City would receive take authorization that would not be subject to severability, and other sensitive and narrow endemic species known or expected to exist within the study area. This will include additional database and literature research, to focus on the natural history and life history traits of the species, its specific habitat requirements, habitat associations and potential habitat based on its affinities to various habitat characteristics. Provide additional discussion and detail on habitat and species conservation and take estimates, in response to specific comments received on the Subarea Plan, which can be incorporated into the Subarea Plan. H:\SharedXAttomey\MNA Contract Amendment2.doc 2 of 4 Prepare a narrative on an adaptive management approach that can be incorporated into the Subarea Plan. The discussion will establish a foundation for a program approach to management that can reasonably demonstrate the maintenance of a self-sustaining reserve system. As requested by City Staff, participate in meetings with Resource Agencies to resolve remaining issues and respond to comments. Assist in preparation of staff report, and assist in completion of environmental ,~ documents. Participate in public hearings for consideration of the Subarea Plan. Serve as biology advisor on implementation vehicles, including HLIT and Otay River Valley Study. Provide general biological analysi~ ~md opinion during initial implementation. 2. Exhibit A, Section 8.C of the original Agreement, entitled Dates or Time Limits for Delivery of Deliverables, is hereby amended to add the following paragraphs: Deliverable No. 1: City MSCP Subarea Plan approved by City Council by October, 2000 Deliverable No. 2: Completed Environmental documentation for the City MSCP Subarea Plan by October, 2000 3. Exhibit A, Section ll.C(1) of the original Agreement, entitled Compensation, Hourly Rate Arrangement, Not-to-Exceed Limitation on Time and Materials Arrangement. (X) Not-to-Exceed Limitation on Time and Materials Arrangement Not withstanding the expenditure by MNA Consulting and Subcontractor of time and materials in excess of said Maximum Compensation amount, MNA Consulting agrees that MNA Consulting will perform all of the General and Detailed Services contained within this Second Amendment required of Consultant for no more than $142,200 including all Materials, and other "reimburseables" ("Maximum Compensation"). Rate Schedule Category of Employee of Consultant Name Hourly Rate H:\Shared\Attorney\MNA Contract Amendment2,doc 3 of 4 Senior Partner McKinley/Nielsen $140.00 Research Associate Alcantara $ 85.00 Administrative Assistant Floridi/Lane $ 65.00 H:\Shared\Attomey\MNA Contract Amendment2.doc 4 of 4 SIGNATURE PAGE TO FIRST AMENDMENT TO THE AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND MNA CONSULTING, A CALIFORNIA CORPORATION. City of Chula Vista MNA Consulting Dba of McKinley Nielsen, Associates, Inc. ,-- ' Shirley Honon, Mayor ~auri~ J. McKinley, Chai~ / // Date Date By David C. Nielsen, President Date ATTEST: Susan Bigelow, City Clerk Approved in form by: John M. Kaheny, City Attorney H:\Shared\Attomey\MNA Contract Amendment2.doc 5 of 4 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA WAIVING THE CITY'S INFORMAL BIDDING PROCESS, APPROVING AN AMENDMENT TO THE AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND REMY, THOMAS AND MOOSE, LLP FOR LEGAL SERVICES RELATED TO THE PROPOSED CITY OF CHULA VISTA MULTIPLE SPECIES CONSERVATION PROGRAM SUBAREA PLAN AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT, AND AMENDING THE FISCAL YEAR 1999-2000 BUDGET BY APPROPRIATING AN ADDITIONAL $25,000 TO THE PLANNING AND BUILDING DEPARTMENT FROM THE AVAILABLE FUND BALANCE OF THE GENERAL FUND. WHEREAS, on April 13, 1999, City Council approved Resolution 19427 which included $20,000 in developer funding for contract environmental legal services related to preparation of the Multiple Species Conservation Plan (MSCP); and WHEREAS, on November 30, 1999 City Council approved Resolution 19675 which approved the $32,500 contract with the legal firm of Remy, Thomas and Moose for legal services related to the City's preparation of the Multiple Species Conservation Plan, and added $12,500 in general funds to the Fiscal Year 1999-2000 budget of the Department of Planning and Building; and WHEREAS, the scope of legal work on the Multiple Species Conservation Plan has expanded; and WHEREAS, it is necessary and in the City's best interest to waive the informal bidding process because Remy, Thomas and Moose is a highly respected and uniquely qualified firm to assist the City with the review of the environmental documentation associated with the preparation of the MSCP; and WHEREAS, Remy, Thomas and Moose is uniquely qualified because of their extensive knowledge and understanding of the project, the Chula Vista community, the wildlife agencies, and state and federal law. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby approve the contract amendment with Remy, Thomas and Moose for legal services related to the City's preparation of the Multiple Species Conservation Plan. BE IT FURTHER RESOLVED that the City Council of the City of Chula Vista instructs the Mayor to sign said contract amendment, a copy of which shall be kept on file in the office of the City Clerk. BE IT FURTHER RESOLVED that the City Council of the City of Chula Vista does hereby amend the Fiscal Year 1999-2000 budget by appropriating $25,000 to the Department of Planning and Building from the available fund balance of the General Fund. Presented by Approved as to form by Robert A. Leiter John I9I. Kahen)7 Planning and Building Director City Attorney JUN-13-O0 TUE 14:07 ?,02/04 ~IRST A~I~NDIVlEi~'I' TO the Agrc~mcnt between the Ctt3t of Chula Vista and Remy, Thom~ and Moose, LLP For Legal Con~al~g ~: M~CP ~ub~re~ plan R~i~ls ~is First Amen~t C~t ~t') i~ ~r~ ~o effe~iv~ ~ of ~e, 2000 by ~d b~n fl~e Ci~ of ~ula Vista ("Ci~ ~ R~my, Tho~ ~ Moose, I I ~ ("~y ~m~9. withrefer~e WHEREAS, Rcmy Thomas has a*sistcd thc City -~rlth th= m~/ew of adeqttacy of c~ain cnvimmcn~l domm~tion required for the MgCP Subarea Plan; ~d WHerEAS. Ci~ d~in~ a~ifion~ ~ork b~ond the oh~l gcope would be necess~ m complete ~e dements; mt '~EK~AS, th~ paffi~ n=~fi a~ ~ n~ Scop~ of W~k~ ~d ~AS, tlxe pa~es now d~ire to amid the A~em~t to e~md the of Work mq~th'~ of ~em~ ~om~ m complete fl~e leal review o[ ~e MSCP Subaea NOW, T~FO~, ~ m~idemtion of ~e recitals ~d ~e mums ob~oa of 1. ~xhibit & S~tion gA of ~e off,hal A~meat, enfi~ Scope of Work 8chedule~ Det~lcd 8oopc of Wo~ is h~by ~ended to ~d ~ follo~g 5. Consular ~hall ~mplet~ the below li.s~ tasks in lhe time altolt~d: a. ~view the Sub.es Plm md Add~d~m md provide ad. ce to the Ci~ A~omey ~d Pl~ing md guild~g D~men~ b~ed · at ~ew. Up to 40 b. Attend ~d provide City ~m.~taiou at admini~ative ~ ~css~ at ~e r~u~t or Con~aer Ad~rator H:~ba~clb~2t omcx~/lvlY, THOMAS Contrac~ Am~adment. g.doc I of 4 JUN-13-OO TIjE 14.:0'7 P, 03/04 Up to 20 hotrrs (includes preparation tir~e, travel time and attendance e. Pr~e for r~a~ ~th Wildlife Ag~cies Up to 20 0nch~d~s r~ proofed l~ag~ for d. Att~d and pa~icipate in ~e Agency Up ~ ~0 hours Exhibit A, Section 10 A of~e ori~al Agmcm~ ~fit[~ C~p;usafio~ T~e md Mat~als, N0tqo-Exc~ ~on on '~e and h~by ~end~ to ~ad ~ follew~: ' ' (~ N0t-to-~eeM L~tx~lon on T~e ~d Mat~ ~g~e~t No~i~stauding fl~e ~p~e by ~y Thom~ of excess of said M~ C~l~afion amount, K~y Tbom~ a~ ~mma wl~ perform Rll of ~e 0~ and De~l~ S~ic~ contain wi~ }'~ Am~t ~qulr~ of Co~t~t [or no mo~ flt~ $25,000 including all Mat~als, ~d o~er "re~buNables~' ("M~um Comp~sat~on"). CallEo~ of Employee ~.~ ~onsul~t N~e HO~Iy Kate A~mgy P~ T~a A_ ~omas $ 210,00 S~ior ~eociate KeRec F. ~awk~ S 165.~ ~y ~avel or loa~ing costs shall be ~eimb~ed at ~e ac~E cost ~c~. JUN-13-O0 TUE 14:07 ?, 04/04 SIGNATURE PAGE TO FIRST AMENDMENT TO TI-I~ AGREEMENT BETWEEN Tlrl~ CITY OF ~ VISTA AND KEM¥', THOMAS, AND MOOSE, LLF City of Ckula Vista R~rny, Thomas, and Moo~, LLP Shirley Horton, Mayor Tina ,¥1~o-ma~, Par~ne~ ~' Dar* ATTEST: Susan Bige, lnw Cji7 Clerk Ai~provcd in form by: lohn M. Kaheny, City Attorney COUNCIL AGENDA STATEMENT Item // Meeting Date 6/20/00 ITEM TITLE: A) Resolution Approving Final Map for Chula Vista Tract No. 88-3, Eastlake Greens Unit 26, accepting on behalf of the City of Chula Vista the public easements granted on said map within said subdivision, acknowledging the irrevocable offer of dedication of fee interest for ~xansportation and open space purposes as shown on said map within said subdivision, rejecting a portion of EastLake Parkway right-of-way as shown on said map within said subdivision, vacating certain existing easements as indicated on said map within said subdivision, and approving the Subdivision Improvement Agreement for the completion of improvements required by said subdivision and authorizing the Mayor to execute said agreement B) Resolution Approving Supplemental Subdivision Improvement Agreement for Chula Vista Tract No. 88-3, Eastlake Greens Unit 26, requiring The Eastlake Company, LLC to comply with certain unfulfilled conditions of Resolution 17618 and Resolution 15200 and authorizing the Mayor to execute said agreement SUBMITTED BY: Director of Publi, c Works~ ~L/// REVIEWED BY: City Manager ~ ~' ~. r (4/5ths Vote: Yes~No__X_) On July 18, 1989, by Resolution 15200 (Attachment 1), Council approved the Tentative Subdivision Map for Chula Vista Tract No. 88-3, Eastlake Greens, which included the subject property labeled as Unit R-26. On August 16, 1994, by Resolution 17618 (Attachment 2), Council approved and Lmposed Amendments and Conditions on the Master Tentative Subdivision Map (PCS-88-3). The Final Map, Subdivision Improvement Agreement and Supplemental Subdivision Improvement Agreement for Unit R-26 are now before Council for consideration and approval. This project proposes the creation of 252 condominium units. RECOMMENDATION: That Council adopt the resolutions: (A) approving the Final Map, and Subdivision Improvement Agreement; and (B) approving the Supplemental Subdivision Improvement Agreement. BOARD/COMMISSIONS RECOMMENDATIONS: Not Applicable DISCUSSION: General Page 2, Item //tt Meeting Date 6/20/00 The project site is triangular in shape and represents a portion of the western area of the Eastlake Greens subdivision. The site is limited to the north by Easflake High School, to the south by Otay Water District Facilities, to the east by Easflake Parkway, and to the west by the proposed SR-125 alignment. On October 18, 1999, the Design Review Committee approved the site plan for subject condominium project. The Final Map for the subdivision consists of 1 condominium lot (30.858 acres) proposing to accommodate 252 condominium dwelling units. A plat of the subdivision is presented in Attachment 3. Access to the site is provided via Eastlake Parkway. The final map for said subdivision has been reviewed by the Departments of Public Works and Planning & Building and found to be in substantial conformance with the approved Tentative Map. All documentation and fees required prior to final map approval have been already submitted by the developer. Approval of the map constitutes acceptance by Council of all drainage, emergency access, and pedestrian access easements within the subdivision, the abandonment of certain easements not needed to serve the proposed condominium project, and rejecting the dedication of the right-of-way negessary to transition EastLake Parkway from a four- lane major to a six-lane prime arterial. In add'ilion, Council will be acknowledging an irrevocable offer of dedication (IOD) for the future SR-125 right-of-way. In accordance with the Government Code, said IOD and the rejected right-of-way for Eastlake Parkway may be accepted at any future time by the City. Satisfied Conditions and Agreements The Developer has satisfied all applicable conditions of approval of Resolution 15200 and Resolution 17618, required prior to Council approval of the Final Map, through the design, grading and improvement plans, the bonding of work, the payment of all applicable fees, easements, and agreements. The Developer has also executed a Supplemental Subdivision Improvement Agreement (SSIA) in order to satisfy the remaining conditions of approval for Tentative Map Conditions B, C, 1, 18, 32, 33, 34, 37, and Condition 1 of Section XII Code Requirement Reminders of Resolution 17618, and Conditions 2 and 43 of Resolution 15200. The SSIA contains provisions requiring developer to construct all offsite improvements in Eastlake Parkway deemed necessary to serve their projeqt. The Developer has also executed a Subdivision Improvement Agreement (SIA) and has provided bonds to guarantee construction of the required onsite improvements. These improvements include all private improvements (i.e., street, sewer, drainage, etc.) and the public backbone drainage facilities necessary to serve the project. All private improvements will be maintained by a Homeowner's Association. Staff has already reviewed the proposed SSIA and SIA and recommends approval by Council. The City Attorney has already approved the agreements as to form. The Developer's Disclosure Statement is attached as Attachment 4. Page 3, Item /t~ Meeting Date.6/20/00 FISCAL IMPACT: All staff costs associated with processing of improvement plans and final map will be reimbursed from developer deposits. At~aclunents: Attachment 1: Resolution 15200 (Tentative Map Conditions) Attachment 2: Resolution 17618 (Amendment to Resolution 15200) Attachment 3: Chula Vista Tract No. 00-01, Eastlake Trails South TS-7, Site/Vicinity Map AUachment 4: Developer's Disclosure Statement [FILE NO. 0600-8~-EG26F] H:\HOME\ENGINEER\LANDDEV~CASEG26.JCM II-3 ATTACHMENT P. ESOL~m2!ON O? 15! ~7~v COL~NCiL OF m~-= o~-m- O? ~ ..... %~m~ .... R~ ~N~ ~ ~'~ . .. FOP. ~bS-~3..- ~.EENS, Ch%~ VISTA CPA~ 88-3 The City Comnci! of the City oC Ch~i~ Vista does hereby resolve as follows: Wi~ the Drowsed subdivision for the EastLake Greens area ~compasses 830 acres of land located in the e~stern ~rtion. of the C_~,z~-- of ~u!~ Vist~ esst of 1-805 ~nd south of ~ay Lakes Road, and ~H~E~, the subdivision includes +~==~ s ..... s, o~n s~ce, church sites, ~_c__~ lots, park sites, school sites, condominium lots and singie-fa~!y 10ts, and ....... v_~o~n~_ Impact Re~rt E!R-86-4 was ~ons~e__~ )reviously, and ~{IREAS, on June 21, 1989, the Plsnning Co~ission, by a vote of ~_ an interir, basis, Parcels P.-24, P-25, R-26r R-27, and R-28 shall ~ zoned e~ the taraet 5ensi:v of 4.5 dweiiinc units ~r acres. A maximum of ~{,03~ units will -be aooro,~ed for Eas~Lak~ i! u~ti! time ~ ~ ~h= adopted Cohere! U~=n ~llc!es ,4~1 ~ ...... '' ' ~-~_ be applied to d~=~-= .......... ~i the _nc.~ -~m~n~ ~=~ ...... units to be added to EastLake T~ c. The units from the new ca!caiation will be distributed to these five parcels or other unsubdivided portion of EastLake Greens Tentative Map. '; The SPA Plan and ~ ~-~ =_n .... ve Map will be returned to the P!amning Co~ission and City Council for adoption of the-nc={ ~=~=-=~d $~.s_ty, if any. N~, ~FORE, BE iT RESOL'~D that the City Council of the City of Visea does hereby approve the ~ ~ ~' = ~ =~n~a=_~- map for EastLake Greens, ~ula ==u= 88-3, based on the findings set forth herein and subject to the _ conditions: ~rinc Department Conditions: ~b!ic i~rovements r~uired in this resolution shall include, but not be l_m_~ {~os_~ to: ..... z ~ pav~_me.~. ~ ~nd base, concrete curb, gutter and t=a~__~ signals, street lights, traffic ={~=, street sidewalk, ~ =~{~ ' All improvements shall be o_~_gn~d and constructed ~n accordance City standards. s_.z_lo~= shall be ~ -'b~ ~ ~ ~' The -~: ~ a. The construction of public street improvements of all streets show~ on the tentative map within the subdivision. b. The construction of public street improvements for all off-site po~.on_ of Otay Lakes Road, Hunte Parkway, Palomar St .... and Orange Avenue along the full length of the subject property. Full width improvements shall be required unless the develo_mer can ~emonstrate to the satisfaction of the City Engineer that partial improvements will meet the Cit@ standards for traffic, bis!yc!es, pedestrians and parking. Transitions to existing improvements shall be ~rovided as ~equ~d by the City ~ng~ne=~ a. The developer shall guarantee the construction of the following improvements ~rior to the app~gva! of the final map for any of the Phases of ss~_v__~em~n~=~ ~ - ....... ~d~ne~f~d. i~ the EastLake c~==~=~ns Dn~$=n~ o~__ope= may ..... p~_n. The -~ =~ ~ submit an ~t=~nat= proposal to Drovile Dro~esa! shall be SUDm!EEec rOE ~= '= ~ _ · =~Vl_W and auurovai._ bv_ the Phase Facilities Needed *(See table i for descripuion of each faci!itv.) iA !, 2 lB -, 3, 4, 8, 15 -~1~ !_, 2, 2, 5, 7, 8, 9, 13, -~ !D =~ 2, 6, 7, 8, 9, !0, 13, -- 2 !, 2, 6, 7, 8, 9, !0, 15 3 !, 2, 2a, 6, 7, 8, 9, !0, i!, 12, 14, 15 Facilities that shall be guaranteed prior to approval of final map for the corresponding phase and completed prior to permits being issued for the subsequent phase (i.e., facilities for lA through D completed before permits for Phase 2 are issued). The developer shall guarantee the construction of all interior public improvements required for development of any unit of development prior to approval of the Final Subdivision Map for said unit. R/ght turn lanes end dual left turn lanes shall be provided at the intersection of any of the following street classifications: major-major, ~ajor-Drime '- art_~lal-p~m- arterial . arterial, prime =~' ~' ~ . Palomar Street from the westerly subdivision boundary tc EastLake Parkway Shall be constructed as a 4-lane collector (74 feet from curb-to-curb). d~_c~ access for .... o_ntl_l driveways w~l be =~ ' =~ to EastLake _a~kway, Hunte Parkway, Street "E", "D" S~.__~, Street Lakes Road, Orange Avenue and Palomar Street. The location of stree~ entries and major entries for mu!ti-fami!v projects to the above streets shall he approved by the City Engineer. Lot frontage on cul-de-sacs and knuckles -~al~ not be less than 35 unless approved by the City Engineer. a. A transition to existing improvements is requ_ ired on Otay Lakes Road east of Hunte Parkway. said transition shall be approved by ~'~n- ~.~ Engineer. b. The intersection of Hunte Parkway and Orange Avenue shall r_equ_r_,{ special treatment to transition to the prime arterial status of H~nte Parkway southerly of said intersection. T~mm T DESCP. iPTION OP ONSITE TPANSPORTATiON ~AC_~_ ~e~!itv NO. Street Portion ~ ~K_= Road to S~___u - EastLake Parkway Otay ~'~ ~= ? EastLake Parkway S ..... ~ ~==~ ~o ~he interim Terminus aout,~ ~ of the SDG~=~ 2a ~ ~ '~ P~rkwav ~n_ interim ~as~aK~ ~ Pa!omar Street to Terminus South of uhe SiXS&E 3 Street D ~ ~=s~Ke Parkway ts North Street "A" 4 Nor=h Street "A" St~e_t "D" ~ = , to Hunte Parkway 5 North Street "A" Street "D" to Street "E" 6* South Street "A" Street "D" to Hunte Parkway 7 Street "=" EastLake Parkway to Street 8 Hunte Parkway Otay Lakes Road to South Bomndary of Phase lB 9 Hunte Parkway Street "E" to North Boundary of Phase lC 10 Hunte Parkway Street "E" to South Street 11 Hunte Parkway South Street "A" to Orange Avenue 12 Orange Avenue Hunte Parkway to West Boundary of Subdivision 13 Street "E" Street "A" to Hunte Parkway 14 Palomar Street EastLake Parkway to West Boundary of the Subdivision 15 Otay Lakes Road Lane Avenue to Hunte Parkway * In conjunction with development at Phase iD, develooer may construct either that portion of South Street A to connect Street~ QQ to Street or that portion to Hunte Parkway. 19. Underground traffic signal equipment and traffic signal standards shall be installed at the following intersections: EastLake Parkway and Otay Lakes Road EastLake Parkway and "D" Street EastLake Parkway and "E" Street EastLake Parkway and Palomar Street HUnte Parkway and Otay Lakes Road HUnte Parkway and north Street "A" Hunte Parkway and "E" Street ~IUnte Parkway and south Street "A" Hunte Parkway and Orange Avenue "E" Street and Street "D" Street and north Street "A". Mast arms, signal heads and associated equipment shall not be installed ~n!ess approved by the City Engineer. Interconnect conduit, pull boxes and pullrope shall be installed to COnnect following intersection signal systems.  Otay Lakes Road/Route 125 to Otay Lakes Road/EastLake Parkway Otay Lakes Road/EastLake Parkway to Otay Lakes Road/Hunte Parkway Otay Lakes Road/EastLake Parkway to EastLake Parkway/"D" Street .EastLake Parkway/"D" Street to North Street "A"/"D" Street EastLake Parkway/"D" Street to EastLake Parkway/"E" Street EastLake Parkway/"E" Street to EastLake Parkway/Palomar Street Hunte Parkway/Otay Lakes Road to Hunte Parkway/North Street "A" HUnte Parkway/Street "A" to Hunte Parkway/"E" Street EastLake Parkway/"E" Street to Street "A /"E" Street Street "A"/"E" Street to Hunte Parkway/"E" Street Hunte Parkway/"E" Street to Hunte Parkway/North Street Hunte Parkway/South Street "A" to Hunte Parkway/Orange Avenue Orange Avenue east of Hunte Parkway to subdivision boundary. 11. a. A conditional use permit shall be filed with the City for the golf course, clubhouse, and related swin~ning and tennis facility prior to issuance of building permits for purposes of regulating operations, uses, and site design. b. Locations where golf course crossings of streets are provided shall be clearly signed and marked. Where streets being crossed are classified to carry traffic at a speed greater than 25 mph, such crossings shall only be at intersections or through the use of grade separation structures. c. The developer or other subsequent owner of the golf course shall agree to be responsible for the payment to the City of ongoing repair and maintenance costs of any grade separation structures which may be required for the benefit of the golf course. d. Golf course safety features shall be reviewed by the City Engineer in conjunction with construction of the golf course. 12. All streets which intersect other streets at or near horizontal or vertical curves must meet intersection design sight distance requirements in accordance with City standards. 13. a. Bus stops with concrete benches shall be provided along both sides of Street "A" adjacent to the intersections with the following streets: Street "E", Street "G", Street "D", Street "QQ" and Street "FFF". Bus turnouts shall be provided to the satisfaction of the City Engineer. b. Bus stops with concrete benches shall be provided along both sides of Hunte Parkway adjacent to the intersections with Street "E" and south Street "A". Bus shelters as approved by the City Engineer shall be provided along both sides of EastLake Parkway adjacent to the intersection with Street "E" or appropriate alternative locations. ~4~ Right turn lanes shall be provided on Street "A" at the intersections of Street "A" with Street "D" and south Street "A" with Hunte Parkway. A ~. right turn lane shall be provided on EastLake Parkway at its intersection ~15. a. All streets within the multi-family developments and the access road ~ to Unit 29 shall be private. Detailed horizontal and vertical alignment of the centerline of said streets shall be reflected on the improvement plans for said developments. Design of said streets shall meet the City standards for private streets. b. Private streets in Units 1 and 2 (single family detached units) shall meet City standards for public streets or standards acceptable to the City Engineer. c. All subdivisions proposing private streets with controlled access devices, such as gates, shall contain the following features: (1) Gates shall be approved by the City Engineer. Gates shall be located to provide sufficient room to queue up without interrupting traffic on public streets. (2) A turn around shall be provided at the location of the gate. The size and location of said turn around shall be approved by the City Engineer. (3) The border between public street and private street shall be delineated through the use of distinctive pavement. (4) Provisions shall be made for emergency vehicle access. 16. All the streets shown on the subject tentative map within the subdivision boundary, except as described above, shall be dedicated for public use. Detailed horizontal and vertical alignment for said streets shall be_ reflected on the improvements plans for the subject subdivision or ~ny unit thereof. Desi?n of said streets shall meet all City standards for public streets. 17. The owner shall grant to the City street tree planting and maintenance easements along all public streets ~thin the subdivision as shown on ~h~ tentative maD. Said easement shall extehd 10 feet from the back of +~= sidewalk except on Hunte Parkway and portions of EastLake Parkway as provided below. Along Hunte Parkway, said easement shall extend !0 ~=~ from the oromertv line and shall contain no slope steeper than E:] (horizontal to vertical ratio). The entire area of said tree planning easement along Hunte Parkway shall be offered for dedication on the ~utu_e street purposes. The tree planting easement subdivision maps for = ~ along those oortions of EastLake Parkway containin~ meandering sidewalks Shall coincide --~' ~' ~_~n the proposed sidewalk easement as shown on ~ne Tentative .Map. [8. The owner shall grant to the City a 10 foot sidewalk easement adjacen% %o the property line for the installation of a meandering sidewalk an ~he following locations: a. Otay Lakes Road along the full length of the frontage of Unit 17. ~ast~ake Parkway along the frontage of Units 29, 34 and 32 (north of the intersection of "E" Street). c. Street E - Between EastLake Parkway and Street - along the frontaqe of Unit 25. Between Street A and Hunte Parkway - along the frontage of Units 28, 29, 37 and 39. Prior to the approval of any final map for subject subdivision or any ~nit thereof, the subdivider shall obtain all off-site right-of-way necessary for the installation of required improvements for that unit. If the developer requ~ ests the City to use its powers to acquire sa±d off-site right-of-way, the developer shall pay all costs, both direct and indirect incurred in said acqu_ isition. The developer shall grant to the City 1' control lots adjacent to the following streets: a. South end of EastLake Parkway. b. South end and east side of Hunte Parkway. c. Both ends of Street A. d. Both ends of Orange Avenue. e. West end and southerly side of pa!omar Street. f. Both sides of Orange Avenue. Striping plans shall be provided for the following streets: Street Street "D", Street "E", EastLake Parkway, Hunte Parkway, Orange Avenue, Otay Lakes Road and Palomar Street. Striping plans shall be approved conjunction with improvement plans for said streets. Prior to the approval of any final subdivision map which includes a portion of the streets listed below, the developer shall submit p!~ns demonstrating the feasibility of the~xtension of the said streets: a. EastLake Parkway - from Palomar Street to Orange Avenue. b. Hunte Parkway - from Otay Lakes Road to East "H" Street. c. Palomar Street - from the subject subdivision a minimum distance of !,000 ft. westerly. d. Orange Avenue - a minimum distance of !,000 ft. westerly. a. The deve!oDer shall submit calculations to demonstrate comD!iance with all drainage r-=~Juirements of the Subdivision Manual to include, but not be limited to, dry lane recmirements. Calculations shall also be provided to demonstrate the adequacy of downstream drainage structures, pipes and inlets. b. ~Specific methods of handling storm drainage are subject to detailed approval by the City Engineer at the time of submission of improvement and grading plans. Design shall be accomplished on the basis of the requirements of the subdivision Manual and the Grading Ordinance (~1797 as amended). Graded access shall be provided to all storm drain structures including inlet and outlet structures as required by the City Engineer. Paved access shall be provided to drainage structures located in the rear yard of any residential lot. a. The developer shall obtain notarized letters of permission for all off-site grading work prior to issuance of grading permit for work requiring said off-site grading. b. Lots shall be so graded as to drain to the street or to an approved drainage system. Drainage shall not be permitted to flow over slopes. 25. Sewer manholes shall be provided at all changes of alignment and grade. Sewers serving 10 or less equivalent dwelling units shall have a minimum grade of 1%. 26. The developer shall comply with all relevant Federal, state and local regulations, including the Clean Water Act. The developer shall be responsible for providing all required testing and documentation to demonstrate said compliance as required by the City Engineer. 27. A paved access road with a minimum width of 12 feet shall be provided to all sanitary sewer manholes. The roadway shall be designed for ~n H-20 wheel load or other loading as approved by the City Engineer. 28. The developer shall grant easements for all off-site public storm drains and sewer facilities prior to approval of any final map requiring those facilities. Easements shall be a minimum width of six feet greater th~n pipe size, but in no case, less than 10 feet. 29. An erosion and sedimentation control plan shall be included as Dart of grading plans. ]0. The developer shall ~n~r into an agreement whereby the developer ac that the City may withhold building permits for ~ny units in the subJec5 subdivision if traffic on C~ay Lakes Road, Telegraph Canyon Road, EastLake Parkway, or East "=" ~ .... ~ exceeO the levels of service identified in ~h 31. a. The property owner shall agree to not protest formation of a disnric-- ~i. _~or_ the maintenance of the draina~e~ channel in Telegraph_ Canyon._ b. The property owner shall agree to not protest formation of a dis%ri~ for the maintenance of landscsDed, medians and parkways alonc~ s~==~- within and adjacent to the subject pro_~rty. c. The property owner shall enter into an agreement wherein he agrees to not protest formation of an assessment district for the construction of street imp_rovements to connect Orange Avenue and Pa!omar Street to existing improvements to the west of the subject property and to not protest inclusion of the subject improvements as projects in the Eastern Territories Develo_rm~ent Impact Fee system. All sanitary sewer facilities required for development of any lot, unit or phase shall be guaranteed prior to recordation of a subdivision map for said lot, unit or phase. b. The developer shall provide for the costs associated with maintenance of the sewer pump stations prior to approval of any subdivision m~ps which shall require said pump stations to provide sanitary sewer service. c. The developer shall obtain permission from the City to deposit sewage in a foreign basin prior to approval of ~ny subdivision map which shall require any sewage to be transferred from an existing basin into another basin. The permission shall be in the form of an agreement whereby the City shall agree to such transfer, and the developer shall agree to the construction of certain improvemenns in the system that will accept said sewage and to the circumstances under which said permission may be revoked. 33. Prior to the approval of any final map for any lot or unit, the owner shall guarantee the construction of all improvement (streets, sewers, drainage, utilities, etc.) deemed necessary to provide service to such or unit in accordance with City standards. 34. Prior to approval of any subdivision map for single family residential use. The developer shall submit a list of proposed lots indicating whether the structure will be located on fill, cut, or a transition between the two situations. 35. South Street "A" and Street "E" (between Street "A" and Hunte Parkway) shall be 52 feet wide (curb-to-curb) within 72 feet of right-of-way to provide for on-street parking on one side of each street. 36. Off-site cumulative transportation impacts shall be mitigated to insignificant levels by participating in the East Chula Vista Transportation Phasing Plan on a fair share basis with other area develooers 37. EastLake Greens will be subject no amy new City resolution or ordinance regarding cable television. g Department Conditions ~38. a. ADolican5 shall request the formation of an open space d~s .... Maintenance of specific areas may be required to be performed by the master homeowner's association. Cpen space slopes shown adjacent public and private neighborhood parks shall be included in nhe established maintenance program. b. Park dedication and improvement credit for private parks (up to 50%) may be considered subject to approval of improvements, park acreage and activity areas provided. c. Development of all public and private park areas receiving park credit designated on the subdivision map shall be subject to the approval of the City's Director of Parks and Recreation. Said approval shall comply with the standards listed in Section 17o10.050 of the Municipal Code. d. Maintenance and credit for the proposed open space trail system shall be subject to approval of the Director of Parks and Recreation. The trail shall consist of an approved D.G. base. e. Park dedication credit for the cor~nunity park shall not include the slope area adjacent to proposed %125; however, credit shall be given when park improvements in excess of the Municipal Code requirements a~ provided. f. Any PAD fees to be waived shall be done so upon completion of parks or bonded guarantees of park completion. Bonds provided to the Department of Real Estate may be sufficient guarantee for private park improvements. g. No waiver of Residential Construction Tax is made or implied by approval of this map. 39. Park acreage of 24 acres shall be provided subject to the approval of .Dark improvement plans by the Director of Parks and Recreation. ~0. The open space corridor encompassing the SDG&E easement and the San Diego water line shall be incorporated into adjacent land use plans as usable open space and/or parking. The adjacent land use lots shall be graded to accomplish an acceptable interface. 41. The 5:1 grading shown on EastLake Parkway (reference sheet ~2) shall be eliminated and shown as 3:1. 42. A minimum 15 ft. wide landscaped area shall be provided between the sidewalk and wall areas created along single-family areas on Street "A". NOTE: Down slopes shall commence at &~ ~inimum distance of 10 ft. from the public sidewalk. Alternate tree plantings in approved concrete cone root containers will be considered for limited areas. 43. Copies of proposed CC&R's shall be filed with the City. 44. A low and moderate income, housing program with an established goal of 5% low and 5% moderate shall be implemented subject to the approval of the City's housing coordinator. NOTE: A 1% change resulting in 4% low and 6% moderate is deemed an acceptable tolerance. This condition shall be deferred and further evaluated as a factor in the analysis of the General Plan density policies as they relate to parcels R-24, R-25, R-26, R-27, and R-28. Ail paved access to sewer and drainage outlets shall be subject to approval by the Director of Planning. A minimum of three church sites totaling 7 acres shall be designated prior !i to recordation of the final map. ~' Open space easements shown at the rear of various lots backing onto the gOlfcourse shall be included in the golf course maintenance program. All lots adjacent to intersections subject to road widening requirements Shall require further review by the Planning Director to determine acceptability. ). SChool development shall be phased to provide facilities with adequate Capacities to serve residential occupancy. Me!lo-Roos Community Facilities District has been formed by the respective school districts. 50. Provide street names on the tentative map. 51. A conceptual landscape plan, together with a water management plan, shall be provided prior to City Council approval of the tentative map and subject to the approval of City's Le~ndscape Architect. 52. Development of all parcels shall be in accordance with EastLake Greens SPA Plan, Public Facilities Financing Plan and Design Manual. 53. The developer shall annex all areas within the subdivision boundaries prior to recordation of any final map. 54. The phasing plan shall be designed to connect interior subdivisions within Phase I to the satisfaction of the City Engineer. 55. All lots without approved private or public access shall be shown as a single lot. 56. The open _space shown adjacent to easterly side of Route 125 corridor shall be dedicated to the City across its entirety for future transfer to the State of California as part of future freeway right-of-way. School District has option of putting in retaining wall across the high school site. 57. Lotting approval for Unit 14 shall be continued until a precise plan detailing the design of the project is reviewed by the Design Review Cormnittee. Thereafter, the lotting of Unit 14 will be considered by the City Council for tentative subdivision map approval. 58. Orange Avenue corridor design shall be subject to approval of the Director of Planning regarding grading, slope grading, landscaping and fencing. 59. All lots in Units 4, 7, and 8 shall be a minimum of 50 feet wide and 20% of lots in Units 11 and 13 shall be a minimum of 50 feet wide. A minimum of twenty (20) percent of all lots within Units 4, 7, and 8, 11, and 13 are intended to accommodate one-story units or units with a One-story plateline along the street frontage. Said one-story units shall be placed on lots with a minimum width of 50 feet. Any units displaced as a result of revision to the subdivision may be Considered for transfer to another unit within EastLake Greens. 60. Major entry points to the EastLake Greens development shall require ~' approval of the Director of Planning with respect to grading, slope gradient and landscaping. 61. All of the open space lots shall be dimensioned (see Loop Street adjacent to Units 14, 39 and 13). 62. Open space lots adjacent to private parks shall be inciuded in the private Parks to be maintained by the Homeowners' Association. 63. A water agreement with Otay Municipal Water District regarding terminal storage and water supply shall be required prior to approval of the final map. 64. A pedestrian bridge or an alternative acceptable to the City Engineer shall be constructed over Otay Lakes Road to connect the community trail from EastLake I to EastLake II. EIR Mitigation Measures - Planning 65. Residential land uses planned adjacent to or near commercial and industrial uses shall be adequately buffered. Necessary measures will include a wall or fence to decrease noise and increase privacy; a physical, vertical or horizontal separation between land uses, i.e., a road, slopes or a landscaped open space buffer; or some type of vegetative screen. Impacts occurring as a result of site-specific designs will be mitigated on a site-specific basis. (pg. 4-15) 66. In order to mitigate the site specific impacts, the following must be completed in accordance with the thresholds policy and the East Chula Vista Transportation Phasing Plan: a. Improve Telegraph Canyon Road between State Route 125 ~nd the EastLake Greens/Trails boundary to six-lane prime arterial standards. b. Construct Hunte Parkway and EastLake Parkway as major roads between Telegraph Canyon Road and Orange Avenue. c. Construction of a southbound State Route 125 to eastbound Telegraph Canyon Road loop ramp at the State Route 125/Telegraph Canyon Road intersection or extend State Route 125 South to East Palomar Street (which would connect to the EastLake II st_~_t system). (pg. 4-37) The on-site water storage tank shall receive additional landscaping. This Shall include the use of additional vegetation within the site compound to obscure the tank itself, as well as exterior landscaping of the perimeter fence to provide a more aesthetic screen. Residential units in the vicinity of the SDG&E transmission line shall be Spaced and oriented to minimize views of those facilities. The 50-foot buffer along both sides of the roadway traversing the northern site bOUndary shall receive sufficient landscaping to effectively screen development associated with EastLake I. Additionally, residential units mn the northern project site shall be spaced and oriented to minimize Views to the north where appropriate. I. A preliminary geotechnical report has been prepared for the EastLake ~ Greens property by San Diego Soils Engineering, Inc. (1986). This report COntains various recommendations to provide adequate surface and SUbsurface drainage and erosion control that shall be incorporated into the project design. Recom~nended measures include, but are not limited to, the following: Surface and Subsurface Drainaqe: Surface runoff into downs!ope natural areas and graded areas should be minimized. W%ere possible, drainage should be directed to suitable disposal areas via nonerosive devices (i.e., ~aved swales and storm drains). Pad drainage should be designed to collect and direct surface waters away from proposed structures to approved drainage facilities. For earth areas, a minimum gradient of two percent should be maintained and drainage should be directed toward approved swales or drainage facilities. Drainage patterns approved at the time of fine grading should be maintained throughout the life of proposed structures. 70. Subdrains shall be placed under all fill located in existing drainage courses at identified or potential seepage areas. Specific locations shall be evaluated in the field during grading with general subdrain locations indicated on the approved grading plan. The subdrain installation shall be reviewed by the engineering geologist prior to fill placement. 171. Drainage devices are required behind stabilization fills to minimize the build-up of hydrostatic and/or see_page forces. (See Preliminary .~l~ Geotechnica! Investigations, San Diego~Soils Engineering, Inc. (1986) for details and recommended locations of these backdrains.) Depending on _eaot one tier o~ drains would be required for · ~ slope height, at ] ~ - approximately every 30 f~ of slope height. Drains may also be needed at contacts between permeable and non-permeable formations. 2. Slopes shall be planted with appropriate drought-resistant vegetation as ~ recomme_nded by a landscape architect immediately following grading. ~. Erosion control and drainage ~ ~ = shall be installed in compliance with the requirements of the City of Chula Vista. Water shall not be allowed to run over the top of or flow down graded or natural slopes. Devices constructed to drain and protect slopes, including brow ditches, berms, retention basins, terrace drains (if utilized) and down drains shall be maintained regularly, and in particular, should not be allowed to clog so that water can flow unchecked over slope faces. Subdrain outlets Shall be maintained to prevent burial or other blockage. To ensure that significant and potentially unique fossils and paleontological resources are not destroyed without examination and ana!vsis, it shall be required that a qualified paleontologist monitor the initial grading activities during development of the EastLake Greens site. a. Walls and/or berms shall be installed to the satisfaction of the Director of Planning to reduce noise exposure to acceptable levels onsite. The applicant has proposed an optional 5-foot fence enclosing the perimeter of the residential boundary (Figure 2-10), and the 5-foot wall height was factored into the model to analyze the effectiveness -13- of such a wall on the significant noise impacts projected onsite. In so~ cases, a 5-foot wall height was determined not to be required and a lower wall height was evaluated. It was determined that a 5-foot barrier along the top of slope on portions of the eastern side of EastLake Parkway and portions of the internal loop road, and contiguous to the northern and southern entry roads, would reduce projected onsite noise levels below 65dB(A) CNEL (Figure 4-17). A 3-foot barrier would also be required along the central golf course road to further attenuate onsite noise levels. Noise levels at the park could be reduced through the incorporation of barriers of minimal height (i.e., 1 to 2 feet). Walls are not reco~ended because of aesthetic considerations and because the attenuation r~uired is only tw~ decibels. Attenuation at the park could be achieved by raising the pad elevations near the contributing roadways by 2 feet instead of incorporating a barrier. The barriers along residential portions of the site should consist of walls, earth berms, or a combination of walls and berms. Noise levels above 65 dB(A) and below 75 dB(A) CNEL are considered compatible with the proposed commercial area in the northwest corner of the project area and no barriers are required to attenuate the noise levels in this area of the site. ~' Based on the current grading plan, the identified noise walls would mitigate the projected exterior noise levels below the required 65 CNEL standard and to a level of insignificance with the exception of the Dark '=~ ~ wn~ slight exceedances would occur. If the pad elevation is raised, as recommended, no adverse noise impacts would occur onsite. b. For those portions of the site exposed to 60 CNEL or greater (identified in Figure 4-17), an interior acoustical analysis will be required once building plans and site plans are made available to ensure the use of appropriate construction materials to attenuate the interior noise levels below a level of significance. On an interim basis, Parcels R-24, R-25, R-26, R-27, and R-28 shall be Zoned at the target density of 4.5 dwelling units per acres. A maximum of 4,034 units will be approved for EastLake II until such time as the g~idelines for exceeding the target density for the General Plan Update are resolved. The following procedure will occur to determine additional density, if any, for the EastLake project. ~ a. Specific guidelines for exceeding the target General Plan density will be adopted; b. The adopted C~neral Plan policies will be applied to determine the incremental units to be added to EastLake II. c. The units from the new calculation will be distributed to these five parcels or other unsubdivided portion of EastLake Greens Tentative Map. d. The SPA Plan and = + ' o ~ _ T~n~atlv~ MaD will be returned to the Plar~ninc Commission ~nd City Council for adoption of the increased density, if any. 78. Prior to the recordation of the final map, the EastLake I private park agreement shall be approved by the City Council. 79. The EastLake Greens Development Agreement shall contain a provision making the EastLake Greens project subject to the Transportation Phasing Plan and the Growth Management Element of the General Plan. 80. Prior to recordation of the final map, the applicant shall submit an agreement to the City regarding public use of the golf course. This may be addressed in the conditional use permit required for the golf course. i81. The Planning Commission recommendation regarding the reduction of dwelling units contained in Condition 13 of the EastLake II General Developm~nt Plan is incorporated into this resolution (EastLake Greens reduced from 3609 dwellingunz'~s to 2774 dwelling units). Pursuant to Section 0o~.5 of the Subdivision Map Act, Tentative Subdivision Map for EastLake Greens Tract 88-3 is found to be consistent with the Chula Vista General Plan as adopted by the Chula Vista City Council based on the following findings: 1. Land Use Element The C~neral Plan designates the EastLake Greens areas for Low-Medium R==~=nt_=l~- as well as commercial, Dublic,_ quasi-public (schools, p=~..~, churches) and some open space. The recommended 2,774 residential units is within the density (between target and maximum) range of the General Plan residential designation of low/medium residential (3-6 du/gr, ac.), including density transfers from the park, school, and golf course to the residential area (327 du). 2. Circulation Element All of the on-site and off-site public streets required to serve the subdivision will be constructed or DIF fees paid by the developer in accordance with the EastLake Greens Public Facilities Financing Plan 'and Development Agreement. 3. Housing Element The proposed project will provide a minimum of 10% affordable housing including a mix of housing types and lot sizes for single-family, townhouses, condominium and various apartment densities that will provide a wide spectrum of housing prices for persons of various incomes. -15- 4. Parks and Recreation Element The subdivision will provide approximately 40 acres of improved community and neighborhood parks in accordance with locations and standards of the General Plan. The required park acreage for EastLake Greens is 29.2 acres. 5. Public Facilities Element The project is obligated in the conditions of approval to participate in providing the water facilities, wastewater facilities and drainage facilities required by the policies of the General Plan. These include emergency water storage reservoir, construction of a 50 million gallon facility by OMWD, provisions for additional wastewater facilities by parallel sewer pipelines and constructing on-site detention basins to reduce peak storm flows. 6. ~Open Space and Conservation Element The proposed subdivision is in conformance with the goals and policies ~f the element. There are no land resources, water resources, plant or animal resour~ces or open space areas identified for preservation in the General Plan for this site. 7. Safety Element The project site is considered a seismically active area, although there are no known active faults on or adjacent to the property. The fire protection facilities and services needed to serve the project have bee_n reviewed by the Fire Department. Other emergency service agencies have reviewed the proposed subdivision for conformance with ~= _ sa~tv policy. The project will increase the need for additional police and fire personnel, however, the City is planning to meet the need with additional revenues provided by the project. Pursuant to Section 66412.3 of the Subdivision Map Act, the effects of the tentative map for EastLake Greens Tract 88-3 on the housing needs of the region has been considered in that the subdivision will provide a Variety of housing types that will serve all aspects of the community. The Council has further balanced the need for housing against public service needs of its residents and available fiscal and environmental resources in that the City has weighed the fiscal effects of the project and' finds that it will not deplete current resources and has further balanced the environmental effects by incorporating mitigation measures. Pursuant to Section 66473.1 of the Subdivision Map Act, the EastLake Greens Tract 88-3 has provided to the extent feasible for future passive or natural heating or cooling opportunities in that the proposed design has a predominant north-south orientation of long, narrow parcels c~_atlng southern encouraging east-west orientation of buildings and ~ ' e .xposure for pitched longitudinal roofs to facilitate solar energy. Presented by Approved as to form by //~_h~mas J. Had>rOb> City Attorney (~k~ge K~emp_ 1/ Direc~5~ of ,,.~. Pl~nng 5930a i1 -17- ADOPTED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF JLA VISTA, CALIFORNIA, this 18 day of 3u17 87 , by the following vote, to-wit: i~S: Councilmembers Cox, Malcolm, Moore ~YES: Councilmembers McCandliss, Nader L~STAI N: Counci lmembers None ~¢-NT: Counci 1 members None .......... Mayor Cffy of Chula Vista , ST City Clerk i~ ~TE OF CALFORNIA ) OF SAN DIEGO ) ss. CHULA VISTA ) I, JENNIE M. FULASZ, CMC, CITY CLERK of the City of Chula Vista, California, CERTIFY that the above and foregoing is a full, true and correct copy of ]N NO. 15200 ,and that the same has not been amended or repealed City Clerk ATTACHMENT 2 RESOLUTION NO. 17618 A RESOLUTION OF THE CITY COUNCIL OFTHE CITY OF CHULA VISTA APPROVING AND IMPOSING AMENDMENTS AND CONDITIONS ON THE EASTLAKE II (EASTLAKE I EXPANSION) GENERAL DEVELOPMENT PLAN, EASTLAKE GREENS SECTIONAL PLANNING AREA (SPA) PLAN, EASTLAKE GREENS AIR QUALITY IMPROVEMENT PLAN, EASTLAKE GREENS WATER CONSERVATION PLAN AND EASTLAKE GREENS MASTER TENTATIVE SUBDIVISION MAP (PCS-88-3) AND ADOPTING MITIGATED NEGATIVE DECLARATION ON IS-94-19 AND MITIGATION MONITORING AND REPORTING PROGRAM I. RECITALS A. Project Site , ,, WHEREAS, the properties which are the subject matter of this resolution are diagrammatically represented in Exhibit 1 and 2 attached hereto and incorporated by this reference, ~o~ntmed as the =astLake General Development Plan Area and EastLake Greens SPA Plan Area, and located in part in the City of Chula Vista ("Project Site") and, B. Project; Application for Discretionary Approval WHEREAS, on March 21, 1994, the EastLake Development Company ("Developer") filed applications for an amendment to: 1) the EastLake II (EastLake I Expansion) General Development Plan, known as document number C094-183, a copy of w, hich is on lite in the office of the City Clerk, 2) the EastLake Greens Sectional Planning Area Plan, known as document number C094-184, a copy of which is on file in the office of the City Clerk, 3) the EastLake Greens Air Quality Improvement Plan, known as document number C094-185, a copy of which is on file in the office of the City Clerk, 4) the EastLake Greens Water Conservation Plan, known as document number C094- 186, a copy of which is on file in the office of the City Clerk, and 5) the EastLake Greens Master Tentative Map, known as document number CO94- 187, a copy of which is on file in the office of the City Clerk, ("Project"); and, C. Prior Discretionary Approvals WHEREAS, the development of the Project Site has been the subject matter of 1) a General Development Plan, ,EastLake II (EastLake I Expansion) General Development Plan previously approved by City Council Resolution No. 15198 ("GDP"); 2) the EastLake Greens Sectional Planning Area Plan, previously adopted by City Council Resolution No. 15199; (SPA) and 3) a Tentative Subdivision Map previously approved by City Council Resolution No. 15200 (TSM) Chula Vista Tract 88-3, all approved on July 18, 1989; and, 4) an Air- I Resolution No. 17618 Page 3 and comments thereon, the environmental impacts therein identified for this project and the Mitigation Monitoring and Reporting Program ("Program"), known as document number C094-181, a copy of which is on file in the office of the City Clerk, thereon prior to approving the Projectt Based on the Initial Study and comments thereon, the Council finds that there is no substantial evidence that the Project will have a significant effect on the environment and thereby approves the Mitigated Negative Declaration. B. Mitigation Monitoring and Reporting Program The City Council of the' City of Chula Vista finds that the significant environmental effect(s) identified in the Mitigation Negative Declaration will be reduced to below a level of significance if the mitigation measures in the Mitigation Monitoring and Reporting Program are implemented. The Mitigation Monitoring and Reporting Program is hereby approved to ensure that its provisions are complied with. IV. CERTIFICATION OF COMPLIANCE WITH CEQA The City Council does hereby find that the Mitigated Negative Declaration on IS-g4-19 and Mitigation Monitoring and Reporting Program have been prepared in accordance with requirements of the California Environmental Quality Act, the State EIR Guidelines, and the Environmental Review Procedures of the City of Chula Vista. V. INDEPENDENT JUDGMENT OF CITY COUNCIL The City Council finds that Mitigated Negative Declaration IS-94~19 reflects the independent judgment of the City of Chula Vista City Council. VI. GDP FINDINGS A. THE PROPOSED DEVELOPMENT AS DESCRIBED BY THE GENERAL DEVELOPMENT PLAN 1S IN CONFORMITY WITH THE PROVISIONS OF THE CHULA VISTA GENERAL PLAN. The amended EastLake II (EastLake I Expansion) General Development Plan reflects land use densities and circulation system design that are consistent with the Chula Vista General Plan Land Use and Circulation Elements. B. A PLANNED COMMUNITY DEVELOPMENT CAN BE INITIATED BY ESTABLISHMENT OF SPECIFIC USES OR SECTIONAL PLANNING AREA PLANS WITHIN TWO YEARS OF THE ESTABLISHMENT OF THE PLANNED COMMUNITY ZONE. Resolution No. 1761 Page ECONOMICALLY AT THE LOCATION(S) PROPOSED AND WILL PROVID ADEQUATE COMMERCIAL FACILITIES OF THE TYPES NEEDED AT SUC PROPOSED LOCATION(S). The amendments do not involve areas planned for commercial uses. H. THE AREA SURROUNDING SAID DEVELOPMENT CAN SE PLANNED AN] ZONED IN COORDINATION AND SUBSTANTIAL COMPATIBILITY WITH SAIl DEVELOPMENT. The amendments are consistent with the previously approved plans an regulations applicable to surrounding areas. VII. SPA FINDINGS A. THE SECTIONAL P~.ANNiNG AREA PLAN AS AMENDED IS IN CONFORMIT', WITH THE EASTLAKE Jl (EASTLAKE I EXPANSION) GENERAL DEVELOPMEN- PLAN AND THE CHULA VISTA GENERAL PLAN. The amended EastLake Greens Sectional Planning Area Plan reflects land use circulation system, and public facilities that are consistent with the EastLak~ II (EastLake I Expansion) General Development Plan and the .Chula Vista Genera Plan. THE EASTLAKE GREENS SECTIONAL PLANNING AREA PLAN, AS AMENDEE; WILL PROMOTE THE ORDERLY SEQUENTIALIZED DEVELOPMENT OF THE . ~N¥OLVED SECTIONAL PLANNING AREA. The SPA Plan, as amended allows, in the context of market demand a more logical transition of construction within the EastLake Greens Planned Community, consistent with the phasing of internal and external infrastructure, and the amendments have been found to be consistent with the EastLake Il (EastLake I Expansion) Public Facilities Financing Plan, Air Quality Improvement Plan, and Water Conservation Plan. C. THE OTC SECTIONAL PLANNING AREA PLAN AS AMENDED WILL NOT ADVERSELY AFFECT ADJACENT LAND USE, RESIDENTIAL ENJOYMENT, CIRCULATION, OR ENVIRONMENTAL QUALITY. The land uses within the EastLake Greens SPA area represent the same uses approved by the EastLake II (EastLake I Expansion) General Development Plan. VIII. TENTATIVE SUBDIVISION MAP FINDINGS A. Pursuant to Government Code Section 66473.5 of the Subdivision Map Act, /I- V Resolution No. 17618 Page 7 sites will not be affected by the proposed amendment. f. Open Space and Conservation Element The proposed subdivision is in conformance with the goals and policies of the General Plan element for this site. g. Safety Element The project site is gonsidered a seismically active area, although there are no known active faults on or adjacent to the property. The fire protection facilities and services needed to serve the project have been reviewed by the Fire Department, Other emergency service agencies have reviewed the proposed subdivision for conformance with safety policy. The Project, as amended, will not increase the need for additional police and fire personnel. h. Noise Element Noise mitigation measures included in the Environmental Impact Report SEIR-86-04 and Mitigated Negative Declaration IS-94-19 adequately address the noise policy in the General Plan. All dwelling units within the project will be required to be designed so as to not exceed the interior noise level of 45 dBA. Additionally, all exterior private open space will be shielded by a combination of earth, berm, wall, and/or buildings to achieve a 65 dBA noise level for outside private areas. B. __ Pursuant to Sectipn 664~12._3. of_ t_he Subd?ision M_ap Act, the Council certifies that it has considered the effect of this approval on the housing needs of the region and has balanced those needs against the public service needs of the residents of the City and the available fiscal and environmental resources. C. The configuration, orientation and topography of the site partially allows for the optimum siting of tots for passive or natural heating and cooling opportunities as required by Government Code Section 66473.1. D. The site is physically suitable for residential development and the proposal conforms to all standards established by the City for such projects. X. GENERAL CONDITIONS OF APPROVAL The approval of the foregoing Discretionary Approvals Amendments which are stated to be conditioned on "General Conditions" are hereby conditioned as follows: A. Project Site is Improved with Project Resolution No. 1761 Page 1. Comply With all unfulfilled condition of approval of the Eastlake Greer Tentative Map, Chula Vista Tract 88-3 established by Resolution N~ 15200 approved by Council on July 18, 1989. 2 If phasing is proposed within an individual map or through multiple fin maps, submit and obtain approval for a development phasing plan by tt City Engineer and Director of Planning prior to approval of any final ma which includes phasing. Improvements, facilities and dedications to provided with each phase or unit of development shall be as determine by the City Engineer and Director of Planning. The City reserves right to conditionally approve each final map with the requirement t provide improvements, facilities and/or dedications as necessary pro~ide adequate circulation and to meet the requirements of police an fire departments. The City Engineer and Planning Director may, at the discretion, modify the sequence of improvement construction shoul conditions change to warrant such revision. STREETS, RIGHTS;OF-WAy AND IMPROVEMENTS 3. Dedicate on-site and off-site street right-of-way for the construction East Orange Avenue from its intersection with Hurtle Parkway to th westerly subdivision boundary. 4. Design southerly knuckle on Street PP to conform to City desig: standards. 5. Provide to the City a letter from Otay Municipal Water District indicatin! that the assessments/bonded indebtedness for all parcels dedicated the City have been paid or that no assessments exist on the parcel(s) 6 Present written verification to the City Engineer from Olay Water Distric that the subdivision will be provided adequate water service and Ion! term water storage facilities. 7. Grant to the City a 1 O-foot wide utility easement adjacent to the stree' right-of-way within the open space lots in Units 4, 10, 12, 15, 18, 21 23, 26, 27, :30, :31, or as approved by the City Engineer. 8. Construct an 8' wide sidewalk for the Golf Course Neighborhood Trai as shown on the EastLake Greens Trails Plan along the following streets a. South Greensview Drive - from Clubhouse Drive to Hunt~ Parkway. b. Hunte Parkway - from So. Greensview Drive to the southert~ boundary of Unit 27. Resolution NO. 17618 Page 11 (This condition supersedes Condition of Approval No. 19 ~'or the Eestlake Greens Tentative Map approved by City Council Resolution No. 15200). 12. Street sections shall be revised to reflect current street design standards. Street design standards shall be applicable to future streets. GRADING/DRAINAGE 13. Obtain easements in favor of City for off*site detention basin and storm basin near East Ora~nge/Hunte Parkway intersection as required by City Engineer. 14. Grade 20 foot wide landscape buffer along East Orange Avenue at 5:1 ratio. 15. Relocate detention basin storm drain outlet beyond toe of southerly slope of Eas~ brange Avenue grading. 16. Provide energy dissipators at all storm drain outlets as required by the City Engineer to maintain non-erosive flow velocities. 17. Design and line desilting basins with concrete to the satisfaction of the City Engineer. 18. Provide anupdated soils report or an addendum to the original document - ' prepared-by a registered engineer, as required by the City Engineer, OPEN SPACE/ASSESSMENTS 19. Agree to grant in fee to the City public access easements over paved walkways to Golf Course Trail vista points as approved by the City Engineer and the Director of Parks & Recreation Department. 20. Request annexation into Eastlake Maintenance District #1 of all areas within the tentative map boundary not currently included in the district prior to approval of the first final map which includes said areas. Deposit $3,000 to initiate annexation proceedings. Pay all costs of proceedings. 21. Grant in fee to the City all open space lots shown on the approved tentative map to be granted to the City and execute and record a deed for each lot. 22. Submit a list of all facilities located on open space lots proposed to be ? Resolution No. 17618 Page 12 wide (average) landscape buffer along the north side of East Orange Avenue. 31. The 75' wide landscape buffer along East Orange Avenue shall be graded in accordance with City landform grading principles and shall bE subject to review and approval by the City Landscape Architect. A landscape plan(s) for the subject scenic highway buffer shall bE sL~bmitted to the City Landscape Architect prior to or concurrently wit~- the first Tentative Subdivision Map or other site plan review applicatior submitted for Parcel R-10 or R-12. AGREEMENTS Enter into an agreement with the City whereby the developer agrees to: Defend, indemnify and hold harmless the City and its agents, officer_, and employees, from any claim, action or proceeding against the City, or its agents, officers or employees to attack, set aside, void or annul any approval by the City, including approval by its Planning Commission, City Council or any approval by its agents, officers, or employees wit~- regard to this subdivision provided the City promptly notifies the subdivider of any claim, action or proceeding and on the further condition that the City fully cooperates in the defense. Hold the City harmless from any liability for erosion, siltation or increase flow of cl~inage resulting from this project. 34 Insure that all franchised cable television companies ("Cable Company") ~re pbrmitted equal Opportunity to place conduit and provide cable television service to each lot within the subdivision. Restrict access to the conduit to only those franchised cable television companies who are, and remain in compliance with, all of the terms and conditions of the franchise and which are in further compliance with all other rules, regulations, ordinances and procedures regulating and affecting the operation of cable television companies as same may have been, or may from time to time be issued by the City of Chula Vista. 35. Comply with the terms and conditions of the Acquisition/Financing Agreement for Assessment district 94-1, CO 94-064, approved by Council Resolution R17483 as said terms and conditions may be applicable to this development. MISCELLANEOUS 36. Tie the boundary of the subdivision to the California System -Zone VI (1983). Resolution No. 17618 Page 15 XV. INVALIDITY; AUTOMATIC REVOCATION It is the intention of the City Council that its adoption of this Re~olution is dependent upon the enforceability of each and every term, provision and condition herein stated; and that in the event that any one or more terms, provisions or conditions are determined by a Court of competent jurisdiction to be invalid, illegal or unenforceable, this resolution shall be deemed to be automatically revoked and of no further force and effect ab initio. Presented by A,l~'~ved as to fo~y Robert A. Leiter '" ~" B¢uce M. Boogaard~ Director of Planning City A~orney Resolution No. 1761~ Page _ .Project Components (neighb¢ Eastlake Eastlake Shores Eastlake II1 Eastlake / .Greens Center TRAILS ! EASTLAKE A PLANNED COMMUNITY IN TH[ CITY OF C:HtJLA VISTA Exhibit 2 ITl Z '-I //- ~/ " Appendix B ~- THE CITY OF CHULA VISTA DISCLOSURE STATEMENT You are required to file a Statement of Disclosure of certain ownemhlp or financial interests, payments, or campaign contributions, on all matters which will requl['e discretionary action on the part of the City Council, Planning Commission, and ail other official bodies. The following information must be disclosed: 1. List the names of all persons having financial interest in the property which Is the subject of the application or the contract, e.g., owner applicant, contractor, subcontractor, material supplier. --The EastL~ke Company. LLC_ 2. If any person* identified pursuant to (1) above is a corporation or partnership, list the names of all individuals owning more than 10% of the shares In the corporation or owning any partnership Interest In the partnership. , .Bo, s, well pr.o.p~rties,, In,c. -. , ,T~,,e Tulago Company 3. If any person* identified pursuant to (1) above is non-prof'~t organization or a trust, list the na. mes of .any person serving as director of the hon.-profit organization or as trustee or beneficiary or trustor of the trust. 4. Have you had more than $250 worth of business transacted with any member of the City s~ff, Boards, Commissions, Committees, and Council within the past twelve months? Yes .... No .'~ If yes, please indicate person(s): 5. Please identify each and every person, including any agents, employees, consultants, or independent contractors who you have assigned to represent you before the City in this matter. ,, Bi~ll .Ost~em - The .g.astLa_k_e Co, Jeff Lumd.strpm - Lundstro~m ~& ,,Assoc. , .... 6. Have you and/er your officers or agents, in the aggregate, contributed more than $t,000 to a Councilmember in the current or preceding election period? Yes No. X. If yes, state which Councilmember(s): . (NOTE: ATTACH ADDITtONAL PAGES AS NECESSARY) Date'._ §~{ 25[00 _. ,~_Sl~~n~or/applicani Curt Smith Print 0r type name o~ contractor/applicant * l~er,~on t~ defined as: "~lny Individual, firm, co-partner#hip, Joint ~entur¢, as,~oetatlon, ~ocla! olub, freaternal organltatlon, corporation, estate, trust, receiver, ondlaat~, thl,~ and any other county, city and country, city municipality, district, or other political ~ubclivl~lon, or any other group or combination acting a.~ a unit." / RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING FINAL MAP FOR CHULA VISTA TRACT NO. 88-3, EASTLAKE GREENS UNIT 26, ACCEPTING ON BEHALF OF THE CITY OF CHULA VISTA THE PUBLIC EASEMENTS GRANTED ON SAID MAP WITHIN SAID SUBDIVISION, ACKNOWLEDGING THE IRREVOCABLE OFFER OF DEDICATION OF FEE INTEREST FOR TRANSPORTATION AND OPEN SPACE PURPOSES AS SHOWN ON SAID MAP WITHIN SAID SUBDIVISION, REJECTING A PORTION OF EASTLAKE PARKWAY RIGHT-OF-WAY AS SHOWN ON SAID MAP WITHIN SAID SUBDIVISION, VACATING CERTAIN EXISTING EASEMENTS AS INDICATED ON SAID MAP WITHIN SAID SUBDIVISION, /kND APPROVING THE SUBDIVISION IMPROVEMENT AGREEMENT FOR THE COMPLETION OF IMPROVEMENTS REQUIRED BY SAID SUBDIVISION AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula vista hereby finds that that certain map survey entitled CHULA VISTA TRACT 88-3, EASTLAKE SOUTH GREENS, UNIT 26, and more particularly described as follows: Parcel 1 of Parcel Map No. , 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, __ as File No. of official records being a portion of Parcel 1 of Parcel Map No. 17628 filed in the Office of the County Recorder of San Diego County December 19, 1995, a portion of that property described in deed to Otay Water District recorded February 28, 1990 as File No. 90-106597 of official records and a portion of that property described in deed to otay water District recorded March 19, 1993 as File No. 1993-0172611 of official records. Area: 30.851 No. of Lots: 2 Numbered Lots: 1 Lettered Lots: 1 1 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 upon receipt by the city of Chula Vista of all improvement securities described in the Subdivision Improvement Agreement. BE IT FURTHER RESOLVED that a deed granting an irrevocable offer of fee interest in Lot A is hereby presently rejected, but the Council reserves the right, pursuant to Section 7050 of the California Government Code, to accept said irrevocable offer at some future time. BE IT FURTHER RESOLVED that said Council hereby accepts on behalf of the City of Chula Vista, with the rights of ingress and egress, the Emergency Access Easement, the Drainage and Access Easement, the Drainage Easement and the Pedestrian and Emergency Access Easements, all as granted and shown on said map within said subdivision, subject to the co~itiOns set forth thereon. BE IT FURTHER RESOLVED that the City Clerk of the City of Chula Vista is hereby authorized and directed to endorse upon said map the action of said Council; that said Council has approved said subdivision map, and that said public streets are accepted on behalf of the public as heretofore stated and that those certain easements with the right of ingress and egress for the construction and maintenance of storm drain facilities and other public utilities, as granted thereon and shown on said map within said subdivision are accepted on behalf of the City of Chula Vista as hereinabove stated. BE IT FURTHER RESOLVED that the City Clerk is hereby directed to transmit said map to the Clerk of the Board of Supervisors of the County of San Diego only upon the acceptance by the city of Chula Vista and its City Attorney of the improvement securities described in the Subdivision Improvement Agreement. BE IT FURTHER RESOLVED that that certain Subdivision Improvement Agreement dated the day of ,2000 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 is hereby authorized and directed to execute said agreement for and on behalf of the City of Chula Vista. Presented by Approved as to form by John P. Lippitt John M. Kaheny Director of Public Works City Attorney [H:\HOME~ATTORN EY~RESO\ELGU nit26)] lin 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 IMPR0VEM~NT AGREE~I~NT THIS AGREEMENT, made and entered into this__ day of , 2000, by and between.~E ~ITY OF CHULA VISTA, a municipal corporation, hereinafter called '".City", and THE EASTLAKE COMPANY, LLC, 900 Lane Avenue, Suite 100, Chula Vista, California 91914, 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 EastLake Greens Unit R-26, 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 RCgorder 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 WHEREAS, Subdivider is willing in consideration of the approval and recordation o~ 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. 15200, approved on the 18th day of July, 1989 and Resolution No. 17618, approved on the 16th day of August, 1994 (collectively referred to herein as "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.00080-01 through 00080-27 inclusive, on file in the office of the City Engineer; and WHEREAS, an estimate of the.cost of constructing said public improvements according to said plans and specifications has been submitted and approved by the City in the amount of Three Million Four Hundred Twenty Thousand Dollars and No Cents ($3,420,000). 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. 2 3. It is expressly understood and agreed that Subdivider will cause all necessary materials to be furnished and all Improvement Work required under the provisions of this contract to be done on or before the 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 s~bdivision, 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 buildin§ 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:~,he 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 Million Seven Hundred Ten Thousand Dollars and No Cents ($1,710,000) 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 One Million Seven Hundred Ten Thousand Dollars and No Cents ($1,710,000) 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 apart 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 Nine Hundred Dollars and No Cents ($900.00) to secure the installation of monuments, which security is attached hereto, marked Exhibit "C" and made a part hereof. 3 9. It is further agreed that if the Improvement Work is not completed within the time agreed herein, the sums provided by said improvement securities may be used by City for the completion of the Improvement Work within said subdivision in accordance with such specifications herein contained or referred, or at the option of the City, as are approved by the City Council at the time of engaging the work to be performed~ Upon certification of completion by the City Engineer and acceptance of said work by City, and after certification by the Director of Finance that all costs hereof are fully paid, the whole amount, or any part thereof not required for payment thereof, may be released to Subdivider or its successors in interest, pursuant to the 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 4 shall not constitute a waiver of defects by City as set forth hereinabove. 13. It is understood and agreed that City, as indemnitee, or any officer or employee thereof, shall not be liable for any injury to person or property occasioned by reason of the acts or omissions of Subdivider, its agents or employees, or indemnitee, related to this agreement. Subdivider further agrees to protect and hold the City, its officers and employees, harmless from any and all claims, demands, causes of action, liability or loss of any sort, because of or arising out of acts or omissions of Subdivider, its agents or employees, or indemnitee, related to this agreement; provided, however, that the approved improvement security shall not be required to cover the provisions of this paragraph. Such indemnification and agreement to hold harmless shall extend to damages to adjacent or downstream properties or the taking of property from owners of such adjacent or downstream properties as a result of the construction of said subdivision and the public improvements as provided herein. It shall also extend to damages resulting from diversion of waters, change in the volume of flow, modification of the velocity off'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. 5 SIGNATURE PAGE TO SUBDIVISION IMPROVEMENT AGREEMENT EASTLAKE GREENS I/NIT R-26 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 THE EASTLAF~E COMPANY, LLC Mayor of the City of Chula ~ ~ ~'k---/ / Vista ATTEST city Clerk Approved as to form by ~' .~ City Attorney (Attach Notary Acknowledgment) CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT No.~9O7 State of County of ~-~'/~,'~/ DATE NAME, TITLE OF OFFICER - E.G. ~o'~ N E DOE, NOTARY PUBLIC' personally appeared NAME{S) OF SIGNER{S) [] personally known to me - OR - proved to me on the basis of satisfactory evid...eJ~ce to be the person(s?" whose name~re subscribed to the within.~strument and ac- knowledged to me.~J~t~__9/Jshe/they executed  the same in hi(.h~s/hei-/their...j~thorized capacity(je~-), and that by i.(h__j~S.~her/their o~[..~B~r/~coi~ ~. signature(.s~on the instrument the person.(.~, or the entity upon behalf of which the person~r)/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 relying on the document and could prevent fraudulent reattachment of this form. CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT [] CORPORATE OFFICER TITLE(S) TITLE OR TYPE OF DOCUMENT [] PARTNER(S) [] LIMITED [] GENERAL ~ A~FORNEY-IN-FACT NUMBER OF PAGES TRUSTEE(S) [] GUARDIAN/CONSERVATOR [] OTHER: ~ DATE OF DOCUMENT SIGNER IS REPRESENTING: NAME OF PERSON{S) OR ENTITY(lES} ~ ~- -- ~,~7'-Z~'~ ~/ ~ SIGNER(S) OTHER THAN NAMED ABOVE ©1993 NATIONAL NOTARY ASSOCIATION · 8236 Remmet Ave., P.O. Box 7184 · Canoga Park, CA 91309-7184 LIST OF EXHIBITS Exhibit "A" Improvement Security - Faithful Performance Form: Bond Amount: $1,710,000 Exhibit "B" Improvement Security - Material and Labor: Form: Bond Amount: $1,710,000 Exhibit "C" Improvement Security - Monuments: Form: · Bond Amount: $900 Securities approved as to form and amount by City Attorney Improvement Completion Date: Two (2) years from date of City Council approval of the Subdivision Improvement Agreement H: \home\at t orney\ sia\ subdivis, std 7 American Casualty Company of Reading, PA Member of CNA Insurance Companies View a list of group members or view the group profile A.NI. Beat #: 02127 NATC #: 20427 CNA Plaza · Chicago, ZL 60685 Phone: 312-822-5000 http: //www.cna.com Best's Rating BEST A (Excellent)* ,~ Financial Size Category XV ($2 billion or more) *Ra#ngs es of 6/14/2000 f1:44:26 A~I E.S.T. Read this company's Purchase this company's Best's Insurer Profile Best's Comp_any Report Best's Insurer Profile reports are Best's Company Reports, which are available for companies that are assigned a regularly updated, provide the same Best's Rating. These reports are regularly comprehensive information found in the updated and provide a condensed business annual Property/Casualty, Life/I-Iealth, and overview, financial statements, and International Editions of Best's Insurance licensing information for each insurer, as Reports. well as the financial strength rating assigned by A.M. Best. These reports are regularly updated and provide a detailed business overview, For more information on A.M. Best's extensive financial data and analytical Financial Strength Ratings, please refer to commentary, product and geographic our Current Guide to Best's Ratings. information, company history, as well as the rationale supporting the financial strength rating assigned by A.M. Best. Fo~ a~-brcaking events, please refer t(~ our Press Release sectl~. -- · Insurance companies interested in placing a Best's Security Icon on their web site please _rEgister online. Best's Ratings reflect our opinion based on a comprehensive quantitative and qualitative evaluation of a company's fmancial strength, operating performance and market profile. These ratings are not a warranty of an insurer's current or future ability to meet its contractual obligations. (Best's Ratings are proprietary and may not be reproduced without permission from A.M. Best.) BOND FOR FAITHFUL PERFORMANCE Son~ No.: 190758494 (To Be Used Wi~ Cansml~on Perm/t) Premium: 1,364. Issued in Triplicate WHEREAS, the City of Chda Vista, County of Ssn Diego, State of California, has issued to The Eastlake Company LLC (~ ~pfinc~al") Construction Permit No. (hereinafter referred to as 'Permit") for the public improvement work as set forth in mot~ detail on City of Clm[a Vista Drawing Nos. through . regard/nc constraction of certain public improvensauts for the project lmown as Eastlake Parkway, Parkway Improvements. Projo_at la?-0fi0 , wh/ch Perm/t is hereby referred to mid made a part Iaea'eof; .-~, WH]gREAS. said Princ/pal is required under the terms of said Permit to furn/sh a bond for faithful performance of said public improvement worit.. NOW THEREFORE, we. the Ptittcit~ai attd American Casualty Company of Reading~ Pennsylvania , a corporation of the State of p~pn ~yl va.i a , , , 0aere/uafterf~ty"), am held ~ finnly bmmd mlto the City of Cl~la Vista. a municipal corporation (here~afler City )/n the County of San Diego, State of California, and to and for the henefit of any and all persons who may rafter d.m%-es by breach of the contlitio~ hereof. in the penal sum of Two hundPed forty ei.qht thousand & 00/00 dollars, ($248~000.00/00), lawful mon~y of the Un/ted Smt.-s, for the payment of which sum well and truly to be made, we bind ourselves, our heirs, successors, executors and administrators, jointly and severally, f'Lrmly by these presants. The condition of thi.~ obligation is such that if the above-bound Principal. his or its heirs, executors, administrators, successors or assigns, .h~]l in all thin~S Sl'~d to and abide by, add weli and truly keep and perform the tem~ of ssld Permit and any alteration thereof made as therein provided, on his or their part, to be kept and performed at the time and in the manner therein specified, and in all respects accord/nC to their true i~rent and mean/nc, and ~h.I! indemnify ~d save harmless City, its officers, agents ~! employees, as therein stipulated, then th~ obligation shall become null and void; otherwise, it shall be and remain in fuli force and effect. As part of the obligation secured hereby and in add/fion to the face amount specified therefor, the~fi shall be included costs and reasonable expenses and fees, includ/ng reasonable attorney's fees, incurred by City in successfully enforcing such obligation, all to be taxed as costs and included in any judgment rendered. The Surety hereby stipulates and agrees that no change, extension of t/me, alteration or addition to the terms of r/~ Permit or to the work to bc performed thereunder or the specifications accompmyi~ the same shall in anywise affect its obligations on this bond, and it does hereby waive notice of any such change, extension of tinm, alteration or addition m the terms of the Permit or to the work or to the specifications. In addkion ~o the acts bonded for purma~ ~ the PenniI incorpo~ted above, the following acl~ ai~ performsnces are additionally mb~ec~ to ~e tenm of ~is bond: IN WITNESS WHEREOF, this inswamem has been duly executed by the Principal and Surety above named, on June 5 2000. The EastLake Company, LLC ~'" A~ierican Casualty Company, Reading, PA W~liam T.-'Ostrem, ~res. ~oames ~. ~clnern~ ~ ~n ~act By 1414 Fair Oaks, Suite 3 Ad.ess of ~eU Comply 190758494 South Pasadena, CA 91030 Bon~olicy No. Ci~ ~te Zip Code ABOVE-SIGNATORIES MUST BE NOTAI~I~Zl~D APPROVED AS TO FORM: CiPyA[torn~y fh~HOlVI~I/~GINEt~R\LANDDEV~FORMS~P_B OND, Cp POWER OF ATrORNEY APPOINTING INDIVIDUAL ATTORNEY-IN-FACT Know All Men By These Presents, That CONTINENTAL CASUALTY COMPANY. an Illinois corporation, NATIONAL FIRE INSURANCE COMPANY OF HARTFORD, a Connecticut corporation, AMERICAN CASUALTY COMPANY_OF READING, PENNSYLVANIA, a Pennsylvania corperetion (herein collectively called 'the CCC Surety Companies"), are duly organized and e~ng corporations having their principal offices in the City of Chicago, and State of Illinois, and that they do by vil!.'ue of the signature and saais herein affixed hereby make, co~ and appoint James E. Mclnemy, Norms Good, James T. Armitage, Susan L Cline, Indlvidusil)' of South Pasadena, California their tree and lawful Attomey(s)-in-Fact with full power and authority hereby conferred to sign, sesl and execute for and on tfleir behalf bonds, undertakings and other obligatory instruments of similar nature - In Unlimited Amoun~ - and to bind them thereby as fully and to the same extent as if such inat~ments were signed by a duly authorized officer of their corporations and all the acts of said Attorney, pursuant to the aut~onty hereby given are hereby ratified and confirmed. This Power of Attorney is made and executed pursuant to and by authority of the By-Laws and Resolutions, printed on the reverse hereof, duly adopted, as indicated, by the Boards of Directors of the corporations. In Wttness Whereof, the CCC Surety Companies have caused these presents to be signed by their Group Vice President and their corporate seals to be hereto affixed on this 9th day of Mamh 2000 NATIONAL FIRE INSURANCE COMPANY OF HARTFORD AMERICAN CASUALTY COMPANY OF READING, PENNSYLVANIA Marvin J. Cashion Group Vice President State of Illinois, County of Cook, ss: On this 9th day of March , 2000 , before me personally came Marvin J. Ceshion, to me known, who, being by me duly sworn, did depose and say: that he resides in the City of Chicago, Stats of Illinois; that he is a Group Vice President of CONTINENTAL CASUALTY COMPANY, NATIONAL FIRE INSURANCE COMPANY OF HARTFORD, and AMERICAN CASUALTY COMPANY OF READING, PENNSYLVANIA described in and which executed the above instrument; that he knows the seals of said corporations; that the seals affixed to the said instrument are such corporate seals; that they were so affixed pursuant to authority given by the Boards of Directors of said corporations and that he signed his name thereto pursuant to like authority, and acknowledges same to be the act and deed of said carporations[ My Commission Expires September 17, 2001 Diane Faulkner Notary Publio CERTIFICATE [, Mar;/A. Ribikawskis, Assistant Secretary of CONTINENTAL CASUALTY COMPANY, NATIONAL FIRE INSURANCE COMPANY OF HARTFORD, and AMERICAN CASUALTY COMPANY OF READING, PENNSYLVANIA do hereby carlffy that the Power of Attorney herein above set forbh is still in force, and further certify that the By-Law and Resolution of the Board of Directors of each corporation printed on the reverse hereof are still in fo[c~eLIn testimony wlJ. ereof I have hereunto subscribed my name and affixed the seals of the said corporations this 3 [.H .day of dlJ nB ,2000 AMERICAN CASUALTY COMPANY OF READING, PENNSYLVANIA Mary A. Ribikawskis Assistant Secretary (Rev. lO/1197) i /p CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT No. State of_ County of ~-~,~,t/ On ~-/./,~/~ OA~ ~ before me, ~vJl~/~- '~'/~/Z~. NAME, TITLE OF OFFICER - E.O,, "JANE DO , NOTARY PUBLIC" personally appeared /-~//-~/ATn ~'. NAME(S) OF SIGNER(S) [] personally known to me - OR - ~proved to me on the basis of satisfactory evidence to be the person.(,s') whose name(,s'~re subscribed to the within~nstrument and ac- knowledged to me t_h_ha~_~...e/she/they executed the same in ~her/their authorized  capacity~"), and that by (~her/their signature_.O~ on the instrument the person¢O',  or the entity upon behalf of which the personJ~ 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 relying on the document and could prevent fraudulent reattachment of this form. CAPACITY CLAIMED BY SIGNER DESCRIPTION OF A'n'ACHED DOCUMENT TITLE OR TYPE OF DOCUMENT ~ PARTNER(S) ~ LIMITED ~ GENERAL ~ A~ORNEY-IN-FACT NUMBER OF PAGES ~ mUSrEE(S) ~ GUARDIAN/CONSERVATOR DATE OF DOCUMENT SIGNER IS REPRESENTING: ?~E ~ ~ ~ SIGNER(S) OTHER'TH~N NAMED A~OVE ©1993 NATIONAL NOTARY ASSOCIATION 8236RemmetAve.,P,O. Box7184 CanogaPark, CA 91309-7184 / 7 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT State of California t ss, County of Los An~e!e$ On 3une 5, 2000 ,beforeme, Norma A Good,Notary Public personally appeared 3ames E. McInern,y ~ personally known to me ~ proved to me on the basis of satisfactory evidence  to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized , capacity(ies), and that by his/her/their '" sigt{ature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. W__~._ITNESS my hand and officia~'~eaL OPTIONAL Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this fon'n to another document. Description of Attached Document Title or Type of Document: Document Date: Number of Pages: Signer(s) Other Than Named Above: Capacity(les) Claimed by Signer Signer's Name: l_l Individual Top of thumb here [] Corporate Officer -- Title(s): ~ Partner -- ~ Limited [~ General ~ Attorney in Fact [~ Trustee [] Guardian or Conservator [~ Other: Signer Is Representing: BOND FOR MATERIAL AND LABOR No.: 190758494 {To Be Used With Coasm~ion Permit) Premium: Incl i n Perf. Bor Issued in Triplicate ~WHEREAS, fl~ City of Chu]a Vista, County of San Diego, State of California, bas issued m The Eastl ake Compapy, LLC O~reina(~r "Principal") Construction Permit No. (hereinafter retorted to as "Permit") for the public hnprovement work as set forth in more detail on City of Chula Vista Drawing Nos. through .., regarding conslruction of certain public improvoulents for the project k~wn as .East].aka Parkway, Parkway. Improvementst ProjeCt 182-060 , which Permit is hereby referred to a~d made a part hereof; and, WF/P. REAS, under the terms of said Pennjt, Ptiuclpai 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 claims to which reference is made in Title I$ (commencing with Section 3082), Part 4, Division 3, of the Civil Code of the State of California. NOW THEREFORE, said Principal and American Casua!t,y Company of Readino. Pennsylvania , a corporation of the State of Pe~,,,nsyl vani a , (hereinafter "Surety"), ar~ ~ and ~nly bound unto ~ City of Chula Vista, a n~,rdcipal corPoration (hereina~e~ "City") in the County of San Diego, Slate of California, ~ all conwactors, subcontractors, laborers, materialmen and other per, om employed in ra~ performance of [he aforesaid Permit and referred to ia the afure~aid Code of Civil Procedure in the sum of Two hundred forty ei§h.t thousand & 00/00 dollar~, ($ 248,000.00/00, lawful money of the Uaited States, for matexials furnished or labor thereon of any ~od, or for arno.mn due under the Unemploymem Insurance Ac~ with respect to such work or labor, that said ~urety will pay the same in an amount not exceeding the amount hereinabove set forth, and aiso in ca~e suit is brought upon this bond, will pay, in addition to the face amount thereof, costa and reasonabl~ expenses and fees, hlcluding reasonable attorney's fees, incurred by City in nucceasfuliy chroming such obligation, to be awarded and fixed by the court, and to be taxed aa cnst~ and to he included ia the judgment therein reade, red. · ~ It is hereby expressly stipulated and agreed that this bond shall inure to the benefit of any and all persons, companies and corporatiom entitled to file Claimn undo- Title 15 (commencing with Section 3082), Part 4, Division 3, of the Civil Code, ~o as to give a right of a~tion to them or their as.~igm in any suit brought upon ~ henri. .ghouid the condition of this bond be fully performed, then th~ obligation shall become null and void, otharvAse, it shall he ~.d remain in full force and effect. Tl~e Surety hereby stipulates and agrees that no change, extension of dine, alteration or addition to the terms of said Permit er to th~ work to be performed thereunder or the specifications accompanying the same shall in anywise affect its obligations on this bond, and it doe~ hereby waive notice of any sucJ~ //A cl~nge, extension of time, alteration or addition to the terms of the Permit or to the work or to the specifications. IN WITN~S WHEREOF, this instrument has be~ duly executed by the Prinzipal ~nd Surety above named, Oil 3une 5, 2000 The EastLake Comq}~y, LLC ..American, Casualty Company, Reading,PA By /K/~/~ k_~_ By ~ames [. McInerny, A;~-in Fact Willim T. Ostrem, rares. By ~4~4 ~a~r 0aks,Saite 3 .....~ess of ~e~ Comply 190758494 South Pasadena, CA 91030 Bo~/Polky No. City Sta~ Zip Co~ ABOVE-SIGNATOR/~$ MUST BE NOTARIZED APPROVED AS TO FORM: City A~torney H:~'IOMEI~NGINP. F-~LAND DEVlFORM$~M~_B OND. C.P /? POWER OF ATI'ORNEY APPOINTING INDIVIDUAL ATTORNEY-IN-FACT Know All Men By These Presents, That CONTINENTAL CASUALTY COMPANY, an Illinois corporation, NATIONAL FIRE INSURANCE COMPANY OF HARTFORD, a Connecticut cerporefion, AMERICAN CASUALTY COMPANY_OF READING, PENNSYLVANIA, a Pennsylvania corporation (herein collectively called 'the CCC Surety Companies'), ere duly Organized and exJsl~ng corporations having their principal offices in the City of Chicago, and State of Illinois, and that they do by virtue of the signature end seals herein affixed hereby make, constitute and appoint James E. Mclnsmy, Norms Good, James T. Armitage, Susan L. Cline, Individually of South Pasadena, Csiifomia their t~ue and lawful AttorneY(SI-in-Fact with full power and authority hereby conferred to sign, seal and execute for and on their behalf bonds, undertakings and other obligatory instruments of similar nature - In Unlimited Amounts - and to bind them thereby as fully and to the same extent as if such instnJments were signed by a duly authorized officer of their corporations and all the acts of said Attorney, pursuant to the authority hereby given are hereby ratified and confirmed. This Power of Attorney is made and executed pursuant to and by authority of the By-Laws and ResolUtions, pdnted on the reverse hereof, duly adopted, as indicated, by the Boards of Directors of the corporations. In Witness Whereof, the CCC Surety Companies have caused these presents to be signed by their Group V'=e President and their corporate seals to be hereto affixed on this 9th . day of March 2000 AMERICAN CASUALTY COMPANY OF READING, PENNSYLVANIA Marvin J. Cashion Group Vice President State of Illinois, County of Cook, ss: On this 9Ih day of. March , 2000 , before me personally came Marvin J. Ceshion, to me known, who, being by ms duly sworn, did depose and say: that he resides in the City of Chicago, State of Illinois; that he is a Group Vice President of CONTINENTAL CASUALTY COMPANY, NATIONAL FIRE INSURANCE COMPANY OF HARTFORD, and AMERICAN CASUALTY COMPANY OF READING, PENNSYLVANIA described in and which executed the above instrument; that he knows the seals of said corporations; that the seals affixed to Its said instrument are such corporate seals; that they were so affixed pursuant to authority given by the Boards of Directors of said corporations and that he signed his name thereto pursuant to like authority, and acknowledges same to be the act and deed of said corporations. My Commission Expires September 17, 2001 Diane Faulkner Notary Public CERTIFICATE I, Mary ~i Ribikawskis, Assistant Secretary of CONTINENTAL CASUALTY COMPANY, NATIONAL FIRE INSURANCE COMPANY OF HARTFORO, and AMERICAN CASUALTY COMPANY OF READING, PENNSYLVANIA do hereby cer~ that the Power of At~rney herein above set forth is still in force, and further certify that the By-Law and Resolution of the Board of Directom of each corporation pdnted on the reverse hereof are still in fo~eLIn testimony wllereof I have hereunto subscribed my name and affixed the seals of the said corporations this ~¢rl .day of durle ,2000 . AMERICAN CASUALTY COMPANY OF READING, PENNSYLVANIA Mary A. Ribikswskis Assistant Secretary Rev. 1011197) CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT No. State of County of ~'~A,4/ On c>q"~//)~' O;E ~'~P before me, ~)~W'~l.~__~/~. ~_.~p//.z~ i~Tn,~/Pu~'~.~ __, NAME. TITLE OF OFFICER - E.G., "JANE DOE, NOTARY PUBLIC" personally appeared NAME(S) OF SIGNER(S) [] personally known to me 'OR - ,~' proved to me on the basis of satisfactory evid~ence to be the person.~)'whose name~-~re subscribed to the withi, p~strument and ac- knowledged to me..~th~..~he/they executed the same in L.hi_j~er/their authorized  capacity(j.e.s'), and that by.her/their mY o signature(,s')' on the instrument the person(ct), 8 ~co~ .. or the entity upon behalf of which the ~ person(.s')' 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 relying on the document and could prevent fraudulent reattachment of this form. CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT [] iNDIVIDUAL ~..RS.:r/-~ ~,,~-~¢.)./~ f'//~K~/ty.,~-/~f;/~m~,r-~,,~,'v .-~ [] CORPORATE OFFICER TITLE OR TYPE OF DOCUMENT TITLE(S) [~ PARTNER(S) [] LIMITED [] GENERAL ~]. ~ATrORNEY-IN-FACT NUMBER OF PAGES [] TRUSTEE(S) [~ GUARDIAN/CONSERVATOR DATE OF DOCUMENT SIGNER IS REPRESENTING: /~"~"~-~t~£-c~-/Y~/7~/~' ~ SIGNER(S) OTHER iD ABOVE ©1993 NATIONAL NOTARY ASSOCIATION · 8236 Remmet Ave., P.O. Box 7184 o Canoga Park, CA 91309-7184 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT State of California t ss. County of Los Angel es On 3une 5, 2000 ,beforeme, Norma A Good_ Notary PHhlic personally appeared ,~am~ E. Mcfn~rnv [] personally known to me [~ proved to me on the basis of satisfactory evidence  to be the person(s) whose name(s) is/are subscribed to the within instrument and - ? ~ ~- - ~ ~ - acknowledged to me that he/she/they executed the same in his/her/their authorized ~ . C.,,,~ ....r~ ~2~ capacity(les), and that by his/her/their sighature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. W~I'~S my hand and official s~L ~ OPTIONAL Though the information below is not required by law, it may prove valuable to persons relying on the docu and could prevent fraudulent removal and reattachment of this form to another document. Description of Attached Document Title or Type of Document: Document Date: Number of Pages: Signer(s) Other Than Named Above: Capacity(les) Claimed by Signer Signer's 'Name: ~ [] Individual Top of thumb here [] Corporate Officer -- Title(s): [] Partner -- [] Limited [] General [] Attorney in Fact [] Trustee L~ Guardian or Conservator [] Other: Signer Is Representing: EXECUTED IN TRIPLICATE BOND FOR FAITHFUL PERFORCE ] Bo~d No.: 190758513 I (To B~ Used Pdo~ m Approval of ~bdi~o~ I~p,,o~,-~,,t Agreement). Pre.~nium: ~ ~ The Eastlake Company. LLC ~0~ Eastlake Greens UnitR-2O ,; ~d ~ ~us~on ~, Continental Insurance Company' NOW ~0~, we, ~ ~p~ ~d ..... New Hampshi - ne ml~)~o ~v( ~ i 710 000 O0 of ~ U~ 8~, f~ h~, su~, :~u~ ~ ~~, jo~y ~ ~v~7, ~ by the~ ~m. ~d~. ~b~Be, ~xmn~ of ~ons. IN WI'I'I~_~$ WHI~BOP, this in,~nunc~t ltas beem d~ly ~u~ by ~ ~ ~c~,~ .... Jone 6 ,~ The Eastlake Comoanv LLC Contineo~al Insurance Company /~ll~m T.~str~res. Paul S. Minsker, Attorney In Fact 21650 Oxnard St. Suite ~00-4 A~s of S~ ~m~y 190758513 Woodland Hills, Calif. 91367 Bond/YoBcy No.: 19,0758513 P~incipal.. The Eastlake Company, LLC ... Amol~nt One Million Seven Hundred Ten Thousand and No/100 .......... ($1,710,000.00) In ~avor of ~_i~ of C~hnl._ Vi~t~ ~ bO~d, ~t~bm~tl~d for Performance and Labor and Materiai , ~'s S~ ~v~ ~t ~ m ~ p~ ~ ~ ~s~~ve June 6, 2000 ~~~ Co~inental Insurance Company _ ~S~ ~in}ker, g~arney In Fact City Attorney I-~;~OML~-~nVS~aU~DDEV~OI~S ~Fe_BOND.~ CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT State of County of ~ ~1~ On ~ ~ ~ beforeme, ~/~.~/~~d~ OATE NAME, TI~E OF OFFICE~ E.G., "dANE DOE, NOTARY PUSU~ personally appeared ~/Z~ ~ ~~ ~. ,  NAME(S) OF SIGNER(S) ~ personally known to me - OR - proved to me on the basis of satisfactow evidence to be the person~ whose name~re subscribed to the withi~strument and ac- knowledged to me tha¢ he. he/they executed the same in ~er/t~heir authorized capacity~), a~ that by ~er/thei~ signature~on the instrument the person, or the entity upon behalf of which the person~ acted, executed the instrument. ~ ~ /~ 5~3%~ 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 [] CORPORATE OFFICER TITLE OR TYPE OF DOCUMENT TITLE(S) [] PARTNER(S) [] LIMITED [] GENERAL [] ATTORNEY-IN-FACT NUMBER OF PAGES [] TRUSTEE(S) [] GUARDIAN/CONSERVATOR J~ OTHER: DATE OF DOCUMENT SIGNER IS REPRESENTING: NAME o~ EE.SO.(S)o.E.T,~,ES~ ~ Z ~. ~/..VSK£.,~ .4~g ~ F~ ~ E~ ~y~ ~L ~ SIGNER(~) OTHE~RAN NAMED ~BOVE ©1993 NATIONAL NOTARY ASSOCIATION * 8236 Remmel Ave., P.O. Box 7184 · Canoga Park, CA 91309-7184 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT State of CALI FORN IA County of LOS ANGELES On. June 6, 2000 beforeme, MARILYN N. BURD - NOTARY PUBLIC Date NAME. TITLE OF OFFICER., 'JANE DOE, NOTARY PUBLIC" Paul S. Minsker personally appeared NAME(S) OF SIGNER(S) (. X) personally known to me - OR - ( ) proved to me on the basis of satisfactory evidence to be the person(~) whose name(s) is/am-subscribed to the within instrument and acknowledged to me that he/she/they-executed the same in his/her4their-authorlzed cepacity(le~), and that by his/her/their signature(s) on the instrument the person(E), or the entity upon behalf of which the person(~) acted, executed the instrument. WITI~{~S my hand and official .~f-~2~'~;-'~, [;fl ", ,/ ,~![[ ',)? 27 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 ATI'ACHED DOCUMENT ( ) INDIVIDUAL ( ) CORPORATE OFFICER Per~, l~ond No. 190758513 TITLE(S) TITLE OR TYPE OF DOCUMENT ( .) PARTNER(S) (_.) LIMITED ( ) GENERAL 2 NUMBER OF PAGES (X) ^TTORNEYqN-FACT' (.) TRUSTEE(S) ( ) GUARDIAN/CONSERVATOR (..) OTHER June 6, 2D00 DATE OF DOCUMENT SIGNER IS REPRESENTING: NAME OF PERSO. N(S) OR ENTI~-FY(IES) Continenta! Insurance ~ompany $)GNER(S) OTHER THAN NA~4ED ABOVE G-10742O-B POWER OF ATTORNEY APPOINTING INDIVIDUAL ATTORNEY-IN-FACT Knew All Men By These Presents, That THE CONTINENTAL INSURANCE COMPANY, a New Hampshire corporation, FIREMEN'S INSURANCE COMPANY OF NEWARK, NEW JERSEY, a New Jersey corporation, and COMMERCIAL INSURANCE COMPANY OF NEWARK, N.J., a New Jemey corporedon (herein collectively.called "the CNA Surety Companies"), ara du~y organized and e,~sfing corpora~ans having thsir pdncipsl offices in the City of Chicago, and Stat~ of Illinois, and thst they do by virtue of the signature end seals herein affixed hereby make, consfltuts and appoint Paul S. Minsker, Individually of Los An~leles, California their ~ue and lawful Aitomey(s)-in-Fact wi~ tull power and authority hereby conferred to sign, seal end execute for end on their behalf bends, undertakings end other obligatory inst~umente of similar nature - In Unlimited Amounts o and to bind them thereby as fully and to the same extent as if such isab'uments were signed by a duly au~orized officer of their corporatons and all the acts of said Attorney, pursuant to the authority hereby given are hereby ratified and confirmed. This Power of Attorney is made and executed pursuant to and by authority of the By-Laws and Resolutions, printed on the reverse hereof, duly adopted, as indicated, by the Boards of Directors of the corporations. In Witless Whereof, the CNA Sureties Companies have caused these presents ts be signed by their Vice President and their corporate seals to be hereto affixed on this I st day of September , 1995 ...........~i:"~-~'-# '  "~'["~'~t'~'"' ....... ~. ,~ I~HE CONTINENTAL INSURANCE COMPANY · :~'~' ~ ~'~"'"' ~-;'~e,~,;~;.~. FIREMEN'S INSURANCE COMPANY OF NEVVARK, NEW JERSEY ""L ' ~" ' ?~":"i':~./' M.C. Vonnahme Vice President Stat~ of Illinois, County of Cook, ss: On this 1st day of September , 1995 , before me personally came M C. Vonnahme , ts me known, who, being by me duly sworn, did depose and say: that he resides in the Village of Darien , State of Illinsls; that he is a Vice President of THE CONTINENTAL INSURANCE COMPANY, FIREMEN'S INSURANCE COMPANY OF NE-q/VARK, NEW JERSEY and COMMERCIAL INSURANCE COMPANY OF NEWARK` N.J. descnl)ed in and wh/ch executed the above instrume~; that he knows the seals of said corporations; that the seals affixed to the said instrument ara such corporate seals; that they were sa affixed pursuant to authority given by the Boards of Directors of said eorporstons and that he signed his name thersto pursuant ts like authority, and acknowledges same to be the act and deed of said corporations. My Commission Expires October 19, 1998 Linde C. Dempsey Notary Public CERTIFICATE I, John M. LitUer , Assistant Vice President of THE CONTINENTAL INSURANCE COMPANY, FIREMEN'S INSURANCE COMPANY OF NEWARK, NEW JERSEY and COMMERCIAL INSURANCE COMPANY OF NEWARK. N.J. do hereby certify b'mt the Power of Attorney herein above set forth is still in forca, and further carlffy that the By-Law and Resolution of the Board of Directors of each corporation printed on the reverse hereof are still in force. In tsat~meny whereof I have hereunto subscribed my name and affixed the seals of the said oorporetlsns this 6th dsyof June 2000. -" '" : ~ '~.~ ~,~. .......... ..~ FIREMEN'S INSURANCE COMPANY OF NEWARK, NEW JERSEY ,:,~ ~.~- ,~ ~- ~ ~~.~__~ ~ ~ ~ ~ ~. ~ .~... THE CONTINENTAL INSURANCE COMPANY " ~?~, ~-? \ COMMERCIAL INSURANCE COMPANY OF NEWARK, N.J. :...i 1909 ~/ John M. Littler Assistant Vice President EXECUTED IN TRIPLICATE I BOND FOR MATERIAL AND LABOR [ BolldNo.:_1_9_0758513 (To Be Used W]Ih Subdivision lmprovemam A~reeme~) Pre~iunl: Included in · Pe~ Bond WI-I~-RIEA.S, the City Council of thc City of Clmla Vista, 'Cotmty of San Diego,' S~ of Califomh, and The Eastlake Company, LLC (herei..e~r Principal) have entered inw a ~ubdivisiou lmprovem~ A~'eemm~ (he~ina~r referred to as Agreemen0 whereby Principal ag~es to im~fll .-d complete certain designauxI Imblic improv-.m~-nts, wh/ch said Agmm~.nt, dated .... lV, , ~-~ idem/fled a~ proj~c~ Eastlake Greens Unit R-26 is hc. reby referre~i to and made a paxt hereof; and~ ~FTlU{~_AS, '.nd~r ~ te,~ns of said Ag~mmeut, Pt'ilmipal is ~, bafo~ 'elltetil~ upon perform.nco of ~he woffi, to file a good and ~ payme~ bond wi~h ~he City of Chllla Vista W secu.~ the claims to which refer_nee is made in Title 15 (commencing with Seclion 3082), Part 4, Division 3. of the Civil Cod~ of the State of California, NOW TI-I~iR.ENORE, said Principal an~ Continental Insurance Company · a corporation of ~im Sta~e of New Hampshire --, (h~ Sm-=ty), ~u~ held s~rl fumly bound tmto the City of CI-a~!~ Vista, a rmmicipal c'orporation (here~-sr-ter City) in lie Courtly of S~u Diego, S~ate of California, and all conizac~ors, subaon~actors, laborers, ma~-ialm~m a~l off,er persons ~mploymi in the performance of r~ aforesaid Agreement a~l refr~red to in the ~foresald Code of, Civil Procedure in rile sum of One Mil, lio~l.~ven Hundred Ten Thousand ~...~,~ ~e 1,710,000.00 ~ ~....~,~ ....... United -q~ml~s, for mater~!~ fun~ished or labor thereon of any kind, or for ~rno"mS due u~der the Unemployment lmsuran~ Act wi~h respec~ to such work or labor, ttmt said Surety will pay thc same in an amount no~ exceeding ~tm amoun~ her¢inabeve se~ for, h, and also in case sui~ is brough~ upon ~ bond, will pay, ii1 addition to tim face amount ttw. mof, cos~s ~.d rmm~mble expanses .~ l[ees, i~lt~lg ~easouable. attorney's re. em, i~curred by City in stmce, s~y e. ufor~ing such obligation, ~o be awarded and fixed by tl~: court, and to be i~xed as costs and to be in=luded in lhe judgm~nI therein rendered. It is hereby expressly stipulated and agr~:d fl~at r~i.~ bond ~h.l! inure to tim benefit of omy and ~I1 pet-son{, compaUies snd corporatioEs enfi~d ~o file clllms -mrler Title 15 (commenaing with Section 3082), Pa~ 4, Diviiion 3. of the Civil Code, so as ~o give a right of action to ~aem or thek assigns in any suit brought upon ~ bond. Should ihe condilion of t~i.~ bond I~ fully performed, tl~n tiffs obligation s~l! become null amd void, othewwis~, k shall be and remaiu in D.tll force m~d The Surely hereby sfipula~ and allrce~ h~ ~o ch.mge, extension of time, a.l~ration or ~ddi~ion W the ~eram of the Ag~eam~t o~ ~o the wo~k ~o b: pr~orm~d th~rem~ler or ~ sp:cifications accompanying the s.me shall in anywise affe~ i~ obligation~ on rkis bond. and it does hereby waive notice of lmy such cb..ge, extension of lime, alt=ration or addition to ~ ~ of the Agre~mem or to ~ work or to the sp=cificatiorm. ~ WITNESS ~F, thig i~t:mm~t has b~n duly e~.ecutr, d by the Prk~pal and Surety above ii.ned, on June 6 , ~ 200(Z The Eastlake Company,~LLC Continental Insurance company William T. Ostrem. Pres. Paul S. Minsker. Attorney In Fact By _ .. 21650 0xnard St. Suit, e, 600-4 Addr~ of Surety Come,ay 190758513 Woodland Hills, Calif. 91367 Bond/Policy No. .', ~ City State Zip Code: ABOVE~IGNATORI~.,~ MUST BE NOTAR~ _99~D APPROVED AS TO FORM: H:~-tl 0 M~ ~lG INP-F-~JN~DD]~V'~'O1;~-~ ~I&L_B OND .SIA CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT No.~ State of County of ~-~/~A/ On J"~ ?, ,R~O0 before me, DAlCE NAME, TITLE'OF OFFICER - E G., "JANE DOE, NOTARY PUBLIC" personally appeared /-.0//--/--/.¢z~/ ~' ~T.~/'.,f NAME(S) OF SiGNER(S) [] personally known to me - OR -~proved to me on the basis of satisfactory evidence to be the person,.~ whose name{,s'~are subscribed to the within instrument and ac- knowledged to me~.tl~at~.., he/they executed  the same in~.~h_i..~.sher/their...~L~thorized capacity(j~s'), and that by i~_~'her/their .~~ ~co~ .~ 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. SIGNATURE OF NOTARY 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 ~ CORPORATE OFFICER TITLE OR TYPE OF DOCUMENT TITLE(S) ~ PARTNER(S) ~ LIMITED : GENERAL :. A~O~NEY-~N-FACT NUMBER OF PA~S ~ GUARDIAN/CONSERVATOR SIGNER IS REPRESENTING: ~E ~T~g[ ~2~ / Z~ SIGNER(S) OTHER THAN NAME~ ABOVE ©1983 NATIONAL NOTARY ASSOCIATION · 8236 Rammer Ave., P.O. Box 7184 · Canoga Park, CA 91309-7184 ~lA -SI CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT 'NA State of CALIFORNIA County of LOS ANGELES On June 6, 2000 beforeme, NARILYN M. BURD - NOTARY PUBLIC Date NAME, TITLE OF OFFICER.. "JANE DOE. NOTARY PUBLIC" personally appeared Paul S. Minsker NAME(S) OF SIGNER(S) (X) personally known to me - OR - (~) proved to me on the basis of satisfacto~ evidence to be the pemon(e) whose name(~) is/a~e subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her,~theh' authorized capacity(~cc), and that by hisAqe~/their signature(e) on the instrument the person(ii), or the entity upon behalf of which the person(~) acted, executed the instrument. WI'~N~SS my hand and official seal. :..._......._... .... ............. i IV1ARILYN ~. BURD COMM. #t 10292/ G NOTARYPUBLIC -CALFORNLA SR '~IGNAT~ OF NO AR~- ' LOS ANGELES C01~ 2 ee MY C0mm F~ires Ju~e 30, 2000 = 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 AI-I'ACHED DOCUMENT (.) INDIVIDUAL ( ) CORPORATE OFFICER Labor & Material Bond No. 190758513 TITLE(S) TITLE OR TYPE OF DOCUMENT ( ) PARTNER(S) ( ) LIMITED 2 (__) GENERAL NUMBER OF PAGES ( .~( ) ATTORNEY-IN-FACT' (i') TRUSTEE(S) ( ) GUARDIAN/CONSERVATOR June 6, 2000 ( ) OTHER DATE OF DOCUMENT SIGNER IS REPRESENTING: NAME OF. PERSON~S) OR ENTLTY(IES) bonci nenca/ ~'nsurance company SIGNER(S) OTHER THAN NAMED ABOVE O- 107426-8 POWER OF ATTORNEY APPOINTING INDIVIDUAL ATTORNEY-IN-FACT Know All Men By These PresentS, That THE CONTINENTAL INSURANCE COMPANY, a New Hampahim corporation, FIREMEN'S INSURANCE COMPANY OF NEVVARK, NEW JERSEY, a New Jersey corpumtion, and COMMERCIAL INSURANCE COMPANY OF NEWARK, N.J., a New Jersey corporation (herein collectively called '11he CNA Surety Companies"), are duly organized end existing corpure~ns having their principal offices in the City of Chicago, and State'of Illinois, and that they do by virtue of the eignatum and seals herein affixed hereby make, constfttlte and appoint Paul S. Minsker, Individually of Los Angeles, California their tnJa and lawful Attomey(s)-in-~ent with fuli power and ~uthofity hereby conferred ta sign, seal and execute for and on their behalf bonds, undertakings and other obligatory inst~umenta of eimilsr nature - In Unlimited Amounta - and t~ bind them thereby as fully and to the same extent as if such instruments were signed by a duly authorized officer of their corporations and all the acts of said Attorney, pursuant te the authority hereby g~ven am hereby ratified and confirmed. This Power of Attorney is made and executed pursuant to and by au~ority of the By-Laws and Resolufioes, printed on the reverse hereof, duly adopted, as indicated, by the Boards of Directors of the corporations. In Wlt~ess Whereof, the CNA Sureties Companies have caused these presents to be signed by their Vice President and their corporate seals to be hereto affixed on this I st day of September 1995 -~ ~ '-'~'-.. FIREMEN'S INSURANCE COMPANY OF NEWARK, NEW JERSEY COMMERCIAL INSURANCE COMPANY OF NE~VARK, N.J. M.C. Vonnahme Vice President State of Illinois, County of Cook, ss: On this 1st day of Septamber , 1995 , before me personally came M. C. Vonnahme , to me knovm, who, being by me duly sworn, did depose and say: that he resides in the Village of Darion , State of Illinois; that he is a Vice President of THE CONTINENTAL INSURANCE COMPANY, FIREMEN'S INSURANCE COMPANY OF NEVVARK, NEW JERSEY and COMMERCIAL INSURANCE COMPANY OF NEWARI~ N.J. described in end which executed the above inatrummt that he knows the seals of said corporetioes; that the seals affixed to tho said instrument are such corpumte seals; that they were so affixed pursuant ts authonty given by the Bsards of Directom of said corporations and that he signed his name thereto pursuant to like authority, and acknowkidges sama to be the act and deed of said corporations. My Commission Expires October 19, 1998 Linda C. Dempsey Notary Public CERTIFICATE I, John M. Litter , Assistant Vice President of THE CONTINENTAL INSURANCE COMPANY, FIREMEN'S INSURANCE COMPANY OF NEWARK, NEW JERSEY and COMMERCIAL INSURANCE COMPANY OF NEWARI~ N.J. do hereby certify that the Power of Attorney herein above set forth is s~ll in force, and to,thor certify that the By-Law and Resolution of the Board of Directors of esch corporation printed on the reverse hereof are still in ferca. In testimony whereof I have hereunto subscribed my name and affixed the seals of the said corporations this 6~h dayof Jlln¢ 2000, ...~°';~ ~... ~.t_~. a ~'~'~'~'~- THE CONTINENTAL INSURANCE COMPANY  ~.~. ..... ~ ,~.~..~ ~-~ ~ ~?~... FIREMEN'S INSURANCE COMPANY OF NEWARK, NE~V JERSEY :~-'~- ~'"'e ~~~~.:? ~ ~:k~ . ~-~ ~ COMMERCIAL INSURANCE COMPANY OF NEWARI~ N.J. .r,'.. . John M. Littler Asslslan~ Vice President BOND: 929147200 Prem: $50.00 Issued in Triplicate ~ MO~ IN~&I,I,&TION ~OND ~m~~~),~ Con.~inental [~suKance C~mpan~ _. _. _ .... ,1~~~ New ~a~shi.re . ~~-_ Nine. hundred dollar[~ 00.- ................................ b~waa~ Eastlake Greens, Project R-26, Tract 88-3, W.O.IEG-25F The Eastlake Com~?.LLC_ Continental Insurance Company South Pasadena, CA ~4'030 Bond: 929147200 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT No. Sgo? State of County of ~W ~/~ On ~ /~, ~ before me, ~/~ DATE / NAME, TI~E OF OFFICER - E.G., JANE ~E, NOTARY PUBLIC" personally appeared ~1~ 1~ ~ ~T~ , NAME(S) OF SiGNER(S) ~ personally known to me - OR - ~ proved to me on the basis of satisfacto~ evidence to be the person~ whose name~are subscribed to the with~strument and ac- knowledged to m~a~he/they executed the same in~her/their~thorized  capacity(~), ~nd that by.her/their signatu?~on the instrument the person~, or the entity upon behalf of which the ,,Pe[s0n~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 relying on the document and could prevent fraudulent reattachment of this form. CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT [] ~NDiVIDUAL [~ CORPORATE OFFICER TITLE OR TYPE OF DOCUMENT TITLE(S) [] PARTNER(S) [] LIMITED [] GENERAL []'ATTORNEY-IN-FACT NUMBER OF PAGES [] TRUSTEE(S) [] GUARDIAN/CONSERVATOR [] OTHER: DATE dF DocUMENT SIGNER IS REPRESENTING: NAMEOFPERSON(S) ORENTITY(IES) ~__2~.~.~/l.~V~,~' ~,~ ~~ ~ ~~y~ ~L~ SIGNER(S) OTH~ ~H~N NAMED ABOVE ©t993 NATIONAL NOTARY ASSOCIATION · 8236 Remmet Ave., P.O. Sox 7184 · Canoga Park, CA 91309-7184 37 State of California County of Los Angeles On June 7, 2000 beforeme, Doreen Ann Green, Notary Public Date NAME. TITI,E OF OFFICER.. 'JANE DOE. NOTARY PUSI. IC" personally appeared Marilyn M. Burd NAMt=(S) OF SIGNER(S) (~') personally known to me - OR - (__) proved to me on the basis of satistactory evidence fo be the person(~) whose name~) islet, e, subscribed to the within instrument and acknowledged to me that ~/she~x~uted the same in ~/her/~ authorized capaci~ and that by~her/t~ signature~ on the instrument the pemon~), or the enti~ upon behalf of which the person~ acted, executed the instrument. { =~DoRE'~-N*AN'N GREE~i ~my h~and o~al seal. ~ ~1 ~S~GE~SOOU~ ~ ~/ ~I~A~URE OF NOT~Y - ' " My. C0mm. Expires A~g. 2. 20~ , ~ ;~ ~ . .. OPTIONAL ~ough ~e data below is not required by law, it may prove valuable to persons relying on the document and ~uld prevent fraudulent rea~chment of this fo~. CAPACI~ C~IMED BY SIGNER DESCRIPTION OF A~ACHED DOCUMENT ( ) INDIVIDUAL ) CORPORATE OFFICER Monument Bond No. 929147200 TITLE(S) TITLE OR ~PE OF DOCUMENT ( ) PARTNER(S) (__) LIMITED 2 (__) GENE~L NUMBER OF PAGES ( X ) A~ORN~-IN-FACT (__) TRUSTEE(S) ( ) GUARDIAN/CONSERVATOR (__) OTHER. June 7~ 2000 DATE OF DOCUMENT SIGNER IS REPRESENTING: NAME OF PERSON(S) OR ENTI~(IES) . Continental Insurance Company SIGNER(S) OTHER THAN NAMED ABOVE 0-107426-8 The Continental Insurance Company GENERAl POWER OF A]TORNEY Know all men by these Presents, That THE CONTINENTAL iNSURANCE COMPANY has made, constitute~ and appointed, and by these presents does make, constitute and appoint Marilyn M. Burd of Van Nuys, California its true and lawful attorney, for it and in its name, place, and stead to execute on behalf of the said Company, as surety, bonds, u0der~aking and contracts of suretyship to be Biven to All Obligees provided that no bond or undertaking or contrac~ of suretyship executed under this authorily shall exceed in amount the sum of Unlimited Dollars This Power of Attorney is ~ranted and is signed and sealed by facsimile under and by the authority of the following Resolution adopted by the 8oard of Directors of the Company on the 13th day of January, 1989: In Witness Whereof, THE CONTINENTAL INSURANCE COMPANY has caused its official seal to be hereunto affixed, and these presents to be signed by one of its Vice Presidents and attested by one of its Assistant Secretaries this t0 day of ~ay , 1995. THE CONTINENTAL INSURANCE COMPANY Attest: ...? · '; ,, By STATE OF CONNECTICUT COUNTY OF HARTFORD On this l0 day of May 1995, before me personally came Matthew Klimczak, to me known, who being by me duly sworn, did depose and say that he is a Vice President of THE CONTINENTAL INSURANCE COMPANY, the corporation described in and which executed the above instrument; that he knows the seal of the said corporation; that the seal affixed to the said instrument is such corporate seal; that it was so affixed by order of the Board of Directors of said corporation and that he signed his name thereto by like order. ~'/ GLORIA D, SEEKINS Commission Expite~ .~'lU~l-y 3 CERTIFICATE I, lhe unde~igned, an Assislanl Secrela~ of THE CONTINENTAL INSU~NCE COMPANY, a New Hampshire corporalion, DO HER EBY CERTIFY lhal the foregoin8 and auached Power of Attorney remains in lull force and has not been revoked: aed fu~hermore thai the Resolution o~ the Board of Director. set fo~h in the said Power o~ Altorney, is now in force, Signed and sealed at the ~own o~ Farming/on, in the Stale of Connecticut, Dated the 7 thday o~ ~Ufle X~X 2000 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING SUPPLEMENTAL SUBDIVISION IMPROVEMENT AGREEMENT FOR CHULA VISTA TRACT 88-3, EASTLAKE GREENS UNIT 26, REQUIRING THE EASTLAKE COMPA/qY, LLC TO COMPLY WITH CERTAIN UNFULFILLED CONDITIONS OF RESOLUTION NO. 17618 AND RESOLUTION NO. 15200 AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT WHEREAS, the developers of EastLake Greens Unit 26 have executed a Supplemental Subdivision Improvement Agreement (SSIA) in order to satisfy Conditions of Resolution Nos. 17618 and 15200 for Chula Vista Tract No. 88-3. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby approve the Supplemental Subdivision Improvement Agreement for Chula Vista Tract No. 88-3, EastLake Greens Unit 26, a copy of which is on file in the office of the City Clerk. BE IT FURTHER RESOLVED that the Mayor of the City of Chula Vista is hereby authorized and directed to execute said Agreement for and on behalf of the City of Chula Vista. Presented by Approved as to form by John P. Lippitt Jo~r#N. Kaheny Director of Public Works City Attorney H: ~Home\Attorney~Reso\ELGreens unit 26 Sup RECORDING REQUEST BY: City Clerk WHEN RECORDED MAIL TO: CITY OF CHULA VISTA 276 Fourth Avenue Chula Vista, CA 919'10 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. Developer ''~ ) ) ) Above Space for Recorder'$ Use SUPPLEMENTAL SUBDIVISION IMPROVEMENT AGREEMENT FOR EASTLAKE GREENS UNIT 26 CHULA VISTA TRACT NO. 88-3. (Conditions B, C, 1, 18, 32, 33, 34, 37, and Condition 1 of Section XII Code Requirement Reminders of Resolution 17618, and Conditions 2 and 43 of Resolution 15200 for this Project) This Supplemental Subdivision Improvement Agreement ("Agreement")is made this _ day of ., 2000, by and between THE CITY OF CHULA VISTA, California ("City" or "Grantee" for recording purposes only) and THE EASTLAKE COMPANY, LLC ("Developer" or "Grantor"), with reference to the facts set forth below, which recitals constitute a part of this Agreement: RECITALS A. This Agreement concerns and affects certain real property located in Chula Vista, California, more particularly described on Exhibit "A" attached hereto and incorporated herein ("Property"). The Property is referred to as EastLake Greens Unit R-26, Chula Vista Tract No. 88-3. For purposes of this Agreement the term "Project" shall mean "Property". B. Developer is the owner of the Property. C. Developer has applied for and the City has approved a Tentative Subdivision Map commonly referred to as Chula Vista Tract No. 88-3, EASTLAKE GREENS, ("Tentative Subdivision Map") for the subdivision of the Property. D. The Ci~' has adopted Resolution 15200 and 17618 ("Resolution") pursuant to which it has approved the Tentative Subdivision Map subject to certain conditions as more particularly described in the Resolution. Resolution 15200 approved the Tentative Map for EastLake Greens, Chula Vista Tract 88-3 and Resolution 17618 approved and imposed amendments and conditions to the EastLake Greens Master Tentative Subdivision Map. E. City is willing, on the premises, security, terms and conditions herein contained to approve the Final Map for which Developer has applied as being in substantial conformance with the Tentative Subdivision Map described in this Agreement. NOW, THEREFORE, in exchange for the,~utua! covenants, terms and conditions herein contained, the parties agree as set forth below. 1. Agreement Applicable to Subsequent Owners. 1.1 Agreement Binding Upon Successors. This Agreement shall be binding upon and inure to the benefit of the successors, assigns and interests of the parties as to any or all of the Property until released by the mutual consent of the parties. 1.2 Agreement Runs with the Land. The burden of the covenants contained in this Agreement ("Burden") is for the benefit of the Property and the City, its successors and assigns and any successor in interest thereto. City is deemed the beneficiary of such covenants for and in its own right and for the purposes of protecting the interest of the community and other parties public or private, in whose favor and for whose benefit of such covenants running with the land have been provided without regard to whether City has been, remained or are owners of any particular land or interest therein. If such covenants are breached, the City shall have the right to exemise 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. 1.3 Developer Release on Guest Builder Assignments. If Developer assigns any portion of the Project, Developer may have the right to obtain a release of any of Developer's obligations under this Agreement, provided Developer obtains the prior written consent of the City to such release. Such assignment shall, however, be subject to this Agreement and the Burden of this Agreement shall remain a covenant running with the land. The City shall not withhold its consent to any such request for a release so long as the assignee acknowledges that the Burden of the Agreement runs with the land, assumes the obligations of the Developer under this Agreement, and demonstrates, to the reasonable satisfaction of the City, its ability to perform its obligations under this Agreement as it relates to the portion of the Project which is being acquired by the Assignee. 1.4. Partial Release of Developer's Assignees, If Developer assigns any portion of the Project subject to the Burden of this Agreement, upon request by the Developer or its assignee, the City shall release the assignee of the Burden of this Agreement as to such assigned portion if such portion has complied with the requirements of this Agreement and such partial release will not, in the opinion of the City, jeopardize the likelihood that the remainder of the Burden will not be completed. 2. Implement Previously Adopted Conditions of Approval Pertinent to Project. Unless otherwise conditioned, Developer agrees to comply, remain in compliance and implement the terms, conditi9ns and provisions, as are applicable to the property which ~s the subject matter, of th~s Agreement, of 1) a pnor Genera Development Plan resulting in the current land use designations as shown on the EastLake II General Development Plan, previously approved by City Council Resolution 15198; 2) The EastLake Greens Sectional Planning Area (SPA) Plan, previously approved by City Council Resolution 17618 on August 16, 1994, 3) Mitigated Negative Declaration on IS-94-19 and Mitigation Monitoring and Reporting Program, previously approved by City Council Resolution 17618 on August 16, 1994, 4) EastLake II (EastLake I expansion) Planned Community District Regulations and Land Use District Map, previously approved by Ordinance No. 2765 on December 8, 1998 and 5) EastLake Greens Master Tentative Subdivision Map (TSM 88-3) which was approved by City Council Resolution 15200 on July 18, 1989, and 6) Amendments to EastLake Greens Master Tentative Subdivision Map (TSM 88-3) which was approved by City Council Resolution 17618 on August 16, 1994 prior to approval of the corresponding Final Map. 3. Implement the Public Facilities Financing Plan. Developer agrees to install public facilities in accordance with the EastLake Greens SPA Public Facilities Financing Plan as amended or as required by the City Engineer to meet threshold standards adopted by the City of Chula Vista. The City Engineer and Planning and Building Director may, at their discretion, modify the sequence of improvement construction should conditions change to warrant such a revision. 4. Condition B of GENERAL CONDITIONS OF APPROVAL Section of Resolution 17618 (Mitigation Measures). In satisfaction of Condition B of Resolution 17618, the Developer agrees to implement, or cause the implementation of all mitigation measures pertaining to the Project identified in the Final Subsequent Environmental Impact Report for the EastLake Trails/Greens Replanning Program (EIR #97-04). Developer acknowledges and agrees that any such measures not satisfied by a specific condition of this Resolution or by the project design shall be implemented to the satisfaction of the Director of Planning and Building and that mitigation measures shall be monitored via the Mitigation Monitoring Program approved in conjunction with the Mitigated Negative Declaration and Addendum. Should the Developer request a modification of the sequence of mitigation, such modification shall be at the discretion of the Director of Planning and Building should changes in the circumstances warrant such revision. 5. Condition C of GENERAL/PRELIMINARY Section of Resolution 17618 (Mitigation Measures). In satisfaction of Condition C of Resolution 17618, the Developer agrees to implement, or cause the implementation of, all portions of the Mitigation Monitoring and Reporting Program pertaining to the Project and Mitigated Negative Declaration IS-94-19. 6. Condition No. '1 of Resolution 17~'~18. (u~nfulfilled Conditions). In satisfaction of Condition No. 1 of Resolution 17618, the Developer agrees to comply with all unfulfilled conditions of approval ofthe EastLake Greens, Chula Vista Tract No. 88- 3 Tentative Map (adopted by Resolution 15200 and Amended Conditions adopted by Resolution 17618) and shall remain in compliance with and implement the terms, conditions and provisions of the Resolution. 7. Condition No. 2 of Resolution 17618 (Construction Phasing Plan). In partial satisfaction of Condition No. 2 of Resolution 17618, the Developer agrees to obtain approval by the Director of Planning and Building and City Engineer of a construction phasing plan prior to the issuance of the first building permit for the Project. The phasing plan shall include, but is not limited to, grading, improvements, dedications and easements to be provided with each phase. Developer shall provide all necessary studies and documentation, as required by the City Engineer and the Director of Planning and Building, supporting the proposed phasing plan. Developer agrees that the City Engineer and the Director of Planning and Building may, at their sole discretion, require such improvements, facilities and/or dedications as they deem necessary to provide adequate circulation and to meet the requirements of the Police and Fire Departments. Further, Developer agrees that the City Engineer and Director of Planning and Building may, at their sole discretion, modify the sequence of improvement construction should conditions change to warrant such a revision. 8. Condition No. 18 of Resolution 17618 (Cut/Fill Units). In satisfaction of Condition No. 18 of Resolution 17618, the Developer agrees to submit in conjunction with the submittal of the first Request for Issuance of Building Permit form (PWE 106A) for the Project, a report that lists all of the units within the Project 4 and indicates the geologic condition(s) that will undedie the structures to be built on each of the units (i.e. fill, cut, or a transition between the two geologic conditions). The subject report is to be completed, signed and stamped by the Engineer-of-Work and the Soils Engineer for the Project. 9. Condition No. 32 of Resolution 17618 (City Agreement). In satisfaction of Condition No. 32 of Resolution 17618, the Developer agrees to defend, indemnify and hold harmless the City and its agents, officers and employees, from any claim, action or proceeding against the City, or its agents, officers, or employees, to attack, or set aside, void or annul any approval by the city, including approval by its Planning Commission, City Council or any approval by its agents, officers, or employees with regard to this subdivision pursuant to Section 66499.37 of the State Map Act provided the City promptly notifies the subdivider of any claim, action or proceeding and on the further condition that the City fully cooperates in the defense. 10. Condition No. 33 of Resolution 17~18 (Erosion). In satisfaction of Condition No. 33 of Resolution 17618, the Developer agrees to defend, indemnify, and hold harmless the City, and its agents, officers and employees, from any claim, action, or proceeding against the City, or its agents, officers or employees, related to erosion, siltation or increase flow of drainage resulting from this project. City agrees to reasonably cooperate with Developer in the defense of any such action, claim or proceeding. 11. Condition No. 34 of Resolution 17618 (Cable). In satisfaction of Condition No. 34 of Resolution 17618, the Developer agrees to permit all cable television companies franchised by the City of Chula Vista equal opportunity to place conduit to and provide cable television service for each lot or unit within the Final Map area, as described on Exhibit "A". Developer further agrees to grant, by license or easement, and for the benefit of, and to be enfomeable by, the City of Chula Vista, conditional access to cable television conduit within the properties situated within the Final Map only to those cable television companies franchised by the City of Chula Vista the condition of such grant being that (a) such access is coordinated with Developer's construction schedule so that it does not delay or impede Developer's construction schedule and does not require the trenches to be reopened to accommodate that placement of such conduits; and (b) any such cable company is and remains in compliance with, and promises to remain in compliance with the terms and conditions of the franchise and with all other rules, regulations, ordinances and procedures regulating and affecting the operation of cable television companies as same may have been, or may from time to time be, issued by the City of Chula Vista. Developer hereby conveys to the City of Chula Vista the authority to enforce said covenant by such remedies as the City determines appropriate, including revocation of said grant upon determination by the City of Chula Vista that they have violated the conditions of grant. 12. Condition No. 37 of Resolution 17618 (As-Built Drawings). In satisfaction of Condition No. 37 of Resolution 17618, the Developer agrees to submit "as-built" improvements and grading plans as required by the City Subdivision Manual. Additionally, Developer shall provide the City said plans in a digital D.X.F. file format. 13. Condition No. I of Section XII (Code Requirement Reminders) of Resolution 17618 (Landscape Design). In partial satisfaction of Condition No. 1 of Section XII Code Requirement Reminders of Resolution 17618, the Developer agrees, prior to the issuance of the first building permit, to design the configuration of the landscape area, plus the location, height and materials for any retaining or garden walls or combinations thereof, subject to review and obtaining the approval of the Zoning Administrator and the City Landscal~e Architect. 14. Condition No. 1 of Section XII (code Requirement Reminders) of Resolution 17618 (Fire). In partial satisfaction of Condition No. 1 of Section XII Code Requirement Reminders of Resolution 17618, the Developer agrees to install and make operable fire hydrants prior to delivery of combustible building materials to the satisfaction of the City Fire Marshal. 15. Condition No. 1 of Section XII (Code Requirement Reminders) of Resolution 17618 (Chula Vista Municipal Code). In partial satisfaction of Condition No. 1 of Section XII Code Requirement Reminders of Resolution 17618, the Developer agrees to comply with all applicable sections of the Chula Vista Municipal Code. Preparation of the Final Map and all plans by Developer shall be in accordance with the provisions of the Subdivision Map Act and the City of Chula Vista Subdivision Ordinance and Subdivision Manual. Compliance with the City of Chula Vista threshold standards, based on actual development patterns and updated forecasts in reliance on changing entitlement and market conditions, shall govern the Project development patterns and the facility improvement requirements to serve such development. In addition, the sequence in which improvements are constructed shall correspond to any future Eastern Chula Vista Transportation Phasing Plan or : amendment to the Growth Management Program and Ordinance adopted by the City. Upon request of Developer, the City Engineer may modify the sequence of improvement construction should conditions change to warrant such a revision. 16. Condition No. 1 of Section XII (Code Requirement Reminders) of Resolution 17618 (Fees). In partial satisfaction of Condition No. 1 of Section XII Code Requirement Reminders of Resolution 17618, the Developer agrees to pay all applicable fees in accordance with the City Municipal Code and Council Policy, including, but not limited to, the following: a) The Transportation and Public Facilities Development Impact Fees. b) Signal Participation Fees. c) All applicable sewer fees, including but not limited to sewer connection fees. d) SR-125 impact fee. e) Telegraph Canyon (Pumped Flows) Sewer Basin DIF. f) Salt Creek Sewer Basin DIF. g) Poggi Canyon Sewer DIF. In addition, the Developer agrees to pay the amount of said fees in effect at the time of issuance of building permits. 17. Condition No, 1 of Section Xll (Code Requirement Reminders) of Resolution 17618 (Notices). In partial satis~a~,ction of Condition No. 1 of Section XII Code Requtrement Reminders of Resolubon ~17618, the Developer agrees to ensure that prospective purchasers sign a "Notice of Special Taxes and Assessments" pursuant to Municipal Code Section 5.46.020 regarding projected taxes and assessments. 18, Condition No. 1 of Section Xll (Code Requirement Reminders) of Resolution 17618 (Storage Space Requirements), In partial satisfaction of Condition No. 1 of Section XII Code Requirement Reminders of Resolution 17618, the Developer agrees to comply with section 19.56.020 of the Chula Vista Municipal Code regarding required enclosed storage space requirements for each dwelling unit. 19. Condition No. 2 of Resolution '15200 (Street Improvements). In partial satisfaction of Condition No. 2 of Resolution 15200, the Developer agrees to the following: a. Street Improvement Work. Developer agrees to construct and install, at its sole expense, all necessary improvements to EastLake Parkway, including, but not limited to: luminaries mounted on traffic signal standards, conduit for future traffic signal, signing and striping, and modifications to the existing raised median required to serve the Project to the satisfaction of the City Engineer (hereinafter referred to as "Eastlake Parkway Improvements"). Developer shall complete the construction of the Eastlake Parkway Improvements within 6 months of the approval of this Agreement by City Council. The City Engineer, in his/her sole discretion, may extend the Completion of Construction date up to six (6) months provided that Developer, in the opinion of the City Engineer, has diligently pursued completion of the Eastlake Parkway Improvements. It is expressly understood and agreed to by Developer that, in the performance of construction of said Eastlake Parkway Improvements, Developer shall conform to and abide by all of the provisions of the 7 ordinances, standards and policies of the City of Chula Vista, the laws of the State of California and federal law as applicable to said work. For purposes of this Agreement "Complete or Completion of Construction" means that the construction of improvements have been completed and have been inspected and accepted by the City. b. Eastlake Parkway Improvements Bonding, i. Concurrent with the execution of this Agreement, Developer agrees to furnish and deliver to the City of Chula Vista, and to thereafter maintain until City's acceptance of the Eastlake Parkway Improvements, improvement securities from a sufficient surety, whose sufficiency has been approved by the City Engineer and City Attorney, to guarantee the installation and faithful performance of the Eastlake Parkway Improvements and to secure the payment of material and labor in connection with such installation in the amounts set forth in Exhibit "B" hereto. The Bond(s) shall be issued by a suret~/~with ~ Bests A-V rating or better and shall be in a form approved by the City Attorney. At all times while Developer has outstanding obligations under this Agreement, the bonds as required herein shall be in full force and effect. Developer may request that another form of equivalent security, such as a letter of credit or cash, acceptable to the City in its sole discretion, be substituted for the bonds described herein. Developer understands and agrees that such substitution is in the sole discretion of the City. ii. Developer acknowledges and agrees that if the Eastlake Parkway Improvements are not completed within the time agreed herein, the sums provided by said improvement securities may be used by City for the completion of the Eastlake Parkway Improvements in accordance with those plans and specifications approved by the City, or at the option of the City, for such improvements that are less than, but not greater than, the sums provided by said improvement securities. Developer also agrees that the City may take any and all actions necessary, in order to obtain the funds necessary for completion of the Eastlake Parkway Improvements. Upon certification of completion by the City Engineer and accep- tance of said work by the City, and after certification by the Director of Public Works that all costs hereof are fully paid, the whole amount, or any part thereof not required for payment thereof, may be released to the Developer or its successors in interest, pursuant to the terms of the improvement security. Developer agrees to pay to the City any difference between the total costs incurred by the City or its agents to perform the work, including but not limited to reasonable design and administration of construction in substantial conformance with the approved plans (including a reasonable allocation of overhead), and any proceeds from the improvement security. c. Developer's Costs and Expenses. It is also expressly agreed and understood by the parties hereto that in no case will the City or any department, board or officer thereof, be liable for any portion of the costs and expenses of the work aforesaid, nor shall the City or the City's officer, sureties or bondsmen, be liable for the payment of any sum or sums for said work or any materials furnished therefor. 20. Condition 26 of Resolution t5200 (Clean Water Act). In partial satisfaction of Condition No. 26 of Resolution 15200, the Developer agrees to comply with all relevant Federal, State, and Local regulations, including the Clean Water Act. The developer shall be responsible for providing all required testing and documentation to demonstrate said compliance as required by the City Engineer. 21. Condition No. 43 of Resolution 15200 (CC&R'S). In satisfaction of Condition No. 43 of Resolution 15200, the Dev.e~oper~ Or its successors in interest, agree to submit, within 60 days of City Cohhcil apProval of the first Final Map, evidence, acceptable to the City Engineer and the Director of Planning and Building, of the formation of a Homeowner's Association (HOA), or another financial mechanism acceptable to the City Manager. The HOA formulation documents shall be approved by the City Attorney. Developer further agrees that CC&R's for the Project shall be submitted to the City Planning and Building Department for review and approval within 60 days of City Council approval of the first final map, and shall include: a) Maintenance of all facilities located within open space, recreational or other common areas by the Homeowner's Association to include, but not be limited to: walls, fences, lighting structures, paths, trails, access reads, recreational amenities and structures, drainage structures and landscaping. b) Include language in the CC&R's establishing the HOA responsibility to maintain all streets, drainage and sewer systems that are private. Said private streets shall be maintained in perpetuity by the HOA and no request shall be made for future maintenance by the City. c) Include language in the CC&R's, establishing the HOA responsibility to maintain all perimeter fencing in accordance with the established guidelines set forth in the EastLake Trails SPA Plan and as approved by the City's Design Review Committee. d) Name the City of Chula Vista as a party to the CC&R's, with the authority, but not the obligation, to enforce the terms and conditions of the CC&R's. e) Include language in the CC&R's for the project specifying that individual owners may not modify the location, materials, height, or otherwise alter the established rear yard fencing. f) Before any revisions to provisions of the CC&R's that may particularly affect the City can become effective, said revisions shall be approved by the City. The HCA shall not seek approval from the City of said revisions without the prior consent of 100 percent of the holders of first mortgages or property owners within the HCA, g) The HCA shall indemnify and hold the City harmless from any claims, demands, causes of action liability or loss related to or arising from the maintenance activities of the HCA. h) The HCA shall not seek to ,be released by the City from the maintenance obligations described herein w!thout the prior consent of the City and 100 percent of the holders of first mortgages or property owners within the HCA. i) The HCA is required 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 combined single limit. The policy shall be acceptable to the City and name the City as additionally insured. j) The CC&R's shall incorporate restrictions relating to architectural control and indicate to what extent, if any, exterior modifications may be made by the individual homeowner. k) The CC&R's shall include provisions assuring HCA membership in an advance notice such as the USA Dig Alert Service in perpetuity. 22. Satisfaction of Conditions. City agrees that the execution of this Agreement constitutes satisfaction or partial satisfaction of Developer's obligation for this Project of Conditions B, C, 1, 18, 32, 33, 34, 37, and Condition 1 of Section XII Code Requirement Reminders of Resolution 17618, and Conditions 2 and 43 of Resolution 15200 for this Project. 23. Recording. This Agreement, or an abstract hereof prepared by either or both parties, may be recorded by either party. ]0 24. Assignability. Upon request of the Developer, 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 cdteria for security as set forth elsewhere in this Agreement. Such assignment will be in a form approved by the City Attorney. 25. Building Permits. Developer understands and agrees that the City may withhold the issuance of building permits for the Project, should the Developer be determined by the City to be in breach of any of the terms of this Agreement. The City shall provide the Developer of notice of such determination and allow the Developer with reasonable time to cure said brea(;~. , 26. Miscellaneous. a. Notices. Unless otherwise provided in this Agreement or by law, any and all notices required or permitted by this Agreement or by law to be served on or delivered to either party shall be in writing and shall be deemed duly served, delivered, and received when personally delivered to the party to whom it is directed, or in lieu thereof, when three (3) business days have elapsed following deposit in the U.S. mail, certified or registered mail, return receipt requested, first-class postage prepaid, addressed to the address indicated in this Agreement. A party may change such address for the purpose of this paragraph by giving written notice of such change to the other party. CITY OF CHULA VISTA 276 Fou~ Avenue Chula Vista, CA 91910 Attn: Director of Public Works Developer: The EastLake Company, LLC 900 Lane Avenue, Suite 100 Chula Vista, California 91914 Attn: William Ostrem, President A party may change such address for the purpose of this paragraph by giving written notice of such change to the other party in the manner provided in this paragraph. b. Captions. Captions in this Agreement are inserted for convenience of reference and do not define, describe or limit the scope or intent of this Agreement or any of its terms. c. Entire Agreement. This Agreement contains the entire agreement between the parties regarding the subject matter hereof. Any prior oral or written representations, agreements, understandings, and/or statements shall be of no force and effect. This Agreement is not intended to supersede or amend any other agreement between the parties unless expressly noted. d. Preparation of Agreement. No inference, assumption or presumption shall be drawn from the fact that a party or his attorney prepared and/or drafted this Agreement. It shall be conclusively presumed that both parties participated equally in the preparation and/or drafting this Agreement. e. Recitals; Exhibits. Any recitals set forth above and exhibits referenced herein are incorporated by reference into this Agreement. f. Attorneys' Fees. If either party commences litigation for the judicial interpretation, reformation, enforcement or rescission hereof, the prevailing party will be entitled to a judgment against the other for an amount equal to reasonable attorney's fees and court costs incurred. The "prevailing party" shall be deemed to be the party who is awarded substantially the relief sought. (NEXT PAGE IS SIGNATURE PAGE) SIGNATURE PAGE TO SUPPLEMENTAL SUBDIVISION IMPROVEMENT AGREEMENT EASTLAKE GREENS UNIT R-26 CHULA VISTA TRACT NO. 88-3 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed the day and year first hereinabove set forth. By: By: . Mayor of the City of Chula Vista , ? William Ostrem~ ~ Its: President ATTEST City Clerk Approved as to form by City Attorney (Attach Notary Acknowledgment) 14 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT State of ~/~IF~/i,~ County of On c~'-¢Z/~/~ESA.,~/ ~:~,~,~ beforeme, ~'.,b//:.~E',4'/.~..~),//,~/ NAME, TITLE OF OFFICER ~ E.G., "JANE DOE, NOTARY PUBLIC~ personally appeared /'/}/L-L-/,EP// /-~ ~T'.,~,~--/~  NAME(S) OF SIGNER{S) [] personally known to me - OR - proved to me on the basis of satisfactory evidence ' to be the person(~r)' whose name(~d~are subscribed to the within instrument and ac- to me.~at(~she/they executed knowledged  the same in h~.~her/their,...~a~thorized capacity(~"), and that byq~her/their 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. SIGNATURE OF NOTARY OPTIONAL u 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 CORPORATE OFFICER ~ ~./.~..~ ,/~.~ ~'3 TITLE OR TYPE OF DOCUMENT TITLE(S) [~ PARTNEH(S) [] LIMITED E~ GENERAL / 7 [~ A'I~-ORNEY-IN-EACT NUMBER OF PAGES [] TRUSTEE(S) [] GUARDIAN/CONSERVATOR [] OTHER: ~ DATE OF DOCUMENT SIGNER IS REPRESENTING: NAME OF PERSON(S) OR ENTITY(iES~ "~,C~4<~__-- /¢//-~tJ'~. ~ SIGNER(S) OTHER THAN NAMED ABOVE ©1993 NATIONAL NOTARY ASSOCIATION · 8236 Remmet Ave., P.O. Box 7184 ° Canoga Park, CA 91309-7184 EXHIBIT "A" THE LAND REFERRED TO HEREIN IS SITUATED IN THE STATE OF CALIFORNIA, COUNTY OF SAN DIEGO, AND IS DESCRIBED AS FOLLOWS: PARCEL 1 OF PARCEL MAP NO. ., 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, AS FILE NO. OF OFFICIAL RECORDS BEING A PORTION OF PARCEL 1 OF PARCEL MAP NO. 17628 FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY DECEMBER 19, 1995, A PORTION OF THAT PROPERTY DESCRIBED IN DEED TO OTAY WATER DISTRICT RECORDED FEBRUARY 28, 1990 AS FILE NO. 90-106597 OF OFFICIAL RECORDS AND A PORTION OF THAT PROPERTY DESCRIBED IN DEED TO OTAY WATER DISTRICT RECORDED MAR~¢I 19~-'1993 AS FILE NO. 1993-0172611 OF OFFICIAL RECORDS. '" H:\HOME\ENGINEER\LANDDEV~R26SSIA.JCM ]5 tl -/? EXHIBIT "B" EASTLAKE PARKWAY IMPROVEMENTS EASTLAKE GREENS UNIT 26 Bond Amount* Bond Number Surety Company American Casualty Faithful Performance $248,000 190758494 Company of Reading Pennsylvania American Casualty Labor and Materials $248,000 ~, ,, . 190758494 Company of Reading · Pennsylvania · The posted security amount reflects an added 100% contingency to the total estimated improvement costs since the improvement plans have not been submitted for review as of the date of this agreement by the City Engineer. H:~IOME~ENGINEER~LANDDEV~EB 26EXC. JCM COUNCIL AGENDA STATEMENT Item: ]~ Meeting Date 6/20/00 ITEM TITLE: Resolution approving the additional appropriation of $30,000 from the available fund balance of the general fund for professional services related to assessing potential impacts from the proposed Brown Field Cargo Port Expansion, and approving the addition of the funding to the Fiscal Year 1999-2000 budget of the Department of Planning and Building SUBMITTED BY: Director of Planning and Building ~/ REVIEWED BY: City Manager ~l~ ~,/ (4/5ths Vote: Yes X No ) On November 24, 1998, City Council approved Resolution 19279 appropriating $25,000 for professional services related to assessing potential impacts from the proposed Brown Field Cargo Port Expansion and noise impacts of helicopter flyovers originating from Ream Field, of which the City contracted for $22,000 with Aviation Systems Associates, Inc. (ASA) on March 8, 1999, to provide environmental impact report assessment and prepare issue papers. ASA was further asked to attend meetings on behalf of the City, which was out of the scope of the original contract. For this, a concurrent contract for $5,000 was issued, funded by the Planning and Building Department existing unencumbered budget. On November 30, 1999, City Council approved Resolution 19676 appropriating an additional $25,000 for professional services to ensure a timely response to future actions by the City of San Diego, and ASA was placed on retainer for this purpose. Staff is now requesting that Council appropriate an additional $30,000 for professional services from available fund balance from the General Fund to retain professional services, thereby ensuring professional services and timely responses to future actions by the City of San Diego. RECOMMENDATION: That the City Council adopt the Resolution approving an additional appropriation of $30,000 from the available fund balance of the General Fund for professional services related to assessing potential impacts from the proposed Brown Field Cargo Port Expansion, and approving the addition of the funding to the Fiscal Year 1999-2000 budget of the Department of Planning and Building. BOARDS/COMMISSIONS RECOMMENDATION: N/A DISCUSSION: When the City of San Diego announced a proposal to expand Brown Field to accommodate an air cargo port capable of handling jumbo jet cargo aircraft, Staff recognized the potential environmental impacts on the City of Chula Vista. On November 24, 1998, Council approved Resolution 19279 appropriating $25,000 for professional services related to assessing potential impacts from the proposed Brown Field Cargo Port Expansion and noise impacts of helicopter flyovers originating from Ream Field. On March 8, 1999 the City of Chula Vista -/ Page 2, Item Meeting Date 6/20100 contracted with Aviation Systems Associates, Inc. (ASA) to review the Brown Field Cargo Port Master Plan and review the Environmental Impact Report/Assessment and prepare issue papers to report their findings. ASA was asked to assist and represent the City at meetings with plan proponents, the City of San Diego, and other jurisdictional authorities. This effort was beyond the scope of work of the original contract and amounted to an additional $5,000. On November 30, 1999 City Council approved Resolution 19676 appropriating $25,000 for additional professional services to assist the City in reviewing and responding to the project plan revisions and the City of Chula Vista contracted on a time-and-materials basis with ASA. This contract placed ASA on retainer for the City and ensured a timely response to future actions by the City of San Diego, plan proponents, and other jurisdictional authorities. These funds have been exhausted and Staff now requests an additional appropriation of $30,000 from the available fund balance of the General Fund, and an amendment to the Fiscal Year 1999-2000 budget of the Department of Planning and Building to reflect this appropriation and to ensure that professional services will be retained. The additional scope of work covered by 'these Services include, but are not lhnited to, preparation of f'mal briefing materials for presentation to the City of San Diego regarding the impact of Brown Field expansion on the City of Chula Vista. Consultant will present the techrfical briefing of the City's concerns at the City of San Diego City Council hearing in August, 2000. Attendance to subsequent San Diego City Council meetings will also be covered. See Attachment 1 for a summary of current and proposed contract costs for professional services for the Brown Field Cargo Port Expansion. FISCAL EVIPACT: The entire $30,000 appropriation will come from the available fund balance of the General Fund. Since City Staff does not know the future actions of the City of San Diego, SANDAG, proponents of the expansion plan, or other jurisdictional authorities, it is not known whether the entire appropriation will be necessary. The proposed retainer contract extension with Aviation Systems Associates is on a time-and-materials basis. H:\SHARED\PLANNING\Maureen~ASAA113 6-20.doc Resolution No. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE ADDITIONAL APPROPRIATION OF $30,000 FROM THE AVAILABLE FUND BALANCE OF THE GENERAL FUND FOR PROFESSIONAL SERVICES RELATED TO ASSESSING POTENTIAL IMPACTS FROM THE PROPOSED BROVVN FIELD CARGO PORT EXPANSION, AND APPROVING THE ADDITION OF THE FUNDING TO THE FISCAL YEAR 1999-2000 BUDGET OF THE DEPARTMENT OF PLANNING AND BUILDING WHEREAS, on November 24, 1998 the City Council approved Resolution 19279 appropriating $25,000 for professional services related to assessing potential impacts from the proposed Brown Field Cargo Port Expansion and noise impacts of helicopter flyovers originating from Ream Field; and, WHEREAS, on March 8, 1999 the City of Chula Vista contracted with Aviation Systems Associates, Inc. (ASA) for $22,000 to review the Brown Field Cargo Port Master Plan and review the Environmental Impact Report/Assessment and prepare issue papers; and, WHEREAS, on October 15, 1999 the City Manager approved a concurrent contract of $5,000 with ASA to cover attendance to meetings to represent the City of Chula Vista; and, WHEREAS, on November 30, 1999 the City Council approved Resolution 19676 appropriating an additional $25,000 for a time-and-materials retainer contract with ASA and those funds have been depleted; and, WHEREAS, staff recommends an additional time-and-materials retainer contract with ASA for $30,000 for future services as required. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista approves an additional appropriation of $30,000, to be funded from the available fund balance of the General Fund. BE IT FURTHER RESOLVED that the City Council of the City of Chula Vista approves the addition of these funds to the Fiscal Year 1999-2000 budget of the Planning and Building Department. Presented by Approved as to form by Joh. p,'fvl. Kaheny ~/ Planning and Building Director ~ Attorney H:\S HARED~PLANNINGffvlau reen~ASAreso 6-20.doc COUNCIL AGENDA STATEMENT Item No./~ Meeting Date 06/20/00 ITEM TITLE: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA DIRECTiNG REVIEW OF THE CITY OF CHULA VISTA CONFLICT OF iNTEREST CODE SUBMITTED BY: Susan Bigelow, CMC/AAE, City Clerk John Kaheny, City Attomey~ The proposed resolution will direct the City Attorney and City Clerk (1) to review the City's Conflict of Interest Code on behalf o fall staff and designated commissions and boards to determine whether or not amendments are needed and (2) to submit a notice to the Council prior to October 1, 2000, indicating either that amendments are required or that no amendments are necessary. RECOMMENDATION: Council adopt the Resolution. BOARDS AND COMMISSION RECOMMENDATION: None. BACKGROUND: The Political Reform Act requires every local agency to review its Conflict of Interest Code biennially to determine if it is accurate or, alternatively, that the Code must be amended. Once the determination has been made, a notice must be submitted to the Code-reviewing body (the City Council) no later than October lS' of even-numbered years. The City Council, prior to July 1st in even-numbered years, must direct a review of the City's Code for possible amendments. The proposed resolution will direct the City Attorney and the City Clerk to review the Code on behalf of all staff and designated City commissions and boards and require that a notice be submitted to the Council prior to October l~t indicating either that amendments are required or that no amendments are necessary. If amendments are necessary, the amended Code must be forwarded to the Council for approval within 90 days of submission of the notice. FISCAL IMPACT: The item has no impact on the general fund. RESOLUTION NO. 2000- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA DIRECTING REVIEW OF THE CITY OF CHULA VISTA CONFLICT OF INTEREST CODE WHEREAS, the Political Reform Act requires every local agency to review its Conflict of Interest Code biennially to determine if it is accurate or, alternatively, that the Code must be amended; and WHEREAS, the Political Reform Act requires every local agency to direct a review of the Code prior to July 1st of each even-numbered year; and WHEREAS, this review must be completed and a notice o f determination must be submitted to the City Council as the Code-reviewing body prior to October 1st of each even-numbered year. NOW, THEREFORE, BE 1T RESOLVED by the City Council of the City of Chula Vista that the City Attorney and City Clerk are hereby directed to review the Conflict of Interest Code on behalf of City staffand all departments of the City and designated City commissions and boards and to provide specific notice to the City Council prior to October 1, 2000, either that amendments are required or that no amendments are necessary. Presented by Approved as to form by City Clerk PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista, California, this 20t~ day of June, 2000, by the following vote: AYES: Councilmembers: NAYS: Councilmembers: ABSENT: Councilmembers: Shirley Horton, Mayor ATTEST: Susan Bigelow, City Clerk STATE OF CALIFORNIA ) COUNTY OF SAN DIEGO ) CITY OF CHULA VISTA ) I, Susan Bigelow, City Clerk of Chula Vista, California, do hereby certify that the foregoing Resolution No. 2000- was duly passed, approved, and adopted by the City Council at a regular meeting of the Chula Vista City Council held on the 2ffh day of June, 2000. Executed this 21~t day of June, 2000. Susan Bigelow, City Clerk COUNCIL AGENDA STATEMENT Item ,) J7L' Meeting Date 06120100 ITEM TITLE: A PUBLIC HEARING TO CONSIDER ADOPTION OF AN URGENCY ORDINANCE RELATING TO UPDATES IN THE PUBLIC FACILITIES DEVELOPMENT iMPACT FEES (PFDIF) TO PAY FOR VARIOUS PUBLIC FACILITIES WITHIN THE CITY OF CHULA VISTA. AN URGENCY ORDINANCE NO. 2809-B OF THE CITY OF CHULA VISTA, CALIFORNIA, AMENDING ORDINANCE 2554 RELATING TO A DEVELOPMENT IMPACT FEE TO PAY FOR VARIOUS PUBLIC FACILITIES WITHIN THE CITY OF CHULA VISTA'S GENERAL PLAN AREA BOUNDARY. (4/5ths Vote: Yes X~ No SUBMITTED BY: Assistant City Manager ..~ ~/~ REVIEWED BY: City Manager BACKGROUND: On May 23, 2000, Council approved Urgency Ordinance No. 2809-A, which is effective for thirty days only, amending the Public Facilities Development Impact Fee (PFDIF) Ordinance to increase development impact fees (PFDIF) from $2,150 to $2,618 per equivalent dwelling unit, to pay for various public facilities Citywide, and to make a number of other amendments to the Ordinance detailed in "Development Impact Fee for Public Facilities, 1999 Update" presented to Council at the regular meeting on May 23, 2000. The total fee was last reviewed in 1992-93. Adoption of the proposed Urgency Ordinance 2809-B will enable the City to continue to collect the updated fees dudng the 60-day waiting period before Ordinance 2810 becomes effective. RECOMMENDATION: That City Council adopt an urgency ordinance amending Ordinance 2554 changing vadous Municipal Code sections to include increasing the total Public Facilities Impact Fees from $2,150 to $2,618, effective for a pedod of thirty (30) days from the date of adoption. BOARDS AND COMMISSIONS: Presentations were made to the Chula Vista Chamber of Commerce and to the Chula Vista Economic Development Commission. Portions of the Public Facilities Development Impact Fee update have been presented to the Growth Management Oversight Commission, as applicable. Staff answered all questions of these boards and commissions, but did not seek endorsements. Page 2, Item Meeting Date 06~20~00 DISCUSSION: This discussion represents a brief recap of more detailed information contained in the Summary Report and Main Report. public Facilities Development Impact Fee Increase: The odginal fee structure did not anticipate annexation of the Otay Ranch and did not include finance costs for major PFDIF projects. Overall, projects included in the PFDIF total slightly more than $204 million, 63% of which is the responsibility of the PFDIF program. It is important to emphasize that the impact fee is calculated solely on the PFDIF share. Overall, the PFDIF is proposed to increase from $2,150 per equivalent dwelling unit (EDU) to $2,618 per El)U, an increase of $468. The fee increase, adjusted for financing costs and earned interest, is broken down as follows: Current Proposed Change Component Fee Fee per EDU Police , ~ $235 $735 +$500 Library $544 $638 +$ 94 Fire $141 $203 +$ 62 Administration $ 79 $134 +$ 55 Corp Yard /Animal Shelter $515 $386 -$129 Civic Center $527 $480 -$ 47 GIS, Computer Systems, RMS, Telecommunications $109 $ 42 $ 67 Totals $2,150 $2,618 +$468 These increases represent revisions to the ordinance, Municipal Code section 3.50.090(c). Major component changes are highlighted below. Police Facilities & Equipment: The Police component fee is projected to increase from $235 per EDU to $735 per EDU, representing the largest increase of any component. The increase is attributable to the need for a new (or expanded) police facility and the inclusion of projected financing costs, as detailed in the Summary Report. Police staff are currently preparing an RFP for a space needs analysis and design services. Library: The fee for the Library component is projected to increase from $544 per EDU to $638 per EDU. The increase is principally attributable to higher construction costs detailed in the updated Library Master Plan. The Library Master Plan calls for a 30,000 square foot library to be built in the Rancho del Rey development and a 30,000 square foot library to be built in the Otay Ranch development. Planning and design for the new Rancho del Rey facility will begin in FY2000-01. Fire Station Master Plan: The Fire Station Master Plan principally deals with the major capital-related items needed to serve new development. In order to serve the City through build out, staff recommend that City Council adopt the updated the Fire Station Master Plan which recommends expanding the current 6-station network to 9 stations. In addition to planned relocations of two existing stations, two new stations are Page 3 Item Meeting Date 06/20100 recommended for the Otay Ranch development and one for the Rolling Hills Ranch development. Administration: The fee for the Administrative Component is proposed to increase from $79 per EDU to $134 per EDU. In the past, funds for administering the PFDIF have been allocated as a general percentage of the overall project costs detailed in the other nine components. This percentage has ranged from 4.05% to 6%. The current, in-depth review of expenditures has established a more rigorous basis for projecting administrative costs. Corporation Yard: The fee is proposed to decrease from $515 to $386 per EDU. This decline resulted from the purchase and remodeling of the former SDG&E yard. Previous fees had been based on the cost for all new construction. Civic Center Expansion: Several possible lower cost options for expansion of the Civic Center Complex have been identified and are reflected in the proposed fee. It is important that a full space needs and design analysis be undertaken for the Civic Center as quickly as possible. This will ensure that the fee for this component can be modified at an early date if needed. Staff are c0r)sidefing the possibility of contracting to have such a study completed in conjunction with the police facility study. Other Proposed Ordinance Changes Public Facilities to be Financed by the Fee: An initial outcome of the 1999 Public Facilities DIF update was a re-titling of the general project components, to reflect current and future goals and objectives. This represents a minor change to the ordinance, Municipal Code section 3.50.030 (c). Time to Determine Amount Due: In very limited circumstances the situation may arise in which a Iow/moderate-income housing development has secured funding based on the then current impact fee but that actual permits will not be pulled until a new fee is in place. Staff therefore recommends a substantive modification to the current ordinance (Municipal Code section 3.50.070), allowing that the City Manager be given the discretion to permit such a development to prepay their PFDIF for up to 500 EDUs. This will help to financially protect the public-purpose project. Developer Construction of Facilities: The City's Municipal Code section 3.50.140 states the conditions under which City Council tenders developer credits or reimbursements against a Developer's Fair Share related to the construction of public facilities. The section does not, however, specify how such credits shall be calculated although an unwritten convention for doing so has existed. Staff recommends an addition to the City's Municipal Code which clarifies a process that has been in place since the Public Facilities DIF was enacted. It represents no substantive change to the actual process. Developer Transfer of Credits: To enable city staff to track the transfer of developer credits between developers, to determine who currently has the credits, and to facilitate more accurate projections when conducting various studies related to the PFDIF such as the Cash Flow Analysis, staff recommends adding a new section to the Municipal Code. The new section (3~50.155) would provide the City with timely written notice of such transfers and also specify the limitations associated with the transfer of Iow/moderate- income developer credits. Page 4, Item Meeting Date 06~20~00 Ur_clencv: It is necessary that the City's development impact fee increases for public facilities remain in effect in order that all developers of properties in the eastern section of the City pay their fair share of the cost of public facilities improvements relating to the impacts caused by their development. The fee increase is necessary due to the current and immediate threat to public safety that will result should there be a shortfall in the amount of money necessary to pay for the vadous needed public facilities, thereby resulting in a decline in police and fire service levels. The prospect of a shortfall, inadequacy of public safety facilities and concerns about an increased charge to remaining property owners constitutes a current immediate threat to the public health, welfare and safety justifying the immediate imposition of this fee. Fiscal impact Overall, staff recommends increasing the total Public Facilities Developer Impact Fee by $468, from $2,150 to $2,618 per EDU. This will be the first increase in the total fee since 1990-91. Projects included in the PFDIF total $204,484,387. Sixty-three percent ($129,118,740) is the responsibility of th~ PFDIF program. Thirty-seven pement of the total project cost ($75,366,647) is the City's .share for correcting pre-existing deficits and for joint projects. Approximately 50% of the City share has already been expended. The largest remaining project with a City share is the new police facility. It is important to recognize that substantial portions of the new development share will have to be financed. Current estimates are that the PFDIF's capital-related debt will be nearly $3,000,000 for an extended number of years. It is important to re-emphasize that the City's General Fund will be the final guarantor of that PFDIF debt. ORDINANCE NO. 2809-B AN URGENCY ORDINANCE OF THE CITY OF CHULA VISTA, CALIFORNIA, AMENDING ORDINANCE 2554 RELATING TO A DEVELOPMENT IMPACT FEE TO PAY FOR VARIOUS PUBLIC FACILITIES WITHIN THE CITY OF CHULA VISTA'S GENERAL PLAN AREA BOUNDARY WHEREAS, the City Council has placed Ordinance 2810 on its second reading which will increase the development impact fee to finance public facilities within the City of Chula Vista; and WHEREAS, pursuant to Government Code Section 66017(a), the fees increased by that ordinance will not become effective until sixty (60) days after its second reading; and WHEREAS, developments in the City which will impact various public facilities will be applying for building permits during the interim period before the development impact fee increase becomes effective; and WHEREAS, Government Code Section 66017(b) authorizes the City to adopt an interim fee as an urgency measure upon making a finding describing the current and immediate threat to the public health, welfare, and safety; and WHEREAS, state law requires said urgency ordinance to be adopted by a four-fifths vote; and WHEREAS, the current list of public facilities wes 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 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 thrgugh 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: Finding of Urgency That the 'City Council of the City of Chula Vista finds that it is necessary that its development impact fee update for public facilities remain in effect on an urgency basis for an additional thirty (30) days pending adoption of Ordinance 2810 sixty (60) days after its second reading. The City Council finds that an Urgency Ordinance is necessary in order that all developers of properties in the eastern section of the City pay their fair share of the cost of public facilities improvements relating to the impacts caused by their development. Ongoing implementation of this fee is necessary due to the current and immediate threat to public safety that will result should there be a shortfall in the amount of money necessary to pay for the various public facilities thereby resulting in a decline in police and fire service levels. The City Council finds that the prospect of a shortfall, inadequacy of public safety facilities and concerns about an increased charge to remaining property owners constitutes a current immediate threat to the public health, welfare and safety justifying the immediate imposition of this fee. SECTION 3: That Sections 3.50.030(c), 3.50.070, and 3.50.090(c) of the Chula Vista Municipal Code shall be amended to read as follows: 3.50.030 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 Up,qredes - 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 providin,q Iow- and/or moderate-income housin,q in accordance with Section III, Objective 1 of the 1991 Housin,q 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 Mana,qer. 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 $131090/acre Special Land Use $131090/acre Olympic Training Center $3,273/acre Public Purpose Exempt Non-profit Community Exempt Purpose Facility Special purposeproject $71854/acre including for-profit day care SECTION 4: 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 buildin.q permits are pulled, based on the then current Fee. SECTION 5: That Section 3.50.155 is hereby added to the Chula Vista Municipal Code as follows: Sec. 3.50.155 Developer Transfer of Credits A Developer who, in accordance with.the provisions of Sections 3.50.140 and 3.50.150, receives credits a,qainst 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 granted 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 Proiect. SECTION 6: Time limit for protest and iudicial 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 7: Expiration of this ordinance This ordinance shall be of no further force and effect 30 days after its adoption. SECTION 8: Effective Date This Ordinance shall become effective immediately upon four-fifths vote. Presented by Approved as to form by George Krempl ' ~' ~g6n M, Kaheny Assistant City Manager City Attorney COUNCIL AGENDA STATEMENT Item Meeting Date 6/20/00 ITEM TITLE: Public Hearing to consider testimony on the FY 2000/2001 levy o£ assessments £or City Open Space District No. 10. SUBMITTED BY: Director of Public Works/y ~/ REVIEWED BY: City Manager /,,aO¢ (4/Sths Vote: Yes_No X) Based upon the advice of the City Attorney, agenda items and have been separated from agenda item due to conflict of interest concerns. One Council member owns property subject to the proposed assessment in this District. Council should note that agenda statement gives all background information and details on Open Space Districts in general which is applicable to this item, but does not include specific information on Open Space District 10. RECOMMENDATION: That Council: 1) Open the hearing, take testimony, close the hearing. 2) Direct staffto return on July 25, 2000 for the second scheduled public hearing. DISCUSSION: This agenda item is the yearly resolution to assess for open space maintenance within Open Space District Number 10 located along East J Street, west of Pasco Ranchero (see Attachment A). Table 1 relates the present year's assessment to the proposed assessment for Fiscal Year 2000/2001. Agenda item of tonight's agenda contains all the general information regarding Open Space Districts. TABLE 1 PRIOR FY'S VS. FY 2000/2001 ASSESSMENT/COLLECTIBLE FY 00/01: Proposed Proposed FY 98/99 FY 99/00 FY 99/00 CAP FY 00/01 FY 00/01 FY 00/01 Assmnff Collection/ Assmnt] FY 99/00 Assmnff Collection/ Revenue EDU EDU EDU Assmt + CPI°: EDU EDU Open Space District No. 10 El Rancho del Rey 6 $89.45 $87.00 $92.67 $95.02 $95.02 $88.00 $57,937 & Casa del ReV (o FY 2000/2001 assessment may be set at or below this cap without being subject to a majority protest. Staffrecommends that the assessment remain the same as FY 1999/2000 plus a CPI of 2.54% as set forth in the Chula Vista Municipal Code. However, staff recommends a collectible of $88 per Equivalent Dwelling Unit (EDU), which is less than the assessment of $95.02. Since the budget per EDU of $91.74 exceeds the collectible amount, staff recommends utilizing the fund balance to make Page 2, Item Meeting Date 6/20/00 up the difference. Funds are available to do this because of prior years' savings and by adjusting the reserve balance. The reserve under this recommendation will be 76.00%. These figures were calculated on the basis of a net assessment of $57,804.00 and a total of 658.37 EDU's, as shown in Attachment B. Because this District was formed as a result of a 100% petition by the land owners and the assessment is not being raised above the CPI, as provided for in the assessment formula, this district is exempt from the provision of Proposition 218. FISCAL IMPACT: Staff costs associated with the open space program are generated by Public Works (including Open Space staff), Data Processing and Finance. Contractual costs ($29,448) are outlined in Attachment B. These costs are recovered through the Open Space District collectible, causing no net fiscal impact. The General Fund will be reimbursed ~$8,941 from the OSD fund for FY 2000/2001. Attachments: A District Map B Estimate of Cost .:\HOME\ENGINEER~AGENDA\OSDI0pI.TOM 0725 30-OSD 10 COUNCIL AGENDA STATEMENT Item / Meeting Date 6/20/00 ITEM TITLE: Public Hearing to consider testimony on the FY 2000/2001 levy of assessments for City Open Space District No. 14. SUBMITTED BY: Director of Public Works~ REVIEWED BY: City Manager la  ,~ ~0~ (4/5ths Vote: Yes No X ) Based upon the advice of the City Attorney, agenda items and have been separated from agenda item due to conflict of interest concerns. One Council member owns property subject to the proposed assessment in this District. Council should note that agenda statement gives all background information and details on open space districts in general which is applicable to this item, but does not include specific information on Open Space District 14. RECOMMENDATION: That Council: 1) Open the hearing, take testimony, close the hearing. 2) Direct staff to return on July 25, 2000 for the second scheduled public hearing. DISCUSSION: This agenda item is the yearly resolution to assess for open space maintenance within Open Space District Number 14 located along the North and South of Country Vistas Lane (see Attachment A). Table 1 relates the present year's assessment to the proposed assessment for Fiscal Year 2000/2001. Agenda item of tonight's agenda contains all the general information regarding Open Space Districts. TABLE 1 PRIOR FY'S VS. FY 2000/2001 ASSESSMENT/COLLECTIBLE FY 00/01 Proposed Proposed FY 98/99 FY 99/00 FY 99/00 CAP: FY 00/01 FY 00/01 FY 00/01 Assmnff Collection~Assrnnt/ FY99/00 Assnmt/ Collection/ Revenue EDU EDU EDU Assmt +CPI°) EDU EDU Open Space District No. 14 ! Bonita Long Canyon $290.98 $291.00 $301.46 $309.11 $309.11 $293.00 $255,894 (~) FY 2000/2001 assessment may be set at or below this cap without being subject to a majority protest Staff recommends that the assessment remain the same as FY 1999/2000 plus a CPI of 2.54% as set forth in the Chula Vista Municipal Code. However, staff recommends a collectible of $293.00 per Equivalent Dwelling Unit (EDU), which is less than the assessment of $309.11 per EDU. Since the Page 2, Item Meeting Date 6/25/00 budget per EDU of $301.87 exceeds the collectible amount, staff recommends utilizing the fund balance to make up the difference. Funds are available to do this because of prior years' savings and by adjusting the reserve balance. The reserve under this recommendation will be 81.00%. These figures were calculated on the basis ora net assessment of $255,482.00 and a total of 873.36 EDU's, as shown in Attachment B. Because this District was formed as a result of a 100% petition by the land owners and the assessment is not being raised above the CPI, as provided for in the assessment formula, this District is exempt from the provisions of Proposition 218. FISCAL IMPACT: Staffcosts associated with the open space program are generated by Public Works (including Open Space staff), Data Processing and Finance. Contractual costs ($109,647) are outlined in Attachment B. These costs are recovered through the Op~en Space District collectible, causing no net fiscal impact. The General Fund will be reimbursed $37,695 from the OSD fund for FY 2000/2001. Attachments: A District Map B Estimate of Cost H:\HOME\ENGINEERLa. GENDA\OSD 14p I .TOM 0725-30-OSD 14 COUNCIL AGENDA STATEMENT Item Meeting Date 6/20/00 ITEM TITLE: Public Hearing to consider testimony of the FY 2000/2001 levy and collection of assessments for City Open Space Districts 1-9, 11, 15, 17, 18, 20, 23, 24, 26, 31, 33, Bay Boulevard, Town Centre and Eastlake Maintenance District No. 1. SUBMITTED BY: Director of Public Work~/,~''~ REVIEWED BY: City Manager ~ OF' (4/Sths Vote: The City administers 25 Open Space Districts established over the last twenty-five years. The districts provide the mechanism to finance the maintenance of common open space areas (canyons, trails, medians, etc.) associated with and benefitting that particular development. As part of this process, a levy of an annual assessment is necessary to enable the City to collect funds for the proposed open space maintenance. Tonight's action continues the process for Fiscal Year 2000/2001. On May 23, 2000, Council approved the open space reports on assessments for all existing Open Space Districts and set a public hearing for tonight to take testimony on the proposed assessments. A second public hearing is scheduled for July 25, 2000. RECOMMENDATION: That Council: 1) Open the hearing, take testimony, close the hearing. 2) Direct staff to return on July 25, 2000 for the second scheduled public hearing. BOARDS/COMMISSIONS RECOMMENDATION: N/A DISCUSSION: This agenda statement is the yearly resolution of intention to assess property owners for open space maintenance within the City. Table 1 contains the name and location of the Districts. Table 2 relates the present year's assessment to the proposed assessment and collectible for FY 2000/2001. Following Table 2, there is some general information that applies to all the Districts and then each District is analyzed individually. That is followed by a description of the noticing that is required. As a final note, Council should be advised that two separate agenda items contain the same information on Open Space Districts No. 10 and No. 14 which were separated due to conflict of interest concerns. Pursuant to Article 4, Chapter 1, Part 2 of the Division 15 of the Califomia Streets and Highways Code, also known as "Landscaping and Lighting Act of 1972" and the City of Chula Vista Municipal Code, Chapter 17.07-Open Space Districts, the City Engineer has prepared and filed the annual reports for all existing Open Space Disthcts in the City. The name and location of each Open Space District is shown in the following table. Page 2, Item Meeting Date 6/20/00 TABLE 1 Open Space Districts Within the City of Chula Vista Space District Name Location No. I E1 Rancho del Rey Units 1-4 Between East H Street and Telegraph Canyon Road east of Paseo Ranchero 2 Lark Haven South and east of Loma Verde Park 3 Rancho Robinhood Units 1 & 2 South of Allen School Lane 4 Bonita Ridl~e cammo Elevado 5 Southbay Villas Northern end of Crest Drive 6 Hilltop Vista Camino Vista Road 7 Zenith Units 2, 3, and 4 North and south of Palomar, east of I~805 8 Rancho Robmhood Unit 3 Surrey Drive 9 El Rancho del Rey Units Paseo del Rey, north of Telegraph Canyon Road 10 El Rancho del Rey 6 & Casa del Rey West of Paseo Rancho between H and J Streets 11 Hidden Vista Village East H Street, east of 1-805 14 Bonita Long Canyon North of East H Street between Otay Lakes Road and Corral Canyon Road 15 Bonita Haciendas Canyon Drive, east of Otay Lakes Road 17 Bel Air Ridge Northeast o£Paseo Ladera and East J Street 18 Rancho del Sar Easterly end of East Naples Street 20 Rancho del Rey North of East H Street, west of Otay Lakes Road 23 Otay Rio Business Park West of Heritage/Otay Valley Road, south of Otay Rio Road 24 Canyon View Homes Rut~ers Avenue, south of East H Street 26 Park Bonita West of the intersection of E Street and Bonita Road 31 Telegraph Canyon Estates North of Otay Lakes Rd.? west of"SR 125" 33 Broadway Business Home Village West side of Broadway between J Street and K Street Boulevard Bay Boulevard Bay Boulevard between E Street and F Street Town Centre Town Centre Third Avenue between E Street and G Street ELMD #1 Eastlake Maintenance District Along East H Street and Otay Lakes Road, adjacent to RR19q reports were prepared by the City Engineer or under his direction and are presented to Council for in order to proceed with the public heatings set for tonight and for July 25, 2000 at 6:00 p.m. in accordance with the Landscaping and Lighting Act of 1972. The reports cover Districts listed in Table 1. Page 3, Item__ Meeting Date 6/20/00 Staff proposes for FY 2000/2001 that the assessment be kept within that amount previously approved, increasing the FY 1999/2000 assessment by an inflation factor. In all cases, staff has set each collectible lower than the proposed assessment for each District. Per the City's Municipal Code, the inflation factor is the lesser of the January to January San Diego Metropolitan Area All Urban Consumer Price Index (CPI) or the change in the estimated California fourth quarter per capita personal income as contained in the Govemor's budget published in January of each calendar year. The CPI increase between January 1999 and January 2000 was 3.64%. The change in the estimated California fourth quarter personal income was 3.79%. Therefore, staffused the CPI increase, which was the lesser of the two figures. The CPI increase used for calculating the FY 1999/2000 assessments was inadvertently too high. Last year, staff used a CPI of 3.73% instead of the actual amount of 2.5%. In order to correct this, staff is using the CPI increase between January 1998 and January 2000 of 6.23% and prorating the cost increase for January 1999 to January 2000, to be 2.54%. Thus, the total CPI increase for the two year period is correct. Assessment increases equal to the CPI are not subject to majority protest. Only assessment increases over the CPI are subject to majority protest. All of the Districts were formed as the result of a 100% petition by the land owners and are exempt from the provisions of Proposition 218. Assessments & Collectibles ~ Ordinance 2631 also made the distinction between the assessment and the amount that the City may collect against the assessment (collectible). The assessments for FY 2000/2001 are proposed at FY 1999/2000 amounts increased by the inflation factor (CPI) pursuant to Municipal Code Section 17.07.035. The collectibles, on the other hand, are equal to or less than the proposed assessments based on the budget, reserve requirement, savings and fund balances, including interest earnings and prior years' savings. Under staffs recommendation, none of the Open Space Districts are subject to a majority protest on the increase. The proposed assessments and collectibles for Fiscal Year 2000/2001 are as follows: TABLE 2 PRIOR FY'S VS. FY 2000/2001 ASSESSMENT/COLLECTIBLE FY 00/01 Proposed Proposed OSD FY 98/99 FY 99/00 FY 99/00 CAP: FY 00/01 FY 00/01 FY 00/01 AssmntJ Collection/ Assmnt/ FY 99/00 AssmntJ Collection/ Revenue EDU EDU EDU Assmt +CPI(2) EDU EDU I $90.60 $40.00 $93.86 $96.25 $96.25 $47.00 $31,104 2 42.04 33.00 43.55 44.66 44.66 35.00 8,715 3 287.74 286.00 298.10 305.67 305.67 288.00 36,576 4 303.92 223.00 314.86 322.86 322.86 235.00 49,350 5 296.37 175.00 307.04 314.84 314.84 180.00 21,960 6 146.56 76.00 151.84 155.69 155.69 76.00 12,312 7 102.38 88.00 106.07 108.76 108.76 89.00 9,256 8 467.72 363.00 484.56 496.86 496.86 362.00 39,820 9 132.55 132.00 137.32 140.81 140.81 134.00 51,456 11 90.52 53.00 93.78 96.16 96.16 61.00 80,583 15 279.17 213.00 289.22 296.56 296.56 221.00 12,597 17 133.63 42.00 138.44 141.96 141.96 43.00 1,978 18 315.77 221.00 327.13 335.45 335.45 223.00 97~005 17-3 Page 4, Item Meeting Date 6/20/00 FY 00/01 Proposed Proposed OSD FY 98/99 FY 99/00 FY 99/00 CAP: FY 00/01 FY 00/01 FY 00/01 Assmnt/ Collection/ Assmnt/ FY 99/00 Assmnt/ Collection/ Revenue EDU EDU EDU Assmt +CPI(2) EDU EDU 20 908,621 Zone 1 DB $48.80 $0.00 $50.56 $51.84 $51.84 $0.00 (3: Zone 2 RC 3.71 3.84 3.84 3.94 3.94 3.93 (3: Zone 3 H 5.28 4.38 5.47 5.61 5.61 4.27 (3) Zone 4 BC 19.66 ~ 20.37 20.37 20.88 20.88 20.85 (3) Zone 5 I 296.53 307.20 307.20 315.00 315.00 310.80 (3) Zone 6 II 227.84 163.23 236.04 242.03 242.03 134.40 (3) Zone 7 III 140.64 145.70 145.70 149.40 149.40 149.39 (3) Zone 8 NDB 32.42 0.00 33.59 34.44 34.44 0.00 (3) Zone 9 TCC 25.75 13.23 26.65 27.35 27.35 l 3.24 (3) 23 361.03 85.00 374.03 383.53 383.53 94.00 8,382 24 541.01 447.00 560.48 574.72 574.72 448.00 17,920 26 424.61 228.00 439.90 451.07 451.07 229.00 4,351 31 438.62 1.00 45~4.41 465.95 465.95 1.00 345 33 1,084.01 0.00 1,123.03 1,151.55 1,151.55 0.00 0 Bay Boulevard(4) 1,391.30 815.33 815.33 845.07 845.07 845.07 5,400 Town Centre(s) 48.5 ,023443 .095222 ~098688 ,098688 .034804 17,841 Easflake No. 1 Zone A Eastlake I 10.04 9.07 10.40 10.67 10.67 9.70 (4) Zone B Greens 16.42 12.13 17.01 l 7.44 17.44 12.90 (4~ Zone C OTC I36.00 6.12 140.90 144.47 144.47 5.80 (4) Zone D Salt Creek 181.38 175.44 187.91 192.68 192.68 177.79 (4) Zone E TC Channel 25.86 13.28 26.79 27.47 27.47 I2.88 (4) (1)Represented average residential assessment in SPA I. (2)FY 2000/2001 assessment may be set at or below this cap without being subject to a majority protest. (3)Revenue for all Zones included in overall District 20/ELMD #1 amount. (4)Bay Blvd. Rates based on acres for FY 1999/2000 and 2000/2001 (5)Town Centre Rates based on lot square footage for FY 1999/2000 and 2000/2001 In general, most budgets have increased due to adjustments in water and contract services. The increase in water is due to projected rate increases and the increase in contract services is due to a CPI clause on contracts. Savings from prior years are proposed to be used to supplement the property owners collections to provide the revenue needed for FY 2000/2001 maintenance while maintaining reserves between 50%-65% (City Code requires reserves between 50%-100%). Staff typically does not retain reserves above 65% in consideration of property owners direction to return as much excess funds as practical. However, where maintaining a 65% reserve could result in future steep rate increases (i.e., the budget for the District is higher than the collectible), staff recommends maintaining the current rate. For those Districts where the reserve still exceeds 50-65%, staff recommends using the savings to offset some of the assessments to give lower collectibles. This practice should help avoid reserves in excess of 100% in future years, thereby avoiding Page 5, Item Meeting Date 6/20/00 processing refund checks. Staff generally tries to keep the assessments within the CPI amount allowed by the Municipal Code each year. The following summarizes the major changes for each District. Pursuant to the ordinance, staff has made a distinction between the assessment and collectible amount; the assessment, estimated cost and collection will become the same number whenever an increase in assessment is necessary. The proposed assessment per EDU for FY 2000/2001 represents, in all cases, the prior year's assessment with an inflation factor of 2.54%. The assessment per EDU is the figure to be mailed to the property owners and the collectible is the amount to be collected which is affected by reserves, savings, etc. The collectible per EDU reflects impacts of the reserve requirements, ending fund balances and savings. For a detailed outline, see Attachment A. FY 00/01 Proposed Proposed FY 98/99 FY 99/00 FY 99/00 CAP: FY 00/01 FY 00/01 FY 00/01 Assmnt/ Collection/ AssmntY FY 99/00 Assmnt/ Collection/ Revenue EDU EDU EDU Assmt + CPI EDU EDU OSD No. I $90.60 $40.00 $93.86 $96.25 $96.25 $47.00 $31,104 El Rancho del Rey Units i-4 · Staff recommends that the assessment remain the same as FY 1999/2000 plus a CPI of 2.54% as set forth in the Chula Vista Municipal Code. However, staff recommends a collectible of $47.00 per Equivalent Dwelling Unit (EDU), which is less than the assessment of $96.25. Since the budget per EDU of $77.15 exceeds the collectible amount, staff recommends utilizing the fund balance to make up the difference. Funds are available to do this because of prior years' savings and by adjusting the reserve balance. The reserve under this recommendation will be 60.00%. The General Fund will be reimbursed $7,762 for City staff services from the Open Space Disthct Fund for FY 2000/2001. These figures were calculated on the basis of a net assessment of $30,931.00 and a total of 661.79 EDU's, as shown in Attachment A. FY 00/01 Proposed Proposed FY 98/99 FY 99/00 FY 99/00 CAP: FY 00/01 FY 00/01 FY 00/01 Assmnt/ Collection/ Assnm~Y FY 99/00 Assmnt/ Collection/ Revenue EDU EDU EDU Assmt + CPI EDU EDU I OSD No. 2 $42.04 $33.00 $43.55 $44.66 $44.66 $35.00 $8,715 Lark Haven Staff recommends that the assessment remain the same as FY 1999/2000 plus a CPI of 2.54% as set forth in the Chula Vista Municipal Code. However, staff recommends a collectible of $35.00 per EDU, which is less than the assessment of $44.66. Since the budget per EDU of $45.33 exceeds the collectible amount, staff recommends utilizing the fund balance to make up the difference. Funds are available to do this because of prior years' savings and by adjusting the reserve balance. The reserve under this recommendation will be 80.00%. The General Fund will be reimbursed $2,144 for City staff services from the Open Space District Fund for FY 2000/2001. These figures were calculated on the basis of a net assessment of $8,808.00 and a total of 249.00 EDU's, as shown in Attachment A. Because the budget exceeds the proposed assessment, Public Works (including Open Space staff) will review the District's budget and reserve in future years in an attempt to lower the budget and to determine whether there are additional savings. Page 6, Item Meeting Date 6/20/00 FY 00/01 Proposed Proposed FY 98/99 FY 99/00 FY 99/00 CAP: FY 00/01 FY 00/01 FY 00/01 Assmnt/ Collection/ Assmnt/ FY 99/00 Assmnff Collection/ Revenue EDU EDU EDU Assmt + CPI EDU EDU OSD No. 3 $287.74 $286.00 $298.10 $305.67 $305.67 $288.00 $36,576 Rancho Robinhood Units 1 & 2 Staff recommends that the assessment remain the same as FY 1999/2000 plus a CPI of 2.54% as set forth in the Chula Vista Municipal Code. Staffrecommends a collectible of $288.00 per EDU, which is less than the assessment of $305.67. Since the budget per EDU of $320.04 exceeds the collectible amount, staff recommends utilizing the fund balance to make up the difference. Funds are available to do this because of prior years' savings and by adjusting the reserve balance. The reserve under this recommendation will be 80.00%. The General Fund will be reimbursed $6,290 for City staff services from the Open Space District Fund for FY 2000/2001. These figures, were calculated on the basis of a net assessment of $36,519.00 and a total of 127.00 EDU's, as shown in Attachment A. Because the budget exceeds the proposed assessment, Public Works (including Open Space staff) will review the District's budget and reserve in future years in an attempt to lower the budget and to determine whether there are additional savings. FY 00/01 Proposed Proposed FY 98/99 FY 99/00 FY 99/00 CAP: FY 00/01 FY 00/01 FY 00/01 Assmnt/ Collection/ Assmnt/ FY 99/00 Assmnff Collection/ Revenue EDU EDU EDU Assmt + CPI EDU EDU OSD No. 4 $303.92 $223.00 $314.86 $322.86 $322.86 $235.00 $49,350 Bonita Ridge Staff recommends that the assessment remain the same as FY 1999/2000 plus a CPI of 2.54% as set forth in the Chula Vista Municipal Code. However, staffrecommends a collectible of $235.00 per EDU, which is less than the assessment of $322.86 per EDU. Since the budget per EDU of $279.80 exceeds the collectible amount, staff recommends utilizing the fund balance to make up the difference. Funds are available to do this because of prior years' savings and by adjusting the reserve balance. The reserve under this recommendation will be 64.00%. The General Fund will be reimbursed $8,818 for City staff services from the Open Space District Fund for FY 2000/2001. These figures were calculated on the basis of a net assessment of $49,315.00 and a total of 122.00 EDU's, as shown in Attachment A. FY 00/01 Proposed Proposed FY 98/99 FY 99/00 FY 99/00 CAP: FY 00/01 FY 00/0l FY 00/01 Assmnt/ Collection/ Assmnt/ FY 99/00 Assmnff Collection/ Revenue EDU EDU EDU Assmt + CPI EDU EDU OSD No. 5 $296.37 $175.00 $307.04 $314.84 $314.84 $180.00 $21,960 Southbay V llas Page 7, Item Meeting Date 6/20/00 Staff recommends that the assessment remain the same as FY 1999/2000 plus a CPI of 2.54% as set forth in the Chula Vista Municipal Code. However, staff recommends a collectible of $180.00 per EDU, which is less than the assessment of $314.84 per EDU. Since the budget per EDU of $259.27 exceeds the collectible amount, staff recommends utilizing the fund balance to make up the difference. Funds am available to do this because of prior years' savings and by adjusting the reserve balance. The reserve under this recommendation will be 65.00%. The General Fund will be reimbursed $5,012 for City staff services from the Open Space District Fund for FY 2000/2001. These figures were calculated on the basis of a net assessment of $21,982.00 and a total of 122.00 EDU's, as shown in Attachment A. FY 00/01 Proposed Proposed FY 98/99 FY 99/00 FY 99/00 CAP: FY 00/01 FY 00/01 FY 00/01 Assmnff Collection/ Assmnt/ FY 99/00 Assmnt/ Collection/ Revenue EDU EDU EDU Assmt + CPI EDU EDU OSD No. 6 $146.56 $76.00 $151.84 $155.69 $155.69 $76.00 $12,312 Hilltop Vista Staff recommends that the assessment remain the same as FY 1999/2000 plus a CPI of 2.54% as set forth in the Chula Vista Municipal Code. However, staff recommends a collectible of $76.00 per EDU, which is less than the assessment of $155.69 per EDU. Since the budget per EDU of $97.40 exceeds the collectible amount, staff recommends utilizing the fund balance to make up the difference. Funds are available to do this because of prior years~ savings and by adjusting the reserve balance. The reserve under this recommendation will be 75.00%. The General Fund will be reimbursed $2,777 for City staff services from the Open Space District Fund for FY 2000/2001. These figures were calculated on the basis of a net assessment of $12,324.00 and a total of 162.00 EDU's, as shown in Attachment A. FY 00/01 Proposed Proposed I FY 98/99 FY 99/00 FY 99/00 CAP: FY 00/01 FY 00/01~ FY 00/01 Assmnt/ Collection/ Assnmff FY 99/00 Assmnff Collection/ Revenue EDU EDU EDU Assmt + CPI EDU EDU OSD No. 7 - Zenith $102.38 $88.00 $106.07 $108.76 $108.76 $89.00 $9,256 Un ts 2,3,&4 Staff recommends that the assessment remain the same as FY 1999/2000 plus a CPI of 2.54% as set forth in the Chula Vista Municipal Code. However, staffrecommends a collectible of $89.00 per EDU, which is less.than the assessment of $108.76 per EDU. Since the budget per EDU of $102.38 exceeds the collectible amount, staff recommends utilizing the fund balance to make up the difference. Funds am available to do this because of prior years' savings and by adjusting the reserve balance. The reserve under this recommendation will be 82.00%. The General Fund will be reimbursed $2,055 for City staff services from the Open Space District Fund for FY 2000/2001. These figures were calculated on the basis of a net assessment of $9,241.00 and a total of 104.00 EDU's, as shown in Attachment A. I FY 00/01 Proposed Proposed FY 98/99 FY99/00 FY99/00 CAP: FY 00/01 FY 00/01 FY 00/01 Assmnt/ Collection/ Assrnnt/ FY99/00 Assmnt/ Collection/ Revenue EDU EDU EDU Assmt + CPI EDU EDU Page 8, Item Meeting Date 6/20/00 RanchoOSD NO.Robinhood8 Unit $467.72 $363.00 $484.56 $496.86 $496.86 $362.00 $39,820 Staff recommends that the assessment remain the same as FY 1999/2000 plus a CPI of 2.54% as set forth in the Chula Vista Municipal Code. Staff recommends a collectible of $362.00 per EDU, which is less than the assessmentof$496.86per EDU. Since the budget perEDUof$409.95 exceedsthe collectible amount, staff recommends utilizing the fund balance to make up the difference. Funds are available to do this because of prior years' savings and by adjusting the reserve balance. The reserve under this recommendation will be 73.00%. The General Fund will be reimbursed $6,892 for City staff services from the Open Space District Fund for FY 2000/2001. These figures were calculated on the basis of a net assessment of $39,833.00 and a total of 110.00 EDU's, as shown in Attachment A. FY 00/01 Proposed Proposed FY 98/99 FY 99/00 FY 99/00 CAP: FY 00/01 FY 00/01 FY 00/01 Assnmt/ Collection/ Assmnff FY 99/00 Assmnff Collection/ Revenue EDU EDU EDU Assmt + CPI EDU EDU IOSDNo. 9 $132.55 $132.00 $137.32 $140.81 $140.81 $134.00 $51,456 E1 Rancho del Re), Units Staff recommends that the assessment remain the same as FY 1999/2000 plus a CPI of 2.54% as set forth in the Chula Vista Municipal Code. However, staff recommends a collectible of $134.00 per EDU, which is less than the assessment of $140.81 per EDU. Since the budget per EDU of $156.29 exceeds the collectible amount, staff recommends utilizing the fund balance to make up the difference. Funds are available to do this because of prior years' savings and by adjusting the reserve balance. The reserve under this recommendation will be 76.00%. The General Fund will be reimbursed $9,024 for City staff services from the Open Space District Fund for FY 2000/2001. These figures were calculated on the basis ora net assessment of $51,588.00 and a total of 384.00 EDU's, as shown in Attachment A. Because the budget exceeds the proposed assessment, Public Works (including Open Space staff) will review the District's budget and reserve in future years in an attempt to lower the budget and to determine whether there are additional savings. FY 00/01 Proposed Proposed FY 98/99 FY 99/00 FY 99/00 CAP: FY 00/01 FY 00/01 FY 00/01 Assmnt/ Collection/ Assmnt/ FY 99/00 Assnmt/ Collection/ Revenue EDU EDU EDU Assmt + CPI EDU EDU OSD No. 11 $90.52 $53.00 $93.78 $96.16 $96.16 $61.00 $80,583 H dden Vista Village Staff recommends that the assessment remain the same as FY 1999/2000 plus a CPI of 2.54% as set forth in the Chula Vista Municipal Code. Staff recommends a collectible of $61.00 per EDU, which is less than the assessment of $96.16 per EDU. Since the budget per EDU of $102.40 exceeds the collectible amount, staff recomanends utilizing the fund balance to make up the difference. Funds are available to do this because of prior years' savings and by adjusting the reserve balance. The reserve under this recommendation will be 55.00%. The General Fund will be reimbursed $34,474 for City staff services from the Open Space t I ! 1[ Page 9, Item Meeting Date 6/20/00 District Fund for FY 2000/2001. These figures were calculated on the basis of a net assessment of $80,567.00 and a total of 1,321.03 EDU's, as shown in Attachment A. Because the budget exceeds the proposed assessment, Public Works (including Open Space staff) will review the District's budget and reserve in future years in an attempt to lower the budget and to determine whether there are additional savings. FY 00/01 Proposed Proposed FY 98/99 FY 99/00 FY 99/00 CAP: FY 00/01 FY 00/01 FY 00/01 Assmnt] Collection/ Assmnt/ FY 99/00 Assmnff Collection/ Revenue EDU EDU EDU Assmt + CPI EDU EDU OSD No. 15 $279.17 $213.00 $289.22 $296.56 $296.56 $221.00 $12,597 Bon ta Haciendas Staffrecommends that the assessment remain the same as FY 1999/2000 plus a CPI of 2.54% as set forth in the Chula Vista Municipal Code. Staff recommends a collectible of $221.00 per EDU, which is less than the assessment of $296.56 per EDU. Since the budget per EDU of $284.25 exceeds the collectible amount, staff recommends utilizing the fund balance to make up the difference. Funds are available to do this because of prior years' savings and by adjusting the reserve balance. The reserve under this recommendation will be 68.00%. The General Fund will be reimbursed $2,825 for City staffservices from the Open Space District Fund for FY 2000/2001. These figures were calculated on the basis of a net assessment of $12,600.00 and a total of 57.00 EDU's, as shown in Attachment A. FY 00/0l Proposed Proposed FY 98/99 FY 99/00 FY 99/00 CAP: FY 00/01 FY 00/01 FY 00/01 Assmnt/ Collection/ Assmnt/ FY 99/00 Assmnff Collection/ Revenue EDU EDU EDU Assmt + CPI EDU EDU OSD No. 17 $133.63 $42.00 $138.44 $141.96 $141.96 $43.00 $1,978 Bel Air Ridge Staffrecommends that the assessment remain the same as FY 1999/2000 plus a CPI of 2.54% as set forth in the Chula Vista Municipal Code. However, staff recommends a collectible of $43.00 per EDU, which is less than the assessment of $141.96 per EDU. Since the budget per EDU of $116.28 exceeds the collectible amount, staff recommends utilizing the fund balance to make up the difference. Funds are available to do this because of prior years' savings and by adjusting the reserve balance. The reserve under this recommendation will be 95.00%. The General Fund will be reimbursed $2,336 for City staff services from the Open Space District Fund for FY 2000/2001. These figures were calculated based on a net assessment of $1,985.00 and a total of 46.00 EDU's, as shown in Attachment A. FY 00/01 Proposed Proposed FY 98/99 FY99/00 FY99/00 CAP: FY 00/01 FY 00/01 FY 00/0l Assmnt/ Collection/ Assmnt/ FY99/00 Assmnff Collection/ Revenue EDU EDU EDU Assmt + CPI EDU EDU OSD No. 18 $315.77 $221.00 $327.14 $335.45 $335.45 $223.00 $97,005 Rancho del Sur Page 10, Item Meeting Date 6/20~00 Staffrecommends that the assessment remain the same as FY 1999/2000 plus a CPI of 2.54% as set forth in the Chula Vista Municipal Code. However, staffrecommends a collectible of $223.00 per EDU, which is less than the assessment of $335.45 per EDU. Since the budget per EDU of $264.15 exceeds the collectible amount, staff recommends utilizing the fund balance to make up the difference. Funds are available to do this because of prior years' savings and by adjusting the reserve balance. The reserve under this recommendation will be 76.00%. The General Fund will be reimbursed $16,547 for City staff services from the Open Space District Fund for FY 2000/2001. These figures were calculated on the basis ora net assessment of $97,023.00 and a total of 435.00 EDU's, as shown in Attachment A. FY 00/01 Proposed Proposed FY 98/99 FY 99/00 FY 99/00 CAP: FY 00/01 FY 00/01 FY 00/01 AssmntY Collection/ Assmnt/ FY 99/00 Assmnt/ Collection/ Revenue EDU EDU EDU Assmt + CPI EDU EDU OSD No. 20 $908,621 Rancho del Re), Zone 1 - Desilt Basin $48.80 $0.00 $50.56 $51.84 $51.84 $0.00 (3) Zone 2 - Rice Can),on 3.71 3.84 3.84 3.94 3.94 3.93 (3) Zone 3 - H St. 5.28 4.38 ~ 5.47 5.61 5.61 4.27 (3) Zone 4 - Business 19.66 20.37 20.37 20.88 20.88 20.85 (3) Centre Zone 5 - SPA I 296.53 307.20 307.20 315.00 315.00 310.80 Zone 6 - SPA II 227.84 163.23 236.04 242.03 242.03 134.40 (3) Zone 7 - SPA III 140.64 145.70 145.70 149.40 149.40 149.39 Zone 8 - North Desilting 32.42 0.00 33.59 34.44 34.44 0.00 (3) Basin Zone 9 - Telegraph 25.75 13.23 26.65 27.35 27.35 13.24 Canyon Channel (3) Revenue for all zones included in overall District 20 amount. Rancho del Rey is a phased development of three Sectional Planning Areas (SPA). SPA 1 is almost completely developed, SPA II and SPA III homes are under construction. The OSD was established in 1989 encompassing all three areas with the understanding that the open space improvements would be constructed in phases. Because this is a large District and not all of the items to be maintained have a benefit to the entire District, OSD 20 is made up of several Zones as indicated above. Every property within the District is in more than one Zone. TABLE 3 Typical Combined Assessment (FY 2000/2001) SPA I (Zones 1 or 8, 2, 3, & 5) $342 SPA II (Zones 1 or 8, 2, 3, & 6) $304 SPA III (Zones I or 9, 3, & 7) $166 Business Centre (Zones 1, 2, 3, & 4) * · Industrial (per acre) $944 · Commercial (per acre) $1,187 Page 11, Item Meeting Date 6/20/00 Staffrecommends that the assessments rema'm the same for each Zone as FY 1999/2000 plus a CPI of 2.54% as set forth in the Chula Vista Municipal Code. In each of these Zones, staff recommends a collectible which is equal to or below the proposed assessment. The reserves for each Zone vary depending upon the budgets, reserves and amortized costs (see budget worksheet). The reserve requirement for this District is acceptable, pursuant to City Municipal Code. The General Fund will be reimbursed $139,274 for City staff services from the Open Space District Fund for FY 2000/2001. As shown in the worksheet included in the May 23, 2000 agenda statement for Resolution No.2000-165, Zone 2 showed a deficit for FY 2000/2001 even with the collectible equal to the maximum assessment. In reviewing the accounting for this Open Space District, staff noticed that the fired balance for the District was approximately $1,528,000 as of May 31, 2000, while only $1,152,851 had been allocated to various zones to cover amortized costs and the reserve requirements. It is recommended that $15,060 of the $375,149 difference be used to balance the budget for Zone 2. FY 00/01 Proposed Proposed FY 98/99 FY 99/00 FY 99/00 CAP: FY 00/01 FY 00/01 FY00/01 Assmnt/ Collection/ Assmnt] FY 99/00 ^ssmnff Collection/ Revenue EDU EDU EDu Assmt + CPI EDU EDU OSD No. 23 - Otay $361.03 $85.00 $374.03 $383.53 $383.53 $94.00 $8,382 Rio Business Park Staff recommends that the assessment remain the same as FY 1999/2000 plus a CPI of 2.54% as set forth in the Chula Vista Municipal Code. However, staff recommends a collectible of $94.00 per EDU, which is less than the assessment of $383.53 per EDU. Since the budget per EDU of $145.07 exceeds the collectible amount, staff recommends utilizing the fund balance to make up the difference. Funds are available to because of prior years' savings and by adjusting the reserve balance. The reserve under this recommendation will be 55.00%. The General Fund will be reimbursed $2,379 for City staffservices from the Open Space District Fund for FY 2000/2001. These figures were calculated on the basis of a net assessment of $8,389.00 and a total of 89.17 EDU's, as shown in Attachment A. Additional improvements are proposed to be added to this district along Otay Valley Road. Since these improvements will probably increase the assessment amount above the amount authorized for this district, a separate addendum to this district is planned to be taken to Council within the next month. FY 00/01 Proposed Proposed FY 98/99 FY 99/00 FY 99/00 CAP: FY 00/01 FY 00/01 FY 00/01 Assmnt/ Collection/ Assmnt FY 99/00 Assmnt/ Collection/ Revenue EDU EDU EDU Assmt + CPI EDU EDU OSD No. 24 $541.01 $447.00 $560.49 $574.72 $574.72 $448.00 $17,920 Canyon View Homes Note: OSD 24 consists of only 40 townhomes sharin~ in the cost of large, landscaped slopes adjacent to the townhomes. Staffrecommends that the assessment remain the same as FY 1999/2000 plus a CPI of 2.54% as set forth in the Chula Vista Municipal Code. However, staffrecommends a collectible of $448.00 per EDU, which is less than the assessment of $574.72 per EDU. Since the budget per EDU of $540.60 exceeds the collectible amount, staff recommends utilizing the fund balance to make up the difference. Funds are available to do this because of prior years' savings and by adjusting the reserve balance. The reserve under / ' I' · Page 12, Item Meeting Date 6/20/00 this recommendation will be 72.00%. The General Fund will be reimbursed $1,479 for City staff services from the Open Space District Fund for FY 2000/2001. These figures were calculated on the basis ora net assessment of $4,342.00 and a total of 19.00 EDU's, as shown in A~tachment A. FY 00/01 Proposed Proposed FY 98/99 FY 99/00 FY 99/00 CAP: FY 00/01 FY 00/01 FY 00/01 Assrnnt/ Collection/ Assnmt/ FY 99/00 Assmnt] Collection/ Revenue EDU EDU EDU Assmt + CPI EDU EDU OSD No. 26 $424.61 $228.00 $439.90 $451.07 $451.07 $229.00 $4,351 Park Bonita Staff recommends that the assessment remain the same as FY 1999/2000 plus a CPI of 2.54% as set forth in the Chula Vista Municipal Code. However, staff recommends a collectible of $229.00 per EDU, which is less than the assessment of $451.07 per EDU. Since the budget per EDU of $352.89 exceeds the collectible amount, staff recommends utilizing the fund balance to make up the difference. Funds are available to do this because of prior years' savings and by adjusting the reserve balance. The reserve under this recommendation will be 72.00%. The General Fund will be reimbursed $1,479 for City staff services from the Open Space District Fund for FY 2000/2001. These figures were calculated on the basis of a net assessment of $4,342.00 and a total of 19.00 EDU's, as shown in Attachment A. FY 00/01 Proposed Proposed FY 98/99 FY 99/00 FY 99/00 CAP: FY 00/01 FY 00/0l FY 00/01 Assmnt] Collection/ Assrnn~ FY 99/00 Assmnff Collection/ Revenue EDU EDU EDU Assmt + CPI EDU EDU OSD No. 31 $438.62 $1.00 $454.4I $465.95 $465.95 $1.00 $345 Telegraph Canyon Estates Staffrecommends that the assessment remain the same as FY 1999/2000 plus a CPI of 2.54% as set forth in the Chula Vista Municipal Code. However, staff recommends a collectible of $1.00 per EDU, which is less than the assessment of $465.95 per EDU. Since the budget per EDU of $286.52 exceeds the collectible amount, staffrecommends utilizing the fund balance to make up the difference. Funds are available because of prior years' savings and by adjusting the reserve balance. The reserve under this recommendation will be 100%. The General Fund will be reimbursed $14,514 for City staff services from the Open Space District Fund for FY 2000/2001. There have been excess funds available in this District because staff anticipated that the turnover of improvements would occur in FY 1994/1995. Therefore, staff began collecting the assessment with the belief that the City would begin maintenance that fiscal year. However, turnover of improvements did not occur (except the medians), because The Baldwin Company, the original owner, did not complete the improvements prior to going bankrupt. This left excess funds in the District and no revenue was collected FY 1995/1996. For FY 1996/1997, staff anticipated that the turnover of improvements would occur that fiscal year and, therefore, collected $271 per EDU. Since turnover of improvements did not occur because a guest builder did not develop the property as anticipated, only $1 per EDU was collected in FY 1997/1998. For FY 1998/1999, it was anticipated that the turnover of improvements would occur in July of 1998 and therefore $108 per EDU was collected. However, only a portion of the improvements were turned over to the City, which has left excess funds. Although it is anticipated that the turnover of additional improvements T I · Page 13, Item__ Meeting Date 6/20/00 would occur this fiscal year, only $1 per EDU was collected for Fy 1999/2000. Turnover of additional improvements may occur in a future fiscal year, but staff recommends that only $1.00 per EDU be collected again for FY 2000/2001. Funds are available to do this because of prior years' excess funds. FY 00/01 Proposed Proposed FY 98/99 FY 99/00 FY 99/00 CAP: FY 00/01 FY 00/01 FY 00/01 Assmnt/ Collection/ AssmnlY FY 99/00 Assmnff Collection/ Revenue EDU EDU EDU Assmt + CPI EDU EDU OSD No. 33 $1,072.22 $0.00 $1,084.01 $1,123.04 $1,123.04 $0.00 $0 Broadway Business Home Village No funds collected since inception. Staffrecommends that the assessment remain the same as FY 1999/2000. The budget per EDU is $0.00, therefore, staffrecommends a collectible of $0.00 per EDU. The reserve under this recommendation will be 0%, since no construction is anticipated to be completed during FY 2000/2001. Community Development has requested, since FY 1996/1997, that no funds be collected because no construction has been done on this project. However, staff may recommend collecting revenue for FY 2001/2002 because funds will be needed to do required open space maintenance if construction is completed that fiscal year. FY 00/01 Proposed Proposed FY 98/99 FY 99/00 FY 99/00 CAP: FY 00/01 FY 00/01 FY 00/01 Assmnt/ Collection/ Assmnff FY 99/00 Assmnl/ Collection Revenue EDU Acre Acre Assmt + CPI Acre /Acre I OSD-Bay Boulevard $1.391.30 $815.336 $815.336 $845.07 $845.07 $845.07 $5,400 This District was reestablished in Fiscal Year 1999-2000 on the basis of acreage. Staff recommends that the assessment remain the same as FY 1999/2000 plus an increase of approximately 3.64%, as permitted in the Engineer's report for this District. Staff recommends a collectible of $845.07 per acre, which is equal to the assessment per acre. Since the budget per acre of $2,436.15 per acre exceeds the collectible amount, staff recommends utilizing the fund balance to make up the difference. Funds are available to do this because of prior years' savings and by adjusting the reserve balance. The reserve under this recommendation will be 38%. The General Fund will be reimbursed $9,841 for City staff services from the Open Space District Fund for FY 2000/2001. These figures were calculated on the basis of a total of 6.39 acres, as shown in Attachment A. Since the budget exceeds the proposed assessment and the reserve is only 38%, Public Works staff will review the District's budget and reserve in future years in an attempt to lower the budget and to determine whether there are additional savings. There is also the possibility that staffmay consider conducting a ballot process next year to increase the assessment amount. Page 14, Item Meeting Date 6/20/00 FY 00/01 Proposed Proposed FY 98/99 FY 99/00 FY 99/00 CAP: FY 00/01 FY 00/01 FY 00/01 Assmnt/ Collection/ Assmnff FY 99/00 Assmnt/ Collection/ Revenue EDU SF SF Assmt +CPI SF SF I OSD-Town Centre $48.50 $0.023433 $0.095222 $0.098688 $.098688 $0.034804 $17,841 This District was re-established in Fiscal Year 1999-2000 on the basis of parcel square footage. Staff recommends that the assessment remain the same as FY 1999/2000 plus an increase of approximately 3.64%, as permitted in the Engineer's report for this District. However, staffrecommends a collectible of $0.034804 per SF, which is less than the assessment of $0.098688 per EDU. Since the budget per EDU of $0.095548 exceeds the collectible amount, staff recommends utilizing the fund balance to make up the difference. Funds are available to do this because of prior years' savings and by adjusting the reserve balance. The reserve under this recommendation will be 63.00%. The General Fund will be reimbursed $2,530 for City staff services from the Open Space District Fund for FY 2000/2001. These figures were calculated on the basis of a net assessment of $17,841.00 and a total of 512,612, as shown in Attachment A. Because the budget exceeds the proposed assessment, Public Works (including Open Space staff) will review the District's budget and reserve in future years in an attempt to lower the budget and to determine whether there are additional savings. Property and business owners in this District have expressed an interest in forming a Business Improvement District to maintain enhanced improvements within the District in the future. Should that be the case, this Open Space District would no longer be needed. FY 00/01 Proposed Proposed Eastlake Maintenance FY 98/99 FY 99/00 FY 99/00 CAP: FY 00/01 FY 00/01 FY 00/01 District No. 1 Assmnff Collection/ Assmnt/ FY 99/00 Assmnt/ Collection/ Revenue EDU EDU EDU Assmt + CPI EDU EDU ELMD #1 I Otay Lakes Road Zone A - $10.04 $9.07 $10.40 $10.67 $10.67 $9.70 Eastlake 1 i Zone B - Eastlake 16.42 12.13 17.01 17.44 17.44 12.90 Greens zone C - Olympic 136.00 6.12 140.90 144.47 144.47 5.80 Trainii~[[ Centre Zone D - Salt Creek I 181.38 175.44 187.91 192.68 192.68 177.79 Zone E - Telegraph 25.86 13.28 26.79 27.47 27.47 12.88 Canyon Cha~ne112) (t) All areas share in the cost of Otay Lakes Road medians and off-site parkways. la) Portions ofEastlake IBC and Eastlake Greens are in benefit area. {~) Revenue for all zones included in overall Eastlake Maintenance District amount. Costs vary by parcel due to the various zones, land uses and attributed traffic generation factors within ELMD 1. The Eastlake Business Centre parcels' assessment is shown at $352.37 per acre. Page 15, Item Meeting Date 6/20/00 Staff recommends that the assessments for each of the areas remain the same as FY 1999/2000 plus a CPI of 2.54% as set forth in the Chula Vista Municipal Code. Staffrecommends an annual collectible, as shown in Table 1, which is below the assessment amount. The reserve for each zone is at 65% or above. The changes in the amounts for the proposed collectibles per EDU for the zones in this District are due to two factors: (1) In accordance with the practice for previous years, the overall Otay Lakes Road budget figure shown in the attached worksheet was subtracted from the budget figure for Zone A - Eastlake 1. The payment for Otay Lakes Road was then spread over Zones A, B, C and D. (2) A collectible of $6,378 was shown for Zone E, Telegraph Canyon Channel, and added to the special reserve accumulated over previous years for this zone. The assessment amounts have not changed from the amounts in the May 23, 2000 agenda statement. Olympic Training Centre On December 17, 1996, City Council, by Resolution 18528, approved an agreement to allow the ARCO Olympic Training Centre to continue maintenance of the Wueste Road landscape improvements. Incorporated in the agreement are safeguards to ensure the maintenance is performed to City standards. There are indemnity provisions for both parties for~ the use of the paths along Wueste Road. However, OTC turned over to the City the maintenance of a median on East Orange Avenue. Staff recommends setting the collectible at $1.35 per EDU to cover the maintenance cost. Public Works' staff (Open Space) has indicated that OTC will continue maintenance of the Wueste Road landscape improvements until the Eastlake Trails' property has been developed. After this occurs, OTC will turn over all the maintenance to the City as the property owners within Eastlake Trails will share in the maintenance cost. Presently, OTC is maintaining Wueste Road slopes with the services of the landscape maintenance firm performing maintenance services within the Training Centre. This contractor is performing this service at a price lower than a typical City solicited price. Landscape maintenance firms sometimes subsidize the maintenance of high visibility, high publicity areas to take advantage of publicity opportunities such sites can provide. The proposed assessment was developed on the basis of the City maintaining all of the Wueste Road landscape improvements. Until the City takes over maintenance, there will continue to be a large difference between the collectible and the proposed assessment. Notice The public hearings were noticed pursuant to Government Code 6061 which requires that notice be published in a newspaper of general circulation (the Star-News) at least 10 days before the second public hearing. Staff mailed notice of the hearings to property owners in all Open Space Districts. The notice informed the resident of his/her District, the current year assessment, the CPI adjustment and the proposed assessment for FY 2000/2001. The Public Works Operations Division is conducting information meetings for all property owners within each District this month. At these meetings, staff will explain the proposed budget to interested owners (approximately 12,000 properties received notice). Plans, specifications, and assessment roll are on file in the Public Works/Engineering office. FISCAL IMPACT: Page 16, Item Meeting Date 6/20/00 Staff costs associated with the Open Space program are generated by Public Works (including Open Space staff), Data Processing and Finance. 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CO =#: ~ u 'I:: ~ U) .... l::I " ~~ ~ (rj ~ ~ .a3 ....i ~ Cl I!! ~ ~ H:! Cl. . 1 r CITY COUNCIL AGENDA STATEMENT Item No.: / ~ Meeting Date: 6/20/00 ITEM TITLE: PUBLIC HEARING: PCM 00-18: Consideration of an amendment to the Sunbow II Sectional Planning Area (SPA) Plan and Planned Community District Regulations to change the Land Use Designation of 2.3 acres at the northeast comer of Medical Center Drive and East Palomar Street from Residential Condominium (RC) to Village Center (VC); and amend the Sunbow II Design Guidelines to change the adopted "Main Street" Pedestrian Village commercial design concept to a more contemporary neighborhood commercial center design. RESOLUTION: A Resolution of the City Council of the City of Chula Vista adopting Mitigated Negative Declaration IS-00- 16 and Mitigation Monitoring and Reporting Program; and approving amendments to the Sunbow II Sectional Planning Area (SPA) Plan and Sunbow II Design Guidelines to impose conditions and amend the adopted Village Commercial center design concept from a "Main Street" Pedestrian Village to a more contemporary Neighborhood Commercial center. ORDINANCE: An Ordinance of the City Council of the City of Chula Vista approving amendments to the Sunbow II Sectional Plarming Area (SPA) plan - Planned Community Districts regulations, land use district map to change the land use designation of 2.3 acres at the northeast comer of East Palomar Street and Medical Center Drive fi.om Residential Condominium (RC) to Village Center (VC). SUBMITTED BY: Director of Planning and Building~/~ REVIEWED BY: City Manager ~5~,4q~, (4/5tbs Vote: Yes No X ) The applicant, Kitchell Development Company, has submitted an application to amend the Sunbow II Sectional Planning Area (SPA) Plan-Planned Community District Regulations in order to change the Land Use Designation of 2.3 acres at the northeast comer of Medical Center Drive and East Palomar Street fi.om Residential Condominium (RC) to Village Center (VC) (see Figure 1 and 2 & 2A). The applicant has also requested an amendment to the Sunbow II Village Center Design Guidelines to change the adopted "Main Street" Pedestrian Village commercial center design concept to a more contemporary neighborhood commercial center (see Attachment 4). Page 2, Item No.: Meeting Date: 06/20/00 The City Council has previously reviewed, analyzed, considered, and certified FSEIR-88-01 for the original Stmbow GDP and SPA. The Environmental Review Coordinator prepared an Initial Study and determined that, although the proposed project could have a significant effect on the environment, there will not be a significant effect in this case because mitigation measures have been incorporated and agreed to by the project proponent. A Mitigated Negative Declaration and Mitigation Monitoring Program were prepared (see Attachment 5). RECOMMENDATION: 1. Based on the Initial Study, adopt the attached Mitigated Negative Declaration issued for IS 00-16 and Mitigation Monitoring and Reporting Program issued for the Project. 2. Adopt attached Resolution and Ordinance approving amendments to the Sunbow II Sectional Planning Area (SPA) plan, Planned Community Regulations and Village Center Design Guidelines in accordance with the findings and subject to the conditions contained in the attached Draft City Council Resolution and Ordinance. BOARDS AND COMMISSION RECOMMENDATION: The Planning Commission and Resource Conservation Commission hearings on this project occurred at the time the agenda statement was being written. Thus, staff will provide an oral report of the two commissions recommendation at thc City Council hearing. BACKGROUND: Thc City Council approved the Sunbow I1 Planned Connmmity General Development Plan (GDP) in December 1989, and the Sectional Planning Area (SPA) Plan in February 1990. The approved 600- acre Sunbow II SPA Plan consists of five multi-family sites with capacity for 818 units, ten single- family sites comprising 1,128 lots (totaling 1,946 units); one community park; one elementary school; one neighborhood commercial center; one industrial park; and approximately 176 acres of open space. The 1,946 unit Tentative Map was approved in May 1990. Construction began in early 1998 with 330 single-family units in Phase lA, which is west of Medical Center Drive and Brandywine Avenue. In the spring of 1999, a 132-unit senior housing project along Medical Center Drive between Medical Center Ct. and Naples Ct. (see Locator) was constructed by Chelsea Investments. In June of 1999, additional construction of single residential units began to the south of East Palomar Street, and east of Brandywine. In early 2000, the constTuction of 156 multi-residential units began directly north of the Village Center/Commercial site. Currently, Final Maps are being processed for the remaining single-family residential units at the east edge of Sunbow, located cast of future Pasco Ladera. Page 3, Item No.: Meeting Date: 06/20/00 On March 6, 2000, the proposed amendments to the Sunbow II Village Center Design Guidelines were presented to the Design Review Committee (DRC). The DRC recommends approval of the proposed amendments as presented in Attachment 4. The DRC agreed that the development pattern within Sunbow II and existing nearby commtmities are more suburban in nature, and therefore, the proposed amendments to the Sunbow II Design Guidelines for the Village Center as presented in Attachment 4 would allow for a more compatible neighborhood shopping center that caters to a suburban community such as Sunbow II. The proposed amendments are presented in a side-by-side format, so that the new design proposals can be compared with the existing SPA Text/design guideline. On the revised pages, new text is shown underlined, and deleted text is shown in strikeout format. New illustrations are shown in regular black line and deleted illustrations are shown with a line through them. DISCUSSION: 1. Existing Site Characteristics The Project involves 10.4 acres in the Village Center (Planning Area 8) and 2.3 acres in the Residential Condominium (Planning Area 10A) for a total of 12.7-acres. The project site is currently vacant and has been mass graded in conjunction with the Sunbow II mass-grading - program. The site is relatively level, except for the existing manufactured slopes at the north and east side of the parcel. The site is surrounded by Medical Center Drive to the west, a vacant future park site to the east, across High Cloud Street, a future multi-family development to the north, and East Palomar Street to the south (see Locator). 2. SPA Land Use Designations and land use CV Municipal Code Snnbow SPA Existing Zoning Land Use Designation Land Use Site PC, Planned RC, Residential Community Condominium) and VC, Village Commercial Vacant North PC, Planned RM (Multi- Vacant Community Residential) South East Palomar East Palomar 4-Lane Street Street Major Street East PC, Planned OS (Open Space)/ Vacant(future Community Corian. Rec. park) West Medical Center Medical Center Class 1 . Drive Drive Collector St. Page 4, Item No.: Meeting Date: 06/20/00 3. Requested SPA Amendment The proposed SPA amendments are more specifically described in the following paragraphs: Planned Community District Regulations The requested amendment to the Sunbow II SPA plan consists of changing the existing land use designation of approximately 2.3 acres at the northeast comer of East Palomar Street and Medical Center Drive within the Sunbow II planned community fi:om Residential Condominium (RC) to Village Center (VC). The following table illustrates the proposed land use change and affected acreage transfer. ITEM ADOPTED PROPOSED DIFFERENCE ADOPTED PROPOSED ACRES ACRES IN ACREAGE DU'S DUtS VC, Village 10.4 12.3 +2.3 0 0 Commercial RC, 10.6 8.3 ~ -2.3 214 214 Residential Condominium Design Guidelines The Sunbow II Village Center Design Guidelines amendment consists of changing the adopted "Main Street" pedestrian village commercial design concept to a more contemporary neighborhood conunercial center. The adopted Sunbow II SPA Plan envisioned a Main Street, Pedestrian Village Center with a variety of land uses including commercial/ residential mixed-usc projects. Thc applicant has prepared amendments to the existing Sunbow II Village Center Design Guidelines that allow for a more compatible and more efficient commercial center reflecting contemporary neighborhood commercial center design that is more compatible with the existing and proposed developments within Sunbow (See Attachment 4). ANALYSIS Planned Community District Regulations The proposed land use change will increase the conuncrcial Village Center site fi:om 10.4 acres to 12.7 acres, and allow site design flexibility and more efficient internal distribution and circulation system for a neighborhood commercial center. Staff is of the opinion that the proposed increase in commercial village center acreage will produce a more successful commercial center and provide necessary and convenient retail shops and services for future - "1 residents of Sunbow. - I ' ! 1 [ Page 5, Item No.: Meeting Date: 06/20/00 To expand thc Commercial Village center site, the applicant is proposing to reduce Parcel 10A acreage from 10.6 to 8.3 acres and retain the adopted number of permitted dwelling units as prescribed in thc Sunbow II SPA (214 maximum). As a result, the density, will change from 20 du's/ac to 25alu's/ac. However, the SPA maximum number of dwelling units for Parcel 10A may not be achieved due to the irregular shape of the lot and thc surrounding topography (see Figure 2 & 2A). While the individual parcel density will increase, thc overall residential density authorized for the Sunbow II SPA will remain unchanged. Design Guidelines The existing Sunbow II developments to the north (multi-residential), west and south (single family residential) are primarily stucco and Spanish-type architecture, and representative of a suburban community. The Sunbow II Design Guidelines for the Village Center envisioned a 'Main Street' with a concept to have mixed-use type development. Mixed-use is generally comprised of retail or office uses on the ground floor and residential components on the upper floor(s). This concept is reflected by allowing 'residential' as a permitted use within the Village Center zone of the Sunbow SPA. The idea was to create a pedestrian village with a traditional main street and diagonal parking to encourage pedestrian activity. The building scale consisted of two- and three-story high mixed-use buildings that would be reflective of more dense urban centers. The planned main street concept was based on a relatively flat area, which could accommodate pedestrian paths from the surrounding community to the site. However, due to topographical constraints, the pattern of suburban development did not result in a flat area as required to foster the pedestrian linkages, as envisioned within a main street concept. As mentioned above, Sunbow community is being developed in a suburban pattern, and as such, the concepts presented within the existing Design Guidelines are contrary to several principles of contemporary commercial development. One of the Design Guidelines required that all the buildings face away from the main thoroughfare (i.e. East Palomar Street and Medical Center Drive). The applicant has indicated that this 'Main Street' concept, while very attractive, is not marketable within a suburban community such as Sunbow. The proposed design concepts present greater flexibility to accommodate more contemporary style neighborhood commemial centers, while preserving the 'pedestrian' intent of the Village Center. The proposed changes are summarized as follows: · A single-story design for the commercial center and delete the two-and three-story elements that are in the design guidelines. Page 6, Item No.: Meeting Date: 06/20/00 · A neighborhood commercial center concept incorporating the California Spanish village theme and to allow for more retail and commercial uses in the future. · A centralized parking plaza with pedestrian-compatible median decorative walkways. · An enhanced pedestrian circulation and amenities such as pedestrian walks on parking medians, trellises over the walk areas and outdoor plazas for sitting and eating. · Update the plan to delete obsolete graphics that do not represent current built environment. CONCLUSION: For the reasons mentioned above, staff recommends approval of the project subject to the conditions contained in the City Council Resolution. FISCAL IMPACT The applicant has paid for all cost associated with the processing of the SPA amendment and will be responsible for paying corresponding Development Impact fees and other applicable development and processing fees, as they may be amended from time-to-time. Attachments 1. Locator Map 2. Figures 3. Planning Commission Resolution 4. Sunbow II Village Center Design Guidelines 5. Mitigated Negative Declaration 6. Disclosure Statement A:\PCM 0018 CC Agenda 20 June 00.doc --- RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING MITIGATED NEGATIVE DECLARATION IS-00- 16 AND MITIGATION MONITORING AND REPORTING PROGRAM; AND APPROVING AMENDMENTS TO THE SUNBOW II SECTIONAL PLANNING AREA (SPA) PLAN AND SUNBOW II DESIGN GUIDELINES TO IMPOSE CONDITIONS AND AMEND THE ADOPTED VILLAGE COMMERCIAL CENTER DESIGN CONCEPT FROM A "MA1N STREET" PEDESTRIAN VILLAGE TO A MORE CONTEMPORARY NEIGHBORHOOD COMMERCIAL CENTER. I. RECITALS A. Project Site WI-IEREAS, the area of land which is subject matter of this Resolution is diagrammatically represented in Exhibit "A" attached hereto and incorporated herein by this reference, and commonly known as Sunbow II Village Center and for the purpose of general description is located at the northeast comer of Medical Center Drive and East Palomar Street ("Project Site"); and, B. Project; Application for Discretionary Approval WHEREAS, on January 7, 2000, a duly verified application was filed with the City of Chula Vista Planning Department by Kitchell Development Company ("Developer"), requesting approval of amendments to the Sunbow II Sectional Planning Area (SPA) plan- Village Center Design Guidelines to change the adopted Village commercial center design concept from a "Main Street" Pedestrian Village to a more contemporary neighborhood commemial center ("Project); and, C. Prior Discretionary Approvals WHEREAS, the development of the Project Site has been the subject matter of various entitlements, including: 1) a General Development Plan, Sunbow II General Development Plan, previously approved by City Council Resolution No. 15427 ("GDP") on December 5, 1989; 2) a Sectional Planning Area (SPA) plan, Stmbow II Sectional Planning Area Plan ("SPA"); 3) Planned Community District Regulations, Sunbow II Planned Community District Regulations; 4) Design Guidelines, Sunbow II Design Guidelines; and 5) Public Facilitites Finance Plan, Sunbow II Public Facilities Financing Plan all previously approved by City Council Resolutions 15524, 15525, and 15427, and Ordinance 2346 on December 5, 1989; Sunbow II Air Quality Improvement Plan (AQIP approved by Resolution No. 18978 on April 28, 1998; and, D. Planning Commission Record on Application WHEREAS, the Planning Commission held an advertised public heating on the Project on June 7, 2000 and, after heating staff presentation and public testimony, voted (4-0) to recommend that the City Council approve the Project, in accordance with the findings and subject to the conditions listed below. E. City Council Record of Applications WHEREAS, a duly called and noticed public heating on the Project was held before the City Council of the City of Chula Vista on June 20, 2000 on the Project, and to receive the recommendations of the Planning and Resource Conservation Commissions, and to hear public testimony with regard to same; and, WHEREAS, the city clerk set the, time and place for a hearing on said SPA amendment application and notice of said heating, together with its purpose, was given by its publication in a newspaper of general circulation in the City, and its mailing to property owners within 500 fi. of the exterior boundary of the project at least 10 days prior to the heating; and, WHEREAS, the hearing was held at the time and place as advertised, namely 6:00 p.m. June 20, 2000 in the Council Chambers, 276 Fourth Avenue, before the City Council and said hearing was thereafter closed. NOW, THEREFORE, BE IT RESOLVED that the City Council does hereby find, determine and resolve as follows: II. PLANNING COMMISSION RECORD The proceedings and all evidence introduced before the Planning Commission at their public hearing on the Project held on June 7, 2,000, and the minutes and resolutions resulting therefrom are hereby incorporated into the record of this proceeding. III. PREVIOUS EIR-88-01 REVIEWED AND CONSIDERED; FINDINGS; APPROVALS The City Council o£ the City of Chula Vista has previously reviewed, analyzed, considered, and certified FSEIR 88-01 (Sunbow Sectional Planning Area (SPA) Plan). IV. COMPLIANCE WITH CEQA The Environmental Review Coordinator prepared an Initial Study (IS 00-16) and determined that although the proposed project could have significant effects on the environment, there will not be significant effect in this case because of mitigation measures have been incorporated and agreed to by the project proponent. A Mitigated Negative Declaration and Mitigation Monitoring program were prepared which must be considered by the City Council prior to a decision on the Project. V. INDEPENDENT JUDGMENT OF CITY COUNCIL The City Council finds that the Mitigated Negative Declaration, IS-00-16 has been prepared in accordance with the requirements o£ the California Environmental Quality Act, and the Environmental Review Procedures of the City of Chula Vista, and that the Mitigation Monitoring Program is designed to ensure that during Project implementation, the permittee/Project applicant, and any other responsible parties implgment the project components and comply with the mitigation Monitoring Program. The City Council finds that the Mitigated Negative Declaration reflects the independent judgment of the City Council of the City of Chula Vista and hereby adopts the Mitigated Negative Declaration, and adopts Mitigation Monitoring Program set forth therein, a copy of which is on file in the office of the City Clerk. VI. ADOPTION OF SPA AMENDMENT In light of the findings described herein, the amendment to the Sunbow II Sectional Planning Area (SPA) Plan and Village Center Design Guidelines, in the form attached hereto and incorporated herein as Exhibit "B", is hereby approved. VII. SPA AMENDMENT FINDINGS APPROVAL A. THE SECTIONAL PLANNING AREA PLAN FOR SUNBOW (AS AMENDED) IS IN CONFORMITY WITH THE SUNBOW GENERAL DEVELOPMENT PLAN AND THE CHULA VISTA GENE1L~_L PLAN. The amended Sunbow II SPA Plan and Village Center Design Guidelines, which is a component of the Sunbow II Sectional Planning Area (SPA) Plan, are consistent with the adopted Sunbow II General Development Plan (GDP) and the Chula Vista General Plan. B. THE SUNBOW SECTIONAL PLANNING AREA PLAN, AS AMENDED WILL PROMOTE THE ORDERLY SEQUENTIALIZED DEVELOPMENT OF THE INVOLVED SECTIONAL PLANNING AREAS. The Sunbow II SPA Plan and Village Center Design Guidelines, as amended are consistent with the Sunbow II Public Facilities Financing Plan and will therefore promote the orderly sequentialized development of the involved Sectional Planning Area (SPA) Plan areas. C. THE SUNBOW SECTIONAL PLANNING AREA, AS AMENDED WILL NOT ADVERSELY AFFECT ADJACENT LAND USE, RESIDENTIAL ENJOYMENT, CIRCULATION OR ENVIRONEMNTAL QUALITY. The amended Sunbow II SPA Plan and Village Center Design Guidelines provide site plan and architectural guide to develop a functional and properly adapted commercial center. D. 1N THE CASE OF PROPOSED COMMERCIAL USES, THAT SUCH DEVELOPMENT WILL BE APPROPIATE IN AREA, LOCATION, AND OVERALL DESIGN AND DEVELOPMENT STANDARDS ARE SUCH AS TO CREATE A COMMERCIAL ENVIRONMENT OF SUSTAINED DESIRABILITY AND STABILITY; AND THAT SUCH DEVELOPMENT WILL MEET PERFORMANCE STANDARDS ESTABLISHED BY THIS TITLE. The amended Sunbow II SPA Plan and Village Center Design Guidelines provide development standards to create a functional and attractive commercial center to serve the residents of Sunbow II in a stable and desirable commercial environment. E. IN THE CASE OF COMMERCIAL USES, THAT SUCH DEVELOPMENT WILL BE APPROPRIATE IN THE AREA, LOCATION AND OVER-ALL PLANNING TO THE PUPOSE PROPOSED, AND THAT SURROUNDING AREAS ARE PROTECTED FROM ANY ADVERSE EFFECTS FROM SUCH DEVELOPMENT. The proposed amendments to the Sunbow II Village Center Design Guidelines do not involve new commercial development. F. THE STREET AND THOROUGHFARES PROPOSED ARE SUITABLE AND ADEQUATE TO CARRY THE ANTICIPATED TRAFFIC THEREON. The amendments do not involve amendments to the planned circulation system depicted on the General Plan Circulation Element. G. ANY PROPOSED COMMERCIAL DEVELOPMENT CAN BE JUSTIFIED ECONOMICALLY AT THE LOCATION (S) PROPOSED AND WILL ~ PROVIDE ADEQUATE COMMERCIAL USES NEEDED AT SUCH PROPOSED LOCATION (S). The proposed amendments to the Sunbow II SPA Plan and Village Center Design Guidelines do not involve new commercial development. However, the adopted commercial uses reflect the adopted Chula Vista General Plan and will provide needed commercial services to future residents in the area. H. THE AREA SURROUNDING SAID DEVELOPMENT CAN BE PLANNED AND ZONED IN COORDINATION AND SUBSTANTIAL COMPATIBILITY WITH SAID DEVELOPMENT. The proposed amendment will be highly compatible with surrounding residential neighborhoods. Thus, these areas can be planned in substantial compatibility with the Project. VIII. ADOPTION OF AMENDMENTS TO SPA TO IMPOSE CONDITIONS In light of the findings described herein, the City Council does hereby approve amendments and impose conditions, to the Sunbow II SPA Plan. IX. SPA AMENDMENT CONDITIONS OF APPROVAL 1. Implement all remaining conditions of Sunbow II SPA Plan Resolution 15524 not modified by the Resolution, which shall remain in full force and effect. 2. Prior to issuance of the first building permit, prepare, submit and obtain approval by the Director of Planning and-Building of all necessary changes to the adopted Sunbow II SPA documents, maps, text and exhibits to reflect Councils approval of this SPA amendment, and submit twenty copies of final replacement sheets. 3. The project shall conform to requirements of the governing jurisdiction, building codes, and standard practices of the Association of Structural Engineers of California. In addition, the project will implement all previously approved mitigation measures identified in the Update Geotechnical Investigation: The Plaza at Sunbow (Geocon 2000). These include: · Mitigation measures 7.1.1 through 7.12.1 contained in the revised Update by Geocon, Inc. (February 2000). The report includes mitigation measures addressing geotectmical concerns and potential impacts and is on file at the City of Chula Vista Planning Department. These measures shall adhered to, subject to approval by the City of Chula Vista. Mitigation measures outlined for grading, seismic design and settlement, slope stability and t g f:).5 T · ! I I -" construction of retaining walls, foundations, paving, and site drainage are hereby incorporated by reference · Grading plans shall be reviewed by a qualified geologist prior to finalization. A qualified geologist shall also review project site plans to determine appropriate setbacks for development in the vicinity of the La Nacion Fault. · Additional subsurface investigation shall also be conducted and approved by the City of Chula Vista once the location of cut and fill slopes are known. 4. Prior to occupancy, a screening wall shall be constructed along the north side of the truck loading dock. The wall must be high enough to break the line of sight between truck refrigerator units at the loading dock and five- foot high person standing 10 feet back from the edge of the pad. This loading dock wall must break the line of sight and result in a noise reduction of between five. and six decibels, with this barrier, truck noise will be reduced to below the 60dB (A)~ eq(I) standard. 5. No deliveries shall be made between 10 P.M. and 7 A.M., and truck engines must be turned off at this time. Prior to project occupancy, the - market delivery site shall be posted as "no idling after 10:00 P.M." to insure that tracks do not idle )aside from their refrigeration units) while loading. 6. Prior to occupancy or at the time HVAC equipment has been identified and a design is available, product~specific acoustical information shall be used to calculate the effects of potential noise exposure. If predicted noise levels resulting from these systems exceed the City standards, barriers and/or enclosures shall be designed to insure compliance. Prior to occupancy, a study shall be completed demonstrating that barriers and enclosures have been adopted to insure no adverse noise effects to area residents. 7. Prior to issuance of building permits, the proposed project shall construct a westbound deceleration/right-turn lane on East Palomar Street to improve the Level of Service at the intersection of the eastern project driveway with East Palomar Street to an acceptable LOS D during the P.M. peak hour. -~l X. CONSEQUENCE OF FAILURE OF CONDITIONS ] I F If any of the foregoing conditions fail to occur, or if they are, by their terms, to be implemented and maintained over time, if any of such conditions fail to be so implemented and maintained according to their terms, the City shall have the right to revoke or modify all approvals herein granted, deny, or further condition issuance of all future building permits, deny, revoke, or further condition all certificates of occupancy issued under the authority of approvals herein granted, institute and prosecute litigation to compel their compliance with said conditions or seek damages for their violation. No vested rights are gained by Developer or a successor in interest by the City's approval of this Resolution. XI. INVALIDITY; AUTOMATIC REVOCATION It is the intention of the City Council that its adoption of this Resolution is dependent upon the enforceability of each and every term, provision and condition herein stated; and that in the event that any one or more terms, provision, or conditions are determined by a Court of competent jurisdiction top be invalid, illegal or unenforceable, this resolution shall be deemed to be automatically revoked and of no fuaher fgrce and effect ab initio. Presented by Approved astoformby Robert A. Leiter ~o~.Kaheny Director of Planning and Building City Attorney H:~HOME~PLANNING\StanD\Sunbow~R. esolutions~PCM 00-18 Sunbow CC Resolution.doc ORDINANCE NO. AN ORDiNANCE OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AMENDMENTS TO THE SUNBOW II SECTIONAL PLANNING AREA (SPA) PLAN - PLANNED COMMUNITY DISTRICTS REGULATIONS, LAND USE DISTRICT MAP TO CHANGE THE LAND USE DESIGNATION OF 2.3 ACRES AT THE NORTHEAST CORNER OF EAST PALOMAR STREET AND MEDICAL CENTER DRIVE FROM RESIDENTIAL CONDOMINIUM (RC) TO VILLAGE CENTER (VC). I. RECITALS A. Project Site WHEREAS, the area of land which is subject matter of this Ordinance is diagrammatically represented in Exhibit "A" attached hereto and incorporated herein by this reference, and commonly known as portion of Sunbow II-Planning Areas 8 and 10A, and for the purpose of general description herein consists of approximately 2.3-acres located approximately at the northeast comer of Medical Center Drive and East Palomar Road ("Project Site"); and, B. Project; Application for Discretionary Approval WHEREAS, on January 7, 2000, a duly verified application was filed with the City of Chula Vista Planning Department by Kitchell Development Company ("Developer"), requesting approval of amendments to the Sunbow II Sectional Planning Area (SPA) plan- Planned Community District Regulations to change the land use designation of 2.3 acres located at the northeast comer of East Palomar Street from Residential Condominium (RC) to Village Commercial (VC); and amend the Sunbow II Village Center Design Guidelines to change the adopted Village commercial center design concept from a "Main Street'"' pedestrian village commercial design concept to a more contemporary neighborhood commemial center ("Project); and, C. Prior Discretionary Approvals WHEREAS, the development of the Project Site has been the subject matter of various entitlements, including: 1) a General Development Plan, Sunbow II General Developmem Plan, previously approved by City Council Resolution No. 15427 ("GDP") on December 5, 1989; 2) a Sectional Planning Area (SPA) plan, Sunbow II Sectional Planning Area Plan ("SPA"); 3) Planned Community District Regulations, Sunbow II Planned Community District Regulations; 4) Design Guidelines, Sunbow II Design Guidelines; and 5) Public Facilities Finance Plan, Sunbow II Public Facilities Financing Plan all previously approved by City Council Resolutions 15524, 15525, and 15427, and Ordinance 2346 on December 5, 1989; Sunbow II Air Quality Improvement Plan (AQIP approved by Resolution No. 18978 on April 28, 1998; and, I' I [ D. Planning Commission Record on Applications WHEREAS, the Planning Commission held an advertised public heating on the Project on June 7, 2000 and after hearing staff presentation and public testimony, voted (4-0) to recommend that the City Council approve the Project, in accordance with the findings listed below; and, E. City Council Record on Applications WHEREAS, a duly called and noticed public heating on the Project was held before the City Council of the City of Chula Vista on June 20, 2000, on the Project and to receive the recommendations of the Planning Commission and Resource Conservation Commissions, and to hear public testimony with regard to same; and, WHEREAS, the city clerk set the time and place for a heating on said SPA amendment application and notice of said heating, together with its purpose, was given by its publication in a newspaper of general circulation in the City, and its mailing to property owners within 500 ft. of the exterior boundary of the project at least 10 days prior to the heating; and, WHEREAS, the heating was held at the time and place as advertised, namely 6:00 p.m. June 20, 2000, in the Council Chambers, 276 Fourth Avenue, before the City Council and said heating was thereafter closed; and, F. Discretionary Approvals Resolution and Ordinance WHEREAS, at the same City Council meeting at which this Ordinance was introduced for first reading (June 20, 2000), the City Council of the City of Chula Vista approved Resolution No. by which it imposed amendments on the Sunbow II Sectional Planning Area (SPA) Village Center Design Guidelines and adopted Mitigated Negative Declaration IS-00-16 and Mitigation and Monitoring and Reporting Program. II NOW, THEREFORE, the City Council of the City of Chula Vista does hereby find, determine and ordain as follows: A. FINDINGS FOR PLANNED COMMUNITY DISTRICT REGULATIONS AMENDMENT The City Council hereby finds that the proposed amendments to the Sunbow II Planned Community District Regulations, Land Use Districts Map and statistics are consistent with the City of Chula Vista General Plan, and public necessity, convenience, the general welfare and good zoning practice support the amendment. B. APPROVAL OF ZONE AMENDMENT The City Council does hereby approve the amendment to the Sunbow II SPA Plan Planned Community District Regulations and Land Use District Map as represented in Exhibit A. III. INVALIDITY; AUTOMATIC REVOCATION It is the intention of the City Council that its adoption of this Ordinance is dependent upon the enforceability of each and every term, provision and condition herein stated; and that in the event that any one or more terms, provisions or conditions are determined by a Court of competent jurisdiction to be invalid, illegal or unenforceable, this Ordinance shall be deemed to be automatically revoked and of no further force and effect ab initio. IV. EFFECTIVE DATE This ordinance shall take effect and be jn full force on the thirtieth day from and after its adoption. Presented by Approved as to form by Robert A. Leiter Joh~l~a~eny Director of Planning City Attorney A:\PCM-0018.CCO.doc EXHIBIT B Sunbow II Village Center Design Guidelines ! Thc conccp~ of the retail elemen~ of ~e village ce]l~er for S~' is ~ ~ a ~ ~e ~. ~t re~i~ ~or~ i~ ~o~g ~ ~s ~ the ~ d~]~d ~ ibc a~W f~ ~r t~ cn~e i~er. l~p. ~ite Piannin~ ~ ~t~] k,~ldi~ ~ ~ ~e cent~ s~uJd be give a s=m= ~ ~ re~ ~ ~n~ ~= of ~ ~ ~end bo~ m ~ e~t ~d to the n~h, ~e~ior~ for ~ the i~er loop. .~:' ...z : .. - VILLAGE CENTER Concept The conee t of the ~tail ele_ment ~vvitlage~Ia~ for Suabow is that of a amenities of In its e'stab~ment as a ..' , itis envisioned that the retail el~ent be charae~fix~ ....... ' . .. hoa~h,~ ,,,,d ,c~,~oa uses. The ~ eom ent should be developed as the activity focus for the _ .... buildings shoed be sited so as to be an extension of the /, a o~ v ~II,~ ,~6~vL~ ~. The drives ~ armmd which the retail component is organi~,axl ~lould extend both to the east and to the north, creating l.~,a~fi for both p ,e~.' .a~s~ and vehicles to the residential I 52A Pedestrian Aceess Pedestrian access is vital for the success of the retail center in its role to the surmun ' residential and medicaluses should be direct and clear Pedestrian access from the intersection of Medical Center and ~ Palomar ~ should also ~ direct and clear to allow for easy access by pedestrians off,hating from the si~g~e-~mHY residential areas. v~ cost.rE ~AV~NC pAViNG P~U~ Sc~'dng Loading ares~ should be at:r=ened from ~e~ ~ew ~'e ~n~ng f~ ~OREEN ~ T~ AT E~ ~.ISL~ AT l~E81~ E~ P~KING SCREENING ~ND ACOE~$ Screenlng Loading areas should be screened from direct view from Palomar and Medical Center Drive to the extent possible. Parking areas should be screened and softened with screening from the adjacent residential areas is porticularly im.nortant to avoid the g~6. viewing of loading areas fi'om the residential areas and the intrusion ofheadlamps, etc. into re~iclential projecta. PEDESTRIAN ACCESS POINTS THROUGH ISLANDS AT BUIL~INGS SCREEN TYPE TREES AT END OF ~ TYPE .TREES AT ! NTERIOR ISLANDS t 8' STANDARD 13' COMPACT STALL EXAM:~.E: PARKING SCREENING ~ID PEDESTRIAN ACCESS ! . i STANDARD 5TAU. 9'x20' THROUGH ISLAND · '--~ SCREEN TYPE TREES ~ AT FINGER Pt,ANTEI~S I CANOPY TI~ AT INTERIOR 151.AND I 54A, It ~s envisioned tl~ the village co~e will hnv= -~ mass varying frt~n on~ to thr~ s~ries. Yariation ~ ~o~ ~ r~f of may to ~low f~ ~on of equipmen~ etc. ~ ele~nts musz ute of the viI~ge core. fiat roofs as ~ly in strip cente~ ~ ~XAMPL~: M~N~ DI~RAM Mass and Form It is enwsioned that the ~ : ' will have. . ~ ms~s va~ing/~ ~ ~e~wth~"~r~ ~. Variation in form Also, the massing can be greatly onl~nced by the use of cupolas, rsmods~,-b~c~fi~ and other Classic m-chiteciural features. The n~ssing and form of the building should ~inforce th¢:~_~l~Of the i~terl~l drives by ~ wherever possible. ~:~d%~ · m,~ o~d l~ · ~ ,: ~ ~h~;1.r d;~om~d~xt roof portions of bllfldh~gs may .be The m~terials used in the v/llaEe retail center should relute to chose mater/ah used elsewhere /n Sunbow. These inc. lucle Sit, Ca:O, tile, wood. stone, wrought iron and other materh~;~ senet'ally ind/genous zo the S~.de af architccttue. Mat=rials should b.e.used in th¢/r ns.rural form and in an autb~nr!c way avo2~m~ any extrcn~ applications flint are thc result of current s~le~ or trcnd~ Sp~'/=! mater/ah should b~ used at entrances ~ other points of when possible. Th~se m~lerlals include, but are not llm!~d to slonework. ~ concrete elements or wood ITeatment$. Color coiorf used for the retail elemenI should be chos~ of California Spanish swle of archlte~:mr~ ~ Sunbow. colors are generally soft lones wi~h sTron~ colors orgy as accentS. shall cln~ic California Spanish as illustrated by xhc with this guideline. All sides I1. be treatecl equally insofar as th~ retail bu/ldinEs exposed to public v/~' on all sides. ~ full treamaent of all sides of e. ach /s important ~h~ chara~..r stat qualiD, of Sunbow villagt that/s r~_n_tS~d by these guidelirics. A of qurrJlty materials is important tO the proper the California Spanish s~yle of architecture, in application of th~se materials is equally h:~portant $aec-~ss of Californ/a Spanish architecture. 'vVhile must be included in the bldldings to provi a sen.s~ of ~ s~lc, overiy decorated buildings YtLLAGE OE;N'TF-R Materials The materials used m the v~,~ ~¢t~ ~ center should relate to those materials used elsewhere in Sunbow. These include stucco, tile, wood, stone, wrought iron and other materials generally indigenous to the style of architecture. Materials should be used in their natural form and in au authentic way avoiding any extreme applications that are the result of current styles or trends. Special materials should be used at entrances and other points of interest when possible. These materials incbut¢, but are not limited to stonework, cast concrete elements or wood treatments. Color The colors used for the retail element should be those of the of architecture at Sunbow. These colors California Spanish are generally soft tones with strong colors used only as accents. Architectural Style The architectural style of the ~ at Sunbow shall be classic California Spanish as illustrated by the examples included with this guideline, lhSmary sides of buildings will be treated equally insofar as the retail buildings will be exposed to public view on aH sides. This full architectural treatment of primary sides of each building is important to create the character and quality of the Sunbow village core that is mandated by these guidelines. A sense of design and use of quality materials is important to the proper use of the California Spanish style of architecture. Simplicity in application of these maledals is eqn~lly important to the success of California Spanish architecture. While sufficient detail must be included in the buildings to provide a sense of the style, overly decorated buildings are discouraged. DETAILS: COUNCIL AGENDA STATEMENT Item: /~ Meeting Date: 6/20/00 ITEM TITLE: Resolution Establishing a Construction Management Services Priority List, comprised of six consulting teams, to be used for awarding design and/or construction contracts on future building facilities SUBMITTED BY: Director of Public Works ~ ~{/ REVIEWED BY: City Manager ~ ~/ (4/Sths Vote: Yes No X ) On April 17, 2000, the Department of Public Works issued a Request for Qualifications (RFQ) for Construction Manager/Constructor Services, requesting statements of qualifications from Construction Managers/Constructors (CMC) qualified to provide the City with proper guidance and assistance in value engineering, construction management and construction services coordination for City Capital Improvement Projects. On May 19, 2000, the City received a total of 18 submittals in response to the RFQ. (Please see Attachment 1 for a complete list of firms). A selection committee appointed by the City Manager has reviewed and ranked the submittals and conducted interviews with the top six consulting teams. This resolution will establish the priority list consisting of six teams which shall remain in effect for three years. RECOMMENDATION: That Council approve a resolution establishing a Construction Management Services Priority List, comprised of six consulting teams, to be used for awarding design and/or construction contracts on future building facilities. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: The specific project requiring a proposal under the RFQ involved the renovation and expansion of the existing facility that the City intends to use as its Public Works Operations Facility and Corporation Yard. The RFQ indicated that additional City projects for which CMC services may be required over the next three years include a new Police Department facility, the expansion of the Civic Center, new fire stations, parks/recreation facilities, and/or other projects yet to be identified. The RFQ also indicated that future projects may provide the opportunity for space planning, programming, architectural services, remodeling services or cost estimating. Ten days after issuing the RFQ, City staff held a pre-submittal conference that was attended by 42 consulting firms. Following the pre-submittal conference, City staff issued an addendum to the RFQ, which gave the City the option to use the "Design/Build" process to complete future building projects. (Design/build as a project delivery option was approved through a Charter amendment in March, 2000.) The addendum was intended to expand the project delivery system alternatives available to the City under the subject RFQ to include the design/build approach and give the City the flexibility to determine and utilize the most appropriate project delivery system for use in future projects. Page 2, Item: Meeting Date: 6/20/00 Prior to use of the design/build format, an implementing ordinance will be presented to the Council for consideration. The following is a brief description of the different project delivery systems that, in addition to the traditional design-bid-build approach, the City can use in the design and construction of the different building projects: 1. Construction Manager/Constructor Approach Under this approach, the CMC will perform services acting as the City's representative and agent to manage the planning, design, bidding process, and construction of a given project. The CMC conducts the bidding process pursuant to City rules and regulations and the City contracts directly with separate specialty contractors to perform the various trades comprising the entire scope of work. Under this approach, the CMC does not act as a general contractor, but rather as a construction manager/constructor representing the City in managing the work under direction of City staff. Pursuant to the RFQ, the CMC shall not be allowed to self-perform any trade work nor contract directly with affiliates to perform such work. Because the CMC does not act as a general contractor under this delivery system liability usually shouldered by the general contractor falls to the City. However, the benefit to the City is that the CMC represents the City's interest, and, the typical "incentives" for a general contractor to process change orders in order to increase profits is reduced substantially. 2. Construction Manager Fixed Fee This second approach is similar to the first when it comes to the administration and execution of the work, however, the CM does act as a general contractor. The CM is required to conduct a public bidding process pursuant to City requirements. After completion of that process, the CM will make a recommendation for the award of subcontractor. The City Council awards a contract to a subcontractor for the performance of trade work. The City Council may also assign the financial responsibility and contract management to the CM. The City is then billed through the CM for the subcontractors work. The CM then becomes responsible for the work and guarantees its quality and standard. This delivery system again has the CM representing the City's interest and reduces the typical "incentives" for a general contractor to process change orders. Additionally, the approach gives the CM more control over scheduling, subcontractors and other issues that may arise duhng construction. 3. Design/Build Delivery System This approach closely links design with construction management services in the interest of producing the best possible project. The design and construction components are bid as a package resulting in better communication between the contractor and the architect and a more efficient use of time, staff and materials. The City Attorney's Office is preparing a design/build ordinance for submittal to Council for approval in the fall of 2000. Following adoption of the ordinance, the City can begin utilization of the design/build format. Page 3, Item: ~ Meeting Date: 6/20/00 THE SELECTION PROCESS The selection committee was comprised of Dave Rowlands - City Manager, Sid Morris - Assistant City Manager, John Lippitt - City Engineer, Rick Emerson - Police Chief, Elizabeth Hull - Deputy City Attorney, Dave Byers - Deputy Director Public Works Operations, Samir Nuhaily - Senior Civil Engineer and Dick Thompson - Building Projects Supervisor. An initial screening process was conducted to select those firms most qualified to be invited to make presentations and participate in the interview process. The 18 proposals submitted were reviewed for the following: Completeness of response to the RFQ Proposals related to the phasing and construction of the Corporation Yard Staff availability and proposed team for the project Qualifications, experience and resources Specificity of experience related to: · The proposed Corporation Yard Project · Other anticipated projects including but not limited to a new police facility, new fire stations, a new library, implementation of the Civic Center, etc. Six finns were subsequently identified to be invited to make a follow up presentation and participate in an interview. These included: ~ Bitterlin Development Corporation )~ Douglas E. Bamhart, Inc. Vanir Construction Management, Inc. Gafcon, LLC Turner Construction Company Highland Partnership, Inc. Presentations and interviews were scheduled with each of the firms to more specifically discuss the selection of a Construction Manager Constructor for the Corporation Yard. Each firms was given approximately one hour for a presentation and to respond to questions from the panel. In addition to those items listed above, firms were rated on the following: n Project understanding Completeness of presentation [] Experience and qualifications of the proposed project team Proposals related to the administration of the project Software support system [] Proposed project phasing and construction timeline Highland Partnership, Inc. was selected unanimously as the highest overall rated responder for the Corporation Yard Project. Highland Partnership, Inc submitted a detailed presentation that best reflected the timeline, relevant experience and support system that staff felt necessary for the timely construction and occupancy of the Corporation Yard. In addition, Highland submitted a draft set of bid documents specific to the Corporation Yard that, with minor amendments, Page 4, Item: __ Meeting Date: 6/20/00 could be ready for inmqediate distribution. Staff will begin contract discussions with Highland Partnership, Inc. and return to the City Council in July for approval. List of Qualified Contractors In addition to selecting a CMC for the Corporation Yard, the purpose of the interview process was to select those firms qualified to be placed on a priority list of"qualified contractors". The list would be good for three years and used to award future projects. The purpose of the proposed list is to give the City the flexibility to efficiently and expeditiously respond to the processing and construction of future public facilities. Based on the interviews, staff believes that all six respondents were highly qualified and should be placed on the list for future projects. The list will be maintained with the firms in no particular order and any firm may be called upon for any future project. As projects are identified, staff has the option to: [] Award the proposed contract to any contractor on the list subject to Council approval, as is allowed under the RFQ language for the Corporation Yard, or ta Invite the firm(s) with the most relevant experience to submit a proposal and negotiate a contract for Council approval, or rn Bid the proposed project using one of the construction management techniques identified above. . In the RFQ the City reserved the fight to reject any or all proposals in the City's sole discretion at any time prior to an award. Based on the presentations, staff found all six contractors to be qualified and recommends that all be placed on the qualified contractors list. Future Prqiects Staff has identified the new Police Facility and the implementation of the Civic Center Master Plan as the most immediate projects to be considered In light of the impressive responses received from this RFQ, staff plans to hold interviews on June 21 and select a team from the priority list to prepare the Space PlarffProgranuning phase for the Police Department building and the Civic Center Expansion project. Staff felt that Highland Partnership, Inc., Turner Construction Company, and Douglas E. Barnhart, Inc. have the most directly relevant experience for these projects. Staff will return to the City Council with a report and recommendation on the outcome of these interviews and a proposed contract for review and approval. FISCAL IMPACT: There are no fiscal issues associated with action on this resolution. H:\SHARED\ATTORNEY\CMC PRIORITY LIST ATTACHMENT 1 LIST OF RESPONDENTS Construction ManagedConstructor Services Beneco Bittedin Development Corporation Douglas E. Bamhart, Inc. Ferrell Gafcon, LLC Hanscomb Highland Partnership, Inc. Holmes & Narver, Inc. JVB Construction Management Kaiser Engineers Larson, Ninyo and Moore Ninteman Quest Construction Ray Wilson Simon Wong Engineering TriMatrix Corp. Turner Construction Company Vanir Construction Management, Inc. RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ESTABLISHING A CONSTRUCTION MANAGEMENT SERVICES PRIORITY LIST, COMPRISED OF SIX CONSULTING TED~MS, TO BE USED FOR AWARDING DESIGN AND/OR CONSTRUCTION CONTRACTS ON FUTURE BUILDING FACILITIES WHEREAS, on April 17, 2000, the Department of Public Works issued a Request for Qualifications (RFQ) for Construction Manager/Constructor Services, requesting statements of qualifica-tions from Construction Managers/Constructors (CMC) qualified to provide the city with proper guidance and assistance in value engineering, construction management and construction services coordination for City Capital Improvement Projects; and WHEREAS, on May 19, 2000, the City received a total of 18 submittals in response to the RFQ; and WHEREAS, a selection committee appointed by the City Manager has reviewed and ranked the submittals and conducted interviews with the top six consulting teams; and WHEREAS, this resolution will establish the priority list of qualified contractors which shall remain in effect for three years; and WHEREAS, those firms on the priority list are in no particular order of preference and any firm on the list may be called upon for any ~uture project. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby establish a Construction Management Services Priority List, comprised of six consulting teams, to be used for awarding design and/or construction contracts on future building facilities as follows: Douglas E. Barnhart, Inc. Bitterlin Development Corporation Gafcon, LLC Highland Partnership, Inc. Turner Construction Company vanir Construction Management, Inc. Presented by Approved as to form by John P. Lippitt J~n M. Kah~ny// Director of Public Work City Attorney ~ [H:\HOME~TTORNE~RESO/CMG Services (June 16, 2000 (I 1:27am)] 1 CITY COUNCIL AGENDA STATEMENT ITEM NO.: ~ MEETING DATE: 06/20/00 ITEM TITLE: RESOLUTION APPROVING [A] A SECOND AMENDMENT AND RESTATEMENT OF THE EASTLAKE GREENS AFFORDABLE HOUSING AGREEMENT AND [BI THE AFFORDABLE HOUSING IMPLEMENTATION PLAN IN CONJUNCTION WITH THE EASTLAKE GREENS PROGRAM SUBMITTED BY: COMMUNITY DEVELOPMENT DIRECTOR REVIEWED BY: CITY MANAGER 4/STHS VOTE: YES ~ NO ~ This item will be delivered under separate cover on Friday, June 16, 2000. CITY COUNCIL AGENDA STATEMENT ITEM NO.: MEETING DATE: 06/20/00 ITEM TITLE: RESOLUTION APPROVING lA] A SECOND AMENDMENT AND RESTATEMENT OF THE EASTLAKE GREENS AFFORDABLE HOUSING AGREEMENT AND lB] THE AFFORDABLE HOUSING IMPLEMENTATION PLAN IN CONJUNCTION WITH THE EASTLAKE GREENS PROGRAM SUBMITTED BY: COMMUNITY DEVELOPMENT DIRECTOR ~ REVIEWED BY: CITY MANAGER ~t~; 4/5THS VOTE: YES BACKGROUND On August 4, 1998 by Resolution Number 19135, the City approved an amendment to the EastLake Greens affordable housing agreement to incorporate some revised construction benchmarks and to review and approve the establishment of a first-time home ownership program ("Greens Program") for the EastLake Greens affordable units. EastLake Development Corporation proposed to build the affordable units as a "for-sale" projed and requested City assistance in developing a first-time homebuyer program. The Greens Program is the first of its type in the City. Council approved providing HOME Investment Partnership Program (HOME) funds to assist purchasers of the affordable units with down payment and closing cost assistance. The purpose of this item is to amend the EastLake Greens Affordable Housing Agreement previously approved on August 4, 1998 and incorporate the Affordable Housing Implementation Plan in conjundion with the EastLake Greens Program. RECOMMENDATION That the City Council approve the resolution la] approving a second amendment and restatement of the FastLake Greens Affordable Housing Agreement and lb] the Affordable Housing Implementation Plan for the EastLake Greens Program. BOARDS/COMMISSIONS RECOMMENDATION The Housing Advisory Commission has previously approved the use of City funds for the Greens Program at the meeting of July 22, 1998. PAGE 2, ITEM NO.: MEETING DATE: 06/20/00 DISCUSSION The EastLake Greens affordable housing agreement is unique in the method of satisfying the City's affordable housing requirement by providing 130 for-sale units. The typical method of providing affordable housing opportunities for .Iow-income households has been the production of rental units. The EastLake Greens project will be Chula Vista's premier affordable for-sale project located within the EastLake community. The EastLake Development Company and Western Pacific (project builder) have worked diligently with staff to bring this project to fruition. Affordable Housin~l Agreement On August 4, 1998 by Resolution 19135, the City approved amending the EastLake Greens affordable housing agreement to incorporate revised construction benchmarks. Through the course of two years, EastLake has been challenged in their attempt to locate a builder to meet the fiscal and architectural components of providing a for-sale product. After numerous meetings with City staff, EastLake selected Western Pacific to build the for-sale component of the project. This delay in selecting a builder has placed EastLake in a position of not meeting the construction benchmarks as approved by Resolution 19135. Therefore, an amendment to the agreement is required and is aftached as Exhibit A. While fine tuning the financial pro forma, ~wo other changes occurred which create the need to amend the agreement. The first component is that the production of affordable units has changed from 187, as originally stated in the agreement, to 130. According to the Inclusionary Housing requirement, EastLake is only required to produce 130 affordable units within the Greens project. However, EastLake had discussions with the Otay Water District to acquire a vacant parcel adjacent to the Greens site. EastLake received approval from the Board of Commissioners from the Otay Water Distrid to purchase this parcel. With the additional acreage, EastLake communicated to staff their intent to provide 187 units within the Greens site. The additional 57 units would create a surplus for EastLake to utilize within another EastLake development project to satisfy a podion of that project's affordable housing requirement. In recent discussions with EastLake and Western Pacific, it was communicated to staff that the Otay Water District parcel was no longer available for purchase. Apparently, a management change has occurred within the Otay Water District resulting in the Board of Commissioners deciding not to sell the parcel to EastLake. This placed EastLeke in the position of having to reduce the number of affordable units from 187 to 130. Again, Ec~stLake was only required to produce 130 units. The second component is the amount of City participation required. The previous agreement called for $935,000 in City participation or $5,000 per unit for 187 units. With the reduction in affordable units, from 187 units to 130 units, the City participation has been reduced to $650,000 ($5,000 per unit). Affached as Exhibit A is the second amendment to the EastLake Greens Affordable Housing agreement. PAGE 3, ITEM NO.: MEETING DATE: 06/20/00 Table 1 below summarizes the changes to the EastLake Greens Affordable Housing Agreement. Table 1 Amendments to EastLake Greens Affordable Housing Agreement Amended Agreement Second Amended Agreement Impact Effective Date - August 4, 1998 June 20, 2000 No Impact Did not identify Project Builder Identifies Western Pacific as Project No Impact Builder Number of Units Identified as 187 Number of Units identified as 130 Reduction of 57 units which were expected to be used as a credit in another EastLake development Change in Developers Schedule Revised Developers Schedule o:o Submittal of Tentative All revised benchmarks have been Map due June 1, 1998 .-*. Submittal of Tentative Map due completed o:0 Site Grading Permit October 31, 1998 obtained by March 30, 1999 *:o Site Grading Permit obtained by June 30, 1999 Duty to Build 260 units Duty to Build 252 Units This revision is based on architectural design of the units Construction Milestones-Duty to Revised Construction Milestones-Duty to No significant impact since the firs1 Build Build Phase of the affordable units have · :, Tentative Map submitted *:o Tentative Map approved by City sold - There are 12 to 15 units per by October 31, 1998 of Chula Vista Phase · :, Site Grading Permit o:o Site Grading Permit obtained by obtained by March 30, May 30, 2000 1999 o:* Obtain First Building Permit by Obtain First Building Permit by November 30, 2000 Nov 30, 1999 Did not Reference Affordable References Affordable Housing Implementation Plan is the tool for Housing Implementation Plan Implementation Plan the Greens Program guidelines Identified City Participation in the Revised City Participation in the amount Reduction in the production of 57 amount of $935,000 ($5,000/unit of $650,000 ($5,000/units for 130 units) affordable units caused by the for 187 units) Developer's inability to acquire a parcel adjacent to the Greens property. Additional units would have been available to Developer to transfer to another development. Developer is providing units in accordance with Inclusionary Housing Requirement Did not have Section 10 - Release Incorporates Section 10 - Release of As units close escrow, units will be of Units Units release from the terms of the Second Amended and Restated Affordable Housing Agreement PAGE 4, ITEM NO.: MEETING DATE: 06/20/00 Greens Proqram Since the development of the affordable units will be a for-sale product, it was necessary to develop a firshtime home buyer program to assist lower income households become homeowners. It was determined that the obstacle to homeownership for this income category is the accumulation of the down payment and closing costs. Therefore, a program has been developed to assist in the down payment and closing costs with an average of $5,000 in City funds per unit. A minimum of $3,000 will be used for down payment assistance in the form of a Second Trust Deed Note repayable upon sale or transfer of the property. Interest charged on the City's loan has been set at a market rate of 8 percent. This equates to a payment of approximately $22.00 per month for 30 years. In the event the homeowner would like to refinance their first mortgage and request "cash out", the City loan will be due and payable. The remaining $2,000 in City funds will be used for non-recurring closing costs and will be forgiven by the City Under normal circumstances, it can be difficult for lenders to qualify potential home buyers for a mortgage loan and more of a challenge to qualify Iow-income households. It was recommended by EastLake's lender that California Housing Finance Agency (CHFA) funds be used in addition to the City's funds to assist in qualifying the Iow-income households. The CHFA program is able to offer below market fixed-rate loans to qualified buyers. CHFA receives funding from the California Debt Limit Allocation Committee (CDLAC) in the form of Mortgage Revenue Bonds. Staff was open to the idea of maximizing City funds with CHFA funds to assist in qualifying Iow-income households. EastLake Greens Unit Mix Western Pacific has identified three (3) plans for the affordable units. These have been designed as attached townhouses including attached and detached garages. Table 2 on the following page summarizes each plan, the approximate square footage, and the affordable price ranges. Table 2 EastLake Greens Unit Mix Plan 1 Plan 2 Plan 3 63 units 63 units 4 units 2-BP,/2BA with a Deck 2BR/2.5BA 3-BR/2.5 BA 1,139 square feet 1,180 square feet 1,321 square feet (approximately) (approximately) (approximately) 1-car a~ached garage 1-car a~tached garage 1 -car detached garage Price: $129,000 Price: $135,000 Price: $135,000 PAGE 5, ITEM NO.: MEETING DATE: 06/20/00 There are going to be 122 market-rate units incorporated within the EastLake Greens development for a total of 252 units. Of the 122 market-rate units, 59 units are 3BR/2.5 BA with an approximate square footage of 1,321 along with a 1 -car detached garage. Market-rate price for these units is estimated at $169,900 to $179,900. The remaining 63 market-rate units are 3BP,/2.SBA with an approximate square footage of 1,525 and a 1-car attached garage. Market-rate price for these units is estimated at $179,900. and $189,900. Affordable Housing Implementation Plan This document will be used to implement the second amended affordable housing agreement, the Greens Program and other issues relating to the EastLake Greens project. Incorporated within the AHIP is a provision explaining what would happen if EastLake is unable to sell an affordable unit to a qualified first-time homebuyer. This provision is known as the "cost-based approach" to selling an affordable unit. Under this approach, if EastLake is unable to sell an affordable unit within 90 days of the release of each phase, the unit may be sold at the affordable price to a non-qualified purchaser without the use of any City funds. However, due to current market conditions, the increase in interest rates, and the difficulty of qualifying lower income first-time homebuyers, EastLake is required to use every effort possible to place that affordable unit with a qualified family. In the event this does not occur and the unit is sold to a non-qualified buyer, EastLake is requesting credit as an affordable housing unit. Staff has discussed this "cost-based" approach with the City Attorney's office and has received concurrence that this is acceptable since City funds will not be used in the transaction. It is expected that the "cost-based" approach will only be used as a last resort after all other possibilities have been exhausted. It is staff's intent to ensure that the affordable units be acquired by qualified purchasers. Staff is proposing two options to implement prior to having the unit sold to a non- qualified buyer as described under Option Three. Each option is outlined below: Option One If the Iow income purchaser cannot qualify for a mortgage loan utilizing the $3,000 in City assistance for the down payment, staff is prepared to increase the amount of City assistance in an amount not-to-exceed $10,000. This amount represents an approximate down payment of 7.5 percent and would be sufficient for the qualified purchaser to acquire the affordable unit. The $10,000 would be a City loan secured by a Second Trust Deed and would represent an approximate payment of $73.00 per month. Funds are available from the HOME Investment Partnership (HOME) program. Option Two tn the event an affordable unit cannot be sold to a Iow-income purchaser within a 90-day timeframe, the City has the option to purchase the unit outright and maintain ownership for one year. During that year, the City will be required to sell the unit. The City would have the option to PAGE 6, ITEM NO.: MEETING DATE: 06/20/00 sell the unit to anyone, but the intent would be for the Ci~/to sell it to a Iow-income first-time homebuyer at the affordable price in order to ensure that the unit is preserved as an affordable unit. Staff will explore every option available to first-time homebuyers in order to continue to preserve the integrity of the Greens Program requirements. Funds for this transaction are available under the HOME program. It is anticipated that this option has a Iow rate of occurrence since Western Pacific has an established list of over 800 applicants. If it is deemed necessary for the Cih/to purchase an affordable unit, staff will return to the Redevelopment Agency for approval and an appropriation of HOME funds. Option Three In the event Option One or Two is not feasible, Option Three, the "cost-based" approach previously described is available. Under this option, the affordable unit will be sold by the builder to a market- rate purchaser at the affordable price. The affordable prices for this development range from $129,000 to $135,000. The market rate prices for the same ~/pe of units range from $169,900 to $189,900. Since the amount of developer subsidy is substantial, the City is proposing to place sanctions on the purchaser to ensure that the purchaser does not realize a windfall upon saJe or transfer of the properly. For example, if an affordable unit is sold at the affordable price of $135,000 to a market-rate purchaser, that purchaser realizes an instant equity of approximately $34,900 (market rate price of $169,900 minus the affordable price of $135,000). The Cib/will encourage the purchaser to remain in the unit for a minimum of two years by recapturing 100 percent of the equity if the unit is sold within two years, or $34,900. If, on the other hand, the unit is sold after the two-year period, the City will recapture 25 percent of the total equity that has accumulated. For example, if the unit is sold in year three and the appraised value is $179,900, the City will recapture 25 percent of the difference between the affordable price of $135,000 and the appraised value of $179,900. This amount is approximately $11,225. The balance of $33,675 will go to the seller. As previously discussed, Option Three will be used only as a "last resort". Staff and Western Pacific will be meeting on a bi-weekly basis to monitor the sale of the affordable units. This high level of monitoring will keep staff informed as to the rate the affordable units are being sold and will ensure Option One and Option Two can be utilized prior to Option Three. In addition, since the City will be able to recapture a portion of the developer equi~,, the City will allow EastLake to count the units under Option Three toward their affordable housing obligation. The City will then have the ability to utilize the recaptured funds to provide additional affordable units within the City. Projected Sales of the EastLake Greens Affordable Units In March 2000, Western Pacific released the first phase of the EastLake Greens affordable units. Each phase consists of between 12 and 15 units. The first phase has already received commitments from qualified first-time homebuyers and this trend is continuing for phase two. Approval of the second amendment and the Affordable Housing Implementation Plan will allow Western Pacific to release phases more rapidly than is currently being released. PAGE 7, ITEM NO.~ MEETING DATE: 06/20/00 With regard to the CC&R requirements for the EastLake Greens project, staff has requested a copy to ensure that the CC&Rs are consistent with City policies for this type of development. City funds will not be released until such time as staff and the Altorney's office have reviewed and approved the CC&Rs. FISCAL IMPACT Funds in the amount of $650,000 have been approved and budgeted under the HOME Investment Partnership (HOME) Program budget. Staff will be responsible for monitoring the Greens Program for compliance with all regulatory requirements. Funds for monitoring are budgeted in the Administration portion of the HOME budget. Upon sale or transfer of the affordable units, those funds will be placed in a revenue account for use in providing affordable housing opportunities city-wide. Attachments: Exhibit A Second Amendment of the EastLake Greens Affordable Housing Agreement [ATWOOD] H:\HOMI~\COMMDEV~STAFF.REP\06-20-00\EastLake Greens Amended Agreement.doc RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING IAI A SECOND AMENDMENT AND RESTATEMENT OF THE EASTLAKE GREENS AFFORDABLE HOUSING AGREEMENT AND [B] THE AFFORDABLE HOUSING IMPLEMENTATION PLAN IN CONJUNCTION WITH THE EASTLAKE GREENS PROGRAM WHEREAS, on August 4, 1998, the City Council adopted the an amendment to the Affordable Housing Agreement for the Planned Community of Eastlake by Resolution 19135 to incorporate revised construction benchmarks and to review and approve the establishment of a first-time homebuyer program ("Greens Program'~ for the EastLake Greens Project ("Project"); and WHEREAS, EastLake Development Corporation proposed to build the affordable units as a "for-sale" Project and requested City assistance in developing a first-time homebuyer program; and WHEREAS, for the reasons stated in the staff repod, there was a change in a number of conditions to the Project that required an amendment to the Affordable Housing Agreement, adopted by Resolution 19135; and WHEREAS, staff and Developer negotiated a second amendment to the amended agreement to provide for the provision of 130 affordable housing units on certain terms and conditions contained in said agreement; and WHEREAS, such second amendment and restated agreement incorporates the Affordable Housing Implementation Plan which is also submitted for City Council consideration. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby [a] approve a Second amendment and restatement of the Eastlake Affordable Housing Agreement in the form presented and attached hereto; and [bi approve the Affordable Housing Implementation Plan in conjunction with the Eastlake Greens Program attached and incorporated to the Second Amendment thereto. BE IF FURTHER RESOLVED that the City not release any funds until such time as staff and the City Attorney's office have reviewed and approved the CC&Rs for the Project and all other documents desefibed in the Affordable Housing Implementation Plan. Presented by Approved as to form by Chris Salomone John M. Kaheny Director of Community Development City Attorney [ATWOOD] H:~HOME\COMMDEV~RESOS\EASTLAKE GREENS SECOND AMENDMENT(June 16, 2000 (11:08AM}] '"9 Recording Requested by CITY CLERK OF CHULA VISTA When Recorded, Mail to: CITY OF CHULA VISTA 276 Fourth Avenue Chula Vista, CA 91910 Attn: City Clerk ABOVE SPACE FOR RECORDER'S USE SECOND AMENDED AND RESTATED AFFORDABLE HOUSING AGREEMENT [EastLake Greens] THIS SECOND AMENDED AND RESTATED AFFORDABLE HOUSING AGREEMENT ("Agreement") is entered into effective as of June ,2000 ("Effective Date"), by and among THE EASTLAKE COMPANY, LLC, a California limited liability company("Developer"), WESTERN PACIFIC HOUSING-EASTLAKE, LLC, a California limited liability company ("Builder") and the CITY OF CHULA VISTA, a California municipal corporation ("City"), with reference to the following facts: A. Developer is the master developer of that certain real property, described on Exhibit "A" attached hereto and incorporated herein by this reference, located in the Eastern portion of the City of Chula Vista ("EastLake Greens"). Western Pacific Housing-Eastlake, LLC, a Delaware limited liability company ("Project Builder"), has the right to acquire that portion of the EastLake Greens identified as Parcel R-26 on the EastLake Greens SPA ("Project Property"). B. On July 18, 1989, the City approved a Master Tentative Map for EastLake Greens by Resolution Number 15200 ("EastLake Tentative Map"). Condition number 44 of the EastLake Tentative Map required that a Iow and moderate income housing program with a goal of providing 5% Iow and 5% moderate housing units ("Affordable Housing Program") within the EastLake Tentative Map area be established. (A 1% deviation resulting in the construction of 4% Iow and 6% moderate income housing u_nits was originally deemed acceptable). The City deferred the Affordable Housing Program pending further evaluation of the City's General Plan density policies. C. On December 12, 1993, the City adopted a General Plan Amendment (GPA- 93-04) by Resolution Number 17309, which reinstituted the Affordable Housing Program previously established by Condition Number 44 of the EastLake Tentative Map. WESTPAC/ANTIGUA SECOND AMENDED AFFORDABLE HOUSING AGREEMENT 24464~)0029---1496987.5 1 6/15/00 D. On July 25, 1995, the City adopted the Affordable Housing Program for the Planned Community of EastLake ("EastLake Program"), including an Affordable Housing Agreement ("Original Agreement") made on the same date, by Resolution No. 17982. The parties entered into the Original Agreement as an initial means of implementing the Iow income housing requirement of Condition No. 44 of the EastLake Tentative Map. On December 12, 1995, the City adopted the EastLake Program as an Appendix to the EastLake Greens SPA Plan by Resolution No. 18159. On August 4, 1998, the parties entered into an Amended and Restated Affordable Housing Agreement ("Amended Agreement") which was adopted by the City on August 4, 1998 by Resolution No. R19135. E. In accordance with the Amended Agreement, the Developer's duty to build Iow income housing units requires that the Developer shall construct or cause the construction of a total of one hundred eighty-seven (187) Affordable Units in accordance with the following schedule: (1) the Developer shall submit atentative map by no later than October 31, 1998; (2) the Developer shall obtain a site grading permit no later than March 30, 1999, and the first building permit by no later than June 30,1999; (3) the Developer shall sell at least one hundred thirty (130) Affordable Units by no later than twenty-four (24.) months after the issuance of the first building permit and the remaining fifty-seven (57) Affordable Units by no later than thirty (30) months after the issuance of the first building permit. City has the absolute and unfettered right to withhold the issuance of any further building permits within EastLake Greens if Developer has failed to perform according to the Duty or Conditional Duty to Build. F. The parties now desire to amend and restate the Amended Agreement to reduce the number of Affordable Units, to revise the schedule in order to implement the requirements of Condition No. 44 of the EastLake Tentative Map and the requirements of the EastLake Program (the "Greens Requirement"), and to approve Builder as the builder of the Affordable Units on the terms and conditions set forth below. NOW, THEREFORE, the parties agree as follows: 1. Definition. Unless otherwise indicated, for purposes of this Agreement, the term "low income housing" shall mean housing units which are affordable to qualified families whose income levels are at or below 80% of Area Median Income as defined by HUD guidelines of the regional median income. 2. Duty to Build. Developer agrees to cause to be developed a multi-family housing project ("Project") of approximately two hundred fifty-two (252) units which includes one hundred thirty (130) Iow income housing units ("Affordable Units"). The Project shall be developed on the Project Property. City hereby approves the Project Builder. The Project shall be developed in substantial conformance with the site plan, elevations, and floor plans attached hereto as Exhibit "B." The tentative map for Parcel R- WESTPAC/ANTIGLIA SECOND AMENDED AFFORDABLE HOIJS~NG AGREEMENT 26 has been submitted to and approved by the City. Project development shall proceed in accordance with the following milestones: (1) a site grading permit shall be obtained by no later than May 30, 2000; and (2) the first Project building permit shall be obtained by no later than November 30, 2000. Developer shall thereafter cause the construction of the Project to be diligently pursued to completion. Developer shall cause the construction of the Project regardless of any further or additional development taking place from the date of this Agreement within EastLake Greens. 3. Duty to Implement Affordable Housing Program. Developer shall cause the Affordable Units to be marketed and sold in accordance with the City's goals, policies and programs contained in the Housing Element of the General Plan and the EastLake Greens Affordable Homeownership Program ("Greens Program") attached hereto as Exhibit "C" and incorporated herein by this reference, and the EastLake Greens Affordable Housing Implementation Plan ("Implementation Plan") attache(f-hereto as Exhibit "D" and incorporated herein by this reference. In the event that Fannie Mae determines that the Greens Program and/or Implementation Plan loan provisions fail to conform to applicable Fannie Mae guidelines, both parties agree to modify the Greens Program and/or Implementation Plan to the extent necessaryto obtain Fannie Mae conformance. All ofthe Affordable Units shall be sold in accordance with this Agreement, the Greens Program and/or Implementation Plan by no later than twenty four (24) months after the issuance of the first building permit for the Project. In the event that there is an inconsistency between this Agreement, the Greens Program and the Implementation Plan, the Implementation Plan shall control. 4. Satisfaction of Tentative Map Condition No. 44. Any Affordable Housing Units developed and sold in accordance with the terms of this Agreement shall be credited towards Developer's obligation to provide Iow income housing units in an amount equal to 5% of the total residential units developed within EastLake Greens. 5. Development Permits, Maps and Documents. Developer shall, at its sole expense, cause the preparation and diligent processing of all permits, agreements, plans, maps and other documents that are necessary to construct the Project in the time frames set forth herein, or shall cause such actions to occur. City and Developer agree to cooperate with each other in processing Developer's permits for the Project. Any unreasonable delay caused by City in this regard that is not caused by the fauJt of the Developer shall not be cause for City declaring Developer in default hereunder and Developer's performance schedule may be extended for a period of time equal to such delay provided that Developer has used, and continues to use, its best efforts to cause Project completion in a timely manner. 6. Riqht to Withhold Permits. In the event that Developer fails to perform any of its obligations hereunder, in addition to any and all other rights and remedies the City WESTPAC/ANTIGUA SECOND AMENDED AFFORDABLE HOUSING AGREEMENT 24464-00029~1496987 5 3 may have at law or in equity, the City shall have the absolute and unfettered right to withhold the issuance of any building permit for the Project until Developer cures such default and guarantees timely completion of the Project on terms and conditions required by City. 7. Affordable Housing Credits. City and Developer acknowledge that the development of the Project may create Affordable Units in excess of the Greens Requirement ("Surplus Units"). Subject to future agreements between City and Developer, and subject to City affordable housing policies and needs assessments as they may be amended from time to time, City and Developer agree that the Surplus Units may be utilized first to satisfy affordable housing requirements as part of Developer's affordable housing requirements, next to satisfy the affordable housing requirements for other developers' EastLake residential projects within the overall_EastLake Project, and then to satisfy any other residential projects within the City. 8. City Assistance to Proiect Affordability. In recognition of the need to assist the private market to accomplish the goal of providing Iow income affordable home ownership, provided the Developer is in compliance with the terms and conditions of this Agreement and the Implementation Plan, the City shall provide financial assistance in accordance with the Implementation Plan to assist the Affordable Units in an amount averaging $5,000 per Iow income assisted unit up to a total of $650,000 for 130 units, based on the standards set forth in the Implementation Plan. Should City and Developer mutually agree that it is in their joint interest to develop any Surplus Units, Developer may request and City will use its best effort to provide necessary additional financial assistance in an amount averaging $5,000 for each such Surplus Unit, not to exceed $935,000. City also agrees to use its best efforts to expedite processing of approvals and to diligently carry out its role in the Greens Program and the Implementation Plan, provided Developer is cooperating with City in pursuing such approvals and the performance of the Greens Program and the Implementation Plan. 9. Developer Assistance to Proiect Affordability. City acknowledges that Developer has provided assistance to construct and sell the Affordable Units in the form of a reduced sales price to Project Builder for the Project Property. Notwithstanding anything contained in this Agreement it is the Developer's sole obligation to satisfy its duty to build the Iow income units. Developer acknowledges and accepts the risks attendant to developing and selling the Iow income units according to the Greens Program. 10. Release. Portions of the Project Property shall be automatically released from this Agreement upon the close of escrow for the sale of an Affordable Unit to a member of the homebuying public pursuant to a final subdivision public report issued by the California Department of Real Estate ("Partial Release"). In addition, Developer and/or Builder shall have the unilateral right, but not the obligation, upon completion of WESTPAC/ANTIGUA SECOND AMBNDED AFFORDABLE HOUSING AGREEMENT 24464~0029~1496987.5 4 6/15100 construction of 130 Affordable Units, to request a release of all of the Project Property from this Agreement ("Complete Release"). Within fifteen (15) days after receipt of a written request therefor, the City shall cooperate with Developer and Builder by executing any documents and taking any such other action as may be reasonably necessary to effect any such Partial Release or Complete Release, including, without limitation, signing a quitclaim deed in recordable form conveying the interests of the City under this Agreement. 11. General Provisions. a. Authority of Signatories. The individual signing this Agreement on behalf of the City warrants that (I) he or she is duly authorized to sign and deliver this Agreement on behalf of the City in accordance with a duly adopted resolution of the City Council of the City and (ii) this Agreement is binding upon the City in accordance with its terms. Developer and each individual signing this Agreement on behalf of Developer warrants that (I) he or she is duly authorized to sign and deliver this Agreement on behalf of Developer, in accordance with a duly adopted resolution of the board of directors of the corporation or in accordance with the bylaws of the corporation, and (ii) this Agreement is binding upon the corporation in accordance with its terms. b. Counterparts. This Agreement may be executed in any number of counterparts, each of which will be deemed to be an original, but all of which together will constitute one instrument. c. Applicable Law. This Agreement will be construed and enforced in accordance with the laws of the State of California. d. Successors. All terms of this Agreement will be binding upon and inure to the benefit of the parties and their respective administrators or executors, successors and assigns. e. Modifications. No modification, waiverordischarge ofthis Agreement will be valid unless the same is in writing and signed by the parties of this Agreement. f. Entire Agreement. This Agreement contains the entire agreement between the parties relating to the transaction contemplated hereby and alF-prior or contemporaneous agreements, understandings, representations and statements, oral or written are merged herein. g. Attorney's Fees and Costs. If either party commences litigation for the judicial interpretation, reformation enforcement or rescission hereof, the prevailing party will be entitled to a judgment against the other for an amount equal to reasonable WESTPAC/ANTIGUA SECOND AMENDED AFFORDABLE HOUSING AGREEMENT 24464~0029~1496987.5 5 ' · 6/15/00 attorney's fees and court and other costs incurred. The "prevailing party" shall be deemed to be the party who is awarded substantially the relief sought. h. Exhibits. All exhibits referred to in this Agreement are attached, and are a part of, this Agreement. i. Captions. Captions in this Agreement are inserted for convenience of reference only and do not define, describe or limit the scope or the intent of this Agreement. j. Recordinq. The parties hereto shall cause this Agreement to be recorded against the Project Property in the Official Records of the County of San Diego. [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] WESTPAC/ANTIGUA SECOND AMENDED AFFORDABLE HOUSING AGREEMENT dUN.-15' O0(THU} 12:16 EASTLAKE TEL:f194211830 P: 005 Luc~ Forward or, ~1. ~/1~100 ~1:42 PAG~ ~/34 RightFA~ IN WITNESS WHEREOF, City and Developer and Builder have executed this Agreement effective as of June ,2000. CITY Of CHULA VISTA THE EASTLAKE COMPANY, LLC, a Califomia~~enY Mayor ~(N-~lliam T. Ost~'em,45resldent Dabra 1~. Kllng~r, Vice-President Beverly Authelet WESTERN PACIFIC City Clerk HOUSING - EASTLAKE, LLC, a Delaware limited liability company Approved as to form by By: LAMCO HOUSING, INC., a California corporation, its John M. Kaheny Managing Member City Attorney By: Name: Title: 06/15/00 TItTd 12:14 FAX 760 431 7842 WESTERN PACIFIC [~002 IN WITNESS WHEREOF, City and Developer and 1:3uilder have execute, I this Agreement effective as of June ,2000. CITY OF CHULA VISTA THE EASTLAKE COMPANY. LLC, a California limited liability company Shirley Horton By:. Mayor William 'T. Ost~em, President Attest: By: Debra T. Klinger, Vice-Preside Beverly Authelet WESTERN P,~CIFIC City Clerk HOUSING - EASTLAKE, LLC, a Delaware limited liability company Approved as to form by By; LAMCO HOUSING, INC., a California corporation, its John M. I~aheny City Attorney 06/15/00 THU 13:11 FAX 760 431 7842 WESTERN PACIFIC ~004 LUC~ ForWard et. &l. 6/15/00 11:~"? PAOE ~/~l~ ~n~'~ STATE OF CALIFORNIA ) personailyappeared % c.~ ~ ~~~ ' personally known t~m~ (or proved to me on ~e basis of safisfacto~ evidence) to be ~e person(s) ~ose nar le(s) islam subscribed to the wi~in ins~ment and ackno~sdged ~ me ~at he/she execu~d ~e same in his~er/~eir authorized capacities), and ~at by his~er'~eir signature(s) on the instrument ~e person(s) or ~e enfi~ upon behalf of whic~ the WITNESS my hand and official seal ~.o~.~.ueuc.c~u.:..,. ~ ~his area for ~icial no~dal s~ al) -/7 SIGNATURE PAGE TO SECOND AMENDED AND RESTATED AFFORDABLE HOUSING AGREEMENT (EASTLAKE GREENS) CITY OF CHULA VISTA Shirley Morton Mayor ATTEST: Susan Bigelow City Clerk APPROVED AS TO FORM John M. Kaheny City Attorney H: ~Home~Attorney~Agree~Signature .ELGU26 LIST OF EXHIBITS Exhibit "A". ................................ Legal Description of Real Property Exhibit "B". ................................ Site Plan, Elevations and Floor Plan Exhibit "C". ................ EastLake Greens Affordable Homeownership Program Exhibit "D". ............. EastLake Greens Affordable Housing Implementation Plan WESTPAC/ANTIGUA SECOND AMENDED AFFORDABLE HOUSING AGREEMENT 24464-90029~1496987.5 9. 6/15/00 Exhibit A Legal Description PARCEL 1 OF PARCEN MAP NO.__ IN THE CITY OF CHULA VISTA, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, BEING A LOT LINE ADJUSTMENT OF A PORTION OF THE NORTHEAST QUARTER OF SECTION 3, TOWNSHIP 18 SOUTH, RANGE 1 WEST, S.B.M., TOGETHER WITH PARCEL 1 OF PARCEL 1 OF PARCEL MAP NO. 17629 (THIS MAP IS CURRENTLY BEING PROCESSED WITH THE CITY OF CHULA VISTA AND SHOULD RECORD WITHIN ONE MONTH). A SUBSEQUENT FINAL MAP (NOTED AS SUBDIVISION BOUNDARY) AND PARCEL MAP (NOTED AS PROJECT BOUNDARY) WILL BE RECORDED ON THE PROPERTY. OWNER: EastLake Company 900 Lane Avenue, Suite 100 Chula Vista, CA 91914 619-421-0127 DEVELOPER Western Pacific Housing San Diego Division 2385 Camino Vida Robie, Suite 107 Carlsbad, CA 92009 760-929-1600 CITY OF CHULA VISTA, CALIFORNIA EASTLAKE GREENS PLANNING AREA R 26 ,. ', ', [.~,, X ! · ; ' " iL_.: _._.'-~ '~. I- EXHIBIT "C" EASTLAKE GREENS Affordable Home Ownership Program 1. Eligibility 1.1 Income - Buyer incomes may vary but shall not exceed 80% of the Area Median Income as published by the Department of Housing and Urban Development (HUD), adjusted for household size, and as adjusted from time to time by HUD. These incomes are shown in Attachment 1, Maximum Allowable Incomes and Pumhase Prices. Developer may also establish a minimum income for the purpose of defining the eligible market. 1.2 First-time Buyer - Buyer shall not have owned a home for a period of 3 years prior to purchase. Exceptions will be made for income-qualified displaced homeowners (e.g. legally separated or divorced persons currently owning or having owned a home with a spouse). 1.3 Owner Occupancy- Buyer must remain an owner occupant 1.4 Asset Limitation - Buyer shall not have liquid assets exceeding $25,000, in addition to amounts used for down payment. 1.5 Lender Underwriting Criteria - Buyer shall meet lender underwriting criteria that are certified to City by the lender as consistent with secondary mortgage market standards. Interest rate buydowns and/or adjustable rates are acceptable provided underwriting is based on a reasonable long-term (5 years or more) interest rate assumption and not on a short-term or "teaser" rate. 1.6 Minimum Mortgage/Down Payment Limits - Buyer shall be required to make a down payment from City funds equal to a minimum of 3% and a maximum of 20%. 2. Affordabilit¥ 2.1 Housing Cost · Generally, housing costs, including interest, principal, mortgage and homeowners insurance, and association fees shall not exceed 30% of gross income, however, a customary lender underwriting standard certified by a lender as consistent with secondary mortgage market standards will be deemed acceptable. 2.2 Affordable Purchase Price - This shall be an amount determined for each household and will be the sum of the down payment and qualified mortgage amount. Under no circumstances may a purchase price exceed the lesser of the Maximum Allowable Purchase Price defined as that which is affordable to a household earning 80% of the Area Median Income, adjusted for household size, or the fair market value of the sale unit substantiated by appraisal. These are subject to adjustment based on Area Median Income adjustments issued by HUD from time to time. 2.3 Seller Certification - Seller shall provide third-party cedification that buyer has met eligibility and housing cost Affordability requirements upon sale of unit. 3, Resale 3.'1 No restrictions - There shall be no price or buyer eligibility restrictions on resale. 3.2 Proceeds From Resale of an Affordable Unit Purchased by a Market-rate Purchaser shall be distributed in the following order: 3.2.1 If the resale occurs within a two year period, the City recaptures 100 percent of the difference between the affordable purchase price and the market-rate purchase price. If the sale occurs after the two year period the City recaptures 25 percent of the difference between the affordable price and the appraised value at the time of sale. 3.2.2 First Mortgage Principal Payoff 3.2.3 Return of Seller Investment - defined as initial down payment contribution and first mortgage principal reduction. 4, City Financial Participation 4.1 Down payment and Closing Cost Assistance - For these purposes, City will provide an amount averaging $5,000 per unit, assisting 130 units, up to a total of $6§0,000. Assistance shall be in the form of a Second Trust Deed with a market rate interest of 8 percent for a period of 30 years. The loan will be due upon sale or transfer. 4.2 Disbursement - Funds will be requisitioned and placed in escrows as needed. 4.3 Servicing. If City chooses not to service the City loans, a lender shall be selected to service the loans, with fees to be Paid by City. 5. Developer Financial Participation 5.1 Assistance Required- Developer shall provide the necessary financial assistance which, in addition to the City Financial Participation, will allow for construction and sale of the units according to the Amendment to the EASTLAKE Greens Affordable Housing Agreement and this Attachment. 6. Affordable Units 6.1 Quality - Affordable units will be constructed at a level of quality, including design, materials and workmanship, comparable to that of market units in the same project, in order to achieve the goal of having affordable units indistinguishable from market units. 6.2 Dispersion. To the extent possible, affordable units will be dispersed throughout the project, integrated among market units. 6.3 Concurrent Construction - Affordable units shall be constructed and sold concurrently with market units. 7. Marketing 7.1 Plan Required- Plan, including materials, shall be submitted for City approval, including Fair Housing/Affirmative Marketing strategy. 7.2 Live/Work Outreach - The Marketing Plan will provide a specific strategy to market the affordable home ownemhip opportunity to residents of and those working in the City of Chula Vista. Possible methods include using local targeted media, contacts with major employers, and outreach through local service agencies and non-profit institutions. 8. Home Buyer Education 8.1 Program Required - Prior to close of escrow, each buyer shall, at not cost, be required to complete a home buyer education program acceptable to the City. 9. Required Documents 9.1 Additional documents necessary for program implementation will be prepared and be subject to City approval. Documents (and the entity responsible for preparation) shall include, but not be limited to: 9.1.1 Marketing Plan (Developer) 9.1.2 Purchase and Sale Agreement (Developer) 9.1.3 Second Trust Deed and Note (City) 9.1.4 Compliance Reports (City) 9.1.5 Amendment to Affordable Housing Agreement (City) 9.1.6 Bank Servicing Agreement (Servicing Bank, if utilized/City) 10. Compliance 10.1 Compliance Reports - Third party certified compliance reports shall be required verifying eligibility and affordable sale. 10.2 Enforcement - Remedies for non-compliance will be as established in the Amended Affordable Housing Agreement between Developer and City. c:\office...g reens~fth bp EXHIBIT "D" EASTLAKE GREENS Affordable Housing Implementation Plan City of Chula Vista Prepared for: City of Chula Vista Community Development Department 276 Fourth Avenue Chula Vista, CA 91910 and The EastLake Company, LLC 900 Lane Avenue, Suite 100 Chula Vista, CA 91914 and Western Pacific Housing-EastLake, LLC San Diego Division 2385 Camino Vida Robie, Suite 107 Carlsbad, CA 92009 Prepared by: Culbertson, Adams & Associates, Inc. 85 Argonaut, Suite 220 Aliso Viejo, CA 92656 (949) 581-2888 June 2000 WESTERN PACIFIC/ANTIGUA/AHIP 244644)0029--1502152.6 6/14/00 Table of Contents I. Project History and Context ........................................ 1 1.1 Introduction ............................................... 1 1.2 Background ............................................... 1 1.3 Features of the AHIP ........................................ 2 1.4 Purpose of the AHIP ........................................ 2 II. Implementation Plan ............................................. 4 2.1 Introduction ............................................... 4 2.2 Buyer Eligibility ............................................ 4 2.3 Measures of Affordability ..................................... 5 2.4 Affordable Housing Requirements ............................. 6 III. Program Requirements/Procedures ................................. 6 3.1 Introduction ............................................... 6 3.2 City Financial Participation ................................... 8 3.3 Auditing .................................................. 9 3.4 Reporting and Accounting .................................... 9 3.5 Amendment Procedures .................................... 10 Attachments 1 Supplemental Housing Program Report 2 Status Reporting Summary Sheet 3 Buyer Income Certification Form 4 Individual Sales Summary Sheet 5 City Note 6 City Second Deed of Trust 7 Marketing Program 8. Resale Restriction Deed of Trust WESTERN PACiFIC/ANTIG UNAHiP 24464~)0029---1502152.6 6/14/00 I. Project History and Context 1. Introduction This document is the Affordable Housing Implementation Plan (the "AHIP") for the EastLake Greens development located within the incorporated boundaries of the City of Chula Vista, County of San Diego (the "EastLake Greens Project" or the "Project"). This AHIP responds to affordable housing requirements imposed upon the Project by the City, as described herein, and as evidenced by the Second Amended and Restated Affordable Housing Agreement dated June __, 2000 (the "Second Amended Agreement"). The Affordable Housing Agreement, the EastLake Greens Affordable Homeownership Program (as defined below) and this AHIP are collectively referred to herein as the Affordable Housing Program. 2. Background The EastLake Greens Project is an 830-acre portion of the Planned Community of EastLake and is located in the eastern portion of the City of Chula Vista. EastLake is being master developed by The EastLake Company, LLC (the "Master Developer"). On July 18, 1989, the City approved a Master Tentative Map for EastLake Greens by Resolution No. 15200 (the "EastLake Tentative Map"). Condition of Approval No. 44 of the EastLake Tentative Map required that a Iow and moderate income housing program be established to provide for 5% Iow and 5% moderate housing units developed within the EastLake Tentative Map. On December 12, 1993, the City adopted a General Plan Amendment (GPA - 93-04) by Resolution No. 17309 that reinstituted the affordable housing program previously established by Condition of Approval No. 44 of the EastLake Tentative Map. On July 25, 1995, the City adopted the Affordable Housing Program for the Planned Community of EastLake, including the Affordable Housing Agreement (the "Original Agreement") made on the same date, by Resolution No. 17982. The parties entered into the Original Agreement as an initial means of implementing the Iow and moderate income housing requirement of Condition of Approval No. 44 of the EastLake Tentative-it;lap. On December 12, 1995, the City adopted the EastLake Greens Affordable Homeownership Program as an appendix to the EastLake Greens SPA Plan by Resolution No. 18159. On August 4, 1998, the parties entered into the Amended and Restated Affordable Housing Agreement ("First Amended Agreement"). The EastLake Greens SPA Plan identifies Pamel R-26 within the EastLake Greens SPA ("Parcel R-26") as the location of the residential project (the "Affordable Housing Project") to generate 130 Iow income housing units, which are required to be purchased and occupied by households with incomes which do not exceed 80% of San Diego's County's WESTERN PACIFIC/ANT[GUNAHIP 24~64-00029~1502152.6 1 6/14/00 median income ("County Median Income") for a household size of four as published by the Department of Housing and Urban Development each year ("Affordable Housing Units"). This document was prepared as an affordable housing implementation plan governing Parcel R-26. Except as provided in Section 2.3 with respect to the transfer of credit for Affordable Housing Units, this document does not govern other projects within the greater planned community of EastLake. This AHIP will serve as guidance for the Master Developer, Western Pacific Housing-EastLake, LLC, the residential builder developing Parcel R-26 (the "Builder"), and the City staff in carrying out those steps necessary to satisfy the affordable housing requirements and validate that accomplishment. Parcel R-26 is currently zoned for residential dwelling units. The AHIP will address affordable housing requirements based on a maximum of 252 dwelling units. The City may require that the AHIP be amended if residential development exceeds the 252 units approved by the City. 3. Features of the AHIP This AHIP explains the requirements of the Affordable Housing Program, including identification of the number and category of Affordable Housing Units required, a discussion of the elements and procedures to be followed and an implementation plan that will help to assess the degree to which the affordable housing requirement is being satisfied at any point in time or if it is not and adjustments need to be made, and samples of the forms to be utilized in carrying out the Affordable Housing Program. 4. Purpose of the AHIP This AHIP is intended to help guide the development and establish a procedure for monitoring program implementation and for reporting program efforts to the City of Chula Vista, Community Development Department. This AHIP is in essence a regulatory means by which the City can monitor the development and sale of Affordable Housing Units within Parcel R-26. The establishment of this AHIP helps the Master Developer, the Builder and the City administer the Affordable Housing Program and provides accounting and reporting requirements for the Affordable Housing Program. In the event of any inconsistency between this AHIP and the EastLake Greens Affordable Homeownership Progrem, this AHIP shall control. PARCEL R-26 WESTERN PACIFIC. JANTIGUNAHIP 24464~3002~--1502152.6 3 6/14100 II. Implementation Plan 1. Introduction This AHIP provides (1) guidelines by which the City may be better able to monitor the production of affordable housing within Parcel R-26 to ensure that a minimum of 130 units will be available to households earning no more than 80%of the County Median Income; (2) a method of qualifying credits for the Affordable Housing Units by implementation of the Affordable Housing Program; and (3) the terms and conditions of the City's financial participation. 2. Buyer Eligibility Buyers of Affordable Housing Units must meet the followin~ requirements, which shall be determined in accordance with FHA guidelines where appropriate: (1) Subject to the right of the Builder to offer Affordable Housing Units for sale to purchasers with any income after sixty days as set forth in Section 2.3(c) of this AHIP, the buyer's income may not exceed 80% of the County Median Income for a household size of four; (2) The buyer must not have owned a home for a period of 3 years prior to the purchase. Exceptions will be made for income-qualified displaced homeowners (legally separated or divorced persons currently owning or having owned a home with a spouse); (3) The buyer must be the owner occupant; (4) The buyer must not have liquid assets exceeding $25,000 in addition to amounts used for a down payment; (5) The buyer must meet lender underwriting criteria consistent with secondary mortgage market standards; and (6) The buyer must apply a minimum of 3% and a maximum of 20% of its own funds (which may include gifted funds), toward closing costs and the down paymer~'~ toward the purchase price. 3. Measures of Affordability a. HUD Definition The Department of Housing and Urban Development (HUD) utilizes two basic components when establishing income levels to qualify a residential unit which is determined to be WESTERN PACIFIC/ANTIGUAJAHIP 24464A)0029~1502152.6 4 6114/00 Iii' "affordable" for home buyers with household incomes which do not exceed 80% of the County Median Income. The two figures used in this calculation are (1) gross annual household income and (2) family size. The corresponding figures are published annually by way of an "Income Limits Table." This AHIP will utilize only the income limit as established by HUD for an average family size of four (4) persons. Although HUD utilizes household size as a factor in determining affordability, for the purposes of this AHIP, only household income shall be used in order to determine affordability for income based affordable units, regardless of household size. Therefore, this document will utilize the HUD income limit for 2000 which may qualify as a Low Income household in San Diego County of $42,950.00. b. EastLake Greens Affordable Homeownership Program Definitions. The EastLake Greens Affordable Homeownership Progr_am contains two measures of affordability: (1)Income-Based and (2)Cost-Based. 1. Income-Based The income-based affordable housing measure means that a unit can qualify as "affordable" if it is sold to a buyer (household) with an annual gross income which does not exceed 80% of the County Median Income ("Income-Based Affordable Housing Unit"). Households which do not exceed 80% of the County Median Income are defined as "Low Income." As of Mamh 9, 2000, the County Low Income level for a household of four was $42,950.00. Thus, a buyer of a unit cannot have a household income of more than $42,950.00 per year in order for the unit to be sold and certified as an Income-Based Affordable Housing Unit. 2. Cost-Based The cost-based affordable housing measure means that a unit can qualify as "affordable" if it is sold to a buyer whose housing costs, including interest, principal, mortgage payments and homeowners insurance and association fees, do not exceed 33% of the gross income of the buyer; however, a customary lender underwriting standard certified by a lender that housing costs as a percentage of the buyer's gross income is consistent with secondary mortgage market standards will be deemed acceptable ("Cost-Based Affordable Housing Unit"). " c. Affordable Housing Unit Purchase Price The purchase price for Affordable Housing Units will be determined by using both the income-based measure and the cost-based measure. Thus, the maximum purchase price for any Affordable Housing Unit will be the purchase price that results in housing costs that do not exceed 33% (or another percentage as determined in accordance with customary WESTERN PACIFICIANTIGUNAHIP 24464-00029~1502152.5 5 6/14/00 -,-/z_ underwriting guidelines) of 80% of the County Median Income ("Affordable Purchase Price"). Each new phase scheduled to include Affordable Housing Units must meet both income- based and cost-based measures at the beginning of sales of the phase to ensure that Affordable Housing Units are first made available to Low Income households. If the Builder has used its best efforts (as determined by the City in its reasonable discretion) to sell the Affordable Housing Units to Low Income households and the Affordable Housing Units are not sold to Low Income households within ninety (90) days of the release of such phase for sales to a member of the homebuying public pursuant to a "White Report" issued by the California Department of Real Estate, then, subject to the City's Right of First Refusal as set forth below, Affordable Housing Units may be offered at the Affordable Purchase Price to buyers with any income and still qualify as Affordable Housing Units for the purpose of meeting the Master Developer's affordable housing req~rements. The City shall not provide any financial assistance for such Affordable Housing Units. In addition, for any Affordable Housing Units that are sold by Builder to a buyer who does not qualify as Low Income ("Original Non-Qualified Buyer"), the City shall receive a deed of trust (the "Resale Restriction Deed of Trust"), in substantially the form attached to this AHIP as Attachment "8," with appropriate modifications as approved by the City Attorney. The Resale Restriction Deed of Trust shall provide that, in the event of a resale by the Original Non- Qualified Buyer of the Affordable Housing Unit to a household that does not qualify as Low Income ("Subsequent Non-Qualified Buyer") within two (2) years following the sale (close of escrow) of the Affordable Housing U nit to the Original Non-Qualified Buyer, the City shall receive from the Original Non-Qualified Buyer a sum equal to the difference between the Affordable Purchase Price and the lesser of (i) the original fair market value of the Affordable Housing Unit at the time of its sale to the Original Non-Qualified Buyer, or (ii) the purchase price paid by the Subsequent Non-Qualified Buyer for the Affordable Housing Unit, minus the reasonable costs of sale (the "Net Proceeds"). In the event of sale to a Subsequent Non-Qualified Buyer more than two (2) years following the sale (close of escrow) of the Affordable Housing Unit to the Original Non-Qualified Buyer, the Net Proceeds shall be allocated seventy-five (75%) to the Original Non-Qualified Buyer and twenty-five percent (25%) to the City. If any Affordable Housing Units are not sold to Low Income households within ninety (90) days of the release of such phase for sales as provided above, then Builder sh. all give notice to the City of any such available Affordable Housing Units and the City shall have the right, but not the obligation, to elect to purchase any such Affordable Housing Units at the Affordable Purchase Price (the "Right of First Refusal"), subject to the terms and conditions set forth below. The City shall have seven (7) days after receipt of such notice to elect whether to purchase any such Affordable Housing Unit by delivering written notice of its election to Builder. If the City does not timely exercise its Right of First Refusal as to any such Affordable Housing Unit, then the City's Right of First Refusal as to such Affordable Housing Unit shall terminate and Builder may offer such Affordable Housing Unit at the Affordable Purchase Price to buyers with any income as set forth above. If the City WESTERN PACIFIC/ANTIGUNAHIP 24464-00029--1502152.6 6 6/14/00 does timely exercise its election to purchase any such Affordable Housing Unit, then the following terms and conditions shall apply to such purchase: (i) the City shall execute the purchase contract and all related documents for the sale of the Affordable Housing Unit in the forms approved for the Project by the California Department of Real Estate; (ii) escrow shall close on the later of (1) the date that is seven (7) days after the completion of Affordable Housing Unit, or (2) forty-five (45) days after the City delivers written notice of the exercise of its Right of First Refusal; (iii) the City shall resell the Affordable Housing Unit within one (1) year after the sale (close of escrow) of such Affordable Housing Unit to the City; and (iv)the grant deed for the sale of the Affordable Housing Unit to the City shall contain a deed restriction reflecting the City's obligation to resell the Affordable Housing Unit. 4. Affordable Housing Requirements The affordable housing requirement for EastLake Greens will be satisfied by the sale of Affordable Housing Units developed on Parcel R-26. Given certain market conditions, a significant change in County Median Income, and/or other factors which may affect the sale of units, it may be possible that units not scheduled as affordable may be purchased by households falling into other affordable income categories. In the event that this condition occurs, credit for such units can be allocated first to satisfy affordable housing requirements as part of the Master Developer's affordable housing requirements, next to satisfy the affordable housing requirements for other developers' EastLake residential projects within the overall EastLake Project (such as EastLake Trails), and then to satisfy any other residential projects within the City. III. Program Requirements/Procedures 1. Introduction By using the following procedures, the Master Developer will aid the City in monitoring and guiding the residential development of Parcel R-26 such that the affordable housing requirement of the City will be adequately addressed and satisfied. The Master Developer has accepted responsibility for the coordination necessary t~ ensure that all plans, applications, maps, etc. which are to be submitted to the City by the Builder as well as the Master Developer are prepared and filed in a clear and consistent manner using the guidance provided by this AHIP and the procedures contained herein. The role of the Master Developer as coordinator is deemed appropriate and should ease the administrative burden that would otherwise exist for City staff. The Master Developer acknowledges its obligation to the City of Chula Vista to allocate the EastLake Greens Community's affordable housing requirement on Parcel R-26. The Master Developer has fulfilled its obligation by requiring the Builder to.execute a purchase WESTERN PACIF:ICIANTIGUNAHIP 24464-0(3029--1502152.6 7 6/14/00 and sale agreement ("Pumhase Agreement") which, among other things obligates the Builder to fulfill the affordable housing requirement. The Builder's requirement shall remain an obligation of subsequent owners of Parcel R~26. If any subsequent owner fails to satisfy its affordable housing requirement, the certification requirements or other City requirements, the City may take appropriate actions against the defaulting owner. Responsibilities of the Master Developer include: a. Coordination ofthe residential development application processing to ensure a uniform and consistent approach to addressing compliance with the housing element of the City's General Plan. b. Working with the Builder and assisting it in r~eeting reporting requirements to the City of the production of Affordable Housing Units. c. Serving as the central communication link between the Builder and the City in the certification process for the required Affordable Housing Units and voluntary production of additional Affordable Housing Units, if appropriate. As development progresses, the need to verify the degree to which the affordable housing obligations are addressed becomes even more acute. Consequently, accurate record keeping and projections are the key to documenting success. Since only one builder will be involved, the Master Developer must assume the role of enforcing compliance with the requirements, including overall reporting. There are several component parts of this AHIP which the development will need to address. These procedures consist of auditing, reporting and accounting which, together, constitute the monitoring function of the implementation of this AHIP. AHIP compliance conditions and procedures to amend this AHIP are also provided in this section. 2. City Financial Participation Down payment and closing cost assistance will be provided by the City in an-amount averaging $5,000.00 per Affordable Housing Unit up to a total of $650,000.0~) for the required 130 Affordable Housing Units. Should City and Master Developer mutually agree that it is in their joint interest to develop any additional Affordable Housing Units, Master Developer may request and City will use its best efforts to provide additional financial assistance in an amount averaging $5,000.00 per Affordable Housing Unit up to a total of $935,000.00. These funds will be provided through the HOME Program. The funds shall be made available by the City for sales that meet both the income-based measure and the cost-based measure. The City will not be obligated to contribute funds in conjunction with any sales that do not meet both the income-based and cost-based measures. To the WESTERN P ACI FiCa'ANTI G UA/AHIP 24464-O0029--1502152.6 8 6/14/00 extent the City's assistance is used for down payment assistance, the assistance will be treated as a loan with a promissory note (the"City Note"), substantially in the form attached to this AHIP as Attachment "5." The City Note shall be secured by a subordinate deed of trust in favor of the City (the "Second Deed of Trust"), substantially in the form attached to this AHIP as Attachment "6." To the extent the City's assistance is used for closing cost assistance, the assistance will not be included in the Second Deed of Trust and will be forgiven. To the extent the City's assistance is used for down payment assistance, proceeds from resale of an Affordable Housing Unit shall be distributed in the following order: (1) first to the payment of costs of sale; (2) next to the payment of the first deed of trust; (3) next to the return to the original Low Income buyedseller of its initial down payment contribution and payments made toward the principal reduction of the first deed of trust; (4) next to the payment of the amount of the City Loan secured by the Second Deed of Trust; and (5) the remaining net proceeds to be distributed to the original Low Income buyedseller. The City will deposit the HOME funds into a segregated escrow account. Upon the request of the Builder, the escrow account holder, First American Title Insurance Company, will release funds to the Builder to be applied toward the closing costs and/or down payment in connection with the sale of an Affordable Housing Unit to a Iow income buyer. Funds not used in a particular phase shall be reserved for disbursement in subsequent phases. Upon completion of the Affordable Housing Project, any excess funds remaining in the escrow account shall be refunded to the City, including any interest earned on the City Funds. If the City chooses not to service the City loans, a lender shall be selected to service the City loans, with fees to be paid by the City. 3. Auditing To verify compliance, the Master Developer will establish an auditing procedure Which will involve monitoring and participating in the certification of income process of each unit sold to ensure that the same standards are being utilized and that the information is presented in a timely fashion. 4. Reporting and Accounting a. Prior to the offering for sale of an Affordable Housing Unit for each phase, the Builder must submit to the Master Developer a pricing schedule covering the sales prices of the Affordable Housing Units. The purpose of this is to ensure that the commitments between the Master Developer and the Builder to produce affordable housing can be realistically achieved. b. Prior to issuance of any building permits for residential building purposes, a Supplemental Housing Program Report in substantially the form attached to WESTERN PACIF~CIANTIGUNAHIP 24464-00029--1502152,6 9 6/14/00 this AHIP as Attachment "1" will be submitted to the Community Development Director. This report will be utilized to determine compliance with this AHIP. c. On a monthly basis, Status Reporting Summary Sheets in substantially the form attached to this AHIP as Attachment "2" will be submitted to the Community Development Director. d. On a monthly basis and upon the completion of each phase the Builder will be required to complete Buyer Income Certification (BIC) forms in substantially the form attached to this AHI P as Attachment "3" identifying all Affordable Housing Units sold. These forms are first collected by the Master Developer or its designee for internal accounting purposes and early determination as to whether or not the Builder is complying with the requirements of the Pumhase Agreement and then will be submitted to the Community Development Director. e. On a monthly basis and upon the completion of each phase, the Builder will be required to submit to the Community Development Director Individual Sales Summary Sheet forms in substantially the form attached to this AHIP as Attachment "4." f. On a monthly basis, a computer accounting reflecting Affordable Housing Unit sales, a record of certifications, affordable unit breakdown by category, the overall Affordable Housing Unit total, and additional information will be provided to the Community Development Director. g. Phasing files will be established in the office of the Master Developer, or its designee. Copies of each BIC form will be placed in the corresponding Project phasing file. With approval of this AHIP and the reporting procedures contained herein, the Master Developer and the City commit to ensuring that all credit for Affordable Housing Unit production shall be allocated to the Master Developer and Parcel R-26. 5. Marketing Plan ~' City and Master Developer hereby approve the marketing program for the Affordable Housing Project which is attached hereto as Attachment "7." 6. Amendment Procedures WESTERN PACIFIC/ANTIGUNAHIP 24464-00029--1502152.6 10 6/I 4/00 If revisions to the Affordable Housing Project or unforeseen circumstances create a need to modify this document, this AHIP may be considered for amendment in accordance with the following procedure: a. The Master Developer shall provide a report identifying how conditions have changed such that modification to the AHIP is appropriate. b. The City may review and approve an amendment to the AHIP provided that the spirit and intent of the AHIP is preserved or enhanced. WESTERN PACiFIC/ANTIGUAJAHIP 24464~0029~1502152.6 'J 1 6/14/00 ATTACHMENT "1" SUPPLEMENTAL HOUSING PROGRAM REPORT A. GENERAL INFORMATION: 1. Applicant: 2. Project #: Address: Telephone: 3. Planning Area: Contact: 4. Proposed Project Name: 5. Final Tract Map Number(s): 6. Original Ti' & Lot #: 'I-I' 7. Number of Residential Units Proposed: 8. Type of Project: iq Attached lq Detached [1 Apartments 9. Est. Date for Construction Start: 10. Est. Sales Opening: B. AFFORDABLE HOUSING INFORMATION: 1. Project Affordable Housing Credit Requirement (per Purchase and Sale Agreement): lq Low = % FI Moderate I = % lq Moderate II = % lq Best Efforts Required FI No Requirement 2. Method of Providing Affordable Un[ts: lq On-site lq Off-site lq Transfer of Vested Credits C. SIGNATURE OF AUTHORIZED REPRESENTATIVE OF PROJECT APPLICANT: I hereby certify that the above information is true and correct. Signature: Date: Name: William T. Ostrem Company: The EastLake Company Chief Operating Officer D. CITY OF CHULA VISTA APPROVAL: .~, Signature: Date: Name: Community Development Department Housing Coordinator Send copy of approval to: William T. Ostrem, Chief Operating Officer The EastLake Company 900 Lane Avenue, Suite #100 Chula Vista, CA 91914 ATTACHMENT "1" WESTERN PACI FIC/ANTIGUNAHIP ANTIGUA at EASTLAKE AFFORDABLE HOUSING PROGRAM Date of Report: Name of Personal Filling Out Report: Total Number of AFFORDABLE Units in Project: TOTAL SOLD: TOTAL CLOSED ESCROW: TOTAL AVAILABLE TO SELL: PHASE ONE TOTAL SOLD TOTAL CLOSED TOTAL AVAILABLE Plan 1 Plan 2 Plan 3 TOTALS PHASE TWO TOTAL SOLD TOTAL CLOSED TOTAL AVAILABLE Plan 1 Plan 2 Plan 3 TOTALS PHASE THREE TOTAL SOLD TOTAL CLOSED TOTAL AVAILABLE Plan 1 Plan 2 Plan 3 TOTALS PHASE FOUR TOTAL SOLD TOTAL CLOSED TOTAL AVAILABLE Plan 1 Plan 2 Plan 3 TOTALS PHASE FIVE TOTAL SOLD TOTAL CLOSED TOTAL AVAILABLE Plan 1 Plan 2 Plan 3 TOTALS PHASE SIX TOTAL SOLD TOTAL CLOSED TOTAL AVAILABLE Plan 1 Plan 2 Plan 3 TOTALS PHASE SEVEN TOTAL SOLD TOTAL CLOSED TOTAL AVAILABLE Plan 1 Plan 2 TOTALS PHASE EIGHT TOTAL SOLD TOTAL CLOSED TOTAL AVAILABLE Plan 1 Plan 2 Plan 3 TOTALS PHASE NINE TOTAL SOLD TOTAL CLOSED TOTAL AVAILABLE Plan 1 Plan 2 Plan 3 TOTALS ATTACHMENT "2" ATTACHMENT "3" BUYER INCOME CERTIFICATION FORM 1. Project Name 2. Tract Number Lot Number Unit Number 3. Unit Address 4. Buyer(s) Name(s). 5, Total Purchase Price $ Monthly Payment $. 6. Total Annual Gross Income of Household $ 7.* County Median Income for Month of ,200__- $. 8. Buyer Income Percentage (6 + 7) % 9. Buyer Income Category a. [] above 120% b. [] 101% to 120% c. [] 81% to 100% d. [] 80% or less I hereby certify that the above information is true and correct to the best of my knowledge. For: Name of Lender/Escrow Company Date By: Signature of Lender/Escrow Representative Title Buyer(s): Date *This information is available ~rorn Culbertson, Adams & Associates, Inc., (949) 581-2888 WHITE-HPO YELLOW-RPO PINK-BUILDER GOLD-LENDER/ESCROW E~ Cost Based [] Income Based ATTACHMENT "3" W~STERN PACIFiCIANTIGUNAHIP 24464~0029--1502152.6 1 6/14/00 ATTACHMENT "4" ANTIGUA at EASTLAKE AFFORDABLE HOUSING PROGRAM INDIVIDUAL SALES SUMMARY SHEET DATE OF REPORT: NAME OF PERSON FILLING OUT REPORT: BUYER'S NAME: BUYER'S ADDRESS: CITY, STATE, ZIP: PLAN TYPE: UNIT #: PHASE: SALES PRICE: $ INCOME & COSTS BASED: [] YES [] NO COSTS BASED: [] YES [] NO BUYERS QUALIFIED INCOME: $ CITY FUNDS UTILIZED: [] YES [] NO TOTAL $ FOR USED CLOSING COSTS: $ TOTAL $ USED FOR SECOND TD: TOTAL CITY FUNDS: $ HOUSEHOLD SIZE: CURRENTLY LIVES (CITY): CURRENTLY WORKS IN WHAT CITY: ATTACHMENT "4" WESTERN PACIFiC/ANTiGUNAHIP ATTACHMENT "5" CITY NOTE [To Be Attached] ATTACHMENT "5" WESTERN P AC I FIC/AN TI G U.~'A HI P ~,,,~,,.ooo~,_,~o~,~.~ '~ ~o -5"5 ATTACHMENT "6" CITY DEED OF TRUST [To Be Attached] ATTACHMENT "6" WESTERN PACIFiC/ANTIGUNAHIP ~ z44~,~-ooo29-~o2~5~.~ 1 ~ O ~' 6/14/00 ATTACHMENT "7" MARKETING PROGRAM ATTACHMENT "7" WESTERN PACIFtC/ANTIGUNAHIP ATTACHMENT "8" RESALE RESTRICTION DEED OF TRUST ATTACHMENT "8" WESTERN PACIFIC/ANTIGUNAHIP COUNCIL AGENDA STATEMENT Item c~ / Meeting Date 6/20/00 ITEM TITLE: Resolution Approving the seventh amendment to the agreement between the City of Chula Vista and Rick Engineering Company for preliminary engineering design services for three interchanges with Interstate 805 at Telegraph Canyon Road, Olympic Parkway and Palomar Street providing for additional engineering design services for Olympic Parkway bom Oleander Avenue to Brandywine Avenue; waiving the consultant selection process and authorizing the Mayor to execute said amendment in behalf of the City; and appropriating $132,100 in Transportation Development Impact Fees to Project No. 24093440. SUBMITTED BY: Director of Public Works~ffv REVIEWED BY: City Manager ¢~, {4/Sths Vote: Yes X No ) On January 23, 1996, Council by Resolution No. 18193 approved a contract with Rick Engineering for preliminary engineering design services for three interchanges on Interstate 805 at Telegraph Canyon Road, Olympic Parkway, and Palomar Street. Since then, due to additional work requirements by Caltrans, six amendments to this contract have been made. These amendments were approved by Council on January 21, 1997 (Resolution 18555) and May 20, 1997 (Resolution No. 18670) and August 5, 1997 (Resolution 18749) and November 17,1998 (Resolution 19269) and July 13, 1999 (Resolution No. 19540) and February 22, 2000 (Resolution 2000-062). The seventh amendment to the contract will provide for the final design of the sound walls/retaining walls on Olympic Parkway between Oleander Avenue and Brandywine Avenue and additional drainage, sewer and water design relocation work and right-of-way document and survey work related to this work. The Design includes preparation of Plans, Specifications and Estimate (PS&E), modification of the existing Project Study report (PSR), Project Report (PR) and environmental documents for said segment of Olympic Parkway and allow for reimbursable expenses incurred in the completion of this work. RECOMMENDATION: That Council approve a resolution approving the seventh amendment to the agreement between the City of Chula Vista and Rick Engineering Company for preliminary engineering design services for the Olympic Parkway from Oleander Avenue to Brandywine Avenue roadway project; waiving the consultant selection process and authorizing the Mayor to execute said amendment in behalf of the City; and appropriating $132,100 in Transportation Development Impact Fees to Project No. 24093440. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. oPl-I Page 2, Item c9 / Meeting Date 6/20/00 DISCUSSION: In late 1995, after a thorough selection process, staffrecommended that Rick Engineering Company be awarded a contract for engineering services for three interchanges with Interstate 805 at Telegraph Canyon Road, Olympic Parkway and Palomar Street. Council Resolution No. 18193 approved the agreement with Rick Engineering Company on January 23, 1996. Since then, Rick Engineering has worked diligently to design and process the project with all the agencies involved (local, State, and Federal). During this period, six amendments to the contract have been made due to modification, delays, and changes by Caltrans encountered throughout the planning and design phases of the three interchanges. The first two amendments were approved by Council Resolution Nos. 18555 and 18670 increasing the original contact cost of $502,070 to $648,390. The third amendment to the contract was necessary to have Rick Engineering prepare a Noise Barrier Scope Summary Report in connection with an opportunity to obtain State funding from their retrofit soundwall program along freeways. This amendment authorized $6,000 for preparation of the Noise barrier report. The City's application for State Soundwall Retrofit funding was successful in the amount of $1.14 million. These funds will be used to offset part of the construction cost of the Olympic Parkway Interchange. The fourth and fifth amendments to the contract covered additional follow-up work required by Caltrans, affecting all three intemhanges, and are described in more detail on Exhibits 1 and 2 (attached). The sixth amendment to the Rick Engineering contract provides for the completion of the Plans, Specifications and Estimate (PS&E) for the Olympic Parkway street segment between Oleander Avenue and Brandywine Avenue. Rick Engineering had initiated said PS&E for Sunbow II and it would be more efficient if they completed the work. The environmental work for the subject Interchange and street project is currently being done under the Rick Engineering contract. The seventh amendment to the Rick Engineering contract provides for the completion of the final design Plans, Specifications and Estimate (PS&E) for the roadway improvement portion of Olympic Parkway between Oleander Avenue and Brandywine Avenue for the following work (see Exhibit 3): A. Drainage analysis and design on the south side of Olympic Parkway; B. Sewer design and relocation work for 400 feet of sewer pipe; C. Water main and fire improvements related to fire hydrant and 12 inch water line work; D. Retaining wall/Plantable Keystone wall modifications to plans and specifications; E. Implementation of revised corridor streetscape and grading concepts; F. Design surveys, surveying,'legal description, profiles and estimate work for sound walls; G. Reimbursable expenses for the above listed work. As in the case of the previous amendments, Rick Engineering Company proposes to accomplish this additional scope of work at what we believe is a reasonable price. The rates for services have not increased since the original January 1996 contract. Rick Engineering is being proposed to do the design for this work without a new competitive consultant selection process because they possess extensive cumulative knowledge of the project planning and design essential for the successful completion of this project. Accordingly, staff is recommending that the City Council waive the consultant selection process of Municipal Code Section 2.56.070 because of the substantial design Page 3, Item Meeting Date 6/20/00 work already performed by Rick Engineering on the project, which makes the selection impractical and potentially detrimental to the project in light of the need for coordinated design drawings. The proposed amendment provides for the reimbursement of up to $3,500 in expenses incurred by Rick Engineering in the performance of the additional work. These expenses include the cost of making blueprints and copies of various reports, which, due to Caltrans' review has been much more voluminous than originally anticipated. The reimbursable expenses are a budget item for all three phases (projects) included in the contract. FISCAL IMPACT: The proposed seventh amendment will increase the contract with Rick Engineering, as amended, by $132,100 to a total of $1,389,940. All of the costs associated with this amendment, as well as the amended contract, will be funded from TransD1F fees. There are sufficient funds in the TransDIF fund to cover the proposed increase. City staffwill be involved in oversight, coordination and direction. The TransDIF will also pay staff costs. EXHIBITS: 1. Background on Amendments 1 through 6. 2. Table of Contract fees for each amendment. 3. Rick Engineering Company Scope of Work dated June 7, 2000. 4. Resolution # 2000-062 H:~IOME\ENGINEER~AGENDA\7RICKa 113.fxr. doc File No. 0735-10-STM344 Exhibit 1 Background on Amendments 1 through 6 Because additional work beyond the original scope of services is again being required, staff reviewed the previous contract and amendments, along with the overview of each of the projects to make sure that we are progressing in an orderly, cost effective manner and according to a master plan. The history of the previous amendments relating to the individual projects will be discussed below: Telegraph Canyon Road The original contract required Rick Engineering to do preliminary geometrics, and assess the need, for a combined Caltrans Project Study Report/Project Report (PSR/PR); after initiating work on the project, Caltrans committed that they would allow the City to do the work under a permit, which eliminated the need to go through the PSR/PR phase. However, at the same time, Caltrans required the City to do work beyond that initially anticipated and included in the scope of Rick Engineering's contract. This work included additional lane widening under the overpass and northbound off-ramp widening. The First Amendment, which was a no net cost increase amendment, transferred funds that were included in the contract for the PSR/PR phase to the PS&E phase for the additional design work. This additional work included related geotechnical and environmental studies as well as actual design work. ~ The Second Amendment to Rick Engineering's contract involved accomplishing additional work which resulted in an increase orS 145,270, bringing the new contract total to $648,390. The changes in the Fourth Amendment to the contract allowed Rick Engineering to perform office calculations, field staking, and assist staff in the bidding and inspection processes. The Fifth, Sixth and proposed Seventh Amendments do not include any additional items pertaining to the Telegraph Canyon Interchange. Palomar Street This project involves the provision of a new access to 1-805 by widening the existing East Palomar Street overpass and providing a partial intemhange with ramp connections to and from the north. As originally envisioned, this project includes a minor bridge widening, installation of new ramps, intersection widening and the installation of traffic signals. The work under Rick Engineering's contract involves the preparation of Access Approval Request (AAR) document addressing interchange spacing for submittal to Caltrans and the Federal Highway Administration (FHWA). The purpose of the AAR is to provide an initial screening of new interchange projects, allowing for FHWA to provide conceptual approval prior to the approval of a PSR by Caltrans. Rick's contract also provided for preparation ofa PSR upon completion of the AAR, with much of the information in the AAR being directly incorporated into the PSR. The contract further provided for preparation of a Preliminary Environmental Analysis Report (PEAR) that documents a preliminary enviroranental screening of potential issues. The PEAR will provide a recommendation on the type of environmental clearance required by the project and the scope of additional studies that will be required at subsequent stages (PR and Environmental Documentation). The Sixth Amendment and the proposed Seventh Amendment do not include any additional items pertaining to the Palomar Street Intemhange. However, a future amendment could be necessary because Caltrans has indicated that a full diamond interchange, which is one of the study alternatives, may be required in order to approve this additional access point to 1-805. Exhibit 1 Page 2 Olympic Parkway The original contract required Rick Engineering to prepare a combined PSR/PR for the Orange Avenue (Olympic Parkway)/I-805 Interchange. The project included bridge widening or installation of a new parallel structure, ramp widening, intersection widening, and the installation of traffic signals. The first amendment to Rick Engineering's contract only extended the completion date for the work related to this particular project. Neither the First nor Second amendments made any other changes to the scope of work for the Olympic Parkway interchange. While Caltrans was nearly ready to approve the PSR for the Interchange, in September 1998, after they learned we intended to add the segment between Oleander and Brandywine to the overall interchange construction project, they required the PSR to be revised to include the additional work. The Third Amendment to the contract was necessary to have Rick Engineering prepare a Noise Barrier Scope Summary Report in connection with an opportunity to obtain State funding from their retrofit soundwall program along freeways. The Fourth Amendment approved the separation of the original PSR/PR into two phases for a separate PSR and PR, and added Olympic Parkway between Oleander and Brandywine to the PSR in order to complete this phase of the project. The Fourth Amendment also completed the Project Report according to Caltrans' requirements. The total cost for all work under the Fourth Amendment related to Olympic Parkway project was $208,200. The Fifth Amendment was solely related to the Olympic Parkway/I-805 Interchange Project and was the result of traffic issues on Interstate 805 and the Otay Valley Road southbound off-ramp. These traffic issues are related to events that are held at the Coors Amphitheater. Caltrans required that the Olympic Parkway/I-805 Interchange Project include improvements to mitigate traffic backup onto the freeway caused by Amphitheater events. As evident by the traffic backup and delays on the 1- 805 freeway coincident with Amphitheater events, Caltrans required the issue to be evaluated as part of this project. This Fifth Amendment will accomplish the addition of anticipated improvements to the nearly approved Project Study Report, and incorporate the appropriate improvements into the Project Report and environmental studies recently started. The Project Report and Environmental Document approved with the Fourth Amendment was modified by this Fifth Amendment to include additional engineering and environmental documentation expanding project features. The work included metric topographic mapping; additional environmental documentation including noise, biological, archaeological, cultural, traffic, geotechnical, lead testing, air quality and visual quality/land form elements, completing the actual PR and additional reimbursables. The additional total cost for the Fifth Amendment was $174,700.00. The Sixth Amendment to the contract will provide for the final design of Olympic Parkway, between Oleander and Brandywine. The Design includes the preparation of Plans, Specifications and Estimate (PS&E), modification of the existing Project Study Report (PSR), Project Report (PR) and environmental documents for said segment of Olympic Parkway and allow for reimbursable expenses incurred in the completion of this work. The proposed Seventh Amendment will provide additional storm drain system design work and re- analysis of the initial drainage report in order to comply with current City standards for 100-year Exhibit 1 Page 3 frequency storms. Approximately 400 feet of existing sewer system must be redesigned and relocated for the Poggi Canyon Sewer Trunk System including an existing water line and related fire hydrant work. The improvement and grading plans will also be modified to incorporate recently adopted streetscape planning, grading, meandering walkways and street lighting in the area. Approximately two-thirds of the cost for this amendment is related to work for the soundwalls required along the existing residential areas to the north and south of the proposed road-widening project. The work required for this amendment will provide for the design surveys for additional topographical work in the areas for the soundwalls and to prepare the boundary and legal description for temporary and permanent easements for the construction and maintenance of the proposed walls. In addition, the sound walls will be designed and the special provisions and bid item list provided so that the City can use these to advertise and award the construction contract. The amendment also includes additional reimbursable expenses related to the additional work beyond those identified with the Sixth Amendment. As in the case of the previous amendments, Rick Engineering proposed to accomplish this additional work at what we believed was a reasonable price because they possess extensive cumulative knowledge of the projec~t planning and design essential for the successful completion of this project. Funding Background: City staff was able to obtain approximately $11.14 million in state and federal funding for this project. First, the City has received approval for $1.14 million in State Soundwall Retrofit funding. Second, Congressman Bob Filner was instrumental in assisting the City to obtain $5.0 million in Federal Demonstration Project funding under the new Federal "Transportation Equity Act for the 21st Century" (TEA-21) program for an access road to the Olympic Training Center (OTC). Olympic Parkway from 1-805 to the OTC was identified as the project. Due to the need to get the first phase from Hunte Parkway to the OTC completed as soon as possible and the delay which would be created by the need to follow Federal procedures, Congressman Filner authorized the City to use this funding for the Olympic Parkway 1-805 interchange project. The third outside funding source is also under the TEA-21 law. Another category under TEA-21 is the Surface Transportation Program (STP), which provides additional resources for agencies to solve transportation problems in the local area. City staff submitted an application to SANDAG, which is the body that apportions STP funds in this local area, and was successful in obtaining $5.0 million in STP funding for Olympic Parkway interchange with 1-805. The Olympic Parkway between Oleander and Brandywine segment was originally added to the interchange improvements to assure the full utilization of federal funds. However, we recently learned from SANDAG staff that STP funding already programmed for our region could be lost if not obligated very quickly. They indicated that a "use it or lose it" policy is being formulated in Sacramento regarding the timely use of federal funds for local projects. The State is not pleased with the fact that only 3% of the regional arterial federal funds have been obligated in our region so far. Construction on the interchange project is currently scheduled to cornxnence in October of 2001. Therefore, we will be unable to have the STP funds fully obligated before the summer of 2001. On December 9, 1999, the SANDAG Cities/County Transportation Advisory Committee (CTAC), based on our request, approved the shifting of $5 million in this region's STP funds from the 1-805/Olympic Parkway Interchange Project to the Chula Vista Fiscal Exhibit 1 Page 4 Year 2000-2001 Pavement Rehabilitation Program, and replacing it with TransNet funds. On January 11, 2000, the City Council approved a resolution committing the City to spend $5 million in TransNet funds on the interchange project during fiscal years 2001, 01-02, and 02-03. The Regional Transportation Improvement Program (RTIP) as approved by the City Council on April 13, 1999, includes $8 million in Transportation Sales Tax (TransNet) funds that are programmed to finance the Pavement Rehabilitation Program over the next three fiscal years. The shifting of the $5 million in STP funds l~om the interchange project to the FY 00-01 Pavement Rehabilitation Program will require an RTIP amendment by reprogramming the $5 million in TransNet funds (currently programmed for pavement rehabilitation) for the interchange project over FY 00-01, FY 01-02 and FY 02-03. Construction on the intemhange project will continue through FY 02-03 and is currently scheduled to be completed in April of 2003. The shifting of funds described above reduces the federal contribution by $5 million and makes it unnecessary to keep said street segment a part of the interchange project. Said segment can instead be added to the larger Olympic Parkway project in order to assure earlier completion. H:\HOME\ENGINEER~AGENDA\7RICK EXHiBIT.fxr.doc File No. 0735-10-STM344 FROM : Rick Engineering Companw FRX NO. : Jun. 88 2888 07:37RM P2 ~ June 7, 2000 J-12755 RICK ENGINEERING COMPANY OLYMPIC PARKWAY PROJECT SERVICES SCOPE OF WORK The following tasks items cover scope of work for the Olympic Parkway construction documents that could not have been foreseen and were not anticipated by the City of Chub Vista or the Consultant prior to approval of the initial project authorization. The additional contract scope as outlined below is specific to thc portion of Olympic Parkway between Oleander and Brandywine Streets, A. Drainage Analysis and Design Provide additional storm drain system(s) on the south side of Olympic Parkway to comply with the City of Chula Vista storm drain guidelines. Analyze the sump condition for Qmo for Olympic Parkway for the on-site condition only. This work will also include the revision and re-analysis of the initial drainage report to incorporate the additional storm drain system on the south side of the street and the sump on-site condition for Ql0o. B. Sewer design and relocation Re-align the existing sewer system from approximately Sra, 32+00 to Sm. 36+00 on the north side of Olympic Parkway, to the south side of the proposed raised median on Olympic Parkway approximately within the station limits stated above, Analyze the sewer capacity for the proposed sewer pipe based on the data provided by the City for the Poggi Canyon Sewer Imnk System. C. Water main and fire improvements Provide a 12-inch potable water line within proposed Olympic Parkway from Oleander Avenue to Brandywine Avenue for the placement ora fire hydrant on the north side of Olympic Parkway. The 12-inch water line will be designed to Otay Water District design guidelines. This work will also include any coordination with Page 1 of 4 9 FROM : Rick Engineemin9 Company FRX NO, : Sun, 00 2000 07:37RM P3 Otay Water District representatives to determine proper location, design, and specificatiot~s for this proposed line. D. Retaining Wall Plans and Specifications Modify the proposed Type I Retaining Wall to a Plantable Keystone Retaining Wall per the direction of the City of Chula Vista Landscape Department. Verify the reasonability and feasibility to construct the K~ystone wall while considering minimum impacts to surrounding properties. The Consultant shall prepare technical special provisions and bid item list covering the above plantable retaining wall construction. This item shall be provided for the City's use in advertising, bidding and awarding the construction contract. This work will also include any coordination with the Keystone Wall Company's representatives to determine proper design of the wall. Thc Consultant w/ll also review shop drawings provided by others. E. Implementation of Corridor Streetscape and Grading concepts Modify the improvement and grading previously prepared by Sunbow for the Olympic Parkway corridor to include elements of the City's more recently adopted streetscape planning, including modified grading, meandering walkways, and street lighting. This item of work also includes the preparation of revised landscape base mapping, and coordination with City staff and representatives on various alternatives throughout the plan preparation procesS. F. Sound Wall Plans, Specifications and Estimates 1. Design Surveys Perform design surveys to supplement existing aerial topography in locations of proposed sound walls to more accurately define areas along wall alignments for design purposes, 2. Right-of-way Surveys, plats and legals Prepare boundary and control surveys to accurately define property and right-of- way positioning for use in preparing acquisition documents. Prepare plats and legal descriptions for temporary and permanent easements on private property for the construction and maintenance of proposed sound wails. Tiffs is assumed to cover 27 separate parcels based upon current proposed sound mitigation requiremeixt~. Page 2 et' 4 FROM : Rick Engineering Companw FAX NO. : Jun. 08 2000 07:3BRM P4 3. Sound Wall plan and profile sheets Design and prepare plans at 40 scale to City of Chula Vista standards for sound walls along Olympic Parkway at locations as required for environmental mitigation. 4. Sound wall specifications and estimates Consultant shall prepare technical special provisions and bid item list covering the above sound wall construction. These items shall be provided for the City's use in advertising, bidding and awarding the constmctioa contract. Consultant will also prepare an Engineer's estimate of probable construction costs for the proposed project to be utilized by the City tbr budgeting purposes. G. Reimbursable Expenses Reimbursable expenses such as printing, copying, blueprinting, plotting, mylars, and delivery charges will be invoiced to the~City atthe cost incurred by the Consultant in prepaxation and processing oft. he work product as defined by the above scope of services. FEE A. Drainage Analysis and Design $ 17,000.00 B. Sewer design $ 8,200.00 C. Water design $ 8,300.00 D. Retaining walls $ 5,000.00 E, Corridor Streetscap¢ $ 8,000,00 F. Sound Walls 1. Design Surveys $ 7,200.00 2. Surveys~ Plats, and Legals $ 32,400.00 3. Sound Wall plans $ 34,700.00 4, Sound Wall Specifications and Estimates $ 7,800.00 Page 3 of 4 FROM : Rick Engin~rin9 Compan~ FR× NO, : Jun. OB 2000 O?:3BRN P5 G, Reimbursable Expenses $ 3,500.00 TOTAL $ 132,100.00 A,,SSUMPTION8 AND LIMITATIONS 1. The City of Chula Vista will acquire any necessaxy rights to enter private property for Consultant to obl~in surveys needed to accurately design sound walls to be located outside the fight-of-way. 2. Consul~nt will provide necessary easement plat~ and legal descriptions to the City for their u~e in right-of-way acquisition by City forces. 3. City will provid~ at no cost to Consult~qt, any necessary title repons for use in preparation of right-of-way drawings, 4. The scope and limits of noise wails are assumed to be as defined in the Acoustical Study by Helix Environmen~tl, dated .April 23, 2000. 5. The City will provide immediate direction at thc notice to proceed for the above work, as to the location and limits of sound walls where there are more than one alternative for mitigation as defined in the Noise Study, and as directed by the City. 6. City will provide Consultant with wall material and aesthetic treatment choices at the lime of the notice to proceed for the above work. Page 4 of 4 51 - RESOLUTION NO. 2000-062 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE SIXTH AMENDMENT TO TI-IE AGREEMENT BETWEEN TI-JE CITY OF CHULA VISTA AND RICK ENGINEERING COMPANY FOR PRELIMINARY ENGINEERING DESIGN SERVICES FOR THREE INTERCHANGES WITH INTERSTATE 805 AT TELEGRAPH CANYON ROAD, OLYMPIC PARKWAY AND PALOMAR STREET; WAIVING THE CONSULTANT SELECTION PROCESS; AUTHORIZING THE MAYOR TO EXECUTE SAID AMENDMENT ON BEHALF OF THE CITY; AND APPROPRIATING $73,700 IN TRANSPORTATION DEVELOPMENT IMPACT FEES TO PROJECT NO. 24093270 WHEREAS, on January 23, 1996, Council by Resolution No. 18193, approved a contract with Rick Engineering for preliminary engineering design services for three interchanges on Interstate 805 at Telegraph Canyon Road, Olympic Parkway, and Palomar Street; and WHEREAS, since then, due to additional work requirements by Caltrans, five amendments to this contract have been made; and WHEREAS, these amendments were approved by Council on January 21, 1997 (Resolution 18555) and May 20, 1997 (Resolution No. 18670) and August 5, 1997 (Resolution 18749) and November 17,1998 (Resolution 19269) and July 13, 1999 (Resolution No. 19540); and WHEREAS, this sixth amendment to the contract will provide for the final Design of Olympic Parkway, between Oleander and Brandywine and includes preparation of Plans, Specifications and Estimate (PS&E), modification of the existing Projoct Study report (PSR), Project Report (PR) and environmental documents for said segment of Olympic Parkway and allow for reimbursable expenses incurred in the completion of this work. NOW, TKEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista hereby waives the consultant selection process of Municipal Code Section 2.56.070 because of the substantial design work already performed by Rick Engineering on the project which makes the selection process impractical and potentially detrimental to the project in light of the need for coordinated design drawings. BE IT FURTHER RESOLVED that the City Council of the City of Chula Vista does hereby approve the Sixth Amendment to the Agreement between the City of Chula Vista and Rick Engineering Company for preliminary engineering design services for three interchanges with Interstate 805 at Telegraph Canyon Road, Olympic Parkway and Palomar Street, a copy of which is on file in the office of the City Clerk. BE IT FURTHER RESOLVED that the Mayor is hereby authorized to execute said amendment on behalf of the City. Resolution 2000~062 Page 2 BE IT FURTHER RESOLVED that thc sum of $73,700 is hereby appropriated in Transportation Development Impact Fees to Project No. 24093270. Presented by Approved as to form by C~ty Attorney PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista, California, this 22~a day of February, 2000, by the following vote: AYES: Councilmembers: Davis, Padilla, Salas, and Horton NAYS: Couneilmembers: None ABSE~rF: Councilmembers: Moot ATTEST: Susan Bigelow, City Clerk STATE OF CALIFORNIA ) COUNTY OF SA2q DIEGO ) CITY OF CHULA VISTA ) I, Susan Bigelow, City Clerk of Chula Vista, California, do hereby certify that the foregoing Resolution No. 2000-062 was duly passed, approved, and adopted by the City Council at a regular meeting of the Chula Vista City Council held on the 22na day of February, 2000. Executed this 22~d day of February, 2000. Susan Bigelow, City Clerk RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE SEVENTHAMENDMENT TO THE AGREEMENT BETWEEN THE CITY OF CHULA VISTA kND RICK ENGINEERING COMPANY FOR PRELIMINARY ENGINEERING DESIGN SERVICES FOR THREE INTERCHANGES WITH INTERSTATE 805 AT TELEGRAPH CANYON ROAD, OLYMPIC PARKWAY AND PALOMAR STREET PROVIDING FOR ADDITIONAL ENGINEERING DESIGN SERVICES FOR OLYMPIC PARKWAY FROM OLEANDER AVENUE TO BRANDYWINE AVENUE; WAIVING THE CONSULTANT SELECTION PROCESS AND AUTHORIZING THE MAYOR TO EXECUTE SAID AMENDMENT ON BEHALF OF THE CITY; AND APPROPRIATING $132,100 IN TRANSPORTATION DEVELOPMENT IMPACT FEES TO PROJECT NO. 24093440 WHEREAS, on January 23, 1996, Council by Resolution No. 18193 approved a contract with Rick Engineering for preliminary engineering design services for three interchanges on Interstate 805 at Telegraph Canyon Road, Olympic Parkway, and Palomar Street; and WHEREAS, since then, due to additional work requirements by Caltrans, six amendments to this contract have been made; and WHEREAS, these amendments were approved by Council on January 21, 1997 (Resolution 18555} and May 20, 1997 (Resolution No. 18670) and August 5, 1997 (Resolution 18749) and November 17,1998 (Resolution 19269) and July 13, 1999 (Resolution No. 19540) and February 15, 2000 (Resolution 2000-062); and WHEREAS, the seventh amendment to the contract will provide for the final design of the sound walls/retaining walls on Olympic Parkway between Oleander Avenue and Brandywine Avenue and additional drainage, sewer and water design relocation work and right-of-way document and survey work related to this work; and WHEREAS, the Design includes preparation of Plans, Specifications and Estimate (PS&E), modification of the existing 1 Project Study report (PSR), Project Report (PR) and environmental documents for said segment of Olympic Parkway and allow for reimbursable expenses incurred in the completion of this work. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby waive the Consultant Selection Process of Municipal Code Section 2.56.070 because of the substantial design work already performed by Rick Engineering on the project which makes the selection process impractical and potentially detrimental to the project in light of the need for coordinated design drawings. BE IT FURTHER RESOLVED the City Council does hereby approve the Seventh Amendment to the Agreement between the City of Chula Vista and Rick Engineering Company for additional engineering design services for Olympic Parkway from Oleander Avenue to Brandywine Avenue, 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 Amendment on behalf of the City of Chula Vista. BE IT FURTHER RESOLVED that the amount of $132,100 is hereby appropriated in Transportation Development Impact Fees to Project No. 24093440. Presented by Approved as to form by e ~ ' John P. Lippitt Director of Public Works ~torne~ [H/HOME~AI~ORNEY\RESO\Rick 7~ Amendment (June 13, 2000 (4:42pm)] SEVENTH AMENDMENT TO AGREEMENT BETWEEN CITY OF CHULA VISTA AND RICK ENGINEERING COMPANY FOR PRELIMINARY ENGINEERING DESIGN SERVICES FOR THREE INTERCHANGES W1TH INTERSTATE 805 AT TELEGRAPH CANYON ROAD, OLYMPIC PARKWAY AND EAST PALOMAR STREET; FOR ADDITONAL ENGINEERING DESIGN SERVICES (FOR OLYMPIC PARKWAY FROM OLEANDER AVENUE TO BRANDYWINE AVENUE) THIS SEVENTH AMENDMENT TO THE AGREEMENT FOR ADDITIONAL DESIGN SERVICES is entered into as of June 20, 2000, by and between the City of Chula Vista (CITY) a municipal chartered corporation of the State of California, and Rick Engineering Company (CONSULTANT), whose place of business and telephone numbers are set forth on Exhibit A, Paragraph 6. RECITALS: WHEREAS, the City of Chula Vista has approved an Agreement with Rick Engineering Company dated January 23, 1996 and approv,cd by Resolution 18193 (Agreement); and WHEREAS, the City of Chula Vista has approved six amendments to said Agreement dated January 21, 1997, May 20, 1997; August 5, 1997; November 17, 1998; July 13, 1999; and February 22, 2000 and WHEREAS, CONSULTANT is required to do additional work not anticipated in the original Agreement and amendments thereto; and WHEREAS, CITY requires the completion of the contract in order to complete needed improvements to Olympic Parkway between Oleander Avenue and Brandywine Avenue to provide necessary infrastructures to meet future threshold standards; and WHEREAS, both CITY and CONSULTANT desire to further amend the Agreement approved by Resolution 18193 to revise the scope of work to include additional items required by CalTrans. WHEREAS, City Staff cannot perform the work outlined above due to lack of available staff time and/or lack of expertise to efficiently deal with the State and Federal requirements and processes. NOW, THEREFORE, the Agreement is hereby amended as follows: A. Amend Exhibit A, Section 8A, by expanding the Detailed Scope of Work as set forth in the original Agreement and amendments thereto, as follows: Additional Scope of Work: I. Additional Pro, iect Scope of Work -1- O/-/') Drainage Analysis & Design. Provide additional storm drain system(s) on the south side of Olympic Parkway to comply with the City of Chula Vista storm drain guidelines. Analyze the sump condition for Q 100 for Olympic Parkway for the on-site condition only. This work will also include the revision & re-analysis of the initial drainage report to incorporate the additional storm drain system on the south side of the street & the sump on-site condition for Q100. B. Sewer Design and Relocation. Re-align the existing sewer system from approximately Sta. 32+00 to Sta. 36+00 on the north side of Olympic Parkway, to the south side of the proposed raised median on Olympic Parkway approximately within the station limits stated above. Analyze the sewer capacity for the proposed sewer pipe based on the data provided by the City for the Poggi Canyon Sewer Trunk System. C. Water Main & Fire Improvements. Provide a 12-inch potable water line within proposed Olympic Parkway from Oleander Avenue to Brandywine Avenue for the placement of a fire hydrant on the north side of Olympic Parkway. The 12-inch water line will be designed to Otay Water District design guidelines. This work will also include any coordination with Otay Water District r~presentatives to determine proper location, design, & specifications for this proposed line. D. Retaining Wall Plans and Specifications. Modify the proposed Type I Retaining Wall to a Plantable Keystone Retaining Wall per the direction of the City of Chula Vista Landscape Department. Verify the reasonability and feasibility to construct the Keystone wall while considering minimum impacts to surrounding properties. The Consultant shall prepare technical special provisions and bid item list covering the above plantable retaining wall construction. This item shall be provided for the City's use in advertising, bidding and awarding the construction contract. This work will also include any coordination with the Keystone Wall Company's representatives to determine proper design of the wall. The Consultant will also review shop drawings provided by others. E. Implementation of Corridor Streetscape and Grading concepts. Modify the improvement and grading plans previously prepared by Sunbow for the Olympic Parkway corridor to include elements of the City's more recently adopted streetscape planning, including modified grading, meandering walkways, and street lighting. This item of work also includes the preparation of revised landscape base mapping, and coordination with City staff and representatives on various alternatives throughout the plan preparation process. F. Sound Wall Plans, Specifications and Estimates. 1. Design Surveys - Perform design surveys to supplement existing aerial topography in locations of proposed sound walls to more accurately define areas along wall alignments for design purposes. 2. Right-of-way Surveys, Plats and Legals - Prepare boundary and control surveys to accurately define property and right-of-way positioning for use in preparing acquisition documents. Prepare plats and legal descriptions for temporary and permanent easements on private property for the construction and maintenance of -2- proposed sound wails. This is assumed to cover 27 separate parcels based upon current proposed sound mitigation requirements. 3. Sound Wall Plans and Profile Sheets - Design and prepare plans at 40 scale to City of Chula Vista standards for sound walls along Olympic Parkway at locations as required for environmental mitigation. 4. Sound Wail Specifications and Estimates - Consultant shall prepare technical special provisions and bid item list covering the above sound wail construction. These items shall be provided for the City's use in advertising, bidding and awarding the construction contract. Consultant will also prepare and Engineer's estimate of probable construction costs for the proposed project to be utilized by the City for budgeting purposes. G. Reimburseable Expenses. Reimburseable expenses such as printing, copying, blueprinting, plotting, mylars, and delivery charges will be invoiced to the City at the cost incurred by the Consultant in preparation and processing of the work product as defined by the above scope of services. II. Cost Summary A. Drainage Analysis and Design $ 17,000.00 B. Sewer Design $ 8,200.00 C. Water Design $ 8,300.00 D. Retaining Walls $ 5,000.00 E. Corridor Streetscape $ 8,000.00 F. Sound Walls 1. Design Surveys $ 7,200.00 2. Surveys, Plats, and Legals $ 32,400.00 3. Sound Wail plans $ 34,400.00 4. Sound Wall Specifications and Estimates $ 7,800.00 G. Reimbursable Expenses $ 3,500.00 Subtotal $ 132,100.00 -3- The proposed amendment will increase the contract with the CONSULTANT, as amended, by $i32,100 to a total of $1,389,940. B. Amend Exhibit A, Section 1 lB Phased Fixed Fee Arrangement as follows: 1. Revise the Table as shown on "Seventh Amendment" (attached). Services (excluding reimbursables) will be paid on a phased fixed fee arrangement in accordance with the Cost Summary outlined in Section V of Exhibit A, Section 8.A. C. Except as modified herein, all other provisions of the Agreement approved by Resolution No. 18193 on January 23, 1996, the first amendment approved by Resolution No. 18555 on January 21, 1997, the second amendment approved by Resolution No. 18670 on May 20, 1997, the third amendment approved by Resolution No. 18749 on August 5, 1997, the fourth amendment approved by Resolution No. 19269 on November 17, 1998, the fifth amendment approved by Resolution No. 19540 on July 13, 1999, and the sixth amendment approved by Resolution No. 2000-062 on February 22, 2000 shall remain in full fome and effect. END OF SEVENTH AMENDMENT SIGNATURE PAGE FOLLOWS -4- Signature Page for the Seventh Amendment to Agreement between City of Chula Vista and Rick Engineering Company for preliminary engineering design services for three interchanges with Interstate 805 at Telegraph Canyon Road, Olympic Parkway and East Palomar Street; for Additional Design Services for Olympic Parkway between Oleander Avenue and Brandywine Avenue IN WITNESS WHEREOF, CITY and CONSULTANT have executed this seventh Amendment thereby indicating that they have read and understood same, and indicate their full and complete consent to its terms: DATED: CITY OF CHULA VISTA By: Shirley Horton, Mayor ATTEST: Susan Bigelow, City Clerk APPROVED AS TO FORM: John M. Kaheny, City Attorney DATED: Rick Engineering Company By: Kai Ramer, Associate ATTACHMENT: Seventh Amendment H:~SHARED~ENGINEERXRICK7AMD. fxr. DOC -5- COUNCIL AGENDA STATEMENT Meeting Date 6/20/2000 ITEM TITLE: Resolution Approving an agreement with MeGill Martin Self, Inc., for the provision of Project Management Services required for the design and construction of the Salt Creek Gravity Sewer Interceptor and the Wolf Canyon Trunk Sewer. SUBMITTED BY: Director of Public REVIEWED BY: City Manager Ago (4/Sths Vote: Yes No X ) Due to the current pace of development in the "Eastern Territories," the City has identified the need to complete a major trunk sewer facility within the next 18 months to serve the developments within the Salt Creek and Wolf Canyon basins. It is the City's intention to begin the construction of this trunk sewer by January 200l and haVe'the system operational by January 2002. The City sought a qualified consultant, with similar work experience, to assist City staff in the construction and environmental process for this project. RECOMMENDATION: That Council adopt the Resolution approving an agreement with McGill Martin Self, Inc., for the provision of Project Management Services required for the design and construction of the Salt Creek Gravity Sewer Interceptor and the Wolf Canyon Trunk Sewer. BOARDS/COMMISSIONS RECOMMENDATION: None DISCUSSION: BACKGROUND The area of Chula Vista known as the "Eastern Territories," more specifically described as that area within the City's General Plan area, east of 1-805, is partially developed. It consists of several large vacant land holdings (EastLake, Otay Ranch, Rancho del Rey, Rolling Hills Ranch, San Miguel Ranch, and Sunbow II), which are all proposed for upcoming development. In the early part of 1994, the City of Chula Vista retained the services of Wilson Engineering to prepare a report that analyzed sewer flows from the proposed developments in the "Eastern Territories," makes a preliminary determination of a sewer system to handle the flows generated and established a Development Impact Fee to fund the construction of that system. Subsequently, in November of 1994, Wilson Engineering submitted a report entitled "Salt Creek Basin Gravity Sewer Analysis." This report developed the basis for establishing the Salt Creek Development Impact Fee to pay for the eastern portion of the Salt Creek Trunk Sewer. Page 2, Item Meeting Date 6/20/2000 The Salt Creek Gravity Sewer Interceptor involves the construction of more than 12.5 miles of sewer line ranging from 15 inches at the easterly end to 36 inches at the westerly end, that are segregated into nine reaches. The reaches were divided primarily at points of major slope change and where a significant amount of sewage flow from the properties would be contributed. The project is currently estimated to cost approximately Fifteen Million Dollars ($15,000,000). On December 6, 1994, the City established the Salt Creek Sewer Basin Development Impact Fee to provide funding for the construction of reaches 1 through 8. The downstream reach (reach 9), which would be funded through the use of the City's Trunk Sewer Capital Reserve Fund consists of approximately 27,000 linear feet (5.11 Miles) of 36-inch main commencing approximately 1,500 feet east of Otay Valley Road and extending westerly along Otay Valley Road to the City of San Diego's Metro Sewer west of Interstate 5. This reach will convey all sewage from the Salt Creek Basin along with the total sewage flow from the Poggi Canyon, Wolf Canyon and Main Street Basins. On June 8, 1999, the City awarded a contract to Dudek & Associates for the provision of engineering and environmental services necessary to prepare the preliminary design of the Salt Creek Gravity Sewer Interceptor. Utilizing the Wilson Study as the basis of design, the proposed Salt Creek Trunk Sewer currently has an alignment that generally parallels the Salt Creek and Otay Valley Rivers beginning at the Olympic Parkway Pump Station and terminating at the City of San Diego's Metro Sewer collection system west of Interstate 5. The Preliminary Study for the Salt Creek Gravity Sewer Interceptor by Dudek & Associates laid out horizontal and vertical alignments, detailed cost estimates, and phasing analysis that form the basis for the final design. The study also identified the environmental impacts the alignment would have on the native sensitive habitats along the path of the alignment. The Wolf Canyon Trunk Sewer project involves the installation of approximately 15,700 linear feet of sewer pipes varying in size from 10 inches to 15 inches within the Wolf Canyon Basin. Since the Wolf Canyon Basin is tributary to the Salt Creek Basin, this trunk sewer line will connect to the Salt Creek Gravity Sewer interceptor at some point in Reach 8. The project which is currently in the early stages of planning and design, was initiated at the request of the developers within this basin who requested that the City accelerate the scheduling for Wolf Canyon project by combining the design and environmental process for that project with that for the Salt Creek Gravity Sewer. This trunk sewer line will connect to the Salt Creek Gravity Sewer interceptor at some point in Reach 8.The project is currently estimated to cost approximately 3.5 Million Dollars ($3,500,000). To this effect, Council on May 2, 2000 approved a resolution combining both projects and awarding the contract for the final design of both the Salt Creek Gravity Sewer and the Wolf Canyon Trunk Sewer to Dudek & Associates. JUSTIFICATION FOR A PROJECT MANAGEMENT CONSULTANT Considering the current pace of development within "Eastern Territories" of the City of Chula Vista, it has become absolutely clear that the continued development within that region is Page 3, Item Meeting Date 6/20/2000 predicated on the construction of the Salt Creek Gravity Trunk Sewer Interceptor. With that understanding, it became imperative that all necessary steps towards expediting the construction of this project be taken to get it built. The hiring of a project management consultant would help facilitate the construction of this project. Due to current staff levels and workload, the City does not currently have the staff resoumes to manage this project in-house and deal with all the challenging issues that would need to be resolved on this project, hence the need for an outside consultant. CONSULTANT SELECTION PROCESS Staff prepared and issued a Request for Proposals (RFP) in early April 2000, and on May 1, 2000, the City's consultant selection committee received a total of four (4) proposals from consultants. The City's consultant selection committee consisted of the following five City staff members: George Krempl, Deputy City Manager; John Lippitt, Director of Public Works; Marilyn Ponseggi, Environmental Review Coordinator; Frank Rivera, Senior Civil Engineer; and Kirk Ammerman, Senior Civil Engineer. Upon the conclusion of the consultant interviews, and deliberations by the consultant selection committee, the committee reached a decision on the ranking of the consultants. The ranking was based on an evaluation criteria that included the following; the consultant's experience, the capacity to perform the work, the quality of the management team, the grasp of the project requirements, responsiveness to the scope of work, the quality and clarity of the proposal, familiarity with the local area and the cost proposal. Based on the above criteria, reference verification and interview performance, the selection committee ranked the firms for the provision of consultant services required for the Salt Creek Gravity Sewer Interceptor project and the Wolf Canyon project. The four firms listed in alphabetical order are as follows: Consultant Cost Proposal for Cost Proposal for Total Salt Creek Gravity Sewer Wolf Canyon Tnmk Sewer ASL Consulting $415,000 $205,000 $620,000 Engineers McGill Martin Self $497,000 $128,500 $625,500 Powell Construction $404,546 $119,513 $524,059 Management Willdan $265,000 $39,000 $304,000 Page 4, Item Meeting Date 6/20/2000 The City has a very ambitious schedule for the construction of the Salt Creek Gravity Sewer and the Wolf Canyon Trunk Sewer. The schedule provides for the design of the trunk sewers to be completed by October 2000, and the construction of the sewer systems to be completed by the early part of 2002. Although this schedule seems attainable, the most challenging part of this schedule is the environmental processing and permitting that would be required for this project. Therefore, this element of the project became the singular most important factor in accomplishing the goals and objectives of this project. Since one of the primary responsibilities of the Project Management consultant would be environmental coordination, the selection committee decided that the fundamental criteria for the ranking of the consultants would be the quality of the enviromnental team, their grasp of the issues involved in getting the required permits for this project and their experience in dealing with the resource agencies. In addition, the Selection Committee also evaluated each project manager's understanding of this project's unique and time sensitive requirements, experience in completing projects of similar scope on time and within budget, demonstratod understanding of the City's wastewater capacity needs and ability to focus on the project management and project delivery. Taking all these factors into consideration, the committee made the final determination that McGill Martin Self, Inc. assembled a team that had the best understanding of the project's issues and is best equipped to accomplish the defined scope of work. The firm was ranked as first negotiation preference. Although the cost proposal from MMS appears to be higher than the other consulting firms, the selection committee determined that there were significant differences in the underlying assumptions that made up the cost proposals. The proposal from MMS provided for the Project Manager to be more readily available than the proposals from the other three firms. Also in the evaluation of the proposals, it was determined that the difference in the cost estimates is based on the number of hours estimated by each consultant for the completion of the work. Thus, while MMS had more hours budgeted for the project, their hourly rate of $107 was the lowest hourly rate of the four firms. While the Project Managers from all the companies were equally qualified, the environmental consultant retained by MMS for this project gave a more compelling presentation of the project's issues and outlined strategies for obtaining the required permits from the resoume agencies. Since obtaining the environmental permits from the resource agencies is absolutely crucial to the success of this project, the committee recommended McGill Martin Self, Inc., to provide the required services for this project based on the quality of their team with particular emphasis on the strength of their environmental team, and the competitiveness of their cost proposal. The terms of this contract are on an hourly rate with a not-to-exceed limit. It is the selection committee's belief that any one of these firms will spend approximately the same number of base hours to complete this project. Based on their knowledge of the area and the issues and in conjunction with the rates, it was the selection committee's opinion that McGill Martin self, Inc., (MMS) best met these criteria. Page 5, Item Meeting Date 6/20/2000 SCOPE OF WORK The consultant shall be required to provide project management services, review and plan check engineering documents required for the construction of the Salt Creek Gravity Sewer Interceptor and the Wolf Canyon Trunk Sewer. In addition, the consultant would also provide environmental coordination and construction contract monitoring services required for the project. The scope of work tasks have been outlined into these sections: Task 1. Project Management. The project manager shall facilitate processing of plans by tracking the progress of plan check and submittals, determining critical path tasks, acting as departmental and interagency liaison, arranging meetings with City staff, engineers, developers, property owners, appraisers, other public agency staff, coordinating information and plans between the various engineers of work, monitoring the progress of the environmental permits from the resource agencies and performing all tasks necessary to ensure an efficient, expeditious completion of the Project. , The Project Manager and team will serve as an extension and support to City's staff. As such, the Project Manager shall perform all tasks needed to ensure project delivery in an expeditious manner. The Project Manager shall implement the City's quality control measures uniformly to all projects. The Project Manager shall document all issues, meetings, project progress and decisions. In addition, the Project Manager shall be required to prepare a monthly report for City staff. Task 1.1. Environmental Coordination. The environmental clearances for the project shall be processed through the Environmental Section of the City's Deparunent of Building and Planning. The Project Manager shall be responsible for coordination with the City's Environmental Review Coordinator (ERC) in obtaining the necessary environmental clearances through the State and Federal Resource Agencies is an expedited manner to facilitate the construction of the project as soon as possible. The necessary applications and documents for the environmental clearances shall be prepared by another consultant under an agreement with the City of Chula Vista. The City's ERC will be responsible for directing and coordinating the work of this consultant. Task 2. Plan Check. The Project Manager shall be responsible for assembling a team of technical personnel under his or her direction to perform the plan check duties of the City. The Project Manager and the team shall be responsible for all aspects of the plan check process up to and including; permit issuance, construction changes, field coordination, right of way documents, Page 6, Item Meeting Date 6/20/2000 plats, legal descriptions, grading, erosion control plans, drainage plans, improvement plans, traffic plans, and related technical reports (traffic, drainage, sewer, geotechnical, title, etc.). Task 3. Construction Contract Monitoring/Oversight. The Project Manager shall coordinate their activities with the City's Public Works/Engineering Construction Section, which will administer and manage the construction contract. The Project Manager will review the initial contractor's construction schedule and provide input to Construction Section staff. Additionally, the Project Manager will monitor the progress of the contractor's work to assure adherence to the construction schedule. The Project Manager will facilitate meetings with City staff, the design engineer, the contractor, developers, property owners, other public agencies, utility companies, and other parties who may have a vested interest in the project. The Project Manager shall, in conjunction with City's Construction Section staff, ensure that the project is constructed in accordance with the design plans and specifications. Further, the Project Manager shall coordinate all submittals and serve as a liaison between Construction Section staff and the project design engineer. CONCLUSION When completed, the Salt Creek/Wolf Canyon Interceptor will convey flows from the developments of Rolling Hills Ranch, Eastlake, Otay Ranch, Olympic Training Center and adjacent properties, and also provide additional capacity for the existing wastewater collection system for the southern part of the City. In addition, the construction of this sewer system will also allow for the decommissioning of four pump stations (the Otay Lakes Road Pump Station, the Olympic Parkway Pump Station, the Auto Park Pump Station and the Olympic Training Center Pump Station). The decommissioning of these pump stations would result in significant cost savings to the City in the range of $80,000-$100,000 annually. Three of these pump stations currently pump flows from Eastlake Development, Rolling Hills Ranch Development and the Olympic Training Center into the Telegraph Canyon Trunk Sewer System. The consultant will evaluate and resolve all issues required to ultimately complete this project and would be acting as an extension of staff. Staff and the developers as well as the general public will benefit immensely from this project since the impact of this project greatly affects the long- term growth of the City. Based on all the justifications already discussed above, staff reconunends that Council approve the resolution. FISCAL IMPACT: The approval of this resolution would authorize the expenditure of about $550,000 (including 10% contingencies) in Trunk Sewer Capital Reserve Funds for consultant services required for the Salt Creek portion of this project. During the last budget process, Council approved the appropriation of funds totaling $1,850,000 from the Trunk Sewer Capital Reserve Fund to fund the design and administration of the Salt Creek Gravity Sewer Interceptor. Page 7, Item Meeting Date 6/20/2000 All work related to the Wolf Canyon Trunk Sewer is being funded through a developer deposit. The developers involved in this project are expected to deposit a total amount of $168,500 into the project account. These funds will be used to pay for the project management services required for the design and construction of the Wolf Canyon Trunk Sewer portion of this project. The deposit also includes funds necessary to cover City staff costs related to the administration of the Wolf Canyon portion of the project. Attachmems: No. 1. Resolution No. 19484 approving the award of consulting services comract to Dudek & Associates, Inc. to provide environmental services and a preliminary design for the Salt Creek Gravity Sewer Trunk. No. 2. Resolution No. 2000-140 waiving the selection process and approving an agreement between the City of Chula Vista and Dudek & Associates, Inc. for the provision of environmental and engineering services required for the final design and construction of the Salt Creek Sewer Interceptor and the Wolf Canyon Trunk Sewer. No.3 Plat Showing the Salt Creek Gravity Sewer Interceptor and the Wolf Canyon Trunk Sewer No. 4. Agreement between the City of Chula Vista and McGill Martin Self, Inc., for the provision of project management services required for the design and construction of the Salt Creek Gravity Sewer Interceptor and the Wolf Canyon Trunk File:0735-10-SW219 (Rev.June 14, 2000 (3:48PM)) H:\HOME\ENGINEER\AGENDA\SALTCRK.ac.doc RESOLUTION OF THE CITY COUNCIL OF T~ CITY OF C~LrL~ VISTA A~PROVING AWARD OF CONSULTANT SERVICES CONTRACT TO DUDEK AND ~SSOCIATES, INC. TO PROVIDE ENVIRONF~NTAL SERVICES AND A PRELIMIATARY DESIGN FOR '£~t~ SALT CREEK GRAVITY SEWER TRUNK WH~REA~, the proposed Salt Creek T~k will transport wastewater from new developments within the Salt Creek Basin in eastern Chula Vista and provide additional capacity to the existing wastewater collection systems in southern Chula Vista; and WHEREA~, the city needs the assistance of a consultant to provide engineering and environmental services and to prepare a preliminary design for the Salt Creek Gravity Trunk Sewer; and W%r~REAS, Section 2.56.110 of the Municipal Code was followed in the consultant selection process and a Request for Proposals was prepared and sent to over forty firms with expertise in these areas; and W~IEREAS, the three member selection committee appointed by the City Manager selected Dudek and Associates, Inc. based on the lowest proposal, relevant experience, strong project team and excellent references; WHEP~EAS, approval of this resolution will allow for the preparation of the preliminary design and determine the environmental constraints and alignment for subsequent final design of the interceptor; and WkU~RED~q, upon completing this preliminary design, the City will hire a consultant to prepare the final design. NOW, THEREFORE, BE IT RESOLVED the City Council of the city of Chula Vista does hereby approve the award of a consultant services contract'to Dudek and Associates, Inc. in the amount of $54,950 to provide environmental services and preliminary design for the Salt Creek Gravity Trunk Sewer, 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 Chu!a Vista is hereby authorized and directed to execute said Agreement for and on behalf of the City of Chula vista. Presented by Approved as to form by John P. Lippitt, Director of ty ey Public Works RESOLUTION NO. 2000-140 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA WAIVING THE CONSULTANT SELECTION PROCESS AND APPROVING AN AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND DUDEK & ASSOCIATES, INC., FOR THE PROVISION OF ENVIRONMENTAL AND ENGINEERING SERVICES REQUIRED FOR THE FINAL DESIGN AND CONSTRUCTION OF THE SALT CREEK GRAVITY SEWER INTERCEPTOR AND THE WOLF CANYON TRUNK SEWER WHEREAS, on June 8, 1999, the City Council approved Resolution No. 19484 selecting Dudek & Associates as the project consultant to prepare the preliminary design of the Salt Creek Gravity Sewer Interceptor and also provide environmental services needed for the project; and WHEREAS, Dudek & Associates is in the process of finalizing the preliminary design report for the Salt Creek Gravity Sewer Interceptor which report identified an alignment for the trunk sewer that will ultimately form the basis of the final design; and WHEREAS, due to the current pace of development in the eastern territories of the City and the need to expedite the completion of the final design plans, it has become critical to hire a consultant at this time to finalize the design of the project in order to meet the project objectives and deadlines; and WHEREAS, since Dudek & Associates is intimately familiar with the various aspects of the project, has a vast knowledge of the environmental issues within that region, has the necessary resources to provides the services necessary to meet the project deadlines and information necessary for obtaining the environmental perm/ts within a short time frame, staff recommends that the consultant selection process be waived and that a contract be approved for the provision of environmental and engineering services required for the final design and construction of the Salt Creek Gravity Sewer Interceptor and the Wolf Canyon Tnmk Sewer; and WHEREAS, the consultant proposes to do all the work required (.preparation of final design plans, processing of environmental documents and permits and construction support services) for the Salt Creek Gravity Sewer Interceptor on a time and material basis, for the total amount not to exceed $882,00 and the work required for the Wolf Canyon Trunk Sewer would also be completed on a time and material basis, and would be done for the total amount not to exceed $280,000. NOW, THEREFORE, BE I'1~ RESOLVED the City Council of the City of Chula Vista does hereby waive the consultant selection process and approve an Agreement with Dudek & Associates, Inc: for the provision of environmental and engineer/ng services required for the final design and construction of the Salt Creek Gravity Sewer Interceptor and the Wolf Canyon Trunk Sewer, 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 for and on behalf of the City of Chula Vista. Resolution 2000-140 Page 2 Presgnted by Approved as to form by Jo'l~ M. Kah~ny //) John?. Lippitt Public Works Director c/Eity Attorney PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista, California, this 2'~ day of May, 2000, by the following vote: AYES: Councilmembers: Davis, Padilla, Salas, and Horton NAYS: Councilmembers: None ABSENT: Councilmembers: ' None ABSTAIN: Councilmembers: Moot ATTEST: Susan Bigelow, City Clerg STATE OF CALIFORNIA ) COUNTY OF SAN DIEGO ) CITY OF CHULA VISTA ) I, Susan Bigelow, City Clerk of Chula Vista, California, do hereby certify that the foregoing Resolution No. 2000-140 was duly passed, approved, and adopted by the City Council at a regular meeling of the Chula Vista City Council held on the 2"d day of May, 2000. Executed this 2'd day of May, 2000. Susan Bigelow, City Clerk AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND McGILL MARTIN SELF, INC FOR THE PROVISION OF PROJECT MANAGEMENT SERVICES REQUIRED FOR THE SALT CREEK GRAVITY SEWER INTERCEPTOR AND THE WOLF CANYON TRUNK SEWER This agreemem CAgreemem"), dated for the purposes of reference only, and effective as of the date last executed unless another date is otherwise specified in Exhibit A, Paragraph 1 is between the City of Chula Vista, hereinafter called "City", whose business form is set forth on Exhibit A, paragraph 3, and McGili Martin Self, Inc., hereinafter called "Consultant," the entity indicated on the attached Exhibit A, paragraph 4, as Consultant, whose business form is set forth on Exhibit A, paragraph 5, and whose place of business and telephone numbers are set forth on Exhibit A, paragraph 6 ("Consultant"), and is made with reference to the following facts: Recitals WHEREAS, the City Chnla Vista, by Resolution 2000-140 on May 2, 2000, approved an agreement with Dudek & Associates for the provision of environmental and engineering services required for the final design and construction of the Salt Creek Gravity Sewer Interceptor and the Wolf Canyon Trunk Sewer WHEREAS, there is a need for additional consultant services in order to ensure the timely construction of the Salt Creek Gravity Interceptor and the Wolf Canyon Trunk Sewer, and; WHEREAS, the City requires further consultant efforts in order to perform project management environmemal coordination function, review engineering plans and documems, and provide construction contract monitoring and oversight, and; WHEREAS, Consultant warrants and represents that they are experienced and staffed in a manner such that they are and can prepare and deliver the services required of Consultant to City within the time frames herein provided all in accordance with the terms and conditions of this Agreement. NOW, THERFORE BE IT RESOLVED, that the parties do hereby mutually agree as follows: 1. Consultant's Duties: A. General Duties: The Consultant shall perform all of the services described in the attached Exhibit A, Paragraph 7, entitled "General Duties"; and, B. Scope of Work and Schedule: In the process of performing and delivering said "General Duties", Consultant shall also perform all of the services described in Exhibit A, Paragraph 8, entitled "Scope of Work and Schedule", not inconsistent with the General Duties, according to, and within the time frames set forth in Exhibit A, Paragraph 8, and deliver to the City such Deliverables as are identified in Exhibit A, Paragraph 8, within the time frames set forth therein, time being of the essence of this agreement. The General Duties and the work and deliverables required in the Scope of Work and Schedule shall be herein referred to as the "Defined Services". Failure to complete the Defined Services by the times indicated shall not terminate this agreement, except at the option of the City. , C. Reductions in Scope of Work: City may independently, Or upon request from Consultant, from time to time reduce the Defined Services to be performed by the Consultant under this Agreement. Upon doing so, City and Consultant agree to meet in good faith and confer for the purpose of negotiating a corresponding reduction in the compensation associated with said reduction. D. Additional Services: In addition to performing the De£med Services herein, set forth, City may require Consultant to perform additional consulting services related to the Defined Services (" Additional Services"), and upon doing so in writing, if they are within the scope of services offered by Consultant, Consultant shall perform same on a time and materials basis at the rates set forth in the "Rate Schedule" in Exhibit A, Paragraph 11, unless a separate fixed fee is otherwise agreed upon. All compensation for Additional Services shall be paid monthly as billed. E. Standard of Care: Consultant, in performing any Services under this agreement, whether Defined Services or Additional Services, shall perform in a manner consistent with that level of care and skill ordinarily exercised by members of the profession currently practicing under similar conditions and in similar locations. F. Insurance: Consultant represents that it and its agents, staff and subconsultants employed by it in connection with the Services required to be rendered, are protected against the risk of loss by the following insurance coverages, in the following categories, and to the limits specified, policies of which are issued by Insurance Companies that have a Best's Rating of "A, Class V" or better, or shall meet with the approval of the City: Statutory Worker's Compensation Insurance and Employer's Liability Insurance coverage in the amount set forth in the attached Exhibit A, Paragraph 9. Commercial General Liability Insurance including Business Automobile Insurance coverage in the amount set forth in Exhibit A, Paragraph 9, combined single limits applied separately to each project away from premises owned or rented by Consultant, which names City and Applicant as an Additional Insured, and which is primary to any policy which the City may otherwise carry ("Primary Coverage"), and which treats the employees of the City and Applicant in the same manner as members of the general public C Cross-liability Coverage"). Errors and Omissions insurance, in the amount set forth in Exhibit A, Paragraph 9, unless Errors and Omissions coverage is included in the General Liability policy. G. Proof of Insurance Coverage: (1) Certificates of Insurance: Consultant shall demonstrate proof of coverage herein required, prior to the commencement of services required under this Agreement, by delivery of Certificates of Insurance demonstrating same, and further indicating that the policies may not be canceled without at least thirty (30) days written notice to the Additional Insured. (2) Policy Endorsements Required: In order to demonstrate the Additional Insured Coverage, Primary Coverage and Cross-liability Coverage required under Consultant's Commercial General Liability Insurance Policy, Consultant shall deliver a policy endorsement to the City demonstrating same, which shall be reviewed and approved by the Risk Manager. H. Security for Performance: (1) Performance Bond: In the event that Exhibit A, at Paragraph 19, indicates the need for Consultant to provide a Performance Bond (indicated by a check mark in the parenthetical space immediately preceding the subparagraph entitled "Performance Bond"), then Consultant shall provide to the City a performance bond by a surety and in a form and amount satisfactory to the Risk Manager or City Attorney which amount is indicated in the space adjacent to the term, "Performance Bond", in said Paragraph 19, Exhibit A. Said Performance Bond to be furnished and delivered to the City of Chula Vista immediately following signing of contract by both parties and before any work is started. Work timetable begins upon delivery of said Performance Bonds. (2) Letter of Credit: In the event that Extfibit A, at Paragraph 19, indicates the need for Consultant to provide a Letter of Credit (indicated by a check mark in the parenthetical space immediately preceding the subparagraph entitled "Letter of Credit"), then Consultant shall provide to the City an irrevocable letter of credit callable by the City at their unfettered discretion by submitting to the bank a letter, signed by the City Manager, stating that the Consultant is in breach of the terms of this Agreement. The letter of credit shall be issued by a bank, and be in a form and mount satisfactory to the Risk Manager or City Attorney which mount is indicated in the space adjacent to the term, "Letter of Credit", in said Paragraph 19, Exhibit A. (3) Other Security: In the event that Exhibit A, at Paragraph 19, indicates the need for Consultant to provide security other than a Performance Bond or a Letter of Credit (indicated by a check mark in the parenthetical space immediately preceding the subparagraph entitled "Other Security"), then Consultant shall provide to the City such other security therein listed in a form and mount satisfactory to the Risk Manager or City Attorney. I. Business License: Consultant agrees to obtain a business license from the City and to otherwise comply with Title 5 of the Chula Vista Municipal Code. 2. Duties of the City: A. Consultation and Cooperation: City shall regularly consult the Consultant for the purpose of reviewing the progress of the Defined Services and Schedule therein contained, and to provide direction and guidance to achieve the objectives of this agreement. The City shall permit access to its office facilities, files and records by Consultant throughout the term of the agreement. In addition thereto, the City agrees to provide the information, data, items and materials set forth on Exhibit A, Paragraph 10, and with the further understanding that delay in the provision of these materials beyond 30 days after authorization to proceed, shall constitute a basis for the justifiable delay in the Consultant's performance of this agreement. B. Compensation: Upon receipt of a properly prepared billing from Consultant submitted to the City periodically as indicated in Exhibit A, Paragraph 18, but in no event more frequently than monthly, on the day of the period indicated in Exhibit A, Paragraph 18, City shall compensate Consultant for all services rendered by Consultant according to the terms and conditions set forth in Exhibit A, Paragraph 11, adjacent to the governing compensation relationship indicated by a "checkmark" next to the appropriate arrangement, subject to the requirements for retention set forth in paragraph 19 of Exhibit A, and shall compensate Consultant for out of pocket expenses as provided in Exhibit A, Paragraph 12. All billings submitted by Consultant shall contain sufficient information as to the propriety of the billing to permit the City to evaluate that the amount due and payable thereunder is proper, and shall specifically contain the City's account number indicated on Exhibit A, Paragraph 18 to be charged upon making such payment. 3. Administration of Contract: Each party designates the individuals ("Contract Administrators") indicated on Exhibit A, Paragraph 13, as said party's contract administrator who is authorized by said party to represent them in the routine administration of this agreement. 4. Term: This Agreemem shall terminate when the Parties have complied with all executory provisions hereof. 5. Liquidated Damages: The provisions of this section apply if a Liquidated Damages Rate is provided in Exhibit A, Paragraph 14. It is acknowledged by both parties that time is of the essence in the completion of this Agreement. It is difficult to estimate the amount of damages resulting from delay in per- formance. The parties have used their judgment to arrive at a reasonable amount to compensate for delay. Failure to complete the Defined Services within the allotted time period specified in this Agreement shall result in the following penalty: For each consecutive calendar day in excess of the time specified for the completion of the respective work assignment or Deliverable, the consultant shall pay to the City, or have withheld from monies due, the sum of Liquidated Damages Rate provided in Exhibit A, Paragraph 14 ("Liquidated Damages Rate"). Time extensions for delays beyond the consultant's control, other than delays caused by the City, shall be requested in writing to the City's Contract Administrator, or designee, prior to the expiration of the specified time. Extensions of time, when granted, will be based upon the effect of delays to the work and will not be granted for delays to minor portions of work unless it can be shown that such delays did or will delay the progress of the work. 6. Financial Interests of Consultant: A. Consultant is Designated as an FPPC Filler: If Consultant is designated on Exhibit A, Paragraph 15, as an "FPPC filer", Consultant is deemed to be a "Consultant" for the purposes of the Political Reform Act conflict of interest and disclosure provisions, and shall report economic interests to the City Clerk on the required Statement of Economic Interests in such reporting categories as are specified in Paragraph 15 of Exhibit A, or if none are specified, then as determined by the City Attorney. B. Decline to Participate: Regardless of whether Consultant is designated as an FPPC Filer, Consultant shall not make, or participate in making or in any way attempt to use Consultant's position to influence a governmental decision in which Consultant knows or has reason to know Consultant has a financial interest other than the compensation promised by this Agreement. C. Search to Determine Economic Interests: Regardless of whether Consultant is designated as an FPPC Filer, Consultant warrants and represents that Consultant has diligently conducted a search and inventory of Consultant's economic interests, as the term is used in the regulations promulgated by the Fair Political Practices Commission, and has determined that Consultant does not, to the best of Consultant's knowledge, have an economic interest which would conflict with Consultant's duties under this agreement. D. Promise Not to Acquire Conflicting Interests: Regardless of whether Consultant is designated as an FPPC Filer, Consultant further warrants and represents that Consultant will not acquire, obtain, or assume an economic interest during the term of this Agreement which would constitute a conflict of interest as prohibited by the Fair Political Practices Act. E. Duty to Advise of Conflicting Interests: Regardless of whether Consultant is designated as an FPPC Filer, Consultant further warrants and represents that Consultant will immediately advise the City Attorney of City if Consultant learns of an economic interest of Consultant's which may result in a conflict of interest for the purpose of the Fair Political Practices Act, and regulations promulgated thereunder. F. Specific Warranties Against Economic Interests: Consultant warrants and represents that neither Consultant, nor Consultant's immediate family members, nor Consultant's employees or agents ("Consultant Associates") presently have any interest, directly or indirectly, whatsoever in any property which may be the subject matter of the Defined Services, or in any property within 2 radial miles from the exterior boundaries of any property which may be the subject matter of the Defmed Services, ("Prohibited Interest"), other than as listed in Exhibit A, Paragraph 15. Consultant further warrants and represents that no promise of future employment, remuneration, consideration, gratuity or other reward or gain has been made to Consultant or Consultant Associates in connection with Consultant's performance of this Agreement. Consultant promises to advise City of any such promise that may be made during the Term of this Agreement, or for 12 months thereafter. Consultant agrees that Consultant Associates shall not acquire any such Prohibited Interest within the Term of this Agreement, or for 12 months after the expiration of this Agreement, except with the written permission of City. Consultant may not conduct or solicit any business for any party to this Agreement, or for any third party which may be in conflict with Consultant's responsibilities under this Agreement, except with the written permission of City. 7. Hold Harmless: Consultant shall defend, indemnify, protect and hold harmless the City, its elected and appointed officers and employees, from and against all claims for damages, liability, cost and expense (including without limitation attorneys' fees) arising out of the conduct of the Consultant, or any agent or employee, subcontractors, or others in connection with the execution of the work covered by this Agreement, except only for those claims arising from the sole negligence or sole willful conduct of the City, its officers, or employees. Consultant's indemnification shall include any and all costs, expenses, attorneys' fees and liability incurred by the City, its officers, agents, or employees in defending against such claims, whether the same proceed to judgment or not. Further, Consultant at its own expense shall, upon written request by the City, defend any such suit or action brought against the City, its officers, agents, or employees. Consultants' indemnification of City shall not be limited by any prior or subsequent declaration by the Consultant. 8. Termination of Agreement for Cause: If, through any cause, Consultant shall fail to fulfill in a timely and proper manner Consnltant's obligations under this Agreement, or if Consultant shall violate any of the covenants, agreements or stipulations of this Agreement, City shall have the right to terminate this Agreement by giving written notice to Consultant of such termination and specifying the effective date thereof at least five (5) days before the effective date of such termination. In that event, all finished or unfinished documents, data, studies, surveys, drawings, maps, reports and other materials prepared by Consultant shall, at the option of the City, become the property of the City, and Consultant shall be entitled to receive just and equitable compensation for any work satisfactorily completed on such documents and other materials up to the effective date of Notice of Termination, not to exceed the amounts payable hereunder, and less any damages caused City by Consultant's breach. 9. Errors and Omissions: In the event that the City Administrator determines that the Consultants' negligence, errors, or omissions in the performance of work under this Agreement has resulted in expense to City greater than would have resulted if there were no such negligence, errors, omissions, Consultant shall reimburse City for any additional expenses incurred by the City. Nothing herein is intended to limit City's rights under other provisions of this agreement. 10. Termination of Agreement for Convenience of City: City may terminate this Agreement at any time and for any reason, by giving specific written notice to Consultant of such termination and specifying the effective date thereof, at least thirty (30) days before the effective date of such termination. In that event, all finished and unfinished documents and other materials described hereinabove shall, at the option of the City, become City's sole and exclusive property. If the Agreement is terminated by City as provided in this paragraph, Consultant shall be entitled to receive just and equitable compensation for any satisfactory work completed on such documents and other materials to the effective date of such termination. Consultant hereby expressly waives any and all claims for damages or compensation arising under this Agreement except as set forth herein. 11. Assignability: The services of Consultant are personal to the City, and Consultant shall not assign any interest in this Agreement, and shall not transfer any interest in the same (whether by assignment or novation), without prior, written consent of City. City hereby consents to the assignment of the portions of the Defined Services identified in Exhibit A, Paragraph 17 to the subconsultants identified thereat as "Permitted Subconsultants". 12. Ownership, Publication, Reproduction and Use of Material: All reports, studies, information, data, statistics, forms, designs, plans, procedures, systems and any other materials or properties produced under this Agreement shall be the sole and exclusive property of City. No such materials or properties produced in whole or in part under this Agreement shall be subject to private use, copyrights or patent rights by Consultant in the United States or in any other country without the express written consent of City. City shall have unrestricted authority to publish, disclose (except as may be limited by the provisions of the Public Records Act), distribute, and otherwise use, copyright or patent, in whole or in part, any such reports, studies, data, statistics, forms or other materials or properties produced under this Agreement. 13. Independent Consultant: City is interested only in the results obtained and Consultant shall perform as an independent Consultant with sole control of the manner and means of performing the services required under this Agreement. City maintains the right only to reject or accept Consultant's work products. Consultant and any of the Consultant's agents, employees or representatives are, for all purposes under this Agreement, an independent Consultant and shall not be deemed to be an employee of City, and none of them shall be entitled to any benefits to which City employees are entitled including but not limited to, overtime, retirement benefits, worker's compensation benefits, injury leave or other leave benefits. Therefore, City will not withhold state or federal income tax, social security tax or any other payroll tax, and Consultant shall be solely responsible for the payment of same and shall hold the City harmless with regard thereto. 14. Administrative Claims Requirements and Procedures: No suit or arbitration shall be brought arising out of this agreement, against the City unless a claim has first been presented in writing and filed with the City and acted upon by the City in accordance with the procedures set forth in Chapter 1.34 of the Chula Vista Municipal Code, as same may from time to time be amended, the provisions of which are incorporated by this reference as if fully set forth herein, and such policies and procedures used by the City in the implementation of same. Upon request by City, Consultant shall meet and confer in good faith with City for the purpose of resolving any dispute over the terms of this Agreement. 15. Attorney's Fees: Should a dispute arising out of this Agreement result in litigation, it is agreed that the prevailing party shall be entitled to recover all reasonable costs incurred in the defense of the claim, including costs and attorney's fees. 16. Statement of Costs: In the event that Consultant prepares a report or document, or participates in the preparation of a report or document in performing the Defined Services, Consultant shall include, or cause the inclusion of, in said report or document, a statement of the numbers and cost in dollar amounts of all contracts and subcontracts relating to the preparation of the report or document. 17. Miscellaneous: A. Consultant not authorized to Represent City: Unless specifically authorized in writing by City, Consultant shall have no authority to act as City's agent to bind City to any contractual agreements whatsoever. B. Consultant is Real Estate Broker and/or Salesman: If the box on Exhibit A, Paragraph 16 is marked, the Consultant and/or their principals is/are licensed with the State of California or some other state as a licensed real estate broker or salesperson. Otherwise, Consultant represents that neither Consultant, nor their principals are licensed real estate brokers or salespersons. C. Notices: All notices, demands or requests provided for or permitted to be given pursuant to this Agreement must be in writing. All notices, demands and requests to be sent to any party shall be deemed to have been properly given or served if personally served or deposited in the United States mail, addressed to such party, postage prepaid, registered or certified, with return receipt requested, at the addresses identified herein as the places of business for each of the designated parties. D. Entire Agreement: This Agreement, together with any other written document referred to or contemplated herein, embody the entire Agreement and understanding between the parties relating to the subject matter hereof. Neither this Agreement nor any provision hereof may be amended, modified, waived or discharged except by an instrument in writing executed by the party against which enforcement of such amendment, waiver or discharge is sought. E. Capacity of Parties: 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 or other actions have been taken so as to enable it to enter into this Agreement. F. Governing Law/Venue: This Agreement shall be governed by and construed in accordance with the laws of the State of California. Any action arising under or relating to this Agreement shall be brought only in the federal or state courts located in San Diego County, State of California, and if applicable, the City of Chula Vista, or as close thereto as possible. Venue for this Agreement, and performance hereunder, shall be the City of Chula Vista Signature Page to Agreement between the City of Chula Vista and MeGiH Martin Self, lnc For the provision of Project Management services required for the design and construction of the Salt Creek Gravity Sewer Interceptor and Wolf Canyon Trunk Sewer IT WITNESS WHEREOF, City and Consultant have executed this Agreement thereby indicating that they have read and understood same, and indicate their full and complete consent to its terms: DATED: CITY OF CHULA VISTA By: Shirley Horton, Mayor Attest: Susan Bigelow City Clerk Approved as to form: John M. Kaheny City Attorney DATED: ,2000 McGill Martin Self, Inc By. Michael R. McGill, PE. President Exhibit List to Agreement (X) Exhibit A By. Harry G. Burrowes, PE. Vice President l! .... Exhibit A to Agreement between The City of Chula Vista and McGill Martin Self, Inc 1. Effective Date of Agreement: 2. City-Related Entity: (X) City of Chula Vista, a mtmicipal chartered corporation of the State of California ( ) Redevelopment Agency of the City of Chula Vista 3. Place of Business for City: ~ City of Chula Vista 276 Fourth Avenue Chula Vista, CA 91910 4. Name of Consultant: McGill Martin Self, Inc. 5. Business Form of Consultant: ( ) Sole Proprietorship ( ) Partnership (X) Corporation 6. Place of Business, Telephone and Fax Number of Consultant: 310 Third Avenue, Suite B-6 Chula Vista, CA 91910 Tel: (619) 425-1343 Fax: (619) 425-1357 7. General Duties The Consultant shall assign Linda Sloan Scott, P.E. as Project Manager for the project and maintain sufficient local staffing throughout the duration of this project. The Consultant and the Project Manager shall: - 12 - '~f~l' '~'~ ~ Oversee the plan check of the Salt Creek Gravity Sewer Interceptor and the Wolf Canyon Trunk Sewer f'mal design; Develop and maintain concise work plans that identify critical issues; Establish lines of responsibilities to all parties; Conduct weekly meetings, as needed, to maintain project's schedule; Document all project meetings and decisions including agenda, action plans and minutes; Track project progress and issue status reports; Perform schedule oversight on the environmental processIng and permitting work; Review plans for compliance with acceptable engineering practices, Tentative Maps, adjacent improvements, regional standards and City Standards; Review and make recommendation for all related plans and technical reports from initial submittal until final approval; and prepare staff reports and Council agenda items 8. Scope of Work and Schedule: The scope of work for this contract will be for the provision of project management services required for the design and construction of the Salt Creek Gravity Sewer Interceptor and the Wolf Canyon Trunk Sewer. The Salt Creek Gravity Sewer Interceptor involves the construction of more than 12.5 miles of sewer line ranging from 15 inches at the easterly end to 36 inches at the westerly end, that are segregated into nine reaches. The reaches were divided primarily at points of major slope change and where a significant amount of sewage flow from the properties would be contributed. The project is in the final stages of design by Dudek & Associates. The Wolf Canyon Trunk Sewer project involves the installation of approximately 15,700 linear feet of sewer pipes varying in size from 10 inches to 15 inches within the Wolf Canyon Basin. This trunk sewer line will connect to the Salt Creek Gravity Sewer Interceptor at some point in Reach 8. The project is currently in early stages of planning and design by Dudek & Associates. A. Detailed Scope of Work: The scope of work tasks defined below is representative of the work that would be done on both projects. The scope of work tasks have been arranged in a logical format and have been outlined into major sections: Project Management The Project Manager shall facilitate processing of plans by tracking the progress of plan check and submittals, determining critical path tasks, acting as departmental and interagency liaison, arranging meetings with City staff, engineers, developers, property owners, appraisers, other public agency staff, coordinating information and plans between the various engineers of work, monitoring the progress of the environmental permits from the resource agencies and performing all tasks necessary to ensure an efficient, expeditious completion of the Project. The Project Manager shall review all City documents necessary for the construction of the Salt Creek Gravity Sewer Interceptor to include, but not be limited to: General Plan, Environmental Impact Report(s), The Preliminary Design Report by Dudek and Associates and the Salt Creek Gravity Basin Sewer Analysis by Wilson Engineering. The Project Manager shall review and be familiar with the City's Subdivision Manual and other City standards. The Project Manager shall address all engineering issues and make written recommendations to the City staff based on sound engineering and construction practices and City standards, including the City's threshold standards. The Project Manager shall ensure that plan review comments are in compliance with City and State standards and all related documents. Where there are conflicts in different agency standards, the Project Manger shall bring these differences to the attention of City staff. The Project Manager and team will serve as an extension and support to City's staff. As such, the Project Manager shall perform all tasks needed to ensure project delivery in an expeditious manner. The first plan check shall be completed no later than 21 days from the date of submittal, the second plan check shall be completed no later than 14 days, and the third check shall be completed no later than 7 days (all calendar days). The Project Manager shall implement the City's quality control measures uniformly to all projects. The Project Manager shall document all issues, meetings, project progress and decisions. In addition, the Project Manager shall be required to prepare a monthly report for City staff. Environmental Coordination The environmental clearances for the project shall be processed through the Environmental Section of the City's Department of Building and Planning. The Project Manager shall be responsible for coordination with the City's Environmental Review Coordinator (ERC) in obtaining the necessary environmental clearances through the State and Federal Resource Agencies in an expedited manner to facilitate the construction of the project as soon as possible. The necessary applications and documents for the environmental clearances shall be prepared by another consultant under an agreement with the City of Chula Vista. The City's ERC will be responsible for directing and coordinating the work of this consultant. Plan Check The Project Manager shall be responsible for assembling a team of technical personnel under his or her direction to perform the plan check duties of the City. The Project Manager and the team shall be responsible for all aspects of the plan check process to permit issuance, construction changes, and field coordination and shall encompass right of way documents and plats, legal descriptions, grading and erosion control plans, drainage plans, improvement plans, traffic plans, and related reports (traffic, drainage, sewer, geotechnical, title, etc.) for all improvements including but not limited to: Road, Site Grading · Review recommendations in geotechnical reports, and construction plans, the Dudek Preliminary Study, documents listed in Task 1, Corps permits, and other permits to ensure that any grading complies with all. · Review specifications for grading work, creek/habitat remediation work as appropriate, erosion control, compaction, trenching, slope repairs if applicable, and sub-drainage requirements. · Review adequacy of structural calculations for pavement sections. Sewer · Review sewer plans for conformance with project goals and objectives and conformance with the Dudek Preliminary Study, documents in Task 1 and City Standards. · Review plans for horizontal and vertical alignment, hydraulic analysis and flow parameters, etc. · Review of sewer line sizing and hydraulic calculations. · Review of traffic control plans and layout. · Review of pump station decommissioning plans Utilities · Review utility plans for conformance with plans provided by the utility companies, the Citys's GIS systems, and City-provided as-built plans and City Standards. · Review plans for construction of off-site and on-site utilities and joint utility (electric/gas/cable tv), including of locations within right-of-way and easements. · Review utility crossings for potential conflicts. Right-of- Way Documents Review closure calculations for accuracy and conformance with right-of-way documents. · Review legal descriptions of dedications and easements and to whom dedicated and purpose. -15- · Review statements for conformance to Map Act and City requirements. · Review title reports to ensure accuracy and conformance to the right-of-way documents, and any easements or restrictions accurately portrayed on the right-of- way documents. · Review entitlements being granted to other agencies. Review record of survey(s). · Prepare written reports to Council, as needed. Construction Contract Monitoring/Oversight The Project Manager shall coordinate his/her activities with the City's Public Works/Engineering Construction Section, which will administer and manage the construction contract. The Project Manager will review the initial contractorl~s construction schedule and provide input to Construction Section staff. Additionally, the Project Manager will monitor the progress of the contractorDs work to assure adherence to the construction schedule. The Project Manager will facilitate nteetings with City staff, the design engineer, the contractor, developers, property owners, other public agencies, utility companies, and other parties who may have a vested interest in the project. The Project Manager shall, in conjunction with City Construction Section staff, ensure that the project is constructed in accordance with the design plans and specifications. Further, the Project Manager shall coordinate all submittals and serve as a liaison between Construction Section staff and the project design engineer. 9. Insurance Requirements: (X) Statutory Worker's Compensation Insurance (X) Employer's General Liability Insurance: $1,000,000. (X) Commercial General Liability Insurance: $1,000,000. ( ) Errors and Omissions Insurance: $250,000 (not included in Commercial General Liability coverage). 10. Materials Required to be Supplied by City to Consultant 11. Compensation: A. (X) Hourly Rate Arrangement. For performance of all of the Defined Services by Consultant as herein required, City shall pay Consultant for the productive hours of time spent by Consultant in the performance of said Services, at the rates or amounts set forth in the Rate Schedule herein below according to the following terms and conditions: i. ( ) Not-to-Exceed Limitation on Time and Materials Arrangements Notwithstanding the expenditure by Consultant of time and materials ia excess of said Maximum Compensation mount, Consultant agrees that Consultant will perform all of the Defined Services herein required of Consultant for a lump sum of $ ( ) including all Materials, and other "reimburseables" ("Maximum Compensation"). 2. (X) Limitation without Further Authorization on Time and Materials Arrangement, At such; time as the Consultant shall have incurred time and materials equal to $353,350 for Deliverable 1, $74,100 for Deliverable 2, $69,550 for Deliverable 3, $92,350 for Deliverable 4, $18,600 for Deliverable 5 and $17,550 for Deliverable 6 all as defined in Section 20 - Deliverables, of this agreement Rate Schedule Categories of Employee Hourly of Consultant Name Rate Sr. Principal Michael McGill $150/hr Principal Harry Burrowes $135/hr Project Manager Linda Sloan Scott $120/hr Senior Professional $110/hr Associate Professional $100/hr Assistant Professional $ 85/hr Secretary/Clerk $ 55/hr Merkel & Associates Keith Merkel $120/hr ( ) Hourly rates may increase by 6% for services rendered after ,2000 if delay in providing services is caused by City. 12. Materials Reimbursement Arrangement: For the cost of out of pocket expenses incurred by Consultant in the performance of services herein required, City shall pay Consultant at the rates or amounts set forth below: (X) None, the compensation includes all costs. Cost or Rate ( ) Reports, not to exceed $__ ( ) Copies, not to exceed $.__: ( ) Travel, not to exceed $.__: ( ) Printing, not to exceed $___ ( ) Postage, not to exceed $~__ ( ) Delivery, not to exceed $___ ( ) Long Distance Telephone Charges, not to exceed $__ ( ) Other Actual Identifiable Direct Costs: ., not to exceed $ : , not to exceed $. : 13. Contract Administrators: City: Anthony Chukwudolue, Civil Engineer 276 Fourth Avenue, Chula Vista, CA 91910 and Susan Bigelow, City Clerk. Consultant: McGill Martin Self, Inc. 310 Third Avenue, Suite B-6 Chula Vista, CA 91910 Tel: (619) 425-1343 Fax: (619) 425-1357 14. Liquidated Damages Rate: ( ) $~__ per day. ( ) Other: 15. Statement of Economic Interests, Consultant Reporting Categories, per Conflict of Interest Code: ( ) Not Applicable. Not an FPPC Filer. (X) FPPC Filer ( ) Category No. 1. Investments and sources of income. ( ) Category No. 2. Interests in real property. (X) Category No. 3. Investments, interest in real property and sources of income subject to the regulatory, permit or licensing authority of the department. (X) Category No. 4. Investments in business entities and sources of income which engage in land development, construction or the acquisition or sale of real property. (X) Category No. 5. Investments in business entities and sources of income of the type which, within the past two years, have contracted with the City of Chula Vista (Redevelopment Agency) to provide services, supplies, materials, machinery or equipment. ( ) Category No. 6. Investments in business entities and sources of income of the type which, within the past two years, have contracted with the designated employee's department, to provide services, supplies, materials, machinery or equipment. ( ) Category No. 7. Business positions. ( ) List "Consultant Associates" interests in real property within 2 radial miles of Project Property, if any: 16. Real Estate Broker: Not Applicable 17. Permitted SubConsultants: 18. Bill Processing: Consultant's Billing to be submitted for the following period of time: ( X ) Monthly. The City will use its best effort to remit payments within 30 days. ( ) Quarterly ( ) Other: Day of the Period for submission of Consultant's Billing: (X) First of the Month ( ) 15th Day of each Month ( ) End of the Month ( ) Other: 19. Security for Performance: ( ) Performance Bond: ( ) Letter of Credit: ( ) Other Security: Type: Amount: $ ( ) Retention. If this space is checked, then notwithstanding other provisions to the contrary requiring the payment of compensation to the Consultant sooner, the City shall be entitled to retain, at their option, either the following "Retention Percentage" or "Retention Amount" until the City determines that the Retention Release Event, listed below, has occurred: ( Retention Percentage: ( Retention Amount: $ Retention Release Event: ( ) Completion of all Consultant Services ( ) Other: 20. Deliverables Salt Creek Gravity Sewer Deliverable No. 1 - Project Management and Environmental Coordination Deliverable No. 2 - Plan Check Deliverable No. 3 - Construction Contract monitoring Wolf Canyon Tnmk Sewer Deliverable No. 4 - Project Management and Environmental Coordination Deliverable No. 5 - Plan Check Deliverable No. 6- Construction Contract monitoring H:\HOME\ENGINEER\SEWER\SEWER {){}\Salt Creek\MMS-PM-Agreement.kmb.doc RESOLUTION NO. RESOLUTION OF THE CITY COb-NCIL OF THE CITY OF CHULA VISTA APPROVING AN AGREEMENT WITH McGILL MARTIN SELF, INC., FOR THE PROVISION OF PROJECT MANAGEMENT SERVICES REQUIRED FOR THE DESIGN AND CONSTRUCTION OF THE SALT CREEK GR3kVITY SEWER INTERCEPTOR AND THE WOLF CANYON TRUNK SEWER WHEREAS, due to the current pace of development in the "Eastern Territories", the City has identified the need to complete a major trunk sewer facility within the next 18 months to serve the developments within the Salt Creek and Wolf Canyon basins; and WHEREAS, ~t is the City's intention to begin the construction of this trunk seQer 'By January 2001 and have the system operational by January 2002; and WHEREAS, the City sought a qualified consultant, with similar work experience, to assist City staff in the construction and environmental process for this project; and WHEREAS, based tl~ evaluation criteria, reference verification and interview performance, the selection committee selected four firms and McGill Martin Self, Inc. was determined to be the best qualified for the contract. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby approve an Agreement with McGill Martin Self, Inc. for the provision of Project Management Services required for the design and construction of the Salt Creek Gravity Sewer Interceptor and the Wolf Canyon Trunk Sewer, a copy of which shall be kept on file in the office of the City Clerk. BE IT FURTHER RESOLVED that the Mayor is hereby authorized and directed to execute said Agreement for and on behalf of the City of Chula Vista. Presented by Approved as to form by P. Lippitt ~n M. Kaheny John Director of Public Works City Attorney AGREEMENT BETWEEN TIlE CITY OF CHULA VISTA McGILL MARTIN SELF, INC FOR THE PROVISION OF PROJECT MANAGEMENT SERVICES REQIJIRED FOR THE SALT CREEK GRAVITY SEWER INTERCEPTOR AND THE WOLF CANYON TRUNK SEWER This agreement ("Agreement "), dated for the purposes of reference only, and effective as of the date last executed unless another date is otherwise specified in Exhibit A, Paragraph 1 is between the City of Chula Vista, hereinafter called "City", whose business form is set forth on Exhibit A, paragraph 3, and McGill Martin Self, Inc., hereinafter called "Consultant," the entity indicated on the attached Exhibit A, paragraph 4, as Consultant, whose business form is set forth on Exhibit A, paragraph 5, and whose place of business and telephone numbers are set forth on Exhibit A, paragraph 6 ("Consultant"), and is made with reference to the following facts: Recitals WHEREAS, the City Chula Vista, by Resolution 2000-140 on May 2, 2000, approved an agreement with Dudek & Associates for the provision of environmental and engineering services required for the f'mal design and construction of the Salt Creek Gravity Sewer Interceptor and the Wolf Canyon Trunk Sewer WHEREAS, there is a need for additional consultant services in order to ensure the t'nnely construction of the Salt Creek Gravity Interceptor and the Wolf Canyon Trunk Sewer, and; WHEREAS, the City requires further consultant efforts in order to perform project management environmental coordination function, review engineering plans and documents, and provide construction contract monitoring and oversight, and; WHEREAS, Consultant warrants and represents that they are experienced and staffed in a manner such that they are and can prepare and deliver the services required of Consultant to City within the time frames herein provided all in accordance with the terms and conditions of this Agreement. NOW, THERFORE BE IT RESOLVED, that the parties do hereby mutually agree as follows: 1. Consultant's Duties: A. General Duties: The Consultant shall perform all of the services described in the attached Exhibit A, Paragraph 7, entitled "General Duties"; and, B. Scope of Work and Schedule: In the process of performing and delivering said "General Duties", Consultant shall also perform all of the services described in Exhibit A, Paragraph 8, entitled "Scope of Work and Schedule", not inconsistent with the General Duties, according to, and within the time frames set forth in Exhibit A, Paragraph 8, and deliver to the City such Deliverables as are identified in Extfibit A, Paragraph 8, within the time frames set forth therein, time being of the essence of this agreement. The General Duties and the work and deliverables required in the Scope of Work and Schedule shall be herein referred to as the "Defined Services". Failure to complete the Defined Services by the times indicated shall not terminate this agreement, except at the option of the City. ~ C. Reductions in Scope of Work: City may independently, or upon request from Consultant, from time to time reduce the Defined Services to be performed by the Consultant under this Agreement. Upon doing so, City and Consultant agree to meet in good faith and confer for the purpose of negotiating a corresponding reduction in the compensation associated with said reduction. D. Additional Services: In addition to performing the Defined Services herein set forth, City may require Consultant to perform additional consulting services related to the Defined Services ("Additional Services"), and upon doing so in writing, if they are within the scope of services offered by Consultant, Consultant shall perform same on a time and materials basis at the rates set forth in the "Rate Schedule" in Exhibit A, Paragraph 11, unless a separate fixed fee is otherwise agreed upon. All compensation for Additional Services shall be paid monthly as billed. E. Standard of Care: Consultant, in performing any Services under this agreement, whether Defined Services or Additional Services, shall perform in a manner consistent with that level of care and skill ordinarily exercised by members of the profession currently practicing under similar conditions and in similar locations. F, Insurance: Consultant represents that it and its agents, staff and subconsultants employed by it in connection with the Services required to be rendered, are protected against the risk of loss by the following insurance coverages, in the following categories, and to the limits specified, policies of which are issued by Insurance Companies that have a Best's Rating of "A, Class V" or better, or shall meet with the approval of the City: Statutory Worker's Compensation Insurance and Employer's Liability Insurance coverage in the amount set forth in the attached Exhibit A, Paragraph 9. Commercial General Liability Insurance including Business Automobile Insurance coverage in the amount set forth in Exhibit A, Paragraph 9, combined single limits applied · separately to each project away from premises owned or rented by Consultant, which names City and Applicant as an Additional Insured, and which is primary to any policy which the City may otherwise carry ("Primary Coverage"), and which treats the employees of the City and Applicant in the same manner as members of the general public C Cross-liability Coverage"). Errors and Omissions insurance, in the amount set forth in Exhibit A, Paragraph 9, unless Errors and Omissions coverage is included in the General Liability policy. G. Proof of Insurance Coverage: (1) Certificates of Insurance: Consultant shall demonstrate proof of coverage herein required, prior to the commencement of services required under this Agreement, by delivery of Certificates of Insurance demonstrating same, and further indicating that the policies may not be canceled without at least thirty (30) days written notice to the Additional Insured. (2) Policy Endorsements Required: In order to demonstrate the Additional Insured Coverage, Primary Coverage and Cross-liability Coverage required under Consultant's Commercial General Liability Insurance Policy, Consultant shall deliver a policy endorsemem to the City demonstrating same, which shall be reviewed and approved by the Risk Manager. H. Security for Performance: (1) Performance Bond: In the event that Exhibit A, at Paragraph 19, indicates the need for Consultant to provide a Performance Bond (indicated by a check mark in the parenthetical space immediately preceding the subparagraph entitled "Performance Bond"), then Consultant shall provide to the City a performance bond by a surety and in a form and amount satisfactory to the Risk Manager or City Attorney which amount is indicated in the space adjacent to the term, "Performance Bond", in said Paragraph 19, Exhibit A. Said Performance Bond to be furnished and delivered to the City of Chula Vista immediately following signing of contract by both parties and before any work is started. Work timetable begins upon delivery of said Performance Bonds. (2) Letter of Credit: In the event that Exhibit A, at Paragraph 19, indicates the need for Consultant to provide a Letter of Credit (indicated by a check mark in the parenthetical space immediately preceding the subparagraph entitled "Letter of Credit "), then Consultant shall provide to the City an irrevocable letter of credit callable by the City at their unfettered discretion by submitting to the bank a letter, signed by the City Manager, stating that the Consultant is in breach of the terms of this Agreement. The letter of credit shall be issued by a bank, and be in a form and amount satisfactory to the Risk Manager or City Attorney which amount is indicated in the space adjacent to the term, "Letter of Credit", in said Paragraph 19, Exhibit A. O) Other Security: In the event that Exhibit A, at Paragraph 19, indicates the need for Consultant to provide security other than a Performance Bond or a Letter of Credit (indicated by a check mark in the parenthetical space immediately preceding the subparagraph entitled "Other Security"), then Consultant shall provide to the City such other security therein listed in a form and mount satisfactory to the Risk Manager or City Attorney. I. Business License: Consultant agrees to obtain a business license from the City and to otherwise comply with Title 5 of the Chula Vista Municipal Code. 2. Duties of the City: A. Consultation and Cooperation: City shall regularly consult the Consultant for the purpose of reviewing the progress of the'Defined Services and Schedule there'm contained, and to provide direction and guidance to achieve the objectives of this agreement. The City shall permit access to its office facilities, files and records by Consultant throughout the term of the agreement. In addition thereto, the City agrees to provide the information, data, items and materials set forth on Exhibit A, Paragraph 10, and with the further understanding that delay in the provision of these materials beyond 30 days after authorization to proceed, shall constitute a basis for the justifiable delay in the Consultant's performance of this agreement. B. Compensation: Upon receipt of a properly prepared billing from Consultant submitted to the City periodically as indicated in Exhibit A, Paragraph 18, but in no event more frequently than monthly, on the day of the period indicated in Exhibit A, Paragraph 18, City shall compensate Consultant for all services rendered by Consultant accord'mg to the terms and conditions set forth in Exhibit A, Paragraph 11, adjacent to the governing compensation relationship indicated by a "checkmark" next to the appropriate arrangement, subject to the requirements for retention set forth in paragraph 19 of Exhibit A, and shall compensate Consultant for out of pocket expenses as provided in Exhibit A, Paragraph 12. All billings submitted by Consultant shall contain sufficient information as to the propriety of the billing to permit the City to evaluate that the amount due and payable thereunder is proper, and shall specifically contain the City's account number indicated on Exhibit A, Paragraph 18 to be charged upon making such payment. 3. Administration of Contract: Each party designates the individuals ("Contract Administrators") indicated on Exhibit A, Paragraph 13, as said party's contract administrator who is authorized by said party to represent them in the routine administration of this agreement. 4. Term: This Agreement shall terminate when the Parties have complied with all executory provisions hereof. 5. Liquidated Damages: The provisions of this section apply if a Liquidated Damages Rate is provided in Exhibit A, Paragraph 14. It is acknowledged by both parties, that time is of the essence in the completion of this Agreement. It is difficult to estimate the mount of damages resulting from delay in per- formance. The parties have used their judgment to arrive at a reasonable amount to compensate for delay. Failure to complete the Defined Services within the allotted time period specified in this Agreement shall result in the following penalty: For each consecutive calendar day in excess of the time specified for the completion of the respective work assignment or Deliverable, the consultant shall pay to the City, or have withheld from monies due, the sum of Liquidated Damages Rate provided in Exhibit A, Paragraph 14 ("Liquidated Damages Rate"). Time extensions for delays beyond the consultant's control, other than delays caused by the City, shall be requested in writing to the City's Contract Administrator, or designee, prior to the expiration of the specified time. Extensions of time, when granted, will be based upon the effect of delays to the work and will not be granted for delays to minor portions of work unless it can be shown that such delays did or will delay the progress of the work. 6. Financial Interests of Consultant: A. Consultant is Designated as an FPPC Filler: If Consultant is designated on Exhibit A, Paragraph 15, as an "FPPC filer", Consultant is deemed to be a "Consultant" for the purposes of the Political Reform Act conflict of interest and disclosure provisions, and shall report economic interests to the City Clerk on the required Statement of Economic Interests in such reporting categories as are specified in Paragraph 15 of Exhibit A, or if none are specified, then as determined by the City Attorney. B. Decline to Participate: Regardless of whether Consultant is designated as an FPPC Filer, Consultant shall not make, or participate in making or in any way attempt to use Consultant's position to influence a governmental decision in which Consultant knows or has reason to know Consultant has a financial interest other than the compensation promised by this Agreement. C. Search to Determine Economic Interests: Regardless of whether Consultant is designated as an FPPC Filer, Consultant warrants and represents that Consultant has diligently conducted a search and inventory of Consultant's economic interests, as the term is used in the regulations promulgated by the Fair Political Practices Commission, and has determined that Consultant does not, to the best of Consultant's knowledge, have an economic interest which would conflict with Consultant's duties under this agreement. D. Promise Not to Acquire Conflicting Interests: Regardless of whether Consultant is designated as an FPPC Filer, Consultant further warrants and represents that Consultant will not acquire, obtain, or assume an economic interest during the term of this Agreement which would constitute a conflict of interest as prohibited by the Fair Political Practices Act ..... E. Duty to Advise of Conflicting Interests: Regardless of whether Consultant is designated as an FPPC Filer, Consultant further warrants and represents that Consultant will immediately advise the City Attorney of City if Consultant learns of an economic interest of Consultant's which may result in a conflict of interest for the purpose of the Fair Political Practices Act, and regulations promulgated thereunder. F. Specific Warranties Against Economic Interests: Consultant warrants and represents that neither Consultant, nor Consultant's immediate family members, nor Consultant's employees or agents ("Consultant Associates") presently have any interest, directly or indirectly, whatsoever in any property which may be the subject matter of the Defined Services, or in any property within 2 radial miles from the exterior boundaries of any property which may be the subject matter of the Defined Services, ("Prohibited Interest"), other than as listed in Exhibit A, Paragraph 15. Consultant further warrants and represents that no promise of future employment, remuneration, consideration, gratuity or other reward or gain has been made to Consultant or Consultant Associates in connection with Consultant's performance of this Agreement. Consultant promises to advise City of any such promise that may be made during the Term of this Agreement, or for 12 months thereafter. Consultant agrees that Consultant Associates shall not acquire any such Prohibited Interest within the Term of this Agreement, or for 12 months after the expiration of this Agreement, except with the written permission of City. Consultant may not conduct or solicit any business for any party to this Agreement, or for any third party winch may be in conflict with Consultant's responsibilities under this Agreement, except with the written permission of City. 7. Hold Harmless: Consultant shall defend, indemnify, protect and hold harmless the City, its elected and appointed officers and employees, from and against all claims for damages, liability, cost and expense (including without limitation attorneys' fees) arising out of the conduct of the Consultant, or any agent or employee, subcontractors, or others in connection with the execution of the work covered by this Agreement, except only for those claims arising from the sole negligence or sole willful conduct of the City, its officers, or employees. Consultant's indemnification shall include any and all costs, expenses, attorneys' fees and liability incurred by the City, its officers, agents, or employees in defending against such claims, whether the same proceed to judgment or not. Further, Consultant at its own expense shall, upon written request by the City, defend any such suit or action brought against the City, its officers, agents, or employees. Consultants' indemnification of City shall not be limited by any prior or st~bsequent declaration by the Consultant. 8. Termination of Agreement for Cause: If, through any cause, Consultant shall fail to fulfill in a timely and proper manner Consultant's obligations under tins Agreement, or if Consultant shall violate any of the covenants, agreements or stipulations of this Agreement, City shall have the right to terminate this Agreement by giving written notice to Consultant of such termination and specifying the effective date thereof at least five (5) days before the effective date of such termination. In that event, all fmished or unfinished documents, data, studies, surveys, drawings, maps, reports and other materials prepared by Consultant shall, at the option of the City, become the property of the City, and Consultant shall be entitled to receive just and equitable compensation for any work satisfactorily completed on such documents and other materials up to the effective date of Notice of Termination, not to exceed the amounts payable hereunder, and less any damages caused City by Consultant's breach. 9. Errors and Omissions: In the event that the City Administrator determines that the Consultants' negligence, errors, or omissions in the performance of work under this Agreement has resulted in expense to City greater than would have resulted if there were no such negligence, errors, omissions, Consultant shall reimburse City for any additional expenses incurred by the City. Nothing herein is intended to limit City's rights under other provisions of this agreement. 10. Termination of Agreement for Convenience of City: City may terminate this Agreement at any time and for any reason, by giving specific written notice to Consultant of such termination and specifying the effective date thereof, at least thirty (30) days before the effective date of such termination. In that event, all finished and unfinished documents and other materials described hereinabove shall, at the option of the City, become City's sole and exclusive property. If the Agreement is terminated by City as provided in this paragraph, Consultant shall be entitled to receive just and equitable compensation for any satisfactory work completed on such documents and other materials to the effective date of such termination. Consultant hereby expressly waives any and all claims for damages or compensation arising under this Agreement except as set forth herein. 11. Assignability: The services of Consultant are personal to the City, and Consultant shall not assign any interest in this Agreement, and shall not transfer any interest in the same (whether by assignment or novation), without prior, written consent of City. City hereby consents to the assignment of the portions of the Defined Services identified in Exhibit A, Paragraph 17 to the subconsultants identified thereat as "Permitted Subconsultants". 12. Ownership, Publication, Reproduction and Use of Material: All reports, studies, information, data, statistics, forms, designs, plans, procedures, systems and any other materials or properties produced under this Agreement shall be the sole and exclusive property of City. No such materials or properties produced in whole or in part under this Agreement shall be subject to private use, copyrights or patent rights by Consultant in the United States or in any other country without the express written consent of City. City shall have unrestricted authority to publish, disclose (except as may be limited by the provisions of the Public Records Act), distribute, and otherwise use, copyright or patent, in whole or in part, any such reports, studies, data, statistics, forms or other materials or properties produced under this Agreement. 13. Independent Consultant: City is interested only in the results obtained and Consultant shall perform as an independent Consultant with sole control of the manner and means of performing the services required under this Agreement. City maintains the right only to reject or accept Consultant's work products. Consultant and any of the Consultant's agents, employees or representatives are, for all purposes under this Agreement, an independent Consultant and shall not be deemed to be an employee of City, and none of them shall be entitled to any benefits to which City employees are entitled including but not limited to, overtime, retirement benefits, worker's compensation benefits, injury leave or other leave benefits. Therefore, City will not withhold state or federal income tax, social security tax or any other payroll tax, and Consultant shall be solely responsible for the payment of same and shall hold the City harmless with regard thereto. 14. Administrative Claims Requirements and Procedures: No suit or arbitration shall be brought arising out of this agreement, against the City unless a claim has first been presented in writing and filed with the City and acted upon by the City in accordance with the procedures set forth in Chapter 1.34 of the Chula Vista Municipal Code, as same may from time to time be amended, the provisions of which are incorporated by this reference as if fully set forth herein, and such policies and procedures used by the City in the implementation of same. Upon request by City, Consultant shall meet and confer in good faith with City for the purpose of resolving any dispute over the terms of this Agreement. 15. Attorney's Fees: Should a dispute arising out of this Agreement result in litigation, it is agreed that the prevailing party shall be entitled to recover all reasonable costs incurred in the defense of the claim, including costs and attorney's fees. 16. Statement of Costs: In the event that Consultant prepares a report or document, or participates in the preparation of a report or document in performing the Defined Services, Consultant shall include, or cause the inclusion of, in said report or document, a statement of the numbers and cost in dollar amounts of all contracts and subcontracts relating to the preparation of the report or document. 17. Miscellaneous: A. Consultant not authorized to Represent City: Unless specifically authorized in writing by City, Consultant shall have no authority to act as City's agent to bind City to any contractual agreements whatsoever. B. Consultant is Real Estate Broker and/or Salesman: If the box on Exhibit A, Paragraph 16 is marked, the Consultant and/or their principals is/are licensed with the State of California or some other state as a licensed real estate broker or salesperson. Otherwise, Consultant represents that neither Consultant, nor their principals are licensed real estate brokers or salespersons. C. Notices: All notices, demands or requests provided for or permitted to be given pursuant to this Agreement must be in writing. All notices, demands and requests to be sent to any party shall be deemed to have been properly given or served if personally served or deposited in the United States mail, addressed to such party, postage prepaid, registered or certified, with return receipt requested, at the addresses identified herein as the places of business for each of the designated parties. D. Entire Agreement: This Agreement, together with any other written document referred to or contemplated herein, embody the entire Agreement and understanding between the parties relating to the subject matter hereof. Neither this Agreement nor any provision hereof may be amended, modified, waived or discharged except by an instrument in writing executed by the party against which enforcement of such amendment, waiver or discharge is sought. E. Capacity of Parties: 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 or other actions have been taken so as to enable it to enter into this Agreement. F. Governing Law/Venue: This Agreement shall be governed by and construed in accordance with the laws of the State of California. Any action arising under or relating to this Agreement shall be brought only in the federal or state courts located in San Diego County, State of California, and if applicable, the City of Chula Vista, or as close thereto as possible. Venue for this Agreement, and performance hereunder, shall be the City of Chula Vista Signature Page to Agreement between The City of Chula Vista and McGill Martin Self, Inc For the provision of Project Management services required for the design and construction of the Salt Creek Gravity Sewer Interceptor and Wolf Canyon Trunk Sewer IT WITNESS WHEREOF, City and Consultant have executed this Agreement thereby indicating that they have read and understood same, and indicate their full and complete consent to its terms: DATED: CITY OF CHULA VISTA · Shirley Horton, Mayor Attest: Susan Bigelow City Clerk Approved as to form: John M. Kaheny City Attorney DATED: ,2000 artin Self, ?n Michael ~.j~q~ill; PE. Exhibit List to Agreement Vice P~ :ident Exhibit A to Agreement between The City of Chula Vista and McGill Martin Self, Inc 1. Effective Date of Agreement: 2. City-Related Entity: (X) City of Chula Vista, a municipal chartered corporation of the State of California ( ) Redevelopment Agency of the City of Chula Vista 3. Place of Business for City: ~ ' ' · City of Chula Vista 276 Fourth Avenue Chula Vista, CA 91910 4. Name of Consultant: McGill Martin Self, Inc. 5. Business Form of Consultant: ( ) Sole Proprietorship ( ) Partnership (X) Corporation 6. Place of Business, Telephone and Fax Number of Consultant: 310 Third Avenue, Suite B-6 Chula Vista, CA 91910 Tel: (619) 425-1343 Fax: (619) 425-1357 7. General Duties The Consultant shall assign Linda Sloan Scott, P.E. as Project Manager for the project aud maintain sufficient local staffing throughout the duration of this project. The Consultant and the Project Manager shall: Oversee the plan check of the Salt Creek Gravity Sewer Interceptor and the Wolf Canyon Trunk Sewer final design; Develop and maintain concise work plans that identify critical issues; Establish lines of responsibilities to all parties; Conduct weekly meetings, as needed, to maintain project's schedule; Document all project meetings and decisions including agenda, action plans and minutes; Track project progress and issue status reports; Perform schedule oversight on the environmental processing and permitting work; Review plans for compliance with acceptable engineering practices, Tentative Maps, adjacent improvements, regional standards and City Standards; Review and make recommendation for all related plans and technical reports from initial submittal until final approval; and prepare staff reports and Council agenda items 8. Scope of Work and Schedule: The scope of work for this contract will be for the provision of project management services required for the design and construction of the Salt Creek Gravity Sewer Interceptor and the Wolf Canyon Trunk Sewer. The Salt Creek Gravity Sewer Interceptor involves the construction of more than 12.5 miles of sewer line ranging from 15 inches at the easterly end to 36 inches at the westerly end, that are segregated into nine reaches. The reaches were divided primarily at points of major slope change and where a significant amount of sewage flow from the properties would be contributed. The project is in the final stages of design by Dudek & Associates. The Wolf Canyon Trunk Sewer project involves the installation of approximately 15,700 linear feet of sewer pipes varying in size from 10 inches to 15 inches within the Wolf Canyon Basin. This trunk sewer line will connect to the Salt Creek Gravity Sewer Interceptor at some point in Reach 8. The project is currently in early stages of planning and design by Dudek & Associates. A. Detailed Scope of Work: The scope of work tasks defined below is representative of the work that would be done on both projects. The scope of work tasks have been arranged in a logical format and have been outlined into major sections: Project Management The Project Manager shall facilitate processing of plans by tracking the progress of plan check and submittals, determining critical path tasks, acting as departmental and interagency liaison, arranging meetings with City staff, engineers, developers, property owners, appraisers, other public agency staff, coordinating information and plans between the various engineers of work, monitoring the progress of the environmental permits from the resource agencies and performing all tasks necessary to ensure an efficient, expeditious completion of the Project. The Project Manager shall review all City documents necessary for the construction of the Salt Creek Gravity Sewer Interceptor to include, but not be limited to: General Plan, Environmental Impact Report(s), The Preliminary Design Report by Dudek and Associates and the Salt Creek Gravity Basin Sewer Analysis by Wilson Engineering. The Project Manager shall review and be familiar with the City's Subdivision Manual and other City standards. The Project Manager shall address all engineering issues and make written recommendations to the City staff based on sound engineering and construction practices and City standards, including the City's threshold standards. The Project Manager shall ensure that plan review comments are in compliance with City and State standards and all related documents. Where there are conflicts in different agency standards, the Project Mange~ shall bring these differences to the attention of City staff. The Project Manager and team will serve as an extension and support to City's staff. As such, the Project Manager shall perform all tasks needed to ensure project delivery in an expeditious manner. The first plan check shall be completed no later than 21 days from the date of submittal, the second plan check shall be completed no later than 14 days, and the third check shall be completed no later than 7 days (all calendar days). The Project Manager shall implement the City's quality control measures uniformly to all projects. The Project Manager shall document all issues, meetings, project progress and decisions. In addition, the Project Manager shall be required to prepare a monthly report for City staff. Environmental Coordination The environmental clearances for the project shall be processed through the Environmental Section of the City's Department of Building and Planning. The Project Manager shall be responsible for coordination with the City's Environmental Review Coordinator (ERC) in obtaining the necessary environmental clearances through the State and Federal Resource Agencies in an expedited manner to facilitate the construction of the project as soon as possible. The necessary applications and documents for the environmental clearances shall be prepared by another consultant under an agreement with the City of Chula Vista. The City's ERC will be responsible for directing and coordinating the work of this consultant. Plan Check The Project Manager shall be responsible for assembling a team of technical personnel under his or her direction to perform the plan check duties of the City. The Project Manager and the team shall be responsible for all aspects of the plan check process to permit issuance, construction changes, and field coordination and shall encompass right of way documents and plats, legal descriptions, grading and erosion control plans, drainage plans, improvemem plans, traffic plans, and related reports (traffic, drainage, sewer, geotechnical, title, etc.) for all improvements including but not limited to: Road, Site Grading · Review recommendations in geotechnical reports, and construction plans, the Dudek Preliminary Study, documents listed in Task 1, Corps permits, and other permits to ensure that any grading complies with all. · Review specifications for grading ~work, creek/habitat remediation work as appropriate, erosion control, compaction, trenching, slope repairs if applicable, and sub-drainage requirements. · Review adequacy of structural calculations for pavement sections. Sewer · Review sewer plans for conformance with project goals and objectives and conformance with the Dudek Preliminary Study, documems in Task 1 and City Standards. · Review plans for horizontal and vertical alignment, hydraulic analysis and flow parameters, etc. · Review of sewer line sizing and hydraulic calculations. · Review of traffic control plans and layout. · Review of pump station decommissioning plans Utilities · Review utility plans for conformance with plans provided by the utility companies, the Citys's GIS systems, and City-provided as-built plans and City Standards. · Review plans for construction of off-site and on-site utilities and joint utility (electric/gas/cable tv), including of locations within right-of-way and easements. · Review utility crossings for potential conflicts. Right-of-Way Documents · Review closure calculations for accuracy and conformance with right-of-way documents. · Review legal descriptions of dedications and easements and to whom dedicated and purpose. Review statements for conformance to Map Act and City requirements. · Review title reports to ensure accuracy and conformance to the right-of-way · documents, and any easements or restrictions accurately portrayed on the right-of- way documents. · Review entitlements being granted to other agencies. · Review record of survey(s). · Prepare written reports to Council, as needed. Construction Contract Monitoring/Oversight The Project Manager shall coord'mate his/her activities with the City's Public Works/Engineering Construction Section, which will administer and manage the construction contract. The Project Manager will review the initial contractorDs construction schedule and provide input to Construction Section staff. Additionally, the Project Manager will monitor the progress of the contractorl]s work to assure adherence to the construction schedule. The Project Manager will facilitate hleefings with City staff, the design engineer, the contractor, developers, property owners, other public agencies, utility companies, and other parties who may have a vested interest in the project. The Project Manager shall, in conjunction with City Construction Section staff, ensure that the project is constructed in accordance with the design plans and specifications. Further, the Project Manager shall coordinate all submittals and serve as a liaison between Construction Section staff and the project design engineer. 9. Insurance Requirements: (X) Statutory Worker's Compensation Insurance (X) Employer's General Liability Insurance: $1,000,000. (X) Commercial General Liability Insurance: $1,000,000. ( ) Errors and Omissions Insurance: $250,000 (not included in Commercial General Liability coverage). 10. Materials Required to be Supplied by City to Consultant 11. Compensation: A. (X) Hourly Rate Arrangement. For performance of all of the Defined Services by Consultant as hereIn required, City shall pay Consultant for the productive hours of time spent by Consultant in the performance of said Services, at the rates or amounts set forth in the Rate Schedule herein below according to the following terms and conditions: 1. ( ) Not-to-Exceed Limitation on Time and Materials Arrangements Notwithstanding the expenditure by Consultant of time and materials in excess of said Maximum Compensation mount, Consultant agrees that Consultant will perform all of the Defined Services herein required of Consultant for a lump sum of $ ( ) including all Materials, and other "reimburseables" ("Maximum Compensation"). 2. (X) Limitation without Further Authorization on Time and Materials Arrangement, At such; time as the Consultant shall have incurred time and materials equal to $353,350 for Deliverable 1, $74,100 for Deliverable 2, $69,550 for Deliverable 3, $92,350 for Deliverable 4, $18,600 for Deliverable 5 and $17,550 for Deliverable 6 all as defined in Section 20 - Deliverables, of this agreement Rate Schedule Categories of Employee Hourly of Consultant Name Rate Sr. Principal Michael McGill $150/hr Principal Harry Burrowes $135~hr Project Manager Linda Sloan Scott $120/hr Senior Professional $110/hr Associate Professional $100/hr Assistant Professional $ 85/hr Secretary/Clerk $ 55/hr Merkel & Associates Keith Merkel $120/hr ( ) Hourly rates may increase by 6% for services rendered after ,2000 if delay in providing services is caused by City. '~ T ~ , r 12. Materials Reimbursement Arrangement: For the cost of out of pocket expenses incurred by Consultant in the performance of services herein required, City shall pay Consultant at the rates or amounts set forth below: (X) None, the compensation includes all costs. Cost or Rate ( ) Reports, not to exceed $.__: ( ) Copies, not to exceed $ : ( ) Travel, not to exceed $ : ( ) Printing, not to exceed $ .: ( ) Postage, not to exceed $.__: ( ) Delivery, not to exceed $ __: ( ) Long Distance Telephone Charges, not to exceed $__ ( ) Other Actual Identifiable Direct Costs: , not to exce¢cl $ . : , not to exceed $ · : 13. Contract Administrators: City: Anthony Chukwudolue, Civil Engineer 276 Fourth Avenue, Chula Vista, CA 91910 and Susan Bigelow, City Clerk. Consultant: McGill Martin Self, Inc. 310 Third Avenue, Suite B-6 Chula Vista, CA 91910 Tel: (619) 425-1343 Fax: (619) 425-1357 14. Liquidated Damages Rate: ( ) $.__ per day. ( ) Other: 15. Statement of Economic Interests, Consultant Reporting Categories, .per Conflict of Interest Code: ( ) Not Applicable. Not an FPPC Filer. (X) FPPC Filer ( ) Category No. 1. Investments and sources of income. ( ) Category No. 2. Interests in real property. (X) Category No. 3. Investments, interest in real property and sources of income subject to the regulatory, permit or licensing authority of the department. (X) Category No. 4. Investments in business entities and sources of income which engage in land development, construction or the acquisition or sale of real property. (X) Category No. 5. Investments in business entities and sources of income of the type which, within the past two years, have contracted with the City of Chula Vista (Redevelopment Agency) to provide services, supplies, materials, machinery or equipment. ( ) Category No. 6. Investments in business entities and sources of income of the type which, within the past two years, have contracted with the designated employee's department~t0 provide services, supplies, materials, machinery or equipment. ( ) Category No. 7. Business positions. ( ) List "Consultant Associates" interests in real property within 2 radial miles of Project Property, if any: 16. Real Estate Broker: Not Applicable 17. Permitted SubConsultants: 181 Bill Processing: Consultant's Billing to be submitted for the following period of time: ( X ) Monthly. The City will use its best effort to remit payments within 30 days. ( ) Quarterly ( ) Other: Day of the Period for submission of Consultant's Billing: (X) First of the Month ( ) 15th Day of each Month ( ) End of the Month ( ) Other: 19. Security for Performance: ( ) Performance Bond: ( ) Letter of Credit: ( ) Other Security: Type: Amount: $ ( ) Retention. If this space is checked, then notwithstanding other provisions to the contrary requiring the payment of compensation to the Consultant sooner, the City shall be entitled to retain, at their option~.~either.the following "Retention Percentage" or "Retention Amount" until the City determines that the Retention Release Event, listed below, has occurred: Retention Percentage: Retention Amount: $ Retention Release Event: ) Completion of all Consultant Services ) Other: 20. Deliverables Salt Creek Gravity Sewer Deliverable No. I - Project Management and Environmental Coordination Deliverable No. 2 - Plan Check Deliverable No. 3 - Construction Contract monitoring Wolf Canyon Trunk Sewer Deliverable No. 4 - Project Management and Environmental Coordination Deliverable No. 5 - Plan Check Deliverable No. 6- Construction Contract monitoring H:\HOME\ENGINEER\SEWER\SEWER 00\Salt Creek\MMS-PM-Agreement.kmb.doc COUNCIL AGENDA STATEMENT Item: ~ Meeting Date: 06/20/00 ITEM TITLE: A) Resolution Approving Second Amendment to the contract with the Chula Vista Chamber of Commerce to provide Chula Vista Convention and Visitors Bureau Services B) Resolution Approving Sixth Amendment to the contract with the Chamber of Commerce to provide Visitor and Transit Information Services at the Chula Vista Visitor Information Center and Chamber of Commerce Main Office C) Resolution Approving the FY '00-01 budget for the Chula Vista Convention & Visitor Bureau and Visitors Information Center SUBMITTED BY: Assistant City Manager George Krempl f~. Public Information Officer Jeri Gulbrans~-~r.~/~. .~ .~ Principal Management An~t~st Pa~'0 Q~~~ REVIEWED BY: City Manager (~e~ ~t) (4/5Ihs Vote: Yes No XX According to Council Policy #230-01, each year the Council considers a budget and related contract for a Chula Vista Visitors and Convemion Bureau. The budget and contract for operation of the Chula Vista Visitor Information Center also receives yearly approval. RECOMMENDATION: That the Council adopt a one-year contract extension and budget for the Chamber of Commerce to manage the Convention & Visitors Bureau, and adopt a one-year contract extension and budget for the Chula Vista Visitor Informational Center. BOARD/COMMISSION RECOMMENDATIONS; Not applicable CHULA VISTA CONVENTION & VISITORS BUREAU BACKGROUND In 1994, in conjunction with consideration of the scheduled rate increase in the Transient Occupancy Tax (TOT), Council received a request from the Chamber of Commerce and Chula Vista Motel Association to create a Convention and Visitors Bureau. Similar bureaus serve Escondido, Carlsbad, Coronado, East County, and the San Diego metropolitan area. These groups typically conduct advertising campaigns, produce brochures, attend trade shows, and operate tourist-oriented facilities. Item: Meeting Date: 06/20100 The focus of the Chula Vista bureau, as established in 1995, is to promote Chula Vista destinations, including the U.S. Olympic ARCO Training Center (OTC), Coors Amphitheatre, Nature Center, Knott's Soak City U.S.A., Chula Vista Yacht Harbor, local motels, restaurants, shopping, and other special events such as Harbor Days, the South Bay Bird Festival and Black Film Festival. This bureau also promotes Chula Vista during major conventions and events in the region, including the Super Bowl and World Series. On March 21, 1995, Council approved increasing the TOT rate from 8% to 10% along with a policy (#2301-01, see Attachment g4) and a draft budget for a Convention & Visitors Bureau. The funds to operate the Convention & Visitors Bureau were included in the approved City budget for fiscal year 1995-96, subject to negotiation of a contract with the Chamber. According to that policy, a one-year Convention & Visitors Bureau contract would be executed with the Chamber of Commerce during the course of each year's budget consideration. Guidelines for the contract dollar amount also are set forth in that policy. On a related subject, the City has had a contract with the Chamber for operation of the Visitor Information Center at the Bayfront Trolley Station and the provision of general, visitor and transit information at both that location and the Chamber main office. Several of the items provided in that contract (i.e. operating subsidies) are identified in this contract as part of the City's responsibilities toward the bureau. CHULA VISTA CONVENTION & VISITORS BUREAU BUDGET The operation of ConVis generally has been very successful and grown during the past several years. As a result of the strong economy and increased tourism throughout California; major events like the Super Bowl and World Series in the region; and the success of the Coors Amphitheatre and other local attractions, TOT income has increased during the past year. This increases the total budget proposed for Chula Vista Convention & Visitor Bureau activities, Visitor Center subsidy and other expenses from $146,958 in FY '98-99 and $166,861 in FY '99- 00, to $168,374 in FY '00-01. The proposed contract is for a portion of that total, with the remainder of bureau-related services to be administered by the City or separately contracted by the City, see following tables). This contract is a formalization of the draft information presented in the proposed FY '00-01 Community Promotions budget. The overall Chula Vista ConVis budget and one of the line items are recommended to increase for FY '00-01. Increases in this year's budget include the advertising account and the Visitor Information Center subsidy. Other line items that are the same as FY '99-00 are the marketing staff, brochure printing and San Diego ConVis participation. Other than the new term and some adjustment of individual accounts, the contract amendment continues the conditions approved in 1997-99 (See Attachment #2). Item: Meeting Date: 06/20/00 The projects to be undertaken and their budget amounts are divided into Chamber (Part A) and City (Part B) responsibilities. Payments for the Part A Chamber-provided services would be made on a quarterly basis in conjtmction with quarterly reports from the Chamber presenting appropriate project and accounting data. Part A - Stand-Alone Items: Administered by the Chamber via contract: Marketing Staff $53,175 Advertising $26,513 San Diego ConVis Memberships $10,000 Brochure Printing $10,000 Office Costs (supplies, phone, postage) $ 3,500 Accounting/Bookkeeping $ 3,400 Travel/Conferences $ 2,500 Office Rental $ 2,400 Brochure distribution $ 1,500 TOTAL $112,986 Part B - Joint Items: Administered by the City: Visitor Center Utilities ** ($18,000) ..... Visitor Center Subsidy $ 33,000 Visitor Center Maintenance $ 7,500 City Repayment $ 6,500 Public Information/Design staff $ 5,000 Visitor Center Displays/Exhibits $ 2,000 Contract Administration $ 1,200 Chamber Information Services $ 188 TOTAL: $ 55,388 ** to be paid by Transit Item: Meeting Date: 06/20/00 VISITOR INFORMATION CENTER BACKGROUND The BayfronffE Street Trolley Station is jointly owned and operated by thc City of Chula Vista, County of San Diego, and the Metropolitan Transit Development Board (MTDB). The site includes the Visitor Information Center which is co-owned by the City and County, and has been administered by thc City under a separate agreement. Thc center serves a daily average of more than 300 people who request visitor and transit information. Since opening in 1986, the Visitor Information Ccnter has had four operators. In 1986 and 1990, the City issued requests for proposals (RFP). The major objectives of the Visitor Information Center were defined as follows in both RFPs: 1. To provide mass transit information and ticket sales to trolley and bus riders. 2. To provide accurate information to visitors concerning Chula Vista and the San Diego Mexico. region including Tijuana and Baja, ' ~ 3. To present a positive image of the City, the Bayfront and the South Bay region, and to promote visitor-serving attractions and businesses in the City. 4. To minimize the City/County costs related to the operation of the Center. The City also emphasized that operators should give a preference for Chula Vista promotions, referrals and display materials, and maintain a fully-stocked brochure rack on regional attractions. Prior to the contract with the Chula Vista Chamber of Commerce in December of 1994, the Visitor Information Center was operated by the Visitor Information Agency from 1986-1987; Charles Costa Enterprises from 1987 to 1990; Urban Convenience Corporation, a subsidiary of Starboard Financial Corporation, from 1990 to 1991; and The Kobey Corporation from 1991 to 1994. The contract terms varied with several operators providing more retail options, selling advertising, and paying the City monthly rent or a portion of the gross sales. However, the net result has been that none operated the center at a profit. In addition, since its opening the City has paid the costs of utilities, exterior maintenance, major improvements and landscaping. After considering four proposals to run the Visitor Information Center, in late 1994 the Council approved a contract with the Chula Vista Chamber of Commerce. The contract included a one- time city subsidy of $10,000 to purchase Chula Vista-related memorabilia for resale, and an agreement to share an operating loss up to an annual maximum of $15,000 if the center failed to operate in a self-sufficient manner. In 1995 and 1996, the full $15,000 City subsidy was paid. In the report to the City Council on June 24, 1997, based on the information provided to the City, it appeared as though the Visitor Center finances had stabilized and, in fact, during some quarters might be at the break-even point. At that time, the Chamber requested reducing the amount of the ongoing Visitor Center subsidy to a maximum of $12,000 per year. ' Item: Meeting Date: 06/20/00 However, in 1999 City staff discovered that the Visitor Center's activities have been supported by substantial transfers in 1998 and 1999 fxom Chula Vista ConVis funds to the Visitor Center totaling $53,800 with $23,500 repaid to ConVis for a net of $30,300 that had not appeared on previous financial statements from the Chamber. The infomaation regarding these transfers brought to the forefront the fact that the operation of the Visitor Center has an annual deficit. City staff adjusted the budget at the Chamber's request for FY 1999-2000 to reflect a $15,000 subsidy. With the limited retail opportunities at the Visitor Center plus the main focus on service to the tourist and information, it was not smprising that a subsidy to the operation is required. VISITOR CENTER BUDGET In January 2000, the Chamber of Commerce Executive Director sent a letter to the City which indicated that the Visitor Information Center had a number of outstanding debts including one of more than $18,000 to Sea World for tickets. The city's auditor, Calderon, Jahan & Osbom (C JO) have performed a limited financial analysis of the Visitor Information Center. As part of that analysis, C JO conducted a variety of tasks including the following: verification of payments made to the Chamber of Commerce, verification that deposits were made to the appropriate activity accounts, reconciliation of bank statements as of December, 1999, examination of sample disbursement statements to test for supporting documentation, conduct of a search as to any unrecorded liabilities, and an examination of revenues (including transit passes and visitor ticket venues such as Sea World, the Zoo and Legoland), and an examination of visitor center expenditures. The purpose of the analysis was to determine if the visitor center was running a loss, how much, why and if there were any financial irregularities that needed to be addressed. The results found that all financial transactions were confirmed and supported. Internal controls were found to be lacking in some instances as to payment notations and check authorization in accordance with standard accounting procedures. This has been brought to the attention of the Executive Director and is easily corrected. The main findings of the report related to the level of financial support needed to operate the Visitor Center in an effective and efficient manner. Prior to receipt of any city subsidy, the report found that the Visitor Center operates at a loss of about $50,000. The predominant expenditure of the center is salaries for one full-time and one part-time s~'f member. Other expenses were in line with expectations. Revenues amount to about $11,000 per year from the sale of transit passes, tickets to tourist venues, and food and snack sales. In the past, it is speculated that the operation of the visitor center also was running an equivalent deficit but that fact was masked by the transfer of funds between the visitor center, ConVis and the Chamber. That practice was stopped with the approval by Council of last year's contract extension. This amount of money needed to operate the visitor center is being factored into the proposed 2000-2001 ConVis budget with no overall increase in the TOT formula or General Fund support. Item: Meeting Date: 06/20100 The visitor center subsidy is being increased from $15,000 to $33,000 in the proposed budget. The City will be working with the Transit Division to acquire additional Metropolitan Transit Development Board (MTDB) revenue in order to prevent future deficits in visitor center operations. Additional FY 2000-01 funding will be acquired through a mid-year request by the City's Transit Division and will be paid from the City's portion of prior year unallocated Transit Development Act (TDA) funds. Staff will bring forward a recommendation to adjust the visitor center subsidy upon the receipt of the additional funding from the MTDB. FISCAL IMPACT As proposed in the fiscal year 2000-2001 budget, the total Convention and Visitors Bureau budget is $168,374. This compares to a total of $137,500 in FY 1997-98, $146,958 in FY 1998-99, and $166,861 in FY 1999-00. Of the $168,374 total budget, $112,986 is set aside for contractual services with the Chamber. The remaining $55,388 is administered by the City, with many items related to the operation of the Visitor Center and covered by a separate contract. The sixth amendment to the Visitor Center contract that is being recommended would extend that agreement through June 30, 2001, to be co- terminus with the new one-year Chula Vista Convention and Visitors Bureau contract (See Attachment #3). All the items in the ConVis contract (as sununarized in Charts A and B above) are included in the proposed FY 2000-2001 budget, thus, no further appropriation is necessary. Attachments: 1. Resolutions 2. Contract and Second Amendment to Provide Convention & Visitors Bureau Promotion Services 3. Contract and Sixth Amendment to Contract to Provide Visitor and Transit Information 4. Council Policy #230-01 5. Calderon, Jaham & Osbom report ATTACHMENT I ~ / RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING SECOND D~MENDMENT TO THE CONTRACT WITH THE CHULA VISTA CHAMBER OF COMMERCE TO PROVIDE CHULA VISTA CONVENTION P. ND VISITORS BUREAU PROMOTION SERVICES WHEREAS, pursuant to Council Policy #230-01, as approved 3/21/95, staff has negotiated a contract with the Chula Vista Chamber of Commerce for operation of a Chula Vista Convention and visitors Bureau and the performance of ~certain designated visitor and convention promotional services; and WHEREAS, the proposed amendment runs through the end of fiscal year 2000-01, at which time a subsequent contract and budget would be brought forward for consideration. NOW, THEREFORE, BE I~ RESOLVED the City Council of the City of Chula Vista does hereby approve the Second Amendment to the contract with the Chula Vista Chamber of Commerce to provide a Chula Vista Convention and visitors Bureau Promotion Services, 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 amendment for and on behalf of the City of Chula Vista. Presented by Approved as to form by George Krempl, Deputy City J~ M. Kahen ,~_~2-i~y Manager ~torney H:~home~attorney\reso\chaccber extension (Convis) ATTACHMENT 1 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING SIXTH AMENDMENT TO THE CONTRACT WITH THE CHAMBER OF COMMERCE TO PROVIDE VISITOR AND TRANSIT INFORMATION SERVICES AT THE CHULA VISTA VISITOR INFORMATION CENTER AND CHkMBER OF COMMERCE MAIN OFFICE WHEREAS, the existing contract with the Chamber of Commerce for operation of the visitor information center and provision of general, visitor and transit information services expires on June 30, 2000; and WHEREAS, although the contract provides for three, three- year options to extend, it is the recommendation of staff and the Chamber to extend this contract for one additional year; and WHEREAS, the contract amendment being proposed gives the City and Chamber flexibility to exercise options for less than the full three year terms currently provided. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby approve Sixth Amendment to the contract with the Chamber of Commerce to provide Visitor and Transit Information Services at the Chula Vista visitor Information Center and Chamber of Commerce Main office, 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 amendment for and on behalf of the City of Chula Vista. Presented by Approved as to form by Manager H:\home~attorney\reso~cha~er estension {Convis} ATTACHMENT I RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE FY '00-01 BUDGET FOR THE CHULA VISTA CONVENTION & VISITOR BUREAU AND VISITORS INFORMATION CENTER WHEREAS, as a result of the strong economy and increased tourism throughout California, TOT income has increased during the past year; and WHEREAS, this increases the total budget proposed for Chula Vista Convention & Visitor Bureau acti-vities, Visitor Center subsidy and other expenses from $146,958 in FY '98-99 and $166,861 in FY '99-00, to $168,374 in FY '00-01. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby, approve the FY '00-01 budget for the Chula Vista Convention & Visitor Bureau and Visitors Information Center for a total amount of $168,374 with $112,986 to be administered by the Chamber via contract and $55,388 to be administered by the City. Presented by Approved as to form by George Krempl, Deputy City ~n M. Kaheny, ~ Manager ~ torney H:\home\attorney\reso~chamber extension (Convis) ATTACHMENT 2 Contract to Provide Chula Vista Convention and Visitors Bureau Promotion Services This Contract, entered into this June 24, 1997 for the purposes of reference only and effective as of the date last executed by the parties, is between the CITY OF CHULA VISTA, a chartered municipal corporation of the State of California (hereinafte~r "City") and the CHULA VISTA CHAMBER OF COMMERCE (hereinafter "Chamber"), and is made with reference to the following facts and definitions: 1. Recitals Whereas, the Chamber occupies a unique public service position in the City and has provided general informational and promotional services to the public at large for many years; and Whereas, the Chamber hereby warrants and represents that it is experienced and staffed in a manner such that it can provide the convention and visitor promotion services as herein required in accordance with the terms and conditions of this Agreement; and, Whereas, the City and Chamber have been party to separate agreements for: Convention and Visitors Bureau Promotion Services through FY 1996-97, a copy of which is on file with the City Clerk as Document No. CO 96-137, (hereinafter "Existing CVCONVIS Contract"), and for Visitor and Transit Information services through FY 1996- 97, a copy of which is on file with the City Clerk as Document No. CO 96-138, (hereinafter "Existing Information Contract"); and Whereas, with the concurrence of the Chamber, the City adopted City Council Policy #230-01 to provide support for a Chula Vista Convention and Visitors Bureau, subject to annual approval of a budget and to execution of appropriate contracts; and Whereas, the proposed Chula Vista Convention and Visitors Bureau budget for Fiscal Year 1997-98 is $137,500, which is divided into portions administered by the City and portions to be administered by contract, and the Chula Vista Convention and Visitors Bureau budget for Fiscal Year 1998-99 shall be set by the City Council as part of the 1998-99 City budget; NOW, THEREFORE, the City and the Chamber agree as follows: 2. Purpose: Chula Vista Convention and Visitors Bureau The Chamber hereby agrees to include in its activities a Chula Vista Convention and Visitors Bureau. This activity, which shall be in the form of a committee, shall be pursued as part of this contract and shall be undertaken in the name of the Chula Vista Convention and Visitors Bureau. Advisory participation on this committee shall be open to all interested parties, regardless of membership in the Chamber. Said open participation shall not preclude fund raising activities or fees for member and/or patron listings. The general purpose of this activity shall be 07fl Chula Vista CONVIS ConZract Page 2 to promote the City of Chula Vista and Chula Vista visitor destinations, meeting facilities, tourism, and related businesses. 3. Contract Administrator The City Manager or his or her designee shall be the Contract Administrator for purposes of this contract. For those conditions requiring the written approval of the City, the Contract Administrator shall have the authority to provide said written approval. 4. Duties of the Chamber. 4.1 Scope of Work Pursuant to City Council Policy #230-01 as approved 3/21/95, and to the proposed Convention and Visitors Promotion Budget submitted to the City Council at that time, the Chamber agrees to provide the following goods and services, according to the specifications and annual budgets as shown below. Annual budgets shall be subject to adjustment for fiscal year 1998-99 based on the amount appropriated by Council for this program. If such adjustments can not be mutually agreed upon between the Contract Administrator and Chamber, the issue shall be subject to final resolution by Council. 4.1.1 Marketing staff Budget: $30,000 Chamber shall hire full-time, part-time or contractual marketing staff to coordinate an advertising and marketing campaign for the Chula Vista Convention and Visitors Bureau. In addition, this staff will oversee Visitor Information Center operations and the sale and display of advertising therein. Incidental Chamber support and liaison by the Marketing staff would be anticipated by this agreement, with such support and liaison being in conjunction with but not detracting from the performance of the primary Marketing Staff responsibilit~ies. 4.1.2 San Diego CONVIS membership Budget: $10,000 Chamber shall maintain membership in the San Diego Convention and Visitors Bureau for the City of Chula Vista and/or Chuia Vista Convention and Visitors Bureau 4.1.3 Distribution of Visitor Brochure and Nature Center brochure Budget: $2,900 Distribution shall include placement at all major brochure racks in San Diego County, including but not limited to those at airports, Chula Vista CONVIS Contract Page 3 cruise ship terminals, bus and train stations, hotels, motels,- visitor centers and convention centers. With the first quarter (July- September, 1995) distribution already paid, the contract amount for this item shall be $2,175. 4.1.4 Advertising Budget: $25,500 Advertising design, content and placement shall focus on promoting Chula Vista and Chula Vista attractions within the region and maintaining primarily a visitor and/or convention orientation. Target media may include, but are not limited to: regional magazines, recreational vehicle or auto club publications, motel room event and attraction listings, etc. For any ad placement or series of placements in the same publication for which the total price shall exceed $6,000, said placement shall be subject to review and approval by the Contract Administrator. See also Section 4.5. 4.1.5 Accounting/Bookkeeping Budget: $3,400 Daily bookkeeping, cash reporting, payroll accounting, and payment processing for Convention and Visitors Bureau activities. 4.1.6 Travel/Conferences/City Marketing Budget: $2,000 Convention and Visitors Bureau representation of the City in business and tourist outreach. 4.1.7 Additional office costs Budget: $1,000 Shall generally cover overhead costs for marketing staff. 4.2 Budqets and Use of Funds It is not the intention of this contract that the Chamber should be obligated to expend any funds for these purposes beyond those budgeted. In any case in which the goods or services itemized in Section 4.1 are provided for less than the budgeted amount, those funds remaining shall be available for use for any of the other projects included in the Scope of Work, subject to the prior written approval of the Contract Administrator. 4.3 Amendments to Scope of Work Any amendments to this Scope of Work or to the contract as a whole, such as to increase the Total Compensation, to add a new project, or to make a substitution for an existing project shall be subject to the prior approval of the City Council, with the exception of potential reallocation of funds among projects listed in the Scope of Work as may be authorized under the provisions of Section 4.2. Chu!a Vista CONVIS Contract Page 4 4.4 Desiqn Approval - For those items which would entail graphic or display design (e.g. Advertising, Visitor Brochure, Chula Vista display at the U.S. Olympic Training Center), the Chamber shall work with City on initial design concepts and obtain the prior written design approval of the City's Public Information Coordinator. Said approval shall be in addition to any other required design review or other discretionary City approvals. 4.5 Joint Advertisin,q The Chamber shall be encouraged to engage in cooperative advertising campaigns, with participation by the City and by local visitor-oriented businesses. The maximum City participation via this contract (through Section 4.1..6) in any such cooperative advertising shall be 60% of the cost of advertising production and placement. Such cooperative advertising shall be open to all visitor-oriented Chula Vista businesses, regardless of membership in the Chamber. 5 Duties of the City. 5.1 Additional Bureau Projects and Services Pursuant to City Council Policy #230-01 as approved 3/21/95, and to the proposed Convention and Visitors Promotion Budget submitted to the City Council at that time, the City agrees to undertake the following projects, goods, services and subsidies, according to the specifications and budgets as shown: 5.1.1 Chamber of Commerce Budget: $12,000 Visitor Center Subsidy Per Existing Contract 5.1.2 Visitor Center Utilities Budget: $16,270 Annual water, electricity and other utility costs. Telephone costs are paid by Chamber per Existing Contract. 5.1.3 Visitor Center Displays/Exhibits Budget: $5,480 Backlit displays, structural changes, etc. per Design Layout as specified in Existing Contract 5.1.4 San Diego Convention Center Display Budget: $1,200 20"x30" Duratrans backlit display located at San Diego Convention Center; Budget includes continued rental of space at the Convention Center 5.1.5 Chamber of Commerce Information Services Budget: $7,350 Portion of Base Compensation of Existing Contract not related to staffing (per proposed Fourth Amendment). Compensation to the Chula Vista CONVIS Contract Page 5 Chamber under Existing Contract shall continue to be~joverned by that document. 5.1.6 Public Information/Design Staff Budget: $10,000 For support of Visitor Center operations and improvements, graphic design oversight, and design assistance for displays/exhibits. 5.1.7 Visitor Center Maintenance Budget: $9,200 Miscellaneous maintenance by City custodial, construction and repair staff. 5.1.8 Contract Administration Budget: $1,200 In-kind staff time to administer agreements, purchase orders, and subsidy calculations. 5.2 Timinq of Services Due to the timing of the start of Existing Contract and the negotiation of this agreement, some of the items included in the City's Scope of Services have been completed or had funds appropriated during the 1994-95 fiscal year. At least 30 days prior to the end of the term of this agreement, City shall provide to Chamber a breakdown of all service expenses pursuant to Section 5.1 for consideration in negotiation of the following year's budget and contract. City Imaqe Enhancement. The City, as a public entity, is concerned about the image portrayed and service provided by the Chamber and its personnel. The City shall have the right to inform, in writing, the Chamber of actions by the Chamber or the Chamber's personnel, not conforming with the image the City desires to have enhanced which includes providing complete and accurate convention and visitor information and presenting a neat, clean, responsive, and friendly image of the City. The Chamber shall take all necessary steps to ensure that its actions project the image desired by the City as directed from time to time. 7, ReDortinq and Compensation 7.1. Quarterly Reports The Chamber shall record and submit in writing quarterly reports to the City for the quarters ending September 30, December 31, March 31 and June 30. Within thirty (30) days after the end of each quarter of the term hereof, commencing with the thirtieth day of the month immediately following the first quarter of this agreement, and ending with the thirtieth day of the month succeeding the last month of the term of this agreement or any extensions thereto, the Chamber shall Chula Vista CONVIS Contract Pa~e 6 furnish to the City a statement in writing, certified by the Chamber to be correct, showing for the previous quarter the expenses relating to this Chamber's contractual goods and services. The Chamber shall keep full and accurate books of account and records in accordance with Generally Accepted Accounting Principals consistently applied, including, without limitation, a sales journal, general ledger, payroll records, and all bank account statements showing deposits of related revenues (e.g. from joint advertising sales). Such books, receipts, accounts and records shall be maintained separate from Chamber records and shall be kept for a period of two (2) years after the close of each calendar year and shall be available for inspection and audit by the City and its representatives at the principal place of business of the Chamber during regular business hours. The City shall, within two (2) years after the receipt of any such statements, be entitled to an audit of such records. Such audit shall be conducted by the City or by certified public accountant to be designated by the City during normal business hours at the principal place of business of the Chamber. In addition, if any of the Chamber's statements shall be found to have overstated expenses by more than two percent (2%) or understated revenues by more than two percent (2%), or if such audit shows that the Chamber has failed to maintain the books of account and records required by this section so that the City is unable to verify the accuracy of the Chamber's statement, then the Chamber shall pay to the City all reasonable costs and expenses (including reasonable auditor and attorney fees) which may be incurred by the City in conducting such audit. 7.2 Use of Payments and Revenues. The payments from the City to the Chamber and revenues realized from joint advertising campaigns or other contractual activities shall be used only for providing the goods and services outlined herein or for other purposes as may be approved by the City Council. These monies shall not be used in support of any political activities for any candidate or issue, nor may they be used to supplant other Chamber funds in any manner that results in such Chamber funds being used to support any political activities for any candidate or issue. Any political expenditures made in relationship to the Chamber will be considered as Political Action Committee (PAC) funds specifically raised for political purposes. 7.3 Total Compensation The Total Compensation from the City to the Chamber for services under this contract shall be $67,500. As discussed under the Duties of the City, the City may also pay to the Chamber up to the amounts listed in Sections 5.1.1 and 5.1.2 Chula Vista CONVIS Contract Page 7 to cover operating deficits from operation of the Visitor Information Center;which service is governed by the Existing Contract. 7.4 Form and time of Payment To facilitate flexibility in the Chamber's administration of contract funds, the city shall pay to the Chamber one fourth of the total compensation (per Section 7.3) per quarter. Quarterly payments shall be made within fifteen (15) calendar days after the start of each quarter (e.g. by 7/15, 10/15, 1/15, and 4/15). 7.5 Chamber Reimbursement to City If the final contractual expenses at the end of the final quarter of this contract total less than the Total CompensatiOn (per Section 7.3), then the Chamber shall reimburse the City for the difference. It shall be the general policy under this contract that appropriations shall not be carried over from one fiscal year's adopted contract to the next fiscal year. Any exceptions to this policy shall be subject to approval by the Contract Administrator. 8. Term 8.1 Initial Term. The term of this contract shall be for one year, commencing July 1, 1997 and ending June 30, 1999. Any additional contracts shall be governed by existing City Council policy and/or future Council action. 8.2. Termination. This contract may be terminated by the mutual consent of the parties at the end of any quarter. In the event of termination, compensation due shall be prorated according to the Chamber's approved expenses through the final quarter of the contract. 9. Insurance and Indemnity. 9.1. Insurance Chamber shall, throughout the duration of this Agreement, maintain insurance from responsible and solvent corporations authorized to issue Chula Vista CONVIS Contract Pa~e 8 such policies in California with a financial rating of at least a-'~A, Class ~;' status or better as rated in the most recent edition of "Best's Insurance Reports" unless a lower rating is approved by the City's Risk Manager. Said insurance coverage shall include: 1. Commercial General Liability Insurance including Business Automobile Liability Insurance in the amount of $1 million combined single limit, which names the City of Chula Vista as additional insured and is primary to any insurance policy carried by the City. 2. Statutory Worker's Compensation Insurance and Employer's Liability Insurance in the amount of $1 million. Chamber will provide, prior to commencement of the services required under the agreement, certificates of insurance for the coverages required in this section, and, for COmmercial General Liability Insurance, a policy endorsement for the City as additional insured, a policy endorsement stating the Chamber's insurance is primary and a policy endorsement stating that the limits of insurance apply separately to each project away from premises owned, rented or operated by the Chamber. Certificates of insurance must also state that each policy may not be canceled or materially changed without at least thirty (30) days written notice to the City. Each policy which the Chamber maintains shall name the City and Redevelopment Agency of the City of Chula Vista (hereinafter "Redevelopment Agency") as additional insureds. 9.2. Indemnity. The Chamber shall defend, indemnify and hold harmless the City, their elected and appointed officers and employees and the Redevelopment Agency from and agains~ all claims for damages, liability, cost and expense (including without limitation attorneys' fees) arising out of the conduct of the Chamber or any agency or employee, subcontractors, or others in connection with the execution of the work covered by this Agreement, except only for those claims arising from the sole negligence or sole willful conduct of the City, its officers, or employees. The Chamber's indemnification shall include any and all costs, expenses, attorneys' fees and liability incurred by the City, its officers, agents, or employees in defending against such claims, whether the same proceed to judgment or not. Further, the Chamber at its own expense shall, upon written request by the City, defend any such suit or action brought against the City, its officers, agents, or employees. The Chamber's indemnification of City shall not be limited by any prior or subsequent declaration by the Chamber. ? ,' Chula Vista CONVIS Contract Page 9 10. Miscellaneous Provisions. __ 10.1. Assiqninq and Sublettinq The Services of Chamber are personal to the City, and the Chamber shall not assign, subcontract, transfer, sublet or encumber any interest in this Agreement (whether by assignment or novation) without the prior written consent of the City. 10.2. Administrative Claims Requirement and Procedures. No suit or arbitration shall be brought arising out of this agreement, against the City, unless a claim has first been presented in writing and filed with the City of Chula vista and acted upon by the City of Chula Vista in accordance with the procedures set forth in Chapter 1.34 of the Chula Vista Municipal Code, the provisions of which are incorporated by this reference as if fully set forth herein and such policies and procedures used by the City in the implementation of same. Upon request by the City, the Chamber shall meet and confer in good faith with the City for the purpose of resolving any dispute over the terms of this agreement. 10.3. Attorney's Fees. Should a dispute result in litigation, it is agreed that the prevailing party shall be entitled to recover all reasonable costs incurred in the defense of the claim, including costs and attorney's fees, provided that said party has exercised best efforts, in good faith, to negotiate a settlement of the dispute prior to and during the litigation. 10.4. Entire Aclreement. This Agreement, together with any other written document referred to or contemplated herein, embody the entire Agreement and understanding between the parties relating to the subject matter hereof. Neither this Agreement nor any provision hereof may be amended, modified, waived or discharged except by an instrument in writing executed by the party against which enforcement of such amendment, waiver or discharge is sought. 10.5. Capacity of Parties. 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; that all resolutions or other actions have been taken so as to enable it to enter into this Agreement. Chula Vista CONVIS Contract Page 10 10.6. Governinq LawNenue. __ This Agreement shall be governed by and construed in accordance with the laws of the State of California. Any action arising under or relating to this Agreement shall be brought only in the federal or state courts located in San Diego County, State of California, and if applicable, the City of Chula Vista, or as close thereto as possible. Venue for this Agreement, and performance hereunder, shall be the City of Chula Vista. 10.7. Independent Contractor. City is interested only in the results obtained and the Chamber shall perform as an independent contractor with sole control of the manner and means of performing the services required under this Agreement. City maintains the right to reject or accept the Chamber's performance according to the terms of this agreement. The Chamber and any of the Chamber's agents, employees or representatives are, for all purposes under this Agreement, an independent contractor and shall not be deemed to be an employee of City, and none of them shall be entitled to any benefits to which City employees are entitled including but not limited to, overtime, retirement benefits, workers compensation benefits, injury leave or other leave benefits. 10.7.1. The Chamber warrants and represents that no promise of future employment, remuneration, consideration, gratuity or other reward or gain has been made to the Chamber or their associates. The Chamber promises to advise the City of any such promise that may be made during the term of this contract and for subsequent extensions. 10.7.2. The Chamber may not conduct or solicit any business for any party to this contract or for any third party which may be in conflict with the Chamber's responsibilities under this contract. 10.7.3. The Chamber further agrees to waive and forego the following: relocation benefits, owner participation rights and claims for goodwill. 11. Correspondence and Noticinq Correspondence relating to this agreement should use the addresses given below: George Krempl Roderick F. Davis Deputy City Manager Executive Director City of Chuta Vista Chula Vista Chamber of Commerce 276 Fourth Avenue 233 Fourth Avenue Chula Vista, CA 91910 Chula Vista, CA 91910 T r T ~' I1' Chula Vista CONVIS Contract Page 11 SIGNATURE PAGE TO __ CONTRACT TO PROVIDE CHULA VISTA CONVENTION AND VISITORS BUREAU PROMOTION SERVICES -- . IN WITNES~S WHEREOF, City and Chamber have executed this Agreement this ~2,/{~//day of ~,¢£ 1997. THE CITY OF CHULAVISTA CHULA VISTA CHAMBER OF COMMERCE Mayor Pres~nt ~¢,~cl~t I've t:)i recto r Approved as to form by a:convc97.2 ---T ? ! Ir Second Amendment to Contract to Provide Chula Vista Convention and Visitors Bureau Promotion Services This Amendment, effective as of July 1, 2000, is between the City of Chula Vista, a chartered municipal corporation ("City"); and the Chula Vista Chamber of Commerce ("Chamber"), and is made with reference to the following facts: Whereas, the City and Chamber are party to a contract for convention and visitor bureau promotional services ("Existing CVConVis Contract", on file with the City Clerk as Document #CO97-079); and Whereas, the parties desire to extend the initial term of that contract by one additional year, to be co-terminus with an accompanying contract to provide Visitor and Transit Information Services at the Chula Vista Visitor Information Center and the Chamber of Commerce Main Office, and Whereas, the proposed Chula Vista Convention and Visitors Bureau budget for Fiscal Year 2000-2001is $168,374, which is divided into portion administered by the City and portions to be administered by contract, NOW, THEREFORE, the parties mutually agree that the Existing CVConVis Contract is hereby amended in the following regards only and extended for a period of one year, and as so amended and extended shall hereinafter be referred to as the "Second Amended Agreement": City and Chamber do hereby agree to amend the Existing CVConVis Contract in the following regards only, with all remaining provisions remaining in full force and effect. Interlineated provisions are to be considered deleted from the agreement and underlined provisions added to the agreement. 4. Duties of the Chamber 4.1 Scope of Work Pursuant to City Cotmcil Policy #230-012 as approved 3/21/95,,~.~-'~ '~, "--.... ' , the Chamber agrees to provide the following goods and services, according to the specifications and FY '00-01 annual budgets as shown 4.1.1 Marketing Staff Budget:,,.~.,,,,,,,~" """ $53.173 Chamber shall hire full-time, part-time or contractual marketing staff to coordinate an advertising and marketing campaign for the City of Chula Vista Convention and Visitors Bureau. In addition, this staff will oversee Visitor Information Center operations and the sale and display of advertising therein. Incidental Chamber support and liaison by the Marketing staff would be anticipated by this agreement, with such support and liaison being in conjunction with but not detracting from the performance of the primary Marketing Staff responsibilities. 4.1.2 San Diego CONVIS Membership and Advertising Budget $10,000 Chamber shall maintain membership in the San Diego Convention and Visitors Bureau for the City of Chula Vista and/or Chula Vista Convention and Visitors Bureau. The remaining portion of this budget amount shall be used for advertising in San Diego CONVIS publications, or. with the approval of the Contract Administrator. may be used only for other advertisim, costs as described in 4.1.4. 4.1.3 D~stnbut~on of ............... and Nature Center brochure Budget *~ ,~,,,,,, $1,500 Distribution shall include placement at all major brochure racks in San Diego County, including but not limited to those at airports, cruise ship terminals, bus and train stations, hotels, motels, visitor centers and convention centers. Wi'&. Budget o,~.~,~,,,,, $26,513 4.1.4 Advertising *~ Advertising design, content and placement shall focus on promoting Chula Vista and Chula Vista attractions within the region and maintaining primarily a visitor and/or convention orientation. Target media may include, but are not limited to: regional magazines, recreational. vehicle or auto club publications, motel room event and attraction listings, etc. For any ad placement or series of placements in the same publication for which the total price shall exceed $6,000, said placement shall be subject to review and approval by the Contract Administrator. See also Section 4.5. This item is intended solely for paid advertising' any funds not expended shall be reimbursed to the City_ within 30 days of the expiration of the term. 4.1.5 Accounting/Bookkeeping Budget $3,400 Daily bookkeeping, cash reporting, payroll accounting, and payment processing for Convention and Visitors Bureau activities. Budget ,~,,,v,, $2.500 4.1.6 Travel/Conferences/City Marketing *" '~'~'~ Convention & Visitors Bureau representation of the City in business and tourist outreach 4.1.7 ........... Office cc,~t~ Rent Budget ,. ,,~,,,, $2.400 Shall generally cover c, vcrhcad ce, ara office space for marketing staff. 4.1.8 Office expenses Shall generally include office supplies, phone and postage costs for the operation of the Chula Vista Convention and Visitors Bureau. 4.1.9 Brochure Design/Printine Budget $10.000 Design and printing of brochures, flyers and/or other publications that focus on promoting Chula Vista and its attractions such as general visitor brochure or folder, calendar of events, dining and lodeing' guide, attraction coupons and golf course flyer. The Chamber shall exercise its best efforts to have the costs for the design and/or printing of these publications (i.e. dining and lodeing guide~ fully or partially reimbursed by the promoted attractions. 5. Duties of the City 5.1 Additional Bureau Projects and Services Pursuant to City Council Policy #230-01 as approved 3/21/95, and to the proposed Convention and Visitors Promotion Budget submitted to the City Council at that time, the City agrees to undertake the following projects, goods, services and subsidies, according to the specifications and budgets as shown: 5.1.1. Chamber of Commerce Budget $33,000 Visitor Center Subsidy Per Existing Contract 5.1.2 Visitor Center Utilities Budget Annual water, electricity and other utility costs of approximately $18,000 will be paid by the Ci_ty and are not included in this budget. Telephone costs are paid by the Chamber per Existing Contract. 5.1.3 Visitor Center Displays/Exhibits Budget~,l,,,vv,,*'" '~'~'~ $2.000 Backlit displays, structural changes, etc. per Design Layout as specified in Existing Contract 5.1.5 Chamber of Commerce Information Services Budget $670-24 $188 50% portion of Base Compensation of Existing Contract not related to staffing (per proposed Second Amendment). Compensation to the Chamber under Existing Contract shall continue to be governed by that document. For FY 99-00 and FY 00-01 Chamber shall reimburse City_ as per 5.1.9. 5.1.6 Public Information/Design Staff Budget ~,1,,,,,,,,, $5.000 For support of Visitor Center operations and improvements, graphic design oversight, r,~d design assistance for displays/exhibits publication and advertising assistance, and publicity for activities and events.. 5.1.8 Contract Administration Budget $1.200 For general contract administration including reviewing financial statements. processing payments. 5.1.9 Repa_vment to City Budget $6,500 Chamber shall repay the Ci_ty $13.000 of ConVis earmarked monies previously transferred to non-Con Vis Chamber of Commerce accounts: $13.000 total will be repaid in a two-year period with reimbursements of $6.500 each in FY 99-00 and FY 00-01. Chamber's repayment obligation hereunder shall survive the termination of this a~eement. 7.2 Use of Payments and Revenues The payments from the City to the Chamber and revenues realized from joint advertising campaigns or other contractual activities shall be used only for providing the goods and services outlined herein or for other purposes as may be approved by the City Council. These monies shall not be transferred on either a temporary_ or a permanent basis for the purpose of subsidizing Chamber operations or the Visitor Information Center that are not part of the scope of work detailed in Section 4 of this Amendment. Furthermore. these monies shall not be used in support of any political activities for any candidate or issue, nor may they be used to supplant other Chamber funds in any manner that results in such Chamber funds being used to support any political activities for any candidate or issue. Any political expenditures made in relationship to the Chamber will be considered as Political Action Committee (PAC) funds specifically raised for political purposes. 7.3 Total Compensation The Total Compensation fi.om the City to the Chamber for services under this contract shall be $57,500.$112,986. As discussed under the Duties of the City, the City may also pay to the Chamber up to the amounts listed in Sections 5.1.1 ..... to cover operating deficits from operation of the Visitor Information Center, which service is govemed by the Existing Contract. 8. Term 8.1 I ....... Term Th fthi ontract shall be fo y i gJ ly e term o s c r one ear, commenc n u , ,^ , ,~,,~ July 1, 2000 and ending June 30, 2001. Any additional contracts shall be governed by existing City Council poli~ey and/or furore Council action. IN WiTNESS WHEREOF, City and Chamber have executed this Agreement this __ day of ., 2000. THE CITY OF CHULA VISTA CHULA VISTA CHAMBER OF COMMERCE Mayor President Executive Director Approved as to form by City Attorney ATTACHMENT -3- . C~ntract to Provide Visitor and Transit Infor:ati~n Servi_-es at the Chula Vista Visitor Infc.--mation Center and Chamber of Commerce Main Office This Contract, entered into this D~c~her 2D, 1994 f~r p~oses of reference only and effective as of the date last exerted by the pa~ies, i~ between ~e CIT~ OF Ch~ VISTA, a cha~ered m~icipal co~oration of ~e State of Califo."nia (here~af~ "City")~d ~e, ~ ~STA ~ OF CO~RCE (here~aft~ "~er") , and is made wi~ reference to the foll~g fa~ ~d deletion: , 1. ~ecital~ ~erea~, ~e city of ~ula Vista desires =o have visitor and ~it info--etlon m~ilable upon :re.est, wi~out c~st, persons-entering ~e City-~ desir~g same, from ~e Visitor Info.etlon Center located on ~e sou~east co. er of E Street and ~e Interstate 5 (hereinafter "~ises"), at ~ ad~ess :o~only kno~ as .750 E Street, and sho~ on ~e map a copy of m'hich attached as ~ibit A, an~ from ~e ~a~ of C~erce office, 233 Fo~ Avenue, ~ula Vista (h~einaft~ "Main office"); and, ~ereas, ~e ~er des~es to provide for ~e visitor and transit info~ational needs of residents an~ visiturs to the City; ~d ~ereas, ~e Cha~er occupies a ~i~e public semite position in ~e city and has provided g~eral ~o~ational semites to the p~!i= at large for many year~; and e~ienced and staffed in a m~er ~u~ ~at it can provide visitor and ~ansit info~ation ~e~ices as herein re~ire~ in accordance wi~ ~e t~s and conditions of ~is Agreement; an~, ~ereas, ~e City and ~r ~e ~ently pa~y to a separate a~eement for general info~ation semites at ~e Main Office ~ough ~ 1995-96, as ~ended July 29, 1994, a copy cf which is on file wi~ ~e city Cl~k as Docent No. CO 94-12i, here~after "~eviouz Con~a~"); and here~ con~a~ed but is not ~ite-~pecific to bo~ ~e Center and ~e ~ Office, ~d ~e City ~d ~e ~r do mutually a~ee t~ate ~aid a~e~t ~imul~neouzly wi~ ~e effe~iveness ~i~ ag~e~ent; ~ ~ereas, ~i~ is a ~ite-~ecific se~icez a~e~ent ~herein ~e ~a~er is obligated to provide ~e~ice~ from bo~ ~at potion of ~e ~ises described in ~ibit A a~ "Center" '(hereinaft~ "Center") and ~e Main Office, NOW, ~0~, ~e City and ~e ~er a~ee as follows: Page 2 2.1 'Gross Sales" Defined. The term "Gross Sales" as used in t_his-agreement shall include the entire Gross Sales of~every kind and nature fro.m all' sales an~ ~_rvices m~e ink,he Pr~m~ses whe~er for credit or cash, ~he~er by ~e ~ or by o~s;~ wi~ ~e ~cep~on of ~ose produc~ or s~ices'on whi~ st~d~d co~stons are ea~ed. Su~ co~(~s{on-ba~e~ pr~u~s ~d se~ices include Mexi~ instance, lotte~ tickets, trolley and ~it pa~ses an~ pay telephones. O~er pro~u~s and ~e~ices may. included in ~e o~'is~iOn~ Catego~ wi~ ~e approval of ~e City ~ c~a~~l~s~a=or.~- For co~sion-based products ~ s~S, onI~;~e ,~o~t of ~e commission will be ' included ih:<"Gr°ms~ Sales~"~ +"Gro~s Sales" ~hall not include ~y 'r~at~es 0r ref~ds to'7~tum~ or ~ales taxes accounted for ~ pai~ to a gove~en=al agent. 2.2 'ADD~cable ~erat$~= E~en~e~" Defined. The t~' "A~licable Operating ~enses" as used in a~e~t shall include sala~ and ~nefit costs, inventory p~ase costs, custodial cos~, and o~er reasonable Center e~enses, except as herein excluded. The City Manag~ or his or her desi~ee ~hall be ~e Contract ~nis~ator for p~ose~ of ~is con~ac=. Fur cDn~tions re~iring ~e ~itten approval of ~e City, Con~a~ A~inis~ator. shall have ~e au~ority to provide said ~itten approval. 3. ~oses of A~reement. 3.1. visito7 ~D~ ~a~it Info~atioD Se~ices ~t %he Center The p~ies intend ~at ~e ~,~her ~hall provide visitor and ~it ~fo~ation semites, a~ more p~icularly ~ ~is con~a~, at ~e Cen=~ for ~e ~nefit of ~e City of ~a Wi~a, ~e Sou~ Bay Region and visitor~ to ~e Co~ty. The ~-~r hmz a duty to operate ~e Center. ~d provide p~lfc ~ice~ as ~pectfted in ~is a~eement. Al~ough a~eement has c~in aspens of a lease, ~e pa~ie~ a~ee ~at ~is i~ prissily a s~ices a~e~ent engaged in at a re~e~ l:cation, ~d tt f~ not a lea~e. 3.2. Te~ination of Previou~ Contra~ Simultaneous wi~ ~e effectiveness of ~is a~eement, ~e ~ and City ~o hereby agree to resinate ~e previous /~ Page 3 CDntract, with any and all further Main Office services or compensation tD be governed solely by this agreement. 4. Duties of the Chamber. 4.1 Scope of Sel-K~es The Chamber of Commerce agrees to provide the'- following ~ez~ices: 4.1.1 General The ~a~er shall re~pond t0 a~lwalk-in, phone and mail in~ez received m~ing~, reasonable and appropriate ~ re~ts for t~o~tion~by ~e ~er from individuals, r~f~ed by ~e Ci~.:: :Re~Ronses mhall ~ a~ate, c~plete, cooperative~a~d~Promote goodwill on ~half of ~e City. Responsem shall be made in a t~ely manner. Walk'in and phone in~ries sha~ be responded are received unl~s ;,a~i{ionaI~ re~e~ch i~ re~ired. Mail ~ies shall be.?responde~ to ~ithin ~ee (3) workin~ days aft~ ~e receipt of ~u=h in~iries, e~ensive research i~ re~ired. 4.1.2 ~taffinc. The ~er ~hall provide ~alifi~d =ompetent staff who are neatly dressed ~d cou~eous at all ade~ate n,~r of per~o~el Will be ~cheduled Pe~itted Commercial Activities do not significantly inte~ere with ~e prima~ responsibility of providing visitor an~ transit info~ation. Between ~e hours of 10:00 a.m. and 4:00 p.m. on weekdays, weekends and ~ork~g holidays, Cheer shall be enco~aged, but not re~ed, to provide a minim~ of two perso~e! providin~ The ~a~r mha!l provide ade~ate ~aining to ensure ~at per~o~el are able to respond to in~irie~ about transit an~ aream of interest from m~ers of ~he p~lic and to promote visitor-se~ing at, actions and facilities 4.1.3.1 ~ensive ~owl~dge. Ce~er have e~ensive ~owledge of ~nd ~ ~pable of ~i~pensing complete and ac~ate info,etlon about ~e following: 4.1.3.1.1 Chula Vista (including but not l~ited to ~treet location~, maj or Page 4 hotels/motels, restaurants, visitor attractions, government offices, Chu!a Vista Nature Center, and major shopping areas.) 4.1.3 i 1,2 Transit information (including but not limited to Trolley schedules, ~prices, and stops, and C_hula Vista Transit bus schedules and routes. 4.1,3,:1.3 ' san,;.:. Diego ~ County visitor attractions (including but not-limited to Sea World; 'Horton PlaZa, airport, Gaslamp Quarter, MisSion' B~y, beaches and other attractions, along' with, applicable admission prices, hours of oP'~r~ticn and directions, ) 4.1.3.2 A~equate Knowledge~ Center staff must have an adeqUate general knowledge of and be capable of disp,ensing general information about the following: 4.1.3.2.1 Nor~=hern Baja, Mexico (including but not limited to major highways, cities, insurance reqUirements, major hotels/motels, restaUrants, shopping ereas, major visitor attractions, and written information from governmental agencies regarding duty and visa regulations. ) 4.1.3.2.2 Southern California (including but not limited to major highways, cities, and visitor attractions. ) 4. !. 4 v~s~tor Services. Chamber sba1! provide imf o-~mation (e.g. locations, schedules, directions, applicable fees) , on topics including, but not limited to the following: 1. Community clubs and organizations 2. Local events - parades, displays, seasonal promotions 3. C_hula Vista Nature Center 4. U.s. Olympic Training Center 5. Street~ information - directions, locations, closures, detours, etc. 6. Lodging facilities 7. Transit and HandYtrans 8. Airports and Trains 9. Medical, Professional, and ~eal estate offices 10. Business referrals 11. Meeting rooms 12. Goverr~ent sel--~ices/officia!s & referrals to appropriate departments 13. Churches 14. Schools 15. MUseums, historical and cultural ~ites 16. Mexico - infoz-mation on tourist cards, parking, etc. 17. Tourist attractions 18. Recreation sites, parks, picnic areas and ~ local beach information 19. Newspapers and local publications 20'. RV parking/mobilehome parks 21. Chula Vista _ demographics ( e. g. ~p°Pulation, housing) 4.1.4.1 Chul a vista Promoti~D. Unless specifically requested~ot-her~ise by the visitor, information will always be given on the con-unity of Chula Vista. 4.1.5 C~tv ~a:e ~nhancement. The City, as a public entity, is concerned about the image portrayed and service provided by the 'Chamber and its personnel. The City shall have t_he right to inform, in ~riting, the Chamber of actions by the Ch~er or the Chamber's persorune!, which do not conform with t_he image which the City desires to have enhanced which includes providing complete and accurate visitor and transit information and presenting a neat, clean, responsive, and friendly image of t_he City. The Ch~er shall take all nec.essary steps to ensure that its actions project t_he image desired by the City as directed from time to time. 4.1.6 Standard Information The Chamber shall develop and utilize standardized pack.ages of information for responding to general inquiries about Chula Wista as a visitor de=tination and for new or potenti, al residents of the City. Such packages shall be malntained with current information and shall meet with the approval of the City. The packages may be %/sed, but shall not be deemed ~olely adequate, for inquiries making reasonable, specific requests for information not routinely included in %he packages. 4.1.7 Referrals - O~her Auencies For inquiries beyond the expertise .cf the Chamber, referrals may be made to more appropriate entities. A tally of the n,~her of inquiries referred to other entities, including date of inquiry, type of inquiry (walk-in, phone or mail) , entity referred to, and subject of inquiry shall be recorded and reported in the quarterly s~mary to the City. The Chamber will provide the name and address of t_he person or business making~the inquiry, if appropriate. 4.1.8 Referrals - Businesses Responses to inquires shall show no preferential treatment to ~Cb~her m~hers or any other group or individualPerson~ or businesses. Wherever possible, however, referrals to businesses shall be made to businesses in the City of Chula Vista. Referrals shall be rotated among bUsinesses qualified to provide the service or services requested. · The Ch-~ber shall coordinate responses to significant business relocation inquiries with the City's Community Development Depart~ment. · ' 4.1.9 ~ustomer ~eedbaCk During a specified period each year of this contract determined by T_he city and Chamber, the Chamber shall develop and make available to the public ~n~tamped response cards addressed to the City to obtain feedbaok on the quality of information provided. ~-ach response to mail inquiries shall include such a card. All cards returned to the Chamber shall be forwarded' to t_he City. 4.1.10 Mai!iD~ li~ts The ChamBer shall provide updated information upon request to the Center and to the visitor information center at Bonita Road and I-B05 (hereinafter "Bonita Center"). The Chamber Shall include the both t_he Center and the Bonita Center on the Chamber's mailing list. The Chamber shall exercise care in ensuring both the Center and Bonita Center are provided with new, pertinent information as it arises, such as special event~, li~ts of visitor-oriented businesses and at, actions. 4.1.11 ~ The Ch-~er shall not charge the public a fee for pr.ov.iding services unless specifically approved in ~t~ng by the City. Chamber may request approval for fees at any time and will provide a complete li~t of any booklet~ of information being sold by July i ~f each year of this agreement. Generally, extensive ~ooklets of information that relate to the topics in Section 4.1.4 consisting of more than 15 pages will be considered for fee approval by the City. City maps will be sold to the City and the Center at cost, to the Bonita Center at Page 7 lember cost and for no more than $3 to the general public. 4.2 Covenam. t 4o QDerste: Services to be Offered from Site. The ChamBer shall operate a first class Visitor Ihformation Center according to the following standards for the term of this agreement, as ~am.-e maYa_be from time to time extended. 4.2,l.~{ours.gf OD$ratfon, The ~' Chamber ~sha~l~. operate'the Center at least nine (9) .hOurs per day on we~s and eight (8) hours per day on weekend~ and holidays. Initial operating hours shall be 9 a.m. to 6 p:~:J:0n'wee](days' and 9 a.m. to 5 p.m.. on weekends, sub3ect. ~ 'tO ameD~ent by separate agreement:Of ~h~ch~er ~nd contract A~lnistrator. The Center may. be =10Se~ on Thanksgiving, Christnas and Xears Day. 4.2.2 TraD. sit The Chamber will make available for sale to the public transit passes issued by the Metropolitan Transit Development Board (I~TDB) and Chula Vi=ia Transit. The Chamber will also make change for transit fares as requested by the public to the extent feasible. 4.2.3 !~recedence of Services. commercial activities, promotion and/or referrals shall not interfere with the Chamber's ability to provide free, reliable, complete and true information in response to request~ from public users of the facility. The Chamber may be required to post a ":~ree Visitor Information" sign at each of the ~/~ree entrances to the Center or at the =ounter. Size and design of t~he sign will' meet with T_he approval of the City. The Che~er is pr0hibite~ from erecting or creating any signs on ~he premises which are visible from the outside o.r in any area ?.it. bin the JurisdictiOn of the City wlthout prior ~rltten approval of the City. Interior signage or aavertising i= subject to the City's approval. 4.2.5. DisD~aV A~vertisinu. ' The Chamber shall be pe'~ ~itted to sell display advertising space, which shall be limited to both sides of the northwest window facing north, or alternate window Page 8 space if requested by the Chamber and approved by the City. Display advertising on surfaces other than windows is limited to those areas indicated on the Design Layout as herein defined and as it may be modified with the City's approval. ~- Except as provi'de~ herein or otherwise approved by the City, ~in~ior and exterio~ wall space will. be posted only with public service information consistent .with material identified';.' in this~ agreement,; and display material supplied or approved by the City designed to promote visitor attractions in C_hula Vista. 4.2.7. Information Coumter. Display of retail merchandise on the information counter top shall not significantly interfere with its ability to be seen and used for providing visitor and transit information. Display of additional retail merchandise behind the counter ,shall present a neat,, uncluttered appearance. 4.2.8. ~aw phone. The Chamber shall be required to maintain at least one public pay phone on the Premises. 4.2.9. l~eztrocm Access. During the Center's hours of operation, the restrooms shall be unlocked and available for public use. The City reserves the right to allow bus drivers to have access to the restrooms during hours T-hat the Center is closed, with said access being through the exWcerior doors opening into the Center's restrooms. No access will be permitted in to the other interior areas when the Center is closed. The Chamber will lock the interior doors to the restrooms when the Center is closed to help prevent access. 4.2.1D. Compliance with the La~. Operation of the l:>r~='~n~.ses shall com. p. ort with all applicable ordinances, rules and regulatlor~, including but not limited to, ~hose provisions of %he ~unicipal Code relating ~0 ~he sale of adult materials such es those requlated for adult book stores ( City Code 19.04. 007 ) and the County of San Diego Health Department's regulations relating to foo~ sales and consumpti on. Page 9 4.3. putv to provide S.erv~ces Off-site 4.3.1. Previous Contract ._ the fact not 'all services In recognition of that performed under the Previous Contract .are.tr&nsferrable to the Center, due primarily to the 'walk-in oriented ~' business attracted to the Chamberfs Main 0ffice, the ChamBer shall continue to pro lde ,. limited General Information Services for the city ~{"its Main Office. The Ch-~Ber shall continue to represent the City at selected trade shows, work with the CitY's economic deve16Pment ~taff~ t° obtain materials and~displays, as the appropriate, ' and represent '.city A~. ~i~Cted ~pecial events to promote the City =o visitorsI a~d enhance its regional image. The Chamber shall als0 provide necessary management rime'reqUired to en~ure that ail of the above services are performed in a professional and timely manner. Compensation for the ~bove services (hereinafter "Main Office Services") shall be as hereinbelow provided. 4.3.2. ~a~n Office Se-~-~ices -- ~our~ of Operation Chamber staff shall be available to provide Main Office Services Monday through Friday from 9:00 a.m. to 5:00 p.m., except for New Years Day~ Martin Luther King Day, President's Day, Memorial Day, IndePendence Day, Labor Day, Col~rmhus Day, Veterans Day, Thanksgiving Day, the day after Thanksgiving Day, and Christmas Day. Holidays cited above falling on a Saturday will be observed on Friday. When a holiday occurs on Sunday, it will be observed on the following Monday. 4.3.3. Consolidation of services Where possible and practical, the Chamber shall endeavor to consolidate t_his main office service with that provided at the Center. Efforts to consolidate shall include, but not be limited to, White Pages listing of the Center phone n,~her and site as the Chamber' "General Information/Tourism" contact and review of phone and mail handling procedures. 4.4. Security: Bondin=. The ChamBer shall deposit $10,000 in cash as ~ecurity to assure that the Premises is returned to its original condition upon termination of the contract ("Security"). City ~ha!l use best efforts to invest t_he Security in a manner typical of other City investments. City shall pay annually to the Chamber the interest earned on the Security at the average interest rate earned by t_he City on all cf its liquid investments. The Chamber has ~he option to ~rovide City with a security bond in a f~z~- acceptable to City as an alte~--native to sec~e the ChaSer's perfo~ance as herein~ required. 4.5. Ri~k Mitigation. 4.5.1. Du~ to coDduct' · ~afe 0Deration. ~e ~er shall opiate ~e praises in a safe and 4.5.2. Indemni~ ~. ~ ~e ~a~r shall def~d~ ~ ind-~ify, an~ h0id ha~less the City, ~eir-ele~ed ~d~ appointed~offi=~s ~d employees, ~e Redevelopment Agen~ of .~e-city of ~ula (h~einaf=~ "R~devel~pment Ag~cy"), ~e Co~ty of San . Diego, ~d ~e Me~opolitan Transit Degelopment Boar~ (h~e~after "~DB") from and aga~t all claims for ~ages, liability, cost and ~ense (incl~di~ l{~tation atto~ey~' fees) ~i=ing out of ~e conduct of ~e ~a~er or any agent' or ~ployee, ~ubcun~acturs, or o~ers in co~ection wi~ ~e exertion of ~e ~ork c~e~ by ~is A~e~ent, except only for ~ose clai=s arising from ~e sole negligence or ~ole willful conduct of ~e City, i~ officers, or .~ployeesJ The ~er's ~ n~-~nification ~hall include any and all co,ts, e~enses, atto~eys' fees and li~ility in~ed by ~e ~ty, its offi=~, agents, or ~ployees in defending against such claimz, whe~er ~e ~e proceed to jud~en= or not. ~er, ~e ~a~er at its o~ e~ense ~hall, u~n ~itten re,est by ~e City, defend any ~uch zuit or action brought against ~e City, its officers, agents, ~ployees. The Cha~'s. inde~ification of City shall not be l~ited by any prior or ~ubse~ent declaration by 4.5.3. ~m~her shall, ~ou~hout ~e d~ation of ~is A~e~ent, ~i~=a~ instance from responsibl~ and ~olvent co~orations au~orized to issue su~ policiez ~lifo~ia wi~ a fin~cial rating of at lea~t a Clas~ ~" ~tat~ or ~tter as rated ~ ~e mo~t recent edition of "Be~t's In~ance Repo~s" ~less a lower rating is approved by ~e City'~ Risk M~ager. Said i~ance coverage ~hall include: 1. Co~ercial General Liability Instance including Bu~ine~= Automobile Liability In~ance in amount of $1 million co~ined ~ingle limit, which names ~e City of ~ula Vista a~ additional ins~ed Pa~e and is primary ~to any insurance policy carried by the City. 2. Statutory Worker ' s Compensation Ins~-ranc~ ~ and - Employer's Liability Insurance tn'~he amount of $1 ; million..1 3. 'All risk property insurance covering t_he value of property inside T_he building. ~- services, required under ~he agreeS.ant, ~Certlficates of ~' insurable fo= the coverages required ~ih ~thi~' section, and, for COmmercial General Liability InSUran~ i a policy endorsement for the City as additional insured, a policy endorsement,stating the Chamber!s~ insurance is primary. .and a "pOlicy endorsement' statin~ ~ that the limits of insurance apply separately to each' project away from premises owned, rented or operated by the Chamber. Certificates of insurance must also state that each policy may not be canceled or materially changed without at least thirty (30) days %Titian notice to the City. Each policy which the Chamber maintains shall name the City, Redevelopment Agency, the County of San Diego and MTDB as additional insureds. 4.6. Quarterly ~eDo~s The Cb~her shall record and submit in m~iting quarterly reports to the City for the quarters ending September 30, Dec-~-r 31, March 31 and June 30. Said reports are due within 30 calendar days of the end of the quarter and shall include the following: 1) Number of inquiries processed, per location, at both T_he Center and the Main Office, as received by mail, phone and walk-in visitors and the number of inquiries responded to by mail. Types of inquiries shall be categorized by, but not limited to, the following topics: a) Tourist~visitor related b) Mass transit - trolley, bus c) Special Events d) New residents e) Government services f) Mexico g) Business/~ervice referrals h) General civic information i) Recreation j ) other PaTe 12 2) Additional data shall be collected, in a fo.--m and fre~Faency as further specified by the City, regarding visitors' cities of residence and hour and day of visits. 4.7 Financial Remorts. -- Within thizty (30) days after the end of each quarter of the te=m hereof, commencing with the thirtieth day of the month immediately following ~he f£rst quarter of' this agreement, and ending with the thirtieth day of the montbsucceeding the last month of the term of this agreement or any-extensions thereto, the~Cha~her shall fu_~nish to the City a state~ent in m~iting, certified by t/~e Chamber to be.correct~ -~h0wing for the previous quarter the center's =ross Salmsim-and Applicable Operating Expenses. The Ch-mher-;shall keep.: (a) full and accurate books'~of account.and records in - accordance'with Generally Accepted~Accounting Principals consistently applied, including, without limitation, a sales journal, gene~al ledger, payroll records, and all bank account statements showing deposits of Gross Sales, (b) all cash register receipts with regar~ to the Gross Sales, credit~, refunds and other pertinent made from or upon the Premises and (c) detailed original records of any exclusions or deductions from Gross Sales. Such books, receipts and records shall be kept for a period of two (2) years after the close of each calendar year and shall be available for inspection and audit by the City and its representatives at the Pr,m~ses or at the principal place cf business ~f the Chamber during regular business hours. In addition, upon request of the' City, the Chamber agrees to furnish to the City a copy of 'the Chamber's state and local sales and use tax returns. The City shall, within two (2) years after the receipt of any such statements, be entitled to an audit of such Gross Sales and expense record. Such audit shall be conducted, by the City or by certified public accountant to be designated by the City during normal business hours at the principal place of business of t_he Ch-~_r. In addition, if any of the Cha~er's state~ents shall be found to have understated Gr. oss Sales or overstated expenses by more than two percent (2%), or if such audit ~hows that the Chamber has failed to maintain the books of account and records required by this section so that the City is unable to verify the accuracy, of the Chamber's statement, then .%he Chamber shall pay to the City all reasonable costs and expenses (including reasonable auditor and attorney fees)-which =ay be incurred by the City in conducting ~uch audit. Pa~e !3 4.@ Vse of p~vments ~nd ~evenues. The payments from the city. to the Chamber and revenues realized from operation_of the Center shall be used only for providing the information services outlined herein or for other purposes as may be approved by~ ~he City CounCil. Th~se monies shall not be used~in ,~q~p~[~7-of any political activities for any candidate~ or'issue, nor may ~ey ~ used to .such ~her f~d=u ~ingi~=sed to ..~pport any political activities ~ for any~ c~didate ~or lssue.~ ~y political e~enditures made in relationship t6~ ~e Cha~er will be ' considered am Political~ A~ion Co=ittee (PAC) f~dm ~pecifically raised for political p~ome~l 4.9. ~osmesso~ Interemt Tax~ not a lease, ~e ~a~~ .shal~ be." 'responsible for any pozsemmo~ interest tax, if s~e may be ~uccessfully assessed. 5- Duties of C~tv. 5.1 putw to Make RrenSse~ Available for %be Use ~nd 0ccuman~v of the Chamber. city a~ees to make ~e Praises and Center available to the Cha~er in order to provide ~e 'visitor and transit info~ation se~icem herein re~ired, and to conduct such other collateral uses herein pe~itted, which availability shall be to ~ exclusion of all o~er co~ercial ~em of the premises. The ~a~er has no independent right to occupy ~e Premises and Center exmept to provide visitor and transit info,etlon services.. 5-2 DUty to Allow the Chamberto Conduct Certain ~o~ercial Activities. 5.2.1. Peri%ted Co~ercial Activities. On the te~ mn~ conditions h~ei~ gpecified, including accordance wi~h ~e approved De~i~ Layout, ~e ~a~er shall have ~e right, an~ City shall pe~it ~e ~a~er, to condu~ ~e following commercial activitie~ or sales at ~e Cent~: 5.2.1.1 ~ansit tickets and passes 1) T-Shirts, Caps 2) B~per Stickers, Key ~ins, Buttons 3) Pens and Pencils 4) Postcards 5.2.1.3 Film, Flashbulbs, and Batteries Page 14 5.2.!.4 Maps/Guide B~oks 5.2.1.5 Mexican Auto Insurance 5.2.1.6 Newspapers and Magazines 5.2 - 1.7 Travelers Checks/A~erican Express se---vices 5.2.1.8 S0ft~ Drinks/Coffee 5.2.1.9 Candy/Gui/Snack Foods 5.2.1.10 Sunglasses ._ 5.2.1 ~il-- Suntan~Lotion/Chap Stick 5.2.1.12 - Postage Stamps 5.2.1.13 -- Kleenex/Pocket Combs 5.2 .~1.14 Lotterlr Tickets 5 .~2'. 1.15 ~' Tour ,~nd Excursion Tickets 5.2.1.16 Video/wending machines 5..2.1.17 ' Display advertising space as permitted herein. The sale of product~ or services not listed above is subject to the City's approval. Such approval ~hall not be unreasonably~-withheld, but. shall be consistent with. the approved Design Layout. 5.2.2 Compensation. 5.2.2.1 Base ComDemsat ion For any quarter in which the Applicable Operating Expenses exceed the Gross Sales, the City shall pay to T_he Cb~-~her half 'of the differe/%ce, up to a maximum amount of $15,000 per fiscal year. 5.2.2.2 Main office Services ComD~nsat~on For continuing provision of Main Office Services, the City agrees to pay t_he Chamber the su~ of $30,148 per fiscal year, prorated .=ua~er!y, for the term of this agreement. 5.2.2.3 CPI Ad4ustments At the option of t_he city, T_he annual suez listed in Section 4.2.2.1 and/or in Section 4.2.2.2 nay be adjusted at the beginning of each fiscal year, starting with ~he FY 1995-96, in proportion to the percentage inurease of the All Urban Consumer Price Index for the San Diego Region (CPI) for the most recent twelve (12) months, up to a maximu~ of 5% per year. Quarterly payments shall be made within ten (10) work days after receipt of quarterly reports to be 1[ ! r Page 15 submitted by the Chamber as specified in Section 5.2.2.5 Residual Compe,~s~tioD - Previous C~ntract The city agrees to pay the Chamber the pr-'_~ce agr.~ed in the Previous Con~ract for the final quarter(s) or prorated fractions thereof for all services delivered through the termination date of the Previous Contrac=. 5.213 Initial Subsidy for Inventory Prior to March 31, 1995, the City shall provide a one- time paYment of $10;000 t9 the Chamber to procure an ini.tial inventory of. Chula Vis~-related memorabilia for .. resale at.~the Center~ .~lh/rchases made with said one-time payment shall not,-be .considered Applicable Operating 6. Design La?out. 6.0.1. The city and Chamber agree to complete a plan which demonstrates the color Scheme, theme, lighting, and physical location of any furniture, fixtures or equipment as may be included, such as tables, chairs, racks, shelves, vending machines, display advertisements, etc. (hereinafter "Design Layout") to be incorporated into the interior and exterior areas of the Premises. The City ~'ill work with the Chamber and a space designer to be provided by the City to develop a design layout t_hat is acceptable to both parties. City Approval will be subject to all city rules and regulations, including but not limited to Design Review. The City and Chamber ~'il! use good faith and best 'efforts to produce a graphic Design Layout acceptable" to the City no later than Decm~ber 20, 1995. 6.0.2. Until said Design Layout is mutually agreed upon by the parties, or until t_he termination of this contract if agreement on the Design Layout is not reached, The Chamber ~hall maintain Center displays, including, but not limited to, t_he following: 1. One bulletin board of community activities of a ~ize and design acceptable to the City. The Chamber shall insure that current information concerning upcoming special events within C_hula Vista are displayed at all ~imes. 2. Display map of the City of Chula Vista. 3. Display stand of scenes of Chula Vista; Page lS 4. Display space on the infol-mation c~unter for brochures designated by the City about =hula Vista attractions. The Chamber will further provide space for transit brochures designated by the City in a location mutually~_agree, able to the parties. 5. At least one fully stocked brochure reck in the lobby area of the premises containing brochures which provide information on the major visitor attractions in =hula Vista and Sa~ Diego County. ~ ~ity may tal-mimate any use in T_he interior of the Center or layout of the interior facilities which it finds objectionable~and the Chamber is prohibited from use or decoration of the exterior areas without the advance %~ritten approval of the City. 6.0.3. The Chamber shall not make any structural improvements or changes to the Premises ex=apt in accordance with the "Design Layout" which has been reviewed and approved by the city. 6.0.4. The Chamber's operation of =he Premises will conform to t_he approved Design Layout. Any changes to the approved Design Layout must have prior approval of the City. 7. ,~ev~e~ and Amendment The cb~er and Contract Administrator shall meet on at least a quarterly basis to review items including, but not limited to: quarterly reports, scope of services, hours of operation, pernitted commercial activities, design layout; and scope and consolidation cf Main office Services. The Chamber and t_he Contract A~inistrator may, by separate m~itten agreement, amend the ~oope of ~ervi=es or operating conditions relating to: form and content of quarterly reportz, visitor sel-Vices, ho%irs cf operation, permitted co~ercial activities and design layout. Any other changes shall be subject to formal contra=t amendment. Term The term of this contract shall be for two and one-half (2.5) years, commencing January 1, 1995 a_nd ending June 30, 1997, subject to the extension and termination provisions of this agreement. - Page 17 8.2 ODtion to ~x~emd Following the initial tel-m of this agreement, the City and the Chamber shall have three (3) consecutive options to extend this agreement for three (3) year periods, for a maximu~ of nine (9) additional years. Other ter~s and conditions of the contract during the option period(s).~h, all be ~e ~e ~itial~-t~ ~To exercise any S~'optlon'to e~ ~e City must~ give ~e ~B~ ~itt~ notice of its intention e~end at least~ five (5). monks befo~e ~e.e~iration of the ~initlal t~ or.~en.~r~t e~ensi°n period. ~- The ~a~er sh~ll~ have/~i~ ~, (30) ~ days. ~to notify ~e ~ City of iDtention to': accep=~ ~ ~enSion option. The ~a~er's a~e~ent to e~end ~hall~ ~ at its ~ole and absolute discretion. 9. ~aint~nance, ~ReDairs,~ U~ilitie~ and Imurovement~: The ~a~er ~h~ll be r~ponsibie for k~aping in good order and cDndition ~e ~terior of ~e premises, ~e vending machine ~ea, and ~e rest rooms, including but not li:ita~ to, int~ior ~11~, floors, windows and ne=essa~ ~ere=o. The Chamber ~hall cle~ and provide minor maintenance for ~e rest roots, which are a portiqn of praises, for ~e use of ~e p~lic. Restrooms will be cleaned at least once per day on Mondays ~ough Th~sdays. Res~ooms will ~ cleaned ~= least twice p~ day on Fridays through S~days and on major holidays, ~lemm les~ cleaning is approved in m~iting by ~e City. Res~oom supplies such as toilet paper and paper towels ~hall be provided by ~ber. The ~a~er shall be responsible for all. costs and supplies necemsa~ for ~e proper cleaning of ~he interior of ~e praises, including graffiti removal which does not re~ire painting, and minor maintenance much am replacing interior light bulbs. The ~er ~hall be responsible for ~e professional clewing of ~e int~ior floor~ and vending machine ~ea floor at least once evm~ ~ee monks uzing professional e~ipment and/or perso~el. The ~a~ shall be responsible for m~intenance of ~e e~erior adv~tising panelm, steam cleaning of ~e e~erior patios and wa~ways of ~e praises wh~ needed, ~ash pick-~p ~d r~oval, and e~erior ashley c!e~ing. 9.2. Facility Repairs The city mhall ~ responsible for repairing and maintaining the e~ior of ~e cen~er. ~is rezponmibility'e~endm to, but is not limited =o, ~e interior, ~e roof, e~erior walls, landscaping, and ~affiti removal. The City mhall responsible for repairing and main=aiming all pe~anent interior improv~ents to ~e pr~imem. Said improvements ~hall include~ bu~ no~ ~e limited to~ plur~bin~ utility sy~tem~, ~indo~s~ fi×ture$~ Dmin~in~ and wmll coverings. 9.3. ~erwen~ FeDairs ~ ~e-~ity ~u~Orize~ ~e Cha~er to-make emergent'repairs of up to $SOO~for i~s ~e City is responsible for repairing and main~ining~ ~ergen~ repair~ include but are not l~ited ~r°keH Wind0W~ ~ ~nd~ roof leaks ~ ~e. Ci~ will ~e~ ~5~/re~sonable cOSts up 'to $500 for such~.necessary emergen~ repa~ wi~in ~i~y (60) ~days~ of s~mitting an invoice tOl~e City's con~act a~inistrator~ 9.4. Neclicence responsible for all repairs re~ired as a r,~ul~'~f negligence of ~e ~a~ or ~e Cheer's ,~Dloyees~,~,~_~.Cos~ of said . repa~s ~hall not be deemed "Applicable Operating E~enses." The City shall ~ responsible for all water, ~ewer, and ele~ricity utility =ost~ a~mocimted wi~ ~e use of the premises, including the restrooms. The ~a~er ~hall be responsible for all =rash disposal, ala~ ~e~ice and telephone =osts. Telephone billing records ~d long distance ~ges shall be subject to review and audit by ~e City. 9.6 ImDrovemeDts an~ PerSonal ProDe~v: Tit~$ Te~ination Unless o~e~ise provided in ~iting by both pa~ies, a!! improv~ents to ~e Premises shall ~ the responsibility of ~e City, and upon te~ination of ~is agre~en~, all improvem~ts to ~e Pre=ise~, ~11 invento~ and all personal prope~y remaining Dn ~e Prem'ises shall be deemed to be Droperty of City. !0.1 Richt ~o Inspect 0petitions. The Contra~ A~inis~ator ~hmll have Center, inspect s-~e ~d review ~e op~atio~ of ~e ~er ~der ~is a~e~ent at any t~e d~ing a~e~ent. 10.2 Ri~h% $9 Dete~iDe violations. If staff shall dete~ine ~at the Cha~er is in violation of ~e te~m of Section 9.4 ("critical Violations") or 9.5 - ("Si~ificant Violations") , or o~er provisions of this Page !9 A~reement ("Other Violations"), Staff shall notify ("Notice of Determination") the Chamber by telephone (or by such other method as it shall determine appropriate given Staff ' assessment of the seriousness of t_he breach and the ~rgency of the need for cure) of ~he violations. Staff's determiner.ion that a violation has occurred shall not be reviewable by the City Council at ~_his time, but Staff shall use its reasonable judgment in exercising itt.discretion hereunder. 10.2.1 Contents of Notice of Determination. The Notice of Determination, verbal or written, shall contain the violation or violations, the date and time, if time specific, of occurrence of the violations, the nature of the violations (i.e., Critical, Significant, Other), and may establish a time within which to'commence and effect the cure if Staff desires and if Ti~e to Cure is required to be tendered by the terms hereof (Section 9.3}° 10.3 ~me to Cure. !D.3.1 Time to Cure Not ~e.=uired. If Staff reasonably determines that a violation by the Chamber was or is either a willful and avoidable violation of Critical nature, or not capable of cure, Staff may institute Termination Proceedings, as hareinbelow defined, immediately without providing time to cure. !0.3.2 Time to Cure Resulted. Unless Staff is not required to afford the Ch~her time within which to cure . the violation(s) pursuant to paragraph 9.3.1, Staff maY. establish a time within which to cure the violation at or sLubsequent to the time at which it determines a violation has occurred. Staff's establishment of a time within which to cure shall be based upon its determination of the Chamber's culpability in committing t_he violation, economic feasibility to cure, and Need to cure. If a violation occurs that is caused by a fire, flood, earthquake, bridge collapse, chemical poisoning, act of war, or similar major calamity, and as a full&her result of said calamity, ~he Cb-~her is pre~ented from commencing and diligently prosecuting a cure for the violation using reasonable efforts, the duty to cure the violation shall be suspended for the period of time in Page 20 which the Chamber is prevented, not to exceed one (1) month. 10.3.4 Fail~re to Prosecute C~re. ~ ~.- Failure to commence the cure immediately, diligently prosecute ~-he cure, and to effec~ the cure within the ti~e setby Staff shall be grounds for City's termination of this agreement, an~ Staff may institute Termination Proceedings. 10.4 Critical violati~Ds ~ The following shall constitute "Critical Violations" of this Agreement: 1- The Center is closed, or otherwise not operational in te-~ms of providing visitor and transit service to the public, for any cLLmulative (not necessarily consecutive) P~riods in excess of eleven (11) hours during t_he specified minimu~ operating hours in any 30-day period; or, 2. The. Chamber engages in a course of activity which significantly impedes or diver~s the flow of visitors, tourists and the general public from Chu!a Vista business. !0.5 Si=nificant v~o~,ations The following shall constitute "Significant Violations" of this Agreement: 1 - The Chamber ' s perf o.~mance does not present a positive image of. the City or does not provide complete and accurate responses to information requests from the public; or, 2. The Chamber allows commercial activities to significantly interfere with providing complete and accurate responses to information requests from the public. 10.6 Terminat~gD Pro~ediD~s. "Termination Proceedings", as herein referenced, ~hall take the following form: 10.6.1 Staff ~hall establish a date fo~ a hearing ("Hearing") before the City Council of Termination of Agreement not sooner that 7 days from the Notice of Determination. Page 21 10.6.2 Staff shall provide at least 7 days notice of the Hearing to the Chamber. Notice need not be given to any other par~y except by the posting on a City Council Agehda .... 10.6,3 At the Hearing, the City Council shall 'deliberate upon the occurrence of a violation, and the right to cure the violati8n, and on such other matters as the Chamber and Staff shall determine are appropriate. 10.6.4 If the city Council shall, it the exercise of its reasonable judgment, detel-mine that the best interests cf the 'City are served by the~tez-minaticn of the agreement, ' ~ it shall by ~ritten resolution terminate the agreement. ~ i~0~. 7~ ~ Abandonmen~ - -~-if ~h6 center ~s closed, or otherwise~not operational in terms of providing transit and visitor service to thepublic, during all of the specified minimu~ operating hours for two consecutive days, this A~eement shall be deemed terminated at the option of the Contract Administrator and upon exercise thereof, the premises shall be deemed abandoned. 10.8 Compensation and/~r Damaces. In the event of termination, compensation due shall be prorated less any damages caused to the City by the Chamber's bre a ch. 11. Miscellaneous Provisions. 11.1. Assi=nimc amd Sublettino The Services of Chamber are' personal to the City, and the Chamber shall not assign, subcontract, transfer, sublet or enc~her the Premises or any interest in this Agreement (whether by assignment or novation) without the prior ~-~itten consent of the city. 11.2. '~Omimistrative Claims Reuuirememt add Procedures. No suit or arbitration shall be brought arising out of this agreement, against the City, unless a claim has first been presented in writing and filed with the City of Chula wista and acted upon by the city of Chula Vista in accordance with the procedures set forth in Chapter 1.34 of the Chula Vista Municipal Code, the provisions of which are incorporated by this reference as if fully set forth herein and s~ch policies and procedures used by the City in the implement, erich of same. Upon request by the City, the Chamber shall meet and confer in good faith with the City for the purpose of resolving any dispute over the tel-ms of this agreement. Page 22 11.3. Att0yDev' S ~ees. Should a dispute result in litigation, it is agreed that the prevailing party shall be entitled to recover all reasonable costs incurred in the defense of the claim, including cqsts and 'attorney's fees, provided that said party has-exercised best efforts, in good faith, to negotiate a settlement of the dispute prior to and during the litigation. 11 ~ 4. Entire A=reement This Agreement, together :.with a~Y other written document referred to .or contemplated herein, embody the entire - Agreement and understanding betwee~ the parties relating to the subject matter hereof. Neither this Agreement nor any provision hereof may be amended, modified, waived or discharged except by an instrument in writing executed by the party against which enforcement of such amen~ent, waiver or- discharge is sought. 11.5. 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; that all resolutions or other actions have been taken so as to enable it to enter into this Agreement. !!. 6. Governinc Law/Venue. This Agreement shall be governed by and construed in accordance with the laws of the State of California. A~ny action arising under or relating to this Agreement shall be brought only in the federal or state courts located in San Diego County, State of California, and if applicable, ~he City of C_hula Vista, or as close thereto as possible. Venue for this Agreement, and perfol-mance hereunder, shall be the City of Chulm Vista. 11.7. IndeDeDdent Contra c~or. City is interested only in the result~ obtained and t_he Chamber shall perform as an independent contractor with sole control of the manner and mean~ of performing t_he services required under this Agreement. City maintains the right to reject or accept the Chamber's performance according to the terms of this agreement. The Chamber and any of the Chamber's agents, -~ployees or representatives are, for all purposes under this Agreement, an independent contractor and shall not be deemed to 'be an employee of City, and none of them shall be entitled to any benefits to which City employees are entitled including but not limited to, overtime, retirement benefits, Page 23 workers compensation benefits, injury leave or other leave benefits. !1-8. Financial Interests. 11.8.1. The Chamber warrants that neither they_nor .th ~ir employee~ or agents presentlyhave any interest; directly or indirectly,, whatsoever in the property which is the subject matter of the contract, or in-any property within ten (10) radial miles from the exterior boundaries of the property which is the subject of the contract, except as listed on. an attachment hereto. 11.8.2. The Cb~er further warrants and represents ~hat no promise of future employment, r,~lneration, consideration, gratuity or other reward or gain has been made to ~he Cb-~her or their associates. The Chamber pro'sas to advise the City of any such promise that may be made during the term cf this contract and for subsequent extensions. 11.8.3. The Chamb~ may not conduct or solicit any business for any pal-~y to this contract or for any third pa~y which may be in conflict ~ith the Chamber's responsibilities under this contract. 11.8.4. The Chamber further agrees to waive and forego the following: relocation benefits, owner participation rights and claims for goodwill. !2. Correspondence and Notic{n= Correspondence relating to this agreement should use the addresses given below: George Erempl Roderick F. Davis Deputy City Manager Executive Director City of Chu!a Vista Chula Vista Chamber 276 Fourth Avenue of Commerce C_hula Vista, CA 91910 233 Fo%Lrth Avenue Chula Vista, CA 9!910 page 24 SIGNATQ.-~E PAGE TO CONTRACT TO PROVID~ VISITOR AND TP.~.NSIT INFOPJ~AT!ON S~VICES AT THE CHULA VISTA VISITOR INFORMATION CENTER IN WITNESS W~i~REOF, C~y and Chamber have executed this ]~'~" 1994. Agreement this 2~ ~- day~ of THE CiTY OF CH-u-LA VISTA CRTU~A VISTA CHA_~BF.R OF CO--CE .... ~ T i ] r Sixth Amendment to Contract to Provide Visitor and Transit Information Services at the Chula Vista Visitor Information Center and the Chamber Main Office This amendment, entered into and effective as of July 1, 2000 is between the City of Chula Vista, a chartered municipal corporation ("City"); and the Chula Vista Chamber of Commerce ("Chamber"), and is made with reference to the following facts: Whereas, the City and the Chamber are party to a contract for general and visitor information services ("Existing Information Contract", on file with the City Clerk as Document #CO94-121) offered from the Chamber of Commeme Main Office and for operation of the Visitor Information Center at the Bayfront/E Street Trolley Station; and Whereas, the parties desire to extend the initial term of that contract by one additional year, to be co-terminus with an accompanying contract for the Chula Vista Convention and Visitors Bureau, NOW, THEREFORE, coincident with the adoption of the contract to Provide Chula Vista Convention and Visitors Bureau Promotion Services, the parties mutually agree that the Existing Information Contract, as last amended on June 29, 1999 for the purpose of reference only and effective as of the date last executed by the parties, is hereby amended in the following regards only and extended for a period of one year, and as so amended and extended shall hereinafter be referred to as the "Sixth Amended Agreement": City and Chamber do hereby agree to amend the Existing Information Contract in the following regards only, with all remaining provisions remaining in full force and effect. Interlineated provisions are to be considered deleted from the agreement and underlined provisions added to the agreement. Section 4.8 Use of Payments and Revenues The payments from the City to the Chamber and revenues realized from operation of the Center shall be used only for providing the information services outlined herein or for other purposes as may be approved by the City Council. These monies shall not be transferred on either a temporary or a permanent basis for the purpose of funding Chamber operations that are not directly involved with the operation of the Center. Furthermore, these monies shall not be used in support of any political activities for any candidate or issue, nor may they be used to supplant other Chamber Funds in any manner that results in activities for any candidate or issue. Any political expenditure made in relationship to the chamber will be considered Political Action Committee (PAC) funds specifically raised for political purposes. Section 5.2.2.1 Base Compensation Effective FY 00-01 and thereafter, for any quarter in which the Applicable Operating expenses exceed the Gross Sales, the City shall pay to the Chamber one hundred percent (100%) of any annual operating loss, up to a maximum amount of $!2,000 $33,000 per fiscal year. Visitor Center - Sixth Amended Agreement Page 2 1N WITNESS WHEREOF, City and Chamber have executed this Agreement this day ,2000. THE CITY OF CHULA VISTA CHULA VISTA CHAMBER OF COMMERCE Mayor President Executive Director Approved as to form by City Attorney Attachment -4- COUNCIL POL'. CITY OF CHULA IESTA SUBJECT: ~3P?ORT FOR A ~ ~A ~S~OP.S POLI~ EFFE~ ~ CO~N~ION B~U, gb~ TO NUMBER DATE PA~ RF~ co~ ~O-O1 07-01-95 Y OF 2 ~O~D BY: Resolutio~ No. 17~3 [ DASD: 03-21-95 BACKGROUND ~o b~n ~sed ~ ~e cDnz~ Df :onzifl~g whe~ ~o ~b~e ~e T~sient 0~ T~ ~.O.T.) ~ A~ 2, ~9~S ~om 20% to ~ ~o~ Dot I~ ~ 8%. ~9sito~ ~fl Convenfio~ ~omOfion Budge: sho~ be ~flefl ~om Geuer~ F~fl so.ecs T.O.T. revenues come.ed =~y be a me~e of ~e ~o~t of ~e appropriation, bm ~o~ ~e so~=e of ~ :o ~e~ ~ff to prep=e prDp~efl %%~t0~ ~fl Con,._.:don ~omofion ~u~ge~. for consifi~fion ~ i~ ~u~ budget fl~fi~, ~ ~o~ me~efl by ~e ~o~s of T.O.T. revenue If~e ~-~u~ T.O.T. r~enue is $~.5 m~ion or ~s, ~e proposed ~:o~ ~d ~ven~on Budget wo~d be ~ ~ eq~-~t xo ~0% of ~e T.O.T. revenue If ~e ~u~ T.O.T. revue ~ more ~ ~.5 m~ou ~d l~s ~ $2.5 m~o~, ~e Vn~:o~ ~d ~=ven~o~ ~omofion Budget wo~d be 5~50,~ plu~ ~ ~ eq~v~en: ~ ~e T.O.T. revenue ~ ex~ of 5~.5 m~on. ~ ~d-~ ~o~d ~ refit ~ m proposed ~u~ ~o~ ~d ~:venfio: ~omodon Budget of COUNCIL POLICY CITY OF CHUL~ VISTA L~JEC~: Sb'PPORT FOR ACH. ULA VISTA VISITORS POLICY EFFECTI%~E ~N'~ CONVEN'nON BLrR~AU, SU~OECr TO NUMBER DATE PAGE ANN~OAL APPROVAL OF A BUDGET A3qD REL~T=-D CONTRACT 230-01 .07-01-95 2 OF _DOFTED BY: R~o]ufion ~qo. 17943 1 DATED: 03-21-95 If the ,m~u~l T.O.T. ~venue ex~eds $2.5 million, the F~p~ed %r~itom and Promo~o~ Budget would be $2D0,D00. The City would them renew rh~ Coumci~ /m?ludhg disru~sh:g it w/th the C:h~mber of Commerct and the Chela Vista Motel to determL~e whether the polity should be revised :o pray/de any add/tio~al gu/del/m~ for proposed V~tors and Convention Promo:io~ fim~g beyond the $2DD,000 m~lu:um The Chula V'~a Chamber of Commerce ~md the Chula Vista Moral AxsoSafion are form/ng a r-~ula V'~.-rm V'~/tor~ and Convem:/on Bm-eau, ~:~d repr~n:a:ives of :hose agent/es amd the City ~i~ be Luvo~ed in fo.-mulafing n proposed Vi~kors mud Convention Promo~om Budge! ~o be considered by C~nvention Promot~om Budget ~ :on:~nue ~o be adm~.is~ered by the City or be for ser~s ~,vbk~ the City h~s previously contracted ~4th the Ch~.~ber of Commer::t. It is also entldp~:~d a s~r~R:m.u: por,%n (probably the majority) of the V'=itors ~.~d Convention F~-omotion Budget be for rpedf, ed serv/~s for whi:h the City ~4D exe:ute zm ~ual one-year concra~ ~:h the C~z--~ber of Commerce, on behalf of the l,~sitor~ ~-nd Conven~on Bureau. The Cha.~ber win provide qu~--=rly re~:~.= to the C/rf ~o be spe:/Bed h~ ~e ~nu~ eon=m=, ~u~ng ~ppropfi~te '-. ~ po~ ~h~ ~ ~et for reMew m~o~ate~y ~e yem~ ~ i~ adoption da~e. ~at ~n~fiom ~vmoSon budge~ ~ relmSomship to ~e ~: of T.O.T. revenue come.ed, : ~de~ f~ su~ re~fions~ps, ~d ~e appr~pHa:~ of ~e ~b~ of ~mmer~ : ~eau. RESOLUTION NO.. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING SECOND AMENDMENT TO THE CONTRACT WITH THE CHULA VISTA CHAMBER OF COMMERCE TO PROVIDE CHULA VISTA CONVENTION AND VISITORS BUREAU PROMOTION SERVICES WHEREAS, pursuant to Council Policy #230-01, as approved 3/21/95, staff has negotiated a contract with the Chula Vista Chamber of Commerce for operation of a Chula Vista Convention and visitors Bureau and the performance of certain designated visitor and convention promotional services; and WHEREAS, the proposed amendment runs through the end of fiscal year 2000-01, at which time a subsequent contract and budget would be brought forward for consideration. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby approve the Second Amendment to the contract with the Chula Vista Chamber of Commerce to provide a Chula Vista Convention and Visitors Bureau Promotion Services, 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 amendment for and on behalf of the City of Chula Vista. Presented by Approved as to form by George Krempl, Deputy City J~ M. Kahen ,~_~y Manager ~torney H:\home~attorney\reso~chamber extension (Convis) Second Amendment to Contract to Provide Chula Vista Convention and Visitors Bureau Promotion Services This Amendment, effective as of July I, 2000, is between the City of Chula Vista, a chartered municipal corporation ("City"); and the Chula Vista Chamber of Commerce ("Chamber"), and is made with reference to the following facts: Whereas, the City and Chamber are party to a contract for convention and visitor bureau promotional services ("Existing CVConVis Contract", on file with the City Clerk as Document #CO97-079); and Whereas, the parties desire to extend the initial term of that contract by one additional year, to be co-terminus with an accompanying contract to provide Visitor and Transit Information Services at the Chula Vista Visitor Information Center and the Chamber of Commerce Main Office, and Whereas, the proposed Chula Vista Convention and Visitors Bureau budget for Fiscal Year 2000-2001is $168,374, which is divided into portion administered by the City and portions to be administered by contract, NOW, THEREFORE, the parties mut~hl!y agree that the Existing CVConVis Contract is hereby amended in the following regards only and extended for a period of one year, and as so amended and extended shall hereinafter be referred to as the "Second Amended Agreement": City and Chamber do hereby agree to amend the Existing CVConVis Contract in the following regards only, with all remaining provisions remaining in full force and effect. Interlineated provisions are to be considered deleted from the agreement and underlined provisions added to the agreement. 4. Duties of the Chamber 4.1 Scope of Work Pursuant to City Council Policy #230-012 as approved 3/21/95, and tc~ ................... , the Chamber agrees to provide the following goods and services, according to the specifications and FY '00-01 annual budget~ as shown below. .......... ^ ..... 1~..~ ..... ........ ~-" ~c _..~-: ...... 4: ........ ~,~_~ ..... ~,~,,o_99 4.1.1 Marketing Staff Budget:,ov,uuv*~c' tmr~ $53.173 Chamber shall hire full-time, pm-time or contractual marketing staff to coordinate an advertising and marketing campaign for the City of Chula Vista Convention and Visitors Bureau. In addition, this staff will oversee Visitor Information Center operations and the sale and display of advertising therein. Incidental Chamber support and liaison by the Marketing staff would be anticipated by this agreement, with such support and liaison being in conjunction with but not detracting from the performance of the primary Marketing Staff responsibilities. 4.1.2 San Diego CONVIS Membership and Advertising Budget $10,000 Chamber shall maintain membership in the San Diego Convention and Visitors Bureau for the City of Chu!a Vista and/or Chula Vista Convention and Visitors Bureau. The remaining portion of this budget amount shall be used for advertising in San Diego CONVIS publications, or. with the approval of the Contract Administrator. may be used only for other advertising costs as described in 4.1.4. 4.1.3 Distribution of Visitor Broc,hzh-c and Nature Center brochure Budget e~ ~,~,~,,,, $1,500 Distribution shall include placement at all major brochure racks in San Diego County, including but not limited to those at airports, cruise ship terminals, bus and train stations, hotels, motels, visitor centers and convention centers. "':"- 4.1.4 Advertising Budget *~'~ ,,.,,~,,,, $26,513 Advertising design, content and placement shall focus on promoting Chula Vista and Chula Vista attractions within the region and maintaining primarily a visitor and/or convention orientation. Target media may include, but are not limited to: regional magazines, recreatic~nia1 vehicle or auto club publications, motel room event and attraction listings, etc. For'any ad placement or series of placements in the same publication for which the total price shall exceed $6,000, said placement shall be subject to review and approval by the Contract Administrator. See also Section 4.5. This item is intended solely for paid advertising; arty funds not expended shall be reimbursed to the City_ within 30 days of the expiration of the term. 4.1.5 Accounting/Bookkeeping Budget $3,400 Daily bookkeeping, cash reporting, payroll accounting, and payment processing for Convention and Visitors Bureau activities. 4.1.6 Travel/Conferences/City Marketing ~ Budget ,~,,,,,,, $2.500 Convention & Visitors Bureau representation of the City in business and tourist outreach 4.1.7 Aflditiona~ Office c~t3 Rent e, Budget ~, ..... $2.400 Shall generally cover c, vcr.,¢a,~ cc,$L$ office space for marketing staff. 4.1.8 Office expenses Budget $3.500 Shall generally include office supplies, phone and postage costs for the operation of the Chula Vista Convention and Visitors Bureau. · 4.1.9 Brochure Design/Printing Budget $10.000 Design and printing of brochures, flyers and/or other publications that focus on promoting Chula Vista and its attractions such as general visitor brochure or folder, calendar of events, dining and lodging guide, attraction coupons and golf course flyer. The Chamber shall exercise its best efforts to have the costs for the design and/or printing of these publications (i.e. dining and lodging guide) fully or partially reimbursed bv the promoted attractions. 5. Duties of the City 5. I Additional Bureau Projects and Services Pursuant to City Council Policy #230-01 as approved 3/21/95, and to the proposed Convention and Visitors Promotion Budget submitted to the City Council at that time, the City agrees to undertake the following projects, goods, services and subsidies, according to the specifications and budgets as shown: 5.1.1. Chamber of Cormmerce Budget $33,000 Visitor Center Subsidy Per Existing Contract 5.1.2 Visitor Center Utilities *' ~ ,,oo Budget ~,~,, Annual water, electricity and other utility costs of approximately $18.000 will be paid by the City and are not included in this budget. Telephone costs are paid by the Chamber per Existing Contract. 5.1.3 Visitor Center Displays/Exhibits Budget *' , ~,,,,~,,,, $2.000 Backlit displays, structural changes, etc. per Design Layout as specified in Existing Contract 5.1.5 Chamber of Commerce Information Services Budget $609-24 $188 50% portion of Base Compensation of Existing Contract not related to staffing (per proposed Second Amendment). Compensation to the Chamber under Existing Contract shall continue to be governed by that document. For FY 99-00 and FY 00-01 Chamber shall reimburse City as per 5.1.9. 5.1.6 Public Information/Design Staff · Budget ~,, ,,,,,,,,, $5.000 For support of Visitor Center operations and improvements, graphic design oversight, c,nd design assistance for displays/exhibits publication and advertisine assistance, and publicity_ for activities and events.. 5.1.8 Contract Administration Budget $1.200 For general contract administration including reviewing financial statements, processing payments. 5.1,9 Repayment to City Budget $6,500 Chamber shall repay the City $13.000 of ConVis earmarked monies previously transferred to non-Con Vis Chamber of Commerce accounts: $13.000 total will be repaid in a two-year period with reimbursements of $6.500 each in Fy 99-00 and FY 00-01. Chamber's repayment obligation hereunder shall survive the termination of this a~eement. 7.2 Use of Payments and Revenues The payments from the City to the Chamber and revenues realized from joint advertising campaigns or other contractual activities shall be used only for providing the goods and services outlined herein or for other purposes as may be approved by the City Council. These monies shall not be transferred on either a temporary or a permanent basis for the purpose of subsidizing Chamber operations or the Visitor Information Center that are not part of the scope of work detailed in Section 4 of this Amendment. Furthermore. these monies shall not be used in support of any political activities for any candidate or issue, nor may they be used to supplant other Chamber funds in any manner that results in such Chamber funds being used .to support any political activities for any candidate or issue. Any political expenditures made in relationship to the Chamber will be considered as Political Action Committee (PAC) funds specifically raised for political purposes. 7.3 Total Compensation The Total Compensation from the City to the Chamber for services under this contract shall be ........$112,986. As discussed under the Duties of the City, the City may also pay to the Chamber up to the amounts listed in Sections 5. I. 1 and 5.1.2 to cover operating deficits from operation of the Visitor Information Center, which service is governed by the Existing Contract. 8. Term 8.1 ...... Term The term of this contract shall be for one year, commencing July I, · ............. ~ June J,~,°* '""".~. July 1, 2000 and ending June 30, 2001. Any additional contracts shall be governed by existing City Council po.li.cy and~or future Council action. IN WITNESS WHEREOF, City and Chamber have executed this Agreement this __ day of ,2000. THE CITY OF CHULA VISTA CHULA VISTA CHAMBER OF COMMERCE Mayor '~P~e[~at~ v / ~ E~fltiv~ Director Approved as to form by City Attomey RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING SIXTH AMENDMENT TO THE CONTRACT WITH THE CHAMBER OF COMMERCE TO PROVIDE VISITOR AND TRA/~SIT INFORMATION SERVICES AT THE CHULA VISTA VISITOR INFORMATION CENTER AMD CHAMBER OF COMMERCE MAIN OFFICE WHEREAS, the existing contract with the Chamber of Commerce for operation of the visitor information center and provision of general, visitor and transit information services expires on June 30, 2000; and WHEREAS, although the contract provides for three, three- year options to extend, it is the recommendation of staff and the Chamber to extend this contract for one additional year; and WHEREAS, the contract amendment being proposed gives the City and Chamber flexibility to exercise options for less than the full three year terms currently provided. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby approve Sixth Amendment to the contract with the Chamber of Commerce to provide Visitor and Transit Information Services at the Chula Vista visitor Information Center and Chamber of Commerce Main office, 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 amendment for and on behalf of the City of Chula Vista. Presented by Approved as to form by H:\home\attorney~reso[cha~foer estension (Convis) Sixth Amendment to Contract to Provide Visitor and Transit Information Services at the Chula Vista Visitor Information Center and the Chamber Main Office This amendment, entered into and effective as of July 1, 2000 is between the City of Chula Vista, a chartered municipal corporation ("City"); and the Chula Vista Chamber of Commerce ("Chamber"), and is made with reference to the following facts: Whereas, the City and the Chamber are party to a contract for general and visitor information services ("Existing Information Contract", on file with the City Clerk as Document #CO94-121) offered from the Chamber of Commerce Main Office and for operation of the Visitor Information Center at the Bayfront/E Street Trolley Station; and Whereas, the parties desire to extend the initial term of that contract by one additional year, to be co-terminus with an accompanying contract for the Chula Vista Convention and Visitors Bureau, NOW, THEREFORE, coincident with the adoption of the contract to Provide Chula Vista Convention and Visitors Bureau Promotion SerVices, the parties mutually agree that the Existing Information Contract, as last amended on June 29, 1999 for the purpose of reference only and effective as of the date last executed by the parties, is hereby amended in the following regards only and extended for a period of one year, and as so amended and extended shall hereinafter be referred to as the "Sixth Amended Agreement": City and Chamber do hereby agree to amend the Existing Information Contract in the following regards only, with all remaining provisions remaining in full force and effect. Interlineated provisions are to be considered deleted from the agreement and underlined provisions added to the agreement. Section 4.8 Use of Payments and Revenues The payments from the City to the Chamber and revenues realized from operation of the Center shall be used only for providing the information services outlined herein or for other purposes as may be approved by the City Council. These monies shall not be transferred on either a temporary, or a permanent basis for the purpose of funding Chamber operations that are not directly involved with the operation of the Center. Furthermore, these monies shall not be used in support of any political activities for any candidate or issue, nor may they be used to supplant other Chamber Funds in any manner that results in activities for any candidate or issue. Any political expenditure made in relationship to the Chamber will be considered Political Action Committee (PAC) funds specifically raised for political purposes. Section 5.2.2.1 Base Compensation Effective FY 00-01 and thereafter, for any quarter in which the Applicable Operating expenses exceed the Gross Sales, the City shall pay to the Chamber one hundred percent (100%) of any annual operating loss, up to a maximum amount of $!2,990 $33,000 per fiscal year. Visitor Center - Sixth Amended Agreement Page 2 1N WITNESS WHEREOF, City and Chamber have executed this Agreemem this day ,2000. THE CITY OF CHULA VISTA CHULA VISTA CHAMBER OF COIVlNIERCE Mayor ~' - Approved as to form by City Attorney RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE FY '00-01 BUDGET FOR THE CHULA VISTA CONVENTION & VISITOR BUREAU AND VISITORS INFORMATION CENTER WHEREAS, as a result of the strong economy and increased tourism throughout California, TOT income has increased during the past year; and WHEREAS, this increases the total budget proposed for Chula Vista Convention & Visitor Bureau activities, Visitor Center subsidy and other expenses from $146,958 in FY '98-99 and $166,861 in FY '99-00, to $168,374 in FY ~00-01. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby approve the FY '00-01 budget for the Chula Vista Convention &. Visitor Bureau and visitors Information Center for a total amount of $168,374 with $112,986 to be administered by the Chamber via contract and $55,388 to be administered by the City. Presented by Approved as to form by George Krempl, Deputy City ~I~/~n M. Kaheny, ~ Manager ~t torney H:\home~attorney\r~so~charcber extension (Convis)