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HomeMy WebLinkAbout2009/08/04 Agenda Packet I declare under penally 01 ~erj'J;Y that I am , r I employed by the City of Chula Vista in the ~ ' I~ e of the City Clerk and that I posted thlS~:o::rJ ent on the bulletin board according to _-. __ ~:- 'If' ~ - ~ ------ trequirements. ~. ~~..;::~ ,d,lIO ' (J " I/~ SIGNEe ., ! Cheryl Cox, Mayor Rudy Ramirez, Councilmember James D. Sandoval, City Manager John McCann, Council member Bart Miesfeld, City Attorney Pamela Bensoussan, Councilmember Donna Norris, City Clerk Steve Castaneda, Councilmember , ,.,', REGULAR MEETING OF THE CITY COUNCIL AND REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA AGENDA August 4, 2009 4:00 P.M. Council Chambers City Hall- Building 100 276 Fourth Avenue CALL TO ORDER ROLL CALL: CouncilJAgency Members: Bensoussan, Castaneda, McCann, Ramirez, and Mayor/Chair Cox PLEDGE OF ALLEGIANCE TO THE FLAG AND MOMENT OF SILENCE SPECIAL ORDERS OF THE DAY . INTRODUCTION BY DONNA NORRIS, CITY CLERK, OF EMPLOYEE OF THE MONTH TERI RODRIGUEZ, SENIOR OFFICE SPECIALIST . OATH OF OFFICE: Mauricio Lopez, Youth Action Council . PRESENTATION OF A PROCLAMATION TO HONOR VIRGIL W. WHITEHEAD AS CHULA VISTA'S 2009 VETERAJ"l OF THE YEAR . PRESENTATION BY LIEUTENANT LON TURNER, OF A PROCLAMATION PROCLAIMING AUGUST 4TH AS NATIONAL NIGHT OUT IN THE CITY OF CHULA VISTA CONSENT CALENDAR . (Items 1-6: Council, Item 7: Redevelopment Agency) The Council/Agency will enact the Consent Calendar staff recommendations by one motion, without discussion, unless a Council/Agency ~lvfember, a member of the public, or staff requests that an item be removed for discussion. If you wish to speak on one of these items, please fill out a "Request to Speak" form (available in the lobby) and submit it to the City Clerk prior to the meeting. Items pulled from the Consent Calendar will be discussed immediately following the Consent Calendar. 1. APPROVAL OF MINUTES of April 7, 2009. Staff recommendation: Council approve the minutes. 2. WRITTEN COMMUNICATIONS Request from Deputy Mayor McCann for an excused absence from the meeting of July 14,2009. Recommendation: Council excuse the absence. 3. ORDINA.N"CE OF THE CITY OF CHULA VISTA AMENDING CHAPTER 20.04 OF THE CHULA VISTA MUNICIPAL CODE BY REVISING SECTIONS 20.04.010, 20.04.025 AND 20.04.030, AND ADDING SECTION 20.04.040 (SECOND READING AND ADOPTION) Adoption of the ordinance establishes the policy framework for the City's new solar pre- wiring and pre-plumbing requirements in Chula Vista Municipal Code's "Energy Conservation" section (Chapter 20) and align the policy with the technical requirements previously adopted by City Council in January 2009. The proposed code revisions also provide clarification to the Chapter's purpose and terminology. This ordinance was introduced on July 21, 2009. (Director of Conservation & Environmental Services) Staff recommendation: Council adopt the ordinance. 4. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE FIRST AMENDMENTS TO THE DEVELOPMENT IMPACT FEE PAYMENT PLAN PROGRA1\1 AGREEMENTS ("AMENDMENTS") WITH OTAY RANCH VILLAGE II-PC-l3, LLC, FOR THE VILLAS DE AVILA MODEL UNITS AND THE CASITAS DE AVILA MODEL UNITS, AUTHORIZING THE CITY MANAGER TO EXECUTE THE AMENDMENTS ON BEHALF OF THE CITY, AND DIRECTING THE CITY CLERK TO RECORD THE AMENDMENTS WITH THE COUNTY RECORDER OF THE COUNTY OF SAN DIEGO On February 6, 2009, Ordinance 3120 became effective. The ordinance established the Development Impact Fee Program, which allows the development corrimunity to enter into an agreement to defer the payment of development impact fees. On May 12,2009, by Resolution 2009-105, the Council.approved two Development Impact Fee (DIF) Payment Plan Agreements with Otay Ranch Village II-PC-l3, LLC. After approval, adjustments in DIF credits and land use were not accounted for in the original calculation of fees. A recalculation of DIF fees to be deferred and amendments to the original agreements are required. (Deputy City Manager/Development Services Director) Staff recommendation: Council adopt the resolution. Page 2 - Jt. CCfRDA Agenda httD:/ /www.c hulavisraca. Q~V August 4, 2009 5. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING A TWO-PARTY AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND RECON ENVIRONMENTAL, INC. TO SERVE AS THE OTA Y RAc"\TCH PRESERVE STEW ARDIBIOLOGIST, AND AUTHORIZING THE CITY MANAGER TO EXECUTE THE AGREEMENT AND UP TO FOUR I-YEAR EXTENSIONS TO THE AGREEMENT On May 6, 2009, a Request for Qualifications was distributed to qualified biological consultants in order to solicit candidates interested in serving as the Otay Ranch Preserve StewardlBiologist. Upon completing a competitive bidding process, the City selected RECON Environmental Inc. (RECON) to serve as the Preserve StewardlBiologist to manage and monitor the biological resources within the Otay Ranch Preserve in accordance with the Otay Ranch Resource Management Plan. Staff has prepared a two- party agreement with RECON for this service for Council consideration. (Deputy City Manager/Development Services Director) Staff recommendation: Council adopt the resolution. 6. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AUTHORIZING THE CITY MANAGER TO APPLY FOR STATE OF CALIFORNIA HOMELESS PREVENTION AND RAPID RE-HOUSING PROGRAM (HPRP) FUNDS AND EXECUTE ANY DOCUMENTS NECESSARY TO OBTAIN THE GRANT FUNDS The City of Chula Vista has the opportunity to apply for additional homeless prevention funds through the State of California in a collaborative partnership with South Bay Community Services and the Chula Vista Elementary School District. (Deputy City Manager/Development Services Director) Staff recommendation: Council adopt the resolution. Redevelopment Agency Item: 7. RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA AUTHORIZING THE EXECUTIVE DIRECTOR TO EXECUTE AMENDMENTS TO A LOA..N' AGREEMENT AND A..N' AGREEMENT CONTAINING COVENANTS BY AND BETWEEN THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA, At"\TD PARK VILLAGE APARTMENTS, L.P. FOR PARK VILLAGE AFFORDABLE APARTMENTS In 1994, the Redevelopment Agency of the City of Chula Vista ("Agency") provided a $350,000 loan from its Low and Moderate Income Housing Set Aside fund to assist in the development of 28 very low and low-income units at Park Village Apartments developed by Park Village Apartments, L.P. Civic Center Barrio Housing Corporation ("CCBHC"), as the managing general partner, has requested an amendment of their existing loan to allow for more flexible loan terms. Staff is requesting the Agency's consideration of an amendment to the loan to lower the interest rate, extend the loan period, and extend the period of affordability. (Deputy City Manager/Development Services Director) Staff recommendation: Redevelopment Agency adopt the resolution. Page 3 - Jt. CC/RDA Agenda ntto:/ /www.chu13vlstaca.!loy August 4, 2009 ITEMS REMOVED FROM THE CONSENT CALENDAR PUBLIc COMMENTS Persons speaking during Public Comments may address the Council/Agency on any subject matter within the Council 's/Agency's jurisdiction that is not listed as an item on the agenda. State law generally prohibits the Council/Agency from discussing or taking action on any issue not included on the agenda, but, if appropriate, the Council/Agency may schedule the topic for future discussion or refer the matter to staff Comments are limited to three minutes. PUBLIC HEARINGS The following item(s) have been advertised as public hearing(s) 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. 8. CONSIDERATION OF THE PROPOSED ASSESSMENT OF CERTAIN DELINQUENT SEWER SERVICE CHARGES AS RECORDED LIENS UPON THE RESPECTIVE OWNER OCCUPIED PARCELS OF LAND AND PLACEMENT OF DELINQUENT CHARGES ON THE NEXT REGULAR TAX BILL FOR COLLECTION The Chula Vista Municipal Code Section 13.14.150 allows delinquent sewer service charges to be assessed as recorded liens upon the affected properties and ultimately placed on the property tax bills for collection. (Director of Finance) Staff recommendation: Council conduct the public hearing, consider all testimony, and adopt the following resolution: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ASSESSING CERTAIN DELINQUENT SEWER SERVICE CHARGES AS RECORDED LIENS UPON THE RESPECTIVE OWNER OCCUPIED PARCELS OF LAND AND APPROVING PLACEMENT OF DELINQUENT CHARGES ON THE NEXT REGULAR TAX BILL 9. CONSIDERATION OF THE PROPOSED ASSESSMENT OF CERTAIN DELINQUENT SOLID WASTE SERVICE CHARGES AS RECORDED LIENS UPON THE RESPECTIVE PARCELS OF LAND AND PLACEMENT OF DELINQUENT CHARGES ON THE NEXT REGULAR TAX BILL FOR COLLECTION The Chula Vista Municipal Code Section 8.24 allows delinquent solid waste service charges to be assessed as recorded liens upon the affected properties and ultimately placed on the property tax bills for collection. (Director of Finance) Staff recommendation: Council conduct the public hearing, consider all testimony, and adopt the following resolution: Page 4 - It. CC/RDA Agenda hno:/ /www.chula vlstaca. ~ov August 4, 2009 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA' ASSESSING CERTAIN DELINQUENT SOLID WASTE SERVICE CHARGES AS RECORDED LIENS UPON THE RESPECTIVE PARCELS OF LAND AJID APPROVING THE PLACEMENT OF DELINQUENT CHARGES ON THE NEXT REGULAR TAX BILL 10. CONSIDERATION OF APPROVAL OF A THREE-PARTY AGREEMENT WITH RECON (CONSULT At"lT) AJID OT A Y LAND COMPANY, LLC (APPLICANT) The applicant has filed General Plan amendment and General Development Plan amendment applications for the University and Southern Otay Ranch Villages Project. The Environmental Review Coordinator has determined that the proposed project requires the preparation of an Environmental Impact Report (EIR). The item before the City Council is a request for the City Council to approve the proposed contract with RECON for an amount not to exceed $388,400 to provide consultant services for the preparation of the CEQA required environmental documents for the proposed project and an additional $97,100 for additional services should they be necessary. (Deputy City ManagerlDevelopment Services Director) Staff recommendation: Council conduct the public hearing and adopt the following resolution: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA WAIVING THE FORMAL BIDDING PROCESS AND APPROVING A THREE-PARTY AGREEMENT BETWEEN THE CITY OF CHULA VISTA, RECON (CONSULTANT), AND OTAY LAND COMPANY LLC (APPLICANT), FOR CONSULTING SERVICES RELATED TO THE PREPARATION OF AN ENVIRONMENTAL IMPACT REPORT (EIR) FOR THE UNIVERSITY VILLAGES GENERAL PLAN AMENDMENT, AND OTA Y RANCH GENERAL DEVELOPMENT PLAN AMENDMENT, AND AUTHORlZING THE MAYOR TO EXECUTE SAID AGREEMENT' 11. CONSIDERATION OF WAIVING IRREGULARITIES IN THE BID RECEIVED FOR THE "PAVEMENT REHABILITATION PROGRAM (OVERLAY) FISCAL YEAR 2007/2008 (STL335B)" PROJECT PER CITY CHARTER SECTION 1009 On July 20, 2009, the Director of Public Works received sealed bids for the "Pavement Rehabilitation Program (Overlay) FY 07/08 (STL335B)" project. The work consists of the removal and replacement of failed asphalt concrete pavement (dig-outs), AC pavement overlay, and sidewalk improvement upgrade on various street locations in the City of Chula Vista. Work on this project also includes cold milling, crack sealing, replacement of traffic signal loop detectors, traffic control, striping and marking, and other miscellaneous items bf work necessary for the project. The proposed action would award the contract to Southland Paving Inc., and authorize the Director of PublicW orks to expend all available funds to complete the pavement maintenance work. Staff recommendation: Council conduct the public hearing and adopt the following resolution: Page 5 - Jt. CC/RDA Agenda htto ://www.chulavistaca.QQv August 4, 2009 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA WAIVING IRREGULARITIES, ACCEPTING BIDS AND A WARDING CONTRACT FOR THE "PAVEMENT REHABILITATION PROGRAM (OVERLAY) FISCAL YEAR 2007/2008 (STL335B)" PROJECT TO SOUTHLAND PAVING, INCORPORATED IN THE AMOUNT OF $1,812,152.86 AND AUTHORlZING THE EXPENDITURE OF ALL AVAILABLE FUNDS IN THE PROJECT OTHER BUSINESS 12. CITY MANAGERlEXECUTIVE DIRECTOR'S REPORTS 13. MAYOR/CHAIR'S REPORTS A. Update from Port Commissioner William Hall. B. Council discussion of Council Aide position/s for John McCann during his prolonged absence from the City Council. C. Council consideration of Regional Committee Assignments that can be assumed by Mr. McCann's colleagues during his prolonged absence from the City Council. D. Council consideration of Deputy Mayor appointment through December 2009. 14. COUNCIL/AGENCY MEMBERS' COMMENTS A. Councilmember Castaneda: Consideration of adoption of a resolution supporting the SDG&E emergency shut off plan. B. Councilmember Ramirez: Consideration of sending letters to the San Diego Unified Port District, California Independent Systems Operator (CAISO), and California Regional Water Quality Control Board, to convey the Council's unified position regarding the removal of the South Pay power plant. C. Councilmember Bensoussan: Energy Subcommittee report and recommendations Consideration of interim councilmember appointment policy Page 6 - 1t. CC/RDA Agenda htto ://www.chuI3vistaca.!rov August 4,2009 CLOSED SESSION Announcements of actions taken in Closed Session shall be made available by noon on Wednesday following the Council Meeting at the City Attorney's office in accordance with the Ralph M Brown Act (Government Code 54957, 7f 15, CONFERENCE WITH LEGAL COUNSEL REGARDING SIGNIFICANT EXPOSURE TO LITIGATION PURSUAt'\!T TO GOVERNMENT CODE SECTION 54956,9(b) . Three Cases 16, CONFERENCE WITH REAL PROPERTY NEGOTIATORS PURSUANT TO GOVERNMENT CODE SECTION 54956,8 Property: APN 644-090-04-00 City Negotiators: Scott Tulloch,. Michael Meacham Negotiating Parties: City of Chula Vista, Apex Power Group, LLC, and J-Power Development Co" Ltd, Under Negotiation: Price and terms, ADJOURNMENT Council: to an Adjourned Regular Meeting on August 6, 2009 at 4:00 P,ill" immediately following the Joint RDAlCVRC workshop, and thence to the Regular Meeting of August 11,2009 at 4:00 P,M, in the Council Chambers, Redevelopment Agency: to a Workshop on August 6, 2009 at 4:00 p,m" and thence to its next Regular Meeting, Materials provided to the City Council/Redevelopment Agency related to any open-session item on this agenda are available for public review at the City Clerk's Office, located in City Hall at 276 Fourth Avenue, Building 100, during normal business hours. In compliance with the AMERICANS WITH DISABILITIES ACT The City ofChula Vista requests individuals who require special accommodations to access, attend, and/or participate in a City meeting, activity, or service, contact the City Clerk's Office at (619) 691-5041 at least forty-eight hours in advance of the meeting. Page 7 - Jt. CCIRDA Agenda httn:/ /www.chulav]staca.gov August 4, 2009 DRAFT MINUTES OF A REGULAR MEETING OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA April 7, 2009 4:00 P.M. A Regular Meeting of the City Council of the City of Chula Vista was called to order at 4:05 p.m. in the Council Chambers, located in City Hall, 276 Fourth Avenue, Chula Vista, California. ROLL CALL: PRESENT: Councilmembers Bensoussan, Castaneda, McCann, and Mayor Cox ABSENT: Councilmember Ramirez (excused) ALSO PRESENT: City Manager Sandoval, Deputy City Attorney Shirey, City Clerk Norris, and Deputy City Clerk Bennett PLEDGE OF ALLEGIANCE TO THE FLAG AND MOMENT OF SILENCE SPECIAL ORDERS OF THEDA Y INTRODUCTION BY POLICE CHIEF EMERSON OF EMPLOYEE OF THE MONTH, CHRISTINA TAFOYA, EVIDENCE CONTROL ASSISTANT Captain Wesdge introduced employee of the month, Christina Tafoya. Mayor Cox read the proclamation and Deputy Mayor McCann presented it to Christina. PRESENTATION BY POLICE CHIEF EMERSON OF RECENT PROMOTIONS: LIEUTENANT PHIL COLLUM, LIEUTENANT VERN SALLEE, SERGEANT HENRY MARTIN AND SERGEANT CHRISTINE PENWELL Police Chief Emerson introduced and recognized the recently promoted officers. PRESENTATION BY MAYOR COX OF A PROCLAMATION TO TONYA TOROSIAN, EXECUTIVE DIRECTOR OF THE COUNTY OF SAN DIEGO CHILDREN, YOUTH AND FAMILIES COMMISSION, PROCLAIMING APRIL AS "CHILD ABUSE PREVENTION MONTH" Mayor Cox read the proclamation and Councilmember Bensoussan presented it to Ms. Torosian. Mayor Cox then recognized Graphic Designer Ryan Bethke who was present at the meeting, and she expressed gratitude for his service to the City, since he would be leaving due to budget- related layoffs. Page 1 - Council Minutes April 7, 2009 1-1 DRAFT CONSENT CALENDAR (Items 1-7) Councilmember Castaneda stated he would be abstaining from voting on Item 4. The item was removed from the Consent Calendar and voted upon separately. 1. AFPROV AL OF MINUTES of December 9,2008. Staff recommendation: Council approve the minutes. 2. WRITTEN COMMUNICATIONS Letter of Resignation from Brett Davis, member of the Resource Conservation Commission. Staff recommendation: Council accept the resignations and direct the City Clerk to post the vacancies in accordance with Maddy Act requirements. 3. RESOLUTION NO. 2009-071, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA TRANSFERRING UNCLAIMED MONIES IN THE AMOUNT OF $98,372 FROM THE CASH BOND DEPOSIT FUND TO THE GENERAL FUND The City currently has unclaimed monies in the Cash Bond Deposit Fund. The money was deposited by the Police Department in accordance with Government Code Article 3, Section 50050 provisions, which state that money that remains unclaimed for three years may become the property of the City after certain advertising requirements are met. Adoption of the resolution transfers $98,372 which is now eligible for transfer, to the General Fund. (Police Chief) Staff recommendation: CounCil adopt the resolution. 4 . Item 4 was removed from the Consent Calendar. 5A RESOLUTION NO. 2009-074, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA DECLARING A PORTION OF THE SOUTH SIDE OF BONITA ROAD LYING ADJACENT TO THE PROPERTIES LOCATED AT 36, 42, 50 AND 58 BONITA ROAD EXCESS RIGHT OF WAY, ORDERING THE SUMMARY VACATION OF SUCH PORTION, AND DIRECTING THE CITY CLERK TO RECORD ALL DOCUMENTS REQUIRED WITH THE COUNTY RECORDER B. RESOLUTION NO. 2009-075, RESOLUTION OF THE. CITY COlJNCIL OF THE CITY OF CHULA VISTA DECLARING A PORTION OF CITY-OWNED BONITA ROAD LYING ADJACENT TO THE PROPERTY LOCATED AT 50 BONITA ROAD (APN 570-130-32) AS EXEMPT SURPLUS LAND Page 2 - Council Minutes April 7, 2009 1-2 DRAFT CONSENT CALENDAR (Continued)" C. RESOLUTION NO. 2009-076, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING THE OFFER TO PURCHASE THE EXCESS PORTION OF CITY-OWNED BONITA ROAD ADJACENT TO THE PROPERTY LOCATED AT 50 BONiTA ROAD (APN 570-130-32) TO THE OWNER OF THE PROPERTY AT 50 BONITA ROAD AND AUTHORIZING THE EXECUTION OF ALL NECESSARY DOCUMENTS TO COMPLETE THE TRANSACTION The owner of property located at 50 Bonita Road has requested to purchase an unused, excess portion of City-owned Bonita Road lying between her property and the traveled roadway. This area was left unneeded after the construction of the E Street Extension in 1963. In order to sell this land, Council is required to vacate the existing public access rights and declare the vacated portion as exempt surplus land. (Public Works Director) Staff recommendation: Council adopt the resolutions. 6. RESOLUTION NO. 2009-077, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING A CHANGE ORDER FOR BROOKFIELD SHEA OTAY, LLC FOR THE GRADING OF EASTLAKE PARKWAY PHASE 3 AND HUNTE P ARKW A Y PHASE 3 Brookfield Shea Otay, LLC has constructed' Eastlake Parkway Phase 3 and Hunte Parkway Phase 3 in conjuriction with the development of Otay Ranch Village II (Winding Walk). These roadways are within the Transportation Development Impact Fee (TDIF) program, and therefore, eligible construction costs are credited against the payment of TDIF fees for the development. The Phase 3 segments of the two roadways were constructed using the same unit prices as the Phase 2 segments and are therefore considered a construction change order. Change orders above $50,000 are subject to Council approval. (Deputy City Manager/Development Services Director) Staff recommendation: Council adopt the resolution. . 7. ORDINANCE OF THE CITY OF CHULA VISTA AMENDING TITLE 17, SECTION 17.10.100 OF THE MUNICIPAL CODE TO FACILITATE THE DEFERRAL OF IN- LIEU PARK FEES On.December 16, 2008, City Council approved the creation of a payment plan program for development processing and impact fees due to the current economic downturn. This action would allow developers to also defer Park Acquisition and Development fees to a time later than the approval and recordation of the parcel or fmal map, or for development that does not require a parcel or final map, later than permit issuance. The purpose of the fee deferral program is for the purpose of stimulating economic development within the Ciry of Chula Vista. Both fee deferral programs will expire on December 31, 2010 and in no way relieve developers for fee obligations. (Deputy City Manager/Development Services Director) Staff recommendation: Council hold first reading of the ordinance. Page 3 - Council Minutes April 7, 2009 1-3 DRAFT CONSENT CALENDAR (Continued) ACTION: Councilmember Castaneda moved to approve staffs recommendations and offered Consent Calendar Items 1-3,5 and 6, headings read, text waived. Deputy Mayor McCann seconded the motion and it carried 4-0. ITEMS REMOVED FROM THE CONSENT CALENDAR 4 A. RESOLUTION NO. 2009-072, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING $444,000 FROM THE STATE OF CALIFORNIA E-911 REPLACEMENT FUND FOR POLICE COMMUNICATIONS CENTERTECHNOLOGYI~ROVEMENTS B. RESOLUTION NO. 2009-073, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA PARTICIPATING IN THE STATE OF CALIFORNIA'S MASTER PURCHASE AGREEMENT #5-06-58-(11-19) TO PURCHASE POLICE COMMUNICATIONS RELATED EQUIPMENT AND SOFTWARE The State of California has a program to fund replacement of equipment for public safety dispatch centers. Every five years, the City of Chula Vista is eligible to replace dispatch equipment via State funds. The last upgrade to the City ofChula Vista's Police Dispatch Center equipment was in 2004. (Police Chief) Staff recommendation: Council adopt the resolution. ACTION: Deputy Mayor McCann moved to approve staffs recommendation and offered Resolution Nos. 2009-072 and 2009-073, headings read, text waived. Councilmember Bensoussan seconded the motion and it carried 3-0-1, with Councilmember Castaneda abstaining. PUBLIC COMMENTS Juan Carlos Linores, Chula Vista resident, asked for staff s assistance on ways to lower his sewer bill. Mayor Cox referred the matter to staff. At 4:27 p.m., Mayor Cox postponed further public comments in order to address Item 9A, which was scheduled to be heard at 4:30 p.m., time certain. 9A. MAYOR'S REPORTS 4:30 p.m. Time Certain COMMITTEE CHAIRS FROM THE MAYOR'S TASK FORCE FOR CREATING A SUSTAINABLE CHULA VISTA NATURE CENTER WILL PRESENT THEIR PRELIMINARY REPORT Mayor Cox presented the preliminary report from the Mayor's Task Force formed to create a sustainability plan for the Chula Vista Nature Center. She provided an overview and history of the Nature Center and potential restructuring solutions. Page 4 - Council Minutes 1-4 April 7, 2009 DRAFT 9A. MA YOR'S REPORTS (Continued) Mayor Cox introduced Dr. Brian Joseph, who provided information on successful transitions from City to non-profit by other organizations. He stated that the task force had researched models for successful transitions, including the review of agreements and bylaws. The task force also reviewed the Nature Center's achievements that would aide a potential transition, concerns about a transition to a non-profif organization, marketing needs, and staffing. RecreationlNature Center Director Martin provided information related to staffmg and revenue opportunities. Renee Herrell, representing RCH Consulting, provided recommendations for timdraising. Economic Development Manager Stone presented a marketing plan for the organization, and talked about a market-based set of strategies and tactics. Dan Biggs provided information about the recommended process of transitioning to a non-profit operation, including financial structure, reduced hours of operation, and an organizational reconfiguration. Mayor Cox provided the Task Force's preliminary recommendations. The following members of the public spoke in favor of the preliminary report and proposed . recommendations: Lura B. Cox, Chula Vista resident. JoAnn Fields, Chula Vista resident, representing Filipino-American caucus of San Diego County. Ms. Fields also requested consideration of potential impacts of the proposed reduced hours on school children visiting the Nature Center. The following members of the public did not wish to speak, but submitted cards in support of the Preliminary Report and recommendations: Judy Cave, Chula Vista resident Barbara Main, Bonita resident Susan Fuller, Imperial Beach resident Ken Weimer, Chula Vista resident Zaneta Encarnacion Kamry Fields, Chula Vista resident Aline King, Lemon Grove resident Danny Sedivec, Chula Vista resident Forrest Smith, Chula Vista resident Jodie Medrano, Chula Vista resident Manami, La Mesa resident Jessica Rodriguez; Imperial Beach resident Deputy Mayor McCann spoke in favor of performance-based fundraising efforts for the Nature Center. He suggested that the City's name be incorporated in to any potential re-branding of the Nature Center's name. He stated that the crucial period for the Nature Center was now through the next six months, during its transition, and stated there was a need to monitor cash flow. Page 5 - Council Minutes April 7, 2009 1-5 DRAFT 9A. MA YOR'S REPORTS (Continued) Councilmember Bensoussan spoke in favor of an increase in admission fees for the Nature Center, and she pointed out that even with an increase, the admission fee would still the lowest in the region, compared with similar entities. She spoke in opposition to reducing operating hours. She also stated that it was a priority to increase the Nature Center operating budget for marketing purposes, which would also benefit .local businesses by attracting visitors to shop and dine in Chula Vista. She also requested that eco-tourism be added to the list of marketing targets. Councilmember Castaneda cautioned against an increase in admission fees to the Nature Center, so as not to price out Chula Vista residents, and he suggested offering a reduced admission fee for residents. ACTION: Mayor Cox moved to accept the report and refer to staff to bring the item back before the City Council in three to four weeks. Councilmember Bensoussan seconded the motion and it carried 4-0. . PUBLIC COMMENTS At 5:40 p.m., Mayor Cox resumed Public Comments, and the following members of the public were heard: Carlos Lopez, Chula Vista resident, representing Communities Taking Action, spoke m opposition to the proposed MMC peaker power plant. Theresa Acerro, Chula Vista resident, representing the Southwest Chula Vista Civic Association, spoke in opposition to the proposed MMC peaker power plant, and to a letter to the CEC (California Energy Commission) from the City. OTHER BUSINESS 8. CITY MANAGER'S REPORTS City Manager Sandoval reported that the Port had taken action on the City's draft Environmental Impact Report and Land Swap, and that City staff would be meeting with the Port staff in an effort to move forward. He announced the impending retirement of Police Chief Emerson, stating that Chief Emerson would continue serving as Police Chief until his replacement was recruited. He thanked Chief Emerson for his leadership and service to the City. He announced the City's recent receipt of the "Life Level Four 2008 Difference Maker" award by the San Diego Blood Bank for exceeding its annual goal of 125 pints of blood, with a total of 148 pints received. 9. MAYOR'S REPORTS A. This item was taken out of order and addressed at time certain 4:30 p.m. B. RATIFiCATION OF THE APPOINTMENT OF MARY MCDERMOTT TO THE CULTURAL ARTS COMMISSION Page 6 ~ Council Minutes. April 7, 2009 1-6 DRAFT 9. MAYOR'S REPORTS(Continued) C. RATIFICATION OF THE APPOINTMENT OF JAMES DOUD - TO GROWTH MANAGEMENT. OVERSIGHT COMMISSION AS SOUTHWEST REPRESENTATIVE THE THE D. RATIFICATION OF THE APPOINTMENT OF ARMIDA TORRES TO THE GROWTH MANAGEMENT OVERSIGHT COMMISSION AS THE BUSINESS REPRESENTATIVE ACTION: Mayor Cox moved to ratifY the appointment of Mary McDermott, James Doud, and Armida Torres to their respective commissions. Deputy Mayor McCann seconded the motion and it carried 4-0. Mayor Cox announced receipt of a letter from Mothers Against Drunk Driving (MAD D) California, congratulating the Chula Vista Police Departinent on receiving the Law Enforcement Agency of the Year Award, to be presented on April 18,2009. She announced that a report on the Destination Lindbergh plan would be presented to the Council at an upcoming meeting. 10. COUNCILMEMBERS' COMMENTS Deputy Mayor McCann requested staff to docket for a Council meeting in May, an invitation to local water agencies to give a report on the current water situation and recommendations for community efforts on how to conserve water. He also requested staff to docket on an upcoming agenda, the current fiscal year budget deficit and achieving a balanced budget prior to the fiscal year end. He thanked Chief Emerson for his service to the City and looked forward to the process for recruitment of a new Police Chief. Councilmember Castaneda congratulated Chula Vista Police Officers Leo Banales and Alicia Chudy, who were recognized at the recent San Diego MADD Annual Recognition banquet. Officer Banales was recognized as the Chula Vista Police Department DUI Officer of the Year, and Officer Chudy was awarded the Officer Christopher D. Lydon Memorial Award, presented to only one officer per year in San Diego COUllty, for her work in combating DUI. He also recognized and congratulated Sgt. Kenny Heinz, who was awarded the 2009 Spirit of Courage by the San Diego Burn Institute for his selfless rescue of a young woman trapped in a burning car. He thanked and congratulated these officers as well as all City employees who did their best each day for the City. Councilmember Bensoussan announced the recent groundbreaking event at Chula Vista High School for school renovations financed by the sale of bonds approved in November 2006 through Proposition "0". She announced the upcoming Western Revitalization Subcommittee Meeting on April 14, 2009 at 5:00 p.m., at the Maria Candelaria Restaurant, 323 Third Avenue, to discuss the topic of Community Gardens in Western Chula Vista. She also announced all upcoming presentation at the Chula Vista Public Library Auditorium on April 22, 2009 from 5:30 p.m. to 7:00 p.m:, on the potential impacts of Climate Change on Chula Vista. Mayor Cox recessed the meeting to convene in Closed Session at 6:00 p.m. Page 7 - Council Minutes April 7, 2009 1-7 DRAFT CLOSED SESSION 11. PUBLIC EMPLOYEE APPOINTMENT PURSUANT TO GOVERNMENT CODE SECTION 54957 Title: Human Resources Director ACTION: Deputy Mayor McCann moved to appoint Kelley Bacon as the Human Resources Director. Councilmember Castaneda seconded the motion and it carried 4-0. ADJOURNMENT At 6:10 p.m., Mayor COx adjourned the meeting to the Regular Meeting of April 21, 2009 at 6:00 p.m. in the Council Chambers. (The meeting of April 14, 2009 was cancelled). ~ Lorraine Bennett, CMC, Deputy City Clerk , c::---"-: Page 8 - Council Minutes 1-8 April 7, 2009 MEMO ~\f? ~- ~-.....-.::~ ~~~~ CITY OF (HUlA VISTA Office of the City Clerk DATE: July 28, 2009 FROM: Honorable Mayor and Councilmembers Donna Norris, City Clerk /M TO: SUBJECT: Deputy Mayor McCann's absence 1 received a phone call from Deputy Mayor McCann today asking me to submit, for the Council's approval, his request for an excused absence from the July 14,2009 City Council meeting. He stated that on that day, he was training and preparing for his military deployment to Iraq. ~ 276 Fourth Avenue, Chula Vista, CA 91910 www.chulavistaca.gov (619) 691-5041 fax (619) 585.5774 'R'\\O~ t>-~O ORDINA.l"lCE NO. G t>-~~ ~\'<;\: AN ORDINANCE OF THE CITY,~l>tHULA VISTA AIvfENuING CH..A.PTER 20.at~THE CHULA VISTA ivlUNICIPAL CODE BY REvrSING SECTIONS 20.04.010, 2004.025, AND 20.04.030 ANt) ADDING SECTION 20.04.040 The City Council of the City of Chula Vista does ordain as foliows: SECTION 1. That Chapter 20.04 of the Chula Vista Municipal Code is hereby amended to read as follows: Title 20 ENERGY CONSERVATION Chapters: 20.04 Energy Conservation Regulations 20.08 Municipal Solar Utility Chapter 20.04 ENERGY CONSERVATION REGULATIONS Sections: 20.04.010 Intent and purpose of provisions. 20.04.020 Conflict with other provisions. 20.04.025 Definitions. 20.04.030 Solar water heater preplumbing. 20.04.040 Solar photovoltaic pre-wiring. 20.04.050 Business energy assessments. CROSS REFERENCE: Business Licenses Generally, see Ch. 5.02 CVMC. Electrical Code and Regulations, see Ch. 15.24 CVMC. Plumbing Code, see Ch. 15.28 CVMe. 20.04.010 Intent and purpose of provisions. The conservation of energy and natural resources including water, air quality and open space has been determined to be a legitimate and worthy function of the City. The provisions of this chapter are intended to decrease dependence upon fossil fuels and other nonrenewable energy sources that contribute to the City's greenhouse gas emissions by encouraging and, in some instances, requiring best management practices including the installation of devices, structures or materials for the efficient generation, distribution and use of energy and water on certain structures within the City. (Ord. 311991,2008; Ord. 1973 91,1982). 3-1 20.04.020 Conflict with other provisions. Portions of this chapter which are in conflict with other sections of the municipal code are intended to be exceptions to those sections and shall take precedence over such sections. (Ord. 3119 S 1. 2008; Ord. 1973 S 1, 1982). 20.04.025 Definitions. The following words and phrases, when used In this .chapter, shall be construed as defined in this section: A. "Assessment" means a written evaluation of a facility's energy and water use from building systems, appliances and office equipment. B. "Energy and water conservation" means reduction of energy and water use achieved by relying on changes to behavior. C. "Energy and water efficiency' means activities or programs that reduce energy and water use by upgrading to more efficient equipment or controls. D. "Greenhouse gas emission" means the direct or indirect emission of one or more of the gases identified by the Intergovernmental Panel on Climate Change and/or the State of California. E. "Nonrenewable" means an energy resource such as, but not limited to, fossil fuels that is not replaced or is replaced only very slowly by natural processes. F. "Renewable" means an energy resource such as, but not limited to, wind and solar that is replaced by natural resources. G. "Solar photovoltaic" means a method of capturing energy from sunlight and converting it to electricity. H. "Solar water heater" means a method of heating domestic water by allowing solar energy collection devices to transfer solar heat energy to water. (Ord. 3119 S 1, 2008). 20.04.030 Solar water heater preplumbing. All new residential units shall include at least the plumbing specifically designed to encourage the later installation of a system which utilizes solar energy as the primary means of heating domestic potable water. The purpose of this section is to facilitate the safe, cost-effective installation of residential solar water heating systems, while removing structural and regulatory barriers. No building permit shall be issued unless the plumbing required pursuant to this section and the Chula Vista Solar Water Heater Pre-Plumbing Installation Requirements are incorporated into the approved building plans. Exception: The provisions of this section can be modified or waived when it can be satisfactorily demonstrated in writing to the City Manager, or designee, that potential pre-existing constraints affecting the use of solar hot water heating cannot be reasonably overcome. (Ord. 3119 S 1, 2008; Ord. 1973 S 1,1982). 20.04.040 Solar photovoltaic pre-wiring. All new residential units shall include at least the electrical conduit specifically designed to encourage the later installation of a system that utilizes solar photovoltaic or other renewable energy resource as a means of generating electricity. The purpose of this section is to facilitate the safe, cost-effective 3-2 installation of renewable energy systems as residents' primary electricity source, while removing structural and regulatory barriers. No building penmit shall be issued unless the requirements of this section and the Chula Vista Photovoltaic Pre-Wiring Installation Requirements are incorporated into the approved building plans. Exception: The provisions of this section can be modified or waived when it can be satisfactorily demonstrated in writing to the City Manager, or designee, that potential pre-existing constraints affecting the use of solar photovoltaic or other renewable energy systems cannot be reasonably overcome. 20.04.050 Business energy assessments. All commercial and industrial businesses in the City of Chula Vista are encouraged to participate in a free energy assessment of their facilities to help them identify energy efficiency and conservation opportunities that potentially reduce participants' recurring energy costs and corresponding greenhouse gas emissions. Assessments are recommended when a new business license is issued or once every three years for an existing license. Participating businesses are encouraged to cooperate with City staff or their delegate(s) by providing: (1) a date and time for the assessment convenient for the business, (2) access to their facilities for the assessment during their regular business hours, (3) authorization to review their historical energy usage and (4) a signature and title of a facility manager on a completed assessment form acknowledging that the business has received a completed assessment and relevant information about voluntary energy efficiency improvement opportunities. The owner of a multi- tenant commercial building or their designee (property manager) may, at their discretion, authorize a whole building assessment replacing the need for individual tenant assessments. A. Assessment Notification Process. The City may send a notice to each business at least once every three years in conjunction with the City's annual business license renewal mailer providing information that facilitates the scheduling of an assessment at the business's convenience. A business may also receive a business assessment notice whenever a new license is required, such as the establishment of a new business or transfer of ownership for an existing business. B. Assessment Deliverables. The assessment findings, provided to the participating business on a form established by the City Manager in conjunction with the local utility and business representatives, may include a chart of their historical energy consumption, an estimate of potential energy and cost savings from identified energy conservation and efficiency opportunities and an estimate of the corresponding greenhouse gas emission reductions. The assessment may also review. water conservation, alternative transportation and other practices which the business could implement and/or promote to its employees and customers and an estimate of the resulting greenhouse gas emission reductions. The City may offer participants assistance with completing the applicable rebate, incentive and/or on-bill financing forms to facilitate the adoption of the identified energy efficiency improvements and help reduce the business's time and cost of 3-3 implementing the voluntary measures. The City may also provide contact information for the local utility's program staff that may further assist the business in reducing its energy costs. C. Exclusions. Because energy efficiency is commonly related to a facility's age and design, a voluntary energy assessment is not recommended for new businesses occupying a commercial space which have completed one of the following: (1) been permitted by the City Building Division within the last three years for a remodel or new construction to meet the most current City Title 24 and above standards, (2) has been certified through a California Energy Commission-approved (or other applicable state agency) green building program, or (3) has already received an assessment within the last three years. In addition, assessments are not necessary for home offices, mobile businesses and other business entities that do not have a utility gas or electric meter on a commercial rate schedule. (Ord. 3119 9 1, 2008). SECTION II. This ordinance shall take effect and be in full force thirty days from its adoption. Presented by Approved as to form by Michael Meacham Director of Conservation & Environmental Services Cc;:;-~ Bart C. Miesfeld P ~I'v-r '1 City Attorney 3-4 ',,'.. -.:,. ',<< CITY COUNCIL AGENDA STATEMENT ~!ff:. CITY OF ~- - CHULA VISTA ITEM TITLE: SUBMITTED BY: REVIEWED BY: 8/04/09, Item~ RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE FIRST AMENDMENTS TO THE DEVELOPMENT IMPACT FEE PAYMENT PLAN PROGRAM AGREEMENTS ("A1\1ENDMENTS") WlTH OTAY RANCH VILLAGE II- PC-l3, LLC, FOR THE VILLAS DE AVILA MODEL UNITS AND THE CASITAS DE A VILA MODEL UNITS, AUTHORIZING THE CITY MANAGER TO EXECUTE THE AMENDMENTS ON BEHALF OF THE CITY, MID DIRECTING THE CITY CLERK TO RECORD THE AMENDMENTS WITH THE COUNTY RECORDER OF THE COUNTY OF SAN DIEGO DIRECTOR OF DEVELOPME"'l SERVIC~UTY CITY tvIANAGER CITY MANAGER ~ _ ASSISTANT CITY MANAGER 7 / 4/5THS VOTE: YES D NO ~ SUMMARY , .. On February 6, 2009, Ordinance 3120 established the Development Impact Fee Program, which allows the development community to enter into an agreement to defer the payment of development impact fees (DIFs). On May 12, 2009, by Resolution 2009-105, the City ofChula Vista approved two Development Impact Fee Payment Plan Agreements with Otay Ranch Village II-PC-13, LLC. After approval of the resolution, the Developer requested that Transportation Development Impact Fee (TDIF) credits be applied to the project, resulting in a reduction in the amount to be deferred. This Amendment addresses the applied TDIF Credits as well as adjustments to the Casita de Avila project due to a change in residential product type. ENVIRONMENTAL REVIEW The City's Envirorunental Review Coordinator has revie\ved the proposed .activity for compliance with the California Envirorunental Quality Act (CEQA) and has determined that the activity is not a "Project" as defined under Section 15378 of the State CEQA Guidelines; therefore, pursuant to Section l5060(c)(3) of the State CEQA Guidelines the activity is not subject to CEQA. . RECOMMENDATION Council adopt the resolution. BOARDS/COMMISSION RECOMMENDATION Not applicable. 4-1 8/04/09,IteUl~ Page 2 of 4 DISCUSSION As a result of the current downturn in development and the continued tightening of the credit Ularket, the burden created by the payment of fees at building permit issuance has increased. Local developers and the Building Industry Association (BIA) approached the City requesting consideration of an extended payment plan program. The City Council approved an Ordinance establishing the Development Processing and Impact Fee Payment Plan, which became effective on February 6, 2009. The Ordinance provides a framework for individual projects to enter into payment plan agreements with the City, to be brought forward to Council for approval. The program is intended as a temporary response to the current housing market slump, and as such, will expire on December 30, 2010. Participation in the program requires the developer enter into an agreement with the City. On May 12, 2009, Council approved agreements with Otay Ranch Village II-PC-13 for the Villas de Avila and Casita de Avila model home units. Otay Ranch Village II-PC-13 is proposing to build 4 units in Villas de Avila and 3 units in Casita de Avila. Both projects are located in Otay Ranch Village 2 R-13, which is situated west of La Media Road, South of Santa Venetia Street and East of Santa Victoria Avenue. Villas de Avila This resolution would approve the first amendment to the original agreement with Otay Ranch Village II-PC-13 for the model home units of Villas de Avila. At the time the agreement was approved, transportation development impact fee credits were not applied to the project. Since then, the Developer has requested that their credits be applied and that their overall fees to be deferred be adjusted to reflect the applied credits. After applying the TDIF credits, the total amount due prior to final inspection of the project is $53,652.87. This is a reduction in their remaining TDIF obligation in the amount of $35,129.52 (see Table 1). For further information please see Attachment 1. Table 1 Existing DevelopUlent IUlpact Fee Pro raUl A reeUlent TDIF Other Fees $36,216.00 $63,456.62 $99,672.62 $0.00 $0.00 $12,219.26 $37.135.89 $52,538.79 $89,674.68 Sub-Tolal First AUlendUlent to the AgreeUlent TDIF $ I 086.48 $0.00 $1,114.08 I Amount includes interest calculated at 2.54% 4-2 8/04/09, Item~ Page 3 of 4 Other Fees $63,456.62 $0.00 $52,538.79 Sub-Total $64,543.10 $12,219.26 $53,652.87 DIFFERENCE ($35,129.52) $0.00 ($35,129.52) Casita de Avila This resolution would also approve the first amendment to the agreement with Otay Ranch Village II-PC-13 for the model home units of Casita de Avila. After Council approval of the agreement, recalculation of some of the project's DIFs is required due to an incorrect land use designation for the Casita de Avila units. The Casita de Avila units are designated as condominium units, however, because they are detached condominium units, the Public Facilities Development Impact Fee (PFDIF) and the Poggi Canyon Development Impact Fee are required to consider them single-family dwelling units. As a result, the PFDIF and the Poggi Canyon Development Impact Fee increased in the amount of $1,401.00 and $300.00 respectively. The Developer has also requested that TDIF credits be applied to the Casita de Avila project, resulting in a TDIF reduction of$26,347.14. Accounting for the adjusted land use and TDIF credit application, results in a reduction to their overall fees of$24,646.14 (see Table 2). For further information see Attachment 2. Table 2 Existing Development Impact Fee Pro ram A reement TDIF $27,162.00 $0.00 $27,851.91 PFDIF $24,804.00 $0.00 $25,434.02 Poggi $900.00 $0.00 $922.86 Other Fees $27,222.86 $11,411.09 $16,213.40 Sub-Total $80,088.86 $11,411.09 570,422.19 Proposed First Amendment to the A reement TDIF $814.86 $0.00 $835.56 PFDIF $26,205.00 $0.00 $26,870.61 Poggi $1,200.00 $0.00 $1,230.48 Other Fees $27,222.86 511,411.09 516,213.38 Sub- Total $55,442.72 $11,411.09 $45,150.03 DIFFERENCE ($24,646.14) $0.00 ($24,646.14) DECISION MAKER CONFLICT Staff has reviewed the property holdings of the City Council and has found no property holdings within 500 feet of the boundaries of the properties, which are the subject of this action. 1 Amount includes interest calculated at 2.54% 4-3 8/04/09,IteDl~ Page 4 of 4 CURRENT FISCAL IMP ACT There is no impact to the processing fees as approved in the original agreements. The expected processing fees to be collected for Villas de Avila is $12,219.26 and $11,411.09 for Casitas de Avila. These amounts are to be collected at the time of building permit issuance. ONGOING FISCAL IMPACT The balance to be paid at the call for final inspection is expected to be collected in a future fiscal year. The deferred amount will accrue interest until payment at final inspection. Interest earnings are estimated at $1,329.03 for Villas de Avila and $1,118.40 for Casita de Avila. ATTACHMENTS 1. Fee Table for Villas de Avila 2. Fee Table for Casita de Avila Prepared by: Chester Bautista, Associate Civil Engineer, Development Services Department H:\ENGINEERIAGENDAICAS2009\08-04-09ICAS First Amendment to the deferral agreement. doc 4-4 Attachment 1 Payment Schedule Villas de Avila Models (BR08-0028 to BR08-0029) Account 1600 1700 3000 3100 4000 4100 4200 4300 4400 4500 4600 5010 5120 5140 6000 8085 8086 Description Sewer Administrative Fee Sewer Capacity Fee (18.4) Traffic Signal Fee (18.2) Res Construction Tax (18.3) OIF Transportation . OIF Public Fac Admin OIF Civic etr OIF Police OIF Corp Yard OIF Library OIF Fire OIF Recreation Poggi Cyn Grav Sewer OIF NPOES Fee Otay Ranch Res Pedestrian Bridge Pedestrian Bridge 2 TOTALS 2.54% Balance of Deferred Fees Interest' Balance Due @ Final Inspection $ 90.00 $ 2.29 $ 92.29 $ 10,434.00 $ 265.02 $ 10,699.02 $ 952.00 $ 24.18 $ 976.18 $ 1,725.00 $ 43.82 $ 1,768.82 $ . 1,086.48 $ 27.60 $ 1,114.08 $ 2,128.00 $ 54.05 $ 2,182.05 $ 9,312.00 $ 236.52 $ 9,548.52 $ 6,764.00 $ 171.81 $ 6,935.81 $ 1,352.00 $ 34.34 $ 1,386.34 $ 5,652.00 $ 143.56 $ 5,795.56 $ 3,576.00 $ " 90.83 $ 3,666.83 $ 4,288.00 $ 108.92 $ 4,396.92 $ 1,200.00 $ 30.48 $ 1,230.48 $ 356.00 $ 9.04 $ 365.04 $ 104.36 $ 2.65 $ 107.01 $ 1,628.00 $ 41.35 $ 1,669.35 $ 1,676.00 $ 42.57 $ 1,718.57 $ 52,323.84 $ 1,329.03 $ 53,652.87 Interest Rate at 2.54% CA State Local Agency Investment Fund (LAIF) Quarter Ending 12/31/08 Apportionment Rate Revised 07/02/2009, decrease in OfF Transportation due to Otay Ranch TOIF Credits 4-5 Attachment 2 Payment Schedule Casita de Avila Models (8R08-0031 to 8R08-0033) Account 1600 1700 3000 3100 4000 4100 4200 4300 4400 4500 4600 5010 5120 5140 6000 8085 8086 Description Sewer Administrative Fee Sewer Capacity Fee (18.4) Traffic Signal Fee (18.2) Res Construction Tax (18.3) OfF Transportation DIF Public Fac Admin DIF Civic Ctr DIF Police OfF Corp Yard 01 F Library DIF Fire DIF Recreation Poggi Cyn Grav Sewer DIF NPDES Fee Otay Ranch Res Pedestrian Bridge Pedestrian Bridge 2 TOTALS 2.54% Balance of Deferred Fees Interest' Balance Due @ Final Inspection $ 135.00 $ 3.43 $ 1 38.43 $ 10,434.00 $ 265.02 $ 10,699.02 $ 892.50 $ 22.67 $ 915.17 $ 1,350.00 $ 34.29 $ 1,384.29 $ 814.86 $ 20.70 $ 835.56 $ 1,689.00 $ 42.90 $ 1,731.90 $ 7,374.00 $ 187.30 $ 7,561.30 $ 4,695.00 $ 119.25 $ 4,814.25 $ 1,263.00 $ 32.08 $ 1,295.08 $ 4,239.00 $ 107.67 $ 4,346.67 $ 3,729.00 $ 94.72 $ 3,823.72 $ 3,216.00 $ 81.69 $ 3,297.69 $ 1,200.00 $ 30.48 $ 1 ,230.48 $ 444.00 $ 11.28 $ 455.28 $ 78.27 $ 1.99 $ 80.26 $ 1,221.00 $ 31.01 $ 1,252.01 $ 1,257.00 $ 31.93 $ 1,288.93 $ 44,031.63 $ 1,118.40 $ 45,150.03 Interest Rate at 2.54% CA State Local Agency Investment Fund (LAIF) Quarter Ending 12/31/08 Apportionment Rate Revised 07/02/09, decrease in DIF Transportation due to Otay Ranch TDIF Credits and change in PFDIF classification for detached condominiums 4-6 RESOLUTION NO. 2009 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE FIRST AwIENDMENTS TO THE DEVELOPMENT IMPACT FEE PAYMENT PLAN PROGRAM AGREEMENTS ("AMENDMENTS") WITH OTAY RANCH VILLAGE II-PC-I3, LLC, FOR THE VILLAS DE A VILA MODEL UNITS AND THE CASITA DE A VILA MODEL UNITS, AUTHORIZING THE CITY MANAGER TO EXECUTE THE AL\1ENDMENTS ON BEHALF OF THE CITY, AL'JD DIRECTING THE CITY CLERK TO RECORD THE AMENDMENTS WITH THE COUNTY RECORDER OF THE COUNTY OF SAN DIEGO WHEREAS, the City Council approved Ordinance No. 3120 establishing the Development Processing and Impact Fee Payment Plan, which became effective on February 6, 2009; and WHEREAS, in Villas de Avila, Otay Ranch Village II-PC-13 proposes to develop 2 residential units in Otay Ranch Village 2 Neighborhoods R-I3; and WHEREAS, in Casita de Avila, Otay Ranch Village II-PC-I3 proposes to develop 3 residential units in Otay Ranch Village 2 Neighborhoods R-13; and WHEREAS, Otay Ranch Village II-PC-I3, LLC. owns both properties for Villas de A vila and Casita de A vila CProperty") and agrees that they are responsible for all of the development impact fees owed for the project; and WHEREAS, the City Council approved Resolution No. 2009-105, on May 12, 2009, approving the Development Processing and Impact Fee Payment Plan Agreements for Villas de Avila and Casita de Avila; and WHEREAS, because of adjustments in DlF Credits and land use, an Amendment is needed to reflect these adjustments in the Development Processing and Impact Fee Payment Plan Agreements; and WHEREAS, by executing these Amendments, the City is securing the payment of the adjusted deferred fees. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista hereby: 1. Approves the First Amendment to the Development Impact Fee Payment Plan Program Agreements with Otay Ranch Village II-PC-I3 for Villas de Avila and Casita de Avila. 2. Authorizes the City Manager to execute the Amendments on behalf of the City. 4-7 3, Directs the City Clerk to record the Amendments with the County of San Diego Recorder. Presented by ,1 /1/ Appro,\(ed as to fo~ ;/' / \ 7/1;' , /.,......,.-u ,~ Gary Halburt Director of Development Services 4-8 THE ATTACHED AGREEMENT HAS BEEN REVIEWED Al'ID APPROVED AS TO FORM BY THE CITY ATTORNEY'S OFFICE AND WILL BE FORt\l1ALL Y SIGNED UPON AP,P OV T CITY OUNt' Dated: 7 FIRST A1 MENT TO THE LIEN AND DEVELOPMENT IMP ACT FEE PAYMENT PLAN PROGRAM AGREEMENT BETWEEN OTA Y RANCH VILLAGE II-PC-13, LLC AND THE CITY OF CHULA VISTA FOR VILLAS DE A VILA A MODEL HOME UN1TS 4-9 , RECORDING REQUESTED BY, ""ill WHEN RECORDED MAIL TO: CITY OF CHULA VISTA Attn: 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 For Recorder's Use Only FIRST AMENDMENT TO THE LIEN AND DEVELOPMENT IMPACT FEE PAYMENT PLAN PROGRAM AGREEMENT THIS A,VlENDMENT TO LIEN A,'1D DEVELOPMENT ]I.'!PACT FEE PAYMENT PLA,'1 PROGRA,'\1 AGREElvlENT ("Agreement"), dated ,20-, for reference only and executed on the date on which the last party signs, by and between Olav Ranch Villae:c II.PC.13 LLC ("Owner"), and the CITY OF CHULA VISTA, a California municipal corporation and charter city ("Ciry") with reference to the following facts: A Owner is the owner of that certain real property in the City OfChula Vista, County of San Diego, State of California, more particularly described on Exhibit "A" attached ("Property"). B. On May 12, 2009 the City Council afthe City approved the Resolution No. 2009-105, The Development Impact Fee Payment Plan Program Agreement for Villas de Avila ~fodc1 Home Units, Document No. "Original Agreement" with Otay Ranch Village n.PC-13, LLC. C. Due to adjustments in the application of Development Impact Fee credits, City Staff and Owner agree that an amendment is needed for the Original Agreement to reflect the correct amount of deferred fees. NOW, THEREFORE, THE PARTIES AGREE AS FOLLOWS. 1. Exhibit "B" in the original agreement is replaced by Exhibit "B" attached to this Agreement. 2. All other terms and condition not expressly modified by this Agreement shall remain in full force and effect. 3. The Owner agrees and is obligated to pay all costs associated with the recording of the Agreement. 4. Each signatory to this Agreement represents, warrants, and certifies that he/she has the authority to .:nter into this Agreement on behalf of the Owner, the agencies/companies/trusts, respective officers, directors, and/or trustees they represent (collectively "Applicams") and that this Agreement shall be binding upon and constitute an obligation of the Applicants. [NEXT PAGE IS SIGNATURE PAGE] 4-10 IN WITNESS WHEREOF, this Agreement is executed by the CITY OF CHULA VISTA acting by and through it's Mayor or designated and authorized representative thereto, and by the Owner/Applicant. OTAY RA.,'1CH VrLLAGE I1-PC-13, A Delaware Limited Liability Company, Date: By Its Date: THE CITY OF CHULA VISTA, A California mWlicipal corporation By Is Approved as to form and legality this _ day of ,20 Bart Miesfeld, City Attorney By: City Attorney 4-11 THE ATTACHED AGREEtvfENT HAS BEEN REVIEWED AND APPROVED AS TO FORM BY THE CITY ATTOR1'ITY'S OFFICE AND WILL BE FORMALLY SIGNED UPON APPROVAL BY THE CITY COUNCIl: ) / . / / Dated: 1- FIRST tvfE TO THE LIEN AND DEVELOPtvfENT IMP ACT FEE P A YtvfENT PLAN PROGRAM AGREEtvfENT BETWEEN OT A Y RANCH VILLAGE II - PC-I3, LLC AND THE CITY OF CHULA VISTA FOR CASITA DE A VILA MODEL HOtvfE UNITS 4-12 RECORDING REQUESTED BY, AND WHEN RECORDED MAIL TO: CITY OF CHULA VISTA Attn: No transfer tax is due as this is a conveyance to a public agency ofless than a fee interest for which no cash consideration has been paid or received For Recorder's Use Only FffiSTAMENDMENT TO THE LIEN At~D DEVELOPMENT IMP ACT FEE PAYMENT PLAN PROGRAlVI AGREEMENT THIS fuVlE~DMENT TO LIEN AND DEVELOPMENT IMP ACT FEE PAYMENT PLMI PROGRAM AGREEMENT ("Agreement"), dated .20-, fOf reference only and executed on the date on which the last party signs, by and between Olav Ranch Villae:e IT-PC.13 LLC ("Owner"), and the CITY OF CHULA VISTA, a California municipal corporation and charter city ("City") with reference to the following facts: A. Owner is the owner of that certain real property in the City OfChula Vista, County of San Diego, State of Cali fomi a, more particularly described on Exhibit "A" attached ("Property"). B. On May 12.2009 the City Council of the City approved the Resolution No. 2009-105. The Development Impact Fee Payment Plan Program Agreement for Casita de Avila Model Home Units, Document No. "Original Agreement" with Otay Ranch Village II-PC.13, LLC. C. Due to adjustments in the land use designation, City Staff and Owner agree that an amendment is needed for the Original Agreement to reflect the correct amount of deferred fees. NOW, THEREFORE, THE PARTIES AGREE AS FOLLOWS. I. Exhibit "B" in the original agreement is replaced by Exhibit "B'" attached to this Agreement. 2. All other terms and condition not expressly modified by this Agreement shall remain in full force and effect. 3. The Owner agrees and is obligated to pay ail costs associated with the recording of the Agreement. 4. Each signatory to this Agreement represents, warrants, and certifies that he/she has the authority to enter into this Agreement on behalf of the Owner, the agencies/companies/trusts, respective officers, directors, and/or trustees they represent (collectively "Applicants") and that this Agreement shall be binding upon and constitute an obligation of the Applicants. [NEXT PAGE IS SIGNATURE PAGE] 4-13 IN" WITNESS WHEREOF, this Agreement is executed by the CITY OF CHULA VISTA acting by and through it's Mayor or designated and authorized representative thereto, and by the Owner/Applicant. OTA Y RANCH VILLAGE II-PC-13, A Delaware Limited Liability Company, Date: By Its Date: THE CITY OF CHULA VISTA, A California municipal corporation By Is Approved as to form and legality this ~dayof .20 Bart Miesfe!d, City Attorney By' City Attorney 4-14 CITY COUNCIL AGENDA STATEMENT ~(~ CITYOF . · - (HUlA VISTA ITEM TITLE: SUm\UTTED BY: REVIEWED BY: August 4, 2009, Item~ RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING A TWO-PARTY AGREEMENT BETWEEN THE CITY OF CHULA VISTA Ai'lD RECON ENVIRONMENTAL, INe., TO SERVE AS THE OTAY RAt"lCH PRESERVE STEWARD/BIOLOGIST ("AGREEMENT") AND AUTHORIZING THE CITY MANAGER TO EXECUTE THE AGREEMENT AND UP TO FOUR I-YEAR EXTENSIONS TO THE AGREEMENT DEPUTY CITY MANAGE~VELOPMENT SERVICES DIRECTOR CITY MANAGE~ 4/5THS VOTE: Y~S D NO 0 SUMMARY On May 6, 2009, a Request for Qualifications was distributed to qualified biological consultants in order to solicit candidates interested in serving as the Otay Ranch Preserve Steward/Biologist. Upon completing a competitive bidding process, the City selected RECON Environmental Inc. (RECON) to serve as the Preserve Steward/Biologist to manage and monitor the biological resources within the Otay Ranch Preserve in accordance with the Otay Ranch Resource Management Plan. Staff has prepared a two-party agreement with RECON for this service for Council consideration. ENVIRONlYIENTAL REVIEW The Environmental Review Coordinator has reviewed the proposed activity for compliance with the California Environmental Quality Act (CEQA) and has determined that the activity is not a "Project" as defined under Section 15378 of the State CEQA Guidelines because it involves only the approval of a contract to provide biological technical services to the City as the Otay Ranch Preserve Steward/Biologist; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines the activity is not subject to CEQA Thus, no environmental review is necessary. 5-1 AUGUST 4, 2009, Item~ Page 2 of 4 RECOMMENDATION Council adopt the Resolution. BOARDS/COMMISSION RECOMMENDATION Not Applicable DISCUSSION In 1993, the City of Chula Vista (City) and County of San Diego (County) jointly adopted the Otay Ranch General Development Plan/Subregional Plan (GDP/SRP), which sets forth the plans for development and open space within Otay Ranch. The GDP/SRP delineates approximately 11,000 acre area as the Otay Ranch Preserve system (preserve). Included as part of the GDP/SRP, the Otay Ranch Resource Management Plan (RMP) Phase 1 was incorporated to identify major policies and implementation measures to guide development and the protection of the biological and cultural resources within Otay Ranch. As a requirement of RMP Phase I, prior to the approval of the first Sectional Planning Area (SPA) within the Ranch, a Preserve Owner/Manager (paM) for the Preserve must be selected and an RMP Phase 2 must be completed, which would serve as the implementation plan providing the framework for the protection, management, and monitoring requirements of the Preserve. In 1996, RMP Phase 2 was completed and the City and the County designated themselves as the Otay Ranch paM. The City and County executed a Joint Powers Agreement (JP A) to delineate their respective roles and responsibilities. The fundamental job of the paM is to implement the RMP by actively managing lands conveyed to the Otay Ranch Preserve system. Generally the paM is tasked to protect resources, monitor and manage preserve lands; participate in necessary enforcement activities; develop educational facilities and interpretive programs; and implement and/or coordinate and accommodate research programs. To date, the City and County continue to serve as the paM for the Preserve. In March 2009, the City and County, in coordination with the Otay Ranch paM Working Group, consisting of representatives from the U.S. Fish and Wildlife Service, California Department of Fish and Game (collectively referred to as the Resource Agencies), stakeholders, and other interested parties, determined the need to designate a single entity to serve as the Preserve Steward/Biologist to provide the paM with technical expertise needed to manage and monitor the Preserve. paM staff and the Working Group developed a Scope of Work (SOW) outlining the qualifications of the Preserve Steward/Biologist. The SOW was then presented and approved by the Otay Ranch paM Preserve Management Team (PMT) and Policy Committee (PC) that same month. The PMT consists 'of the City's Deputy City Manager/Director of Development Services, Gary Halbert, and Deputy Chief Administrative Officer of the County of San Diego, Chandra Wallar. The PC includes two elected officials, one from each jurisdiction, Deputy Mayor John McCann and Supervisor Greg Cox, Member of the Board of Supervisors for the County of San Diego. Both the PMT and PC directed paM staff to proceed with retaining a Preserve Steward/Biologist through a competative bidding 5-2 AUGUST 4, 2009, Item 5 Page 3 of 4 process. At that time, the City agreed to administer the contract on behalf of the POM and proceed with distribution of a Request for Qualifications (RFQ). On May 6, 2009, a RFQ was distributed to qualified biological consultants in order to solicit candidates interested in serving as the Otay Ranch Preserve Steward/Biologist. Upon completing a competitive bidding process, the City selected RECON to serve as the Preserve Steward/Biologist in order to manage and monitor the biological resources within the Preserve in accordance with the approved Otay Ranch R.tVIP. Staff has prepared a two-party agreement with RECON outlining the scope of work anticipated for the Preserve Steward/Biologist. Services to be provided to the City include, but are not limited to the following: . Conduct field surveys in order to monitor the sensitive biological resources existing within the Preserve; . Prepare biological resource reports documenting monitoring results and observation; . Participate and represent the POM at meetings related to management and monitoring of regional habitat; and, . Implement basic stewardship in accordance with the Otay Ranch RMP. Pursuant to the two-party agreement, RECON will serve as the Preserve Steward/Biologist for a duration of I-year. The City has the option to renew this Agreement on an annual basis, for a maximum of four additional I-year terms. The City Manager shall have the authority to exercise each option to renew. DECISION MAKER CONFLICT Staff has reviewed the property holdings of the City Council and has found no property holdings within 500 feet of the boundaries of the property, which is the subject of this action. CURRENT YEAR FISCAL IMPACT Staff has estimated approximately $350,000 will cover the costs for the Preserve Steward/Biologist to implement management and monitoring of the lands currently under POM ownership, which totals approximately 1,300 acres. The funding source for this contract is provided through the City's Community Facility District 97-2 (CFD 97-2). CFD 97-2 was specifically established to provide perpetual funding for the maintenance and monitoring of the Otay Ranch Preserve. During the 08/09 fiscal year, $350,000 was collected to cover costs for management and monitoring of lands currently under POM ownership; therefore, the cost to implement the two-party agreement with RECON will not result in a fiscal impact to the general fund. ONGOING FISCAL IMPACT As stated previously, CFD 97-2 was established to provide a perpetual funding source for maintenance and monitoring of the Otay Ranch Preserve. Currently, the annual management and monitoring budget is approximately 5350,000; however, this amount 5-3 AUGUST 4, 2009, Item~ Page 4 of 4 may vary each year and will be reassessed on an annual basis. The annual budget will be based upon management and monitoring needs and requirements outlined in an annual work plan to be prepared by RECON, which will be subject to the review and approval of the City. This review and approval will allow staff to evaluate the estimated cost to implement the proposed work plan and determine a reasonable tax assessment for the CFD. A TT ACHMENTS Two-Party Agreement: City ofChula Vista and RECON Prepared by: Josie McNeeley, Associate Planner, Development Services Department of J:IPlanningVosielPOMlPreserve Biologist - RFQ\08.04.09CC-ZptyAgreementRECONAI13.doc 5-4 Parties and Recital Page( s) Agreement between City of Chula Vista and RECON Environmental, Inc. for Biological Consultant Services Associated with the Otay Ranch Preserve Steward/Biologist 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 I, 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, on May 6, 2009, a Request for Qualifications was distributed to qualified biological consultants in order to solicit candidates interested in serving as the Otay Ranch Preserve Steward/Biologist; and Whereas, the property which is the subject matter of this Agreement is commonly known as Otay Ranch Preserve, and is shown as set forth in the attached Exhibit B ("Property"); and, Whereas, the City received proposals from four biological consultants in response to the formal Request for Qualifications; and Whereas, the City evaluated each submittal based on clarity, approach, cost, qualifications, and completeness; and Whereas, through a competItIve bid process, the Consultant was selected based upon its proposed approach and demonstrated qualifications to perform the services outlined in the detailed scope of work; 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. (End of Recitals. Next Page starts Obligatory Provisions.) 5-5 Page I Obligatory Provisions Pages NOW, THEREFORE, BE IT RESOLVED that the City and Consultant do hereby mutually agree as follows: I. Consultant's Duties A. General Duties 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 referred 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 I G(C), 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. 5-6 Page 2 F. Insurance Consultant must procure insurance against claims for injuries to persons or damages to property that may arise from or in connection with the performance of the work under the contract and the results of that work by the Consultant, his agents, representatives, employees or subcontractors and provide documentation of same prior to commencement of work. The insurance must be maintained for the duration of the contract. Minimum Scope of Insurance Coverage must be at least as broad as: (I) Insurance Services Office Commercial General Liability coverage (occurrence Form CG0001). (2) Insurance Services Office Form Number CA 0001 covering Automobile Liability, Code 1 (any auto). (3) Workers' Compensation insurance as required by the State of California and Employer's Liability Insurance. (4) Professional Liability or Errors & Omissions Liability insurance appropriate to the Consultant's profession. Architects' and Engineers' coverage is to be endorsed to include contractual liability. Minimum Limits of Insurance Contractor must maintain limits no less than: I. General Liability: (Including operations, products and completed operations, as applicable) 2. Automobile Liability: 3. Workers' Compensation Employer's Liability: 4. Professional Liability or Errors & Omissions Liability: $1,000,000 per occurrence for bodily injury, personal injury and property damage. If Commercial General Liability insurance with a general aggregate limit is used, either the general aggregate limit must apply separately to this project/location or the general aggregate limit must be twice the required occurrence limit. $1,000,000 per accident for bodily injury and property damage. Statutory $1,000,000 each accident $1,000,000 disease-policy limit 51,000,000 disease-each employee $1,000,000 each occurrence Oeductibles and Self-Insured Retentions 5-7 Page 3 Any deductibles or self-insured retentions must be declared to and approved by the City. At the option of the City, either the insurer will reduce or eliminate such deductibles or self-insured retentions as they pertain to the City, its officers, officials, employees and volunteers; or the Consultant will provide a [mancial guarantee satisfactory to the City guaranteeing payment of losses and related investigations, claim administration, and defense expenses. Other Insurance Provisions The general liability, automobile liability, and where appropriate, the worker's compensation policies are to contain, or be endorsed to contain, the following provisions: (I) The City of Chula Vista, its officers, officials, employees, agents, and volunteers are to be named as additional insureds with respect to liability arising out of automobiles owned, leased, hired or borrowed by or on behalf of the Consultant, where applicable, and, with respect to liability arising out of work or operations performed by or on behalf of the Consultant, including providing materials, parts or equipment furnished in connection with such work or operations. The general liability additional insured coverage must be provided in the form of an endorsement to the contractor's insurance using ISO CG 2010 (11/85) or its equivalent. Specifically, the endorsement must not exclude Products/Completed Operations coverage. (2) The Consultant's General Liability insurance coverage must be primary insurance as it pertains to the City, its officers, officials, employees, agents, and volunteers. Any insurance or self-insurance maintained by the City, its officers, officials, employees, or volunteers is wholly separate from the insurance of the contractor and in no way relieves the contractor from its responsibility to provide insurance. (3) The insurance policy required by this clause must be endorsed to state that coverage will not be canceled by either party, except after thirty (30) days' prior written notice to the City by certified mail, return receipt requested. (4) Coverage shall not extend to any indemnity coverage for the active negligence of the additional insured in any case where an agreement to indemnifY the additional insured would be invalid under Subdivision (b) of Section 2782 of the Civil Code. (5) Consultant's insurer will provide a Waiver of Subrogation in favor of the City for each required policy providing coverage during the life of this contract. If General Liability, Pollution and/or Asbestos Pollution Liability and/or Errors & Omissions coverage are written on a claims-made form: (1) The "Retro Date" must be shown, and must be before the date of the contract or the beginning of the contract work. (2) Insurance must be maintained and evidence of insurance must be provided for at least five (5) years after completion of the contract work. 5-8 Page 4 (3) If coverage is canceled or non-renew~d, and not replaced with another claims-made policy form with a "Retro Date" prior to the contract effective date, the Consultant must purchase "'extended reporting" coverage for a minimum of five (5) years after completion of contract work. (4) A copy of the claims reporting requirements must be submitted to the City for review. Acceptability of Insurers Insurance is to be placed with licensed insurers admitted to transact business in the State of California with a current A.M. Best's rating of no' less than A V. If insurance is placed with a surplus lines insurer, insurer must be listed on the State of California List of Eligible Surplus Lines Insurers ("LESLI") with a current A.M. Best's rating of no less than A X. Exception may be made for the State Compensation Fund when not specifically rated. Verification of Coverage Consultant shall furnish the City with original certificates and amendatory endorsements effecting coverage required by this clause. The endorsements should be on insurance industry forms, provided those endorsements or policies conform to the contract requirements. All , certificates and endorsements are to be received and approved by the City before work commences. The City reserves the right to require, at any time, complete, certified copies of all required insurance policies, including endorsements evidencing the coverage required by these specifications. Subcontractors Consultants must include all subconsultants as insureds under its policies or furnish separate certificates and endorsements for each subconsultant. All coverage for subconsultants are subject to all of the requirements included in these specifications. G. Security for Performance (I) Performance Bond In the event that Exhibit A, at Paragraph 18, 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 in the form prescribed by the City and by such sureties which are authorized to transact such business in the State of California, listed as approved by the United States Department of Treasury Circular 570, http://www.fms.treas.gov/c570. and whose underwriting limitation is sufficient to issue bonds in the amount required by the agreement, and which also satisfy the requirements stated in Section 995.660 of the Code of Civil Procedure, except as provided otherwise by laws or regulations. All bonds signed by an agent must be accompanied by a certified copy of such agent's authority to act. Surety companies must be duly licensed or authorized in the jurisdiction in which the Project is located to issue bonds for the 5-9 Page 5 limits so required. Form must be satisfactory to the Risk Manager or City Attorney which amount is indicated in the space adjacent to the term, "Performance Bond", in said Exhibit A, Paragraph 18. . (2) Letter of Credit In the event that Exhibit A, at Paragraph 18, 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 t,he term, "Letter of Credit", in said Exhibit A, Paragraph 18. (3) Other Security In the event that Exhibit A, at Paragraph 18, 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 amount satisfactory to the Risk Manager or City Attorney. H. 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, City agrees to provide the information, data, items and materials set forth on Exhibit A, Paragraph 9, and with the further understanding that delay in the provision of these materials beyond thirty (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 17, but in no event more frequently than monthly, on the day of the period indicated in Exhibit A, Paragraph 17, City shall compensate Consultant for all services rendered by Consultant according to the terms and conditions set forth 5-10 Page 6 in Exhibit A, Paragraph 10, 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 18 of Exhibit A, and shall compensate Consultant for out of pocket expenses as provided in Exhibit A, Paragraph II. 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 17(C) to be charged upon making such payment. 3. Administration of Contract Each party designates the individuals ("Contract Administrators") indicated on Exhibit A, Paragraph 12, 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 13. 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 performance. 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 13 ("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 5-11 Page 7 If Consultant is designated on Exhibit A, Paragraph 14, 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 14 of Exhibit A, or ifnone 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 that 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 14. 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 5-12 Page 8 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 twelve months thereafter. Consultant agrees that Consultant Associates shall not acquire any such Prohibited Interest within the Term of this Agreement, or for twelve 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 that 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 or alleged by third parties to be the result of the negligent acts, errors or omissions or the willful misconduct of the Consultant, and Consultant's employees, subcontractors or other persons, agencies or firms for whom Consultant is legally responsible in connection with the execution of the work covered by this Agreement, except only for those claims, damages, liability, costs and expenses (including without limitations, attorneys fees) arising from the sole negligence or sole willful misconduct of the City, its officers, employees. Also covered is liability arising from, connected with, caused by or claimed to be caused by the active or passive negligent acts or omissions of the City, its agents, officers, or employees which may be in combination with the active or passive negligent acts or omissions of the Consultant, its employees, agents or officers, or any third party. With respect to losses arising from Consultant's professional errors or omissions, 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) except for those claims arising from the negligence or willful misconduct of 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. Consultant's obligations under this Section shall not be limited by any prior or subsequent declaration by the Consultant. Consultant's obligations under this Section shall survive the termination of this Agreement. For those professionals who are required to be licensed by the state (e.g. architects, landscape architects, surveyors and engineers), the following indemnification provisions should be utilized: (1) Indemnification and Hold Harmless Agreement With respect to any liability, including but not limited to claims asserted or costs, losses, attorney fees, or payments for injury to any person or property caused or claimed to be caused by the acts or omissions of the Consultant, or Consultant's employees, agents, and officers, arisin'g 5-13 Page 9 out of any services performed involving this project, except liability for Professional Services covered under Section 7.2, the Consultant agrees to defend, indemnify, protect, and hold harmless the City, its agents, officers, or employees from and against all liability. Also covered is liability arising from, connected with, caused by, or claimed to be caused by the active or passive negligent acts or omissions of the City, its agents, officers, or employees which may be in combination with the active or passive negligent acts or omissions of the Consultant, its. employees, agents or officers, or any third party. The Consultant's duty to indemnify, protect and hold harmless shall not include any claims or liabilities arising from the sole negligence or sole willful misconduct of the City, its agents, officers or employees. This section in no way alters, affects or modifies the Consultant's obligation and duties under Section Exhibit A to this Agreement. (2) Indemnification for Professional Services. As to the Consultant's professional obligation, work or services involving this Project, the Consultant agrees to indemnify, defend and hold harmless the City, its agents, officers and employees from and against any and all liability, claims, costs, and damages, including but not limited to, attorneys fees, that arise out of, or pertain to, or relate to the negligence, recklessness or willful misconduct of Consultant and its agents in the performance of services under this agreement, but this indemnity does not apply liability for damages for death or bodily injury to persons, injury to property, or other loss, arising from the sole negligence, willful misconduct or defects in design by City or the agents, servants, or independent contractors who are directly responsible to City, or arising from the active negligence of City. 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, 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 5-14 Page 10 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 notation), without prior written consent of City. City hereby consents to the assignment of the portions of the Defined Services identified in Exhibit A, Paragraph 16 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 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 and 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, inj ury leave or other leave benefits. Therefore, City will not withhold state or federal income ta'C, social security ta'C or any other payroll ta'C, 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 5-15 Page II 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 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 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 15 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. 5-16 Page 12 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 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 ofChula Vista. (End of page. Next page is signature page.) 5-17 Page 13 Signature Page to Agreement between City of Chula Vista ani! RECON Environmental, Inc. (RECON) for Biological Consultant Services Associated with the Otay Ranch Preserve Steward/Biologist 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: City of Chula Vista Dated: By: James D. Sandoval, City Manager Attest: Donna Norris, City Clerk Approved as to form: Bart Miesfeld, City Attorney RECON Environmental, Inc. Dated: By: Robert MacAller, President Exhibit List to Agreement (x) Exhibit A. (x) Exhibit B. 5-18 Page 14 1. Effective Date of Agreement: 2. City-Related Entity: Exhibit A to Agreement between City of Chula Vista and Wildlife Research Institute Julv 28, 2009 (x) City of Chula Vista, a municipal chartered corporation of the State of California ( ) Redevelopment Agency of the City ofChula Vista, a political subdivision of the State of California ( ) Industrial Development Authority of the City ofChula 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: RECON Environmental, Inc. 5. Business Form of Consultant: ( ) Sole Proprietorship ( ) Partnership ex) Corporation 6. Place of Business, Telephone and Fax Number of Consultant: 1927 Fifth Avenue San Diego, CA 92101-2358 Voice Phone: (619)308-9333 Fax Phone: (619) 308-9334 5-19 Page 15 7. General Duties: Consultants shall provide a specific biologist as the preserve steward who will be expected to perform the majority of the monitoring and management tasks needed and will be responsible for subcontracting with biologists who have additional expertise, as needed. Independent biologists who apply must have the ability to manage subcontractors for management and monitoring tasks that he/she does not have the expertise to complete. The preserve steward shall: (a) Have extensive field experience and demonstrate the ability to manage large areas ofland, (b) Be qualified to conduct field surveys as well as prepare written documents, including graphics, (c) Have the required permits to survey for listed species in the Otay Ranch Preserve (e.g., gnatcatchers, Quino, etc.) or the ability to subcontract to biologists with the necessary permits, (d) Have knowledge of the adopted Phases I and 2 Otay Ranch Resource Management Plans (RMP), and, (e) Have knowledge of the adopted Multiple Species Conservation Program (MSCP) Subregional Plan, MSCP Subarea Plans for the City and County. The preserve steward shall assist the paM in ensuring compliance with these programs/plans. 8. Scope of Work and Schedule: A. Detailed Scope of Work: Tasks that may be required include but are not limited to the following. 1. On-Going Services A. Prepare an Annual Work Plan recommending management and monitoring tasks to be accomplished during the next fiscal year. The work plan shall include, but is not limited to, the following: 1. Recommendation of tasks to be performed in priority order; 2. Citations of how the tasks relate to the R1\1P (cite specific enabling RMP goals, objectives, policies or implementation measure); 3. Expected outcome including success criteria; 4. Estimated costs; 5. Recommendation of who will perform the task; and 6. Recommendation oftirneframe. B. Oversee and coordinate Otay Ranch preserve management, monitoring, and reporting with the Wildlife Agencies, the paM, Otay Ranch land owners who may convey lands within the. Preserve, regional monitoring entities, interested public groups, and the general public. Page 16 5-20 C. Provide science-based technical recommendations to paM staff and any contractors retained to conduct specific management tasks, monitoring, data collection and analysis, and adaptive management programs. D. Perform biological monitoring as directed by paM staff. E. Participate and represent the paM in regional or subregional meetings relating to preserve management and monitoring to ensure management and monitoring efforts within the Preserve are not being duplicated. Meetings may include: 1. Monthly MSCP Monitoring Group meetings 2. SAt'lDAG Environmental Mitigation Program Working Group meetings 3. Otay Valley"Regional Park (OVRP) Joint Exercises of Power Agreement (JEP A) meetings if the agenda includes items associated with the Otay Ranch Preserve F. Implement basic stewardship including, but not limited to, the following: I. Monitor existing fencing/gates and identify needs for additional access control; provide minor repairs and coordinate with appropriate contractor to repair or construct more significant fencing/gate needs; 2. Remove minor amounts of trash, litter, and debris; monitor and report to appropriate contractor to remove significant amounts of trash, litter, and other debris; 3. Remove small acreages of weeds and exotics that are found during routine patrols (significant eradication projects are covered under section C. Adaptive Management); and 4. Monitor and report enforcement issues, including off-road traffic, trespassing, grazing, shooting, and illegal dumping to enforcement agencies, such as, the County Sheriffs Department, City Police Department; U.S. Border Patrol, and property owners. G. Participate in public hearings/meetings, Resource Agencies meetings, and field visits. H. Complete tasks within time and budget requirements. , II. Biological Surveys and On-Going Biological Monitoring Provide biological research, data collection and analyses including, but not limited to, the following: " Page 17 5-21 A. As a part of the Annual Work Plan, determine the biological studies, reports, and focused surveys that need to be undertaken in the Preserve. B. Conduct biological reconnaissance and biological field surveys, including focused surveys for threatened or endangered species (e.g. California gnatcatcher, coastal cactus wren) and/or monitoring of these species per USFWS monitoring protocols. C. Assist in the preparation of biological resource reports meeting City, County, State and Federal criteria. D. Provide science-based technical recommendations to POM staff and any contractors hired for specific management tasks for survey design, monitoring protocols, data collection and analysis, and adaptive management programs. III. Adaptive Management A. Prioritize threats to the preserve and provide guidance to POM staff on direct management actions to deal with those threats. B. Prepare and coordinate implementation of plans for comprehensive eradication and control of exotics. This may include mapping exotic species infestations and detailing methods to employ to remove such infestations. C. Develop and/or coordinate implementation of biological restoration programs, including ecological restoration/creation plans for any sensitive habitat, sensitive floral or faunal species, and erosion control plans. I. Provide specialized biological assistance required for the preparation of the restoration' program, including wetland and sensitive habitat delineation, and vegetation and wildlife assessment. 2. Develop revegetation plans, cost estimates, and specifications for plan implementation. 3. Develop irrigation plans, cost estimates, and specifications for plan implementation. 4. Develop and/or implement restoration monitoring plans and monitoring schedules. 5. Perform restoration monitoring. D. Continuously evaluate the effectiveness and efficiency of preserve management activities in view of available resources and ensure consistent use of the most cost-effective methods for management. Page 18 5-22 IV. Reporting A. Prepare and submit monthly reports for the first year and quarterly reports for subsequent years to paM staff. These reports shall summarize field observations including, but not limited to, the following: 1. List of species observed during the observation period; 2. Areas in need of invasive control, remediation, and/or restoration; 3. Management and monitoring tasks recommended to be implemented; 4. Prioritization of those management and monitoring tasks; 5. Basic stewardship activities; and 6. Progress towards completion of the annual Work Program. V. Other services that may be required A. Prepare and/or assist in identifYing discrepancies in management and monitoring requirements between the adopted MSCP Subarea Plans for the County and City and the Otay Ranch Phase 2 RMP. B. Assist in the preparation of grant proposals to apply for additional funding for Preserve management tasks beyond what is needed to be consistent with the RMP and MSCP. C. Assist in the technical reVlSlons of Phase 2 RtV1P and provide recommendations for prioritization and implementation of resource management directives. B. Date for Commencement of Consultant Services: (X) Same as Effective Date of Agreement ( ) Other: C. Dates or Time Limits for Delivery of Deliverables: The Consultant may be required to prepare and submit the following deliverables throughout the term of this Agreement. Additional deliverables not noted below, but related to the scope of work identified in Section 8.A. (Detailed Scope of Work) of this Agreement, may be requested on an as-needed basis. At the time of the request, the City will provide the Consultant with the submittal requirements for the deliverable(s) and deliverable shall be completed to the satisfaction of the City. Page 19 5-23 Deliverable No. I: Monitoring reports shall be due bi-weekly for the fIrst six months and shall be emailed to the contract administrator. Subsequent monitoring reports shall be submitted quarterly or based on the request of the City. Deliverable No.2: An Annual Work Plan summanzmg proposed management and monitoring tasks to be completed during the next fIscal year, including, but not limited to the following, prioritization of management and monitoring tasks to be implemented;. Deliverable No.3: Prepare and submit biological resource reports, in order to document the habitat and/or wildlife species observed during biological reconnaissance and/or focused biological surveys. Deliverable No.4: Prepare and submit plans for comprehensive eradication and control of exotics, which may include maps detailing exotic species infestations and methods to remove such invasives. Deliverable No.5: Prepare and submit biological restoration plans, including ecological restoration/creation plans for any sensitive habitat, sensitive floral or faunal species, and erosion control plans. Deliverable No.6: Pursuant to Section 8.A. (Detailed Scope of Work) of this document, other reports/documentation/GIS data may be requested on an as- needed basis and completed to the satisfaction on the City. D. Date for completion of all Consultant services: I-year from the Effective Date of this Agreement. with an option for the Citv to extend for I-year (or each subsequent year) 9. Materials Required to be Supplied by City to Consultant: None. 10. 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 Page 20 5-24 ( ) 1. Interim MontWy 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 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 that 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 soie 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 montWy advances shall not convert this agreement to a time and materials basis of payment. B. ( ) 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 1. 2. 3. Fee for Said Phase $ $ $ ( ) I. 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 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 that 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 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 Page 21 5-25 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 this agreement to a time and materials basis of payment. C. (X) 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 herein below according to the following terms and conditions: (1) (X) 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 tasks of the Defined Services herein required of Consultant for an amount up to $ 350,000 , including all Materials, and other "reimbursables" ("Maximum Compensation"). (2) ( ) Limitation without Further Authorization on Time and Materials Arrangement 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. Categorv of Emolovee Principal in Charge Senior Biologist Senior Biologist Senior Biologist Associate Biologist Analyst Production Rate Schedule Name ofConsultant(s) Paul Fromer Mark Dodero Wendy Loeffler John Lovio Hourlv Rate $178 $146 $146 $146 $119 $99 $70 $40 $78 Crew GIS Technician ( ) Hourly rates may increase by 6% for. services rendered after [ month], 20_, if delay in providing services is caused by City. Page 22 5-26 11. 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: ( ) 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 $ 12. Contract Administrators: City: Josie McNeeley, Associate Planner 276 Fourth Avenue, Public Services Building 300 Chula Vista, CA 91910 (619) 409-5922 Consultant: Paul Fromer, Principal 1927 Fifth Avenue San Diego, CA 92101-2358 (619) 308-9333 13. Liquidated Damages Rate: ( ) $ ( ) Other: per day. 14. Statement of Economic Interests, Consultant Reporting Categories, per Contlict ofInterest Code: (X) Not Applicable. Not an FPPC Filer. ( ) FPPC Filer Page 23 5-27 ( ) Category No. 1. Investments and sources of income. ( ) Category No.2. Interests in real property. ( ) Category No.3. Investments, interest in real property and sources of income subject to the regulatory, permit or licensing authority of the department. ( ) Category No.4. Investments in business entities and sources of income that 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 ofChula 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: 15. ( ) Consultant is Real Estate Broker and/or Salesman 16. Permitted Subconsultants: None. 17. Bill Processing: A. Consultant's Billing to be submitted for the following period of time: (X) Monthly ( ) Quarter! y Page 24 5-28 ( ) Other: B. Day of the Period for submission of Consultant's Billing: ( ) First of the Month ( ) 15th Day of each Month (X) End of the Month ( ) Other: C. City's Account Number: 18. 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: , J:\P!anningVosie\POM\Preserve Biologist. RFQI2PTYAgreemem.doc Page 25 5-29 RESOLUTION NO. 2009- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING A TWO-PARTY AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND RECON ENVIRONMENTAL, INC., TO SERVE AS THE OTAY RANCH PRESERVE STEW ARD/BIOLOGIST ("AGREEMENT") AND AUTHORIZING THE CITY MANAGER TO EXECUTE THE AGREEMENT AND UP TO FOUR I-YEAR EXTENSIONS TO THE AGREEMENT WHEREAS, the City of Chula Vista (City) and County of San Diego (County) jointly adopted the Otay Ranch General Development Plan/Subregional Plan (GDP/SRP) in 1993, which sets forth the plans for development and open space within Otay Ranch; and WHEREAS; the GDP/SRP delineates an approximately 11,000 acre area as the Otay Ranch Preserve system (Preserve) and includes the Otay Ranch Resource Management Plan (RMP) Phase 1, which identifies major policies and implementation measures to guide development and the protection of the biological and cultural resources within Otay Ranch; and WHEREAS, the R1\1P Phase I requires, prior to the approval of the first Sectional Planning Area within the Ranch, a Preserve Owner/Manager (POM) for the Preserve must be selected and an R1\1P Phase 2 must be completed, which would serve as the implementation plan providing the framework for the protection, management, and monitoring requirements of the Preserve; and WHEREAS, in 1996, the R1\1P Phase 2 was completed and the City and the County designated themselves as the Otay Ranch POM and executed a Joint Powers Agreement to delineate their respective roles and responsibilities; and WHEREAS, the City and County continue to serve as the Otay Ranch Preserve/Owner Manager and are responsible for implementing the R1\1P by actively managing and monitoring preserve lands conveyed to the Otay Ranch Preserve system; and WHEREAS, in March 2009, the Otay Ranch POM Preserve Management Team and Policy Committee directed POM staff to retain a Preserve Steward/Biologist to provide the technical expertise to advise the POM on the status of the Preserve, monitor the sensitive biological resources existing within the Preserve, and implement basic stewardship in accordance with the R.MP; and 5-30 WHEREAS, on May 6, 2009, a Request for Qualifications was distributed to qualified biological consultants in order to solicit candidates interested in serving as the Otay Ranch Preserve StewardlBiologist; and WHEREAS, upon completing a competitive bidding process, the City, with POM staff concurrence, has selected RECON Environmental, Inc. (RECON) to serve as the Preserve StewardlBiologist in order to manage and monitor the biological resources within the Preserve in accordance with the approved Otay Ranch RMP. NOW THEREFORE BE IT RESOLVED that the City Council does hereby approve the two-party agreement with RECON and the City of Chula Vista for biological consulting services as the Preserve Steward/Biologist for the Otay Ranch Preserve (the "Agreement") and authorizes the City Manager to execute the Agreement, and up to four I-year extensions to the Agreement, on behalf of the City. Presented by Approved as to form by ~aftf) . leI.. . At! mey Gary Halbert, P.E., AICP Deputy City Manager I Development Services Director J:\Planning\Josie\PON1\Preserve Biologist - RFQ\RESO_2pty Agreementl.doc 5-31 THE ATTACHED AGREEMENT HAS BEEN REVIEWED AND APPROVED AS TO FORM BY THE CITY ATTORNEY'S OFFICE AND WILL BE FORt\1ALL Y SIGNED UPON APPROVAL BY THE CITY COUNCIL g~ O~/ f, City Attorney Dated:~ ?-q! n, AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND RECON ENVIRONMENTAL, INC. FOR BIOLOGICAL CONSULTANT SERVICES ASSOCIATED WITH THE OT A Y RANCH PRESERVE STEW ARD/BIOLOGIST 5-32 Parties and Recital Page(s) Agreement between City of Chula Vista and RECON Environmental, Inc. for Biological Consultant Services Associated with the Otay Ranch Preserve StewardlBiologist This agreement ("Agreement"), dated for the purposes of reference only, and effective as of the date last executed unless another dite is otherwise specified in Exhibit A, Paragraph I, 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, on May 6,2009, a Request for Qualifications was distributed to qualified biological consultants in order to solicit candidates interested in serving as the Otay Ranch Preserve StewardlBiologist; and Whereas, the property which is the subject matter of this Agreement is commonly known as Otay Ranch Preserve, and is shown as set forth in the attached Exhibit B ("Property"); and, Whereas, the City received proposals from four biological consultants in response to the formal Request for Qualifications; and Whereas, the City evaluated each submittal based on clarity, approach, cost, qualifications, and completeness; and Whereas, through a competitive bid process, the Consultant was selected based upon its proposed approach and demonstrated qualifications to perform the services outlined in the detailed scope of work; 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. (End of Recitals. Next Page starts Obligatory Provisions.) 5-33 Page I Obligatory Provisions Pages NOW, THEREFORE, BE IT RESOLVED that the City and Consultant do hereby mutually agree as follows: 1. Consultant's Duties A. General Duties 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 referred 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 IO(C), 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. 5-34 Page 2 F. Insurance Consultant must procure insurance against claims for injuries to persons or damages to property that may arise from or in connection with the performance of the work under the contract and the results of that work by the Consultant, his agents, representatives, employees or subcontractors and provide documentation of same prior to commencement of work. The insurance must be maintained for the duration of the contract. Minimum Scope of Insurance Coverage must be at least as broad as: (1) Insurance Services Office Commercial General Liability coverage (occurrence Form CGOOOl). (2) Insurance Services Office Form Number CA 0001 covering Automobile Liability, Code I (any auto). (3) Workers' Compensation insurance as required by the State of Califomia and Employer's Liability Insurance. (4) Professional Liability or Errors & Omissions Liability insurance appropriate to the Consultant's profession. Architects' and Engineers' coverage is to be endorsed to include contractual liability. Minimum Limits of Insurance Contractor must maintain limits no less than: 1. General Liability: (Including operations, products and completed operations, as applicable) 2. Automobile Liability: 3. Workers' Compensation Employer's Liability: 4. Professional Liability or Errors & Omissions Liability: $1,000,000 per occurrence for bodily injury, personal injury and property damage. If Commercial General Liability insurance with a general aggregate limit is used, either the general aggregate limit must apply separately to this projectJlocation or the general aggregate limit must be twice the required occurrence limit. $1,000,000 per accident for bodily injury and property damage. Statutory $1,000,000 each accident $1,000,000 disease-policy limit $1,000,000 disease-each employee $1,000,000 each occurrence Deductibles and Self-Insured Retentions 5-35 Page 3 Any deductibles or self-insured retentions must be' declared to and approved by tbe City. At the option of the City, eitber the insurer will reduce or eliminate such deductibles or self-insured retentions as they pertain to the City, its officers, officials, employees and volunteers; or tbe Consultant will provide a financial guarantee satisfactory to the City guaranteeing payment of losses and related investigations, claim administration, and defense expenses. Other Insurance Provisions The general liability, automobile liability, and where appropriate, tbe worker's compensation policies are to contain, or be endorsed to contain, tbe following provisions: (1) The City of Chula Vista, its officers, officials, employees, agents, and volunteers are to be named as additional insureds witb respect to liability arising out of automobiles owned, leased, hired or borrowed by or on behalf of the Consultant, where applicable, and, with respect to liability arising out of work or operations performed by or on behalf of the Consultant, including providing materials, parts or equipment furnished in connection with such work or operations. The general liability additional insured coverage must be provided in the form of an endorsement to tbe contractor's insurance using ISO CG 2010 (11/85) or its equivalent. Specifically, tbe endorsement must not exclude Products/Completed Operations coverage. (2) The Consultant's General Liability insurance coverage must be primary insurance as it pertains to tbe City, its officers, officials, employees, agents, and volunteers. Any insurance or self-insurance maintained by the City, its officers, officials, employees, or volunteers is wholly separate from tbe insurance of tbe contractor and in no way relieves the contractor from its responsibility to provide insurance. (3) The insurance policy required by this clause must be endorsed to state tbat coverage will not be canceled by either party, except after thirty (30) days' prior written notice to the City by certified mail, retUrn receipt requested. (4) Coverage shall not extend to any indemnity coverage for the active negligence of the additional insured in any case where an agreement to indemnify tbe additional insured would be invalid under Subdivision (b) of Section 2782 of tbe Civil Code. (5) Consultant's insurer will provide a Waiver of Subrogation in favor of tbe City for each required policy providing coverage during the life of this contract. If General Liability, Pollution and/or Asbestos Pollution Liability and/or Errors & Omissions coverage are written on a claims-made form: (1) The "Retro Date" must be shown, and must be before the date of tbe contract or the beginning of the contract work. (2) Insurance must be maintained and evidence of insurance must be provided for at least five (5) years after completion of the contract work. 5-36 Page 4 (3) If coverage is canceled or non-renewed, and not replaced with another claims-made policy form with a "Retro Date" prior to the contract effective date, the Consultant must purchase "extended reporting" coverage for a minimum of five (5) years after completion of contract work. (4) A copy of the claims reporting requirements must be submitted to the City for review. Acceptability of Insurers Insurance is to be placed with licensed insurers admitted to transact business in the State of California with a current A.M. Best's rating of no less than A V. If insurance is placed with a surplus lines insurer, insurer must be listed on the State of California List of Eligible Surplus Lines Insurers ("LESLI") with a current A.M. Best's rating of no less than A X. Exception may be made for the State Compensation Fund when not specifically rated. Verification of Coverage Consultant shall furnish the City with original certificates and amendatory endorsements effecting coverage required by this clause. The endorsements should be on insurance industry forms, provided those endorsements or policies conform to the contract requirements. All certificates and endorsements are to be received and approved by the City before work commences. The City reserves the right to require, at any time, complete, certified copies of all required insurance policies, including endorsements evidencing the coverage required by these specifications. Subcontractors Consultants must include all subconsultants as insureds under its policies or fumish separate certificates and endorsements for each subconsultant. All coverage for subconsultants are subject to all of the requirements included in these specifications. G. Security for Performance (I) Performance Bond In the event that Exhibit A, at Paragraph 18, 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 in the form prescribed by the City and by such sureties which are authorized to transact such business in the State of California, listed as approved by the United States Department of Treasury Circular 570, http://www-fms.treas.gov/c570, and whose underwriting limitation is sufficient to issue bonds in the amount required by the agreement, and which also satisfy the requirements stated in Section 995.660 of the Code of Civil Procedure, except as provided otherwise by laws or regulations. All bonds signed by an agent must be accompanied by a certified copy of such agent's authority to act. Surety companies must be duly licensed or authorized in the jurisdiction in which the Project is located to issue bonds for the , 5-37 Page 5 limits so required. Form must be satisfactory to the Risk Manager or City Attorney which amount is indicated in the space adjacent to the term, "Performance Bond", in said Exhibit A, Paragraph 18. (2) Letter of Credit In the event that Exhibit A, at Paragraph 18, 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 Exhibit A, Paragraph 18. (3) Other Security In the event that Exhibit A, at Paragraph 18, 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 irrunediately preceding the subparagraph entitled "Other Security"), then Consultant shall provide to the City such other security therein listed in a form and amount satisfactory to the Risk Manager or City Attorney. H. 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, f1les 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 9, and with the further understanding that delay in the provision of these materials beyond thirty (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 17,"but in no event more frequently than monthly, on the day of the period indicated in Exhibit A, Paragraph 17, City shall compensate Consultant for all services rendered by Consultant according to the terms and conditions set forth 5-38 Page 6 in Exhibit A, Paragraph 10, 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 18 of Exhibit A, 'and shall compensate Consultant for out of pocket expenses as provided in Exhibit A, Paragraph II. 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 17(C) to be charged upon making such payment. 3, Administration of Contract Each party designates the individuals ("Contract Administrators") indicated on Exhibit A, Paragraph 12, 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 13. 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 performance. 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 13 ("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 5-39 Page 7 If Consultant is designated on Exhibit A, Paragraph 14, 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 14 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 that 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 14. 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 5-40 Page 8 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 twelve months thereafter. Consultant agrees that Consultant Associates shall not acquire any such Prohibited Interest within the Term of this Agreement, or for twelve 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 that 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 or alleged by third parties to be the result of the negligent acts, errors or omissions or the willful misconduct of the Consultant, and Consultant's employees, subcontractors or other persons, agencies or firms for whom Consultant is legally responsible in connection with the execution of the work covered by this Agreement, except only for those claims, damages, liability, costs and expenses (including without limitations, attorneys fees) arising from the sole negligence or sole willful misconduct of the City, its officers, employees. Also covered is liability arising from, connected with, caused by or claimed to be caused by the active or passive negligent acts or omissions of the City, its agents, officers, or employees which may be in combination with the active or passive negligent acts or omissions of the Consultant, its employees, agents or officers, or any third party. With respect to losses arising from Consultant's professional errors or omissions, 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) except for those claims arising from the negligence or willful misconduct of 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. Consultant's obligations under this Section shall not be limited by any prior or subsequent declaration by the Consultant. Consultant's obligations under this Section shall survive the termination of this Agreement. For those professionals who are required to be licensed by the state (e.g. architects, landscape architects, surveyors and engineers), the following indemnification provisions should be utilized: (1) Indemnification and Hold Harmless Agreement With respect to any liability, including but not limited to claims asserted or costs, losses, attorney fees, or payments for injury to any person or property caused or claimed to be caused by the acts or omissions of the Consultant, or Consultant's employees, agents, and officers, arising 5-41 Page 9 out of any services performed involving this project, except liability for Professional Services covered under Section 7.2, the Consultant agrees to defend, indemnify, protect, and hold harmless the City, its agents, officers, or employees from and against all liability. Also covered is liability arising from, connected with, caused by, or claimed to be caused by the active or passive negligent acts or omissions of the City, its agents, officers, or employees which may be in combination with the active or passive negligent acts or omissions of the Consultant, its employees, agents or officers, or any third party. The Consultant's duty to indemnify, protect and hold harmless shall not include any claims or liabilities arising from the sole negligence or sole willful misconduct of the City, its agents, officers or employees. This section in no way alters, affects or modifies the Consultant's obligation and duties under Section Exhibit A to this Agreement. (2) Indemnification for Professional Services. As to the Consultant's professional obligation, work or services involving this Project, the Consultant agrees to indemnify, defend and hold harmless the City, its agents, officers and employees from and against any and all liability, claims, costs, and damages, including but not limited to, attorneys fees, that arise out of, or pertain to, or relate to the negligence, recklessness or willful misconduct of Consultant and its agents in the performance of services under this agreement, but this indemnity does not apply liability for damages for death or bodily injury to persons, injury to property, or other loss, arising from the sole negligence, willful misconduct or defects in design by City or the agents, servants, or independent contractors who are directly responsible to City, or arising from the active negligence of City. 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, 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 5-42 Page 10 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 unfmished documents and other materials described hereinabove shall, at the option of the City, become City's sole and exclusive property. 1f 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. II. 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 notation), without prior written consent of City. City hereby consents to the assignment of the portions of the Defined Services identified in Exhibit A, Paragraph 16 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 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 aod 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 aoy 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, aod Consultant shall be solely responsible for the payment of same aod shall hold the City harmless with regard thereto. 14. Administrative Claims Requirements and Procedures 5-43 Page 11 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 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 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 15 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. 5-44 Page 12 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 diss;harged 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 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. (End of page. Next page is signature page.) 5-45 Page l3 Signature Page to Agreement between City of Chula Vista and RECON Environmental, Inc. (RECON) for Biological Consultant Services Associated with the Otay Ranch Preserve StewardJBiologist 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: City of Chula Vista By: James D. Sandoval, City Manager Attest: Donna Norris, City Clerk Approved as to form: Bart Miesfeld, City Attorney Dated: RECON Environmental, Inc. "'-l lfi ,'" B <~-V .ll~'----- y ,. Robert MacAller, President Exhibit List to Agreement (x) Exhibit A. (x) Exhibit B. 5-46 Page 14 I. Effective Date of Agreement: 2. City-Related Entity: Exhibit A to Agreement between City of Chula Vista and RECON Environmental, Inc. August 4. 2009 (x) City of Chula Vista, a muoicipal chartered corporation of the State of California ( ) Redevelopment Agency of the City of Chula Vista, a political subdivision 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 A venue Chula Vista, CA 91910 4. Consultant: RECON Environmental, Inc. 5. Business Form of Consultant: ( ) Sole Proprietorship ( ) Partnership (X) Corporation 6. Place of Business, Telephone and Fax Number of Consultant: 1927 Fifth Avenue San Diego, CA 92101-2358 Voice Phone: (619) 308-9333 Fax Phone: (619) 308-9334 5-47 Page 15 7. General Duties: Consultant shall provide a specific biologist as the preserve steward who will be expected to perform the majority of the monitoring and management tasks needed and will be responsible for subcontracting with biologists who have additional expertise, as needed. Consultant must have the ability to manage subcontractors for management and monitoring tasks that the Consultant does not have the expertise to complete. The preserve steward shall: (a) Have extensive field experience and demonstrate the ability to manage large areas ofland, (b) Be qualified to conduct field surveys as well as prepare written documents, including graphics, (c) Have the required permits to survey for listed species in the Otay Ranch Preserve (e.g., gnatcatchers, Quino, etc.) or the ability to subcontract to biologists with the necessary permits, (d) Have knowledge of the adopted Phases 1 and 2 Otay Ranch Resource Management Plans (RMP), and, (e) Have knowledge of the adopted Multiple Species Conservation Program (MSCP) Subregional Plan, MSCP Subarea Plans for the City and County. The preserve steward shall assist the POM in ensuring compliance with these programs/plans. 8. Scope of Work and Schedule: A. Detailed Scope of Work: Tasks that may be required include but are not limited to the following. 1. On-Going Services A. Prepare an Annual Wark Plan recommending management and monitoring tasks to be accomplished during the next fiscal year. The work plan shall include, but is not limited to, the following: 1. Recommendation of tasks to be performed in priority order; 2. Citations of how the tasks relate to the RMP (cite specific enabling RMP goals, objectives, policies or implementation measure); 3. Expected outcome including success criteria; 4. Estimated costs; 5. Recommendation of who will perform the task; and 6. Recommendation of time frame. B. Oversee and coordinate Otay Ranch preserve management, monitoring, and reporting with the Wildlife Agencies, the POM, Otay Ranch land owners who may convey lands within the Preserve, regional monitoring entities, interested public groups, and the general public. 5-48 Page 16 C. Provide science-based technical recommendations to paM staff and any contractors retained to conduct specific management tasks, monitoring, data collection and analysis, and adaptive management programs. D. Perform biological monitoring as directed by paM staff. E. Participate and represent the paM in regional or subregional meetings relating to preserve management and monitoring to ensure management and monitoring efforts within the Preserve are not being duplicated. Meetings may include: 1. Monthly MSCP Monitoring Group meetings 2. SAt"\iDAG Environmental Mitigation Program Working Group meetings 3. Otay Valley Regional Park (OVRP) Joint Exercises of Power Agreement (JEPA) meetings if the agenda includes items associated with the Otay Ranch Preserve F. Implement basic stewardship including, but not limited to, the following: 1. Monitor existing fencing/gates and identify needs for additional access control; provide minor repairs and coordinate with appropriate contractor to repair or construct more significant fencing! gate needs; 2. Remove minor amounts of trash, litter, and debris; monitor and report to appropriate contractor to remove significant amounts of trash, litter, and other debris; 3. Remove small acreages of weeds and exotics that are found during routine patrols (significant eradication projects are covered under section C. Adaptive Management); and 4. Monitor and report enforcement issues, including off-road traffic, trespassing, grazing, shooting, and illegal dumping to enforcement agencies, such as, the County Sheriffs Department, City Police Department, U.S. Border Patrol, and property owners. G. Participate in public hearings/meetings, Resource Agencies meetings, and field visits. H. Complete tasks within time and budget requirements. II. Biological Surveys and On-Going Biological Monitoring Provide biological research, data collection and analyses including, but not limited to, the following: 5-49 Page 17 A. As a part of the Annual Work Plan, determine the biological studies, reports, and focused surveys that need to be undertaken in the Preserve. B. Conduct biological reconnaissance and biological field surveys, including focused surveys for threatened or endangered species (e.g. California gnatcatcher, coastal cactus wren) and/or monitoring of these species per USFWS monitoring protocols. C. Assist in the preparation of biological resource reports meeting City, County, State and Federal criteria. D. Provide science-based technical recommendations to POM staff and any contractors hired for specific management tasks for survey design, monitoring protocols, data collection and analysis, and adaptive management programs. III. Adaptive Management A. Prioritize threats to the preserve and provide guidance to POM staff on direct management actions to deal with those threats. B. Prepare and coordinate implementation of plans for comprehensive eradication and control of exotics. This may include mapping exotic species infestations and detailing methods to employ to remove such infestations. C. Develop and/or coordinate implementation of biological restoration programs, including ecological restoration/creation plans for any sensitive habitat, sensitive floral or faunal species, and erosion control plans. 1. Provide specialized biological assistance required for the preparation of the restoration program, including wetland and sensitive habitat delineation, and vegetation and wildlife assessment. 2. Develop revegetation plans, cost estimates, and specifications for plan implementation. 3. Develop irrigation plans, cost estimates, and specifications for plan implementation. 4. Develop and/or implement restoration monitoring plans and monitoring schedules. 5. Perform restoration monitoring. D. Continuously evaluate the effectiveness and efficiency of preserve management activities in view of available resources and ensure consistent use of the most cost-effective methods for management. 5-50 Page 18 IV. Reporting A. Prepare and submit monthly reports for the fIrst year and quarterly reports for subsequent years to POM staff. These reports shall summarize fIeld observations including, but not limited to, the following: 1. List of species observed during the observation period; 2. Areas in need of invasive control, remediation, and/or restoration; 3. Management and monitoring tasks recommended to be implemented; 4. Prioritization of those management and monitoring tasks; 5. Basic stewardship activities; and 6. Progress towards completion of the annual Work Program. V. Other services that may be required A. Prepare and! or assist in identifying discrepancies in management and monitoring requirements between the adopted MSCP Subarea Plans for the County and City and the Otay Ranch Phase 2 RMP. B. Assist in the preparation of grant proposals to apply for additional funding for Preserve management tasks beyond what is needed to be consistent with the RtVlP and MSCP. C. Assist in the technical reVlSlons of Phase 2 RMP and provide recommendations for prioritization and implementation of resource management directives. B. Date for Commencement of Consultant Services: (X) Same as Effective Date of Agreement ( ) Other: C. Dates ar Time Limits for Delivery of Deliverables: , The Consultant may be required to prepare and submit the following deliverables throughout the term of this Agreement. Additional deliverables not noted below, but related to the scope of work identifIed in Section 8.A. (Detailed Scope of Wark) of this Agreement, may be requested on an as-needed basis. At the time of the request, the City will provide the Consultant with the submittal requirements for the deliverable(s) and deliverable shall be completed to the satisfaction of the City. Page 19 5-51 Deliverable No.1: Monitoring reports shall be due bi-weekly for the first six months and shall be emailed to the contract administrator. Subsequent monitoring reports shall be submitted quarterly or based on the request of the City. Deliverable No.2: An Annual Work Plan summanZillg proposed management and monitoring tasks to be completed during the next fiscal year, including, but not limited to the following, prioritization of management and monitoring tasks to be implemented; Deliverable No.3: Prepare and submit biological resource reports, in order to document the habitat and/or wildlife species observed during biological reconnaissance and/or focused biological surveys. Deliverable No.4: Prepare and submit plans for comprehensive eradication and control of exotics, which may include maps detailing exotic species infestations and methods to remove such invasi ves. Deliverable No.5: Prepare and submit biological restoration plans, including ecological restoration/creation plans for any sensitive habitat, sensitive floral or faunal species, and erosion control plans. Deliverable NO.6: Pursuant to Section 8.A. (Detailed Scope of Work) of this document, other reports/documentation/GIS data may be requested on an as- needed basis and completed to the satisfaction on the City. D. Date for completion of all Consultant services: I-year from the Effective Date of this Agreement; however, the City shall have the option to renew this Agreement on an annual basis, at the City's sole discretion, for four additional I-year terms. The City Manager shall have the authority to exercise each option to renew. The City Council may authorize subsequent renewals, at its discretion. 9. Materials Required to be Supplied by City to Consultant: None. 10. Compensation: A. ( ) Single Fixed Fee Arrangement. F or 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: 5-52 Page 20 Milestone or Event or Deliverable Amount or Percent of Fixed Fee ( ) 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 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 that 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 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 this agreement to a time and materials basis of payment. B. ( ) 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 1. 2. 3. Fee for Said Phase $ $ $ ( ) 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 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 that mustbe returned to the City if the Phase is not satisfactorily completed.lfthe 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 Contracts Administrator designated herein by the City, or 5-53 . Page 21 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 this agreement to a time and materials basis of payment. C. (X) Hourly Rate Arrangement For performance of the Defined Services by Consultant as herein required, City shall pay Consultant for the productive hours oftirne 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) (X)Not-to-Exceed Limitation on Time and Materials Arrangement Notwithstanding the expenditure by Consultant oftime and materials in excess of said Ma,imum Compensation amount, Consultant agrees that Consultant will perform tasks of the Defined Services herein required of Consultant for an amount up to $ 350.000 . including all Materials, and other "reimbursables" ("Maximum Compensation"). The rates set forth in the Rate Schedule below shall be effective upon execution of this Agreement. If the City elects to renew this Agreement, pursuant to Section S.D. of this Exhibit A, the Consultant shall continue to be compensated at the rates set forth in the Rate Schedule below, for up to two I-year renewal periods. After such time, if the City chooses to exercise its option to renew the Agreement, the City and the Consultant shall negotiate the rate schedule at the time of renewal. The total amount of compensation for each renewal period shall not exceed the CFD funds available for purposes of compensating the Consultant, as determined by City's finance staff. (2) ( ) Limitation without Further Authorization on Time and Materials Arrangement 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. Categorv of Emplovee Principal in Charge Principal Principal Rate Schedule Name ofConsultant(s) Paul Fromer Peter Tomsovic Robert MacAller Hourlv Rate $169 $169 $169 5-54 Page 22 Senior Biologist Mark Dodero $139 Senior Biologist Wendy Loeffler $139 Senior Biologist John Lovio $139 Associate Biologist Brenna Ogg $113 Associate Biologist Raquel Atik $113 Associate Biologist Erin McKinney $113 Analyst Mike Nieto $94 Assistant Anna Bennett $80 Assistant Alexander Forner $80 Assistant Elizabeth Proscal $80 Production Greg Kazmer $67 Production Steven Gaughran $67 Crew Various $40 GIS Technician Frank McDermott $74 GIS Technician Sean Bohac $74 ( ) Hourly rates may increase by 6% for services rendered after [month], 20_, if delay in providing services is caused by City. 11. Materials Reimbursement Arrangement F or the cost of out 0 f pocket expenses incurred by ~onsultant in the performance of services herein required, City shall pay Consultant at the rates or amounts set forth below: ( ) None, the compensation includes all costs. () Reports, not to exceed $6!bound report plus $0.08/page(B&W) and $1.00 (color): () Copies, not to exceed $0.08/page (B&W) and $1.00 (color): () Travel, not to exceed $0: () Printing, not to exceed $O.OS/page (B&W) and $1.00 (color): 5-55 Cost or Rate $6!bolmd report plus $0.08/page(B&Vl) and $1. OO/page (color): SO.08/page (B&W) and $1.00/page (color) SO.OO $0.08/page (B&W) and $1.00/page (color) Page 23 () Postage, not to exceed Standard USPS rates, no mark up: () Delivery, not to exceed Standard delivery rates, no mark up: () Long Distance Telephone Charges, not to exceed $0.00. () Other Actual Identifiable Direct Costs: . Standard herbicide mix (glyphosate only), dye, activator, and conditioner not to exceed $90/gallon: . 2000 gallon Water Truck, not to exceed $250/day: . Herbicide Truck, not to exceed $250/day: . 40 yard bin, not to exceed $430/bin: . Plant material, not to exceed $3.50/1 gallon (standard species) 12. Contract Administrators: City: Josie McNeeley, Associate Planner 276 Fourth Avenue, Public Services Building 300 Chula Vista, CA 91910 (619) 409-5922 Consultant: Paul Fromer, Principal 1927 Fifth Avenue San Diego, CA 92101-2358 (619) 308-9333 13. Liquidated Damages Rate: ( ) $ ( ) Other: per day. Standard USPS rates Standard deli very rates $0.00 $ $90/gallon $250/day $250/day $430/bin $3.25/1 gallon 14. Statement of Economic Interests, Consultant Reporting Categories, per Conflict of Interest Code: (X)Not Applicable. Not an FPPC Filer. ( ) FPPC Filer ( ) Category No. 1. Investments and sources of income. ( ) Category No.2. Interests in real property. ( ) Category No.3. Investments, interest in real property and sources of income subject to the regulatory, permit or licensing authority of the department. 5-56 Page 24 ( ) Category No.4. Investments in business entities and sources of income that 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, 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: 15. ( ) Consultant is Real Estate Broker and/or Salesman 16. Permitted Subconsultants: In the event the Consultant finds it necessary to retain a subconsultant to complete any of the services identified in Section S.A. (Detailed Scope of Work) of this Agreement, the selection of the subconsultant shall be subject to the approval of the City. 17. Bill Processing: A. Consultant's Billing to be submitted for the following period of time: (X) Monthly ( ) Quarterly ( ) Other: . B. Day of the Period for submission of Consultant's Billing: ( ) First of the Month Page 25 5-57 ( ) 15th Day of each Month (X) End of the Month ( ) Other: C. City's Account Number: 18. Security for Performance ( ) Performance Bond, $ ( ) Letter 0 f 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: J:\PlanningVosie\POivf\Preserve Biologist - RFQ\2PTY Agreementdoc 5-58 Page 26 CITY COUNCIL AGENDA STATEMENT l}\f? CITY OF ...~ - (HUlA VISTA AUGUST 4, Item ~ ITEM TITLE: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AUTHOPlZING THE CITY MAi'lAGER TO APPLY FOR STA TE OF CALIFORNIA HOMELESS PREVENTION AND RAPID RE~HOUSING PROGRAM (HPRP) FUNDS A1'JD EXECUTE ANY DOCUMENTS NECESSARY TO OBTAIN W7!JRANT FUNDS DEPUTY CITY MA1'JAGE~~EVELOPMENT SERVICES DIRECTOR ~ CITY MANAGER/V 4/5THS VOTE: . YES D NO 0 SUBMITTED BY: REVIEWED BY: SUMMARY The City of ChuIa Vista has the opportunity to apply for additional HPRP funds through the State of California in a collaborative partnership ';,;ith South Bay Community Services and the Legal Aid Society of San Diego. This action allows the City Manager to submit all documents necessary to obtain the grant funds. ENVIRONMENTAL REVIEW The Environmental Review Coordinator has reviewed the proposed project for compliance ""ith the National Environmental Policy Act (N"EPA) and has determined that the project qualifies for a Certification of Exemption pursuant to Title 24, Part 58.34(a)(2)&(3) of the Code of Federal Regulations and pursuant to the U.S. Department of Housing & Urban Development Environmental Guidelines. Thus, no further environmental review is necessary. RECOMMENDATION Adopt the resolution. BOARDS/COMMISSION RECOMMENDATION Not Applicable DISCUSSION 6-1 8/4/09, Item C: Page 2 The City of Chula Vista was recently approved for $819,738 of one-time HPRP funds. The program provides stimulus funds authorized under the Recovery Act. Generally, the intent of HPRP assistance is to rapidly transition program participants to stability, either through their own means or through public assistance, as appropriate. The priority is to serve households that are most in need of temporary assistance and are most likely to achieve stable housing after HPRP program concludes. The funds may not be used to assist households at risk of foreclosure. '. Additional HPRP funds were allocated to the states to distribute to additional jurisdictions. On July 8, 2009, the State of California, Department of Housing and Community Development, Division of Financial Assistance, issued a Notice of Funding Availability under the American Recovety and Reinvestment Act-Homelessness Prevention and Rapid Re-Housing Program. Although Chula Vista received a direct allocation from HUD, the State is allov.-ing for jurisdictions to apply for additional funding at a less competitive score. City staff is looking to submit a collaborative application with South Bay Community Services and the Legal Aid Society of San Diego. Attached to this staff report are: a SummlliJ' of eligible uses is included (Attachment 1), a graphic display of the proposed service model (Attachment 2), and the draft application Attachment 3). A brief synopsis is provided below. . Target HPRP funds for homeless families with children, youth on their own (emancipated foster youth), and families fleeing domestic violence. . A rough estimate of the number of households served is 50, but this depends on how many months households will require rental assistance. . Households could be referred by a variety of sources (school liaisons, 211, social service providers, etc.), but would all come through one agency. . South Bay Community Services (SBCS) is the social service agency to implement the [mancial assistance and case management. The Legal Aid Society of San Diego will provide some housing stabilization services. . Case managers would provide intake, assessment, referrals, and other housing and stabilization services. . Rental assistance payments will be made by SBCS. The case manager will evaluate the families need every 3 months, with a maximum assistance of 18 months. Citizen ParticiDation Process The City of Chula Vista held two workshops to educate residents of potential American Recovery and Reinvestment Act funds coming to the City, and to receive feedback on the various sources. Staff also participated in six regional meetings in an effort to create a regional plan for HPRP funds. The regional group included other jurisdictions receiving the funds, SA1'<'DAG, Regional Task Force on the Homeless, San Diego Workforce Partnership, United Way, San Diego Grantmakers, the Regional Continuum of Care, and San Diego County HHSA. Another meeting was held with the South Bay Homeless Advocacy Coalition consisting of the homeless provider network in the South Bay region. 6-2 8/4/09, Item fo Page 3 I Date I Meeting 7/26 I Homeless Prevention Funds Planning Group 3/12 i Homeless Prevention Funds Planning Group 3/23 Stimulus Funding Workshop 3/23 Stimulus Funding Workshop 3/76 I Homeless Prevention Funds Planning Group 3/26 i SANDAG- Homeless Prevention Funds Regional Plan 4/2 Homeless Prevention Funds Planning Group 4/6, South Bay Homeless Advocacy Coalition 4/13 I Homeless Prevention Funds Planning Group 4116 I Housing Advisory Commission The HPRP plan for the City's direct allocation was available for a two week comment period, To maximize transparency, materials were also posted on the City's website, DECISION MAKER CONFLICT Staff has reviewed the decision contemplated by this action and has determined that it is not site specific and consequently the 500 foot rule found in California Code of Regulations section I 8704,2(a)(l) is not applicable to this decision, FISCAL IMPACT This round of HPRP funds are coming from the U,S, Department of Housing and Urban Development through the State of California Department of Housing and Community Development Funds are available to help prevent very low income households from becoming homeless, Direct fmanciaI assistance, housing stabilization services and related administration are eligible HPRP uses, Funds totaling $900,000 are requested in the collaborative application, If approved. staff will return to City Council for appropriations, CURRENT YEAR FISCAL IMP ACT Stafftirne spent on grant administration is reimbursable up to the administrative cap, ONGOLNG FISCAL IMPACT The majority of expenditures are direct sen'ice delivery costs by outside agencies, These will be reimbursed from the grant Administrative duties that exceed the cap are absorbed by existing revenue offset staff ATTACHMENT L Summary of Eligible Uses 2, Service Model 3, Draft HPRP Application Prepared by: Amanda ,Mills, Housing Manager, Development Services Department 6-3 ATTACHMENT 1 HPRP ELIGIBLE USES Funds will provide financial assistance and services to prevent households from becoming homeless and help those who are experiencing homelessness to be quickly re-housed and stabilized. Funds allow for a variety of assistance, including: short (3 mos.) or medium term (up to 18 mos.) rental assistance, security deposit, and housing relocation and stabilization services. Funds must be spent within 3 years. General Program Areas: Prevention -working with near homeless to prevent homelessness Diversion -immediate effons to salvage a situation that may lead to homelessness Rapid Re-Housing -persons already homeless needing housing The program consists of four eligible activities: Financial Assistance-Financial assistance includes the following actlvll1es: rental assistance, security deposits, utility deposits, utility payments, moving cost assistance, and motel or hotel vouchers. Short (3 mos.) and medium (up to 18 mos.) term rental assistance is tenant-based rental assistance that can be used to allow households to remain in their existing units or to help them obtain and remain in rental units. Rental assistance may be used to pay up to 6-months of rental arrears to avoid eviction/unlawful detainer. Total rental assistance may not exceed a total of 18 months. After three months, if program panicipant receiving short-term rental assistance need additional fina!lcial assistance to remain housed, they must be evaluated for eligibility to receive additional months of rental assistance. Must verify eligibility at least once every three months for program panicipants receiving medium-term rental assistance. Utility assistance may be used to pay up to 18 months of utility payments, including up to 6 months of utility payments in arrears. Housing Relocation and Stabilization Services/Case Management-Case Management funds may be used for activities for the arrangement, coordination, monitoring, and delivery of services related to meeting the housing needs of program panicipation and helping them obtain housing stability. In addition to traditional case management functions, eligible housing stabilization services include: housing search and placement, legal services, and credit repair. Data Collection and Evaluation-Data collection and evaluation includes costs associated with operating HOD-approved homeless management information systems for purposes of collecting unduplicated counts of homeless persons and analyzing patterns of use of HPRP funds. The Recovery Act requires panicipation in data collection through HMIS or a comparable client-level database. Administrative Costs-Limited to 1 % of the total grant. 6-4 ATTACHMENT 2 HOMELESS PREVENTION SERVICE MODEL 6-5 STATE OF CALIFORNIA DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT (HCD) Homelessness Prevention .and Rapid Re-Housing Program (HPRP) 2009 FINAL FILING DATE: On or before August 6, 2009 4:00 P.M. 6-6 Table of Contents I. General Appli cation Information ............ ...................... .............. ............. ........ ... ............. .:............ ......... .................... ....... 1 II. Appl icant Prog ram Info rmation .... ....... ...................... ...... ......... .............................. .............. ............. ..,......... ..... .............2 III. Initial Outcomes Estim ates ............. ...................... ......... ...................................... ............... .... ........ ........ ........ ................4 IV. State Legislative and U.S. Congressional Information ................................................................................................5 V. Bud get.... ........ ....... ........................... .......... .................. ................. ............... ................... ....... ....... ............. ............... .........6 VI. Fund Draw Down Sched ule ...........................................................................................................................................12 VII. Threshold Questions .................................................................................. .................................................................. 12 A. Applicant Capability.............. B. Services Proposed ............ C. Outreach and Marketing... D. Fiscal Management...... ................. ......................... 12 ..............................13 ............15 ......16 VIII. Req u ired Attachments................... ................. ........................................................ ............. .................. ......................19 Attachment A - Resol ution ... ................... ..... ............ ......... .............. .................... ................................................ ...............20 Attachment B - Homelessness Prevention and Rapid Re-Housing Program (HPRP) Applicant Certifications ........21 Attachment C - Local Jurisdictional Approval .................................................................................................................23 ""o"mo" 0 . Coc.' Noo' A=o!rll'lr ..... .....J\......F....... mmmmmmm.................................." Attachment E - NonprofIt IRS Tat:1 S ....M.. . ................. ........................................................25 Attachment F - Outreach Plan ............................................................................................................................................26 Attachment G - Marketing Plan ..........................................................................................................................................27 Attachment H - Individualized Housing and Service Plan...............................................................................................28 Attachment I - HPRP Administrative Procedures ............................................................................................................29 Attachment J - Audit Report Findings......................................................,........................................................................30 Attachment K - Current Balance Sheet (For non-profits only) .................................~.....................................................31 Attachment L - Service Provider Agreement(s) or MOU(s) between Lead Agency and Partner Agency(s) ..............32 Attachment M - Payee Data Record (204) ..................,......................................................................................................33 6-7 .~~..o. STATE OF CALIFORNIA &.. i'" DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT \"'o~"o" HOMELESSNESS PREVENTION AND RAPID RE-HOUSING PROGRAM (HPRP) (NEW 07/09) I. General Application Information Generallnslructions 1 Read the Notice of Funding Availability and HPRP Notice carefully 2. Applicants must ,use a 1 Q-point or greater font size to complete the application forms 3. Round all amounts to the nearest dollar. 4. All sections, including the application Attachments must be tabbed. Number any attachments as an extension of the page number-where the attachment ,is requested. For example, if an attachment"was requested ion Page 7, '8 -one-page ,attachment would be numbered 7-1. Do-not,add attachments except those, which ,are'requested!or as necessary,to complete an answer. 5. Please submit one original application in a White 3-Ring Binder with :pockets and one copy of the originally signed application either bound with rubber bands or copy can be ,submittedon.a Compact Disk (CD) -'Labeled "Copy." The copy ,of application must include copies of the originally signed application pages..Allapplications must be'typed or legibly,printed. 6, All applications will be reviewed for completeness. 7. All applicants applying under "Attachment A" and "Attachment.S" fromthe,NOFA should complete Sections I through VIII. Application Type Single Agency:O Multi-Agency rgJ (Enter the Lead Agency's administrative infomnation) Note: Name of applicant must be the same as stated on the Articles of Incorporation, :Resolution and the.payee Data.Record. 1. Name of Applicant: City of Chula Vista County: County of San Diego I Nilmeof Prcject; Federal Tax ID Number (EIN)' 95-6000690 Address: Data Universal Numbers System (DUNS) : 276 Fourth Avenue City, State and Zip: Chula Vista, CA 91910 078-726551 Profit Status: o Non-Profit t8J Government If applicant is a Non-Profit, submit your 501 (C)(3) letter as Attachment E. 276 Fourth Avenue '0 Other 2. Authorized, Representative Infor , First. Middle and Last Names: James D. Sandoval Address: Area Code and Phone No.: Fax No.: E-Mail Address: (619) 691-5201 (619) 409-5884 jsandoval@ci.chula-vista.ca.us 3. Applicant Contact Information - D Check box. if same as Authorized 'Representative and go to next section. First, Middle and Last Names: Mandv Mills TItle: Housin!l Manaaer Address: City,stateandZlp: 276 Fourth Avenue Chula Vista, CA 91910 Area COde and Phone No.: Fax No.: E-Mail Address: (619) (619) 476-5310 amills@ci.chula-vista.ca.us 4. Fiscal Representative Information (Le., Accoun~ntlBookkeeper) First, Middle and Last Names: Maria Kachadoorian TItle: Director of Finance o Mr. [8] Mrs, OMs, o Other AddrllSs: City,stateandZip: 276 Fourth Avenue Chula Vista, CA 91910 (;;~).;~d;:;"~~~ F(~~~) 585-56851 ~~';~~~~oorian@Ci.ChUla-vista.ca.us 5. ,Data 'Collection Coordinator Information '(i.e., Person tracking outcomes.and Data collection, etc:) First, Middle and Last Names: TItle: Project Coordinator DMr. [8] Mrs. D Ms. o Other ..A!!gelica Davis Address: Arlla Code and Phone No.: Fax No.: E-Mail Address: City, State alndZip: Chula Vista, CA 91910 276 Fourth Avenue (619) 691-5036 (619) 476-5310 adavis@ci.chula-vista.ca.us 6. Central Contractor Registration (CCR) number:* *In order to draw funds, all sub-grantees must be registered in the Central Contractor Registration (CCR). This is required by Title XV, Subtitle A, Section 1512 of the American Recovery and Reinvestment Act and detailed in the HPRP Notice. If you are not reoistered, 00 to http://www.ccr.oov to renew. update or create a new reoistration. . 6-8 1 II. Applicant Program Information Instructions: Check only one box below. Single Agency - Complete Box 1; Continue to next page: Multi-Agency - Complete Box 1, for the Lead Agency and complete an additional :boxfor each Partner Agency. 1. Name of Applicant CITY OF CHULA VISTA Name of Project: CHULA VISTA HPRP COLLABORATIVE County: SAN DIEGO Applicant Status: Address: 276 FOURTH AVENUE City, State and Zip: CHULA VISTA, CA 91910 2. Partner Agency Information Name of Partner Agency South Bay Community Services Address: 1124 Bay Boulevard, Ste. 0 City, State and Zip: Chula Vista, CA 3. Partner Agency Information Name of Partner Agency Legal Aid Society of San Diego, Inc. Address: . 110 South Euclid Avenue City, State and Zip: San Diego, CA 4. Partner Agency Infonnation Name of Partner Agency n!. Address: o Non-Profit [81 Local Government County: San Diego Applicant Status: 91911 I2l Non-Profit o Local Government County: San Diego Applicant Status: 92114 lEI Non-Profit o Local Government City, State and Zip: o Non~Profit o Local Government 5. Partner Agency Information Name of Partner Agency Address: j County: I Applicant Status: o Non.Profit o Local Government City, State and Zip: 6. Partner Agency Information Name of Partner Agency Address: County: City, State and Zip: Applicant Status: o Non-Profit o Local Government 7. Partner Agency Information Name of Partner Agency Address: County: City, State and Zip: Applicant Status: o Non-Profit o Local Government 6-9 ? Program Type: Check all that apply [8:J Homelessness Prevention ~ Rapid Re-Housing 1. Does the Lead Agency/applicant and all the Partner Agencies currently participate in an existinq HMIS? (HMIS participation means your agency regularly contributes client data, from at least one of your homeless housing or service programs, into a Continuum of Care (COC) designated HMIS.) Yes ~ No 0 If NO, identify which agency(s) do not currently belong to an HMIS. If YES, what is the address where the data is entered?1124 SAY SL VD., CHULA VISTA, CA 91911 2. 3. 4. 5 6. Target Income: Check all that apply for Area Median Income (AMI) [8] 50% or less of AMI [8] 0% - 30% of AMI Target Population Check only those populations that the Outreach Plan will target and verify. i I i ~:hys::~_~isab'e~~~_DI 6. Sing~~~~__ ..0 111 Mentally III .. ................ .......=rs. Ge::ar Homeless .................0 i I -- -~ 117 Chronically Homeless 2. Persons Living with HIV/AIDS.. D! 7. Single Women. .............. .....0 12. Veterans ......... ...........01 (Must Meet Federal Definition) '.' 0 . 3~?~~~m~~;~~iedtrs o:_~ ~(~a:ilies~__h_~_mnnnn o 113. Victims of o::e~Jc vio,e::_.~l~ o~e; ~:=~::~::=~:~nn:n ~: 4. FosterYouths (18-24 Yearsorl. =:I~ , 01. .n < 18 & Emancipated) ...nnn.m.n 01 9. ..~~gra:t Farm wo~~rs.mn..n 14. Substance Ab~sers .nnnnn.n. .~a"'oRKS .nmm.n...nn. .nmO 5. Single Adults ........................... D\ 10. Seniors................................O 15. Dually-Diagnosed.... ..Oi20. 581 Recipients ................. ....0 6-10 3 III. Initial Outcomes Estimates Complete the data for each category below. The data reported is "estimated". HCD will use these "estimates" to report to HUD the Initial Outcomes submitted by funded applicants. Note: There are two separate timeframes to consider before gathering the data. The timeframes are listed below. Reporting period 1: July 2, 2009 through September 30, 2009 Reporting period 2: October 1, 2009 through September 30, 2012 (3 year grant period) 1. Number of Unduplicated Individuals and Families to be served 7-2-09 throuah 9-30-09 10-1-09 throunh 9-30-12 Number of Undupllcated Individuals to be Served Number of Families to be Served 2. Number of New Jobs Created and Jobs Retained by Activity (Full Time Equivalent (FTE) =160 hours per month) Total Estimated Number of Jobs Created Total Estimated Number of Jobs Created Total Estimated Number of Jobs Retained Total Estimated Number of Jobs Retained 7-2-09 throu h 9-30-09 10-1-09 throu h 9-30-12 7-2-09 throu h 9-30-09 10-1-09 throu h 9-30-12 1. Homelessness Preventjon 2. Rapid Re-Hausing Totals EXAMPLE y ea participating agency; 3. Identify all Service Area(s) w . Partner Agency Outreach Services Inc. Service Area 5) City of Citrus Heights, Elk Grove, ,Rancho Cordova City of Elk Grove Lead Agency Partner Agency Crisi~ Action Agency l City of.RanchoCordova Participatina Aaencvlsl Service Area{s) Lead Agency City Of Chula Vista Chula Vista Partner Agency South Bay Community Services Chula Vista Partner Agency Legal Aid of San Diego, Inc. Chula Vista Partner Agency Partner Agency Partner Agency Partner Agency Partner Agency Is any participating agency listed above part of another HPRP application submitted to HCD? Yes [gJ No 0 If yes, give the name of the participating agency and list the service area(s) being served under that. Application. South Bay Community Services is the lead agency serving National City 6-11 4 IV. State Legislative and U.S. Congressional Information For State Legislators: http://www.leqinfo.ca.qoV Provide the District Information .for all agencies included in this application , on page 3. Use your project address zip code to verify each districtand enter the data below. 'For U.S. House of Representatives: Find Who Represents You In Conqress Open the link and use your project address zip code to verify each district. Single Agency 0 Lead Aaencv ' .[Xj' District # First Name 'Last Name State Assemblv Member 79 Salas Marv State Senate Member 40 Ducheny Denise U S. House of Representatives 51 Filner Bob 1. Partner Aaency . District # First Name Last Name State Assembly Member 79 Salas Marv State Senate Member 40 Ducheny . Denise U.S. House of Representatives 51 Filner Bob 2. Partner Aqency District # First Name Last Name State Assembly Member 79 Salas Marv State Senate Member 40 Ducheny Denise U.S. House of Representatives 51 Filner Bob 3 Partner Aqency .~ ~Name 'Last Name State Assemblv Member - ,. I . '!l State Senate Member ~i . 111 U.S House of Representatives 4. Partner Aaencv District # First Name Last Name - State Assembly Member State Senate Member U.S. House of Representatives 5. Partner Aaencv District # First Name Last Name State Assembly Member State Senate Member U.S House of Representatives 6. Partner Aqency District # 'First Name Last Name State Assemblv Member State Senate Member U.S. House of Representatives 7 Partner Aqency District # First Name Last Name State Assemblv Member State Senate Member I U S. House of Representatives 6-12 5 v. Budget Budget Sheet Instructions . A separate budget for each selected program (i.e. Homeless Prevention/Rapid Re-Housing) must be completed. The budget forms include Proposed Budget - Service Costs; Proposed Budget - Personnel Costs; and Budget Activities Lead Sheet. . Budget Activities include: o Financial Assistance o Stabilization o Data Collection o Grant Administration . The HPRP Budget Activities Lead sheet is a cumulative display of the Proposed Budget - Service Costs and the Proposed Budget - Personnel Costs. . For a Multi-Agency application, the Lead Agency must submit a cumulative budget that represents the participating partner's budget information.. The Lead Agency will be responsible for maintaining the partner agencies budgets. . Please refer to the Department's Notice of Funding Availability (NOFA) and the HUD notice for eligible costs for this program. Plea" ,.f" to the .<ample DR:A:'FbT 6-13 6 HPRP BUDGET ACTIVITIES-LEAD SHEET Homelessness Rapid Re-Housing Total Amount Prevention Budgeted Financial Assistance $378,000.00 $216,000.00 $594,000.00 Housing Relocation and $126,000.00 $72,000.00 $198,000.00 Stabilization Services Subtotal $504,000.00* $288,000.00* $792,000.00 (Add previous two rows) (Maximum of 56% of Total Amount (Maximum of32% afTotal Requested) Amount Requested) Data Collection and Evaluation (Maximum of 11% of Total Grant Amount Requested) Grant Administration (Maximum of 1 % of Total Grant Amount Requested) $99,000.00* $9,000.00 The following budget percent $900,000.00 terminin their budget requests: Maior Budqet Activitv Homelessness Prevention* Rapid Re-housing* Data Collection and Evaluation* Grant Administration Should Not Exceed 56% of your total request 32% of your total request 11 % of your total request 1 % of your total request 100% 'Any budget activities marked with an asterisk and exceeding the above guide must include an attachment to the budget sheet(s) with a written justification for exceeding the guide. Justifications submitted must reflect the need for increased dollar amounts based upon need and service delivery. Attach any justification(s) behind the Budget in the application. Budget activities exceeding the guide that are not accompanied with a justification shall be lowered to the guide limit. After review of the pertinent justification(s), HCD may make adjustments to the proposed budget(s). Budget Limits Exceeded? Yes 0 No I2SJ Justification Submitted? Yes 0 No 0 6-14 7 c.n AODlicant/Oraanization: HOMELESSNESS PREVENTION PROGRAM - SERVICE COSTS HPRPPROPOSEDBUDGET Amount EIiWble Activities Reauested Descriotion of reouested Amount . . Financial Assistance . 'Short Term Rent (0-3 months) Medium Term Rent (4-18 months) Security Deposit Utilitv Deposits and Payments .",,,C,,,, lazr - I..- _ - Motel/Hotel Vouc rs . . . . . ( llll bm /Lu tal] Housing Relocation and Stabilization Services Credit Repair i (Vendors, Not partner agencies) Outreach and Enoaoement Leaal Services Case. Mana!1ement Housina Search & Placement Subtotal Data Collection Subtotal Grant Administration Subtotal 0'> I ~ 8 Applicant/Organization: HOMELESSNESS PREVENTION PROGRAM - PERSONNEL COSTS HPRP PROPOSED BUDGET Staff Title FTE' Agency Describe Major [Juties FinanCial Assistance Stabilization Data Collection Grant Admin. Total m I ~ m Subtotal Staff Costs 'Full Time Equivalent (FTE) =160 hours per month % Example: 80 Hours Worked + 160 hours=.5 FTE this should include only time spent working in this Program. 9 ADDlicantJOraanization: RAPIO RE-HOUSING PROGRAM - SERVICEC;051'S HPRP PROPOSED BUDGET EiI~ible Activities Amount Req uested Description Of requested Amount Financial Assistance. Short Term Rent (0-3 months) Medium Term Rent (4-18 months) Security Deposit Utility DeEosits and Payments Movinn Costs -.I Housing Relocation and . Stabilization Services "",II"",' V"l )Rj ~ r Credit Repair i!lllEill DIilI m I ~ _(Vendors, Not oartner agencies) Outreach and Ennanement Lenal Services Case Management Housin!l Search & Placement. Subtotal Data Collection Subtotal ',' - Grant Administration Subtotal 10 en I ~ Applicant/Organization: RAPID RE-HOU5ING PROGRAM -PERSONNEL costS - HPRP PROPOSED BUDGET Staff Title FTE' Agency Describe Major Duties FinanCial Stabilization Data Grant Total Assistance Collection Admin. .. :~\ :): Subtotal Staff Costs CD 'Full Time Equivalent (FTE) =160 hours per month % Example: 80 Hours Worked + 160.hours=.5 FTE this should include only time spent working in this Program. 11 VI. Fund Draw Down Schedule Using the Budget, complete this estimated Draw Down Schedule. (Note: It is a grant requirement that at a minimum, 60% of your grant funds must be spent by September 30, 2011. 100% of the grant funds must be spent no later than September 30, 2012.) (10/1-12/31) (1/1-3/31) (4/1-6/30) (7/1-9/30) Total Quarter 1 Quarter 2 Quarter 3 Quarter 4 l' Fiscal Year Ending 9-30-10 $75,000.0 $75,000.0 $75,000.0 $75,000.0 $300,000. 2nd Fiscal Year Ending 9-30-11 $75,000.0 $75,000.0 $75,000.0 $75,000.0 $300,000. 3rd Fiscal Year $75,000.0 $75,000.0 $75,000.0 $75,000.0 $300,000. Ending 9-30-12 VII. Threshold Questions A. Applicant Capability 1. How many years has your organization served the Homeless and/or At Risk population? , ~~~~:cg:~{;) Ie ^ f,;:+o;e'19 Total Years. '. ~ 2. Does the Lead Agency currently provide Homelessness Prevention and/or Rapid Re-Housing services? Yes cg] NoD List the Partner Agencies currently providing Homelessness Prevention services. South Bay Community Services . 3. Is your Local Jurisdictional Approval Form (Attachment C) attached from each local governmental jurisdiction that is applicable to your service area(s)? Yes cg]No D 4. Is your Local Need Assessment Form (Attachment D) attached from each Continuum of Care serving the homeless in your service area(s)? Yes cg] No D 5. Does your service area have a 10-Year Plan to End Homelessness? 12 6-19 Yes [g] No 0 If yes, explain your program's role in that Plan. (100 words maximum) Kathryn Lembo, Executive Director for South Bay Community Services serves on the Plan to End Chronic Homelessness Implementation Committee. If no, explain the planning efforts currently being undertaken or planned in the future to establish a 1 O-Year Plan to Prevent Homelessness in your service area. (250 words maximum) 6. What are your plans for sustaining your Homelessness Prevention and Rapid Re- housing Program after the HPRP funding has been completed? (250 words maximum) Please expl RAFT B. Services Proposed Instructions: Check all HPRP to be provided and identify which agency will be providing these services. Financial Assistance Program: [g] Short-term rental assistance not to exceed 3 months rental costs, Provided by:South Bay Community Services [g] Up to 6 months rental arrears, Provided by:South Bay Community Services [g] Case Management in establishing financial assistance need, Provided by:South Bay Community Services [g] Medium-Term rental assistance not to exceed actual rental costs over a 4 to 18 month period. Provided by:South Bay Community Services [g] Security Deposits- cannot be for the same period of time and for same cost type provided by other federal, state or local subsidy program. Provided by:South Bay Community Services 13 6-20 ~ Utility Deposits- cannot be for the same period of time and for same cost type provided by other federal, state or local subsidy program. Provided by:South Bay Community Services ~ Utility Payments up to 18 months of utility payments, including up to 6 months of utility payments in arrears. Provided by:South Bay Community Services ~ Moving costs assistance such as truck rental, hiring a moving company, short-term storage fees up to 3 months or until participant is in housing, whichever is shorter. Provided by:South Bay Community Services ~ Motel and Hotel Vouchers up to 30 days if there are no appropriate shelter beds are available. Provided by:South Bay Community Services Housing Relocation and Stabilization Services Program: ~ Case Management services supporting efforts to stabilize a family or individual. Theses services consist of arrangement, coordination, monitoring and delivery of services related to meeting the housing need of program participants. Provided by:South Bay Community Services ~ Counseling participants Provided by:South Bay Community Services ~ Executing an "Individualized Housing and Service Plan", including a path to permanent housing stability subsequent to HPRP financial assistance. Provided by:S ity S iceE' I ~ Outreach and p g.' . Provided by:So h Ba y e ~ Marketing and , t t ',' pan · heres of fluence, community leaders with influence an access to home ess persons and persons at risk of homelessness. Provided by:South Bay Community Services ~ Housing Search and Placement. Provided by:South Bay Community Services ~ Tenant counseling on lease understanding, securing utilities, making moving arrangements, Representative payee services concerning rent and utilities. Provided by:South Bay Community Services ~ Mediation and outreach to property owners related to locating or retaining housing. Provided by:Legal Aid Society of San Diego, Inc. ~ Legal Services in providing legal advice and representation. Administrative or court proceeding related to tenant/landlord matters or housing issues. Provided by:Legal Aid Society of San Diego, Inc. ~ Credit Repairs- Critical skills training related to household budgeting, money management, accessing personal credit reports, and resolving personal credit Issues. Provided by:South Bay Community Services and Legal Aid Society of San Diego, Inc. Data Collection and Evaluation: 14 6-21 ~ Data Collection staffing costs associated with operating a Homeless Management Information System (HMIS) for purposes of collecting and reporting data required by the HPRP grant. Provided by:City of Chula Vista and South Bay Community Services ~ Analyzing patterns of use of HPRP funds and reporting. Provided by:City of Chula Vista D Purchasing of HMIS software and/or User Licenses. Provided by: D Leasing or Purchasing needed computer equipment for providers and the central server. Provided by: D Training personnel on the HMIS. Provided by: D Special Evaluation required by HUD as part of HUD-sponsored research and evaluation of HPRP. Provided by: Administrative Costs ~ Minimal staff costs associated with preparing reports for submission to HCD. Program audits are allowable and are the best use of this budget activity. Subgrantees are limited to 1 % of the total award amount. Most costs associated with staffing should be allowable under the other major budget categories: Financial Assistance, Ho. el . aYf\d bili. 1 Collection and Evaluation. Thi fo Le ncy Provided by:Ci c. Outreach and Marketing 1. Please quantify below the need for Homelessness Prevention and/or Rapid Re- Housing Program funds over the term of your grant. (250 words maximum) 2. Describe below the major components of your outreach efforts to ensure qualified participants are identified, screened and assisted with their housing needs. (250 words maximum) Additionally, attach your "Outreach Plan" as Attachment F. (Applicant "Outreach Plan" should, at a minimum, discuss points of contacts, networking, State and HUD risk factors taken into consideration, targeting strategies, coordination of services, and challenges in meeting the needs of the homeless and persons at risk of becoming homeless. Discuss involvement with clients utilizing CalWORKS homeless assistance and outreach to clients utilizing General Assistance. Specify procedures used to identify most recent homeless 15 6-22 count, and describe how waiting lists for subsidized housing and/or emergency shelters will be utilized.) 3. Describe below the major components of your programs "Marketing Plan" you anticipate employing to ensure qualified participants are aware of the HPRP program. (250 words maximum) Additionally, attach your "Marketing Plan" as Attachment G. (Discuss marketing materials and/or strategies you will use to involve participants, community organizations, leaders and other federal, state and local programs serving the homeless population and those at risk of becoming homeless.) 4. Individualized. Housing and Service Plan. Attach your "Plan" as Attachment H. (The "Plan" is the primary base document developed by an HPRP applicant and utilized by all HPRP participating agencies (Lead and Partner Agencies). The "Plan" is used to follow each client and their HPRP eligible activities agreed upon between the client and the Subgrantee. At minimum, following inds of activities: Client Initial Consu , co . Determination; Homeless and/or At Ri ement N es; Specific Client Assistance greemen and Bu get; Cllen Eligibility racking and Fiscal Expenditure Report; Client Data Collection; Program Data Collection; HMIS Reporting Client Data to Lead Agency/Single Agency; HMIS Reporting Program Data to Lead Agency/Single Agency; and Reporting Program Data to HCD. For audit purposes, this Plan shall be the primary document used to identify program compliance with HPRP and HCD requirements.) If any elements of "Plan" are captured in HMIS, please state so, and indicate those elements captured outside HMIS. D. Fiscal Management 1. List any EHAP grant(s) administered by participating agency(s) within the past three fiscal years: 2005-06; 2006-07; 2007-08. List by Contract Number. SBCS administers a 2005-2006 EHAP Grant (02-EHAPCD-091) 2. List any FESG grant(s) administered by participating agency(s) within the past three fiscal years: 2006-07; 2007-08; 2008-09. List by Contract Number. 16 6-23 3. List any other state, federal or local governmental grants administered by the participating agency(s) (if applicable) this past year. List the name of the grant, the grant amount, the granting agency and the contract number. 4. Describe below the administrative processes planned to administer short-term and medium term rental assistance activities. List Public Housing Authorities or comparable administrative entities you plan to utilize. (250 words maximum) (Additionally, attach any "administrative procedures" you will utilize in administering your rental assistance activities as Attachment I.) 5. Are there any unresolved audit findings pertaining to the participating agency(s)? Yes 0 N E If yes, expla di gs a the steps undertaken to resolve the the Au Report Findings as Attachment . 6. Identify below the Fiscal Officer that will be responsible for the financial reporting on this grant. Maria Kachadoorian, CPA, Finance Director for the City of Chula Vista If this is a Multiple Agency Application list the Lead Agency fiscal officer, plus the fiscal officers of each of your Partner Agencies below. Lead Agency: Maria Kachadoorian, CPA, Finance Director for the City of Chula Vista Partnering Agency: Elizabeth Iniguez, CPA, Chief Financial Officer for South Bay Community SeNices 7. Attach the Current Balance Sheet of the Lead Agency or Single Agency as Attachment K. 17 6-24 (Balance sheet must not be older than 60 days. .If Lead Agency or Single Agency is a unit of local government, this does not apply.) 8. Attach as Attachment L the Lead Agency agreement held with each Partner Agency to this application. (I.e. Memorandum of Understanding; Contract; Service-Provider Agreement) DAFT 18 6-25 PLEASE CHECK IF: ATTACHED N/A o o o o o o o o o o o o o o o o o o o o o o o o o o VIII. Required Attachments Important - All applicants should only submit the attachments required. ATTACHMENT A ATTACHMENT B ATTACHMENT C ATTACHMENT 0 ATTACHMENT E ATTACHMENT F ATTACHMENT G ATTACHMENT H ATTACHMENT I ATTACHMENT J ATTACHMEN ATTACHMEN ATTACHMENT M Required Attachments Authorizing Resolution HPRP Applicant Certifications (To be signed by all participating agencies) Local Jurisdictional Approval Local Need Assessment (Non-Entitlement Only) IRS Tax Exempt status form 501 (c) (3) (For non-profit agencies only) Outreach Plan Marketing Plan Individualized Housing and Service Plan HPRP Administrative Procedures nly) rvi Prov gree s) or MOU ) between Lead Agency and Partner Agency(s). (Not applicable to a single agency applicant) Payee Data Record (204). HCD requirement of.ell applicants. 19 6-26 Attachment A - Resolution A. WHEREAS, the State of California, Department of Housing and Community Development, Division of Financial Assistance, issued. a Notice of Funding Availability under the American Recovery and Reinvestment Act- Homelessness Prevention and Rapid Re-Housing Program (HPRP); and B. (lnsen Name ofAppiicarioJl O~ani:ari()n) is a nonprofit corporation or local government that is eligible, and wishes to apply for and receive an HPRP grant; and C. Ift/'",~ (insen /'vame of Appliclllion Organi:;utionJ receives a grant from the HPRP, it certifies that all uses of the funds will be in compliance with the HPRP Regulations and Contract; Now, therefore, be it resolved that: The Board of Directors (or City Councilor Board of Supervisors) of (Insen Name of Applicuthm Orgrmi;;unon) hereby authorizes (iI/serf ri"e ofAuthori:.ed Person/Officer) to execute all required certifications, apply for, and accept the Homelessness Prevention and Rapid Re-Housing Grant in the amount of not more than $ . (Insen Gram Ammmt) , and to sign the Standard Agreement and any subsequent amendments thereto, , and perform any and all respon ntractI tMI . It rgalll::.lltl/m) PASSED AND ADOPTED at a regular mee _ day of \:);,;,u:tl#' ,~by the fallowing vote: AYES: NOES: ABSTENTIONS: ABSENT: Signature and Title of Approving Officer (Chairperson or Secretary - Must not be the same person who is authorized to enter into the Standard Agreement) Printed Name and Title of ApprOving Officer Attest: Signature and Title Printed Name and Title Date: 20 6-27 Attachment B - Homelessness Prevention and Rapid Re-Housing Program (HPRP) Applicant Certifications All participatinq aqencies must siqn this certification The HPRP Subgrantee certifies that: Federal and State Requirements -It will follow all Federal and State requirements outlined in the HUD Notice (Docket No. FR-5307-N-01) and the California Housing and Community Development HPRP Notice Of Funding Availability. . Consistency with HUD Notice - The housing activities to be undertaken with HPRP funds are consistent with the HUD Notice and the HCD NOFA. Standard Agreement - If awarded an HPRP, subgrantee will comply with the Standard Agreement. Confidentiality - It will develop and implement procedures to ensure: (1) The confidentiality of records pertaining to any individual provided with assistance; and (2) That the address or location of any assisted housing will not be made public, except to the extent that this prohibition contradicts a preexisting privacy policy of the subgrantee. Religious Compliance - It will provide all eligible activities under this Project in a manner that is free from religious influences and in accordance with the following principles: . (1) It will om di",imiM'''g,i" . "rm.", .. "',. of mllgioo eo' will om limit employment or give pref on .. e ba of religion; (2) It will not discriminate agains erso applYI or shel r any of th ligible activities under this part on the basis of religion and will not limit such housing or other eligible activities or give preference to persons on the basis of religion; and (3) It will provide no religious instruction or counseling, conduct no religious worship or services, engage in no religious proselytizing, and exert no other religious influence in the provision of shelter and other eligible activities under this Project. HMIS -'It will comply with HUD's standards for participation in a local Homeless Management Information System and the collection and reporting of client-level information. Section 3 - It will comply with section 3 of the Housing and Urban Development Act of 1968, and implementing regulations at 24 CFR Part 135. Affirmatively Furthering Fair Housing - Under section 808(e) (5) of the Fair Housing Act, subgrantees will have a duty to affirmatively further fair housing opportunities for classes protected under the Fair Housing Act. Examples of affirmatively furthering fair housing include: (1) marketing the program to all eligible persons, including persons with disabilities and persons with limited English proficiency; (2) making building and communications that facilitate applications and service delivery accessible to persons with disabilities (see, for example, HUD's rule on effective communications at 24 CFR 8.6); (3) providing fair housing counseling services or referrals to fair housing agencies; 21 6-28 (4) informing participants of how to file a housing discrimination complaint, including providing the toll-free number for the Housing Discrimination Hotline: 1-800-669-9777; and (5) recruiting landlords and service providers in areas that expand housing choice to program participants. Attest - Authorized applicant(s) attests that all information contained in the HPRP application is accurate and complete; all information contained in this application is acknowledged to be public information. I authorize the Department of Housing and Community Development to contact any or all of the parties listed in this proposal. Lead Agency Signature/Authorized Official Title. Date Partner Agency(s) Signature/Authorized Official Title Date Title A T Partner Agency(s) Signature/Aut Date Partner Agency(s) Signature/Authorized Official Title Date Partner Agency(s) Signature/Authorized Official Title Date Partner Agency(s) Signature/Authorized Official Title Date 22 6-29 Attachment C - Local Jurisdictional Approval One attachment required from each jurisdiction. Submit additional Attachment C's as C1, C2, C3, etc For applicants with a Project covering more than one eligible city and/or county, copy this form as necessary for each city and/or county. Each eligible city and/or c,?unty must comp~ete thIs form as instructed. Instructions: If the Project serves the population in an HPRP-eligible city, the Local Jurisdictional Approval must be completed by the city. If the Project serves the population in the unincorporated area of an HPRP- eligible county, this form must be completed by the county. The Local Jurisdictional Approval is required for each citv or countv, as applicable. I, James D. Sandoval. Citv Manaqer authorized to act on behalf of (Name and Title of authori=ing person) dulv , . the City Of Chula Vista approve of the (Name of Applicable Jurisdiction) , hereby operation of the following Program Type(s) (see list below) proposed by the City of Chula Vista (Name ofHPRP Applicant Organcation) which is/are to be located/operated in Chula Vista. Califomia (Name afState HPRP eligible Jurisdiction, Check all program types o Homelessness Prevention o Rapid Re-Housing A CERTIFICATION: James D. Sandoval (Name) City Manager (Title) 06/02/09 (Date) (!:Jignature) 7- -0 6-30 Attachment 0 - Local Need Assessment Submit additional Attachment D's as 01, 02, 03, etc. To be completed by the respective Continuum of Care (Cofe) or in the absence of a CofC, a county-wide coordinating body or agency of county government that specifically addressing homelessness in the county where your facility/project is located. The certifying entity must' meet the conflict of interest requirements discussed below. The certifying entity can be any entity that has a county"wide coordinating role specific to the issue of homelessness. To avoid a possible conflict of interest,HPRPapplicants that are agencies of county government should have this attachment completed by an entity whose jurisdiction orJocus is countywide, but iNhbisnot an agency. of countygoiternment,suchasaEHAP Designated Local Board(DhB),a Continuum of Care Board,aFEMABoard, ora'homeless coalition. . .. 1. Project for which HPRP funds are being requested: 2. County where the Project is located San DieQo 3. Primary type of HPRP program being provided by the Project: (check all that apply) o Homelessness Prevention D Rapid Re-Housing 4. Relative level of need in the county for the type HPRP program noted above. (check one for each type of program that applies) Homelessness Prevention: o High 0 Medium 0 Low Rapid Re-Housing: o High 0 Medium 5. Name of Certifying Entity 6. Name of individual making the determination of need: Printed Name and TitfdPosltlon of Person Making the Delenninarion of Need E-MailAJdress I certify that I am not an employee, agent, consultant, officer or appointed or elected official of any applicant, subgrantee, State recipient or grantee of State HPRP funds. I further certify thereafter, I do and will not have any personal financial interest or benefit from any State that while in my current position and for one-year HPRP-assisted activity, or have any interest in any contract, subcontract, or agreement with respect thereto or the proceeds there under, either for myself or for those with whom I have family or financial ties. Sig"arure of Individu.a/ MakinF: the Determination of Need Dm, 24 6-31 Attachment E - Nonprofit IRS Tax Exempt Status 'Attach behind this page the Evidence of IRS Tax Exemption ("501 (c) (3) status") " R ~ 25 6-32 T Attachment F - Outreach Plan Attach behind this page o AF 26 6-33 Attachment G - Marketing Plan Attach behind this page DRAFT 27 6-34 Attachment H - Individualized Housing and Service Plan Attach behind this page 28 6-35 T Attachment I - HPRP Administrative Procedures Attach behind this page RAFT 29 6-36 Attachment J - Audit Report Findings Attach behind this page (if applicable) DR 30 6-37 FT Attachment K - Current Balance Sheet (For non-profits only) Attach behind this page (if applicable) DRAFT 31 6-38 Attachment L - Service Provider Agreement(s) or MOU(s) between Lead Agency and Partner Agency(s) Not applicable to a single agency applicant. Attach behind this page (if applicable) "7 "- 6-39 FT Attachment M - Payee Data Record (204) Please go to: http://www.hcd.ca.qov/fa/ehap/Pavee Data Record.doc to complete and attach behind this page. · Applicant Administrative Information -Administrative address indicates where the Standard Agreement and checks will be mailed to. The Payee Data Record (204) must show this address . Name of applicant must be the same as stated on the Articles of Incorporation, Resolution and the Payee Data Record. .., AFT .A 33 6-40 CHULA VISTA HOUSING PREVENTION AND RAPID RE-HOUSING PROGRAM (HPRP) COLLABORATIVE MEMORANDUM OF AGREEMENT BY AND BETWEEN THE CITY OF CHULA VISTA SOUTH BAY COMMUNITY SERVICES AND LEGAL AID OF SAN DIEGO Parties This Memorandum of Agreement ("MOA") is made by and among the City of Chula Vista, South Bay Community Services and Legal Aid of San Diego, Inc. The parties to this MOA may be referred to herein collectively as the "parties" or individually as a "party." Recitals WHEREAS, on July 9, 2009 the State of California Department of Housing and Community Development issued the Notice of Allocations, Application Procedures, and Requirements for Homelessness Prevention and Rapid Re-Housing Program Grantees under the American Recovery and Reinvestment Act of 2009; and, WHEREAS, the State of California requires all eligible applicants to submit an Application for Funding (hereinafter referred to as "Application") for their consideration; and, WHEREAS, the City of Chuia Vista provides housing and housing reiated services to low income individuals and families in the City; and, WHEREAS, the South Bay Community Services provides services including, but not limited to, homeless services and rental assistance to low-income residents, and, WHEREAS, Legal Aid of San Diego, Inc. provides legal services including, but not limited to consumer, landlord/tenant disputes, eviction defense and income maintenance; and, WHEREAS, the City desires to partner with South Bay Community Services and the Legal Aid Society, Inc (the "Parties") desire to develop and implement the City of Chula Chula Vista HPRP Attachment "K" to Application 6-41 Draft Memorandum of Agreement Page 1 Vista Homelessness Prevention and Rapid Re-Housing Program which will provide rental assistance and services to homeless families and individuals who are facing homelessness; and, WHEREAS, the parties will focus on several special needs populations including former foster youth aging out of the foster care system, victims of domestic violence; and, WHEREAS, the parties shall undertake the same obligations as the City with respect to the Project described in the City's Application to the State of California Department of Housing and Community Development for HPRP funding. THEREFORE, in consideration of the foregoing recitals and the mutual covenants and promises set forth below, and for other good and valuable consideration, receipt of which is hereby acknowledged, the.parties hereto agree as follows: 1. Administration of MOA: Each party identifies the following individuals to serve as the authorized administrative representatives for that party. Any party may change its administrative representative by notifying the other party in writing of such change. Any such change will become effective upon the receipt of such notice by the other party to this MOA. Notice of the authorized representative should be sent to each party as follows: ice embo, xecutive Director 1124 Bay Boulevard, Suite D Chula Vista, CA 91910 (619) 420-3620 klembo@csbcs.or Legal Aid of San Diego Gregory E. Knoll, Esq. ecutive Director/Chief Counsel 110 South Euclid Avenue San Diego, CA 91910 (619) 471-2620 gknoll@lssd.org City of Chula Vista Amanda Mills, Housing Manager 276 Fourth Avenue Chula Vista, CA 91910 (619) 409-5948 mmills@ci.chula-vista.ca.us 2. Parties' Responsibilities 2.1. City of Chula Vista shall: 2.1.1. Assume the role of the programmatic lead and fiscal agent for the project; 2.1.2. Work in conjunction with the South Bay Community Services and Legal Aid of San Diego to develop the step by step protocol to be followed for the implementation of the County's Homelessness Prevention and Rapid Re- Housing Project; 2.1.3. Ensure the program is implemented in accordance with all applicable federal, state and local guidelines; 2.1.4. Designate appropriate staff to partidpate in the collaborative decision making process regarding program implementation; 2.1.5. Conduct housing quality standard inspections; Chula Vista HPRP Attachment "K" to Application 6-42 Draft Memorandum of Agreement Page 2 2.1.6. Assist South Bay Community Services and the Legal Aid of San Diego in providing linkages to community resources for participating families; 2.1.7. Provide all programmatic and fiscal reports to the State of California Department of Housing and Community Development as required for program monitoring and evaluation. 2.1.8. Reimburse the South Bay Community Services and Legal Aid of San Diego for eligible costs under the HPRP program up to $900,000 (for up to three years) for staff costs, limited to salary and benefits, related to program outreach as further detailed in the Application. 2.2 South Bay Community Services shall: 2.2.1 Serve as the clearinghouse and central point of contact for the referral of homeless or at-risk families to the program between the City of Chula and the Legal Aid Society of San Diego of San Diego within the designated program area; 2.2.2 Make the necessary Housing Assistance Payments on behalf of participating families directly to property owners; 2.2.3 Administer a short to medium term tenant based rental assistance program for a period not to exceed 18 months per family; 2.2.4 Conduct income eligibility and recertification determinations as required by HUD; 2.2.5 Assist ~ otiations, housing search, placeme wait lists for programs such as Secti Ii Ho housing programs; 2.2.6 Colla bora e with the City 0 hula IS a to deve op the step by step protocol to be followed for the Homelessness Prevention and Rapid Re-Housing _ __ Project; 2.2.7 Ensure the program is implemented in accordance with all applicable federal, state and local guidelines; 2.2.8 Enter program and client level information into the Homelessness Management Information System; 2.2.9 Designate appropriate staff to participate in the collaborative decision making process regarding program implementation; 2.2.10Provide assistance to Liaisons/Case Managers in the development of Housing Retention Plans to prevent future housing instability; 2.2.11Serve as a clearing house for information sharing related to linkages to existing community resources for homeless families; 2.2.12Provide all programmatic and fiscal reports to the City of Chula Vista to be submitted to the State of California Department of Housing and Community Development as required for program monitoring and evaluation. 2.2.13Collaborate with City in data collection; monitoring and program evaluation; 2.2.14Submit monthly invoices for reimbursement for eligible expenditures related to program outreach. Chula Vista HPRP Attachment "K" to Application 6-43 Draft Memorandum of Agreement Page 3 2.3 Legal Aid of San Diego shall: 2.3.1 Collaborate with the City of Chula Vista and South Bay Community Services to develop the step by step protocol to be followed for the City's Homelessness Prevention and Rapid Re-Housing Project; 2.3.2 Provide mediation and outreach services to property owners related to locating or retaining housing 2.3.3 Provide legal including legal advice and representation. Administrative or court proceedings related to tenant/landlord matters or housing issues. 2.3.4 Ensure the program is implemented in accordance with all applicable federal, state and local guidelines; 2.3.5 Designate appropriate staff to participate in the collaborative decision making process regarding program implementation; 2.3.6 Collaborate with City and South Bay Community Services in data collection; monitoring and program evaluation; 2.3.7 Submit monthly invoices to South Bay Community Services for reimbursement for eligible expenditures related to program outreach. 3. Budget & Reimbursement The budget for this Agreement is up to $900,000 (conditioned upon State HCD approval of funding application for HPRP) of which sixty percent must be expended within the first tw of te th HUD . nt agreement with HCD; and 100 percent 0 un' t be. pe d w ears of that date to be paid from the City's St e of H s ion and Rapid Re-Housing Program (HPRP) a. B Co nity Serv es shall be allocated up to $600,000 that inclues the Ity of ula Vis a portion of tate HPRP funding and the Legal Aid of San Diego will be allocated up to $300,000. Parties shall invoice the City on a monthly basis for staff costs related to program outreach, assistance payments, and case management services. City will reimburse South Bay Community Services and the Legal Aid of San Diego within 30 days of complete invoicing (Le. time sheets, landlord payment records, all necessary supporting documentation). 4. Conformance With Rules And Regulations: The parties to this Agreement shall be in conformity with all applicable Federal, State, County, and local laws, rules, and re- gulations, current and hereinafter enacted, including facility and professional licensing and/or certification laws and keep in effect any and all licenses, permits, notices and certificates as are required and shall further comply with all laws applicable to wages and hours of employment, occupational safety, and to fire safety, health and sanitation. In addition, the parties to this Agreement, as applicable, shall be in compliance with the U.S. Department of Housing and Urban Development's Notice of Allocations, Application Procedures, and Requirements for HPRP Grantees under the American Recovery and Reinvestment Act of 2009 dated March 19, 2009, and any amendments hereinafter issued. For projects funded by the American Recovery and Reinvestment Act of 2009, Pub. L. 111-5, ("ARRA"), the parties to this Agreement shall comply with all provisions and Chula Vista HPRP Attachment "K" to Application 6-44 Draft Memorandum of Agreement Page 4 requirements applicable to contracts funded in whole or in part by ARRA as currently exist as of the effective date of this Agreement and as may be amended in the future, including, without limitation, Pub. L. 111-5, Div. A, Title XVI, 9 1605 ('Buy American"), Pub. L. 111-5, Div. A, Title XVI, 9 1611 ('Employ American Workers Act''), Pub. L. 111- 5, Div. A, Title XV, 9 1515 ('Access of Offices of Inspector General''), Pub. L. 111-5, Div. A, Title IX, 9 902 \,Access of Government Accountability Office"), and Pub. L. 111- 5, Div. A, Title XV, 9 1553 \,Whistleblower Protections''), as applicable. 5. Permits and licenses: Parties to this Agreement certify that they possesses and shall continue to maintain or shall cause to be obtained and maintained, at no cost to the County all approvals, permissions, permits, licenses, and other forms of documentation required for it and its employees to comply with all existing foreign or domestic statutes, ordinances, and regulations, or other laws, that may be applicable to performance of services hereunder. Parties to this Agreement reserve the right to reasonably request and review all such applications, permits, and licenses prior to the commencement of any services hereunder. 6. Governing Law: This MOA shall be governed, interpreted, construed and enforced in accordance with the laws of the State of California. 7. . solely for the benefit of . oes not confer on any third ormance of this MOA. Any specifically prohibited. 8. Amendments to MOA: Any party may propose amendments to this MOA by providing written notice of such amendments to the other party. This MOA may only be amended by a written amendment signed by each party's administrative. 9. Severability: If any terms or provisions of this MOA or the application thereof to any person or circumstance shall, to any extent, be held invalid or unenforceable, the remainder of this MOA, or the application of such term and provision to persons or circumstances other than those as to which it is held invalid or unenforceable, shall not be affected thereby and every other term and provision of this MOA shall be valid and enforced to the maximum extent permitted by law. 10. Full Agreement: This MOA represents the full and entire agreement between the parties and supercedes any prior written or oral agreements that may have existed. . 11. Scope of MOA: This MOA only applies to the program described herein and does not set. forth any additional current or future obligations or agreements between the parties, except that the parties may by written amendment amend the scope of this MOA. Chula Vista HPRP Attachment "K" to Application 6-45 Draft Memorandum of Agreement Page S 12. Term: This MOA shall become effective on the date all of the parties have signed this MOA and be in force until 100% of the Homelessness Prevention and Rapid Re-Housing funds allocated to the City of Chula Vista have been expended. 13. Termination For Convenience. Parties may, by written notice stating the extent and effective date terminate this MOA for convenience in whole or in part, at any time. 14. Counterparts: This MOA may be executed in any number of separate counterparts, each of which shall be deemed an original but all of which when taken together shall constitute one and the same instrument. 15. Indemnification: City shall not be liable for, and South Bay Community School Services and Legal Aid of San Diego shall defend, indemnify, and hold the City, its officers, agents, employees and volunteers harmless from and against any and all claims, deductibles, self-insured retentions, demands, liability, judgments, awards, fines, mechanics' liens or other liens, labor disputes, losses, damages, expenses, charges or costs of any kind or character, including attorneys' fees and court costs by this Contract arising either directly or indirectly from any act, error, omission or negligence of South Bay Community Services and Legal Aid of San Diego or its officers, employees, agents, Subcontractors, licensees or servants, including without limitation, claims caused by t, ncu~ ct, err. ,0 ". .." ence, whether active or passive, of City, a lor I a ts, ffic em . oyees or olunteers. However, South Bay Community Sc 01 S i L."d Die shall have no obligation to defend or indemnl. fr a a i i determin by a court of competent jurisdiction that suc c aim was causea by tile sole negligence or willful misconduct of City or its agents or employees. 16.Audit Costs: South Bay Community Services and Legal Aid of San Diego shall reimburse City for all costs incurred to investigate and audit South Bay Community Services' and Legal Aid of San Diego's performance of its duties under the Contract if South Bay Community Services' and/or Legal Aid of San Diego's is subsequentiy found to have violated the terms of the Contract. Reimbursement shall include all direct and indirect expenditures incurred to conduct the investigation or audit. City may deduct all such costs from any amount due South Bay Community Services' and/or Legal Aid of San Diego's under this Contract. 17.Insurance Requirements: Contractor must procure insurance against claims for injuries to persons or damages to property that may arise from or in connection with the performance of the work under the contract and the results of that work by the Contractor, his agents, representatives, employees or subcontractors and provide documentation of same prior to commencement or work.. The insurance must be maintained for the duration of the contract. 18. Retention: The parties shall retain all financial records, supporting documents, statistical records, and all other records pertinent to the Agreement for a period of five Chula Vista HPRP Attachment "K" to Application 6-46 Draft Memorandum of Agreement Page 5 (5) years. The retention period begins on the date of the submission of the Annual Performance and Evaluation Report to State of California in which the activities assisted under the Agreement are reported on for the final time. Notwithstanding the above, if there is litigation, claims, audits, negotiations or other actions that involve any of the records cited and that have started before the expiration of the five-year period, then such records must be retained until completion of the actions and resolution of all issues, or the expiration of the five-year period, whichever occurs later. IN WITNESS WHEREOF, This MOA has been executed as of August 2,2009 herein appearing. City of Chula Vista South Bay Community Svcs. Legal Aid of San Diego James D. Sandoval, City Manager Kathryn Lembo, Executive Director Gregory E. Knoll, Esq. Executive Director/Chief Counsel APPROVED AS TO FORM Bart Miesfeld City Attorney T ATTEST City Clerk Chula Vista HPRP Attachment UK" to Application 6-47 Draft Memorandum of Agreement Page 7 RESOLUTION NO. 2009- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AUTHORIZING THE CITY MANAGER TO APPLY FOR STATE OF CALIFORNIA HOMELESS PREVENTION AND RAPID RE-HOUSING PROGRAM (HPRP) FUNDS AND EXECUTE ANY DOCUMENTS NECESSARY TO OBTAIN THE GRAt'lT FUNDS WHEREAS, on July 8, 2009, the State of California, Department of Housing and Community Development, Division of Financial Assistance, issued a Notice of Funding Availability under the American Recovery and Reinvestment Act-Homelessness Prevention and Rapid Re-Housing Program (HPRP); and, WHEREAS, the City of Chula Vista is a local government, that is eligible, and wishes to apply for and receive an HPRP grant; and, WHEREAS, the City of Chula Vista wishes to act collaboratively with South Bay Community Services and the Legal Aid Society of San Diego to use these funds to assist very low income households; and, WHEREAS, if the City of Chula Vista receives a grant from the HPRP, it certifies that all uses of the funds will be in compliance with the HPRP Regulations and contract. WHEREAS, if approved, up to $900,000 if.! HPRP funds will be used to provide additional funding for homeless prevention and rapid re-housing activities. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista hereby authorizes: 1. The submittal of an application to the California Department of Housing and Community Development for Homelessness Prevention and Rapid Re-Housing Program funds. 2. That it authorizes the City Manager to execute all agreements and related documents necessary to obtain such grant funds. Gary Halbert Deputy City Manager! Development Services Director Presented by: 6-48 CHULA VISTA REDEVELOPMENT AGENCY AGENDA STATEMENT ITEM TITLE: SUBMITTED BY: REVIEWED BY: AUGUST 4, 2009, Item / RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA AUTHORIZING THE EXECUTIVE DIRECTOR TO EXECUTE AMENDMENTS TO A LO_"'-N AGREEMENT AND AN AGREEMENT CONTAINING COVENANTS BY AND BETWEEN THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA, AND PARK VILLAGE APARTMENTS, L.P. FOR PARK VILLAGE AFFORDABLE APARTMENTS DEPUTY CITY MANAGdrdfRECTOR OF DEVELOPMENT SERVICES ~ CITY MANAG U 4/5THS VOTE: Y'ES D NO 0 SUMMARY In 1994, the Redevelopment Agency of the City of Chula Vista ("Agency") provided a $350,000 loan from its Low and Moderate Income Housing Set Aside fund to assist in the development of 28 very low and low-income units at Park Village Apartments developed by Park Village Apartments, L.P. Civic Center Barrio Housing Corporation ("CCBHC"), as the managing general partner, has requested an amendment of their existing loan to allow for more flexible loan terms. Staff is requesting the Agency's consideration of an amendment to the loan to lower the interest rate, extend the loan period, and extend the period of affordability. ENVIRONMENTAL REVIEW The Environmental Review Coordinator has reviewed the proposed activity for compliance with the California Environmental Quality Act (CEQA) and has determined that amendment of the loan agreement and the covenants is not a "Project" as defined under Section 15378 of the State CEQA Guidelines because it will not result in a physical change to the environment; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines the actions proposed are not subject to CEQA. 7-1 August 4, 2009 Iteml Page 2 of 4 RECOMMEi'o'DATION The Redevelopment Agency adopt the Resolution. BOARDS/COMMISSION RECOMMENDATION Not Applicable DISCUSSION On June 4,1991, the Redevelopment Agency entered into a Loan Agreement for $350,000 from its Low and Moderate Income Housing Set Aside for the pUlJlose of financing the acquisition and development of real property, now known as Park Village Apartments at 1246-1256 Third Avenue. The development of Park Village was fmanced by the Agency's Loan, a $1,400,000 loan from the State of California Department of Housing and Community Development (State HCD), and a contribution of $286,000 from CCBHC. The Agency Agreement was subsequently modified in October 1994, to facilitate the permanent financing from State HCD. In February 1993, Park Village was completed. It has been successfully operated since such time with 10 units restricted as affordable for very low income households, 18 units for low income households, and an affordable child care center. Loan A!ITeement and Terms In accordance with the terms of the loan, payment of the required Principal and Interest at 5 percent are due and payable on the 1st day of each month based upon a 30 year amortization schedule. The entire unpaid principal balance and all accrued interest was due and payable on the loan's maturity date of December 31, 2008 (or approximately a 15 year loan period). Therefore, a large balloon payment of approximately $222,352 ($221,429 loan principal and $923 in interest) was to be paid by such date. CCBHC continues to make timely monthly payments on the loan but was unable to pay the remaining balance of the loan at the maturity date. they requested consideration of longer loan term to allow the loan payments to be made over a longer period. As of August 1,2009, the remaining loan balance is $216.283.65 Affordabilitv Covenants Park Village was developed as an affordable housing project with 10 units restricted for occupancy and affordable to very low income households and 18 units for low income households. The units were to be restricted for a 30-year period from execution of the agreement on June 4,1991. Therefore, the current affordability requirements expire on June 4, 2021. Amendment to Loan and Affordabilitv Covenants Due to the low rents and a desire to provide more money for the upkeep and maintenance of Park Village, CCBHC has requested that the Agency consider more flexible loan terms that would extend the loan payments. In turn, CCBHC has agreed to extend the affordability covenants to mirror the loan period. 7-2 August 4, 2009 Item 7 PagejQf 4 Staff is also recommending that the Loan Agreement be amended to lower the interest rate from 5 percent to 3 percent simple interest per annum. The 3 percent interest rate is consistent with loan terms provided to other affordable housirig developers in more recent years by the Agency and the City. CCBHC would continue to make montWy payments of principal and interest based upon a 24 year amortization schedule. This loan schedule is consistent with the loan period for the permanent fmancing from State HCD. The entire unpaid principal balance and all accrued interest shall be due and payable no later than December 31, 2033. In exchange for more flexible loan terms, CCBHC has agreed to extend the affordability covenants beyond the June 2021 expiration. The covenants are proposed to remain in effect until September 30, 2033 or until the entire principal and all accrued but unpaid interest of the Loan is fully paid, whichever date occurs last. S urnmarv Park Village continues to provide 28 units of affordable housing to very low and low income households in the southwest area of the community, along with an affordable child care center. CCBHC has made timely payments on the loan and continues to operate Park Village in compliance with the existing covenants. Staff, therefore, recommends the Agency adopt the resolution approving the execution of a Second Amendment to the Loan Agreement and the First Amendment to the Agreement Containing Covenants Affecting Real Property. By amending the loan terms, the Agency is providing consistent loan terms to affordable housing developers, facilitating the continued operation and maintenance of the property, and assuring an additional 12 years ofaffofdability of Park Village Apartments. DECISION MAKER CONFLICT Staff has reviewed the property holdings of the City CoUncil and has found no property holdings within 500 feet of the boundaries of the property which is the subject of this action. CURRENT YEAR FISCAL IMPACT In accordance with the loan terms, the remaining balance of the loan, approximately $216,883, was due and payable by December 31, 2008. An amendment to the loan terms would extend the payments on the loan until 2033 rather than receiving a lump sum payment at the existing maturity date. Any funds received from repayment of the loan from the Agency's Low and Moderate Income Housing Set Aside fund would be used to further facilitate affordable housing. ONGOING FISCAL IMPACT The existing montWy payment from CCBHC is approximately $1,683.48. Based upon the proposed loan terms, monthly payments would be reduced to approximately $1,055 and extended until 2033. 7-3 August 4, 2009 Item~ Page 4 of 4 ATTACHMENTS 1. Locator Map 2. Second lunendment to Loan Assignment And Assumption Agreement 3. First Amendment to Agreement Containing Covenants Affecting Real Property Prepared by Leilani Hines, Principal Project Coordinator, Development Services Department 7-4 EXHIBIT 1 P ARK VILLAGE APARTMENTS 1246 - 1256 Third Avenue 7-5 RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: City of Chula Vista 276 Fourth Avenue Chula Vista CA 91910 Attn: City Clerk No fee for recording pursuant to Government Code Section 27383 (Space above for Recorder's Use) SECOND AMENDMENT TO LOAN ASSIGNMENT AND ASSUMPTION AGREEMENT [INCLUDING THIRD AiVIENDMENT TO NOTE AND DEED OF TRUST] THIS SECOl'\l) AMENDMENT to the Loan Assignment and Assumption Agreement (" Loan Second Amendment") is entered into on the day of August, 2009, ("Effective Date") by and between THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA, a public body, corporate and politic, ("Agency") and PARK VILLAGE APARTMENTS LIMITED PARTNERSHIP, a California limited partnership ("Borrower"). The Agency and Borrower may be referred to herein individually as "Party" and collectively as "Parties." RECITALS A. WHEREAS, on or about June 4, 1991, pursuant to that certain Development Agreement dated June 4, 1991 by and between CIVIC CENTER BARRJO HOUSING CORPORATION, a California nonprofit, public benefit corporation ("CCBHC") and Agency (the "Agency Development Agreement") Agency agreed to lend and CCBHC agreed to borrow- the sum of THREE HUNDRED FIFTY THOUSAND DOLLARS ($350,000.00) (the "Loan") for the purpose of financing the acquisition of certain real property in the City of Chtila Vista to be used for the development of an affordable housing and child care center project (the "Project"). On or about June 19, 1991, CCBHC and Agency executed an Implementation Agreement (the "Implementation Agreement") for the purpose of implementing certain provisions of the Agency Development Agreement. B. WHEREAS, the Loan is evidenced by that certain Promissory Note Secured by Deed of Trust dated June 19, 1991 (the "Agency Note"), in the original principal amount of THREE HUNDRED FIFTY THOUSAND DOLLARS ($350,000.00) executed by CCBHC in favor of Agency. The repayment of the Agency Note and CCBHC's performance of its obligations thereunder are secured, inter alia, by that certain Deed of Trust and Assignment of Rents (the "Agency Deed of Trust") dated as of June 19, 1991, executed by Borrower, as Trustor, to Escondido Escrow, a California corporation, as Trustee, and naming Agency, as Beneficiary, recorded on June 21,1991 as Instrument No. 1991-0300900 in the official Records bfSan Diego County, Califomia, encumbering that certain real property described in Exhibit "A" attached Park Village 2nd Loan Amend RDA Resolution No. 2009-_ 7-6 hereto and incorporated herein by this reference (the "Property"). In addition, the Agency Loan is secured by (i) that certain Security Agreement dated as of June 19, 1991 (the "Security Agreement"), (ii) that certain UCC-I Financing Statement dated June 19, 1991 filed with the office of the Secretary of State of California on June 27, 1991 (the "Financing Statement"), and (iii) that certain UCC-I Fixture Filing dated June 19, 1991, recorded on June 21, 1991 as Instrument No. 1991-0300901 in the official Records of San Diego County, California (the "Fixture Filing"). The Agency Development Agreement, the Implementation Agreement, the Agency Note, the Agency Deed of Trust, the Security Agreement, the Financing Statement and the Fixture Filing, as amended on or about March 30, 1992 by the First Amendment Documents (see below), shall sometimes be referred to herein collectively as the "Agency Loan Documents". C. WHEREAS, on or about March 30, 1992, Borrower assumed all CCBHC's right, title, interest and obligations under the Agency Loan Documents pursuant to that certain Loan Assignment and Assumption Agreement dated March 30, 1992, and related documents including an Endorsement (amending the Note), a First Amendment to Deed of Trust and Assignment of Rents (recorded with the San Diego County Recorder on May 15, 1992 as Document No. 1992- 0296172), a UCC-2 Amendment to Financing Statement filed May 20, 1992 with the office of the Secretary of State, a UCC-2 Amendment to Fixture Filing, a Clarification Re Contractor Consents, and related documents, all dated on or about March 30, 1992 (collectively, the "First Amendment Documents"). D. \VHEREAS, on October 14, 1994, Parties executed the Loan Modification Agreement, including a Second Amendment to the Agency Note and Agency Deed of Trust, recorded as Doc. No. 1994-0603786 on October 14, 1994 in the official records of the San Diego County Recorder's office ("Loan First Amendment") to modify certain aspects of the Agency Loan Documents to accommodate the terms and conditions of the Permanent Financing from the Department of Housing and Community Development, a public agency of the State of California (the "Department"), and California Community Reinvestment Corporation, a California nonprofit public benefit corporation ("CCRC"). E. WHEREAS, Section 2.3 of the Loan First Amendment states that the Agency Note is modified to provide that the entire unpaid principal balance and all accrued interest shall be due and payable on December 31,2008. F. WHEREAS, the remaining unpaid principal balance and all accrued interest on the Agency Loan as of August I, 2009 is TWO HlJNDRED SIXTEEN THOUSAl'ID ONE HUNDRED TWENTY-FIVE Al~D 02/100 DOLLARS ($216,125.02). G. WHEREAS, Borrower has and continues to make timely payments on the Agency Loan consistent with the Agency Loan Documents. H. WHEREAS, Borrower has requested consideration of amending the Agency Loan documents to extend payment of the remaining unpaid principal balance and all accrued interest on the Agency Loan. 7-7 Park Village 2nd Loan Amend RDA Resolution No. 2009~_ 1. WHEREAS, the Agency has no obligation or duty of any kind to agree to the Borrower's requests, and without directly or indirectly incurring any other liabilities or obligations to the Borrower, or any other person, Agency is willing to agree to.the Borrower's requests subject to and on the terms and conditions set forth herein. NOW, THEREFORE, in consideration of the foregoing recitals and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties hereto hereby agree to a Second Amendment to the Loan Assignment and Assumption Agreement and Third Amendment to the Agency Note and Agency Deed of Trust and agree to amend the Agency Loan Documents as follows: 1. Affirmation of Loan. 1.1. Acknowledgment of Indebtedness. The Borrower hereby acknowledges and agrees that as of August 1,2009, there is presently due and owing to Agency by Borrower on the Loan the principal sum of TWO HUNDRED SIXTEEN THOUSANTI ONl: HUNDRED TWENTY-FIVE AND 02/100 DOLLARS ($216,125,02). 1.2. Ratification of Loan Documents. Borrower hereby ratifies and reaffirms the Agency Loan Documents (as modified by the Loan First Amendment and this Loan Second Amendment) to which it is a party. 2. Modification of Note. Notwithstanding anything to the contrary. contained in the Note, subject to the conditions set forth in Section 6 hereof, below, the Note is hereby modified as follows: 2.1. Interest Rate. As of the effective date of this Loan Second Amendment, the outstanding principal balance on the Note shall accrue interest at the rate of three percent (3%) simple interest per annum. 2.2. Principal and Interest Payments. Principal and interest shall be due and payable in equal consecutive monthly installments due and payable on the first day of each month commencing with September I, 2009, based upon a twenty-four (24) year pursuant to the amortization schedule attached as Exhibit A. Such loan period has been extended to be consistent with the loan period for the Permanent Financing from the Department of Housing and Community Development. Such payments shall . continue until the entire indebtedness evidenced by the Note and all accrued but unpaid interest is fully paid, with any unpaid principal and all accrued but unpaid interest due and payable on the Maturity Date provided in Section 2.3 below. 2.3. Maturity Date. The Note is hereby modified to provide that the entire unpaid principal balance and all accrued interest shall be due and payable on December 31, 2033. 2.4. No other Changes. Except as expressly set forth herein, no other changes to the Agency Note or the First or Second Amendment thereto are contemplated or intended by this Third Amendment to the Agency Note and Agency Deed of Trust. The Park Village Zod Loan Amend RDA Resolution No. 2009~_ 7-8 balance of the Agency Note, the Agency Deed of Trust and the First and Second Amendments thereto shall remain unchanged and continue in full force and effect. 2.5. Endorsement. Agency shall prepare an endorsement to the Note to be executed by Agency and Borrower and attached to the Note to reflect therein the modifications effected hereby. 3. Modification of Security Documents. Notwithstanding anything to the contrary contained in any of the other Agency Loan Documents, each such document is hereby modified to the extent necessary to conform to the modifications of the Note set forth in Section 2 above and to incorporate the full force and effect of said modifications as they apply to or affect the provisions of such documents. Each of the Agency Loan Documents is hereby amended to secure, to the extent that by its terms it does not already so secure payment and performance of all obligations of Borrower under the Note as modified in Section 2 above. All references in each of the other Agency Loan Documents to the Note and/or the Deed of Trust and/or any other such document shall, from and after the date of this Loan Second Amendment, be deemed references to the Note, and/or Deed of Trust and/or other such documents as modified by this Loan Second Amendment. Additionally, the parties hereto acknowledge that, pursuant to that Subordination Agreement, Estoppel Certificate and lntercreditor Agreement ("Department Subordination Agreement") by and between the parties hereto and the Department (one of the "Department Loan Documents" defined above), certain terms of the Agency Loan Documents shall be modified, and certain remedies provided in the Agency Loan Documents shall not be exercised without the prior written approval of the Department except as otherwise provided in the Department Subordination Agreement. 4. No Waiver by Lender. Except as specifically set forth herein, the execution of this Loan Second Amendment by Agency shall not constitute a waiver of any rights or remedies to which Lender is entitled pursuant to the Note, the Deed of Trust, any of the other Agency Loan Documents, nor shall the same constitute a waiver of any default which may occur in the future with respect to the Note, the Deed of Trust, or any of the other Agency Loan Documents. 5. Recordation and Priority of Lien. Upon the recordation of this Loan Second Amendment, this Loan Second Amendment shall be a supplemental lien against the Property and shall encumber the Property until the Note, as herein amended, is fully paid and the Deed of Trust, as herein amended, is fully reconveyed and released of record; provided, however, that this Loan Second Amendment shall in no way alter the priority of the lien on the Property created by the Deed of Trust or any of the other Agency Loan Documents and the terms and provisions of this Loan Second Amendment shall relate back to the original date of the Deed of Trust and of ' each of the other Agency Loan Documents except to the extent that the Agency Regulatory Agreement and Deed of Trust are subordinated to the Department Loan and the CCRe Loan in connection with the Permanent Financing. 6. Conditions. Agency's, obligations under this Loan Second Amendment are conditioned on the following: 7-9 Park Village 2nd Loan Amend RDA Resolution No. 2009-_ 6. I. On or before the date of execution of this Loan Second lvnendment, Borrower shall have delivered to Agency, at Borrower's sole cost and expense, for Agency's approval, either (a) the agreement of North American Title Insurance to issue to Agency an endorsement to Agency's policy of title insurance (Policy No. 30-58 000- 30 issued June 21, 1991, Roy Brown, Title officer) relating to the Loan (effective as of the date of recordation of the Agency Loan) insuring the priority of the Deed of Trust, as modified by this Loan Second Amendment, to be a valid third lien on the Property subject to no new exceptions to title other than those created by the Department Loan Documents and the CCRC Loan Documents, or not otherwise or previously approved by Agency (a Form 110.5 endorsement), as well as any other endorsement reasonably required by Agency (including Form 111.2 endorsements with respect to the Department and CCRC subordination Agreements), or (b) at Borrower's election, a new policy of title insurance providing comparable coverage to be issued by a title insurer satisfactory to Agency. 6.2. Borrower shall have paid all title insurance premiums, escrow fees, recording fees, and other reasonable costs and expenses of Agency incurred in connection with this Loan Second Amendment except legal fees and costs incurred by Agency in connection with this Loan Second Amendment. 6.3. During the term of the Loan, income generated by the Project, if any, shall be made available to the Agency in accordance with the Department Regulatory Agreement and the Child Care Center Operating Reserve Agreement. 7. Representations and Warranties. Borrower hereby represents and warrants to Agency that: (a) Borrower has full right, power and authority to execute this Loan Second Amendment and all of the documents required by this Loan Second Amendment, and to perform its obligations hereunder and thereunder, without the need for any further action under its governing instruments, and any individual executing this Loan Second Amendment or any other related document on behalf of Borrower personally represents and warrants that such individual is a duly authorized agent with full authority to do so, and with full power and ability to bind such entity; (b) this Loan Second Amendment constitutes a legal, valid and binding obligation of Borrower enforceable in accordance with its terms; and (c) the execution and delivery of this Loan Second Amendment shall not violate any law, agreement or document governing Borrower or to which Borrower is a party. 8. Relationship of Parties. Nothing set forth in this Loan Second Amendment shall be construed as making Agency or Borrower, the partner, agent or joint venturer of the other, and Agency and each Borrower shall have no relationship to each other than as borrower and Agency. 9. Reporting Requirements. Borrower agrees to provide Agency with a copy of the Annual Report and Audit provided to the Department pursuant to Section 22 of the Department Regulatory Agreement by no later than ninety (90) days after the end of each "Fiscal Year for the Development" as provided therein. Park Village 2nd Loan Amend RDA Resolution No. 2009-_ 7-10 10. Miscellaneous. 10.1. Additional Documents. The parties hereto shall'execute all additional documents and do all acts not specifically referred to herein which are reasonably necessary to fully effectuate the intent of this Loan Second Amendment and to preserve, protect, perfect or defend the security interests granted pursuant to certain of the Agency Loan Documents and subsequent Amendments thereto. 10.2. No Assignment. The terms of this Loan Second Amendment are personal to the parties hereto and shall not be assigned. 10.3. Time of the Essence. Time is strictly of the essence of this Loan Second Amendment and full and complete performance of each and every provision hereof. 10.4. Successors. Except as otherwise provided in the Agency Loan Documents or this Loan Second Amendment, this Loan Second Amendment shall be binding upon the heirs, executors, administrators, successors and assigns of the respective parties. 10.5. Governing Law. This Loan Second Amendment shall be governed by, and construed in accordance with, the laws of the State of California. 10.6. Notices. All notices and other communications provided for herein and in the Agency Loan Documents shall be given or made by telecopy or in writing and telecopies, mailed or delivered to the intended recipient at the "Address for Notices" specified in the Agency Loan Documents; or, as to any party, at such other address as shall be designated by such party in a written notice to each other party. 10.7. Third party Beneficiaries. Except as expressly provided herein, no person not a party to this Loan Second Amendment shall have or acquire any rights by reason of this Loan Second Amendment, nor shall any party hereto have any obligations or liabilities to such other person by reason of this Loan Second Amendment. 10.8. Amendment. The provisions of this Loan Second Amendment and any Agency Loan Document may not be amended, modified or waived except by an instrument or instruments in writing signed by respectively the Borrower's party thereto and Agency. 10.9. Exhibits. Each exhibit attached hereto is incorporated herein by this reference. 10.10. Entire Agreement. This Loan Second Amendment, together with all exhibits and schedules attached hereto and other agreements expressly referred to herein, constitutes the entire agreement between the parties with respect to the Loan. All prior or contemporaneous agreements, understandings, representations, warranties and statements, oral or written, are superseded. [SIGNATURE PAGE TO FOLLOW] 7-11 Park Village 2nd Loan Amend RDA Resolution No. 2009-_ EXHIBIT A LOAN AMORTIZATION SCHEDULE 7-13 Park Village 2nd Loan Amend RDA Resolution No. 2009-_ IN WITNESS WHEREOF, the parties hereto have executed this Loan Second Amendment as of the day and year first written above. REDEVELOPMENT AGENCY: REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA, a public body, corporate and politic, of the State of California By: Name: James D. Sandoval Title: Executive Director ATTEST: Donna Norris, City Clerk APPROVED AS TO FORM: Bart Miesfeld, Agency Attorney BORROWER: PARK VILLAGE APARTMENTS LIMITED PARTNERSHIP, a California limited partnership By: PARK VILLAGE PARTNERS, a California general partnership, its General Partner By: CIVIC CENTER BARRIO HOUSING CORPORATION, a California nonprofit public benefit corporation, Managing General Partner of the Park Village Partners By: Name: Title: Helen R. Brown President 7-12 Park Village 2nd Loan Amend RDA Resolution No. 2009-_ Loan Amortization Schedule ,'" " .~',; -,' "., ""~, ~', '-' ' " ",":'" ~f::' , ' < ~> ,~:~,:',':,', ,_., :" ,~"" " .L()~~.p.nnc12~f~rn()':'.n.L..__...~~~?~6 ,gs .02 . iAnnuallnterest rate '3.000% :Lo:an'p:er;~~.T~~y:e;r~=:: :=: .:::=>~4.. .:' '=.: :~~ y~a.r:.()f I()~O.._.__.__ .. ___._.2SJ()2....___.; .B.9?~.IJ:l~th ()t19~r~_._... .__.._Aufjust_.u: .' "".,,,!,,d " "'" '. ,_< > ,*"> ,;i,,;' ~ 0J."l-n,~~.l Jq9Q..R9.~~D.~~____,. __~,_.___ -"_N_'~_ . f"!()~l~':1.IU"YIJ:l~O.~...__._.......... ..___..u. l~t~,~~?~_i~ ~r?t C~~l!9.C!~.Y~9E,_._.~_.".._< Interest over term of loan _~$_~!1l-~(~]2~Yii1~~~~~~~~~~~~~~'~-~.~=="-- - ,-- " , , " ,;\ <, > I ~~~jJ~gI~{~;;:~1;~~ii1~;iil:i~~1}~;,~)~~~I~l~'~~:~~0~i,;~i~~s%.tli~~~ 'Auq- $216,125,02, . $1,05;'1.63 ,$51332' " $54031 .'. $513.~:? ,. $54031' ,5~p.. $215,611.70 " .$L053.63 " $51~.60$539.03'$1;027.92$J,079.34/ . . 'Oct' '. .'. ~$215,ci97.1O,' $1,053.63 ,$515.89, :'. $.$:37.74' " $1,543.81, ,..' $1;6ii.08 . . .; Nav '$:?14,581,21;, . $1,053.63 '.$517.18 ',. . $536.45 . $2,060.99 . $2;153.53 .' ",' Dee '. $21,,!,QP4.03 . $1,()53,63 ,.' ," $51?.47' '$53S.16' " .$2,$79.:;49 .$2,688:69' ;1010 Jaii .$213,545.59 ' $1,053:63': . /$519.77' . $533.86 . ,. $3,099.23 '.. $3,222.55 ' Feb . '$213,025.7.9' $1,053:63:$Sn.Q7' .' $53;1:S9' $3,920:30 .$3,755:11 . .Mar "$212504.72 . $1,053.6,3 $522.37' ,$531.2.6..... $.4;142:67 '$4;286:37, .Apr :$211;982:35. .$1;053.63 $523:67 . ,.. $529.96' $4,666:34' . $4,81633 ~ j\l\ay, H '$211,458;68 > $1,053.63. $524.98 ."$528.65 .$5,191:32 $5,344.98 Jun $210,933.70 ;'. $1.053.63. $52630.. . .$527:33 $5,717,62 . $5.87231: .. .J,ull2!Q,407..1IL..J1,053.:.63 _:. . $521,9.L:.:._$~26,0~._ _:$!?,?1s'.2;3... . ..$!i,3.~lP.3.; ~~~~~;~~~~~p~f~~~~~~j~~r~~~~j.d~~:~&Ii~;~~~~j1ji~~1;~~~~Y~ 2019 .$21:J54~.?9' $1,2;643.56 $6,323.81. ..$6.319.75 . $8;903,27 '. $9.00&.,,41':$207,221.75 2011$207,221.75 : $12,643.56 $6,516.02', $6,127.54' ',$15,419.29' $15,135.98 $200,705.7:3 '2012>$200.70S.73 $12,643:56 . $6,714.21 $5,92935' $22:133.49:$21";065.34 $193,991:53 '2013 '. : .. $19.3,991.53:$12,643:56 , .$6,9iEl:43' '~.$5"725:13.. $?9,05L92:' $2,6;79Q:47 '. $1?7,073.10 2014' .' $1.87,073.10." $12,643.56 .' $7,128.86.. . $5,514.70 $36,180.78" .$32,305:17$179,944.24 2015: : $179,944:if, . $12;643:56 ." $7,345.69 . $S,297 .87'.' . $43,526.47'$37,603.04 $172,598.55 2016' . .$172.598.55' . $12,643:56' $7,569.12 .$5:074:44 . :$51,095.59:' $42,677.48 $165,029:43 .2017.... .$165;029.43.'. $12,643:56' . $7,799:34 .:$4,844.22,.$58,894.92:' $47,S2i:71$157,230.10 2018 $157,230.10 $12.643:56 '. $8,036.56' '$4,607.00 . $66,931.49' $52,128.70: .$149,193.53 .2019 $149,193:53 '$12;643:56' .' $8,281.00: $4,:362:56. $75,212.49 '$56,491.26.$14'0,912.53 2020 : $140,912.53> $12,643:56 . .$8:53i88 $4,110:68$83,745:36 $60,601;95 $132,379.66 2P21 . $132.379.66$12,643.56' ,$8;792.41: ..$3,8SiAS $92;537.7? . $64,453.09 '$123,587.24 .l022. $123,51l7.24.$12;643.56 $9.059,84 . $3.S1l3,7.2 $101.597:62 '.$68,036.81. $114;527:.40 ..2023.. $114,527.~0.. .$12'943.56, . $9,335.4l,.'. .' $3.308.1,5. '$110,933.0:;> : .$71,344.97 . $105,192.00 .2024 $105,192.00: $12,643.56' $9,61935.., '$3,024:21 "$120,55237 : . $74,369.18 $95,572.65 2bis . $95,572.6S'$12,643:56 '.. $9,911.93' .... $2;731.63 . $130,46'4.31'. $77,100:80$8s'.660.7i 2026 ,.,' $85,660;71 $12,643.56 ' $10,213.41 '$2,430:15 $140,67.7.72 '.$79,530:95 $75,44730, '2027.' '$75,447.30' '$12,643.56 '$10;524.06 "$2,119.50$151;201.78 . $81.650:45 $64.923.24 2028 ... i $64,923.2,t' $i2,643,56 $10,844.16' $1,799:4'0$162,045;95 $83,449.84 $54,079.07 2029$S4.079:07.:$12,643:S6$11;i74.00 ..' $1,469:56$173,219.95' $84,919.40 $42,90s':07 2030" ...$42,90s':07.:$1;1,643'56 $11;Sl~.87 .)i.129.6Q$W4.73~:81'$1lEi,Q49.10 $:31,3')1:21. .2031$3l.391:,21,', $12,643.56" $11,86'1.07' ..' $779.49 .$196,597.89 . $86,828.58 .' $19,sp.13 .;1.032; '. $19,527.13. $12,643,5.6::, $12,,224:93 .' '1;41.8.63 $208,822.81 $87;247.22 ._ $7,302.21. 2{)33.:' . $7,;302.21,: ..$7,37$,41:". ,P,302,?1.:~.. $73;49.$2J.6;l,25.0.L $BZ;;34DA2.... ,..~$Q.OQ Park Village 2nd Loan Amend RDA ResolutIOn No 2009-_ 7-14 RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: City of Chula Vista 276 Fourth Avenue Chula Vista CA 91910 Ann: City Clerk No fee for recording pursuant to . Government Code Section 27383 (Space above for Recorder's Use) FIRST AMEl';l)MENT TO AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY THIS FIRST AMENDMENT to the Agreement Containing .Covenants affecting Real Property ("First Amendment to the Covenants ") is entered into on the . day of August 2009, ("Effective Date") by and between THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA, a public body, corporate and politic, ("Agency") and PARK VILLAGE APARTMENTS LIMITED PARTNERSHIP, a California limited partnership ("Developer"). The Agency and Developer maybe referred to herein individually as "Party" and collectively as "Parties." RECITALS A. Developer is the owner of certain real property (the "Property") located at 1246-1256 Third A venue in the City ("City") of Chula Vista, County of San Diego, State of California, and more particularly described in Exhibit A, attached hereto; B. WHEREAS, on 'or about June 4, 1991, pursuant to that certain Development Agreement dated June 4, 1991 by and between CIVIC CENTER BARRIO HOUSING CORPORATION, a California nonprofit, public benefit corporation ("CCBHC") and Agency (the "Agency Development Agreement") Agency agreed to lend and CCBHC agreed to borrow the sum of THREE HUNDRED FIFTY THOUSAND DOLLARS ($350,000.00) (the "Loan") for the purpose of financing the acquisition of Property to be used for the development of an affordable housing and child care center project (the "Project") in accordance with certain restrictions; C. WHEREAS, on June 19, 1991, Agency and Developer entered into an Agreement Containing Covenants Affecting Real Property, recorded as Doc. No. 1991-03009010n June 21, 1991 in the official"records of the San Diego County Recorder's Office ("Covenants") wherein, Developer agreed to restrict Property's use to provide and maintain twenty-eight (28) affordable units ("Affordable Units") for very low income and low income households for a period of thirty (30) years; Park Village I Sl Amend Covenants RDA Resolution No. 2009-_ 7-15 D. WHEREAS, Developer was to provide payment of the entire unpaid principal balance and all accrued interest of the Loan on December 31, 2008; E. WHEREAS, Developer has requested consideration of modifying the Agency Loan documents to extend payment of the remaining unpaid principal balance and all accrued interest on the Agency Loan until December 31,2033; F. WHEREAS, Developer has agreed to extend the Covenants for the Property in exchange for consideration from the Agency to Developer of an extension for repayment of the Loan; and, G. WHEREAS, the Agency has no obligation or duty of any kind to agree to the Developer's requests, and without directly or indirectly incurring any other liabilities or obligations to the Developer, or any other person, Agency is willing to agree to the Developer's requests subject to and on the terms and conditions set forth herein. This First Amendment to the Covenants is being entered into and recorded to modify certain of said Covenants of record. NOW, THEREFORE, in consideration of the foregoing recitals and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties hereto hereby agree to amend the Agency Covenants as follows: 1. Subsection 6 (a) -Duration of Covenants; Enforcement, first sentence DELETE: The covenants to develop, use and maintain the Property in accordance with the Development Agreement contained in Sections 1 and 2 shall run with the land and remain in effect until June 4, 2021. ADD: The covenants to develop use and maintain the Property in accordance with the Development Agreement contained in Sections 1 and 2 shall run with the land and remain in effect until September 30, 2033 or until the entire principal and all accrued but unpaid interest of the Loan is fully paid, whichever date occurs last. 2. No Other Changes. No other changes to the Covenants are contemplated or intended by this First Amendment to the Covenants. The balance of the Covenants shall remain unchanged and continue full force and effect. [SIGNATURE PAGES TO FOLLOW] 7-16 Park Village 151 Amend Covenants RDA Resolution No. 2009-_ IN WITNESS WHEREOF, the parties hereto have executed this Agreement a, of the day and year first Wlitten above. AGENCY: RIIDEYRLOPMENT AGENCY OF THE ClTYOF CHULA VISTA, a public body, corporate and politic, of the State of Cali fomi a By: Narm:: James D. Sandoval Title: Executive Director ATTEST: Donna Norris, City Clerk APPROVED AS TO FOfu.\1: Bart Mie~feld, Agency Attorney DEVELOPER: PARK VILLAGE APARTMENTS LIMITED PARTNERSHIP, a California limited partnership By: PARK VILLAGE PARTNERS, a California geJlcral partnership, its General Partner By: CIVIC CENTER BARRIO HOUSING CORPORATlON, a Califurnia nonprofit public benefit corporation. Managing Gencral Partner of the Park Village Partners By: Name: Title: ~ Puclc Vllllito 1.' Amecd c...,'HmunL'!I RDA.Re$tltntiOJ' No. 20t11,10_ 7-17 THE ATTACHED AGREEMENT HAS BEEN REVIEWED AND APPROVED AS TO FOR1YI BY THE CITY ATTORNEY'S OFFICE AND WILL BE FORMALLY SIGNED UPON APPROVAL BY THE CITY COUNCIL / ().~! ,J / I ~}. . ~ ..I ... J)\'/ rt '. iesfeld ,!-/ City Attorney .,~ Dated: F~STAMENDMENTTOTHE AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY BETWEEN THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA AND PARK VILLAGE APARTMENTS LIMITED PARTNERSHIP 7-18 RECORDING REQUESTED BY Al'ID WHEN RECORDED MAIL TO: City ofChula Vista 276 Fourth Avenue Chula Vista CA 91910 Ann: City Clerk No fee for recording pursuant to Government Code Section 27383 (Space abovefor Recorder's Use) FIRST Al\'IEl'oillMENT TO AGREEMENT CONTAINING COVENANTS AFFECTING REAL PROPERTY THIS FIRST Al\'IENDMENT to the Agreement Containing Covenants affecting Real Property ("First Amendment to the Covenants ") is entered into on the day of August, 2009, ("Effective Date") by and between THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA, a public body, corporate and politic, ("Agency") and PARK VILLAGE APARTlVIENTS LIMITED PARTNERSHIP, a California limited partnership ("Developer"). The Agency and Developer maybe referred to herein individually as "Party" and collectively as "Parties." RECITALS A. Developer is the owner of certain real property (the "Property") located at 1246-1256 Third Avenue in the City ("City") of Chula Vista, County of San Diego, State of California, and more particularly described in Exhibit A, attached hereto; B. WHEREAS, on or about June 4, 1991, pursuant to that certain Development Agreement dated June 4, 1991 by and between CIVIC CENTER BARRIO HOUSING CORPORATION, a California nonprofit, public benefit corporation ("CCBHC") and Agency (the "Agency Development Agreement") Agency agreed to lend and CCBHC agreed to borrow the sum of THREE HUNDRED FIFTY THOUSAND DOLLARS ($350,000.00) (the "Loan") for the purpose of financing the acquisition of Property to be used for the development of an affordable housing and child care center project (the "Project") in accordance with certain restrictions; C. WHEREAS, on June 19, 1991, Agency and Developer entered into an Agreement Containing Covenants Affecting Real Property, recorded as Doc. No. 1991-03009010n June 21, 1991 in the official records of the San Diego County Recorder's Office ("Covenants") wherein, Developer agreed to restrict Property's use to provide and maintain twenty-eight (28) affordable units ("Affordable Units") for very low income and low income households for a period of thirty (30) years; 7-19 Park Village 1 Sl Amend Covenants RDA Resolution No. 2009-_ D. WHEREAS, Developer was to provide payment of the entire unpaid principal balance and all accrued interest of the Loan on December 31, 2008; E. WHEREAS, Developer has requested consideration of modifying the Agency Loan documents to extend payment of the remaining unpaid principal balance and all accrued interest on the Agency Loan until December 31, 2033; F. WHEREAS, Developer has agreed to extend the Covenants for the Property in exchange for consideration from the Agency to Developer of an extension for repayment of the Loan; and, G. WHEREAS, the Agency has no obligation or duty of any kind to agree to the Developer's requests, and without directly or indirectly incurring any other liabilities or obligations to the Developer, or any other person, Agency is willing to agree to the Developer's requests subject to and on the terms and conditions set forth herein. This First Amendment to the Covenants is being entered into and recorded to modify certain of said Covenants of record. NOW, THEREFORE, in consideration of the foregoing recitals and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties hereto hereby agree to amend the Agency Covenants as follows: 1. Subsection 6 (a) -Duration of Covenants; Enforcement, first sentence DELETE: The covenants to develop, use and maintain the Property in accordance with the Development Agreement contained in Sections I and 2 shall run with the land and remain in effect until June 4, 2021. ADD: The covenants to develop use and maintain the Property in accordance with the Development Agreement contained in Sections I and 2 shall run with the land and remain in effect until September 30, 2033 or until the entire principal and all accrued but unpaid interest of the Loan is fully paid, whichever date occurs last. 2. No Other Changes. No other changes to the Covenants are contemplated or intended by this First Amendment to the Covenants. The balance of the Covenants shall remain unchanged and continue full force and effect. [SIGNATURE PAGES TO FOLLOW] 7-20 Park Village 1 Sf Amend Covenants RDA Resolution No. 2009-_ IN WITNESS WHEREOF. the parlies hereto have executed this First Amendment to the Covenants as of the day and year first written ahove. REDEVELOPMENT AGENCY: REDEVELOPMENT AGENCY OF THE CrTY OF CHULA VISTA, a public body, corporate and politic, of the State ofCalifomia By: Name: James D. Sandoval Title: Executive Dire<;.tor ATTEST: Donna Norris, City Clerk APPROVED AS TO FORM: Bart Miesfeld.. Agency Attorney DEVELOPER.: PARK VlLLAGE APART.MENTS LIMITED PARTNERSHIP, a California limited partnership By: PARK VILLAGE PARTNERS, a California general partnership, its General Partner By: CIVIC CENTER BARRIO HOUSING CORPORATION, a Califurnia nonprofit pubhc benefit corporation., Managing General Partner of the Park Village P=ers i#~o~ ffldL~ By: Name: Title: President Park Vilb.ge 1 st Am:nd CO"'~1311t!:1 kO^ ReiQhlt!on NIJ. 2009-_ 7-21 THE ATTACHED AGREEMENT HAS BEEN REVIEWED AND APPROVED AS TO FORM BY THE CITY ATTORt\TEY'S OFFICE At'ill WILL BE FORMALLY SIGNED UPON APPROVAL BY THE CITY COUNCIL Dated: ~'ZJ) ('/1 SECOND AMEND NTITO LOAN ASSIGNMENT AND ASSUMPTION AGREEMENT BETWEEN THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA AND PARK VILLAGE APARTMENTS LIMITED PARTNERSHIP (INCLUDING nITRD AMENDMENT TO NOTE AND DEED OF TRUST) 7-22 RECORDING REQUESTED BY AL'JD WHEN RECORDED MAIL TO: City of Chula Vista 276 Fourth Avenue Chula Vista CA 91910 Attn: City Clerk No fee for recording pursuant to Government Code Section 27383 (Space above for Recorder's Use) SECOND AMENDMENT TO LOAN ASSIG]','MENT AND ASSUMPTION AGREElVIENT [INCLUDING THIRD AMENDMENT TO NOTE AND DEED OF TRUST] THIS SECOND AMENDMENT to the Loan Assignment and Assumption Agreement (" Loan Second Amendment") is entered into on the day of August, 2009, ("Effective Date") by and between THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA, a public body, corporate and politic, ("Agency") and PARK VILLAGE APARTMENTS . LIMITED PARTNERSHIP, a California limited partnership ("Borrower"). The Agency and Borrower may be referred to herein individually as "Party" and collectively as "Parties." RECITALS A. WHEREAS, on or about June 4, 1991, pursuant to that certain Development Agreement dated June 4, 1991 by and between CIVIC CENTER BARRIO HOUSING CORPORATION, a California nonprofit, public benefit corporation ("CCBHC") and Agency (the "Agency Development Agreement") Agency agreed to lend and CCBHC agreed to borrow- the sum of THREE HUNDRED FIFTY THOUSAND DOLLARS ($350,000.00) (the "Loan") for the purpose of financing the acquisition of certain real property in the City of Chula Vista to be used for the development of an affordable housing and child care center project (the "Project"). On or about June 19, 1991, CCBHC and Agency executed an Implementation Agreement (the "Implementation Agreement") for the purpose of implementing certain provisions of the Agency Development Agreement. B. WHEREAS, the Loan is evidenced by that certain Promissory Note Secured by Deed of Trust dated June 19, 1991 (the "Agency Note"), in the original principal amount of THREE HUNDRED FIFTY THOUSAND DOLLARS ($350,000.00) executed by CCBHC in favor of Agency. The repayment of the Agency Note and CCBHC's performance of its obligations thereunder are secured, inter alia, by that certain Deed of Trust and Assignment of Rents (the "Agency Deed of Trust") dated as of June 19, 1991, executed by Borrower, as Trustor, to Escondido Escrow, a California corporation, as Trustee, and narning Agency, as Beneficiary, recorded on June 21,1991 as Instrument No. 1991-0300900 in the official Records of SanDie go County, California, encumbering that certain real property described in Exhibit "A" attached 7-23 Park Village 2nd Loan Amend RDA Resolution No. 2009-_ hereto and incorporated herein by this reference (the "Property"). In addition, the Agency Loan is secured by (i) that certain Security Agreement dated as of June 19, 1991 (the "Security Agreement"), (ii) that certain UCC-I Financing Statement dated June 19, 1991 filed with the office of the Secretary of State of California on June 27, 1991 (the "Financing Statement"), and (iii) that certain UCC-I Fixture Filing dated June 19, 1991, recorded on June 21, 1991 as Instrument No. 1991-0300901 in the official Records of San Diego County, California (the "Fixture Filing"). The Agency Development Agreement, the Implementation Agreement, the Agency Note, the Agency Deed of Trust, the Security Agreement, the Financing Statement and the Fixture Filing, as amended on or about March 30, 1992 by the First Amendment Documents (see below), shall sometimes be referred to herein collectively as the "Agency Loan Documents". C. WHEREAS, on or about March 30, 1992, Borrower assumed all CCBHC's right, title, interest and obligations under the Agency Loan Documents pursuant to that certain Loan Assignment and Assumption Agreement dated March 30, 1992, and related documents including an Endorsement (amending the Note), a First Amendment to Deed of Trust and Assignment of Rents (recorded with the San Diego County Recorder on May 15,1992 as Document No. 1992- 0296172), a UCC-2 Amendment to Financing Statement filed May 20, 1992 with the office of the Secretary of State, a UCC-2 Amendment to Fixture Filing, a Clarification Re Contractor Consents, and related documents, all dated on or about March 30, 1992 (collectively, the "First Amendment Documents"). D. WHEREAS, on October 14, 1994, Parties executed the Loan Modification Agreement, including a Second Amendment to the Agency Note and Agency Deed of Trust, recorded as Doc. No. 1994-0603786 on October 14, 1994 in the official records of the San Diego County Recorder's office ("Loan First Amendment") to modify certain aspects of the Agency Loan Documents to accommodate the terms and conditions of the Permanent Financing from the Department of Housing and Community Development, a public agency of the State of California (the "Department"), and California Community Reinvestment Corporation, a California nonprofit public benefit corporation ("CCRC"). E. WHEREAS, Section 2.3 of the Loan First Amendment states that the Agency Note is modified to provide that the entire unpaid principal balance and all accrued interest shall be due and payable on December 31, 2008. F. WHEREAS, the remaining unpaid principal balance and all accrued interest on the Agency Loan as of August 1, 2009 is TWO HUNDRED SIXTEEN THOUSAND ONE HUNDRED TWENTY-FIVE AND 02/100 DOLLARS ($216,125.02). G. WHEREAS, Borrower has and continues to make timely payments on the Agency Loan consistent with the Agency Loan Documents. H. WHEREAS, Borrower has requested consideration of amending the Agency Loan documents to extend payment of the remaining unpaid principal balance and all accrued interest on the Agency Loan. 7-24 Park Village 200 Loan Amend RDA Resolution No. 2009.-,-- 1. WHEREAS, the Agency has no obligation or duty of any kind to agree to the Borrower's requests, and without directly or indirectly incurring any other liabilities or obligations to the Borrower, or any other person, Agency is willing to agree to the Borrower's requests subject to and on the terms and-conditions set forth herein. NOW, THEREFORE, in consideration of the foregoing recitals and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties hereto hereby agree to a Second Amendment to the Loan Assignment and Assumption Agreement and Third Amendment to the Agency Note and Agency Deed of Trust and agree to amend the Agency Loan Documents as follows: 1. Affirmation of Loan. 1.1. Acknowledgment of Indebtedness. The Borrower hereby acknowledges and agrees that as of August 1, 2009, there is presently due and owing to Agency by Borrower on the Loan the principal sum of TWO HUNDRED SIXTEEN THOUSAND ONE HUNDRED TWENTY-FIVE A1'\!D 02/100 DOLLARS ($216,125.02). 1.2. Ratification of Loan Documents. Borrower hereby ratifies and reaffirms the Agency Loan Documents (as modified by the Loan First Amendment and this Loan Second Amendment) to which it is a party. 2. Modification of Note. Notwithstanding anything to the contrary contained in the Note, subject to the conditions set forth in Section 6 hereof, below, the Note is hereby modified as follows: 2.1. Interest Rate. As of the effective date of this Loan Second Amendment, the outstanding principal balance on the Note shall accrue interest at the rate of three percent (3%) simple interest per annum. 2.2. Principal and Interest Payments. Principal and interest shall be due and payable in equal consecutive monthly installments due and payable on the first day of each month commencing with September I, 2009, based upon a twenty-four (24) year pursuant to the amortization schedule attached as Exhibit A. Such loan period has been extended to be consistent with the loan period for the Permanent Financing from the Department of Housing and Community Development. Stich payments shall continue until the entire indebtedness evidenced by the Note and all accrued but unpaid interest is fully paid, with any unpaid principal and all accrued but unpaid interest due and payable on the Maturity Date provided in Section 2.3 below. 2.3. Maturity Date. The Note is hereby modified to provide that the entire unpaid principal balance and all accrued interest shall be due and payable on December 31, 2033. 2.4. No other Changes. Except as expressly set forth herein, no other changes to the Agency Note or the First or Second Amendment thereto are contemplated or intended by this Third Amendment to the Agency Note and Agency Deed of Trust. The 7-25 Park Village 2nd Loan Amend RDA Resolution No. 2009-_ balance of the Agency Note, the Agency Deed of Trust and the First and Second Amendments thereto shall remain unchanged and continue in full force and effect. 2.5. Endorsement. Agency shall prepare an endorsement to the Note to be executed by Agency and Borrower and attached to the Note to reflect therein the modifications effected hereby. 3. Modification of Security Documents. Notwithstanding anytlring to the contrary contained in any of the other Agency Loan Documents, each such document is hereby modified to the extent necessary to conform to the modifications of the Note set forth in Section 2 above and to incorporate the full force and effect of said modifications as they apply to or affect the provisions of such documents. Each of the Agency Loan Documents is hereby amended to secure, to the extent that by its terms it does not already so secure payment and performance of all obligations of Borrower under the Note as modified in Section 2 above. All references in each of the other Agency Loan Documents to the Note and/or the Deed of Trust and/or any other such document shall, from and after the date of this Loan Second Amendment, be deemed references to the Note, and/or Deed of Trust and/or other such documents as modified by this Loan Second Amendment. Additionally, the parties hereto acknowledge that, pursuant to that Subordination Agreement, Estoppel Certificate and lntercreditor Agreement ("Department Subordination Agreement") by and between the parties hereto and the Department (one of the "Department Loan Documents" defined above), certain terms of the Agency Loan Documents shall be modified, and certain remedies provided in the Agency Loan Documents shall not be exercised without the prior written approval of the Department except as otherwise provided in the Department Subordination Agreement. 4. No Waiver by Lender. Except as specifically set forth herein, the execution of this Loan Second Amendment by Agency shall not constitute a waiver of any rights or remedies to which Lender is entitled pursuant to the Note, the Deed of Trust, any of the other Agency Loan Documents, nor shall the same constitute a waiver of any default which may occur in the future with respect to the Note, the Deed of Trust, or any of the other Agency Loan Documents. 5. Recordation and Priority of Lien. Upon the recordation of this Loan Second Amendment, this Loan Second Amendment shall be a supplemental lien against the Property and shall encumber the Property until the Note, as herein amended, is fully paid and the Deed of Trust, as herein amended, is fully reconveyed and released of record; provided, however, that this Loan Second Amendment shall in no way alter the priority of the lien on the Property created by the Deed of Trust or . any of the other Agency Loan Documents and the terms and provisions of this Loan Second Amendment shall relate back to the original date of the Deed of Trust and of each of the other Agency Loan Documents except to the extent that the Agency Regulatory Agreement and Deed of Trust are subordinated to the Department Loan and the CCRC Loan in connection with the Permanent Financing. 6. Conditions. Agency's obligations under this Loan Second Amendment are conditioned on the following: 7-26 Park Village 2nd Loan Amend RDA Resolution No. 2009-_ 6.1. On or before the date of execution of this Loan Second Amendment, Borrower shall have delivered to Agency, at Borrower's sole cost and expense, for Agency's approval, either (a) the agreement of North American Title Insurance to issue to Agency an endorsement to Agency's policy of title insurance (Policy No. 30-58 000- 30 issued June 21, 1991, Roy Brown, Title officer) relating to the Loan (effective as of the date of recordation of the Agency Loan) insuring the priority of the Deed of Trust, as modified by this Loan Second Amendment, to be a valid third lien on the Property subject to no new exceptions to title other than those created by the Department Loan Documents and the CCRC Loan Documents, or not otherwise or previously approved by Agency (a Form 110.5 endorsement), as well as any other endorsement reasonably required by Agency (including Form 111.2 endorsements with respect to the Department and CCRC subordination Agreements), or (b) at Borrower's election, a new policy of title insurance providing comparable coverage to be issued by a title insurer satisfactory to Agency. 6.2. Borrower shall have paid all title insurance premiums, escrow fees, recording fees, and other reasonable costs and expenses of Agency incurred in connection with this Loan Second Amendment except legal fees and costs incurred by Agency in connection with this Loan Second Amendment. 6.3. During the term of the Loan, income generated by the Project, if any, shall be made available to the Agency in accordance with the Department Regulatory Agreement and the Child Care Center Operating Reserve Agreement. 7. Representations and Warranties. Borrower hereby represents and warrants to Agency that: (a) Borrower has full right, power and authority to execute this Loan Second Amendment and all of the documents required by this Loan Second Amendment, and to perform its obligations hereunder and thereunder, without the need for any further action under its governing instruments, and any individual executing this Loan Second Amendment or any other related document on behalf of Borrower personally represents and warrants that such individual is a duly authorized agent with full authority to do so, and with full power and ability to bind such entity; (b) this Loan Second Amendment constitutes a legal, valid and binding obligation of Borrower enforceable in accordance with its terms; and (c) the execution and delivery of this Loan Second Amendment shall not violate any law, agreement or document governing Borrower or to which Borrower is a party. 8. Relationship of Parties. Nothing set forth in this Loan Second Amendment shall be construed as making Agency or Borrower, the partner, agent or joint venturer of the other, and Agency and each Borrower shall have no relationship to each other than as borrower and Agency. 9. Reporting Requirements. Borrower agrees to provide Agency with a copy of the Annual Report and Audit provided to the Department pursuant to Section 22 0 f the Departnient Regulatory Agreement by no later than ninety (90) days after the end of each "Fiscal Year for the Development" as provided therein. Park Village 2nd Loan Amend RDA Resolution No. 2009-_ 7-27 10. Miscellaneous. 10.1. Additional Documents. The parties hereto shall execute all additional documents and do all acts not specifically referred to herein which are reasonably necessary to fully effectuate tbe intent of tbis Loan Second Amendment and to preserve, protect, perfect or defend the security interests granted pursuant to certain of tbe Agency Loan Documents and subsequent Amendments tbereto. 10.2. No Assignment. The terms of this Loan Second Amendment are personal to the parties hereto and shall not be assigned. 10.3. Time oftbe Essence. Time is strictly of the essence of this Loan Second Amendment and full and complete performance of each and every provision hereof. 10.4. Successors. Except as otberwise provided in the Agency Loan Documents or this Loan Second Amendment, this Loan Second Amendment shall be binding upon tbe heirs, executors, administrators, successors and assigns of tbe respective parties. 10.5. Governing Law. This Loan Second Amendment shall be governed by, and construed in accordance witb, tbe laws of the State of California. 10.6. Notices. All notices and otber communications provided for herein and in tbe Agency Loan Documents shall be given or made by telecopy or in writing and telecopies, mailed or delivered to the intended recipient at tbe "Address for Notices" specified in tbe Agency Loan Documents; or, as to any party, at such other address as shall be designated by such party in a written notice to each other party. 10.7. Third Party Beneficiaries. Except as expressly provided herein, no person not a party to this Loan Second Amendment shall have or acquire any rights by reason of this Loan Second Amendment, nor shall any party hereto have any obligations or liabilities to such otber person by reason of tbis Loan Second Amendment. 10.8. Amendment. The provisions of this Loan Second Amendment and any Agency Loan Document may not be amended, modified or waived except by an instrument or instruments in writing signed by respectively the Borrower's party tbereto and Agency. 10.9. Exhibits. Each exhibit attached hereto is incorporated herein by tbis reference. 10.10. Entire Agreement. This Loan Second Amendment, togetber with all exhibits and schedules attached hereto and other agreements expressly referred to herein, constitutes tbe entire agreement between tbe parties with respect to the Loan. All prior or contemporaneous agreements, understandings, representations, warranties and statements, oral or written, are superseded. [SIGNATURE PAGE TO FOLLOW] 7-28 Park Village Zlld Loan Amend RDA Resolution No. 2009-_ IN WITNESS WHEREOI<', the parties hereto have executed this Loan Second Amendment as oftbe day and ye.tr first written above. REDEVELOPMENT AGENCY: REDEVELOPlvfENT AGENCY OF THE CITY OF CHULA VISTA, a public body, coIpOrllte and politic, of the State of Cali forma By: Name: James D. Sandoval Title: Executive Director ATTEST: Donna NOlTis, City Clerk APPROVED AS TO FORM: Bm1 MiesfeJd, Agency Attorney BORROWER: PARK VILLAGE APARTMENTS LIMITED PARTNERSHIP, a Califumia limited partnership By: PARK VILLAGE PARTNERS, a California general partnership, its General Partner By: CMC CENTER BARRIO HOUSING CORPORATION, a Califoruia nonprofit public benefit corporation, Managing General Partner of the Park Village Partner By: Name: Title: ~ ViJJal3c 'J....J. Ll]lln AmclIll RDA Rc.'1C'1llolliQU No. 2009-__ 7-29 EXHIBIT A LOAN AMORTIZATION SCHEDULE 7-30 Park Village 2nd Loan Amend RDA Resolution No. 2009-_ Loan Amortization Schedule ,~j:~~~~,~Eft~~~~~~~:.w17~~t~~~llr~T~~~i~~~ Loan principal amount 1$216,125.02 I Annual interesirate__,__ 13.000% --1 Loan ~eriod in years 24 I Base '@ar of loan 2009 i Base month of loan'------ I September I "~,";;;7W'~~;;7<~~~"",,,-~~"=~,~~ ~n-"'- ""'~'~I~""<:,.:?"'.<a ":;r'~,-'r~'""l """'~:~{~"1n.-.If" i.J:.- .-.~J! ~,~:.~;~~~~~~:::::~:t.~~~;t.~~,iJ;~i~1{:j~~~.Z~ri'~~ ~~:;~~~~~~'nts'-"'-"""""'_t'~'J [nterest in first calendar year ==i !Interest over term of loan I Sum of all payments ' ,~, : ~1:'Sep;:'::lv ';::.::~S:$216)25;di~lif;' $1;053:'63 ,',fiJF' $513;'32.~f ': ';;:;;$540i3f'1}" ?::r!$5i3ji':.;~:\$54ojl11 ~~",~oqJ;1;.i5-~;~ji.~;:%.m)il:r-;Z.b}~~tr~oS~@;(iWi;1i;;}l!.fr.:65::![;Jlj.$,$~9:91J:!i$.tQrt:J2.-,;;;J~,$.i'QZ9;~ :":' ff~v,:r: ';ff,~~;;;;\ ,$2J5 ,02.?::10J!ft.- $~053H'i3-'~jlf:' $..?1_5;89j'l":~'$5~Zj74'i,~t~$ JJ?43~~~: ,'!!!'i$l)~J 7:0~$1 if;;J. 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FOR PARK VILLAGE AFFORDABLE APARTMENTS W1-IEREAS, on or aboutJ une 4, 1991, the Redevelopment Agency of the City of Chula Vista . (the "Agency") agreed to lend Park Village Apartments, L.P. ("Borrower") THREE HlJNDRED FIFTY THODSA.Nl) DOLLARS ($350,000.00) (the "Loan") from its Low and Moderate Income Housing Set-Aside fund f{)r the purpose offillancing the acquisition of Park Village Apartments in the City of Chula Vista (the "Project"); WHEREAS, on June 19, 1991, Agency and Borrower entered into an Agreement Containing Covenants Affecting Real Property, recorded as Doc. No. 1991-0300901 on June 21, 1991 in the offlcial records of the San Diego County Recorder's Office ("Covenants") wherein, Developer agreed to restrict Property's use to provide and maintain twenty-eight (28) affordable units ("Affordable Units") for very low income and low income hou~ehold~ fo~,a.periocrof thirty (30) years; WHEREAS, on October 14, 1994, BORROWER and the Agency executed the Loan Modification Agreement, including a Second Amendment to the Agency Note and Agency Deed of Trust, recorded as Doc. No. 1994-0603786 on October 14, 1994 in the official records of the San Diego County Recorder's office ("Loan First Amendment"); WHEREAS, in accordance with Section 2.3 of the Loan First Amendment, the entire unpaid principal balance and all accrued interest of approximately $222,352 ($221,429 loan principal and $923 in interest) was due and payable on December 31, 2008; WHEREAS, BORROWER has made timely monthly payments on the loan but is unable to make full payment of the principal balance and accrued interest at this time and has requested an amendment to the loan to extend the payment schedule; WHEREAS, Park Village Apartments provides affordable units and a child care centerto the benefit of the co=unity within the southwest area of the City of Chula Vista; WHEREAS, the Agency is willing to modify the loan agreement to lower the interest rate to three percent (3%) simple interest per annum, extend the maturity date to December 31,2033, and extend the affordable covenants of the Project to September 30, 2033 or until the entire principal and all ac~rued but unpaid interest of the Loan is fully paid, whichever date occurs last. 7-32 \VI-ffiREAS, such an amendment to the Loan and the Covenants provide more consistent loan terms with the Proj ect' s permanent financing from the California Department of Housing and Co=unity Development and the loan terms provided to other affordable housing proj ects assisted by the Agency. NOW, THEREFORE, BE IT RESOLVED by the Redevelopment Agency of the City of Chula Vista as follows: I. The Redevelopment Agency hereby approves the Second Amendment to the Loan Assignment and Assumption Agreement ("Loan Second Amendment") and the First Amendment to Agreement Containing Covenants Affecting Real Property (Covenants First Amendment) in substantially the forms presented. The Executive Director and his designee ar.e hereby authorized to sign all documents, to make all approvals and take all actions necessary or appropriate to carry out and implement the Amendments and to administer the obEgations, responsibilities and duties of the Agency ill be performed tmder. the Loan Agreement, Covenants, related documents and any subsequent amendments thereto. 2. The Agency Attorney, on behalf of the Agency, is hereby authorized to make revisions to the Loan Second Amendment and Covenants First Amendment which do not. materially or substantially increase the obligations of the Agency thereunder or materially or substantially change the Project. . Presented by Approved as to form by Gary Halbert Deputy City Manager! Development Services Director J).['(~ il,. . '/{.' ..' I}\.J</~ IJn Bar}'Miest: J . -rei \ CgyAttorney 7-33 CITY COUNCIL AGENDA STATEMENT ~~f:. CIIT OF - - (HULA VISTA. AUGUST 4, 2009, ItemL ITEM TITLE: PUBLIC HEARING FOR THE PROPOSED ASSESSMENT OF CERTAIN DELINQUENT SEWER SERVICE CHARGES AS RECORDED LIENS UPON THE RESPECTIVE OWNER OCCUPIED PARCELS OF LAND AND PLACEMENT OF DELINQUENT CHARGES ON THE NEXT REGULAR TAX BILL FOR COLLECTION RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ASSESSING CERTAIN DELINQUENT SEWER SERVICE CHARGES AS RECORDED LIENS UPON THE RESPECTIVE OWNER OCCUPIED PARCELS OF LAND AND APPROVING PLACEMENT OF DELINQUENT CHARGES ON THE NEXT REGULAR TAX BILL SUBMITTED BY: DIRECTOR OF FINANCE/TREASURER~ CITYMANAGER..~ ASSISTANT CIT%~AGER '7 r 4/5THS VOTE: YES D NO I X I REVIEWED BY: SUMMARY In order to adequately protect the City's interest in delinquent sewer service charges and ensure that collection efforts are directed towards the responsible property owner in the event of a change in ownership, staff is recommending approval of liens against affected properties as a preliminary action to replacing the delinquencies on the property tax rolls if they remain unpaid. Adoption of this resolution will enhance the collection process for delinquent sewer service charges by ensuring that the correct property owners are charged and that payments will be received on a timely basis. This is the identical process approved by City Council since August 1998. ENVIRONMENTAL REVIEW The Environmental Review Coordinator has reviewed the proposed actIvIty for compliance with the California Environmental Quality Act (CEQA) and has determined that the activity is not a "Project" as defined under Section 15378 (b)( 4) of the State CEQA Guidelines; therefore, pursuant. to Section 15060(c)(3) of the State CEQA 8-1 AUGUST 4, 2009, Item~ Page 2 of3 Guidelines the activity IS not subject to CEQA. Thus, no environmental review is necessary. RECOMMENDA nON Council conduct the public hearing and adopt the resolution. BOARDS/COMMISSION RECOMMENDA nON Not applicable. DISCUSSION The Chula Vista Municipal Code Section 13.14.150 allows delinquent sewer service charges to be assessed as recorded liens upon the affected properties and ultimately placed on the property tax bills for collection. The ordinance states that upon notification of the property owners, a public hearing is set for sewer service accounts which are over sixty days delinquent. At the hearing, the City Council considers the delinquent accounts together with any objections or protests by interested parties. At the conclusion of the hearing, the City Council may either approve the delinquency and amount owed on the accounts as submitted or as modified or corrected by the City Council. Lastly, the City Council adopts a resolution assessing such amounts as recorded liens upon the respective parcels of land, and the amounts are charged to the property owners on the next regular property tax bill. In March 2009, City Council approved 576 delinquent accounts valued at $217,000 to be placed on the property tax bill for collection. Staff recently identified 1,091 accounts totaling $556,800 as being over 60 days delinquent and through preliminary collection efforts, 655 accounts have been resolved, and the remaining 436 accounts valued at $203,100 are now being submitted (listing available at the Finance Department). While many of these property owners have gone through this lien process previously as they continue to leave their sewer service accounts unpaid, the total number of delinquent accounts being submitted for the lien process continues to climb. These property owners have been notified of their delinquencies within the last 60 days, and two weeks ago, they were notified of the public hearing and were asked again to pay their delinquent sewer service charges to avoid a lien being placed on their property. Payment arrangements will be set up as needed, and staff will continue to update this list as payments are received and accounts are cleared. A final list will be submitted to the City Council for consideration on the day of the public hearing in order to reflect the most current payment postings. Staff is recommending that the City Council approve the fmal list of delinquent sewer accounts as submitted, and that these charges be forwarded to the County and assessed as liens on the respective owner occupied parcels of land and ultimately placed on the next regular tax bill for collection. 8-2 AUGUST 4, 2009, ItemL Page 3 of3 DECISION MAKER CONFLICT Staff has reviewed the property holdings of the City Council and has found no property holdings within 500 feet of the boundaries of the properties which are the subject of this action. FISCAL IMP ACT By placing delinquent sewer service charges on the property owner's regular tax bill, the City realized approximately $549,000 in additional sewer fund revenues for Fiscal Year 2008/2009. From this action alone, the City should realize approximately $203,100 in revenues. Prepared by: Nadine lvfandery, Treasury A1anager, Finance Department 8-3 RESOLUTION NO. 2009- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ASSESSING CERTAIN DELINQUENT SEWER SERVICE CHARGES AS RECORDED LIENS UPON THE RESPECTNE OWNER OCCUPIED PARCELS OF LAND AND APPROVING . PLACEMENT OF DELINQUENT CHARGES ON THE NEXT REGULAR TAX BILL WHEREAS, Chula Vista Municipal Code section 13.14.150 allows delinquent sewer service charges to be assessed as .recorded liens upon the affected properties and ultimately placed on the property tax bills for collection; and WHEREAS, the ordinance states that upon notification of the property owners, a public hearing is set for sewer service accounts which are over sixty days delinquent; and WHEREAS, at the hearing, the City Council considers the delinquent accounts together with any objections or protests by interested parties; and WHEREAS, at the conclusion of the hearing, the City Council may either approve the delinquency and amount owed on the accounts as submitted or as modified or corrected by the City Council; and WHEREAS, many of these property owners have gone through this lien process previously as they continue to leave their sewer service accounts unpaid; and WHEREAS, these property owners have been notified of their delinquencies within the last sixty days, were notified of the public hearing and were again asked to pay their delinquent sewer service charges to avoid a lien being placed on their property; and WHEREAS, staff is recommending that the City Council approve the final list of delinquent sewer accounts as submitted, and that these charges be forwarded to the County and assessed as liens on the respective owner occupied parcels of land and ultimately placed on the next regular tax bill for collection. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista that it: (1) conducts the public hearing to consider assessing delinquent sewer service charges as liens on the affected properties; (2) overrules any and all protests or objections presented at the public hearing; and (3) approves, with respect to the delinquent account list 8-4 Resolution No. Page 2 submitted to the City Council and on file in the City Finance Department, assessing delinquent sewer service charges as liens upon the respective parcels of land and the placement of such delinquent charges as special assessments on the next corresponding regular ta'( bills, unless cleared prior to transmittal of the delinquent account list to the County. Presented by Approved as to form by / Iud Maria Kachadoorian Director of Finance J:\Attomey\RESO\SEWER\Delinquent Sewer Service Charges_07-20-09.DOC 8-5 08/04/2009 Customer Information 41244604 39428202 752078014 752750012 66563801 681582016 669478017 683058016 68721403 67531809 39656607 747454020 74751805 38273402 39641801 38660609 665342017 67172606 65156605 67733806 38623409 65169006 607498024 632430014 63416203 63642206 62443803 62444203 643298119 373350015 37212608 37208203 62367002 41409003 43716203 43715401 43723802 47543006 68123805 645282010 64542601 37015800 370074016 370/50031 37008602 ~I~ --.- ~--~~ - --- ITEI~ #8 ATTACHMENT CllY OF (HULA VISTA Finance Department Collections Unit Delinquent Sewer Accounts - Public Hearing Total due $ 44362 $ 436.65 $ 508.36 $ 228.57 $347.42 $ 1,189.34 $ 437.95 $ 290.55 $ 1,074.63 $ 925.54 $ 494.62 $ 481.54 $ 348.30 $207.16 $471.13 $ 727.95 $ 634.00 $ 185.91 $ 225.82 $ 314.18 $ 1,734.39 $ 247.48 $ 492.47 $ 284.04 $ 1,632.45 $473.21 $ 393.20 $ 197.48 $ 318.42 $ 392.61 $ 246.45 $ 372.39 $ 282.82 $ 604.04 $ 427 43 $ 275.76 $ 704.26 $ 316.93 $ 282.82 $ 404.54 $ 685.69 $ 918.29 $ 200.76 $ 458.37 $ 352.52 Page: 1 Customer Information 60519809 61543808 62635402 43709401 61536602 62329401 69237406 47522207 753314023 60723402 23639008 23637408 240430016 24040609 24005007 46513405 69207800 692094023 62325003 623182013 626166016 32913805 64550202 645546013 64551400 757822011 75771808 75772608 75779008 75773402 692434014 34907801 349178014 349398021 360254035 360070019 360074019 757090021 75715401 70718203 75734204 68309401 39417402 685374013 74882801 48121007 69139001 435310013 41207807 43540607 665490027 38023802 36658403 366206012 62312604 62309001 62307802 623070013 Total due $ 761 47 $ 220.66 $ 251.46 $ 435.83 $ 602.56 $ 944.4 7 $ 162.90 $453.13 $403.16 $ 368.04 S 348.98 $ 253.04 $ ] 94.53 $ 425 65 $ 337.44 $ 933.85 $ 385.72 $ 444.89 $ 210.10 S 547.09 $ 249.70 $ 1,253.86 $ 431.92 $ 471.98 S 429.97 $ 568.65 $ 332.86 $ 445.51 $ 255.21 $316.43 $ 513.96 $ 206.71 $ 241.80 $ 287.89 $ 733.17 $ 192.32 $ 477.57 $ 459.34 $ 263.96 $ 612.98 $ 465.29 $ 269.75 $ 315.16 $243.41 $ 251.17 S 447.84 $ 402.11 $ 247.46 $ 195.23 $ 301.69 $ 315.54 $ 377.94 S 718.20 $ 349 61 $ 776.43 $ 234.40 S 258.83 $ 496.46 Page: 2 Customer Information 62607805 62612203 48345002 38653407 37042603 37613003 64407405 64745003 64748605 64725804 651286012 64537807 64535403 447586020 419110014 409262012 40928208 39607004 382346013 36845001 37046202 39263006 39048203 416194011 46143804 45417406 46135804 45423002 37341004 37225004 62167800 62169004 621694014 66746204 667502015 67515806 67515401 675078014 69219802 37055001 67718201 25038005 624558010 37356203 368258021 47508204 4374700]4 43746609 43745405 41747800 75325002 75327009 665058014 63025801 63206203 60557003 382546017 38456202 Total dne $ 268.45 $ 435.67 $ 294.61 $ 298.84 $ 452.20 $ 441.90 $ 619.49 $ 600.03 S201.19 $ 482.58 S 338.97 $ 241.80 $ 864.24 S 943.25 $ 602.34 S 1,391 71 $ 456.07 $ 382.52 $ 210.02 $ 219.47 $417.65 S 344.93 $ 635.41 $ 581.02 $ 237.44 $ 610.21 $ 255.61 $ 438.94 $ 376.38 S 367.01 $ 248.11 $ 346.91 $ 561 74 $ 824.72 S 433.03 S 431.69 S 199.56 $ 754.92 $ 931.16 $ 418.61 $ 173.77 $ 463.80 $ 2,004.90 S 220.90 $ 854.59 $ 220.66 $ 466.83 $ 384.83 S 181.66 $ 232.90 $ 283.86 $ 331.03 $ 893.65 S 390.34 $ 225.28 $ 555.55 $ 416.58 $ 1,127.82 Page: 3 Customer Information 63433405 64224201 (,4211003 24215003 24219004 46735804 424518010 424482019 37313802 37319405 37244604 61239001 62461809 479458012 47929406 47911007 47919406 67167406 67161402 42527800 41252005 43515802 425346025 43520205 40230207 41412204 75236202 752394021 402158010 685322013 685330015 437354019 36432206 44543401 42320805 447570022 687314011 68730607 68729402 62442608 69211806 67147805 636406016 62355407 40320601 40325401 40331409 62449807 47333003 47005807 47133409 42431005 423244010 42323601 496290012 40317801 403066012 40317005 Total due 8416.41 8 271.24 $ 1,104.97 S 282.82 $ 305.26 8261.83 S 576.21 8 559.64 $ 1,007.64 8 152.20 8 254.87 $ 595.51 $ 636.50 8 157.30 8265.93 $ 261.06 8301.31 8517.74 8 290.75 $ 777.21 8 481.54 8 30607 8348.11 8412.98 $ 259.64 $ 621.55 8543.56 S 175.90 8416.53 8 241.80 $ 206.77 8 245.76 $ 268.45 8 304.87 $ 255.15 8 430.88 8478.99 8687.36 8339.46 $ 753.77 8 330.35 $ 303.3 7 8 788.87 $ 975.85 8 188.99 S 435.91 8 327.99 8 288.45 S 678.55 S 203.60 $ 217 01 S 391.02 8305.26 8 225.82 $ 452.73 8 690.68 $ 722.Q9 8 254.29 Page: 4 Customer Information 403154015 34727004 34721003 35811007 35815803 358478010 36217808 36206601 358454022 41256005 41332203 40919802 40607804 67535400 675366012 65162206 68907811 626490018 62454205 75551601 6713 7807 75410607 67752204 65730202 68932604 43741003 435146014 45439806 42415402 47339801 47111404 69141371 40342204 34714209 362310019 60527804 669578030 445202013 37316208 48509402 23630202 23631004 40437409 36638608 42233804 41945404 40743805 40729803 69531003 69534604 69535004 69577803 445342019 445346010 451110010 47315405 473162019 47025002 Total due $ 241.80 $ 1,522.85 $ 154.33 $ 526.49 $ 292.47 $ 549.11 $ 255.00 $ 367.90 $ 169.84 $ 495.76 $ 191.33 $ 560.85 $ 412.70 $ 350.32 $ 527.44 $ 241.80 $ 523 02 $ 331.90 $ 248.12 $ 449 46 $ 283.82 $ 230.28 $ 423.76 $ 486.43 $ 661.57 $ 220.57 $ 423.57 $ 234.35 $ 628.64 $ 521.67 $ 564.83 $ 300.25 $ 517.06 $ 1,209.52 $283.10 $ 944.48 $ 902.47 $ 719.58 $ 1,511.83 $405.81 $ 629.07 5 502.85 51,293.04 $312.38 $21773 $739.16 5315.79 $ 396.31 5199.56 $ 853.27 5 878.39 $ 509.98 $ 211.60 $ 412.67 $ 628.37 $ 453.13 $ 268.54 $ 282.68 Page: 5 Customer Information 39623003 39623406 39617002 39631805 45121006 69511801 69506205 685418010 423136029 42408600 41967401 410374020 40639007 42546201 421262012 421254016 49825407 421174018 49811409 49815808 40834602 408342021 40831403 47105406 74729003 445274013 44713003 67119402 67159800 445146011 422142016 42011802 42012602 49049007 416122014 4193460] 47329805 473078012 422066014 422086012 33233802 34737003 355254013 329314034 49036602 490186026 49046608 41227809 41222604 41325004 751494012 751474012 412170014 411206018 413470011 41341007 49836201 ] 490058015 Total due $ 568.30 $ 492.4 7 $ 284.04 $ 1,900.44 $ 367.84 $ 491.60 $243.12 $ 379.86 $ 1,022.24 $ 248.11 $ 357.97 $435.19 $ 449.41 $ 699.41 $ 239.59 $ 384.59 $ 448.54 $ 241.32 $ 447.30 $ 543.47 $ 563.54 $ 241.80 $ 590.58 $ 737.77 $ 222.09 $ 1,029.73 $ 382.79 $ 935.33 $ 220 66 $ 581.79 $415.38 $ 290.80 $ 309.34 $ 252.35 $ 486.39 $ 771.01 $414.48 $ 664.24 5860.18 $ 585 48 $ 640.75 $ 368.79 $ 576.54 $ 194.97 $ 345.32 $416.49 S 295 77 $ 400.41 $ 676.25 $ 667.82 $ 183.19 $ 249.01 $ 390.69 $ 498.26 S 317.41 S 489.77 $ 336.90 $ 296.75 Page. 6 Customer Information 41305003 413102016 49069804 . 74439404 40914208 41011802 4095420J2 46105406 745102010 74511407 75141002 41356606 413542011 40913002 41125400 40956200 40959402 412616012 60729009 66555003 66941807 46525002 465]4607 465186028 75254202 409318012 75271809 414358021 754254012 752622010 40419402 40713404 40256202 40261804 40257407 40237804 40232204 362486019 69317401 60936604 46124606 647]2609 61243801 68327004 68329403 69553803 69551805 69545403 75307801 64313001 46123004 65723408 23827405 23606203 236098012 238]8204 23819403 23821404 Total due $ 663.99 $ 20023 $ 559.98 S 467.35 $485.13 S 241.80 $ 608.43 S 433.75 S 406.43 $ 670.37 S 199.56 $ 622.29 $ 199.56 $ 326.30 $ 361.36 S 532.51 S 339 63 $ 389.27 $ 1,280.49 $ 485 42 $ 740.89 $ 282.82 $ 436.52 $ 231.89 $ 196.52 $342.81 $ 199.56 $ 234.31 $ 361.77 $ 480.03 S 375.65 $ 408.87 $ 889.75 S 328.22 S 228.63 $ 355.90 $ 356.12 $ 195.80 S 964.31 S 374.04 $ 1,256.65 S 315.71 $ 407.89 $ 336.85 S 427.97 $ 140.59 S 406.96 S 172.8] $ 481.02. S 157.30 S 232.92 $ 325.27 S 405.17 S 524.17 $ 372.02 S 283.38 $513.96 $ 241.32 Page: 7 Customer Information 75782607 75777403 75760608 40614205 751430015 751426013 754174011 403298010 41243003 64421007 65149004 65143004 63249408 60950608 750502013 68]20602 68121404 68524205 39243008 66973409 66965401 64736202 64 733803 69407005 69408601 694106016 69522607 33241806 34205006 34946606 34947802 32906602 349626018 426 Grand Totals Total due $ 206.77 $ 230.48 $ 341.05 $ 254.23 $ 462.46 $ 311.92 $ 283.51 $ 454.97 $ 428.78 $ 468.85 $ 772.25 $ 508.89 $ 431.98 $ 239.52 $ 1,087.73 $727.76 $ 605.30 $ 403.01 $ 672.98 $ 408.87 $ 516.65 $ 191.42 $ 447.93 $ 224 60 $ 535 48 $ ] ,548.40 $589.37 $ 330.90 $ 1,708.96 $ 787.87 S 147.80 $ 423.43 S 437.06 $ 198,707.69 Page 8 ITEM TITLE: SUBMITTED BY: REVIEWED BY: CITY COUNCIL AGENDA STATEMENT ~\ff:. CllYOF ~ - ., (HULA VISTA AUGUST 4,2009, Iteml PUBLIC HEARING FOR THE PROPOSED ASSESSMENT OF CERTAIN DELINQUENT SOLID' WASTE SERVICE CHARGES AS RECORDED LIENS UPON THE RESPECTIVE PARCELS OF LAND AND PLACEMENT OF DELINQUENT CHARGES ON THE NEXT REGULAR TAX BILL FOR COLLECTION RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ASSESSING CERTAIN DELINQUENT SOLID WASTE SERVICE CHARGES AS RECORDED LIENS UPON THE RESPECTIVE PARCELS OF LAND AND APPROVING PLACEMENT OF DELINQUENT CHARGES ON THE NEXT REGULAR TAX BILL DIRECTOR OF FINANCE/TREASURER~ CITY MANAGERM- ASSISTANT CITY~NAGER S 7 4/5THS VOTE: YES D NO ~ SUNL\1ARY In order to adequately protect the City's interest in delinquent solid waste service charges and ensure that collection efforts are directed towards the responsible property owner in the event of a change of ownership, staff is recommending approval for liens against affected properties as a preliminary action to placing the delinquencies on the property tax rolls if they remain unpaid. Adoption 'of this resolution will enhance the collection process for delinquent solid waste service charges by reducing the amount of uncollectible losses and ensure that payment will be received on a more timely basis, This is the identical process approved by City Council on a regular basis since mid- 2001, ENVIRONMENTAL REVIEW The Environmental Review Coordinator has reviewed the proposed activity for compliance with the California Environmental Quality Act (CEQA) and has determined that the activity is not a "Project" as defined under Section 15378 (b)(4) of the State CEQA Guidelines; therefore, pursuant to Section I 5060( c )(3) of the State CEQA 9-1 " AUGUST 4, 2009, Item~ Page 2 of 3 Guidelines the activity IS not subject to CEQA. Thus, no environmental review is necessary. RECOMMENDATION Council conduct the public hearing and adopt the resolution. BOARDS/COMMISSION RECOMMENDATION Not applicable. DISCUSSION In November 1998, City Council amended Municipal Code Section 8.24 to eliminate suspension of solid waste service for nonpayment. To ensure that all residents pay their fair share of the costs of this program, the ordinance allows delinquent solid waste service charges to be assessed as recorded liens upon the affected properties and ultimately placed on the property tax bills for collection. The ordinance states that upon notification of the property owners, a public hearing is set for solid waste service accounts that are over ninety days delinquent. At the hearing the City Council considers the delinquent accounts together with any objections or protests by interested parties. At the conclusion of the hearing, the City Council may either approve the delinquency and amount owed on the accounts as submitted or as modified or corrected by the City Council. Lastly, the City Council adopts a resolution assessing such amounts as recorded liens upon the respective parcels of land, and the amounts are charged to the property owners on the next regular property tax bill. As these amounts are collected, the monies are remitted to Allied Waste Services less the City's Franchise Fees, AB939 fees and late charges. In March 2009, City Council approved 1,403 delinquent accounts valued at $136,100 to be placed on the property tax bills for collection. Since then, Allied Waste Services has identified and submitted an additional 1,024 delinquent accounts valued at over $102,900 to the city for collection. Through the City's preliminary collection efforts, 649 accounts have been resolved, and the remaining 375 accounts valued at $42,100 are now being submitted (listing available at the Finance Department). The account status and property ownership on these accounts have been verified by both Allied Waste and City staff. While many of these delinquent accounts have gone through the lien process before as they continue to remain unpaid, the total number of delinquent accounts being submitted for the lien process continues to climb. These property owners were notified of their delinquencies through a series of past due notices sent by Allied Waste until they were ultimately submitted to the City for collection. City" staff sent out past due letters within the past 60 days, and two weeks ago, these property owners were notified of the public hearing and were asked to pay their delinquent solid waste service charges prior to transmittal of the delinquent account list to the County to avoid a lien being placed on their property. City staff has been working with Allied Waste to resolve any customer disputes as they arise and payment arrangements have been set up as needed. Staff will continue to update this list as 9-2 AUGUST 4, 2009, Item~ Page 3 of3 payments are received and accounts are cleared. A final list will be submitted to the City Council for consideration on the day of the public hearing in order to reflect the most current payment postings. Staff is recommending that the City Council approve the final list of delinquent solid waste accounts as submitted, and that these charges be forwarded to the County and assessed as recorded liens on the respective parcels of land and ultimately placed on the next regular tax bill for collection. DECISION MAKER CONFLICT Staff has reviewed the property holdings of the City Council and has found no property holdings within 500 feet of the boundaries of the properties which are the subject of this action. FISCAL IMPACT By using the property tax bill as the ultimate collection method for delinquent solid waste service charges, the City realized a total of approximately $112,000 in Franchise Fees, AB939 Fees and late charges for Fiscal Year 2008/2009. From this action alone, the City should realize approximately $8,000 in revenues from the total $42, I 00 collected, and the balance of $34,100 would be forwarded to Allied Waste Services. Prepared by: Nadine /vfandery, Treasury Manager. Finance Department 9-3 RESOLUTION NO. 2009. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ASSESSING CERTAIN DELINQUENT SOLID WASTE SERVICE CHARGES AS RECORDED LIENS UPON THE RESPECTIVE PARCELS OF LAND A;'-4TI APPROVING PLACEMENT OF DELINQUENT CHARGES ON THE NEXT REGULAR TAX BILL WHEREAS, in November 1998, the City Council amended Municipal Code section 8.24 to eliminate suspension of solid waste service for nonpayment; and WHEREAS, to ensure that all residents pay their fair share of the costs of this program, the ordinance allows for delinquent solid waste service charges to be assessed as liens upon the affected properties and ultimately placed on the property tax bills for collection; and WHEREAS, the ordinance states that upon notification to the property owners, a public hearing is set for solid waste service accounts that are over ninety days delinquent; and WHEREAS, at the hearing, the City Council considers the delinquent accounts together with any objections or protests by interested parties; and WHEREAS, at the conclusion of the hearing, the City Council may either approve the delinquency and amount owed on the accounts as submitted or as modified or corrected by the City Council; and WHEREAS, the account status and property ownership on these accounts have been verified by both Allied Waste and City staff; and WHEREAS, property owners were notified of their delinquencies through a series of past due notices sent by Allied Waste until they were ultimately submitted to the City for collection; and WHEREAS, staff has notified the property owners of the public hearing and these owners were asked to pay their delinquent solid waste service charges prior to transmittal of the delinquent account list to the County to avoid a lien being placed on their property; and WHEREAS, staff is recommending that the City Council approve the final list of delinquent solid waste accounts, as submitted, and that these charges be forwarded to the County and assessed as record liens on the respective parcels of land and ultimately placed on the next regular tax bill for collection. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City ofChula Vista that it: (I) conducts the public hearing to consider assessing delinquent solid waste service charges as liens on the affected properties; (2) overrules any and all protests or objections presented at the public hearing; and (3) approves, with respect to the delinquent account list 9-4 Resolution No. 2009- Page 2 submitted to tbe City Council and on file in the City Finance Department, assessing delinquent solid waste service charges as liens upon the respective parcels of land and tbe placement of such delinquent charges as special assessments on the next corresponding regular tax bills, unless cleared prior to transmittal of the delinquent account list to tbe County. Presented by Approved as to form by Maria Kachadoorian Director of Finance /~(;aM ~X:4 Att~mey J :\Anomey\RESO\SOLID W ASTE\Delinquent Solid Waste Charges _ 07.20-09 .DOC 9-5 ~~~ --~ ~ -- ~ - ~~~.;E" CITY OF CHULA VISTA Finance Department Collections Unit Accounts With Notice Of Public Hearing Sent DELINQUENT TRASH ACCOUNTS August 04, 2009 Account No. Parcel No. Balance Due 142660 6435141800 S108.29 175194 5754910200 581.54 162844 5751710900 $112.86 103002 6404301005 S9678 195809 6411112500 $136.27 73347 6395701600 5100.26 136215 6423523600 $96.78 153882 6426000700 527.85 176113 6433800703 599.69 198243 5722820700 $111.71 114996 6426212200 5112.86 167607 6412711100 5103.72 164340 6403212200 5112.86 78125 6403233500 $108.54 47595 5753030500 5127.99 72898 5753031200 5112.41 25616 5921610600 596.78 191279 5953216316 S92.49 199250 6435205206 $94.68 35032 5722140100 S101.09 27680 6391921200 S108.54 104738 6411123400 5112.86 159535 6435433600 5112.23 163362 5952926600 $101.09 104513 6425010500 S143.20 147577 6435702300 5178.38 184023 6425104700 5101.09 192038 6291002400 $146.50 83841 6181511900 $95.00 101564 6401103200 5112.86 151209 6401410800 $96.78 147227 6436510708 S95.80 161219 5952511000 5101.09 188495 5954201001 596.78 162897 5954200803 581.54 136518 5954200813 S108.54 189097 5931900300 $108.54 152480 6423140400 $10.00 87826 5955100601 S96.78 Page 1 of 9 ITEM #9 ATTACHMENT ~~f?- ~--= ~~::E"=E'" CITI' OF CHULA VISTA Finance Department Collections Unit Accounts With Notice Of Public Hearing Sent August 04, 2009 Account No. Parcel No. Balance Due 199085 5955100506 $132.09 144932 5950314415 $108.54 181643 6420802811 $119.76 186956 6420802706 $82.07 199473 6403302103 $ 1 08.36 169617 6403302602 $96.01 131444 6403407600 $117.08 66681 6420110900 $104.19 189378 5931700100 $110.29 197944 6397010800 $100.99 181027 5852100700 $101.09 141720 6435143500 $122.47 65182 6403117600 $96.78 1 90430 5931411200 $81.54 170856 6435204703 $110.50 90830 5722141200 $96.78 4798 6402006900 $96.78 193881 5957420900 $135.73 199785 5958460300 $248.64 161889 5958460600 $96.27 148755 6435605400 $115.56 78269 6233426800 $84.95 199237 6233426300 $125.87 129815 6411322500 $108.54 187061 6401201200 $96.78 113400 5933011100 $107.95 157874 5958304400 $112.86 157721 5957911900 $112.86 26467 5693021100 $107.96 23044 6183205800 $108.54 73151 6183330900 $183.12 131209 6434843600 $101.09 142365 6433122900 $112.86 110769 6433212400 $112.86 187288. 6436915100 $112.86 157372 6437000300 $137.88 163555 6431401800 $87.69 190843 5752510500 $96.78 79623 5660305400 $131.96 Page 2 of 9 ~~f?- ~- ..-:. ~'~-:-_f.ti;__~ ~~~~ I CllY OF CHULA VISTA Finance Department Collections Unit Accounts With Notice Of Public Hearing Sent August 04, 2009 Account No, Parcel No. Balance Due 157089 6426405500 $96.78 199801 6191720900 $113.26 194396 5683341500 $121.13 186167 6220720800 $143.61 13522 6392000300 $81.54 154872 6403111800 $101.09 199991 5670710400 $101.09 100585 5955400900 $96.78 199057 5953610300 $140.84 152639 6201210300 $112.86 156388 5750501100 $103.52 13648 5750500300 $83.78 196565 5750500800 $125.10 13748 5722311200 $101.09 103677 5722520100 $112.86 106113 6191910600 $143.14 31107 5733512200 $101.09 161192 5755130200 $101.09 92401 6191311400 $133.16 23345 6182401200 $136.27 117571 6401510900 $96.78 195269 5958603500 $96.78 157836 6221903000 $129.92 108640 6424902200 $115.78 144995 6432303400 $30.53 129350 6426110700 $96.78 61262 6232905300 $108.54 199045 6182904300 $147.52 194708 5721501000 $108.54 136961 6180720200 $96.78 105526 5691631200 $96.78 172681 6436900600 $90.24 119982 5954406000 $121.39 177142 6184202000 $111.87 199766 5680140600 $93.14 182718 5733103200 $108.54 175388 5957301700 $113.85 94232 5933700600 $101.09 14535 5680421700 $96.78 Page 3 of 9 ~~f?- --~ ~_!!.- - " --- - --- ~~~~ CITY OF CHULA VISTA Finance Department Collections Unit Accounts With Notice Of Public Hearing Sent August 04, 2009 Account No. Parcel No. Balance Due 200071 5730210900 $10712 182313 6425705800 $99.48 199711 6425904700 $12758 147679 6435712300 $94.53 114475 6433112000 $182.06 107406 6426013100 $108.54 117160 5742121700 5112.86 184235 5721222800 $111.24 98963 5693510100 $108.54 195701 6392120700 $146.81 198823 6430914600 $129.91 152413 5957321700 $96.78 151188 5950813900 $147.75 186279 6435411400 $124.70 76905 5753130100 $96.78 98372 5751520300 $112.86 106086 5752001200 $131.63 15189 5753010500 $112.35 195102 5753701300 $96.78 28526 6203800200 $96.78 191044 6193202200 $131.07 98159 5702003200 $138.16 89407 5752310800 $ 1 06.92 177929 6425103600 $96.78 181764 6436902900 $96.78 150490 5953213017 $113.34 182726 6402602500 $101.09 117346 6391010700 $96.78 191823 6401973300 $103.64 185191 6403924200 $96.78 123163 6402112100 $112.86 75017 5742816100 $55.86 64494 5740100900 $101.09 99838 6232804400 $112.86 151443 6390411100 $96.78 67840 6393220400 $112.86 94014 6232802100 $96.78 157663 5710730900 $112.86 6402 6201001700 $96.78 Page 4 of 9 ~~rc- ---~ ~- . .. _if#SJ_ __ ~~~~ CITY OF CHULA VISTA Finance Department Collections Unit Accounts With Notice Of Public Hearing Sent August 04, 2009 Account No, Parcel No. Balance Due 185585 6192214200 596.78 73670 5951641200 5101.09 135120 6433901800 $101.09 199943 5735410600 5147.52 197140 5734900800 5101.09 199082 6180721700 $111.23 82010 5955100214 5120.19 193905 5955100215 5113.11 177845 5954100201 $96.78 165175 5954100203 594.67 127850 5954102413 $96.78 192336 5754211200 5205.98 47816 5661102500 5127.55 191802 6432712000 $96.78 129431 6426906100 5102.73 175373 6411200900 $101.09 194727 6412821900 5124.50 198800 6435022900 599.03 146271 6435152600 $108.54 102103 6240323000 596.78 100909 6240322600 $120.45 94603 5651611203 5108.54 133390 5651611204 596.78 16274 5650521600 $108.54 170855 6404300507 581.54 141575 6404300511 $96.78 148404 6435600300 5108.54 188780 5711230900 $96.78 194022 6396506400 $125.13 185071 6390730100 594.23 198568 6241501000 $101.09 85566 5954512300 $155.35 16717 6203602700 $136.27 26481 6241000900 $262.80 135402 6441122100 $ 1 09.38 161106 6441122400 $108.54 185410 6441111800 $96.78 190869 6412503700 $133.42 28414 5933920800 $101.09 Page 5 of 9 ~Jfc- ~- ..,," "'-WI ~~~ CITY OF CHUlA VISTA Finance Department Collections Unit Accounts With Notice Of Public Hearing Sent August 04, 2009 Account No. Parcel No. Balance Due 190513 6395910200 $108.54 16991 5732241000 $90.76 174155 5753660700 $98.17 194139 6201230300 $132.57 94108 6394600400 $136.27 173066 6436103111 $106.92 161934 5958461500 $105.96 200253 6190510600 $111 10 197828 6436805426 $89.31 199451 6412712700 $110.94 185252 5950822100 $112.86 180489 6396413400 $30.62 5736 6204101000 $108.54 1 08470 6190901600 $51.09 177040 6190901600 $96.78 196849 6190503100 $101.09 199681 6182302200 $139.22 196073 6393840400 $131.35 196846 5754000200 5114.23 116718 6426210200 $131.96 23023 6184200400 $121.09 199249 6436102817 5114.98 187787 6396421600 $96.78 199970 6432920800 $88.40 154821 6434863200 $108.54 17967 6202220800 $112.86 165960 6395900800 $112.24 193616 6403103800 $132.86 67486 6403103900 596.78 199603 6436510814 $133.41 199159 6394220500 $150.30 199509 6433113600 $403.97 199926 6181311700 $102.14 79174 5651520800 5230.33 198778 5710710100 $121.51 199017 6204803200 $129.68 163852 6203900200 5108.54 168047 6436400400 5136.27 171873 6432115900 $112.86 Page 6 of 9 ~Jf?- ~i__;: -- - ---- ~~~~ CITY OF CHULA VISTA Finance Department Collections Unit Accounts With Notice Of Public Hearing Sent August04,2009 Account No. Parcel No. Balance Due 36768 6201701700 $86.52 63939 6201701200 $131.96 185624 6204700100 $136.15 143959 6424815400 $101.09 199578 6431002303 $108.22 79130 6203011100 $108.54 115672 6203030300 $112.86 199896 5933300900 $178.83 182101 5950315312 $96.78 115895 6202622600 $112.86 141041 5955000209 $96.78 98817 5955000213 $81.54 198065 5682612500 $101.09 33733 5922303700 $134.86 142979 5933704600 5117.08 18657 5691201200 $96.78 176495 6432314700 $96.78 193519 6436602600 $113.82 155887 6433700417 $96.66 187933 6432502900 $138.74 199623 5951931700 $116.88 177526 5952522500 $101.09 166568 6203701200 $119.26 36791 6200230200 $96.77 104186 6182703000 $117.17 188452 6437331900 $101.09 195938 6435147500 $96.78 146458 6435173200 $85.86 199636 6404301216 $114.44 169520 6411933800 $108.54 159848 5712811500 $ 136.57 63585 6401714000 $9.92 158861 5955406600 $101.09 198868 6411923200 $123.94 158135 5954800600 $123.05 192825 6435703000 S 1 08.54 170879 5750810200 $112.86 122194 6241002100 $250.34 197682 5956004000 $120.06 Page 7 of 9 ~Jf?- --~- ~~~~-: """'-~~~ CllY OF CHULA VISTA Finance Department Collections Unit Accounts With Notice Of Public Hearing Sent August 04, 2009 Account No. Parcel No. Balance Due 146966 6436803900 $121.54 78544 6190812400 $101.09 166519 6190820200 $85.86 199750 6191812200 $115.56 191104 5662503700 $128.03 165489 5692200200 $96.78 190686 6423801605 $96.78 97803 6423800715 $96.78 82219 6401801100 $96.78 95306 5730710700 $101.09 23120 5730610400 $110.37 167103 5693900200 $112.86 181801 6233330400 $108.54 180481 5952933700 $30.81 135684 6426505000 $113.87 175850 6435027600 $112.86 178020 6435027200 $108.54 158386 5957241200 $112.86 177897 5952931000 $119.72 159738 6430911400 $124.50 184868 6434865308 $96.78 196560 6424600400 $108.54 110776 6424303300 $101.09 199385 6425311900 $126.16 190720 6411901300 $112.35 188154 6411901100 $141.12 144245 6412612700 $108.54 157040 6412112200 $102.23 170005 5957622200 $108.54 197978 5957614500 $108.54 198950 5957600400 $118.72 199351 6242902300 $157.93 200060 6233130800 $153.96 175048 6291411400 $101.09 146853 6413012900 $108.54 73987 6201120400 $120.86 167128 6233322602 $133.41 200002 6430515002 $94.44 199948 6191222000 $128.03 Page 8 of 9 ~~f?- ~~;;; ,,:~ -~ '~:-~ ~~~ """"'"--~~ CllY OF CHULA VaSTA Finance Department Collections Unit Accounts With Notice Of Public Hearing Sent August 04, 2009 Account No. Parcel No. Balance Due 187362 6191221600 $79.31 199611 5681640500 $120.08 116932 5733812100 $96.78 192733 6423131000 $125.35 147743 6435904400 $96.78 137985 5957454800 $112.86 198833 6403926700 $147.52 137091 6403912800 $96.78 182590 6403927700 $112.86 110552 6403816900 $101.09 128731 6434404900 $123.28 187912 6435204809 $96.78 187007 6435204801 $107.07 177115 6180718400 $101.09 163806 6436911600 $134.44 159512 5958034100 $96.78 199396 6411502700 $108.54 183175 5957602600 $89.96 147174 6435413000 $155.30 147151 6435412400 $112.86 161457 5958442600 $95.45 188888 5921715700 $122.78 157926 6436622300 $135.19 105805 6181010500 $136.27 176670 5932611400 $131.96 Accounts: 337 Total Due: $37,767.44 Page 9 of 9 CITY COUNCIL AGENDA STATEMENT -\If.. :$ ~ (llY OF ='~ --CHULA VISTA ITEM TITLE: SUBMITTED BY: REVIEWED BY: SUMMARY Item No.: /0 Meeting Date: OR/04/OIJ RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA WAIVING THE FORMAL BIDDING PROCESS AND APPROVING A THREE-PARTY AGREEMENT BETWEEN THE CITY OF CHULA VISTA, RECON (CONSULTANT), AND OTAY LAND COMPANY LLC (APPLICANT), FOR CONSULTING SERVICES RELATED TO THE PREPARATION OF AN ENVIRONMENTAL IMPACT REPORT (EIR) FOR THE UNIVERSITY VILLAGES GENERAL PLAN AMENDMENT, AND OTAY RJu~CH GENERAL DEVELOPMENT PLAN AMENDMENT, AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENy.,1 V DEPUTY CITY MANAGE~CTOR OF DEVELOPMENT SERVICES CITY MANAGE~ 4/5 TH VOTE REQUIRED YES NO X The applicant has filed General Plan amendment and General Development Plan amendment applications for the University and Southern Otay Ranch Villages Project. The Environmental Review Coordinator has determined that the proposed project requires the preparation of an Environmental Impact Report (EIR). The item before the City Council is a request for the City Council to approve the proposed contract with RECON for an amount not to exceed $388,400 to provide consultant services for the preparation of the CEQA required environmental documents for the proposed project and an additional $97,100 for additional services should they be necessary. ENVIRONMENTAL REVIEW The Envlronmental Review Coordinator has reviewed the proposed contract approval for compliance with the California Environmental Quality Act (CEQA) and has determined that the activity is not a "Project" as defined under Section 15378 of the State CEQA Guidelines; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines the activity is not subject to CEQA. Thus, no environmental review of contract approval is necessary. 10-1 I() Page 2, Item No.: v Meeting Date: OR/04/09 RECOMNIENDA TION: That the City adopt the Resolution. BOARDS/COMMISSIONS RECOMMENDATION: N/A DISCUSSION: Rackunllncl The University and Southern Otay Ranch Villages Project involves proposed amendments to the City's General Plan and the Otay Ranch General Development plan. The Otay Land Company has submitted General Plan and General Development Plan Amendment applications for their ownership in portions of Otay Ranch Villages 4, 7, 8 and 9. The Otay Ranch Company will be coming forward with plans for their land ownership in the area at a later date. The applicant's proposal would result in an increase in density beyond that specified in the 2005 General Plan Update, but the development footprint between what was adopted in the 2005 General Plan Update and the proposed Project area remains virtually the same. Pursuant to the California Environmental Quality Act (CEQA), the Environmental Review Coordinator has determined that the proposed project requires the preparation of an Environmental Impact Report (EIR). Development Services Department staff does not have the available time or expertise to prepare the needed EIR. Therefore, the applicant is proposing the project enter into a three-party agreement for the preparation of the CEQA documentation. rnn~111f:::1nt Sp.rviC:PS Sf':lpctlnn Prncf'SS RECON has acquired an in-depth knowledge of Chula Vista General Plan related environmental issues through their preparation of the 2005 General Plan Update EIR and associated baseline/technical studies. RECON's comprehensive familiarity with the Chula Vista General Plan and General Plan study area, coupled with the knowledge gained through their preparation of the General Plan Update EIR and associated baseline/technical studies, makes RECON uniquely qualified to serve as the Consultant for this project. Pursuant to Chula Vista Municipal Code Section 2.56.070. 4. staff is recommending that the Council waive the formal bidding process and hire RECON as a sole source. Scnp" nfWnrk RECON will function as the Environmental Consultant to the City of Chula Vista under a three- party agreement with the Applicant and under the supervision of the City's Environmental Review Coordinator. The responsibilities of the Environmental Consultant will include the following: 10-2 Page 3, Item No.: 10 Meeting Date: OR/04/09 Review of the available Project information; Preparation of an Initial Study and Notice of Preparation; Preparation of Screen check, draft and final EIRs; Preparation of responses to comments received during public review; . Preparation of Findings and the Mitigation Monitoring Reporting Program; and . Attendance at team meetings and public hearings l'nntr;::tr.t P~ymP.Tlt The total cost of the contract for consulting services is $388,400 with an additional 25% contingency ($97,100) for additional services to cover unforeseen issues that may arise during preparation of the EIR and if determined to be necessary by the City's Environmental Review Coordinator. The project applicant will pay all consultant costs, as well as reimburse any City staff time associated with preparation of the EIR. The City Attorney's Office has reviewed and approved the form of the contract. DECISION-MAKER CONFLICTS Staff has reviewed the property holdings ofthe City Council members and has found no property holdings within 500 feet of the boundaries of the property, which is subject to this action. FISCAL IMPACT: There will be no resulting impact to the General Fund. The applicant will fully compensate the consultant. The contract amount for consulting services is 5388,400. The contract allows the Contract Administrator to negotiate additional fees, which will be paid by the applicant, not to exceed 25% of the total contract amount ($97,100) to cover unforeseen issues that may be identified during the preparation of the ErR. ON-GOING FISCAL IMPACT Approval of the three-party agreement will not result in on-going fiscal impacts since the contract will terminate once all required work is completed by the consultant. Attachments: Three Party Agreement 10-3 Three-Party Agreement Between City of ChuIa Vista, RECON Consultant, and Otay Land Company LLC (Applicant), For Consulting Work to be Rendered with Regard to Applicant's Project 1. Parties. This Agreement is made as of the reference date set forth in Exhibit A, for the purposes of reference only, and effective as of the date last executed by the parties hereto, between the City of Chula Vista ("City") herein, a municipal corporation of the State of California, the person designated on the attached Exhibit A as "Consultant", RECON whose business form and address are indicated on the attached Exhibit A, and the persons collectively designated on the attached Exhibit A as "Applicant", whose business form and address are indicated on the attached Exhibit A, and is made with reference to the following facts: 2. Warranties and Representations. 2.1. Applicant warrants that Applicant is the owner ofland ("Property") commonly known as, or generally located as, described on Exhibit A, Paragraph 1, or has an option or other entitlement to develop said Property. 2.2. Applicant desires to develop the Property with the Project described on Exhibit A, Paragraph 2, and in that regard, has made application ("Application") with the City for approval of the plan, map, zone, or other permits ("Entitlements") described on Exhibit A, Paragraph 3. 2.3. In order for the City to process the Application of Applicant, Work of the general nature and type described in Exhibit A, Paragraph 4, ("Work") will need to be completed. 2.4. City does not presently have the "in-house" staff or resources to process the application within the time frame requested for review by the Applicant. 2.5. This agreement proposes an arrangement by which Applicant shall retain, and be liable for the costs of retaining, Consultant, who shall perform the services required of Consultant by this Agreement solely to, and under the direction of, the City. 2.6. The Applicant and City have entered into a University Villages/Otay Ranch Project Staffing and Processing Agreement on June 23, 2009, ("Processing Agreement") for the retention of professional staff by the City for processing the Entitlements for the Property. Notwithstanding however, Applicant acknowledges and agrees that the provisions ofthis Agreement with respect to the payment ofthe Consultant shall supersede any provisions ofthe Processing Agreement pertaining to the payment of services for professional staff. 7/24/09 Three-Party Agreement Page 1 10-4 2.7. On April 15, 2008, the City and Applicant entered into a Land Offer Agreement ("LOA") which sets forth the terms and conditions for Applicant's conveyance and the City's acceptance of certain real property described within the LOA. 2.8 Additional facts and circumstances regarding the background for this agreement are set forth on Exhibit B. 3. Agreement. NOW, THEREFORE, IT IS MUTUALLY AGREED TO AND BETWEEN THE CITY, CONSULTANT, AND APPLICAL'IT AS FOLLOWS: 3.1. Employment of Consultant bv Applicants. Consultant is hereby engaged by the Applicant, not the City, and at Applicant's sole cost and expense, to perform to, and for the primary benefit of, City, and solely at City's direction, all ofthe services described on the attached Exhibit A, Paragraph 4, entitled "General Nature of Consulting Services", ("General Services"), and in the process of performing and delivering said General Services, Consultant shall also perform to and for the benefit of City all ofthe services described in Exhibit A, Paragraph 5, entitled "Detailed Scope of Work", ("Detailed Services"), and all services reasonably necessary to accomplish said General Services and Detailed Scope of Work, and shall deliver such documents required ("Deliverables") herein, all within the time frames herein set forth, and in particular as set forth in Exhibit A, Paragraph 6, and ifnone are set forth, within a reasonable period of time for the diligent execution of Consultant's duties hereunder. Consultant understands and agrees that time is of the essence for this Agreement. The Consultant does hereby agree to perform said General and Detailed Services to and for the primary benefit of the City for the compensation herein fixed to be paid by Applicant. In delivering the General and Detailed Services hereunder, the Consultant shall do so in a good, professional manner consistent with that level of care and skill ordinarily exercised by members of the profession currently practicing under similar conditions and in similar locations, at its own cost and expense except for the compensation and/or reimbursement, if any, herein promised, and shall furnish all of the labor, technical, administrative, professional and other personnel, all supplies and materials, machinery, equipment, printing, vehicles, transportation, office space and facilities, calculations, and all other means whatsoever, except as herein otherwise expressly specified to be furnished by the City or Applicant, necessary or proper to perform and complete the work and provide the Services required of the Consultant. 7/24/09 Three-Party Agreement Page 2 10-5 3.2. Compensation of Consultant. Applicant shall compensate Consultant for all services rendered by Consultant without regard to the conclusions reached by the Consultant, and according to the terms and conditions set forth in Exhibit C adjacent.to the governing compensation relationship indicated by a "checkrnark" next to the appropriate arrangement, by paying said amount to the City, within 30 days of Consultant's billing, or in accordance with the security deposit provisions of Paragraph 3.3 of this Agreement and Exhibit C, if checked, and upon receipt of such payment by the City, City shall promptly, pay said amount to the Consultant in accordance with the Bill Processing provisions in Exhibit C, if checked City is merely acting in the capacity as a conduit for payment, and shall not be liable for the compensation unless it receives same from Applicant. Applicants shall not make any payments of compensation or otherwise directly to the Consultant. 3.2.1. Additional Work. lfthe Applicant, with the concurrence of City, determine that additional services ("Additional Services") are needed from Consultant of the type Consultant is qualified to render or reasonably related to the Services Consultant is otherwise required to provide by this Agreement, the Consultant agrees to provide such additional services on a time and materials basis paid for by Applicant at the rates set forth in Exhibit C, unless a separate fixed fee is otherwise agreed upon in writing for said Additional Work between the parties. 3.2.2. In the event that the City shall determine that additional work is required to be performed above and beyond the scope of work herein provided, City will consult with Applicant regarding the additional work, and ifthereupon the Applicant fails or refuses to arrange and pay for said Additional Services, the City may, at its option, suspend any further processing of Applicant's Application at which time the force majeure provisions of the LOA shall be applied until the Applicant deposits the City's estimate ofthe costs ofthe additional work which the City determines is or may be required. Applicant shall pay any and all additional costs for the additional work. 3.2.3. Reductions in Scope of Work. City may independently, or upon request from Consultant, from time to time reduce the Services to be performed by the Consultant under this Agreement. Upon doing so, City and Consultant agree to meet in good faith and confer for the purpose of negotiating a corresponding reduction in the compensation associated with said reduction. Upon failure to agree, the Fixed Fee may be unilaterally reduced by the City by the amount oftime and materials budgeted by Consultant for the Services deleted. 3.3. Security for Payment of Compensation bv Applicant. 3.3.1. Deposit. As security for the payment of Consultant by Applicant, Applicant shall, upon execution of this Agreement, deposit the amount indicated on Exhibit C as "Deposit Amount" with the City, as trustee for Consultant, the conditions ofsuch trust being as indicated on Exhibit C and as herein below set forth: 3.3.1.1 Other Terms of Deposit Trust. 7/24/09 Three-Party Agreement Page 3 10-6 3.3.1.1.1. City shall also be entitled to retain from said Deposit all costs incurred by City for which it is entitled to compensation by law or under the terms of this agreement. 3.3.1.1.2. All interest earned on the Deposit Amount, if any, shall accrue to the benefit of, and be used for, Trust purposes. City may, in lieu of deposit into a separate bank account, separately account for said deposit in one or more of its various bank accounts, and upon doing so, shall proportionately distribute to the Deposit Trust, the average interest earned during the period on its general fund. 3.3.1.1.3. Any unused balance of Deposit Amount, including any unused interest earned, shall be returned to Applicant not later than 30 days after the termination of this Agreement and any claims resulting therefrom. 3.3.1.1.4. Applicant shall be notified within 30 days after of the use of the Deposit in any manner. Nothing herein shall invalidate use ofthe Deposit in the manner herein authorized. 3.3.1.1.5. At such time as City shall reasonably determine that inadequate funds remain on Deposit to secure future compensation likely due Consultant or City, City may make demand of Applicant to supplement said Deposit Amount in such amount as City shall reasonably specify, and upon doing so, Applicant shall, within 30 days pay said amount ("Supplemental Deposit Amount") to City. Said Supplement Deposit Amount or Amounts shall be governed by the same terms of trust governing the original Deposit. 3.3.2. Withholding of Processing. In addition to use of the Deposit as security, in order to secure the duty of Applicant to pay Consultant for Services rendered under this agreement, City shall be entitled to withhold processing of Applicant's Application upon a breach of Applicant's duty to compensate Consultant and in such event the force majeure provisions of the LOA shall apply. 4. Non-Service Related Duties of Consultant. 4.1. 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: 7/24/09 Three-Party Agreement Page 4 10-7 4.1.1. Statutory Worker's Compensation Insurance and Employer's Liability Insurance coverage in the amount set forth in the attached Exhibit A, Paragraph 10. 4.1.2. Commercial General Liability Insurance including Business Automobile Insurance coverage in the amount set forth in Exhibit A, Paragraph 10, combined single limit applied separately to each project away from premises owned or rented by Consultant, which names City and Applicant as an Additional Insured, and which is primary to any policy which the City may otherwise carry ("Primary Coverage"), and which treats the employees of the City and Applicant in the same manner as members ofthe general public ("Cross-liability Coverage"). 4.1.3. Errors and Omissions insurance, in the amount set forth in Exhibit A, Paragraph 10, unless Errors and Omissions coverage is included in the General Liability policy. 4.2. Proof of Insurance Coverage. 4.2.1. Certificates of Insurance. Consultant shall demonstrate proof of coverage herein required, prior to the commencement of services required under this Agreement, by delivery of Certificates oflnsurance demonstrating same, and further indicating that the policies may not be canceled without at least thirty (30) days written notice to the Additional Insured. 4.2.2. Policy Endorsements Required. In order to demonstrate the Additional Insured Coverage, Primary Coverage and Cross-liability Coverage required under Consultant's Commercial General LiabilitY Insurance Policy, Consultant shall deliver a policy endorsement to the City and Applicant demonstrating same. 4.3. Public Statements. All public statements and releases to the news media shall be the responsibility of the City and the Applicant. The Consultant shall not publish or release news items, articles or present lectures on the Project, either during the course of the study or after its completion, except on written concurrence of the City and Applicant. 4.4. Communication to Applicant. Consultant shall not communicate directly to the Applicant except in the presence of the City, or by writing an exact copy of which is simultaneously provided to City, except with the express consent of City. The Consultant may request such meetings with the Applicant to ensure the adequacy of services performed by Consultant. 5. Non-Compensation Duties of the Applicant. 5.1. Documents Access. 7/24/09 Three-Party Agreement Page 5 10-8 The Applicant shall provide to the Consultant, through the City, for the use by the Consultant and City, such documents, or copies of such documents requested by Consultant, within the possession of Applicant reasonably useful to the Consultant in performing the services herein required of Consultant, including but not limited to those described in Exhibit A, Paragraph 7. 5.2. Property Access. The Applicant hereby grants permission to the City and Consultant to enter and access the Property, to take any borings, make any tests, conduct any surveys or reconnaissance necessary to deliver the Services of Consultant, subject to the approval of the Applicant which shall not be umeasonably denied. Consultant shall promptly repair any damage to the subject property occasioned by such entry and shall indemnify, defend, and hold the City and Applicant, and their agents, and employees harmless from all loss, cost, damage, expenses, claims, and liabilities in connection with or arising from any such entry and access. Failure to allow Consultant timely access or entry to the Property which is needed in order for Consultant to proceed with performance under this Agreement shall trigger the force majeure provisions of the LOA. 5.3. Communication to Consultant. Applicant shall not communicate directly to the Consultant except in the presence of the City, or by writing an exact copy of which is simultaneously provided to City, except with the express consent of City. The Applicant may request such meetings as they desire with the Consultant to ensure the adequacy of services performed by Consultant. 6. Administrative Representatives. Each party designates the individuals ("Administrators") indicated in Exhibit A, Paragraph 8, as said party's contract administrator who is authorized by said party to represent them in the routine administration of this agreement. 7. Conflicts of Interest. 7.1. Consultant is Designated as an FPPC Filer. If Consultant is designated on Exhibit A, Paragraph 9, as an "FPPC filer", Consultant is deemed to be a "Consultant" for the purposes of the Political Reform Act conflict of interest and disclosure provisions, and shall report his economic interests to the City Clerk on the required Statement of Economic Interests in such reporting categories as are specified in Paragraph 9 of Exhibit A, or if none are specified, then as determined by the City Attorney. 7/24/09 Three-Party Agreement Page 6 10-9 7.2. Decline to Participate. Regardless ofwhether 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. 7.3. Search to Determine Economic Interests. Regardless of whether Consultant is designated as an FPPC Filer, Consultant warrants and represents that Consultant has diligently conducted a search and inventory of Consultant's economic interests, as the term is used in the regulations promulgated by the Fair Political 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. 7.4. Promise Not to Acquire Conflicting Interests. Regardless of whether Consultant is designated as an FPPC Filer, Consultant further warrants and represents that Consultant will not acquire, obtain, or assume an economic interest during the term of this Agreement which would constitute a conflict of interest as prohibited by the Fair Political Practices Act. 7.5. Dutv to Advice 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. 7.6. Specific Warranties Against Economic Interests. Consultant warrants and represents that neither Consultant, nor Consultant's immediate family members, nor Consultant's employees or agents ("Consultant Associates") presently have any interest, directly or indirectly, whatsoever in the property which is the subject matter of the Project, or in any property within 10 radial miles from the exterior boundaries of the property which is the subject matter of the Project, or ("Prohibited Interest"). Consultant further warrants and represents that no promise of future employment, remuneration, consideration, gratuity or other reward or gain has been made to Consultant or Consultant Associates by Applicants or by any other party as a result of 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. 7/24/09 Three-Party Agreement Page 7 10-10 Consultant agrees that Consultant Associates shall not acquire any such Prohibited Interest within the Term of this Agreement, or for 12 months after the expiration of this Agreement. Consultant may not conduct or solicit any business for any party to this Agreement, or for any third party which may be in conflict with Consultant's responsibilities under this Agreement. 8. Default ofthe Consultant for Breach. This agreement may be terminated by the City for default if the Consultant breaches this agreement or ifthe Consultant refuses or fails to pursue the work under this agreement or any phase of the work with such diligence which would assure its completion within a reasonable period of time. Termination of this agreement because of a default of the Consultant shall not relieve the Consultant from liability of such default. 9. Citv's Right to Terminate Payment for Convenience, Documents. 9.1. Notwithstanding any other section or provision ofthis agreement, the City shall have the absolute right at any time to terminate this agreement or any work to be performed pursuant to this agreement. 9.2. In the event of termination of this agreement by the City in the absence of default of the Consultant, the City shall pay the Consultant for the reasonable value of the services actually performed by the Consultant up to the date of such termination, less the aggregate of all sums previously paid to the Consultant for services performed after execution of this agreement and prior to its termination. 9.3. The Consultant hereby expressly waives any and all claims for damage or compensation arising under this agreement, except as set forth herein, in the event of such termination. 9.4. In the event of termination of this agreement, and upon demand of the City, the Consultant shall deliver to the City, all field notes, surveys, studies, reports, plans, drawings and all other materials and. documents prepared by the Consultant in performance of this agreement, and all such documents and materials shall be the property of the City; provided however, that the Consultant may retain copies for their own use and the City shall provide a copy, at Applicant's cost, of all such documents to the Applicant. 9.5. Applicant shall have no right to terminate Consultant, and shall not exercise any control or direction over Consultant's work. 7/24/09 Three-Party Agreement Page 8 10-11 10. Administrative Claims Requirement and Procedures. No suit shall be brought arising out of this agreement, against the City, unless a claim has first been presented in writing and filed with the City of Chula Vista and acted upon by the City of Chula Vista in accordance with the procedures set forth in Chapter 1.34 ofthe Chula Vista Municipal Code, the provisions of which are incorporated by this reference as ifset fully set forth herein. 1]. Hold Harmless and Indemnification. ]] .1. Consultant to Indemnify City reo Iniuries. 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 or alleged by third parties to be the result of the negligent acts, errors or omissions or the willful misconduct of the Consultant, and Consultant's employees, subcontractors or other persons, agencies or firms for whom Consultant is legally responsible in connection with the execution ofthe work covered by this Agreement, except only for those claims, damages, liability, costs and expenses (including without limitations, attorneys fees) arising from the sole negligence or sole willful misconduct of the City, its officers, or employees. Also covered is liability arising from, connected with, caused by or claimed to be caused by the active or passive negligent acts or omissions of the City, its agents, officers, or employees which may be in combination with the active or passive negligent acts or omissions of the Consultant, its employees, agents or officers, or any third party. With respect to losses arising from Consultant's professional errors and omISSIOns, 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) except those claims arising from the negligence or willful misconduct of City, it 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. Consultant's obligations under this Section shall not be limited by any prior or subsequent declaration by the Consultant. Consultant's obligations under this Section shall survive the termination of this Agreement. ] 1.2. Applicant to Indemnify City reo Compensation of Consultant. Applicant agrees to defend, indemnify and hold the City harmless against and from any and all claims, losses, damages, expenses or expenditures of City, including its elected officials, officers, employees, agents, or representatives ofthe City ("City Indemnitees"), in any way resulting trom or 7/24/09 Three-Party Agreement Page 9 10-12 arising out of the refusal to pay compensation as demanded by Consultant for the performance of services required by this Agreement. 12. Business Licenses. Applicant agrees to obtain a business license from the City and to otherwise comply with Chula Vista Municipal Code, Title 5. Applicant further agrees to require Consultant to obtain such business license and to comply with Chula Vista Municipal Code, Title 5. 13. Miscellaneous. 13.1. Consultant not authorized to Represent City. Unless specifically authorized in writing by City, neither Consultant nor Applicant shall have authority to act as City's agent to bind City to any contractual agreements whatsoever. 13.2. Notices. All notices, demands or requests provided for or permitted to be given pursuant to this Agreement must be in writing. All notices, demands and requests to be sent to any party shall be deemed to have been properly given or served if personally served or deposited in the United States mail, addressed to such party, postage prepaid, registered or certified, with return receipt requested, at the addresses identified for the parties in Exhibit A. 13.3. Entitlement to Subsequent Notices. No notice to or demand on the parties for notice ofan event not herein legally required to be given shall in itself create the right in the parties to any other or further notice or demand in the same, similar or other circumstances. 13.4. Entire 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. 7/24/09 Three-Party Agreement Page 10 10-13 13.5. 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. 13.6. Governing LawNenue. This Agreement shall be governed by and construed in accordance with the laws ofthe 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. 13.7. Modification. No modification or waiver of any provision of this Agreement shall be effective unless the same shall be in writing and signed by the parties hereto, and then shall be valid only in the specific instance and for the purpose for which given. 13.8. Counterparts. This Agreement may be executed in more than one counterpart, each of which shall be deemed to be an original but all of which, when taken together shall constitute but one instrument. 13.9. Severabilitv. In the event that any provision of this Agreement shall for any reason, be determined to be invalid, illegal, or unenforceable in any respect, the parties hereto shall negotiate in good faith and agree to such amendments, modifications, or supplements to this Agreement or such other appropriate action as shall, to the maximum extent practicable in light of such determination, implement and give effect to the intentions of the parties as reflected herein. 13.10. Headings. The captions and headings in this Agreement are for convenience only and shall not define or limit the provisions hereof. 7/24/09 Three-Party Agreement Page 11 10-14 13.11. Waiver. No course of dealing or failure or delay, nor the single failure or delay, or the partial exercise of any right, power or privilege, on the part of the parties shall operate as a waiver of any rights herein contained. The making or the acceptance of a payment by either party with knowledge ofthe existence of a breach shall not operate or be construed to operate as a waiver of any such breach. 13.12. Remedies. The rights of the parties under this Agreement are cumulative and not exclusive of any rights or remedies which the parties might otherwise have unless this Agreement provides to the contrary. 13.13. No Additional Beneficiaries. Despite the fact that the required performance under this agreement may have an effect upon persons not parties hereto, the parties specifically intend no benefit therefrom, and agree that no performance hereunder may be enforced by any person not a party to this agreement. Notwithstanding the foregoing, this is a three party agreement and the City is an express third party beneficiary of the promises of Consultant to provide services paid for by Applicant. 7/24/09 Three-Party Agreement Page 12 10-15 Signature Page To the agreement Between City of Chula Vista, RECON Consultant, and Otay Land Company LLC, for Consulting Work to be Rendered WIth regard to Applicant's Project (Page I of 2) NOW THEREFORE, the parties hereto, having read and understood the terms and conditions ofthis agreement, do hereby express their consent to the terms hereofby setting their hand hereto on the date set forth adjacent thereto. Dated: City of Chula Vista By: Cheryl Cox, Mayor Attest: Donna Norris, City Clerk Approved as to Form: Bart Miesfeld, City Attorney Dated: Consultant: RECON By: Robert MacAller, President 7/24/09 Three-Party Agreement Page 13 10-16 Signature Page To the Agreement Between City of Chula Vista, RECON Consultant, and Otay Land Company LLC, for Consulting Work to be Rendered with regard to Applicant's Project (page 2 of 2) Applicant: Otay Land Company, LLC By: Title: 7/24/09 Three-Party Agreement Page 14 10-17 Exhibit A Reference Date of Agreement: August 4, 2009 Effective Date of Agreement: Date of City Council Approval of Agreement City: City ofChula Vista 276 Fourth Avenue Chula Vista, CA 91910 Consultant: RECON Business Form of Consultant: ( ) Sole Proprietorship ( ) Partnership (X) Corporation Address: 1927 Fifth Ave San Diego, CA 92101 Applicant: Otay Land Company 1903 Wright Place, Suite 220 Carls bad, CA 92008 Business Form of Applicants: ( ) Sole Proprietorship ( ) Partnership ( ) Corporation (X) Other: A California Limited Liability Company Address: 1. Property (Commonly known address or General Description): The project site is located (see map) within the Otay Valley Parcel of the Otay Ranch Planned Community. The project area is generally described within the Otay Ranch General Development Plan as portions of Villages 4,7,8,9 and the University Site. More specifically, the geographic areas are as described below and show on the site plan in Attachment A: 7/24/09 Three-Party Agreement Page 15 10-18 . The portion of Village Four that is included in this project is bound by the Otay River Valley to the south, the remainder of Village Four to the north and west, and the southerly extension of La Media Road to the east.. . The portion of Village Seven included in this project is bound by Rock Mountain Road/Main Street to the south, the remainder of Village Seven to the north, La Media Road to the west and the existing Olympian High School to the east. . The portion of Village Eight that is included in this project is bound by the Otay River Valley to the south, Rock Mountain Road/Main Street to the north, the remainder of Village 8 to the east and La Media Road to the west.. . The portion of Village Nine that is included in this project is bound by the Otay River Valley to the south, Rock Mountain RoadlHunte Parkway to the north, the proposed University site to the east and SR-125 to the west. 2. Project Description ("Project"): The project consists ofthe preparation of a Supplemental Environmental Impact Report addressing proposed Amendments to the Chula Vista General Plan and Otay Ranch General Development Plan, in order to allow land uses that accommodate up to 6,050 single and multi-family dwelling units on approximately 633 acres ofland, as envisioned in the 2008 Land Offer Agreement between the City of Chula Vista and the Otay Land Company LLC. The ElR will analyze all potential environmental impacts associated with the implementation of the Land Offer Agreement at a programmatic level. 3. Entitlements applied for: . Proposed discretionary actions for the Property include: General Plan Amendment, General Development Plan Amendment. 4. General Nature of Consulting Services ("Services--General"): Consultant shall prepare a Supplemental ElR for the University Villages General Plan Amendment, General Development Plan Amendment, in accordance with the City ofChula Vista Environmental Review Procedures; with the criteria, standards and procedures of the California Environmental Quality Act (CEQA) of 1970, as amended, (public Resources Code Sections 21000 et seq.) and the CEQA Guidelines (Public Resources Code Section 15000 et seq.); and with other applicable regulations, requirements and procedures of any other responsible public agency or any agency with jurisdiction by law..lfthere are conflicts between the CityofChula Vista's requirements and those of any other agency, the City of Chula Vista's shall prevail when the City is the Lead Agency. All work performed by Consultant shall be to the satisfaction of City's Environmental Review Coordinator or appointed designee. 7/24/09 Three-Party Agreement Page 16 10-19 5. Detailed Scope of Work ("Detailed Services"): RECON shall prepare a Supplemental EIR for the University Villages General Plan Amendment, and General Development Plan Amendment. RECON shall consult with all trustee and responsible agencies, agencies having jurisdiction by law and any other person or organization having control over or interest in the Development as necessary to ensure that the EIR is current and complete as to issues raised by such agencies. The Draft and Final EIR shall be prepared in such a manner that they will be meaningful and useful to decision-makers and to the public. Technical data is to be summarized in the body ofthe report and placed in an appendix. All documents shall be prepared in Microsoft Word. RECON shall compile supporting documents into separate volume(s) to be referred to as the Appendices to the EIR. The Appendices shall include the Notice of Preparation (NOP), responses to the NOP and any technical reports and relevant technical information generated for the EIR. The Detailed Services to be provided are described below: Proiect Start-Up and Initiation The Consultant shall attend a start-up meeting with the City to establish communication protocols, confirm their understanding of the project, discuss key issues, review the schedule of deliverables, and collect plans and documents. Following the start-up meeting and a thorough review ofproject plans, the consultant shall prepare a memorandum identifYing outstanding information required to complete the project description for the EIR. Upon receipt of the requested information, the consultant shall prepare a draft project description and submit it to the City for review. In addition, the consultant will develop baseline data for use in the environmental analysis. Tms will include collection and review of relevant planning documents and environmental studies and regulations, including but not limited to, the updated City's General Plan and ErR, and any Applicant-prepared support documents and teclmical studies. In assembling baseline information for the EIR, the Consultant will maximize use of existing data. As part oftms task, the Consultant will conduct general surveys of the site and vicinity to document existing conditions through notation, photography, and mapping. 7/24/09 Three-Party Agreement Page 17 10-20 Notice of Preparation RECON will submit a Screen check Notice of Preparation (NOP) to the City for review and will make revisions from a single set of comments. Following approval by the City, RECON will produce the NOP for distribution by the City. Technical Studies Traffic Report Linscott, Law & Greenspan, Engineers (LLG) will prepare a traffic impact study to address proposed changes to the land use and roadway network associated with the GP/GDP Amendment. The tasks to complete the traffic study include the following: Proiect Mobilization . Confirm the project description, work schedule, and assumptions to be utilized in the traffic study. . Contact City ofChula Vista staff to discuss the project and analysis criteria, confirm the study approach, identify pertinent traffic issues and concerns, and formalize the scope of work for the traffic study. Data Collection and Research . Visit the project study area to confirm existing conditions with respect to existing site development, local area development, site access, parking use, and areas of congestion in order to verify our overall understanding oftraffic conditions in the area that might affect this proj ect. . No existing conditions analysis will be conducted. SANDAG Traffic Models . Coordinate with the City to determine the appropriate network scenarios to be analyzed. A maximum of eight (8) scenarios are assumed. The scenarios will vary depending on assumptions for La Media Road Bridge, the Hunte Parkway couplet, and SR-125. . Coordinate with the City and SANDAG to develop several forecast traffic models for the project based on the network scenarios. It is anticipated that up to eight (8) models will be required. . Review the models and verify proper land use and roadway network coding. . Attend up to two (2) meetings with SANDAG. Level of Service and Mitigation Analvsis . Confirm the capacity of the study area roadways and prepare a daily (ADT) street segment analysis for each scenario (up to 8). . Evaluate the project-related (ADT) growth on the analyzed street segments. . Determine which street segments are significantly impacted by the proposed project. The project is assumed to consist of the composite mix of land uses proposed. Project impacts by land use or location is not proposed. 7/24/09 Three-Party Agreement Page 18 10-21 . Conduct limited intersection analysis focusing on the HeritagefMain intersection, intersections affected by the potential removal of the SR-125/0tay Valley Road interchange and the Hunte Park-way couplet removal. Up to six (6) intersections will be evaluated. . Forecast Year 2030 AMlPM peak hour volumes at the key intersections. . Calculate the Year 2030 Level of Service (LOS) at each intersection. . Determine the significant impacts at each. street segment and intersection. . Compare the analysis results associated with the GP/GDP Amendment to the approved General Plan. . Compile a list of new and deleted significant impacts that would result from the GP/GDP Amendment. . Identify mitigation measures for each significant impact, which may include intersection and/or signalization improvements, segment improvements, striping modifications, the addition of auxiliary turn lanes, traffic control/limitations at site access points, etc. This proposal assumes the recommended mitigation measures can be adequately described within the text of the report. . Conduct a freeway analysis for all scenarios, determine impacts and mitigation for up to six (6) segments. . Investigate the use of an Urban Level of Service. . Investigate the reclassification of roadways to an Urban Arterial Class. . Coordinate with the Applicants' traffic consultants. Preparation ofthe Traffic Impact Studv . Prepare a draft traffic impact study in report format that details all of the above- mentioned items, analysis, findings and conclusions. The draft report will be suitably documented with tabular, graphic and appendix materials. The draft traffic study will be submitted for review by appropriate members of the project team. . Provide up to three revisions of the Draft Traffic Study per City comments. . Provide assistance in responding to traffic-related comments received during public review of the Draft SEIR. Air Quality Impact Report RECON will update and supplement the air quality analysis prepared for the General Plan Update EIR to reflect proposed changes. The analysis will consist of the following tasks: . Determine the existing air quality conditions in the air basin based on the most receni published data from the California Air Resources Board for nearby monitoring stations. Review the federal, state, and local standards and regulatory review requirements. . Calculate expected emissions for carbon monoxide, nitrogen oxides, and other criteria pollutants using the URBEMIS 2007 computer model. Input parameters for the model will be based on the land uses in the proposed GP/GDP Amendment and default meteorological assumptions used for California urban areas. . Complete a Caline carbon monoxide "Hot Spot" model for the intersections ofMain/La Three-Party Agreement 7/24/09 . Page 19 10-22 Media and MainlHeritage. Localized air effects from traffic on SR -125 will be based on the environmental review conducted for the toll-way. . Discuss the potential health risks associated with diesel particulate emissions from vehicular traffic on area roads projected to carry more than 100,000 ADT. This discussion will be based on the recommendations made by the California Air Resources Board in April 2005. Air emissions modeling of diesel particulates is not anticipated. . Prepare an air quality technical report that describes existing conditions, air quality standards, the analysis methodology, and the results ofthe analysis. The report will also identifY appropriate mitigation measures as required. Noise Impact Analysis RECON will update and supplement the noise analysis prepared for the General Plan Update EIR to reflect proposed changes. The noise analysis will consist of the following tasks: . Measure existing noise levels at locations along La Media, Heritage Road, Main Street, SR-125 and East Lake Parkway. Measurement locations will be selected to provide an understanding of the variability of noise levels from these roadways. . Estimate future vehicular traffic noise levels using the Federal Highway Administration (FHW A) Traffic Noise Model. The study will analyze noise caused by future traffic on La Media, Main Street, Heritage Road, SR-125 and East Lake Parkway. The model will be based on traffic volumes established by the traffic study prepared for the GP A, and assuming flat site conditions. The results ofthe model will be expressed in community noise equivalent levels (CNEL). . Aircraft noise will be evaluated based on noise contours for Brown Field. . The analysis will evaluate the adequacy of the mitigation outlined in the GPU EIR and will identifY changes to those measures if needed. Noise thresholds provided in the General Plan will serve as the basis for the determination of potential significant effects. . Prepare a noise technical report that describes the study methods and results outlined above and specifies any noise mitigation measures that may be needed. Global Climate Change Greenhouse gas (GHG) and global climate change (GCC) issues were not addressed in the GPU EIR. To address GHG and GPU impacts from the proposed GP/GDP Amendment, the following tasks will be completed. . Develop an introductory discussion of global climate change including the most recent information regarding the current understanding of the mechanisms behind global climate change, greenhouse gas emissions, current conditions and trends, and the broad environmental issues related to global climate change. . Develop a discussion of current international and domestic legislation, plans, policies, and programs pertinent to global climate change. . Based on documents prepared by the California Air Resources Board and the California 7/24/09 Thee-Party Agreement Page 20 10-23 Attorney General's Office, discuss thresholds for evaluating the project's potential contribution to global climate change, particularly in light of the goals specified in Assembly Bill 32 (AB 32). . Discuss the various protocols for assessing greenhouse gas inventories, such as the greenhouse gas protocol developed by the World Resources Institute and the World Business Council for Sustainable Development, and the California Climate Action Registry General Reporting Protocol. . Discuss potential changes in carbon storage on-site associated with modifications to the existing land uses and habitats due to implementation of the project. . Using Urbemis 2007, EMF AC2007, and other appropriate models, project greenhouse gas emissions for the following sources associated with the proposed GSA: o Projected traffic o Projected energy consumptive use (natural gas and electricity) for the proposed development o Water delivery, processing, and wastewater treatment o Solid waste disposal . The focus will be on emissions of carbon dioxide, methane, and nitrous oxide. Fluorinated greenhouse gases will also be considered, but their contribution from this project to global climate change is anticipated to be negligible. . Compare the projected greenhouse gas emissions to the significance thresholds and provide a discussion of project features as they relate to the reduction of greenhouse gas emissions. This discussion will include a review of the procedures currently in place in the City of Chula Vista for the control of global climate change and evaluation of the project in relation to current legislation, including SB 375. The evaluation will also assess the whether the project would conflict with or obstruct the goals and strategies identified in AB 32. . Develop a discussion of the potential impacts on the proj ect due to external influences caused by global climate change (e.g., rising temperatures and changes in rainfall patterns). . Recommend strategies for incorporation into the GP/GDP Amendment that will further the AB 32 goals for GHG reduction relative to "business as usuaL" Strategies may include options that consider site and building design, energy and water use, and solid waste generation. . Prepare a global climate change technical report and EIR section detailing the results of the analyses and identifying mitigation recommendations. Mitigation may include specific design feature recommendations for individual projects. Sewer Study . PBS&J will prepare a capacity analysis of the Salt Creek Tnmk Sewer. The capacity analysis will include the following engineering services: Three-Party Agreement 7/24/09 Page 21 10-24 . Attend one kick-off meeting to review grading and drainage plans and proposed sewer conveyance. · Review the 2005 Master Plan, including assumptions made for the General Plan Update Capacity Evaluation for the Salt Creek Basin, and the Hydraulic Computer Model for Salt Creek. . Estimate the sewage generation from the GP/GDP Amendment. . Review the existing hydraulic model and available capacity downstream of the Project. Assess impacts of added flow capacity and determine probable system deficiencies and proposed upgrades. . Prepare new flow chart documenting existing and ultimate Metro Capacity needs. · Prepare Draft section regarding Salt Creek Sewer impacts and Metro capacity needs for inclusion in the RECON EIR. Draft EIR Preparation The Consultant shall prepare the first screen check Draft EIR for review by the City ofChula Vista. In general, the Draft EIR and associated technical studies shall assemble all available data, originate new studies and provide an assessment of the probable short- and long-term cumulative impacts of the project. In addition, the Draft EIR shall provide an evaluation of all feasible mitigation measures, which could be carried out to reduce or eliminate adverse impacts ofthe proposed project. The Draft EIR, where appropriate and as directed by City staff, shall also analyze all feasible alternatives to the project as proposed. The Consultant shall prepare the EIR in the following format: Table of Contents Executive Summarv. This section provides an overview of the proposed project, and the key conclusions set forth in the EIR regarding environmental impacts and mitigation measures. It will summarize the background and need for the project, required discretionary actions, any known areas of controversy, and the objectives and basic characteristics of the project. The Executive Summary will identify and briefly discuss the environmental impacts associated with implementation ofthe project (whether beneficial or adverse, significant or less than significant), and will contain a summary analysis ofaltematives to the project. The Executive Summary will also include a table identifying all of the issues evaluated, their impacts, corresponding mitigation measures, and the level of impact significance after mitigation. Introduction. This Section describes the purpose, scope and legislative authority of the EIR, the intent ofCEQA and other pertinent environmental rules and regulations, and the environmental review process. The section will also include the stmcture, required contents and relationship of 7/24/09 Three-Party Agreement Page 22 10-25 the EIR to other potential responsible or trustee agencies. The EIR's relationship to previously prepared documents, including the 1993 Program EIR for the Otay Ranch General Plan Amendment (GPA)/General Development Plan (GDP)/SLlbregional Plan (SRP) and the 2005 Program EIR for the Chula Vista General Plan and Otay Ranch General Development Plan, will be described. Environmental Setting. This section will provide an overview of the environmental setting for the project, including a description of physical conditions and natural resources in the project vicinity and from a regional perspective. This section will also define the related projects and/or growth factor assumptions used as the basis for the cumulative impact analyses. Proiect Description. The scope of work for this section of the EIR will include the following: . Location and Boundaries: This subsection shall provide a description of the size, boundaries, and location of the project at the local and regional level. Supporting graphics will be provided. . Statement of Objectives: This subsection shall define the objectives and underlying purpose of the project. It is assumed that these objectives will be developed jointly between the Applicants and the City and will most likely reflect planning, environmental, and economic goals. The Statement of Project Objectives, in conjunction with an identification of the Project's significant impacts, will provide the basis for selecting a reasonable range ofproject alternatives to be evaluated within the EIR. . Project Characteristics: This subsection shall provide an overview of the project and describe its specific attributes. Project characteristics will be described based on the detailed project description provided by the Applicants. This section will also state the time frame for project construction and phasing, required discretionary actions and approvals, agencies expected to use the EIR, and any federal, state or local environmental review and consultation requirements related to the CEQA process. Environmental Impact Analvsis. For each issue identified in the Initial Study, this section will provide an analysis based on the following structure: Existing Environmental Setting, Thresholds of Significance, Impacts, Level of Significance Prior to Mitigation, Mitigation Measures, and Level of Significance after Mitigation. The assessment of environmental impacts will be consistent with CEQA and the CEQA Guidelines (Section 15126). The following is an overview of the technical approach proposed to address each environmental topic in the EIR: Land Use: RECON will discuss the project impacts associated with proposed land use modifications to Otay Ranch Villages 4, 7,8,9, and the University Site or portions thereof as they relate to the adopted Chula Vista General Plan for the East Planning Area. Discussion of the Chula Vista Multi-Species Conservation Plan (MSCP), Otay Ranch General Development Plan (GDP) and Otay Ranch Management Plan (R1vlP) as they relate to land 7/24/09 Three-Party Agreement Page 23 10-26 use will also be included. Land use impacts will be based upon the consistency of the proposed project with the various planning documents. In addition, the compatibility ofthe proposed project changes with neighboring land uses, including the Otay Landfill, will be evaluated. This includes discussion of a proposed northerly realignment of Rock Mountain Road/Main Street in Village 4, and changes to Heritage Road in Village 3 and La Media Road in Village 8. The potential land use effects will be discussed for areas both within the plan area as it relates to the future development, including the Town Center, and to regional planning efforts for offsite areas to the south. An evaluation ofthe project in relation to SB 375 will be included. The Consultant shall: . Describe and map existing land use and applicable plans and zoning for the site and surrounding areas; and . Summarize applicable local, regional, state and federal plans, policies, regulations and guidelines; and . Discuss land use compatibility associated with past and present site activities and adjacent uses; and . Define Thresholds of Significance for land use impacts; and . Evaluate the project's consistency with applicable local, regional, state or federal land use policies and programs; and . Develop mitigation measures to address significant land use impacts. Landform Alteration/Aesthetics: The SEIR will update the discussion of landform alteration/aesthetics to address proposed changes within each of the affected Villages to the extent that the changes represent a significant change in the nature of the visual setting of the area and the extent to which it is compatible with neighboring uses. Thresholds and mitigation requirements addressing scenic resources/vistas and visual character relative to proposed changes, will be reviewed and updated for project consistency. The Consultant shall: . Describe relevant regulations, policies and guidelines governing views and aesthetic considerations. As applicable, provisions of view ordinances, design guidelines, and general plan and scenic highway plans will be summarized; . Define Thresholds of Significance to determine impacts with respect to aesthetics/views; . IdentifY mitigation measures as appropriate for significant landform impacts. Biological Resources: RECON will use biological resources analysis prepared for the 2005 General Plan Update EIR to address the proposed amendments. The GPU EIR will serve as Three-Party Agreement Page 24 7/24/09 10-27 the basis for the analysis. Consultant shall summarize the previous impacts to biological resources and mitigation measures contained in both the City's General Plan Update (GPU) Program EIR and Otay Ranch General Development Plan (Otay Ranch GDP) Program EIR as they relate to the proposed project. Using data extrapolated from the current SANGIS database (or another acceptable source to the City), Consultant will then update the previous baseline vegetation conditions and evaluate the proposed project impacts against the previous environmental determinations in light of the Chula Vista Multiple Species Conservation Program (MSCP) Subarea Plan and other existing sources of information on biological resources within the General Plan and Otay Ranch GDP amendment areas. Traffic, Circulation and Access: This section of the EIR shall summarize the results of the final Traffic Impact Analysis prepared by LLG, as described in Section 5 above. The fInal Traffic Impact Analysis will be included as an appendix to the EIR. Noise: This section of the EIR shall summarize the results of the final Noise Impact Assessment prepared by the Consultant, as described in Section 5 above. The final Noise Impact Assessment will be included as an appendix to the EIR. Air Quality: This section of the EIR shall summarize the results of the Air Quality Impact Analysis prepared by the Consultant, as described in Section 5 above, The final Air Quality Report will be included as an appendix to the EIR. Public Services and Utilities: This section of the EIR shall evaluate potential impacts on public services and utilities. The Consultant shall consult with local service providers as well as summarize the findings of other relevant approved planning documents and master plans including, but not limited to, analyses from the 1993 Program EIR (90-01) for the Otay Ranch GDP/SRP and the 2005 Program EIR for the General Plan Update, in order to adequately define applicable thresholds of significance, evaluate the potential for impacts, and identify feasible mitigation to fire protection (including EMS), police services, library services, schools, recreational resources (parks, recreation and open space), water, sewer, solid waste disposal, energy (gas and electricity), and telephone and cable services. 7/24/09 Water Supply: RECON will update the Water Technical Report prepared by the City of Chula Vista Planning and Building Department (April 2005) to reflect proposed changes to the General Plan and the General Development Plan. This will include contacting the Otay Water District and summarizing changes to their existing facilities and their ability to provide water to the area that have occurred since the completion ofthe report as they pertain to the proposed GP A area. The analysis will include a projection of the current demand for water, and the project demands under the adopted General Plan and the proposed amendments to the plan. The results of the analysis will be included in the SEIR. The discussion will evaluate whether the proposed GP A will require or result in the construction of new water treatment Three-Party Agreement Page 25 10-28 facilities or expansion of existing facilities, the construction of which could cause significant environmental effects, whether new or expanded supplies would be required to meet proj ected needs, and if the GP A would being inconsistent with the Urban Water Management Plan prepared by the San Diego County Water Authority. RECON will coordinate with Otay Water District in their preparation of a Water Supply Assessment for the incremental increase in water demand over that analyzed in the General Plan. Wastewater: Based on the technical study prepared by PBS&J to address the Salt Creek Trunk Sewer analysis, RECON will identify the impacts on the existing and master-planned sanitary sewer system and recommend proposed upgrades. Housing and Population: It is assumed that the Housing Element of the General Plan will not be amended as part of the proposed GP/GDP amendment. The discussion of housing and population issues will focus on the three thresholds provided in the GPU EIR. These include (I) population growth, which is primarily a "growth inducing impact", (2) displacement of existing housing and (3) displacement of people. Proposed land use changes would alter the planned number of acres and distribution ofresidential, industrial, commercial, recreation and open space land within the affected Otay Ranch Villages as compared to the adopted plan. Impacts resulting from the adopted plan were found to be significant and unmitigable. The proposed project is expected to result in a substantial increase in the number of residential units within the Otay Ranch area as compared to the adopted plan. Cumulative Impacts: The cumulative impact analysis will be based on the ".. . summary of projections contained in an adopted general plan..." approach established by Section 15130 (b) (1) (B) ofthe State EIR Guidelines. For each issue, the cumulative effect ofthe proposed GP/GDP amendment will be evaluated based on the GPU EIR. In addition, RECON will discuss the Otay Mesa Community Plan update that is currently underway in the City of San Diego. The extent to which the cumulative effects ofthat planning project will be addressed depends upon the availability of information at the time the analysis is complete. It is anticipated that the County of the San Diego's General Plan update will not be available in time for this analysis. As such, RECON will use the existing County General PlanlSANDAG RCP for the cumulative discussion. 7/24/09 Three-Party Agreement Page 26 10-29 Growth Inducement: The SEIR will address growth-inducing effects. This section will "discuss ways in which the proposed project could foster economic or population growth, or the construction of additional housing, either directly or indirectly, in the surrounding environment. Included are projects which would remove obstacles to population growth (for example, a major expansion of a waste water treatment plant might allow for more construction in service areas). Increases in the population might tax existing community services facilities, requiring construction of new facilities that could cause significant environmental effects." Effects Found Not To Be Significant: In accordance with the CEQA Guidelines, the SEIR will include a brief discussion of the statement of effects found not to be significant and, therefore, not discussed in detail in the SEIR. Significant Irreversible Environmental Changes: This section of the SEIR will discuss the significant unavoidable impacts, if any, ofthe proposed project, including those that can be mitigated but not reduced to below a level of significance. This section will also describe the potentially significant irreversible changes that may be expected with development of the project and addresses the use of nonrenewable resources during its construction and operational life. Alternatives: A reasonable range of alternatives will be included in the document. There will be a no-project alternative consistent with CEQA requirements. A minimum of two other land use alternatives will be included. RECON will work with the City to help define these alternatives with the recognition that they will have to have the potential to reduce one or more identified environmental impacts, consistent with CEQA requirements. Draft SEIR Processing and Document Revisions The Consultant shall prepare three (3) screen check draft EIRs prior to preparation of the public review version ofthe Draft EIR. The second, third and public review copies of the Draft EIR will incorporate comments received on prior versions of the reports. The Consultant shall prepare the Notice of Availability for public review distribution. Preparation ofthe revised Draft SEIR will involve the following. . Attend up to 24 hours of meetings with City staff to address issues associated with the Draft SEIR. . Review comments on first submittal. . Prepare revisions to the project description, issues of analyses. . Prepare revisions to the cumulative impact analyses. . Prepare revisions to the analysis of alternatives. . Revise the draft Mitigation Monitoring and Reporting Program. 7/24/09 Three.Party Agreement Page 27 10-30 Final EIR Preparation and Content Upon completion of agency and public review, the Consultant will prepare written responses to all letters of comment received. All comments received in response to the EIR will be. discussed with the City staff, and an approach to the responses will be subject to City approval prior to preparation of the draft responses. Draft responses to comments will be submitted to City staff for review. LLG will assist in the preparation of responses to public comments on the traffic study. PBS&J will assist in the preparation of responses to public comments on the sewer study. The Consultant will then revise responses in accordance with City directions and will prepare an administrative Final EIR. The Consultant will draft candidate Findings and a Statement of Overriding Considerations, if City determines this to be necessary, for consideration by the decision-maker in certifYing the EIR. The Findings will include all measures which would be implemented to mitigate potentially significant impacts; a statement, as appropriate, that the project mitigation may be the responsibility of another agency; and an evaluation of project alternatives and why each was found to be infeasible. A major portion ofthe Findings will be compiled using information contained in the EIR. The Statement of Overriding Considerations will present the social, economic or other reasons why the project should be approved even though significant environmental impacts may result (i.e., why the project's benefits override the environmental issues). These will be presented in draft form to the City, revised as City determines to be necessary, and printed to accompany the Final EIR for review and consideration by the City of ChuIa Vista, Plarming Commission, and ultimate adoption by the City Council. RECON will prepare a supplemental Final EIR that will include the EIR text with necessary revisions requested by City staff or as a result of the public review process, letters of comment and responses, the Findings and Statement of Overriding Considerations (if applicable), appendices, and the Mitigation Monitoring and Reporting Program. Following review and approval of the responses to letters of comment and any changes to the text of the document, the Consultant will prepare a draft Final EIR for review by City staff. The Consultant will also prepare the Notice of Determination and California Department ofFish and Game Fee Certification. Preparation of the administrative Final SEIR will involve the following tasks: . Attend up to 32 hours of meetings with City staff to address issues associated with the Final SEIR. . Prepare responses to comments received during public review. This task is based on an estimate of25 comment letters or 150 individual comments. Should additional comments be received or additional technical analysis is required to respond to those comments that will be completed as an additional effort to this authorization. . Based on the review by the City, RECON will revise the responses to comments and produce the Final SEIR. . Prepare CEQA draft Findings and Statement of Overriding Considerations. Information needed to support the Findings/Statement of Overriding considers will be provided by the City. 7/24/09 Three-Party Agreement Page 28 10-31 . Based on the review by the City, RECON will revise the response to comments and produce the Final SEIR. . Prepare a final Mitigation Monitoring and Reporting Program. . Coordinate with applicant's SPA EIR consultant as necessary. llleetinf!s and Hearinf!s The Consultant's work efforts will involve on-going project management to include regular coordination with City staff and project team members. The Consultant's project manager will meet with City staff as requested to discuss the EIR progress and issues as they arise. The meeting hours noted above include RECON's attendance at the following meetings and hearings. . One (1) project initiation meeting . One (1) project workshop . One (1) scoping meeting . One (1) Planning Commission public hearing to close public review of the DEIR; . One (I) Planning Commission hearing on the FEIR and related environmental documents; and . One (1) City Council Hearing on the FEIR and related environmental documents. In addition, upon request ofthe City, LLG shall be available to attend project status meetings, project briefings, and City Council meetings, and shall be responsible for assisting with the preparation of materials for those meetings. LLG will be responsible for attending the following meetings: . One (1) project initiation meeting with the City, Applicants(s), and others determined by City staff; . One (I) project workshop; . One (I) scoping meeting; . Two (2) coordination meetings with the City, . One (1) Planning Commission public hearing to close public review of the DEIR; . One (I) Planning Commission hearing on FEIR; and . One (I) City Council meeting on FEIR Deliverables Screen check Initial Study and Notice of Preparation . Five (5) copies of the Screen check Initial Study and Notice of Preparation will be provided to the City. The Screen check Initial Study and Notice of Preparation shall be prepared in Microsoft Word 2000. . Following receipt of comments on the First Screen check Initial Study and Notice of Preparation, five (5) copies of the Final Initial Study and Notice of Preparation will be provided to the City. The Final Initial Study and Notice of Preparation shall be prepared in Microsoft Word 2000. Three-Party Agreement 7/24/09 Page 29 10-32 Technical Studies The Consultant shall provide the following technical studies to the satisfaction of the City's Environmental Review Coordinator: . Traffic Impact Analysis - five (5) copies . Air Quality Assessment- five (5) copies . Global Climate Change Assessment - five (copies) . Noise Assessment- five (5) copies . Sewer Study - five (5) copies Screen check Draft EIR . Twenty-five (25) total copies of the First Screen check Draft EIR and ten (10) copies of Technical Appendices, in three-ring binders will be provided to the City. The First Screen check Draft EIR shall be prepared in Microsoft Word 2000 and shall be printed at 1.5 spacing. Appendices shall be single-spaced. . Following receipt of comments on the First Screen check Draft EIR by City staff, Consultant will make the required revisions and provide twenty (20) total copies of the Second Screen check Draft EIR and ten (10) copies of Technical Appendices in three-ring binders. The Second Screen check Draft EIR shall be prepared in Microsoft Word 2000 and shall be printed at 1.5 spacing. Appendices shall be single-spaced. . Following receipt of comments on the Second Screen check Draft EIR by City staff, Consultant will make the required revisions and provide five (5) total copies of the Third Screen check Draft EIR, first draft MMRP and Technical Appendices in three-ring binders. The Third Screen check Draft EIR shall be prepared in Microsoft Word 2000 and shall be printed at single spacing. Appendices shall be single-spaced. Public Review Draft EIR . Following City staff review of the Third Screen check EIR, Consultant will make the required revisions and prepare the document for public review. Thirty (30) total copies of the Draft EIR, MMRP and ten (10) Appendices, including twenty (20) copies ofthe documents in three-ring binders and one-hundred (100) copies of the document on Compact Disk (CD) will be provided to the City. CDs submitted to the City shall be accompanied by 20 hard copies of the Executive Summary with a pouch to hold the CDs. RECON will prepare the Notice of Completion for the City, and the City will handle the public review distribution. . Consultant shall prepare Draft Candidate CEQA Findings of Fact and, if necessary, a Statement of Overriding Considerations for review by City of Chula Vista staff and legal counsel after distribution ofthe Draft EIR for public review. Consultant shall submit five (5) Three-Party Agreement 7/24/09 Page 30 10-33 copies of the draft Candidate Findings of Fact and Statement of Overriding Considerations with the draft responses to comments. Final EIR . Following the close of public review, Consultant shall meet with City staff to discuss comments received. Following consultation with City staff, Consultant shall provide draft responses to comments received during public review. . Consultant shall prepare a Screen check Final EIR. The Screen check Final EIR will include corrections and additions to the DEIR and technical reports, if appropriate; a draft Mitigation Monitoring and Reporting Program (MMRP); a list of persons, organizations, and public agencies commenting on the DEIR; comments and responses on the DEIR; and, DEIR comment letters and hearing testimony. Consultant shall submit five (5) copies ofSFEIR to the City for review by City of Chula Vista staff. . Upon City staff's approval of the SFEIR, Candidate CEQA Findings of Fact and, if necessary, Statement of Overriding Considerations, Consultant will prepare a Final EIR, MMRP, Appendices, Candidate CEQA Findings of Fact and Statement of Overriding Considerations (if applicable). Consultant will provide thirty total (30) copies including ten (10) in three-ring binders, and ten (10) copies on CD ofthe Final EIR, MMRP, Appendices, and Candidate CEQA Findings of Fact and Statement of Overriding Considerations (if applicable). 6. Schedule, Milestone, Time-Limitations within which to Perform Services. Date for Commencement of Consultant Services: ( X ) Same as Effective Date of Agreement Dates or Time Limits for Delivery of Deliver abIes (Screen check technical reports assume two sets of revisions to address City comments. Final technical reports shall adequately address all City comments, sununarize existing and future conditions analyses, and provide appropriate text, tables, and graphics for use in the EIR document): . Provide Screen check Notice of Preparation August 24, 2009 . Final Notice of Preparation: Two (2) days after receipt of City comments on Screen check Initial Study and Notice of Preparation. . Final Traffic Impact Assessment - December 9, 2009. . Final Air Quality Report and GHG Report - December 9, 2009 . Final Noise Impact Assessment - December 9, 2009. . First Screen check Draft EIR, MMRP and Technical Appendices - November 23,2009 Three.Party Agreement 7/24/09 Page31 10-34 . Second Screen check Draft EIR, MMRP and Technical Appendices - January 8,2010. . Third Screen check Draft EIR, MMRP and Technical Appendices - February 19,2010. . Public Review Draft EIR, MMRP and Technical Appendices - March 12, 2010. . First Draft Findings and Statement of Overriding Considerations, if applicable - April 13, 2010. . First Draft Responses to Comments received during public review - May 12, 2010. . SCFEIR including corrections and additions to the DEIR; final technical reports; MMRP; a list of persons, organizations, and public agencies commenting on the DEIR; comments and responses on the DEIR; and, DEIR comment letters and hearing testimony - June 16,2010. . Final EIR for public hearing including final responses to comments, Findings and Statement of Overriding Consideration - One (1) week after receipt of City comments on Screen check Final EIR. Dates for completion of all Consultant services: Date of City Council final action on environmental documents, or completion of all tasks to the satisfaction of the City's Director of Planning and Building, whichever is later. 7. Documents to be provided by Applicants to Consultant: (x) site plans () grading plans 0 architectural elevations (x) proj ect description 0 biological technical reports addressing on- and off-site resources 0 water / sewer studies 0 geotechnical reports addressing on- and off-site resources 0 wat.er quality technical report addressing on- and off-site resources. (x ) other: General Plan and General Development Plan Amendment text and graphics needed from both applicants. 8. Contract Administrators. City: Stephen Power AlCP Principal Planner Public Services Building 200 276 Fourth Avenue Chula Vista, CA 92010 Tel: (619) 409-5864 7124109 Three-Party Agreement Page 32 10-35 Applicant: Otay Land Company LLC 1903 Wright Place, Suite 220 Carlsbad, CA 92008 (760) 918-8200 Consultant: RECON 1927 Fifth Avenue San Diego, CA 92101-2358 9. Statement of Economic Interests, Consultant Reporting Categories, per Conflict of Interest Code: 7/24/09 ( X) Not Applicable. Not an FPPC Filer. ( X) Not Applicable. Not an FPPC Filer. ( ) Category No. 1. ( ) Category No.2. ( ) Category No.3. ( ) Category NO.4. ( ) Category No.5. Investments and sources of income. Interests in real property. Investments, interest in real property and sources of income subject to the regulatory, permit or licensing authority of the department. Investments in business entities and sources of income which engage in land development, construction or the acquisition or sale of real property. Investments in business entities and sources of income of the . type which, within the past two years, have contracted with the City ofChula Vista (Redevelopment Agency) to provide services, supplies, materials, machinery or equipment. Three-Party Agreement Page 33 10-36 ( ) Category No.6. Investments in business entities and sources of income ofthe 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. 10. Insurance Requirements: (x) Commercial General Liability: $1,000,000. (x) Automobile Liability: $1,000,000. (x) Worker's Compensation: Statutory (x) Employer's Liability: $1,000,000. (x) Errors and Omissions Liability: $2,000,000. 7/24/09 Three-Party Agreement Page 34 10-37 Exhibit B Additional Recitals 2.7. Applications for a General Plan Amendment and General Development Plan Amendment were submitted to the City ofChuia Vista on March 3,2009; and 2.8. The preparation of an EIR is accordance with the provisions of the California Environmental Quality Act (CEQA) is a necessary component of the General Pian, and General Development process; and 2.9. RECON has acquired an in-depth knowledge ofChuia Vista General Plan-related environmental issues through their preparation of the 2005 General Plan Update EIR and associated baseline studies; and 2.10. RECON's comprehensive familiarity with the Chula Vista General Plan and General Plan study area, coupled with the knowledge gained through their preparation of the General Plan Update EIR and associated baseline/technical studies, makes RECON uniquely qualified to serve as the Consultant for this proj ect; and 2.11 The 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 timeframes herein provided all in accordance with the terms and conditions of this Agreement, and that time is of the essence; and 2.12. The Environmental Review Coordinator has negotiated the details of this agreement in accordance with the Environmental Review Procedures set forth in the Emironmental Review Procedures and in Section 2.56 of the Chula Vista Municipal Code; 2.13. The Applicant has deposited or will deposit funds for the consulting services necessary for the preparation of the environmental documents; 2.14. The proposed contract with RECON to provide consultant services would be in an amount not to exceed $388,400 with an additional $97,100 for additional services should they be necessary. (End of Recitals) 7/24/09 Three-Party Agreement Page 35 10-38 Exhibit C Compensation Schedule and Deposit: Terms and Conditions. ( X) Single Fixed Fee Arrangement. For performance of all of the General and Detailed Services of Consultant as herein required, Applicants shall pay a single fixed fee in the amounts and at the times or milestones set forth below: (x) Single Fixed Fee Ainount: $388,400 Milestone or Event Amount or Percent of Fixed Fee 1. Signing 0 f this agreement by all parties and upon the $58,260 (15%) request ofthe Consultant. 2. Submittal of First Screen check Environmental $135,940 (35%) Document* 3. Submittal of Second Screen check Environmental $38,840 (10%) Document** 4. Commencement of Public Review $58,260 (15%) 5. Completion of Final Environmental Document $58,260 (15%) 6. Completion of All Remaining Tasks as outlined in $38,840 (10%) Exhibit "A" to this Agreement (retention) Subtotal $388,400 7. 25% Contingency Fee*** (for additional work if requested by the applicant, and agreed to by the City, $97,100 pursuant to Section 3.2.1) Total Fixed Fee Amount $388,400 * For purposes of payment, the first screen check shall completely address and analyze all issues identified in the detailed scope-of-work (described in Exhibit "A") to the satisfaction of the Environmental Review Coordinator. Payment shall not be made until the City's Environmental Review Coordinator determines that a complete screen check document has been submitted. ** For purposes of payment the second screen check shall completely address all comments identified in the first screen check to the satisfaction of the Environmental Review Coordinator. Payment shall not be made until the City's Environmental Review Coordinator determines that a complete second screen check document has been submitted. 7/24/09 Three-Party Agreement Page 36 10-39 *** Pursuant to Section 3.2.2 ofthis Agreement, the Environmental Review Coordinator in their sole discretion independently and or upon request from the Consultant, may from time to time, negotiate additional services to be performed by the Consultant under this Agreement in order to cover unforeseen issues that may be identified during the preparation of the environmental document {"Additional Services"). The cost of Additional Services in connection with the environmental document shall not exceed 25% of the total contract amount ($388,400). ( ) Phased Fixed Fee Arrangement. For the performance of each phase or portion of the General and Detailed Services of Consultant as are separately identified in Exhibit C, under the category labeled "Phased Fixed Fee Arrangement", Applicant shall pay the fixed fee associated with each phase of Services, in the amounts and at the times or milestones set forth herein below ("Phase Fixed Fee Arrangement"). Consultant shall not commence Services under any Phase, and shall not be entitled to the compensation for a Phase, unless Applicants shall have issued a notice to proceed to Consultant as to said Phase. Fee for Phase' Said Phase ( ) Time and Materials For performance of the General and Detailed Services of Consultant as herein required, Applicants shall pay Consultant for the productive hours oftime and material spent by Consultant in the performance of said Services, at the rates or amounts set forth herein below according to the following terms and conditions: ( ) 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 General and Detailed Services herein required of Consultant for $ including all Materials, and other "reimburseables" ("Maximum Compensation"). ( ) Limitation without Further Authorization on Time and Materials Arrangement 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 Council. Nothing herein shall preclude Consultant from providing additional Services at Consultant's own cost and expense. 7/24/09 Three-Party Agreement Page 37 10-40 Rate Schedule Category of Employee Emvlovee Name Hourly Rate Principal Charly Bull $178.00 Principal, Senior Project Manager Bobbi Herdes $178.00 Principal, Air QualityfNoise Dave Gottfredson $178.00 Senior Planner Donna Steel $146.00 Senior Planner Lori Spar $146.00 Senior Biologist Gerry Scheid $146.00 Senior Biologist Wendy Loeffler $146.00 Archaeologist, Associate Jackson Underwood $119.00 Archaeologist, Analyst Harry Price $99.00 Associate Environmental Planner Karen Bowling $119.00 Associate Environmental Planner Lisa Lind $119.00 Environmental Analyst Lance Unverzagt $99.00 Environmental Analyst Matt Joseph $99.00 Assistant, Air QualityfNoise Jesse Fleming $84.00 Assistant Biologist Beth Proscal $84.00 Assistant Biologist Anna Bennett $84.00 Research Assistant Daniela Fromer $73.00 Research Assistant Colin Water $73.00 GIS Specialist Sean Bohac $78.00 Graphic Designer Vince Martinez $78.00 Production Specialist II Linda Evans $59.00 Production Specialist I Gre2: Kazmer $52.00 The assignment and time allotment of principals working on the EIR shall be as follows: Attend meetings and hearings Attend meetings and hearings Provide technical support for air, noise and global climate change issues Provide technical oversi ht and direction 127 hours 255 hours 66 hours *Other individuals from the Consultant firm may be substituted in place ofthe names listed solely at the discretion of the City's Environmental Review Coordinator. ( ) Hourly rates may increase by 6% for services rendered after 7/24/09 Three-Party Agreement Page 38 10-41 Materials Separately Paid For by Applicant ~ ( ) Materials Reports Copies ( ) Travel ( ) Printing ( ) Postage ( ) Delivery ( ) Long Distance Telephone Charges (X) Other -SANDAG Model Run Fees Cost or Rate NA NA NA NA NA NA NA Deposit (X) Deposit Amount: $58,260. The remaining contract balance of$330,140 shall be deposited incrementally in accordance with milestone payments noted in Exhibit "C" and as follows: $135,940 paid to the City 30 days prior to tbe completion of Milestone No.2; $38,840 paid to the City 30 days prior to completion of Milestone No.3; $58,260 paid to the City 30 days prior to the completion of Milestone No.4; $58,260 paid to the City 30 days prior to the completion of Milestone No.5; $38,840 paid to the City 30 days prior to the completion of Milestone No.6. Applicant further agrees to deposit within 10 days a sum estimated to be up to $97,100 (contingency fee) for additional services if such services are requested pursuant to Section 3.2.1 or Section 3.2.2. (X) Use of Deposit to Pay Consultant. Notwithstanding the sole duty and liability of Applicant to pay Consultant, ifthis paragraph is "checked", upon City's receipt of billing by Consultant, and determination by City in good faith that Consultant's billing is proper, a judgment for whicb Applicant agrees to hold City harmless and waive any claim against City, City shall pay Consultant's billing from the amount of the Deposit. If Applicant shall protest the propriety of a billing to City in advance of payment, City shall consider Applicant's protest and any evidence submitted prior to the due date for the payment of said bill by Applicant in making its good faith determination of propriety. () Use of Deposit as Security Only; Applicants to Make Billing Payments. Upon determination by City made in good faith that Consultant is entitled to compensation which shall remain unpaid by Applicant 30 days after billing, City may, at its option, use the Deposit to pay said billing. (X) Bill Processing: A Consultant's Billing to be submitted for the following period of time: Three-Party Agreement Page 39 7/24/09 10-42 ( ) Monthly ( ) Quarter! y (X) Other: Milestone B. Day of the Period for submission of Consultant's Billing: ( ) First ofthe Month ( ) 15th Day of each Month ( ) End of the Month (X) Other: Upon Completion of Milestone C. City's Account Number: To be assigned after agreement is processed. D. Security for Performance ( ) Performance Bond, $ ( ) Letter of Credit, $ ( ) Other Security: Type: Amount: $ (X) Retention. Ifthis 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, the following Retention Percentage until the City determines that the Retention Release Event, listed below, has occurred: ( ) Retention Percentage: 10% ( ) Retention Amount: $ Retention Release Event: (X) Completion of All Consultant Services to the satisfaction ofthe Environmental Review Coordinator. ( ) Monthly ( ) Quarterly (X) Other: In accordance with the_milestones provided herein. B. Day of the Period for submission of Consultant's Billing: ( ) First of the Month ( ) End ofthe Month (X) Other: Upon completion of the milestones identified herein. Three-Party Agreement Page 40 7/24/09 10-43 J~ ~ EAST H ST: OTA Y VALLE ROAD 8 LEGEND 1.:..;..'::1 SUB.ECTPROpmTY o.LC o.TAYLAND Co.MPANY DES/GNA TED NOTES r. All BEARINGS SHo.fiN ARE pm R.0.s. 155G-I. REco.RDED J/9/2000, AS fiLE NO.. 2000-120683. IN THE COUNTY Of' SAN DIEGO. STA TE OF CAliFo.RNlA. VICINITY MAP AREA TOTALS NOT TO SCALE OLC PARCEL 'S- OLC PARCEL 'C' TOTAL DESCRIPTION EXCEPTIONS DLC PARCEL -S'ITEMS,' roTAL FEE ARb! ~ 278.72 ACRESX TOTAL FEE AREA ~ 373.00 ACREScf 551.72ACREScf 1 SAN DIEGD'-OTA Y PIPEliNE: RIGHT OF WA Y. AS SHOiiN IN DEED SOOK 51J7. PA GE 4$3. RECORDED 7/14/15123 &: DEED SOOK 5518, PAGE 54. RE:CDROEDU/20/15IIZ . 2 SOUTH SAN DIEGO RESERVOIR. PORTlOll OF LOT 28 &- 27 GRANTED ro THE CITY OF SAN DIEGO IN DEED RECORDED 8/2::;/1972 UNDE:R fiLE/l'AGE NO. 2222672. OFFICIAL RECORDs.. J SAN DIEGD'-CQRo.NADO PIPELINE RIGHT OF WA Y, AS SHOiiN IN DEED Bo.OK 570. PAGE: 113. RECORDED 5/2-1/1912. 4' PARCEL J IN AMENDED Co.MPLAINT IN CONo.EMNAlIo.N CIVIL NO. 79-09o.7-N, RECORDED IN THE OFFICE OF lifE COUNTY RECORDER CF SAN DIEGO COUNTY. JANUARY 15. 1980. AS DOCUMENT NO. 80-/J7851 OLC PARCEL 'C-ITEMS 5 PORno.N o.F LOT 17. Co.NVEYED TO. THE SOUllltJ/N CAliFo.RNlA MOUNTAIN WA7m COMPANY, BY DEED DATED APRIL 11, 1912, AND RECORDE:D JUNE 24. 1912 IN BOOK 570. PACE 113 OF DEEDS. OFF1C1AL RECDRDS, 6' ?ARCEL 320.18-1, A Po.R7Io.NoFLOTS 17& 18 OF OTA YRANCHo.lN THEClTYo.FCHULA vrSTA, COUNTY OF SAN DIEGO. GRANTED TO. lifE STA iE OF CAliFORNIA IN DEED RECORDED 9/1/2005 UNDER DOG. NO. 2005-0/59298. 7 POR170N OF LOT 16 CON,F'rW TO llIE Co.UNT'( OF SAN DIEGO IN DEED RECORDED 2/28/2006 AS DOC. NO. 2006-0139662. ~ Ci '" I ;:;: ~ '<i oL ::J ::. 'i! ~ c:> c:> ;~ ~ Stante:c. PREPARED BY.' ..;; 0013 DATE STANTEC CONSU1.ITNG lNC~ 277 ~NCHEROS: DRIVE . SUITE .:;:00 SAN MARCOS, 0. 92{J69 760.a91_J200 OWNERSHIP EXHIBIT OTAY RANCH, LLC ~OUNTY OF SAN DIEGO ATTACHMENT "A" 10-44 DA TE- 04 10 2008 Dft(;: !6JV EXOn J JOB . 160163.00 DRAWN BY.. DSB SHEET.- 1 OF J j J" It: '" '"' I h: Q Q >L @ " c; Q ;;:;&fjj "1 - - _ lo/~ ~ ~~~ - ~ C5 Stante<: 33 I 29 ".". . '. '. . .. -, . OTA Y :'::.:/ RANCHO ,;..tg[h;l~~~a ;--;~, 34 N71:i7ss'c .: ........: -.", '. . '.', "." -', - '. "'-" ,,', " .:-.:-..::-:: . . ....... ... '28 .... ..-. '.'- . -. '. ". -. . - . ..?1... _., '. ..... - .',. .','...:.: :':':'.\~'.:.y.: ',' :_'.\:~:.\\ ~ ~\ ~~\ ~::\ ~::':\:":\~~{:. S 71:i8'Jr w 2641.40' 26 -~ OWNERSHIP EXHIBIT LOTS 21 & 28, RANCHO OTAY COUNTY OF SAN DIEGO STANTEC CONSUlTING INC. 277 RANGiEROS DRIVE SUIT!: 3QO SAN MARCOS. CA 92069 760.891.3200 ATTACHMENT "A" 10-45 24 23 z 2~ RAf\ OA Ic; 04 10 '2008 OM;; fS3''/-EXDT1-T JOB : 160163.00 :RA Y..' SHEET.- 2 OF J f ~l'- -"-CQ;.. 23 24 RANCHO 12.0..5. &: C; '"' I i::: ~ '<i :!. ~ ~ is g ~~ !~. 25 N77 '57'57"0 2540,38' ".". ". -. -.'. *-.",". . -, - - . ". ............ . . . ", . . . - . - ", ..".. '. . .... . ::.::-.:':,:'...:..:.". . -'. -.". . . . ". . . . . '. *. . '. - ',"0 ". -. . . . , " - . . . - . :: :-::::.::.." . : --. .".. .- .- ~ :~'<:X:)>::~::"//:<~':)\~)/\:<,{ c, Oil '><OL:C'PARCEL';'c';,:,/; ~ . . . . . - . . . . . . . . . . , ' ' ". . ". . . : : : . . . ". . . . . ". . . . . . . . . . ~ ~"\ ~16 ~ N7172'SS'c ~ 2641.80' 13 '14 OlAY 16504 SIANTEC CON5Ul.11NG INC. 27? RANCHEROS DRIV'E . SUI!E 300 SAN M..AR.COS, CA 92069 760.691.3200 OWNERSHIP EXHIBIT LOTS 16, 17,18, RANCHO OTAY COUNTY OF SAN DIEGO <:; Stante<: ~= ATTACHi\liJW~! "A" 15 DA TE.- 04 10 2008 DltG' i6JV EXOT1 "1 JOB : 160163.00 DRA'MI y. 58 SHEET: J OF J RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA W AWING THE FOR.1\I!AL BIDDING PROCESS At'ID APPROVING A THREE- PARTY AGREEMENT BETWEEN THE CITY OF CHULA VISTA, RECON (CONSULTANT), AND OTAY LAND COMPANY LLC (APPLICANT), FOR CONSULTING SERVICES RELATED TO THE PREPARATION OF AN ENVIRONMENTAL IMPACT REPORT (ErR) FOR THE UNNERSITY VILLAGES GENERAL PLAN AMENDMENT, AND OTA Y RANCH GENERAL DEVELOPMENT PLAN AMENDMENT AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT WHEREAS, the Applicant has deposited or will deposit an initial SlUU for the consulting services necessary for the preparation of the Environmental Impact Report for the University Villages Project; and WHEREAS, it was determined by the Director of Planning and Building that staff has neither the available time or expertise to perform the subject work; and WHEREAS, pursuant the California Environmental Quality Act (CEQA) the Environmental Review Coordinator has determined that the proposed project requires the preparation of an EIR; and WHEREAS, RECON has acquired a unique in-depth knowledge of Chula Vista General Plan-related environmental issues through their preparation of the 2005 General Plan Update EIR and associated baseline studies; and 'WHEREAS, RECON's comprehensive familiarity with the Chula Vista General Plan and General Plan study area, coupled with the knowledge gained through their preparation of the General Plan Update EIR and associated baseline studies, makes RECON uniquely qualified to serve as the Consultant for this project; and WHEREAS, the City Council finds that the City's competitive bidding requirements as applied to this contract would be impractical for the reasons stated herein and hereby waives the competitive bidding process; and WHEREAS, the consultant warrants and represents that they are experienced and staffed in a manner such that they can prepare and deliver the services required of Consultant to City within the timeframes provided all in accordance with the terms and conditions of the agreement; and WHEREAS, the Environmental Review Coordinator has negotiated the details of the agreement in accordance with applicable procedures set forth in Section 6.5.2 of the Environmental Review Procedures. 10-47 NOW THEREFORE BE IT RESOLVED that the City Council of the City of Chula Vista does hereby approve a Three-Party Agreement between the City of Chula Vista, RECON and Otay Land Company LLC, for consulting services related to the preparation of an Environmental Impact Report (EIR) for the University Villages General Plan Amendment and Otay Ranch General Development Plan Amendment. BE IT FURTHER RESOLVED that the Mayor of the City ofChula 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 Gary Halbert Deputy City Manager/ Development Services Director B ~t1. 10-48 THE ATTACHED AGREEMENT HAS BEEN REVIEWED AND APPROVED AS TO FORNI BY THE CITY ATTORNEY'S OFFICE AND WILL BE FORMALLY SIGNED UPON APPROVAL BY THE CITY COUNCIL Dated: "7 ~ 2- f' - (:/ f THREE PARTY AGREEMENT BETWEEN CITY OF CHULA VISTA AND RECON CONSULTANT AND OTAYLAND COMPAL'NLLC (APPLICANT) FOR CONSULTING WORK TO BE RENDERED WITH REGARD TO APPLICANT'S PROJECT 10-49 Three-Party Agreement Between City of Chula Vista, RECON Consultant, and Otay Land Company LLC (Applicant), For Consulting Work to be Rendered with Regard to Applicant's Project I Parties. This Agreement is made as of the reference date set forth in Exhibit A, for the purposes of reference only, and effective as of the date last executed by the parties hereto, betWeen the City of Chula Vista ("City") herein, a municipal corporation of the State of California, the person designated on the attached Exhibit A as "Consultan!", RECON whose business form and address are indicated on the attached Exhibit A, and the persons collectively designated on the attached Exhibit A as "Applicant", whose business form and address are indicated on the attached Exhibit A, and is made with reference to the following facts: 2. Warranties and Reoresentations. 2. I.. Applicant warrants that Applicant is the owner ofland ("Property") co=only known as, or generally located as, described on Exhibit A, Paragraph I, or has an option or other entitlement to develop said Property.. 2.2. Applicant desires to develop the Property with the Project described on Exhibit A, Paragraph 2, and in that regard, has made application ("Application") with the City for approval of the plan, map, zone, or other permits ("Entitlements") described on Exhibit A, Paragraph 3. 2 3. In order for the City to process the Application of Applicant, Work of the general narme and type described in Exhibit A, Paragraph 4, ("Work") will need to be completed. 2.4. City does not presently have the "in-house" staff or resources to process the application within the time frame requested for review by the Applicant. 2 5. This agreement proposes an arrangement by which Applicant shall retain, and be liable for the costs of retaining, Consultant, who shall perform the services required of Consultant by this Agreement solely to, and under the direction of; the City. 26 The Applicant and City have entered into a University Villages/Otay Ranch Project Staffing and Processing Agreement on June 23, 2009, ("Processing Agr'eement") for the retention of professional staff by the City for processing the Entitlements for the Property Notwithstanding however, Applicant acknowledges and agrees that the provisions of this Agr'eement with respect to the payment onhe Consultant shall supersede any provisions onhe Processing Agreement pertaining to the payment of services for professional staff. 7/24/09 Three-Party Agreement Page I 10-50 2.7. On April 15, 2008, the City and Applicant entered into a Land Offer Agreement ("LOA") which sets forth the terms and conditions for Applicant's conveyance and the City's acceptance of certain real property described within the LOA 2 8 Additional facts and circumstances regarding the background for this agreement are set forth on Exhibit B. 3 Agreement NOW, THEREFORE, II IS MUTUALLY AGREED TO AND BETWEEN THE CITY, CONSULTANT, AND APPLICANT AS FOLLOWS; 3.1 Employment of Consultant bv Applicants Consultant is hereby engaged by the Applicant, not the City, and at Applicant's sole cost and expense, to peJform to, and for the primary benefit of; City, and solely at City's direction, all of the services described on the attached Exhibit A, Paragraph 4, entitled "GeneJ.al Nature of Consulting Services", ("General Services"), and in the process of performing and delivering said General Services, Consultant shall also perform to and for the benefit of City all of the services described in Exhibit A, Paragr.aph 5, entitled "Detailed Scope of Work", ("Detailed Services"), and all services reasonably necessary to accomplish said GeneI1I1 Services and Detailed Scope of Work, and shall deliver such documents required ("DeliveI1Ibles") herein, all within the time frames herein set forth, and in particular as set forth in Exhibit A, Paragraph 6, and ifnone are set forth, within a reasonable period oftime for the diligent execution of Consultant's duties hereunder. Consultant understands and agr.ees that time is of the essence for this Agreement The Consultant does hereby agree to perform said General and Detailed Services to and for the primary benefit of the City for the compensation herein fixed to be paid by Applicant In delivering the General and Detailed Services hereunder, the Consultant shall do so in a good, professional manner consistent with that level of care and skill ordinarily exercised by members ofthe profession currently practicing under similar conditions arrd in similar locations, at its own cost and expense except for the compensation and/oneimbursement, ifany, herein promised, arrd shall furnish all of the labor, technical, administrative, professional and other personnel, all supplies and materials, machinery, equipment, printing, vehicles, transportation, office space and facilities, calculations, and all other mearrs whatsoever, except as herein otherwise expressly specified to be furnished by the City or Applicant, necessary or proper to perform and complete the work and provide the Services required of the Consultant 7/24/09 Three-Party Agreement Page 2 10-51 32. Compensation of Consultant Applicant shall compensate Consultant for all services rendered by Consultant withoUl regard to the conclusions reached by the Consultant, and according to the terms and conditions set forth in Exhibit C adjacent to the goveming compensation relationship indicated by a "checkmark" next to the appropriate arrangement, by paying said amount to the City, within 30 days of 12onsultant's billing, or in accordance with the secUlity deposit provisions of Paragraph 3 3 ofthisAgreement and Exhibit C, if checked, and upon receipt of such payment by the City, City shall promptly, pay said amount to the Consultant in accordance with the Bill Processing provisions in Exhibit C, if checked City is merely acting in the capacity as a conduit for payment, and shall not be liable for the . compensation unless it receives same from Applicant. Applicants shall not make any payments of compensation or otherwise directly to the Consultant 3..2.1. Additional Work Ifthe Applicant, with the conCUlTence of City, determine that additional services ("Additional Services") ar'e needed from Consultant of the type Consultant is qualified to render or reasonably related to the Services Consultant is otherwise required to provide by this Agreement, the Consultant agrees to provide such additional services on a time and materials basis paid for by Applicant at the rates set fOlth in Exhibit C, unless a separate fixed fee is otherwise agreed upon in writing for said Additional Work between the parties. 3.22. In the event that the City shall determine that additional work is required to be performed above and beyond the scope of work herein provided, City will consult with Applicant regarding the additional WOlk, and if thereupon the Applicant fails onefuses to arrange and pay for said Additional Services, the City may, at its option, suspend any further processing of Applicant's Application at which time the force majeure provisions of the LOA shall be applied until the Applicant deposits the City's estimate of the costs of the additional worK which the City determines is or may be required. Applicant shall pay any and all additional costs for the additional work 1.2.3. Reductions in Scope of Work. City may independently, or upon request from Consultant, from time to time reduce the Services to be performed by the Consultant under this Agreement. Upon doing so, City and Consultant agr'ee to meet in good faith and confer for the purpose of negotiating a corTespondingreduction in the compensation associated with said reduction Upon failure to agree, the Fixed Fee may be unilaterally reduced by the City by the amount oftime and materials budgeted by Consultant for the Services deleted. 3.3. Securitv for Payment of Compensation bv Applicant.. 33..1. Deposit. As security for the payment of Consultant by Applicant, Applicant shall, upon execution of this Agreement, deposit the amount indicated on Exhibit C as "Deposit Amount" with the City, as trustee for Consultant, the conditions of such trust being as indicated on Exhibit C and as herein below set forth: 3 3 I I Other Terms of Deposit T lUst. 7/24/09 Three.Party Agreement Page 3 10-52 3.3 1 1.1. City shall also be entitled to retain from said Deposit all costs incuned oy City for which it is entitled to compensation by law or under the terIDS of this agreement 3 J LI2 All interest eamed on the Deposit Amount, if any, shall accrue to the benefit of; and be used for, I lUst purposes. City may, in lieu of deposit into a separate bank: account, separately account for said deposit in one or more of its various bank accounts, and upon doing so, shall proportionately distnbute to the Deposit Trust, the average interest earned during the period on its general fund 3 J.I 1.3 Any unused balance of Deposit Amount, including any unused interest earned, shall be returned to Applicant not later than 30 days after the termination of this Agreement and any claims resulting therefrom. 3.3.1.1.4. Applicant shall be notified within 30 days after of the use of the Deposit in any manner. Nothing herein shall invalidate use of the Deposit in the manner herein authorized.. 3 J.I 1.5 At such time as City shall reasonably determine that inadequate funds remain on Deposit to seCUle future compensation likely due Consultant or City, City may make demand of Applicant to supplement said Deposit Amount in such amount as City shall reasonably specify, and upon doing so, Applicant shall, within 30 days pay said amount ("Supplemental Deposit Amount") to City. Said Supplement Deposit Amount or Amounts shall be governed by the same terms of trust governing the original Deposit 3.3 2. Withholding of Processing In addition to use of the Deposit as secwity, in order to secure the duty of Applicant to pay Consultant for Services rendered under this agreement, City shall be entitled to withhold processing of Applicant's Application upon a breach of Applicant's duty to compensate Consultant and in such event the force majeure provisions of the LOA shall apply. 4 Non-Service Related Duties of Consultant. 4..1 Insurance. Consultant represents that it and its agents, staff and subconsultants employed by it in connection with the Services required to be rendered, ar'e protected against the risk ofloss by the following insurance coverages, in the following categories, and to the limits specified, policies of which are issued by Insurance Companies that have aBest's Rating of "A, Class V" or better, or shall meet with the approval of the City: 7/24/09 Three-Party Agreement Page 4 10-53 4.1 1. Statutory WOlker's Compensation Insurance and Employer's Liability Insurance coverage in the amount set fOlth in the attached Exhibit A, Paragraph 10. 41.2. Commercial General Liability Insurance including Business Automobile Insurance coverage in the amount set forth in Exhibit A, Paragr.aph 10, combined single limit applied separately to each proj ect away from premises owned or rented by Consultant, which names City and Applicant as an Additional Insured, and which is primaIyto any policy which the City may otherwise carry ("Primary Coverage"), and which treats the employees of the City and Applicant in the SaIne manner as members of the general public ("Cross-liability Coverage").. 4 1.3 _ Enol'S and Omissions insurance, in the amount set forth in Exhibit A, Paragraph 10, unless Eners and Omissions coverage is included in the General Liability policy. 42.. Proof of Insurance Coverage. 42 1. Certificates of Insurance Consultant shall demonstrate proof of coverage herein required, prior to the commencement of services required under this Agr.eement, by delivery of Certificates of Insurance demonstrating SaIne, and further indicating that the policies may not be canceled without at least thirty (30) days written notice to the Additional Insmed 4.2 2 Policy Endorsements Required. In order to demonstrate the Additional Insured Coverage, Primary Coverage and Cross-liability Coverage required under Consultant's Commercial General Liability Insmance Policy, Consultant shall deliver a policy endorsement to the City and Applicant demonstrating same.. 43 Public Statements_ All public statements and releases to the news media shall be the responsibility of the City and the Applicant The Consultant shall not publish or release news items, aItic1es or present lectmes on the Project, either dming the course of the study or after its comp letion, except on written conClUrence ofthe City and Applicant 4.4. Communication to Applicant Consultant shall not communicate dir.ectlyto the Applicant except in the presence ofthe City, or by writing an exact copy of which is simultaneously provided to City, except with the express consent of City The Consultant may request such meetings with the Applicant to ensure the adequacy of services perfoimed by Consultant 5. Non-Compensation Duties onhe Applicant 5 I Documents Access. 7/24/09 1 hree~ Party Agreement Page 5 10-54 The Applicant shall provide to the Consultant, through the City, for the use by the Consultant and City, such documents, or copies of such documents requested by Consultant, within the possession of Applicant reasonably useful to the Consultant in performing the services herein required of Consultant, including but not limited to those described in Exhibit A, Paragraph 7. 5.2 Propertv Access The Applicant hereby gr.ants permission to the City and Consultant to enter and access the Property, to take any borings, make any tests, conduct any surveys or reconnaissance necessary to deliver the Services of Consultant, subject to. the approval of the Applicant which shall not be unreasonably denied. Consultant shall promptly repair any damage to the subj ectproperty occasioned by such entry and shall indemify, defend, and hold the City and Applicant, and their agents, and employees harmless from all loss, cost, damage, expenses, claims, and liabilities in connection with or arising from any such entry and access. Failure to allow Consultant timely access or entry to the Property which is needed in order for Consultant to proceed with performance under this Agr.eement shall trigger the force majeure provisions of the LOA. 5 J. Co~unication to Consultant Applicant shall not communicate directly to the Consultant except in the presence of the City, or by writing an exact copy of which is simultaneously provided to City, except with the express consent of City The Applicant may request such meetings as they desire with the Consultant to ensure the adequacy of services performed by Consultant. 6. Administrati ve Representatives. Each party desigrrates the individuals ("Administrators") indicated in Exhibit A, Paragraph 8, as said party's contract administrator who is authorized by said party to represent them in the routine administration of this agr.eement 7. Conflicts of Interest. 7.1 Consultant is Designated as an FPPC Filer If Consultant is desigrrated on Exhibit A, Paragraph 9, as an "FPPC filer", Consultant is deemed to be a "Consultant" for the purposes of the Political RefOIm Act conflict of interest and disclosure provisions, and shall repOIt his economic interests to the City Clerk on the required Statement of Economic Interests in such reporting categories as are specified in Paragr.aph 9 of Exhibit A, or ifnone are specified, then as determined by the City Attorney 7/24/09 Ibree,Party Agreemenr Page 6 10-55 72. 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 73 Sear.ch 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 Consult ant'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 wmchwould conflict with Consultant's duties under this Agreement. 7..4.. Promise Not to Acquire Conflicting Interests. Regardless of whether Consultant is designated as an FPPC Filer, Consultant fiuther warrants and represents that Consultant will not acquire, obtain, or assmne an economic interest during the term of this Agreement which would constitute a conflict of interest as prohibited by the Fair Political Practices Act , 7.5 Duty to Advice of Conflicting Interests Regardless of whether Consultant is designated as an FPPC Filer, Consultant fiutherwarrants 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 ina conflict of interest for the purpose of the Fair Political Practices Act, and regulations promulgated thereunder 76 Specific Warranties Against Economic Interests. Consultant warrants and represents that neither Consultant, nor Consultant's immediate family members, nor Consultant's employees or agents ("Consultant Associates") presently have any interest, directly or indirectly, whatsoever in the property which is the subject matter of the Project, or in any property within 10 radial miles from the exterior boundaries of the property which is the subject matter of the Project, or ("Prohibited Interest") Consultant further warrants and represents that no promise of future employment, remuneration, consideration, gratuity or other reward or gain has been made to Consultant or Consultant Associates by Applicants or by any other party as a result of Consultant's per formance of this Agreement. Consultant promises to advise City of any such promise that may be made during the Term ofthis Agreement, or for 12 months thereafter. 7/24/09 Three-Party Agreement Page 7 10-56 Consultant agrees that Consultant Associates shall not acquire any such Prohibited Interest ",ithin the T etm of this Agreement, or for 12 months after the expiration of this Agreement. Consultant may not conduct or solicit any business for any party to this Agreement, or for any third party which may be in conflict with Consultant's responsibilities under this Agr'eement. 8, Default of the Consultant for Breach, This agreement may be terminated by the City for default if the Consultant breaches this agr'eement or ifthe Consultant refuses or fails to pursue the work under this agreement or any phase of the work with such diligence which would assure its completion within a reasonable period of time, Termination of this agreement because of a default of the Consultant shall not relieve the Consultant from liability of such default. 9, City's Right to Terminate Payment for Convenience, Documents, 9,1 Notwithstanding any other section or provision of this agreement, the City shall have the absolute right at any time to terminate this agreement or any work to be per formed pmsuant to this agreement. 9,2, In the event of termination of this agreement by the City in the absence of default of the Consultant, the City shall pay the Consultant for the reasonable value ofthe services actually performed by the Cons'llltant up to the date of such termination, less the aggregate of all sums previously paid to the Consultant for services performed after execution ofthis agr'eement and prior to its termination, 9,3. The Consultant hereby expressly waives any and all claims for damage or compensation arising under this agreement, except as set forth herein, in the event of such termination 94 In the event of termination of this agreement, and upon demand of the City, the Consultant shall deliver to the City, all field notes, surveys, studies, reports, plans, drawings and all other matetials and documents prepar ed by the Consultant in performance of this agr'eement, and all such documents and materials shall be the property of the City; provided however, that the Consultant may retain copies for their own use and the City shall provide a copy, at Applicant's cost, of all such documents to the Applicant. 9 S, Applicant shall have no right to terminate Consultant, and shall not exercise any control or direction over Consultant's work, 7/24/09 Three-Party Agreement Page 8 10-57 10. Administrative Claims Requirement and Procedures. No suit shall be brought arising out oftms agIeement, against the City, unless a claim has first been presented in WIiting and. filed with the City ofChula Vista and acted upon by the City of Chula Vista in accordance with the procedures set forth in Chapter 134 ofthe Chula Vista Municipal Code, the provisions of which are incorporated by this reference as ifset fully set forth herein. 11. Hold Harmless and Indemnification. 111. Consultant to IndemnifY City reo Inimies. 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 or alleged by third parties to be the result of the negligent acts, errors or omissions or the willful misconduct of the Consultant, and Consultant's employees, subcontractors or other persons, agencies or firms for whom Consultant is legally responsible in connection with the execution ofthe work covered by this AgI.eement, except only for those claims, damages, liability, costs and expenses (including without limitations, attorneys fees) arising from the sole negligence or sole willful misconduct of the City, its officers, or employees.. Also covered is liability arising from, connected with, caused by or claimed to be caused by the active or passive negligent acts or omissions of the City, its agents, officers, or employees which may be in combination with the active or passive .negligent acts or omissions of the Consultant, its employees, agents or officers, or any third party With respect to losses arising from Consultant's professional errors and omlSSlOns, 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) except those claims arising from the negligence or willful misconduct of City, it officeni or employees. Consultant's indemnification shall include any and all costs, expenses, attomeys' fees and liability incun.ed by the City, its officers, agents, or employees in defending against such claims, whether the same proceed tojudgment or not Consultant's obligations underthis Section shall not be limited by any prior OI subsequent declaration by the Consultant. Consultant's obligations lmder this Section shall SUIvive the termination of this Agreement 112. Applicant to Indemnifv Citv reo Compensation of Consultant. Applicant agIees to defend, indemnifY and hold the City harmless against and from any and all claims, losses, damages, expenses or expenditures of City, including its elected officials, officers, employees, agents, or representatives ofthe City ("City Indemnitees"), in any way resulting from or 7/24/09 Three-Party Agreement Page 9 10-58 , arising out of the refusal to pay compensation as demanded by Consultant for the performance of services required by this Agreement. 12, Business Licenses, Applicant agrees to obtain a business license from the City and to otherwise comply with Chula Vista Municipal Code, Title 5, Applicant further agrees to requu'e Consultant to obtain such business license and to comply with Chula Vista Municipal Code, Title 5, 13, Miscellaneous 13 I Consultant not authorized to Represent City, Unless specifically authorized in writing by City, neither Consultant nor Applicant shall have authority to act as City's agent to bind City to any contractual agreements whatsoever. 13.2 Notices, All notices, demands or requests provided for or permitted to be given pmsuant 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 ifpersonally served or deposited in the United States mail, addressed to such party, postage prepaid, registered or certified, with retUl'n receipt requested, at the addresses identified for the parties in Exhibit A 133 Entitlement to Subsequent Notices, No notice to or demand on the parties for notice of an event not herein legallyrequu'ed to be given shall in itself create the right in the parties to any other or further notice or demand in the same, similar or other circumstances, 13.4, Entire Agreement Tbis Agr'eement, together with any other written document referred to or contemplated herein, embody the entire Agreement and under'standing between the parties relating to the subject matter hereof Neither this Agr'eement nor any pIOvision hereofmay 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. 7/24/09 Ihree'Plllty Agreement Page 10 10-59 13 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. 13.6 . Goveming LawN enue. This Agreement shall be govemed 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 Agr.eement and performance hereunder, shall be the City of Chula Vista 13 .7. Modification No modification or waiver of any provision of this Agr.e=ent shall be effective unless the same shall be in writing and signed by the parties hereto, and then shall be valid only in the specific instance and for the purpose for which given 138. Counterparts lhis Agreement may be executed in more than one counterpart, each of which shall be deemed to be an original but all of which, when taken together shall constitute but one instrument 139 Severability In the event that any provision of this Agr.eement shall for any reason, be determined to be invalid, illegal, or unenforceable in any respect, the parties hereto shall negotiate in good faith and agree to such amendments, modifications, or supplements to this Agreement or such other appropriate action as shall, to the maximum extent practicable in light of such determination, implement and give effect to the intentions of the parties as reflected herein. 13 10 Headings The captions and headings in this Agreement are for convenience only and shall not define or limit the pIOvisions hereof ' 7/24/09 Three-Party Agreement Page 11 10-60 13 11 Waiver No COill~e of dealing or failure or delay, nor the single failure or delay, or the partial exercise of any right, power or privilege, on the part of the parties shall operate as a waiver of any rights herein contained The making or the acceptance ofa payment by either party with knowledge of the existence of a breach shaH not operate or be construed to operate as a waiver of any such breach 13 12 Remedies The rights of the parties under this Agreement are cumulative and not exclusive of any rights or remedies which the parties might otherwise have unless this Agreement provides to the contrary. 13 13. No Additional Beneficiaries. Despite the fact that the required performance under this agreement may have an effect upon persons not parties hereto, the parties specifically intend no benefit therefrom, and agree that no performance hereunder may be enforced by any person not a party to this agreement Notwithstanding the foregoing, this is a three party agreement and the City is an express third party beneficiary of the promises of Consultant to provide services paid for by Applicant 7124109 Three-Party Agreement Page 12 10-61 SignatUJe Page To the agreement Between City of Chula Vista, RECON Consultant, and . Otay land Company lie, for Consulting Work to be Rendered with regard to Applicant's Project . (page 1 of 2) NOW THEREFORE, the parties hereto, having read and understood the terms and conditions ofthis agreement, do hereby express their consent to the te:ms hereofby setting their hand hereto on the date set forth adjacent thereto.. Dated: City of Chula Vista By: Cheryl Cox, Mayor Attest: Donna Norris, City Clerk Approved as to Form: Bart Miesfeld, City Attorney Dated: Consultant: RECON " ,.", / Blf- Robert Mac j\..,- b_ I Her, President 7/24/09 lluee-Party Agreement Page 13 10-62 7/24/09 SignatUle Page To the Agreement Between City of Chula Vista, RECON Consultant, and Otay land Company Ll C, for Consulting Work to be Rendered with regard to Applicant's Project (page 2 of2) Applicant: Otay Land By: 10-63 Title: ( 1>0Vl Three-Party Agreement Page 14 Exhibit A Reference Date of Agreement: August 4, 2009 Effective Date of Agreement: Date of City Council Approval of Agreement City: CityofChula Vista 276 Fomm Avenue Chula Vista, CA 91910 Consultant: RECON Business Form of Consultant: ( ) Sole Proprietorship ( ) Partnership (X) Corporation Addr ess: 1927 Fifth Ave San Diego, CA 92101 Applicant: Otay Land Company 1903 Wright Place, Suite 220 Carlsbad, CA 92008 Business Form of Applicants: ( ) Sole Proprietorship ( ) Partnership ( ) Corporation (X) Other: A California Limited Liability Company Address: L Property (Commonly known address or General Description): The project site is located (see map) within the Otay Valley Parcel of the Otay Ranch Planned Community The project area is generally described within the Otay Ranch General Development Plan as portions of Villages 4,7,8,9 and the University Site More specifically, the geographic areas are as described below and show on the site plan in Attachment A: 7/24/09 Three-Party Agreement Page ] 5 10-64 . The portion of Village Four that is included in this project is bound by the Otay River Valley to the south, the remainder of Village F oW' to the north and west, and the southerly extension of La Media Road to the east. . The portiou of Village Seven included in this project is bound by Rock Mountain RoadJi'vfain Street to the south, the remainder of Village Seven to the north, La Media Road to the west and the existing Olympian High School to the east . The portion of Village Eight that is included in this project is bound by the OtayRiver Valley to the south, Rock Mountain RoadlMain Street to the north, the remainder of Village 8 to the east and La Media Road to the west... . The portion of Village Nine that is included in this project is bound by the Otay River Valley to the south, Rock Mountain RoadIHunte Parkway to the north, the proposed University site to tJ:i.eeasi-a.n(n;R~f25ioilie wes(- - - - 2. Project Description ("Project"): The project consists ofthe preparation ofa Supplemental Environmental Impact Report addressing proposed Amendments to the Chula Vista General Plan and Otay Ranch General Development Plan, in order to allow land uses that accommodate up to 6,050 single and multi-family dwelling units on approximately 633 acres onand, as envisioned in the 2008 Land Offer Agreement between the City ofChula Vista and the Otay Land Company LLC. The EIR will analyze all potential environmental impacts associated with the implementation of the Land Offer Agreement at a programmatic level 3. Entitlements applied for: Proposed discretionary actions for the Property include: General Plan Amendment, General Development Plan Amendment 4 General Name of Consulting Services ("Services--General"): Consultant shall prepare a Supplemental EIR for the University Villages General Plan Amendment, General Development Plan Amendment, in accordance with the City ofChula Vista Environmental Review Procedures; with the criteria, standards and procedW'es of the Califomia Environmentai Quality Act (CEQA) of 1970, as amended, (Public Resources Code Sections 21000 et seq ) and the CEQA Guidelines (Public ResolUces Code Section 15000 et seq); and with other applicable regulations, requirements and procedmes of any othenesponsible public agency or any agency with jurisdiction by law Ifthere are conflicts between the City ofChula Vista's requirements and those of any other agency, the City ofChula Vista's shall prevail when the City is the Lead Agency All work performed by Consultant shall be to the satisfaction of City's Environmental Review Coordinator or appointed designee. 7/24/09 IJ-tsee-Party Agreement Page 16 10-65 5. Detailed Scope OfWOlk ("Detailed Services"): RECON shall prepare a Supplemental EIR for the Upjversity Villages General Plan Amendment, and General Development Plan Amendment RECON shall consult with all trustee and responsible agencies, agencies havingjmisdiction by law and any other pen;on or organization having control over or interest in the Development as necessary to enSUre that the EIR is CUlrent and complete as to issues raised by such agencies. The Draft and Final EIR shall be prepared in such a manner that they will be meaningful and useful .to decision-makers and to the public Technical data is to be summarized in the body of the repOlt and placed in an appendix.. All documents shall be prepared in Microsoft Word. RECON shall compile supporting documents into separate volmne(s) to be refeJred to as the Appendices to the EIR. The Appendices shall include the Notice of Preparation (NOP), responses to the ~OP ~d_allY technical reports .and relevant t~~~cal. ir1f?r~ati~n~e::e:at::d fo: t~euE:I:R_ _ _ The Detailed Services to be provided are described below: Proiect Start-Up and Initiation The Consultant shall attend a start-up meeting with the City to establish communication protocols, confIrm thei~. understanding of the project, discuss key issues, review the schedule of deliverables, and collect plans and documents. Following the start-up meeting and a thoTOugh review of project plans, the consultant shall prepare a memorandum identifying outstanding information required to complete the project description for the EIR. Upon receipt of the requested information, the consultant shall prepare a draft project description and submit it to the City for review. In addition, the consultant will develop baseline data for use in the environmental analysis This will include collection and review of relevant planning documents and environmental studies and regulations, including but not limited to, the updated City's General Plan and EIR, md my AppIicant-prepar.ed support documents and technical studies. In assembling baseline information for the ElR, the Consultant will mlLximize use of existing data. As part of this task, the Consultant will conduct general smveys oithe site and vicinity to document existing conditions through notation, photography, and mapping. 7/24/09 Three-Party Agreement Page 17 10-66 Notice ofPrenaration RECON will submit a Screen check Notice of Preparation (NaP) to the City for review and will make revisions from a single set of comments. Following approval by the City, RECON will produce the Nap for distribution by the City Technical Studies Traffic Report Linscott, Law & Greenspan, Engineers (LLG) will prepate a traffic impact study to address proposed changes to the land use and roadway network associated with the GP/GDP Amendment The tasks to complete the traffic study include the following: Proiect Mobilization . COnfum th<:yroject descripti()ll,?,(~rk schedule, and assumptions to be utilized in the traffic study . Contact City of Chula Vista staffto discuss the project and analysis criteria, confirm the study approach, identify pertinent traffic issues and concerns; and formalize the scope of work for the traffic study Data Collection and Reseat.ch . Visit the project study atea to confirm existing conditions with respect to existing site development, local atea development, site access, parking use, and at.eas of congestion in order to verify our overall understanding of traffic conditions in the at.ea that might affect this project . No existing conditions analysis will be conducted. SANDAG Traffic Models . Coordinate with the City to determine the appropriate network scenarios to be analyzed. A maximum of eight (8) scenatios are assumed. The scenatios will vary depending on assumptions for La Media Road Bridge, the Hunte Parkway couplet, and SR-125 . Coordinate with the City and SANDAG to develop several forecast traffic models for the project based on the network scenarios. It is anticipated that up to eight (8) models will be required. . Review the models and verify proper land use and roadway network coding. . Attend up to two (2) meetings with SAl'IDAG Level ofSelvice and Mitigation Analvsis . Confurn the capacity of the study area roadways and prepare a daily (ADT) street segment analysis for each scenario (up to 8). o Evaluate the project-related (ADT) growth on the analyzed street segments o Determine which street segments are significantly impacted by the proposed project The project is assumed to consist of the composite mix of land uses proposed. Project impacts by land use or location is not proposed. 7/24/09 1hree-Party Agreement Page 18 10-67 . Conduct limited intersection analysis focusing on the HeritagelMain intersection, intersections affected by the potential removal of the SR-125/0tay Valley Road interchange and the Hunte Parkway couplet removal Up to six (6) intersections will be evaluated. . Forecast Year 2030 AMIPM peak hoUl volumes at the key intersections . Calculate the Year 2030 Level of Service (LOS) at each intersection. . Determine the significant impacts at each street segment and intersection . Compare the analysis results associated with the GP/GDP Amendment to the approved General Plan o Compile a list of new and deleted significant impacts that would result from the GP/GDP Amendment. o Identif'ymitigation measures for each significant impact, which may include intersection and/or signalization improvements, segment improvements, striping modifications, the addition of alL"{iliary tum lanes, traffic control/limitations at site access points, etc This proposal assumes the recommended mitigation measures can be adequately described within the text ofthe report. o Conduct a freeway analysis for all scenarios, detelmine impacts and mitigation for up to six (6) segments. . Investigate the use of an Urban Level of Service.. o Investigate the reclassification of roadways to an Urban ArteIial Class . Coordinate with the Applicants' traffic consultants Preparation of the Traffic Impact Studv . Prepare a draft traffic impact study in repolt fOImat that details all of the above- mentioned items, analysis, fmdings and conclusions The dmft report will be suitably documented with tabular, graphic and appendix mateIials The dmft tr afEc study will be submitted for review by appropliate members of the project team. . Provide up to thr'ee revisions ofthe Draft Traffic Study per City comments. o Provide assistance in responding to lr'affic-related comments received dUling public review of the Draft SEIR Air Quality Impact Report RECON Will update and supplement the air quality analysis prepar'ed for the Genelal Plan Update EIR to reflect proposed changes.. The analysis will consist of the following tasks: o Determine the existing air quality conditions in the air basin based on the most recent published data from the Califomia Air Resources Board fOT nearby monitOIing stations Review the federal, state, and local standards and regulatolY review requirements. o Calculate expected emissions for carbon monoxide, nitrogen oxides, and other criteria pollutants using the URBEMIS 2007 computer model Input par'ameters for the model will be based on the land uses in the proposed GP/GDP Amendment and default meteorological assumptions used for Califomia urban areas. . Complete a Caline carbon monoxide "Hol SpOI" model for the intersections ofMainILa Three-Party Agreement Page 19 7124/09 10-68 Media and MainIHeritage. Localized air effects from traffic on SR-125 will be based on the environmental review conducted for the toll-way . Discuss the potential health risks associated with diesel particulate emissions from vehicular traillc on area roads projected to carry more than 100,000 ADT. This discussion will be based on the recommendations made by the California Air Resources Board in April 2005 Air emissions modeling of diesel particulates is not anticipated . Prepare an air quality technical report that describes existing conditions, air quality standards, the analysis methodology, and the results of the analysis.. The report will also identify appropriate mitigation measmes as required. Noise Impact Analysis RECON will update and supplement the noise analysis prepared for the General Plan Update EIR to reflect proposed changes.. The noise analysis will consist of the following tasks: . Measure existing noise levels at locations along La Media, Heritage Road, Main Street, SR -125 and East Lake Parkway Measmement locations will be selected to provide an understanding of the variability of noise levels from these roadways. . Estimate future vehicular' traffic noise levels using the Federal Highway Administration (FHW A) Traffic Noise Model. The study will analyze noise caused by future traffic on La Media, Main Street, Heritage Road, SR-125 and East Lake Parkway. The model will be based on traffic volumes established by the tr'affic study prepared for the GP A, and assuming flat site conditions The results ofthe model will be expressed in community noise equivalent levels (CNEL). . Aircraft noise will be evaluated based on noise contours for Brown Field.. . The analysis will evaluate the adequacy of the mitigation outlined in the GPU EIR and will identify changes to those measmes if needed Noise thresholds provided in the General Plan will serve as the basis for the determination of potential significant effects . Prepare a noise technical report that describes the study methods and results outlined above and specifies any noise mitigation measures that may be needed. Global Climate Change Greenhouse gas (GHG) and global climate change (GCC) issues were not addressed in the GPU EIR To address GHG and GPU impacts from the proposed GP/GDP Amendment, the following tasks will be completed . Develop an intr'Oductory discussion of global climate change including the most recent information regarding the cuuent understanding of the mechanisms behind global climate change, greenhouse gas emissions, CillI'ent conditions and trends, and the broad environmental issues related to global climate change. . Develop a discussion of cunent international and domestic legislation, plans, policies, and programs pertinent to global climate change. . Based on documents prepared by the California Air Resomces Board and the California 7/24/09 Three-Party Agreement Page 20 10-69 Attorney General's Office, discuss thresholds for evaluating the project's potential contribution to global climate change, particularly in light of the goals specified in Assembly Bill 32 (AB 32). . Discuss the various protocols for assessing greenhouse gas inventories, such as the greenhouse gas protocol developed by the World Resources Institute and the World Business Council for Sustainable Development, and the California Climate Action Registry General Reporting Protocol. . Discuss potential changes in carbon stOlage on-site associated with modifications to the existing land uses and habitats due to implementation ofthe project. . Using Urbeinis 2007, EMFAC2007, and other appropriate models, plOject greenhouse gas emissions for the following sources associated with the proposed GSA: o Projected traffic o Projected energy consumptive use (natural gas and electricity) for the proposed development o Water delivery, processing, and wastewater treatment o Solid waste disposal . The focus will be on emissions of carbon dioxide, methane, and nitrous oxide FluOlinated greenhouse gases will also be considered, but their contribution fi.om this project to global climate change is anticipated to be negligible . Compare the proj ected greenhouse gas emissions to the significance tlu.esholds and provide a discussion of project features as they relate to the reduction of greenhouse gas emissions. This discussion will include a review ofthe procedUJes currently in place in the City of Chula Vista for the control of global climate change and evaluation of the project in relation to current legislation, including SB 375 The evaluation will also assess the whether the project would conflict with m obstruct the goals and strategies identified.in AB 32. . Develop a discussion of the potential impacts on the project due to external influences caused by global climate change (e.g, rising temperatures and changes in rainfall patterns) . Recommend strategies for incorporation into the GP/GDP Amendment that will further the AB 32 goals for GHG reduction relative to "business as usual." Strategies may include options that consider site and building design, energy and water use, and solid waste generation. . Prepar e a global climate change technical report and EIR section detailing the results of the analyses and identifying mitigation recommendations. Mitigation may include specific design featUJe recommendations for individual projects. Sewer Study . PBS&J will prepare a capacity analysis ofthe Salt Creek Tnmk Sewer The capacity analysis will include the following engineering services: Ihree.Party Agreement 7/24/09 Page 21 10-70 . Attend one kick-off meeting to review grading and drainage plans and proposed sewer conveyance. . Review the 2005 Master Plan, including assumptions made for the General Plan Update Capacity Evaluation for the Salt Creek Basin, and the Hydraulic Computer Model for Salt Creek . Estimate the sewage generation fiom the GP/GDP Amendment . Review the existing hydraulic model and available capacity downstream of the Project. Assess impacts of added flow capacity and determine probable system deficiencies and proposed upgrades. . Prepare new flow chart documenting existing and ultimate Metro Capacity needs . Prepare Draft section regarding Salt Creek Sewer impacts and Metro capacity needs for inclusion in the RECON ErR. D1aft EIR Prevaration The Consultant shall prepare the first screen check Draft EIR for review by the City ofChula Vista In general, the Draft ErR and associated technical studies shall assemble all available data, originate new studies and provide an assessment of the probable short- and long-term cumulative impacts of the project. In addition, the Draft EIR shall provide an evaluation of all feasible mitigation measures, which could be carried out to reduce or eliminate adverse impacts of the proposed project. The Draft EIR, where appropriate and as directed by City staff, shall also analyze all feasible alternatives to the project as proposed The Consultant shall prepare the EIR in the following format: Table of Contents Executive Summarv. This section provides an overview of the proposed project, and the key conclusions set forth in the ErR regarding environmental impacts and mitigation measures It will summarize the background and need for the proj ect, required discretionary actions, any known areas of controversy; and the objectives and basic characteristics of the project. The Executive Summary will identify and briefly discuss the environmental impacts associated with implementation of the project (whether beneficial or adverse, significant or less than significant), and will contain a summary analysis of alternatives to theproject. The Executive Summary will also include a table identifying all of the issues evaluated, their impacts, conesponding. mitigation measures, and the level of impact significance after mitigation. Introduction. This Section describes the purpose, scope and legislative authority of the EIR, the intent ofCEQA and other pertinent environmental rules and regulations, and the environmental review process. The section will also include the stIUcture, required contents and relationship of 7/24109 Three-Party Agreement Page 22 1 0-71 the EIR to other potential responsible or trustee agencies The EIR's relationship to previously prepared documents, including the 1993 Program EIR for the Otay Ranch General Plan Amendment (GPA)/General Development Plan (GDP)/Subregional Plan (SRP) and the 2005 Program EIR for the Chula Vista General Plan and Otay Ranch General Development Plan, will be described. Envirorunental Setting. This section will provide an overview ofthe environmental setting for the project, including a description of physical conditions and natural resomces in the project vicinity and from a regional perspective This section will also defme the related projects and/or growth factor assumptions used as the basis for the cumulative impact analyses Proiect Description. The scope of work for this section of the EIR will include the following: . Location and Bormdar ies. This subsection shall provide a description of the size, boundaries, and location of the project at the local and regional level Supporting graphics will be provided, . Statement of Objectives,' This subsection shall define the objectives and underlying pmpose of the project. It is assumed that these objectives will be developed jointly between the Applicants and the City and will most likely reflect planning, environmental, and economic goals The Statement of Project Objectives, in conjunction with an identification of the Project's significant impacts, will provide the basis for selecting a reasonable range of proj ect alternatives to be evaluated within the EIR. . Project Characteristics. This subsection shall provide an overview of the project and describe its specific attributes.. Project char'acteristics will be described based on the detailed project description provided by the Applicants, This section will also state the timeframe for project construction and phasing, required discretionary actions and approvals, agencies expected to use the EIR, and any federal, state or local environmental review and consultation requirements related to the CEQA process Environmental Impact Analvsis, For each issue identified in the Initial Study, this section will provide an analysis based on the following structure: Existing Environmental Setting, Thresholds of Significance, Impacts, Level of Significance Prior to Mitigation, Mitigation Measures, and Level of Significance after' Mitigation. The assessment of environmental impacts will be consistent with CEQA and the CEQA Guidelines (Section 15126), The following is an overview ofthe technical approach proposed to address each environmental topic in the EIR: Land Use. RECON will discuss the project impacts associated with proposed land use modifications to OtayRanch Villages 4, 7, 8,9, and the University Site or portions thereof as they relate to the adopted Chula Vista General Plan for the East Planning Area Discussion of the Chula Vista Multi-Species Conservation Plan (IvISCP), Otay Ranch General Development Plan (GDP) and Otay Ranch Management Plan (fuvlP) as they relate to land 7124109 Ihree~Party Agreement Page 23 10-72 use will also be included Land use impacts will be based upon the consistency of the proposed project with the various planning documents In addition, the compatibility of the proposed project changes with neighboring land uses, including the Otay Landfill, will be evaluated, This includes discussion of a proposed northerly realignment of Rock Mountain Road/Main Street in Village 4, and changes to Heritage Road in Village 3 and La Media Road in Village 8, The potential land use effects will be discussed for ar'eas both within the plan area as it relates to the future development, including the Iown Center, and to regional planning efforts for offsite areas to the south, An evaluation of the project in relation to SB 375 will be included The Consultant shall: . Describe and map existing land use and applicable plans and zoning for the site and sunounding areas; and . Summarize applicable local, regional, state and federal plans, policies, regulations and guidelines; and . Discuss land use compatibility associated with past and present site activities and adj acent uses; and . Define Thresholds of Significance for land use impacts; and . Evaluate the project's consistency with applicable local, regiDnal, state or federal land use policies and programs; and . Develop mitigation measmes tD address significant land use impacts Landform Alteration/Aesthetics' The SEIR will update the discussiDn Df landform alteration/aesthetics tD address proposed changes within each of the affected Villages to the extent that the changes represent a significant change in the nature of the visual setting of the area and the extent tD which it is cDmpatible with neighboring uses Thr'eshDlds and mitigation requirements addressing scenic resoUlces/vistas and visual character relative to propDsed changes, will be reviewed and updated fDr prDject cDnsistency The Consultant shall: . Describe rdevant regulations, policies and guidelines gDverning views and aesthetic considerations. As applicable, provisions of view ordinances, design guidelines, and general plan and scenic highway plans will be summarized; . Define Thresholds Df Sigruficance to determine impacts with respect to aesthetics/views; . ldentify mitigatiDn measures as appropriate fDr significant larrdform impacts BiolOgical Resources RECON will use biDlogical resources analysis prepared fDr the 2005 General Plan Update ElR to address the proposed amendments. The GPU ElR will serve as Three-Party Agreement Page 24 7/24/09 10-73 7/24/09 the basis for the analysis Consultant shall summarize the previous impacts to biological resources and mitigation measmes contained in both the City's General Plan Update (GPU) Program EIR and Otay Ranch General Development Plan (Otay Ranch GDP) Program EIR as they relate to the proposed project Using data extrapolated from the current SANGIS database (or another acceptable source to the City), Consultant will then update the previous baseline vegetation conditions and evaluate the proposed project impacts against the previous environmental determinations in light of the Chula Vista Multiple Species Conservation Program (MSCP) Subarea Plan and other existing sources of information on biological resources within the General Plan and Otay Ranch GDP amendment areas TwjJic, Circulation and Access.' This section of the EIR shall stimmarize the results of the final I raffic Impact Analysis prepared by LLG, as described in Section 5 above The final Traffic Impact Analysis will be included as an appendix to the EIR Noise:' lhis section of the EIR shall summarize the results of the final Noise Impact Assessment prepared by the Consultanr, as described in Section 5 above, Ihe final Noise Impact Assessment will be included as an appendix to the EIR, Air Quality lhis section ofthe EIR shall summarize the results of the Air Qualiry Impact Analysis prepared by the Consultant, as described in Section 5 above, The fmal Air Quali ty Report will be included as an appendix to the EIR, Public Services and Utilities: Ihis section of the EIR shall evaluate potential impacts on public services and utilities The Consultant shall consult with local service providers as well as summarize the fmdings of other relevarrt approved planning documents and master plans including, but not limited to, analyses from the 1993 Program EIR (90-01) for the Otay Ranch GDP/SRP and the 2005 Pr-ogram EIR for the General Plan Update, in order to adequately define applicable tluesholds of significance, evaluate the potential for impacts, and identify feasible mitigation to fire protection (including EMS), police services, library services, schools, recreational resources (parks, recreation and open space), water, sewer, solid waste disposal, energy (gas and electricity), and telephone and cable services Water Supply: RECON will update the Water Technical Report prepared by the City ofChula Vista Planning arrd Building Department (April 2005) to reflect proposed changes to the General Plan and the General Development Plarr. lhis'will include contacting the Otay Water District and summarizing changes to their 'existing facilities and their ability to provide water to the .ar'ea that have occurred since the completion of the report as they pertain to the proposed GP A ar'ea, The analysis will include a proj ection of the cunent demand for water, and the pro j eet demal1ds under the adopted General Plan and the proposed amendments to the plan, The results of the analysis will be included in the SEIR, Ihe discussion will evaluate whether the proposed GPA will require or result in the construction of new water treatment Three-Party Agreement Page 25 10-74 facilities or expansion of existing facilities, the constlUction of which could cause significant environmental effects, whether new or expanded supplies would be required to meet projected needs, and ifthe GP A would being inconsistent with the Urban Water Management Plan prepared by the San Diego County Water Authority RECON will coordinate with Otay Water District in their prepaI ation of a Water Supply Assessment for the incremental increase in water demand over that analyzed in the General Plan.. Wastewater: Based on the technical study prepared by PBS&T to address the Salt Creek Trunk Sewer analysis, RECON will identify the impacts on the existing and master-planned sanitary sewer system and reconnend proposed upgrades. Housing and Population. It is assumed that the Housing Element of the General Plan will not be amended as part ofthe proposed GP/GDP amendment. The discussion of housing and population issues will focus on the three thresholds provided in the GPU EIR These include (1) population growth, which is primaIily a "growth inducing impact", (2) displacement of existing housing and (3) displacement of people. Proposed land use changes would alter the planned number of acres and distribution of residential, industrial, commercial, recreation and open space land within the affected Otay Ranch Villages as compared to the adopted plan Impacts resulting from the adopted plan were found to be significant and unmitigable.. The proposed project is expected to result in a substantial increase in the numher of residential units within the Otay Ranch area as compared to the adopted plan. Cumulative Impacts: The cumulative impact analysis will be based on the ".. . summary of . projections contained in an adopted general plan.. ." approach established by Section 15130 (b) (1) (B) ofthe State ElR Guidelines F or each issue, the cumulative effect ofthe proposed GP/GDP amendment will be evaluated based on the GPU ElR In addition, RECON will discuss the Otay Mesa Community Plan update that is clmentlyunderway in the City of San Diego The extent to which the cumulative effects of that planning project will be addressed depends upon the availability of information at the time the analysis is complete It is anticipated that the County of the San Diego's General Plan update wilt not be available in time for this analysis As such, RECON willllse the existing Counry General PlanlSANDAG Rep for the cumulative discllssion. 7/24/09 Three-Party Agreement Page 26 10-75 Growth Inducement: The SEIR will address growth-inducing effects This section wiII "discuss ways in which the proposed proj ect could foster economic or population growth, or the construction of additional housing, either directly or indirectly, in the surrounding environment. Included are projects which would remove obstacles to population growth (for example, a major expansion of a waste water treatment plant might allow for more construction in seIVice ar.eas) Increases in the population might tax existing community services ,facilities, requiring constmction of new facilities that could cause significant environmental effects." Effects Found Not To Be Significant: In accordance with the CEQA Guidelines, the SEIR will include a brief discussion of the statement of effects found not to be significant and, therefore, not discussed in detail in the SEIR Significant Irreversible Environmental Changes:. This section of the SEIR will discuss the significant unavoidable impacts, if any, of the proposed project, including those that can be mitigated out not reduced to below a level of significance This section will also describe the potentially significant in eversible changes that may be expected with development of the project and addresses the use of nomenewable resources during its construction and operational life. Alternatives: A reasonable range of alternatives will be included in the document. There will be a no-project alternative consistent with CEQA requirements A minimum of two other land use alternatives will be included. RECON will work with the City to help define these alternatives with the recognition that they will have to have the potential to reduce one or more identified environmental impacts, consistent with CEQA requirements Duft SEIR Processing and Document Revisions The Consultant shall prepare three (3) screen check draft EIRs prior to preparation ofthe public review version of the Draft ElK The second, third and public review copies of the Draft EIR will mcorporate comments received on priO! versions of the reports. The Consultant shall prepare the Notice of Availability for public review distribution. Preparation of the revised Draft SEIR will mvolve the follo;ving. . Attend up to 24 hours of meetings with City staff to address issues associated with the Draft SEIR. . Review comments on first submittaL . Prepar.e revisions to the project description, issues of analyses. . Prepare revisions to the cumulative impact analyses . Prepare revisions to the analysis of alternatives. . Revise the draft Mitigation Monitoring and Reporting Program. 7/24/09 Three-Party Agreement Page 27 10-76 Final EIR Preparation and Content Upon completion of agency and public review, the Consultant will prepare WIitten responses to all letters of comment received All comments received in response to the EIR will be discussed with the City staff, and an approach to the responses will be subj ect to City approval prior to preparation of the draft responses. Draft responses to comments will be submitted to City stafffoneview. LLG will assist in the preparation of responses to public comments on the traffic study. PBS&J will assist in the preparation of responses to public comments on the sewer study. The Consultant will then revise responses in accordance with City directions and will prepar'e arr administrative Final EIR The Consultarrt will draft carrdidate Findings and a Statement of Oveuiding Considerations, if City determines this to. be necessary, for consideration by the decision-maker in certifYing the EIR The Findings will include all measures which would be implemented to mitigate potentially significant impacts; a statement, as appropriate, that the project mitigation may be the responsibility of another agency; and an evaluation of project alternatives and why each was found to be infeasible.. A major portion of the Findings will be compiled using information contained in the ElR. The Statement of Oveniding Considerations will present the social, economic or otherreasons why the project should be approved even though significant environmental impacts may result (i.e., why the project's benefits oveuide the environmental issues) These will be presented in draft form to the City, revised as City determines to be necessary, and printed to accompany the Final EIR for review and consideration by the City of Chula Vista, Planning Commission, and ultimate adoption by the City Council. RECON will prepare a supplemental Final EIR that will include the EIR text with necessary revisions requested by City staff or as a result of the public review process, letters of comment and responses, the Findings and Statement of Oveuiding Considerations (if applicable), appendices, and the Mitigation Monitoring and Reporting Program. Following review and approval ofthe responses to letters of comment and any changes to the text of the document, the Consultant will prepar'e a draft Final EIR for review by City staff The Consultant \vill also prepare the Notice oIDetermination and California Department ofFish and Game Fee Certification. Preparation of the administrative Final SEIR will involve the following tasks: . Attend up to 32 hoW's of meetings with City staffto address issues associated with the Final SEIR. . Prepare responses to comments received during public review This task is based on an estimate of25 comment letters or 150 individual comments Should additional comments be received or additional technical analysis is required to respond to those comments that will be completed as an additional effort to this authorization.. . Based on the review by the City, RECON will revise the responses to comments and produce the Final SEIR. . Prepare CEQA draft Findings and Statement of Overriding Considerations. Information needed to support the Findings/Statement of Overriding considers will be provided by the City 7/24/09 Three-Party Agreement Page 28 10-77 . Based on the revi~w by the City, RECON will revise the response to comments and produce the F inalSEIR. . Prepare a fmal Mitigation Monitoring and Reporting Program. . COOldinate with applicant's SPA EIR consultant as necessary ilIeetinf!s and Hearinl!s The Consultant's work efforts will involve on-going project management to include regular coordination with City staff and project team members. The Consultant's plOjectmanager will meet with City staff as requested to discuss the EIR progress and issues as they arise The meeting hours noted above include RECON's attendance at the following meetings and hearings. o One (I) project initiation meeting o One (I) project worksbop o One (I) scoping meeting o One (I) Planning Commission public bearing to close public review oithe DEIR; o One (1) Plarming Commission bearing on tbe FEIR and related environmental documents; and o One (I). City Council Hearing on the FEIR and related environmental documents. In addition, upon request of the City, LLG shall be available to attend project status meetings, plOject briefings, and City Council meetings, and shall be responsible for assisting with the preparation of materials for those meetings. LLG will be responsible for attending the following meetings: o One (1) project initiation meeting with the City, Applicants(s), and others determined by City staff; o One (1) project workshop; o One (1) scoping meeting; o Two (2) coordination meetings with the City, o One (I) Planning Commission public hearing to close public review ofthe DEIR; . One (1) Planning Commission hearing on FEIR; and o One (1) City Council meeting on FEIR Deliverables Screen check Initial Studv and Notice ofPreoalation o Five (5) copies ofthe Screen check Initial Study and Notice of Preparation will be provided to the City The Screen check Initial Study and Notice of Preparation shall be prepared in J'vlicrosoft Word 2000 . Following receipt of comments on the First Screen check Initial Study and Notice of Preparation, five (5) copies of the Final Initial Study and Notice of Preparation will be provided to the City. The Final Initial Study and Notice of Preparation shall be pTepared in Microsoft Word 2000. Three-Party Agreement 7/24/09 Page 29 10-78 Technical Studies The Consultant shall PlDvide the following technical studies to the satisfaction of the City's Environmental Review Coordinator: . Traffic Impact Analysis - five (5) copies . Air Quality Assessment- five (5) copies . Global Climate Change Assessment - five (copies) . Noise Assessment- five (5) copies . Sewer Study- five (5) copies Screen check Draft EIR . Twenty-five (25) total copies of the First Screen check Draft EIR and ten (10) copies of Technical Appendices, in three-ring binders will be provided to the City. The First Screen check Draft EIR shall be prepared in Microsoft Word 2000 and shall be printed at 1.5 spacing. Appendices shall be single-spaced . Following receipt of comments on the First Screen check Dr aft EIR by City staff; Consultant will make the required tevisionsand plDvide twenty (20) total copies of the Second Screen check Draft EIR and ten (10) copies of Technical Appendices in three-ring binders. The Second Screen check Draft EIR shall be prepared in Microsoft Word 2000 and shall be printed at 1.5 spacing. Appendices shall be single-spaced. . Following receipt of comments on the Second Screen check Draft EIR by City staff, Consultant will make the required revisions and provide five (5) total copies of the Third Screen check Draft EIR, first draft MMRP and Technical Appendices in three-ling binders. The Third Screen check Draft EIR shall be prepared in Microsoft Word 2000 and shall.be printed at single .spacing Appendices shall be single-spaced Public Review Draft EIR . Following City staff review of the Third Screen check EIR, Consultant will make the required revisions and prepare the document for public review. Thirty (30) total copies of the Draft EIR, Ml\I!RP and ten (10) Appendices, including twenty (20) copies of the documents in three-ling binders and one-hundred (100) copies ofthe docmnent on Compact Disk (CD) will be provided to the City. CDs submitted to the City shall be accompanied by 20 hard copies of the Executive Summary with a pouch to hold the CDs, RECON will piepar.e the Notice of Completion for the City, and the City will handle the public review distribution. . Consultant shall prepare Draft Candidate CEQA Findings of Fact and, if necessary, a Statement ofOveI1iding Considerations for review by City of Chula Vista staff and legal counsel after distribution ofthe Draft EIR for public review Consultant shall submit five (5) Three-Party Agreement 7/24/09 Page 30 10-79 copies of the draft Candidate Findings ofFact and Statement ofOveniding Considerations with the draft responses to comments. Final EIR . Following the close of public review, Consultant shall meet with City staff to discuss comments received. Following consultation with City staff, Consultant shall provide draft responses to comments received dming public review. . Consultant shall prepare a Screen check Final EIR. The Screen check Final EIR will include corrections and additions to the DEIR and technical reports, if appropriate; a draft Mitigation Monitoring and Reporting Program (MMRP); a list of persons, organizations, and public agencies commenting on the DEIR; comments and responses on the DEIR; and, DEIR comment letters and hearing testimony. Consultant shall submit five (5) copies ofSFEIR to the City for review by City of Chula Vista staff . Upon City staffs approval of the SFEIR, Candidate CEQA Findings of Fact and, if necessary, Statement of OveIIiding Considerations, Consultant will prepar'e a Final EIR, MMRP, Appendices, Candidate CEQA Findings of Fact and Statement of OveIIiding Considerations (if applicable) Consultant will provide thirty total (30) copies including ten (10) in three-ring binders, and ten (10) copies on CD of the Final EIR, MMRP, Appendices, and Candidate CEQA Findings of Fact and Statement of Oveuiding Considerations (if applicable). 6 Schedule, Milestone, Time-Limitations within which to Perfotm Services Date for Commencement of Consultant Services: ( X ) Same as Effective Date of Agreement Dates or Time Limits for Delivery of De live rabies (Screen check technical reports assume two sets of revisions to address City comments.. Final technical reports shall adequately address all City comments, summarize existing and future conditions analyses, and provide appropriate text, tables, and graphics for use in the EIR document): . Provide Screen check Notice of Preparation - August 24,2009 . Final Notice of Preparation: Two (2) days after receipt of City comments on Screen check Initial Study and Notice ofPrepar'ation . Final Traffic Impact Assessment - December 9,2009. . Final Air Quality Report and OHO Report - December 9, 2009 . Final Noise Impact Assessment - December 9,2009 . First Screen check Draft EIR, MlvIRP and T ec!mical Appendices - November 23,2009 Ihtee~Party Agreement 7/24/09 Page 31 10-80 . Second Screen check Draft EIR, MMRP and Teclmical Appendices - January 8,2010. . Third Screen check Dr aft EIR, MMRP and Technical Appendices - February 19,2010. . Public Review Draft EIR, MMRP and I echnical Appendices - March 12, 2010.. · First Draft Findings and Statement of Overriding Considerations, if applicable - April 13, 2010 . First Draft Responses to Comments received during public review - May 12, 2010. . SCFEIR including conections and additions to the DEIR; final technical reports; MMRP; a list of persons, organizations, and public agencies commenting on the DEIR; comments and responses on the DEIR; and, DEIR comment letters and hearing testimony - June 16,2010.. . Final EIR for public hearing including fmal responses to comments, Findings and Statement of Oveniding Consideration - One (I) week after receipt of City comments on Screen check Final EIR. Dates for completion of aU Consultant services: Date of City Council final action on environmental documents, or completion of all tasks to the satisfaction ofthe City's DirectOI of Planning and Building, whichever is later. 7 Documents to be provided by Applicants to Consultant: (x) site plans () grading plans () architectural elevations (x) project description () biological technical reports addressing on- and off-site resources () water / sewer studies () geotechnical repOIts addressing on- and off~site resowces () water quality technical report addressing on- and off-site resources. (x ) other: General Plan and General Development Plan Amendment text and graphics needed from both applicants 8. Contract Administrators City: Stephen Power AICP Principal Planner Public Services Building 200 276 FOllIth Avenue Chula Vista, CA 92010 leI: (619) 409-5864 7/24/09 Three-PaIty Agreement Page 32 1 0-81 Applicant: Otay Land Company LLC 1903 Wright Place, Suite 220 Carlsbad, CA 92008 (760) 918-8200 Consultant: RECON 1927 Fifth Avenue San Diego, CA 92101-2358 9 Statement of Economic Interests, Consultant Reporting Categories, per Conflict of Interest Code: 7/24/09 (Xl Not Applicable Not an FPPC Filer ( Xl Not Applicable Not an FPPC Filer. ( ) Category No 1 ( ) Category No 2 ( ) Category No 3 ( ) Category No 4. ( ) Category No 5. Investments and sources of income Interests in real property. Investments, interest in real property and sources of income subject to the regulatory, permit or licensing authority ofthe department Investments in bnsiness entities and sources of income which engage in land development, construction OT the acquisition or sale of real property. Investments in business entities and sources 0 f income of the type which, within the past two years, have contracted with !:he City ofChula Vista (Redevelopment Agency) to provide services, supplies, materials, machinery or equipment. Three~Party Agreement Page 33 10-82 ( ) 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 ( ) CategoryNo 7. Business positions. 10.. Insurance Requirements: (x) Commercial General Liability: $1,000,000. (x) Automobile Liability: $1,000,000. (x) Worker's Compensation: Statutory (x) Employer's Liability: $1,000,000 (x) Errors and Omissions Liability: $2,000,000. Three-Party Agreement 7/24/09 Page 34 10-83 Exhibit B Additional Recitals 2 7 Applications for a General Plan Amendment and General Development Plan Amendment were submitted to the City of Chula Vista on March 3,2009; and 2.8. The preparation of an EIR is accordance with the provisions of the Califomia Environmental Quality Act (CEQA) is a necessary component ofthe General Plan, and General Development process; and 2.9 RECON has acquired an in-depth lmowledge ofChula Vista Gener'al Plan-related environmental issues through their preparation of the 2005 General Plan Update EIR and associated baseline studies; and 2.10. RECON's comprehensive familiar ity with the Chula Vista General Plan and General Plan study area, coupled with the lmowledge gained through their preparation of the General Plan Update EIR and assQciated baseline/technical studies, makes RECON uniquely qualified to serve as the Consultant for this project; and 2..11 The consultant warrants and represents that they are experienced and staifed in a manner such that they are and can prepare and deliver the services required of Consultant to City within the timenames herein provided all 10 accordance with the terms and conditions of this Agreement, and that time is of the essence; and 212. The Environmental Review Coordinator has negotiated the details of this agreement 10 accordance \vith the Environmental Review Procedmes setforth in the Environmental Review Procedmes and in Section 256 of the Chula Vista Municipal Code; 213 The Applicant has deposited or will deposit funds for the consulting selvices necessary for the preparation of the environmental documents; 2.14.. The proposed contI act with RECON to provide consultant services would be in an amount not to exceed $388,400 with an addItional $97,100 for additional services should they be necessary (End of Recitals) 7/24/09 Ibree~Party Agreement Page 35 10-84 Exhibit C Compensation Schedule and Deposit: Terms and Conditions ( X) Single Fixed Fee Arrangement For performance of all of the General and Detailed Services of Consultant as herein required, Applicants shall pay a single fixed fee in the amounts and at the times or milestones set fOIth below: (x) Single Fixed Fee Amount: $388,400 Milestone or' Event Amount or Per'cent of Fixed Fee 1 Signing of this agreement by all parties and upon the $58,260 (15%) request oUhe Consultant. 2 Submittal ofFrrst Screen check Environmental $135,940 (35%) Document* 3 Submittal of Second Screen check Enviromnental $38,840 (10%) Document** 4, Commencement of Public Review $58,260 (15%) 5, Completion of Final Environmental Document $58,260 (15%) 6 Completion of All Remaining Tasks as outlined in $38,840 (10%) Exhibit "A" to this Agreement (retention) Subtotal $388,400 7 25% Contingency Fee*** (for additional work if requested by the applicant, and agreed to by the City, $97,100 pursuant to Section 3.2 1) Total Fixed Fee Amount $388,400 * For pmposes of payment, the first screen check shall completely address and analyze all issues identified in the detailed scope-of-work (described in Exhibit "A") to the satisfaction of the Enviromnental Review Coordinator Payment shall not be made until the City's Environmental Review Coordinator determines that a complete screen check document has been submitted, ** For pmposes of payment the second screen check shall completely addIess all comments identified in the first screen check to the satisfaction of the Environmental Review Coordinator. Payment shaJl not be made until the City's Environmental Review Coordinator determines that a complete second screen check document has been submitted 7124/09 Three-Party Agreemenr Page 36 10-85 *** Pursuant to Section 3.2.2 of this Agreement, the Environmental Review Coordinator in their sole discretion independently and 01 upon request from the Consultant, may fjom time to time, negotiate additional selvices to be pelfOlmed by the Consultant under this Agreement in order to cover unforeseen issues that may be identified during the preparation of the environmental document ("Additional Selvices") rhe cost of Additional Selvices in connection with the environmental document shall not exceed 25% of the total contract amount ($388,400). ( ) Phased Fixed Fee Anangement. For the performance of each phase or portion of the General and Detailed Services of Consultant as are sep31ately identified in Exhibit C, under the category labeled "Phased Fixed Fee Arrangement", Applicant shall pay the fixed fee associated with each phase of Services, in the amounts and at the times or milestones set forth herein below ("Phase Fixed Fee Arrangement"). Consultant shall not commence Services under any Phase, and shall not be entitled to the compensation for a Phase, unless Applicants shall have issued a notice to proceed to Consultant as to said Phase. Fee for Phase Said Phase ( ) Time and Materials For performance of the General. and Detailed Services of Consultant as herein required, Applicants shall pay Consultant for the productive homs oftime and material spent by Consultant in the perfOlmance of said Services, at the rates or 31llounts set forth herein below according to the following telms and conditions: ( ) Not-to-Exceed Limitation on rime and Materials Arrangement Notwithstanding the expenuitme by Consultant of time and materials in excess of said Maximum Compensation amount, Consultant agrees that Consultant will perform all ofthe General and Detailed Services herein required of Consultant for $ including all Materials, and other. "reimburseables" ("Maximum Compensation") ( ) Limitation without Further Authorization on Time and Materials Arrangement 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 Council. Nothing herein shall preclude Consultant from providing additional Services at Consultant's own cost and expense. 7124109 Three-Party Agreement Page '37 10-86 Rate Schedule Category of Employee Emolovee Name Hourly Rate Principal Charly Bull $17800 Principal. Senior Project ~fanager Bobbi Herdes $17800 Principal, Air QualitylNoise Dave Gottfredson $17800 Senior Planner Donna Steel $14600 Senior Planner Lori Spar $14600 Senior Biologist Gerry Scheid $14600 Senior Biologist Wendy Loeffier $14600 Archaeologist. Associate Jackson Underwood $]]900 Archaeologist, Analyst BaIlY PIice $9900 Associate Environmental Planner Karen Bowling $11900 Associate Environmental Planner Iisa Iind $11900 Environmental Analyst I ance Unverzagt $99 00 Environmental Analyst Matt loseph $99 00 Assistant, Air QualitylNoise Jesse Fleming $84.00 Assistant Biologist Beth Proscal $84.00 Assistant Biologist Anna Bennell $84.00 Research Assistant Daniela Fromer $73.00 Research Assistant Colin Water $73 00 GIS Specialist Sean Bohac $78 00 Graphic Designer Vince Martinez $78 00 Production Specialist 1I Linda Evans $59 00 Production Specialist I Greg Kazmer $52.00 The assignment and time allotment of principals wotking on the EIR shall be as follows: :~f$~i~~~~~~i1~~~1t~&~~~~~;~~ :~~ijl)~lfet~~~il1~~l~lil!~~ ~~\it~~1lifJi~~~';li~i~~t~ Provide technical support for Attend meetings and hearings Attend meetings and hearings air, noise and global climate change issues Provide technical oversioht and d irectron Project manaoement 1 27 hours 255 hours 66 hours .Other individuals from the Consultant fum may be substituted in place oithe names listed solely at the discretion of the City's Environmental Review Coordinator ( ) Hourly rates may increase by 6% fOT services rendered after 7/24/09 Three-Party Agreement Page 38 10-87 Materials Separately Paid For by Applicant - ( ) Materials Reports Copies ( ) Travel ( ) Printing ( ) Postage ( ) Delivery ( ) Long Distance 1 elephone Char'ges (X) Other-SANDAG Model Run Fees Cost or Rate NA NA NA NA NA NA NA Deposit (Xl Deposit Amount: $58,260. The remaining contract balance of$330, 140 shall be deposited incrementally in accordance with milestone payments noted in Exhibit "c" and as follows: $135,940 paid to the City 30 days prior to the completion of Milestone No.2; $38,840 paid to the City 30 days prior to completion of Milestone No.3; $58,260 paid to the City 30 days prior to the completion of Milestone No 4; $58,260 paid to the City 30 days prior to the completion of Milestone No.. 5; $38,840 paid to the City 30 days prior to the completion of Milestone No 6 Applicant further agrees to deposit within 10 days a sum estimated to be up to $97, 1 00 (contingency fee) for additional services if such services ar'e requested pmsuant to Section 32.1 or Section 3.2 2. (X) Use of Deposit to Pay Consultant Notwithstanding the sole duty and liability of Applicant to pay Consultant, if this paragraph is "checked", upon City's receipt of billing by Consultant, and determination by City in good faith that Consultant's billing is proper, a judgment for which Applicant agrees to hold City harmless and waive any claim against City, City shall pay Consultant's billing from the amount of the Deposit 1f Applicant shall protest the propriety of a billing to City in advnnce of payment, City shall consider Applicant's protest and any evidence submitted prior to the due date for the payment of said bill by Applicant in making its good faith determination of propriety. () Use of Deposit as Security Only; Applicants to Make Billing Payments Upon determination by City made in good faith that Consultant is entitled to compensation which shall remain unpaid by Applicant 30 days after billing, City may, at its option, use the Deposit to pay said billing (X) Bill Processing: A Consultant's Billing to be submitted for the following period of time: Three~Party Agreement Page3 9 7/24/09 10-88 ( ) MontWy ( ) QU3Iterly (X) Othel: Milestone B Day of the Period for submission of Consultant's Billing: ( ) First oithe Month ( ) 15th Day of each Month ( ) End of the Month (X) Other: Upon Completion of Miles tone C City's Account Number: To be assigned after agreement is processed.. D Secwity fOT Performance ( ) Performance Bond, $ ( ) Letter of Credit, $ ( ) Other SecUlity: Type: Amount: $ (X) Retention If this space is checked, then notwithstanding other provisions to the contr3IY requiring the payment of compensation to the Consultant sooner, the City shall be entitled to retain, at their option, the following Retention Percentage until the City determines that the Retention Release Event, listed below, has occuned: ( ) Retention Percentage: 10% ( ) Retention Amount: $ Retention Release Event: (X) Completion of All Consultant Services to the satisfaction ofthe Environmental Review CoordinatOI () Monthly ( ) Qu3Iterly (X) Other: In accordance with the_milestones provided herein. B Day ofthe Period for submission of Consultant's Billing: ( ) First of the Month ( ) End of the Month (X) Other: Upon completion ofthe milestones identified herein. Three-Party Agreement Page 40 7/24/Q9 10-89 J- ) E:ASTH 5T. ~fPIC PKWY CL'" OTA y VAUl ROAD 8 LEGEND I'.'"".',"j SUa,ECT PROPERTY OIC OTAYUND CO/.{PANY DESIGNA lCD NOTES 1. ALL BEARINGS SHOYrN ARE per R..as. 16504, RECOROED .J/9/2000, AS fiLE Na 2000-120683, IN DfE CDUNTY OF SAN DIEGO. 5Tr1lE: OF CAliFORNIA. NO T TO SCALE AREA TOTALS VICINITY MAP OlC PARCEL "B" OLC PARCEl. "C" TOTAL rDT.4L. rCE AREA = 278.72 ACRES:t TOTAL FEE AREA - J7J'.00 ACRES: 551.7.2 ACRES;t DESCRIPTION EXCEPTIONS ow PARCEL "a" IlF),(Sc 1 SAN DIEco-OTA Y PIPEliNE RIG-/l OF WA Y. AS SHOfW IN DEED BOOK 5'37, PAa:' 463. RECORlJElJ 7/14/1923'" DEEIJ BOOK 598; PAGE 54. RECOR!JEJ) 12/20/1912 2 SOUTH SAN olEeo RESERVOIR. PORllON ""LOT 28... 27 C/?ANTEfJ TO rrlE CITY OF SAN DIECO IN DEW RECORDED 8/2.7/1972 UNDER RLE/I'ACE NO. 2222672. CFFIClAL RECORDS. J S"AN J)JEGo--CORONADO PIPWNE RfGiT CF WA Y. AS SHOmllN DEED BOCK .570. PAGE 713; RECORDED 6/24/1912. 4 PARCEL 3 IN A},(ENDED COAlPLA/NT" IN CONDEJlNA !lON CI'.t1L NO. 7.9-0907-N, RECORDED IN THE. 0FFlCE.' OF' lli.: COUN7Y RECORDER OF SAN D/EG~ COUNTY, JANUARY 15. 1980 A S' OOC/..iMENT NO. 80-/3755'1 CLC PARCEl. "'c'" JlEJIS .5 PORnON OF LOT 17. CONYF'tF[) TO THE SOUlHERN CAliFORNIA MOUNTAIN WAlDi' COMPANY. BY OEED DATED APRIL 11. 1912. AND RECORDED ,j{jNE 24" 1912/N BOOK 57Q PAGE 11"J OFDE:EO~ OFF1C1AL RECORDs.. 6 ?ARCEl. 3.201a-1. A PORnON oFLOTS 17 Jr 18 crOTA YRANCliO IN tHE GTYOF CHULA t1'STA~ COUNTYCF SAN lJIEGO. CRANTED TO THE STA fE OF CALiFORNIA IN DEED RECOROW 9/1/2005 UNDER Doc.. NQ 200.5-0759298. 7 PORTION OF LOT 16 COHYDCD TO 11-/E COUNTY OF SAN DIEGO IN DEED RtCORom 2/28/200'; AS DOC. NO. 20C6-0139652 " Q '" I <::: ~ '" ol. ~ \E 3- ~ <<i ~... ~~ PREPARED BY: 7"'".(0/08, , / DA/~ STANnc ~ON.sULTfNC tNC~ V7 UNCI1E,xOS DRIVE stlfi"EJOO . SA..'l MAlCOS, CA 91069 7CQ.a9LJ2CO OWNERSHIP EXHIBIT OTAY RANCH, LLC <;:OUNTY OF SAN DIEGO <'l Sta:ntec. ATTACHlYlENT "A" 10-90 DA TF,- 04 10 '2008 Dl?{;; 18JI;' EXon 1 JOB . 75016.3.00 DRA'lrtIBY; DS8 SHEET: I OF J I t- 33 34 29 0-0/- N71'575S~E 264/J.""is'- ". . '. -.:-::"::::::':::-::-..:-.:. '. . . ". . '. . :'.:". OTAY ",.", - ........ :~::~~~~~~ '" :.:::::.::::OLCPARCEL 8: \~W~ 'i1 is "" I i'::: ~ "' :J. ~ ~ '" '" .., ~- STANTEC CONSULTING INoC.. ~ :.,~ 277l1ANG<EeOS O'I'IE <0 ~.. SUITE 300 - SoAN MAil:COS.CA. 9<069 <;'j St:ar.tec. 760.3"91.J200 . .... .- - .. . :Jj . . - -. - -. "\i"~tii\\},i( S 71:58'31"" W 2541..40' 26 -- OWNERSHIP EXHIBIT LOTS 27 & 28, RANCHO OTAY COUNiY OF SAN mEGa ~ ATTACHMENT "A" 10-91 RANCHO 24 23 2. 2~ 0qj\ OATF:.- O-f 0 -ZOOB Df+C: 153'A-EX0T1-T JOB . /60/83.00 'RA' BY: SHEET: 2 OF J j ""'<}" ;~ 24 RANCHO R,O.S 25 ~ Ci " I 1::: ~ 4j :!. ~ ~ ~ <> <> Ie N715/STE 2640,38' . :'." ::-: :. :.......-..... . I, . " . ' . . ", .,', .,.. ' 6 ~,)..(:%Bi~0\Vi~t;:~\.\\~\. Q <ii :::',::'bLC"PARCEL ';;c;;.:::::: ": - ". . . -'.'. . ",--,~ ~-,\ '116 --.N71'22'5S'E _L 2641-.BOM 13 14 OTAY 16504 --",,~==... ",r-=- -","" 15 Sl"A."ITEC CON5U'L.l1NG llie.. 277 RAl'../CHEROS C~NE . SU1TE. JCO SAN MAR.CCS. CA 92069 760.891.32CO ]-. OWNERSHIP EXH1SIT LOTS 16, 17, '18, RANCHO OTAY COUNTY OF SAN DIEGO ~~ .os Stante<: ATTACHMENT "A" 10-92 DAlE: 04 JO 2008 DitG:' ttiJV-[XOT! "' JOe : 15015.3.00 DRA 1m 1':' 58 SHEET: J OF J ~\f?- ~ ClIY OF CHULA VISTA A)!)Ir,QNA l- INFO""""'" ~N ,-rem M'IO Memorandum Development Services Department DATE: August 4, 2009 FROM: Honorable Mayor and City Council Gary Halbe~eputy City Manager / Director of Development TO: SUBJECT: Item # 10 - Errata Sheet Upon final review of the Three Party Agreement Between the City ofChula Vista, RECON and the Otay Land Company, the Otay Land Company has requested the removal of Section 3.3.1.1.1 from the contract. Staff has reviewed the section and determined that this provision is adequately covered in the University Villages Processing Agreement that was approved on June 23, 2009. Staffis in support ofthe amendment, and recommends that Council adopt the resolution subject to the minor alterations identified by strikeout/underline in the attached errata sheet. 3.3.1.1.1. City shall also be entitled to retain from said Deposit all costs incurred by City for which it is entitled to compensation by law or ander the terms 0 f this agreement. 3.3. I. I.L'6. All interest earned on the Deposit Amount, if any, shall accrue to the benefit of, and be used for, Trust purposes. City may, in lieu of deposit into a separate bank account, separately account for said deposit in one or more of its various bank accounts, and upon doing so, shall proportionately distribute to the Deposit Trust, the average interest earned during the period on its general fund. 3.3. I. I.;?J. Any unused balance of Deposit Amount, including any unused interest earned, shall be returned to Applicant not later than 30 days after the termination of this Agreement and any claims resulting therefrom. 3.3.1.1.14. Applicant shall be notified within 30 days after of the use of the Deposit in any manner. Nothing herein shall invalidate use of the Deposit in the manner herein authorized. 3.3.1.1.~. At such time as City shall reasonahly determine that inadequate funds remain on Deposit to secure future compensation likely due Consultant or City, City may make demand of Applicant to supplement said Deposit Amount in such amount as City shall reasonably specify, and upon doing so, Applicant shall, within 30 days pay said amount ("Supplemental Deposit Amount") to City. Said Supplement Deposit Amount or Amounts shall be governed by thc same terms of trust governing the original Deposit. 3.3.2. Withholding of Processing. In addition to use of the Deposit as security, in order to secure the duty of Applicant to pay Consultant for Services rendered under this agreement, City shall be entitled to withhold processing of Applicant's Application upon a breach of Applicant's duty to compensate Consultant and in such event the force majeure provisions of the LOA shall apply. 4. Non-Service Related Duties of Consultant. 4.1. 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: 8/4/09 Three-Party Agreement Page 4 CITY COUNCIL AGENDA STATEMENT '~I!; :$ ~ CITY OF '~CHULA VISTA I' 8/04/09, Item~ ITEM TITLE: SUBMITTED BY: REVIEWED BY: 4/STHS VOTE: YES D NO [Z] SUMMARY On July 20, 2009, the Director of Public Works received sealed bids for the "Pavement Rehabilitation Program (Overlay) FY07/08 (STL335B)" project. The work consists of the removal and replacement of failed asphalt concrete pavement (dig-outs), AC pavement overlay, and sidewalk improvement upgrade on various street locations in the City of Chula Vista. Work on this project also includes cold milling, crack sealing, replacement of traffic signal loop detectors, traffic control, striping and markmg, and other miscellaneous items of work necessary for the project. The proposed action would award the contract to Southland Paving Inc., and authorize the Director of Public Works to expend all available funds to complete the pavement maintenance work. ENVIRONMENTAL REVIEW The Environmental Review Coordinator has reviewed the proposed project for compliance with the California Environmental Quality Act (CEQA) and has determined that the project qualifies for a Class l(c) categorical exemption pursuant to Section 15301, Existing Facilities, of the State CEQA Guidelines. Thus, no further environmental review is necessary. 11-1 8/04/09, Item-1L Page 2 of 4 RECOMMENDATION Council conduct the public hearing and adopt the resolution. BOARDS/COMMISSION RECOMMENDATION Not applicable. DISCUSSION lncluded in the FY07/08 ClF Budget is a project to rehabilitate and preserve deteriorating pavement throughout the city. The Public Works Department, through the Pavement Management System, developed a priority list of streets to be included in the program. The goal of the program is to extend the serviceability of the streets through the removal and replacement of deteriorated sections of streets (dig-out) and the application of various types of surface treatments, including asphalt concrete overlays, chip seals, and REAS sealcoats. This project, funded by Prop IB monies, also requires that sidewalk improvement upgrades be made part of the project. This includes new ADA compliant pedestrian ramps, curb, gutter, sidewalk and driveways. The remaining surface treatment strategy, AC overlay, will complete the overall maintenance strategy for these streets under the FY07/08 Pavement Rehabilitation Program. This project will also include ralSlng manhole covers and survey monuments, stnpmg and pavement markings, traffic control, and other miscellaneous work, and all labor, material, equipment, and transportation necessary to successfully complete the project. Attachment 1 shows the list of streets to receive the AC overlay surface treatment. On July 20, 2009, the Director of Public Works received nine (9) bids for the "Pavement Rehabilitation Program (Overlay) FY07/08 (STL335B)" project. The following bids were received: CONTRACTOR SUBMITTAL RESULTS TOTAL SUBMITTED Missing signed addendum and Letter 1 Koch-Annstrong Gen. of Authorizing Capacity. $1,722,620.00 Eng., Inc. - Lakeside, CA Mathematical error. Actual bid total: $1,796,020.00 2 Southland Paving Inc. - Mathematical error. Actual bid total: $1,812,332.85 Escondido, CA 51,812,152.86 3 SRi\1 Contracting & All requirements met $1,818,870.00 Paving- San Diego, CA 4 Hazard Construction Co., - All requirements met $1,868,456.00 San Diego, CA 5 ABC Construction Co., All requirements met $1,878,840.14 Inc.- San Diego, CA 6 TC Construction Co.- All requirements met Santee, CA $1,986,627.00 11-2 8/04/09, Item~ Page 3 of 4 7 Frank & Son Paving, lnc.- Mathematical error. Actual bid total: $1,891,941.00 Chula Vista, CA $1,856,841.00 8 Daley Corp.- San Diego, All requirements met $2,108,229.77 CA 9 Sim J Harris, Inc.- San All requirements met 52,130,000.00 Diego, CA Koch-Armstrong Gen. Eng., lnc. of Lakeside, California, submitted the apparent low bid proposal in the amount of $1,722,620.00. However, during the review of the bid proposal, staff found that Koch-Armstrong Gen. Eng., Inc. had submitted an incomplete bid. Missing Letter of Authorizing Capacity and the unsigned addendum were noted and is therefore deemed as an incomplete bid submittal. The bid specifications render its bid non-responsive as prescribed in Section 1009 of the City Charter. Staff recommends that Koch-Armstrong Gen. Eng., Inc. bid be rejected. Staff then reviewed the apparent second low bid proposal in the amount of 51,812,332.85 submitted by Southland Paving Inc. of Escondido, California. During review of Southland Paving's bid proposal, staff found that the contractor had introduced a minor error in summing up the bid total that favors the City's interest and was not significant. Southland Paving Inc. submitted a letter acknowledging the mathematical error and agreeing to decrease the lump sum bid total price to $1,812,152.86 (Attachment 2). The bid submitted by Southland Paving Incorporated of Escondido, CA is below the Engineer's estimate of $2,759,079.93 by $946,927.07 (44% below the Engineer's estimate); much of this difference can be attributed to high degree of competition currently within the constmctlon market. Design staff has verified the references provided by the contractor and has found their work to be satisfactory. The Contractor's License No. 451191 is current and active. Staff will negotiate with the Contractor the addition of streets to be overlaid in accordance with the Cities pavement management program and field observations in order to take advantage of the low bid prices obtained. The total amount of additional streets will not exceed the original Engineer's estimate. If approved, the proposed resolution would increase the Director of Public Works' cumulative change order authority specified in City Council Policy No. 574-01 and authorize the DIrector of Public Works to expend all available funds in the project WIthout further City Council action to complete all the work required in the project. Disclosure Statement Attachment 3 is a copy of the Contractor's Disclosure Statement. Wa2e Statement The source of funding for this project is Prop lB fund. Contractors bidding this project are not required to pay prevailing wages to persons employed by them for the work under this project. 11-3 8/04/09, ItemL Page 4 of 4 Disadvantaged businesses were encouraged to bid through the sending of the Notice to Contractors to various trade publications. DECISION MAKER CONFLICT Staff has reviewed the decision contemplated by this action and has determined that the decision concerns repairs, replacement, or maintenance of existing streets or similar facilities and, therefore, there is not a material financial effect of the decision on the property holdings of the City Council Members pursuant to California Code of Regulations sections 18704.2(b)(2) and 18705.2(b)( 1). FISCAL IMPACT There is no impact to the General Fund as there are sufficient Prop lB funds in existing CIP STL335 Pavement Rehabilitation necessary to complete the project. The Prop IB funds proposed to be expended are part of the City's first year allocation already received from the State. The project willl not be impacted by the proposed State take-away of $3.3 million from the FY 2008/2009 which is pending. Any remaining Prop 1B balance after completion of the project will be returned to the fund for reallocation. FUNDS REQUIRED FOR CONSTRUCTION A. Contract Amount $1,812,152.86 B. Contingencies (Approx. 25%) $453,038.14 C. Staff Time & Testing Costs 1. Construction Inspection (Approx. 7.5%) $169,889.00 2. Design/Construction Management (Approx. 7.5%) $169,889.00 3. PlanninglEnvironmental/Traffic/Landscape/Public Works (Approx. 2.5%) $56,630.00 4. Soil & Material Testing (Approx. 3.5%) $79,282.00 TOTAL FUNDS REQUIRED FOR CONSTRUCTION $2,740,881.00 ONGOING FISCAL IMPACT Upon completion of the project, the improvements will reqUlre only routine City street maintenance. A TT ACHMENTS 1. List of streets included in project 2. Contractor's Disclosure Statement 3. Southland Paving, Inc. letter dated July 21, 2009 Prepared by: Roberto Juan, Associate Engineer, Public Works Department M:\Engineer\AGENDA\CAS2009\08-04-09\STLJ358 Al13 Pavement Rehab Prop IS Overlay R1.doc 11-4 ~~~?-~~~~Jfi.i~'1irlAli:J~..l,.~'''''''''----~W'f~A~ ATTACHMENT I jj~~'iii,t'~':~._~;:~}~U'}~~..;".;''':'6J1 PAVEMENT REHABILITATION PROGRAM (STL335B) M:\General Services\DesignlAll Projects\STL\STL335B\STL335B Street Locations.xls 11-5 LOCATION LENGTH WIDTH AREA # STREET (FT) (FT) (SF) BEGIN END PROP 1 B . ALL FUNDING TO BE SPENT BY DECEMBER 2009 (STL335BI 1'--;- ;; BROADW AY ~;:,~;';~:~;:~':~ _::';;~~:;.~:j(C;~ 'ANITA'ST!~ii~i::.;:::~~:;:-;::~tilii.:;:E~!1!i!' .TMA'INjST,:'~':~~~!jil;;j'{: ,;:(:jU}1~~:~C:: ~!:;j~~~1A32!o6 :".:~~i:~:;;60.d6 ;::~:,I:;:~:,~;;/85', 920': 00 ..:2< i~.F:.:ST ... ~.".: :;i:,',',",',""',:,!',', ::BROADWAy,~;t-~ ':~;'~"!!!~<~::-:;~~;j~~ !"F:OTJRTB'AijE~~:2ir :,::c-.R,<,;:;;-" ~;~j::i,652;OO ""'_:"1:;O;i~i;45:(lO iF!~:'-?;~:'-9;340:0.0 ""', '" .- 'l'r.'.':"n' 3 F~'-sT.L' " ",'";,:!"""",,,:,",,,' ;j;HiRb:AvE;::!~:X ::' :~;:':i! i ;i::~:,;; '):i,;\ ',':SECON 0 liNE ~~;+i ;1.1;",,.' ij~::~:;':1:, 343! 00 :.["i,';:!i!'S5.00 <-:-' ,.^ ..,'" i:"" .j'!:......... ""...73;865.00 '4'c ~Fj3T~ ":';.~7." " "c. '"~ .,_ '_0 :;::R_,:i.~,:', ~:SECOND:A'itE-~:.: ':}J~;:;~C';:::'~~9.j~ rHIL LTO R~bR.~":~:ti:t :-:.~S~!:~~i;lr:;.,~ ~~),t~2;'635:aO ,. ~;~i~~;'3j:06 ~1:i.~L'-~;;:: 9"7.','495: 00 5': ~MAIN:ST: ""'i'''~\-:;,;: :';if:<' 1~805:FREEWAYRAMP;:! ':(1 ';::1~805; FR EEWA y:rR.AMP;~f:;~ " :~1:;~:?:~4 ,. a": iia W' ~':':f84:00 li:":r" ":f.35j12~i:i'6 ":6.,~ <':MAIN;STr,L, I~:>.': ;:~!i:: '. i~a'(i5:FREEWAY: A'AMP (::~l )';OLEANDER-i...V;"/ "::fa~~;:~; '."..: 1~::i:>:;..,e7ci!66 ;j);i;;'80~00 )',', :'69,600:00 7. ~,MAIN ST' :.:::,.:;.:o.~ , OEEANDER'AV '" '" i .8RANDYWINE AV .,""- - ~:!g1,039 00 ~ ,1 08 00 ;'~fl 2)1 2:00 ":i. >- .:1,,,,,,;..:- >- , " '" 8 MAIN ST BRANDYWINE AV , .' , ,. AUT01pK PL (DELNISO CT) ~ I' I 946 00 , , ..:~::i9;46:'f6i:i PL"{DElNISO CT)!:, ''" 647'00 '" ".'1;'54;348:00 9 MAIN'ST ,....., ~ r,. _ IS' :,. AUTO PK ~AUTO PK AV,(ROMA CT)"," " ,~."-- :11',.84 00 , , t.'MATt.(st:.::.: , '''. ;:AUto-pk'AV~(ROMKcT'F~,::[~j: ......--....... . ... -~.... ~-- , '':~,'~~~::', J_:~;~i \~,~;~~1-;5:f9:6o ,~ :;:~,;,';:Y,~~84-.'OO 1,,; ~.'T_: " ,~.10:,: , . '.'" i:iMAXWELt'RD:!::i'I;~~;: ;~'.;:~:.:' ::'129,27K6'0 , 1 r'; MAIN:ST ':'MAXWEL::L:RD 'NIRVA'NA'AV.:,\,:/,'; .,..,.. !:::~~!~!,':-':587::'0'0 ;:;':~.:i.:a4.00 V',i. ' :<:49;30a:oO ,...."::.1,'1.:..'; 12" , MAXWELL RD "' " ... ;:~ MAl N 'ST.4~:: ;:~:,~,_:~~;;;~!~i,:~':~J!~;' '0;;/11 ;C:IT,YiLIMITS ~:'i, r:- ~:-;:L;r;::~;';,< Ji~;t1':820jjO """ 6:~~':136.00 :~.,;.~ , ',\j6'5':520'~6'6 13' '-.fFOURTH' AV '''t-; F.;ST '. . ~ ,:I,;~C:;' :;~'_' :.~ll ~,G'st:;~/": ,!;.~:>~" , ,..",...".... !:tJ.T::1-;321':OO 'i;:-'~:::'62.00 ':;:', .:)81',902:00 .... '~:.<;':..; .". .,--, ""C'.," " , " ; '; ~r- ;\:::,~;",;;~;;::,"~l " .-,';" "' >",;,;~ :;-~:;r;}!.:-'C;,.!' ~!>T:'~';i "1~~~:c\ ~'~:~.(:~r~ '.' "1,053;362,00 , " " "" ","' '.!'- , " ....;..,.. ,.;'- , .,.... -... CalTrans ROW permit needed u Late Addition I ATTACHMENT z., CITY OF CHULA VISTA DISCLOSURE STATEMENT Pursuant to Council Policy 101-01, prior to any action upon matters that will require discretionary action by the Council, Planning Commission and all other official bodies of the City, a statement of disclosure of certain ownership or financial interests, payments, or campaign contributions for a City of Chula Vista election must be filed. The following information must be disclosed: I. . List the names of all persons having a financial interest in the property that is the subject of the application or the contract, e.g., owner, applicant, contractor, subcontractor, material supplier. (6'6Il1CrA.I1.LC~ .+I,,\",rJir1t _~:be,-\- ie'UuWLI ViflO .a'oiAcMI-- ,J' , ~ ()iU _ Hi:0 ~ , ,r; er",-Ia l'-<i /ll'fttJlil^<-(L . J 2. If any person' identified pursuant to (I) above is a corporation or partnership, list the names of all individuals with a $2000 investment in the business (corporation/partnership) entity. 3. If any person' identified pursuant to (I) above is a non-profit organization or trust, list the names of any person serving as director of the non-profit organization or as trustee or beneficiary or trustor of the trust. 4. Please identify every person, including any agents, employees, consultants, or independent contractors you have assigned to represent you before the City in this matter. ~01-Y.:vd Flp~iL ~,'bex.J-- 1lfV11\J' 6 I 1 5. Has any person' associated with this contract had any financial dealings with an official" of the City ofChula Vista as it relates to this contract within the past 12 months? Yes----.: No---X- .16 M:\General Services\Design\All Projects\STL\STL335B OverliYiS.21;335B Bid Specs and Contract.doc If Yes, briefly describe the nature of the financial interest the official" may have in this contract. 6. Have you made a contribution of more than $250 within the past twelve (12) months to a current member of the Chula Vista City Council? No A Yes _ If yes, which Council member? . 7. Have you provided more than $340 (or an item of equivalent value) to an official" of the City of Chula Vista in the past twelve (I2) months? (This includes being a source of income,. money to retire a legal debt, gift, loan, etc.) Yes _ No )( If Yes, which official" and what was the nature of item provided? Date: '- \"U 'j ;) 00- J 2t{q tdku Signature of Contractor/Applicant {jchllrff Pi//'1; PMVi&H Print or type nanie of Contractor/Applicant , Person is defmed as: any individual, firm, co-partnership, joint venture, association, social club, fraternal organization, corporation, estate, trust, receiver, syndicate, any other county, city, municipality, district, or other political subdivision, -or any other group or combination acting as a unit. " Official includes, but is not limited to: Mayor, Council member, Planning Commissioner, Member ofa board, commission, or committee of the City, employee, or staff members. 17 M:IGeneral ServicesIDesignlAlI ProjectslSTLISTL335B Overl"f'TILj35B Bid Specs and Contract.doc SOUfHLAND PAVING INC. ::::,:::.::~:..':::.:':::.::::::'::~:,:,:'.:,:,'.,::::..,::.:.::.:c..':'::;;rAC df"F/F' 361 North Halo Avenue. Escondido. CA 92029.1716. Phone: 760-747-6895. Fax: 76D-141-1{](]1I ...-.._'-"-....._...._..,"''''...,,'"._--_._......~.....e=__=,~''; LiCllRSll No. 451131 July 2], 2009 City of Chula Vista Bett Juan 276 Fourth Ave Chula Vista, Ca. 91910 Ref: Pavement Rehabilitation Overlay 07/08 To Whom it May Concern: After reviewing the submitted bid per the aforementioned project, it has been noted that Southland Paving, Inc. made minor mathematical errors when completing our bid. In regards to Item No. 22, the total submitted was $30,725.80, the correct total should be $30,75 L80 which will reflect the striping bid sheet breakdown. Also, Bid Item No. 23 was written incorrectly as $29,] 28.65 and should be written as $29,622.66 to reflect the revised traffic control as per the bid sheet breakdown. Southland's revised total, with corrections made is $1,812.152.86. We stand by this value as true and correct and will accept this value as the bid award total. Please find the striping and traffic control sheets as well as a revised schedule of values, attached. Sincerely, SOUTHLAND PAVING, INC. 1J~/{enbteJ Bob Kennedy 7 Vice President 11-8 RESOLUTION NO. 2009- RESOLUTION OF.THE CITY COUNCIL OF THE CITY OF CHULA VISTA WAIVING IRREGULARlTIES, ACCEPTING BIDS, AWARDING CONTRACT FOR THE "PAVEMENT REHABILITATION PROGRAM (OVERLAY) FY 07/08 (STL-335B)" PROJECT TO SOUTHLAND PAVING, INCORPORATED IN THE AMOUNT OF $1,812,152.86, AND AUTHORlZING THE EXPENDITURE OF ALL AVAILABLE FUNDS IN THE PROJECT WHEREAS, City staff prepared specifications for the "Pavement Rehabilitation Program (Overlay) FY07/08 (STL335B)" and advertised the project on June 26, 2009; and WHEREAS, on July 20,2009, the Director of Public Works received nine (9) sealed bids for the project as follows: CONTRACTOR SUBMITTAL RESULTS BID AMOUNT Missing signed addendum and 1 Koch-Annstrong Gen. Eng., Letter of Authorizing Capacity. $1,722,620.00 Inc. Mathematical error. Actual bid total: $1,796,020.00 2 Southland Paving Inc. Mathematical error. Actual bid $1,812,332.85 total: $1,812,152.86 , SRl\i[ Contracting & Paving All requirements met $1,818,870.00 ~ 4 Hazard Construction Co. All requirements met $1,868,456.00 5 ABC Construction Co., Inc. All requirements met $1,878,840.14 6 TC Construction Co. All requirements met $1,986,627.00 7 Frank & Son Paving, Inc. Mathematical error. Actual bid $1,891,941.00 total: $1,856,841.00 8 Daley Corp. All requirements met $2,108,229.77 9 Sim J Harris, Inc. I All requirements met $2,130,000.00 WHEREAS, during the review of the bid proposals, the low bid submitted by Koch- Annstrong Gen. Eng., Inc. of Lakeside, CA in the amount of $1,722,620.00 was deemed to bean incomplete bid, due to the missing Letter of Authorizing Capacity and an unsigned addendum; and WHEREAS, staff, therefore, recommends that Koch-Annstrong's bid be rejected as non- responsive pursuant to City Charter Section 1009; and 11-9 - WHEREAS, staff reviewed the second low bid proposal in the amount of$I,812,332.85, submitted by Southland Paving Inc. of Escondido, California and found a minor mathematical error in the bid total; and ' WHEREAS, during its review of the second apparent low bid, staff concluded that the mathematical error favors the City's interest and was not significant; and WHEREAS, Southland Paving Inc. submitted a letter acknowledging the mathematical error and agreeing to decrease the lump sum bid total price to $1,812,152.86; and WHEREAS, the second low bid by Southland Paving Inc. is below the Engineer's estimate of $2,759,079.93 by $946,927.07 (44%). Staff has verified the references provided by the contractor with satisfactory results. The contractor has performed various work for the City of Chula Vista and other Cities and Counties and their work has been satisfactory; and NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby waive the irregularities, accept bids, and award contract for the "Pavement Rehabilitation Program (Overlay) FY07/08 (STL335B)" project to Southland Paving Inc. in the amount of$I,812,152.86. BE IT FURTHER RESOLVED, that the City Council of the City Of Chula Vista does hereby waive Council Policy 574-01 and authorize the Director of Public Works Operations to approve change orders as necessary and expend all available funds in the project. Presented by Richard A. Hopkins Director of Public Works 11-10 MEMO ,ql>))m~ ..w~II)f11G\J fI=,m#/1 ~\ft- ~ -- ~~~ CITY OF (HULA VISTA Department of Public Works File: STL335B DATI,: August 3, 2009 TO: FROM: The Honorable Mayor and City Council Jim Sandoval, City Manager~ ,,;>7: Scott Tulloch, Assistant City~nager R. A. Hopkins, Director of Public Works Iracscma QUi~Jtant Dircctor of Engineering VIA: SUBJECT: Waiver of Minor Irregularnies, Acceptance, and Award of thc Bid for "Pavcment Rehabilitation Program (Overlay) Fy07/0S" Project (CIP No. STL- 335B) to Southland Paving, Inc. This hearing being held today is to waive minor irregularities in the bid submitted by Southland Paving. Though Southland Paving was the 2"d lowest bidder, the lowest biduer had several significant omissions from their bidding uocuments. Prior to this Council Hearing, Chris Armstrong of Koch-Annstrong requested a bid protest hearing (see Attachment I). The hearing was hcld on July 30th at I I :00 am in Engineering Conference Room 146. Following the hearing, staff reviewed all of the documents submitteu, the faets presented, and the argumcnts made by the rcprcsentatives of Koeh-Annstrong. Considenng all ofthc evidence, staff concludcd that thc omissions 1,'om the bid uocumcnts WCI-e not minor or technical errors, but errors that could potentially put the City at risk if the contractor chose not to perform. The original decision to rcject the bid as Illcomplcte and non-rcsponsive was, therefore, uphcld. The speci tic dctails are addressed in the attached letter (Attachment 2) from David Miller, Deputy City Attorney to Mr. Armstrong. For clarification purposcs, the scope of the public hearing scheduled for award of the Pavement Rehabilitauon Program (Overlay) FY0710S Project is limited to whcther the Council deten11lnes that they will waive the minor irregularities in thc Southland Paving Bid. According to the City Charter Section 1009, such a hearing is requircd to waivc minor ilTegularities founu in thc second low-biu submitted by Southland Paving, Inc. Attachments cc: David Miller, Dcputy City Attorney i..! :\I:ngincer\AGEl\:DA \]nforrlmtion l\cms\tl.lisc\Public hearing STL335B.dnc JUL/23/2009/THU 09:39 AM Koch Arms~rong Eng FAX No, 619-561~0317 p, 002/002 ATTACHMENT I P.O. Bax 1190, lakeside, CA 92040 Tot (619) 561-2005 . ~ (619) 561-OS~7 July 23, 2009 City of Chula Vista Director of public Works/City Engineer. 276 Fourth Avenue Chula Vista, CA 91910-2631 Re: Pavement Rehabilitation Program (overlay) FY 07/08 Subject: Protest of Koch-Armstrong Bid Rejection Gentlemen: This ietter Is in response to the telephonic notification we received on w.eanesday, July 22, tt)at the City intends to reject our low bid for the above referenced project, We understand the reason for the intended rejection is that we submlttedan'unsigned addendum with our bid. For the follOWing reaSOns we believe the City should consider this omission of signature as a minor, technical irregularity, having nO practical effect upon the responsiveness or vaiidity of our submitted bid, and, award the contract to Koch-Armstrong General Engineering, ' " Reason #1: We acknowledged receipt ofthe City's faxed addendum by returning the Telefax Cover Letter on July 15. Reason #2: We submitted our bid on the revised bid proposal forms'6A, 7 A and SA which were a part of the addendum, Reason #3: We submitted a hard copy of the addendum with our bid, albeit unsigned. Reason #4: The addendum itself says that the addendum waS to be signed "."during the bid opening," City representatives who' opened the bids did not request nor offer the opportunity for cOntractors. to. sign the addendum during the bid ooening, We b~lieve this was a defiCiency on the Port of the City. We submit that these reasons are prima facie evidence that we aclmowledged and demanstrated to the City 'that we had both received and taken Into full conslderatian the addendum when we subrT)itted our bid. We ask that you reconsider your intention to reject our low bid and waive the signature omissioti,as a minor irregularity, If, after considering the foregoing, you still intend to reject our bid, pl!,ase advise us of the next step in the appeal process. . . Sincerely, ~~ent ATTACHMENT ~ ~~~ ~ .;: -"...~-"",~-",.., ~ ~~ ~ - (llY OF CHULA VISTA OFFICE OF THE CITY ATTORNEY July 24,2009 File: 0735-10-STL335B Mr, Christopher Armstrong, Secretary Koch-Armstrong General Engineering, [ne. P,O. Box 1190 Lakeside, CA 92040 REJECTION OF THE BID PROPOSAL FOR "PAVEMENT REHABILITATION PROGRAM (OVERLAY) FY07/08" PROJECT (CIP No. STL-335B) SUBMITTED BY KOCH-ARMSTRONG GENERAL ENGINEERING, INC This letter is to inform you that the Public Works Department of the City of Chula Vista has made a final detennination with respect to your bid protest, submitted by letter dated July 23, 2009 (attachment 1). In order to make sllch a determination, staff has review all of the documents submitted, the facts presented, and the arguments made at the hearing held on July 30,2009 ih Engineering Conference Room 146. Below, we will briefly address the bid review and each of the issues your finn raised in support of your position that the bid ~submitted by Koch-Armstrong General Engineering, Inc. (referred to herein as "Koch-Armstrongf!) should not be rejected as unresponsive. On July 20, 2009, the Director of Public Works received 9 sealed bids for the "Pavement Rehabilitation Program (Overlay) FY07/08" project. Following the bid opening, staff reviewed tile three lowest bids. During this review, it became apparent that the lowest bidder, Koch-Affilstrong, failed to adhere to cerrain submittal requirements, and staff determined that the bid package was incomplete. The reasons for the detennination were as foIlO\.\'s: . The "Addendum No.1" enclosure was not signed as required in the bid Proposal Requirements and Conditions. . The bid package submitted did not contain the required "Letter of Authorizing Signature" In your letter and during the hearing. you indicated reasons why the City need not adhere to these submittal requirements and. therefore, should consider Koch-Annstrong's bid to be responsive, Your arguments will be addressed individually below: 1. The lack of a signature is a fonnality. On all public works contracts with the City, signatures are necessary in order to make the contract enforceable. Addendurns, like amendments, are considered changes to or clarifications of the original contract. Though an original contract may have already been signed, absent a signature on the addendum 276 FOURTH AVENUE' CHULA VISTA' CALIFORNIA 91910' (619) 691.5037' FAX (619) 409-5823 ." "'-....._..-.._-_...~..._- Final Detemlination Kocb-.'1.nllstrong July 24,2009 - 2 - or amendment, such change or clarification would not be considered to be part of the contract. 2. Language of the addendum is contradictory in that it reads in two sections that"THIS ADDENDUM MUST BE SIGNED AND SUBMITTED WITH THE BID PACKAGE", it also reads that "Your bid package will be non-responsive and you will be a non-responsible bidder without signing and submitting this addendum during the bid opening," Of nine total bidders, only Koch-ArmstTong failed" to submit a signed addendum with the bid package. This fact would indicate that the average individual did not tlnd the statements to be confusing. The language requiring a signed addendum be submitted with the bid packet was printed in all capitals, bold, and underlined type. It was placed at both the beginning and end of the document. Additionally, any bidder that may find a bid requirement confusing has the opporrunity to ask the staff for clarification. Clarification is sent out as an addendum. The first addendum was such a document. 3. The error was a good faith error. Errors, regardless of the intent behind them are errors nonetheless. Thus, this argument is irrelevant. 4. The missing ':Letier of Authorizing Signature" was a redundant request and in addition, the signer is established by the corporate documents. Page 4 of the bid package reads "[t]he following bid documents must be completed and submitted with the bid:... 2. Provide letter (Individual, Co-Partnership, or Corporation) authorizing capacity(ies) for signing all official documents. As ;'must" is a word ofmandatc, such mandate is requireo-to be follc...ed. Though the signer may be established by the corporate documents, such corporate documents were not submitted with the bid. Without evidence of the autbority, the City is at risk ofbaving all unenforceable contract. 5 An award of the contract to Koch-Annstrong would save the City $34,000. Ifprice were the only factor in detennining to whom a bid should be awarded, there would not be a tenn I "non-responsive bidder." By considering only the lowest price, a City would be at risk of experiencing major contract disputes. 10 short, the bid package reads "Proposals may be rejected if they sh01ll any alterations oJform, additions not called for, conditional or altel'native bids, incomplete bids, erasures, or irregularities of any /....--ind. " (see attachment 2). Either the absence of the signature on tbe addendum or the failure to provide the "Letter of Authorizing Signature" would, by itself, make the bid incomplete. In addition, the nature of these failures potentially affects the City's ability to enforce the contract. CITY OF CHULA VISTA ;...'C; h"_C:,,,,,,,.,,~~,,~'J:,,<t Final Determination Koch-Annstrong July 24,2009 - 3 - Thus, the City has little choice but to find the bid "non-responsive" and award the contract to the next lowest bidder. If YOlillLe an.v filr,;;;:' qu~s( I~;.;2obeI1o Yano Sr. Civil Engineer at 6 I 9-207-91 95. ,Il "./ >1/ / . )~:(,/~t>/ t/ David Mille Deputy Ci Attorney. \ cc: Rick Hopkins. Director of Public It/arks / City Engineer Kirk Ammerman, Principal Civil Engineer Roberto Juan, Associate Engineer Roberto Yano, Sf. Civil Engineer -), CITY OF CHULA VISTA "-,:..C"",c.r.~,;;,~""",,,", THERE IS NO BACKUP MATERIAL FOR ITEM #13 A, B & D ~ (ft... -.- ~~~~~ ON OF CHUlA VISTA Mayor and City Council City Of Chula Vista 276 Fourth Avenue Chula Vista, Ca 91910 619.691.5044 - 619.476.5379 Fax MEMO :~_~..:;;..:..:..~~~~-..:..'" ..~.: " 'i' ~""'t'Jf".~U'.'jr~i~~. Thursday, July 23, 2009 TO: Steve Castaneda, Rudy Ramirez and Pamela Bensoussan FROM: Cheryl Cox, MaYOI~ The allached list of City Council Regional Commillee Assignments was approved by the City Council in January 2009. On .luly 21, 2009, the City Council formally accepted MI'. McCann's noticc of dcploymcnt on military duty. It also accepted thc California Military and Veterans Code provision that allows him to be reinstatcd to the City Council upon his return to Chub Vista after his military assignment has concluded. I recommend that at thc City Council meeting of August 4, 2009, the City Council review Mr. McCann's Commillee Assignments ancl determine the assignments that can be assumed by Mr. McCann's colleagues during his prolonged absencc from the City Council. c")('") Ell =';=i -<-< :0 ('")0 ;-.." ~ fT1 mC") () ::0::1;: N I'Tl "'.:c::: w (/) ;- o:bo < '"T1<: -0 fT1 :!J(/) N 0 C-)~'-j - r-rl ,~7:'. VI /3C- -/ DEPUTY MAYOR MCCANN I. Inter-Agcncy Water Task Force Cox, RAMIREZ and BENSOUSSAN are eligible. 2. Otay Valley Regional Park Policy Committee and Preserve Owner Manager (PaM) BENSOUSSAN is current Alternate. CASTANEDA is eligible to be Member or Alternate. 3. South County Economic Development Council (EDe) RAMIREZ is current Altcrnate. Cox, CASTANEDA and BENSOUSSAN are eligible to be Member or Alternate. 4. SANDAG Board of Directors - 151 Alternate RAMIREZ al1llBENSOUSSAN are eligible. MA YOR COX . Automated Regional Justice Information System (ARJIS) . City/Schools Task Force . Chula Vista Vcterans Homc Support Foundation . Metropolitan Wastewater Commission . SANDAG Board of Directors . U.S. Conference of Mayors COUNCILMEMBER RAMIIUcZ . International Council for Local Environmental Initiatives (lCLEI) -Alternatc . South County loconomic Development Council (EDC) - Alternate . Chula Vista Veterans !-lome Support Foundation - Alternate COUNCILMEMBER BENSOUSSAN . City/Schools Task Force . International Council for Local Environmental Initiatives (lCLEI) . Otay Vallcy Regional Park Policy Committee and Preserve Owner Manager (pOM)- Alternate . SANDAG Bayshore Bikeway Committee COllNCILMEMBER CASTANEDA . Inter-Agency Water Task Force . Metropolitan Transit Systcm Board of Directors (MTS) - Alternate . Metro Wastewater Commission (Metro Commission) - Alternate . SANDAG Board of Directors _2nd Alternate . SANDAG Energy Working Group - Alternate 2 /3c-;;l..... RESOLUTION NO. 2009 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA EXPRESSING ITS SUPPORT FOR SAt"! DIEGO GAS & ELECTRIC'S EMERGENCY POWER Sf-ruT-OFF PLAt"! MID ENCOURAGING THE CALIFORNIA PUBLIC UTILITIES COMMISSION TO APPROVE THE PLAN FOR THE SAFETY OF THE CITIZENS OF CHULA VISTA WHEREAS, both devastating wildfires in San Diego County in October 2003 and October 2007 created a tremendous hardship for local, regional, and state firefighting resources; and WHEREAS, the wildfires of 2003 and 2007 originated in the rural backcountry of San Diego County and spread rapidly to the west into more populated areas of the City Of Chula Vista; and WHEREAS, the evacuation of several hundred thousand residents of San Diego County was required at the time of the wildfires, as well as the deployment of the majority of the City Of Chula Vista's Fire Department; and WHEREAS, in an effort to ensure that new fire safety recommendations are implemented each year, Governor Schwarzenneger established a Blue Ribbon Task Force on June 29, 2009; and WHEREAS, the Task Force recognizes the critical role of timely emergency notification of the public of imminent threats and recommends that local governments prioritize the development of appropriate early warning systems to address the needs of their communities; and WHEREAS, with the annual fire season approaching, the City Of Chula Vista reviews existing and new fire safety policies and procedures annually in an effort to prepare for and properly respond to wildfires; and WHEREAS, San Diego Gas & Electric's Emergency Power Shut-Off Plan ("Plan") is a new fire safety option that would temporarily disconnect electricity service in areas of San Diego County where extreme fire and weather conditions create a high risk of wildfires; and WHEREAS, the Plan would only be used as a last resort to prevent catastrophic fires whcn all five of the following conditions are met: moisture level in "non-living" fuel is ten percent or less; moisture level in "live" fuel is seventy-five percent or less; relative humidity is twenty percent or less; the National Weather Service declares a Red Flag Warning; localized wind speeds are sustained at 35 mph or 55 mph gusts or greater with 30mph sustained winds; and WHEREAS, San Diego Gas & Electric, as part of the Plan, is committed to working with stakeholders to minimize the impact of any power outage by providing backup generators, /44-1 opening community care centers, and coordinating with fire, law enforcement, telecommunications companies, and the County Office of Emergency Services; and WHEREAS, while Chula Vista may be entering another fire season during serious drought conditions, it is important for the City to consider all options for preventing fires and allocating resources to protect Chula Vistans; NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista hereby expresses its support for San Diego Gas & Electric's Emergency Power Shut-Off Plan. BE IT FURTHER RESOLVED that the City Council of the City Of Chula Vista encourages the California Public Utilities Commission to approve this plan for the safety of the citizens of Chula Vista. / / Steve Castaneda City Councilmember Appfoved as t / Presented by /L/4 - J-.. 20 21 22 23 24 25 26 27 28 Application of SAN DIEGO GAS & ELECTRIC) COMPANY for Review of its Proactive De- ) Energization Measures and Approval of Proposed) Tariff Revisions ) (U 902-E) ) ) 2 3 4 5 6 Available at www.cpuc.com BEFORE THE PUBLIC UTllJTIES COMMISSION OF THE STATE OF CALIFORI'IIA Application No. 08-12-021 7 8 9 10 11 12 13 14 15 16 17 181 19 SAN DIEGO GAS & ELECTRIC COMPAt'lY (U 902-E) INFORMATIONAL FILING [N RESPONSE TO SCOPING MEMO March 13,2009 #228436 LISA G. URICK KEITH W. MEL VILLE Attorneys for: SAN DIEGO GAS & ELECTRIC COMPANY 10 I Ash Street Post Office Box 183 I San Diego, California 92112 (619) 699-5070 (Urick) (6 I 9) 699-5039 (Melvi!!e) (619) 699-5027 facsimile Lurick02semora.com Kmelville@sempra.com /'/4-1 25 26 27 28 2 BEFORE THE PUBLIC UTILITIES COiVLvIlSSION OF THE STATE OF CALIFORNIA 3 4 Application of SAN DIEGO GAS & ELECTRIC) COMPANY for Review of its Proactive De- ) Energization Measures and Approval of Proposed) ~ff~~~ ) (U 902-E) ) ) Application No. 08-12-021 5 6 7 8 SA!'" DIEGO GAS & ELECTRIC COi.YIPA.l'YY (U 902-E) INFORMATIONAL FILING IN RESPONSE TO SCOPING MEMO 9 10 Pursuant to the Rules of Practice and Procedure of the California Public Utilities 11 Commission ("CPUC"), including Rule 1.11, and the February 26, 2009 Scoping Memo issued in the above-entitled proceeding, San Diego Gas & Electric Company (SDG&E) has prepared its verified "Informational Filing" (see, Scoping Memo, pp. 11-13). A notice of availability ofthis document is being served on all parties in the service list to this proceeding (due to its file size). This Informational Filing will also be posted on SDG&E's web page where it can be viewed by all customers or other interested persons. 12 13 141 151 161 17 INTRODUCTION ] 8 In accordance with the Scoping Memo issued in A.08-12-021, San Diego Gas & Electric Company provides the California Public Utilities Commission with the following 19 20 Informational Filing, which responds to the questions posed in the Seoping i'viemo and 21 provides additional background and context related to improving fire safety and preparedness. 22 23 SDG&E's Emergency Power Shut-Off plan (known formerly as proactive de- energization), is part ofSDG&E's Community Fire Safety Program, which is intended to improve fire safety within SDG&E's service territory. The intent of this new program is to eliminate a potential ignition source during extreme weather conditions when fire risks are high. 24 #228436 /1/f}--5 10 11 141 00 ~V 21 22 23 2S 26 27 28 2 San Diego is not alone in experiencing the impacts of significant changes in climactic conditions and increased risk oflarge wildfires like those 'experienced in Southern California in 2003 and 2007. Other parts of California, the United States and other countries throughout the world are experiencing similar raging fires that are fueled by dry vegetation, drought conditions and wind. The recent wildfires in Australia are yet another example that has the scientific community closely watching to better understand the impact climate has on weather, drought and wildfires. SDG&E began a comprehensive effort to address fire safety issues for our customers given these circumstances. 3 4 6 7 8 9 12 California has been in near-drought conditions for the past eight to ten years, and the fire agencies have declared that the "fire season" is now virtually year-round. The Governor last month proclaimed a state of emergency due to water shortages and noted that continuing drought conditions increase the risk of devastating fires.' This proclamation is consistent with the Governor's Executive Order S-06-08 issued in 2008, which 13 15 declared a state of emergency due to drought conditions, and noted the extreme fire danger in California.' 16 17 According to a study by scientists at Scripps Institution of Oceanography at the University of California, San Diego, wildfires appear to be connected to natural cycles and may be part of a chain of reaction to climate change, Further, a report by the California Climate Change Center predicts that large scale wildfires in California could increase by 55% in this century due to changes in temperature and precipitation3 These conditions are real, impact our quality of life and require a steadfast commitment to safety for the entire community. 18 19 24 SDG&E's Community Fire Safety Program is a broad-based effort to educate the public and implement measures to improve fire safety in oLlr region. Key elements of the 1 http://gov.ca.gov/proclamation/l1557! ~ http://goy.ca.gov lexecuti ve-order/9797/ 3 "Our Changing Climate"; California Climate Change Center; 2006; http://www.energy.ca.gov/2006pub lieati ons/CEC- 5 00-2006-077 ICEC- 500- 2006-077.PD F 2 #228436 l'fll~ro 23 24 25 26 27 28 2 Community Fire Safety Program include; (I) strengthening selected overhead power lines well beyond normal standards by replacing many wood poles with stccl; (2) expanding inspections of overhead facilities, both on the ground and in the air; (3) disabling automatic switches that would normally restore power automatically after an outage; (4) restoring power only after a safety inspection; (5) enhanced vegetation management; (6) staging crews for quicker response; (7) proactively turning off power for safety reasons; (8) utilization of the Emergency Operations Center during emergency power shut-offs; and, (9) communicating with customers throughout the year on safety and preparing for potential power emergencies: among other actions. 3 4 5 6 7 8 9 10 SDG&E is also working with the Commission by examining a number of other statewide safety improvements as part of the Electric Safety OIR, R.08-11-005. SDG&E believes that this proceeding should result in rule changes intended to improve safety in the design and operation of the electric system, address pole overloading concerns, and vegetation management policy. Feedback in this proceeding from other utilities, telecommunication providers: fire agencies and other stakeholders is vital to the overall success to improve safety and complements SDG&E's Application for the Emergency Power Shut Off plan. II 12 13 14 15 16 17 The Emergency Power Shut Off plan was initiated to improve safety for all customers by proactively turning off power lines during extreme weather conditions for customers who live in hazardous fire areas when fire risks are high to eliminate a potential ignition source. [t is during these critical times that wildfires have the ability to rapidly spread and lorce the evacuation of hundreds of thousands of people. Because this is a new program, SDG&E recognizes that, through the Application process, workshops, public input, community open houses and agency consultation, suggestions may arise that could change the plan. SDG&E welcomes any suggestion that would improve the safety of the electric system, enhance communication with customers and reduce restoration times without compromising safety. 18 19 20 21 22 Moreover, conditions in the external environment (e.g., weather, drought, brush overgrowth, housing location and construction) are factors that could intluence the size 3 #228436 /t/i9 - 7 2 and scope of the plan. SDG&E intends to provide an annual update to customers - and to the Commission - of the Emergency Power Shut Off map, add more weather stations for more precise data collection, consult with fire agencies and other emergency responders and communicate with customers on an ongoing basis. SDG&E's earlier interim estimates indicated that the number of customers potentially impacted by the plan range between approximately 45,000 and 60,000 customers. SDG&E's current estimate of potentially affected customers is approximately 60,000 or about 4 percent ofSDG&E's 1.4 million customers. SDG&E will firm up this estimate on April 3, 2009, consistent with the Commission's adopted schedule for this proceeding. 3 4 5 6 7 8 9 10 11 The approximate number of potentially affected customers may increase in the future if the area involving weather-related and fire hazard conditions expands as determined by CAL FIRE or other fire protection agencies. However, it is important to point out that only a fraction (approximately 8,000 - 10,000) of the customers who could be affected would actually be shut off in any given year, event or in any proactive outage. Power would only be shut offto customers within a localized area where the risk of fire is determined to be high by CAL FIRE or other fire protection agencies. While the plan will be in effect year-round, SDG&E anticipates the impact to be over a period offour to six months out of the year, during the highest risk fire season. 12 13 14 15 ]6 17 18 19 SDG&E has continued to refine its plan, in consultation with fire and weather experts. We are continually refining our criteria based on these consultations. Since the initial filing in December 2008, an adjustment has been made to the fine fuel moisture trigger to provide a more appropriate level of safety and will include a measurement that is less than or equal to 10%. In addition, it should be noted that the Remote Automated Weather Station (RAWS) wind speed data is adjusted by approximately 15% to account for the fact that RAWS data is measured at six meters above ground level and SDG&E's triggers are selected to correspond to higher wind speeds experienced at the approximate height of its facilities, (ten meters). This value also provides a more accurate representation of the weather conditions impacting our facilities and provides for a more appropriate level of safety. SDG&E's plans to install additional weather stations and RA WS stations will 20 21 22 23 24 25 26 27 28 4 #228436 /Y4-f 2 provide greater accuracy and capture historical data that will benefit the plan, the National Weather Service, fire fighting agencies and the public. 3 4 With respect to the overall cost of implementing the Emergency Power Shut Off plan, SDG&E anticipates the cost for implementing the 2009 plan will be funded through operational efficiencies and does not require SDG&E to seek additional funding for implementing the 2009 plan. The estimated costs of this plan are modest compared to the fire-fighting costs and estimated property damage experienced during the wildfires in 2007. 5 6 7 8 9 10 11 SDG&E's 4,100 square mile service territory, which covers San Diego and southern Orange counties, encompasses vast undeveloped areas including national forests, state parks, open space habitat, county parks and private land. These areas are relatively close 10 heavily populated urban and suburban areas making the greater San Diego region vulnerable to wildfires. Open space areas historically have provided opportunities for catastrophic wildfires to start from any number of causes such as lightning, campfires and motorized equipment and rapidly spread to concentrated residential areas with little 12 ]3 14 15 16 17 18 19 20 21 warning. For decades, federal, state and local fire agencies have been successful in controlling and extinguishing the majority of fires in the region. Yet, when climate and fllel conditions are extreme, wind-driven wildfires can become uncontrollable, such as those that devastated Southem California in 2003 and 2007 and have recently ravaged parts of Australia. Fires such as these are difficult to SlOp until they run out offuel or the winds die down, or both. Over the past decade, wildfires in San Diego County alone have impacted lives, caused billions of dollars in damage, strained fire-lighting resources and damaged the environment. Both the 2003 and 2007 wildfires caused widespread power outages that left clIstomers without power for several days. fn some cases, due to extensive d~mage to the electric system, people living in the most remote and rugged areas were without electricity for weeks before the power delivery system could be rebuilt. 22 23 24 25 26 27 28 5 #228436 /~/f -'1 21 22 0" d 24 25 26 27 28 2 In the San Diego region, Santa Ana winds are a regular occurrence in the fall and early winter. These strong, dry, offshore winds are endemic to this region and provide an environment for rapidly spreading fires. Such winds historically have led to some of southern California's largest and most damaging fires. The Commission, SDG&E and all customers should take every necessary precaution to reduce potential ignition sources and have emergency plans in place. 3 4 5 6 7 8 SDG&E representatives have met with public agencies, firefighting agencies, emergency responders, CAL FIRE, the San Diego County Office of Emergency Services, the American Red Cross and customers to solicit feedback and address concerns about the plan and the impact of a potential power outage. The Application process is providing an additional venue where issues concerning special-needs customers, water reliability, schools and others are addressed. 9 10 11 12 13 14 Starting in 2008, SDG&E has met numerous times with the impacted water utilities, communications companies, schools aod other essential use customers. These efforts have been in addition to the outreach efforts provided to the general group of customers. SDG&E stands ready to work with water utilities, communications providers, schools and other customers affected by the Community Fire Safety Program on a one-on-one basis. ] 5 ]6 17 18 19 20 SDG&E is particularly concerned with special needs customers and is committed to meeting their needs by providing medical transportation service, establishing customer care centers, and providing modest financial aid to cope with an Emergency Power Shut- Off event. SDG&E is also very concerned with schools and will discuss with the school districts options to address their needs, including the safety of children. SDG&E will work with water agencies; communication companies and fire fighting agencies to identifY facilities of greatest importance and assess their needs as well. 6 #228436 /'//1-/0 2 With respect to the telecommunication providers, SDG&E is aware that telecommunications service (wire, wireless, Internet) is a vital part of an overall emergency preparedness plan for customers and critical to San Diego County's AlertSanDiego program that utilizes reverse 9-1-1 in an emergency. SDG&E representatives first met with telecommunication providers last fall to advise them of the program and shared historical weather related data and mapping information. SDG&E also developed notification protocols that would give telecommunication providers advanced warning of a potential power outage at their critical facilities so that they can respond to a power emergency. 3 4 5 6 7 8 9 10 The three technical workshops scheduled in March and the additional workshop in April should provide a productive venue for vetting potential solutions before the Emergency Power Shut-Off plan is implemented September I, 2009. Public participation hearings in April will also provide feedback which will be considered. II 12 13 14 15 16 17 18 ]9 As an additional communication tool, individual customers, such as residential customers, can identify which weather stations would impact their account by entering their address on the interactive map available on SDG&E's website (www.sdge.com/tireprepl) or by calling SDG&E's Customer Contact Center (1-800-411- SDGE (7343). Tne website also allows customers to monitor for themselves the conditions at each ofthe weather stations that could impact their service. 20 As noted above, SDG&E is taking a wide variety of steps to maintain the safety of its electric power system. A power delivery system, particularly those portions located in dry, windy areas is vulnerable to extreme fire weather conditions. SDG&E believes that limited power outages on an infrequent basis in high-risk areas, triggered only under extreme weather and fuel conditions and after taking other precautionary steps, are a far less costly outcome than widespread damage to private property, local infrastructure and the electrical transmission and distribution systems. The Emergency Power Shut Off plan as part of SDG&E's broader Community Fire Safety Program is vitally important to the health, safety and welfare of our community. 21 22 23 24 25 26 27 28 7 #228436 /fit-I/ soS,Pl .f -- SDG&E'S COMMITMENT TO ENHANCING EMERGENCY PREPAREDNESS IN THE REGION \ A ~ Sempra Energy utiml To help prevent future wild fires in the region, SDG&E may activate the Emergency Power Shut-Off Plan (EPSO) during the most extreme weather conditions. We do not expect these conditions to happen more than once or twice a year, and the power outages would affect 70,000 customers or less. But emergencies can also happen at anytime and SDG&E is prepared to help our region's emergency readiness, no mailer what disaster strikes. Customer service and safety are paramount, especially when the lights go out. To help customers prepare for a power outage and improve the region's overall preparedness, SDG&E is doing and will provide a number of community benefits and customer assistance programs at a cost of up to $40 million or more as part of the EPSO plan, conditioned upon regulatory approval. Helpinq Customers With Special Needs - $1.7 to $3.5 million . Community Care Centers with .the American Red Cross - will be opened before, during and after an EPSO event to provide food, water, back up power and timely information on when power will be restored and help people during a power outage. . Transportation for Medically Sensitive Customers - to and from a location at no charge during an EPSO event. . Financial Assistance - valued up to a $250 debit card for all low income and medically sensitive customers impacted by an EPSO event. . Enhanced Customer Outreach - to the disabled community including San Diego Regional Center, San Diego Center for the Blind and Deaf Community Service plus implementing new text communication for the hearing impaired. Emerqencv Generators for San Dieqo County - $6.5 Million . Emergency Generators for Critical Water Facilities - SDG&E is committed to providing a back up emergency generator pool that includes 6 large generators and pre-wiring of transfer switches at 20 critical sites to support rural water districts in the County. . Emergency Generators for San Diego County Schools - SDG&E is committed to providing a back up emergency generator pool that includes 15 portable generators and pre-wiring of transfer switches at all schools located within the EPSO area. Electric Infrastructure Improvements - $30 million . Installing Over 140 Advanced Technology "PulseCloser" Switches - in the mountain and inland regions to detect outages, enhance safety and help restore power faster. . Lilac Transmission Enhancements in North County - to reduce customer impacts, improve reliability and help maintain service at critical water facilities in the Valley Center area of North County. . Replacing Wood Poles with Steel Poles - in high fire risk areas to improve reliability and maintenance (cost not included). . Borrego Springs Emergency Generator - will provide additional reliability to.the community in the event of a loss of power to SDG&E's transmission line that feeds the area. VI /'119 -/..L SDG&E'S COMMITMENT TO ENHANCING EMERGENCY PREPAREDNESS IN THE REGION . Expanded Inspections and Tree Trimming - to improve safety and reduce the risk of fire. Enhanced Reqional Fire Fiqhtinq Capability . High Capacity Helicopter - SDG&E is purchasing a high lift capability helicopter for construction of the Sunrise Powerlink starting in 2010. The helicopter will be equipped with fire fighting capability which can be deployed under cooperative agreements in coordination with fire fighting agencies, County of San Diego and others. Coordination With Other First Responders . Communication and Coordination are Critical- and SDG&E is committed to communicating and coordinating with the County of San Diego, fire fighting agencies, law enforcement and communication companies' and other emergency responders. . Mapping and Weather Station Information - will be provided in advance to ensure other first responders are ready before an emergency or loss of power occurs. . Enhanced Notification - so that first responders, including communication companies have the ability to respond faster to any emergency or EPSG event. t:I:t:I:t:I: V1 /Pf-13 SOG!3 llt';;.ii";'~'h.lHlif About the Community Fire Safety Program r~ A ~ Sempra Energy utility' Overview SDG&E is taking a number of steps to improve safety and reduce the potential for fires during the high risk fire season in San Diego County and south Orange County. Catastrophic wildfires fanned by the seasonal Santa Ana winds are becoming more common in the region due to the extremely dry conditions caused by a prolonged drought in Southern California. After consulting with Cal- Fire and other fire-fighting agencies, law enforcement and others, we have made several changes to our facilities, operations, and procedures. Key Elements of the Program to Improve Safety 1. Increased inspections, vegetation management & tree trimming 2. Enhancing the electric system 3. Disable automatic switches 4. Staging crews during Red Flag Warnings 5. Expanded customer outreach & preparedness 6. Emergency Power Shut Off In response to a request from the California Public Utilities Commission (CPUC), SDG&E filed an application in 2008 outlining the emergency shut-off plan. The proposed shut-off plan would potentially affect about 4 percent of SDG&E's 1.4 million customers, most of who live in eastern San Diego County. Under the plan, power lines would be turned off only when five extraordinary weather conditions, measured by the National Weather Service and fire-fighting agencies, occur at the same time. We do not expect these conditions to happen more than once or twice a year, and the power outages would affect 10,000 customers or less. If ordered to restore power for safety reasons, we will do so after checking for safety. The Commission is expected to make a decision on the plan in August 2009, before the start of fire season. Helping Our Customers To help prepare our customers, SDG&E with the American Red Cross will open Community Care Centers to provide food, water and vital information. SDG&E has offered to provide generators to schools, water facilities as well as assisting communication companies. For customers with special needs, financial assistance will be provided and transportation will be offered to customers with medical needs. Safety is our top priority, not only during the fire season but year-round as well. Our mission in the area of fire safety and preparedness is to be ready when fire potential is high, while still delivering safe and reliable energy. v.1.71009 If/! -/if Donna Norris Page 1 of 4 If/JDf 1Io/J/jL /1f/f0tf/JJ/J77CAJ / Te/Yl //f f} Sam.Attisha@cox.com Monday, August 03, 2009 5.24 PM Cheryl Cox; Rudy Ramirez; Steve Castaneda; Pamela Bensoussan; John McCann Jim Sandoval; Bart Miesfeld; Donna Norris; Michael Meacham; Esther.Northrup@cox.com; Joe.Gabaldon@cox.com; Ileana.Ovalle@cox.com; MyMy.Lu@cox.com Subject: City Council Agenda Item 14A, August 4, 2009 - Request Opposition Attachments: image006.gif; image005 emz; image004.gif; image003.emz; image002.jpg; image001.jpg; image008.emz; image010.emz From: Sent: To: Cc: c August 3,2009 The Honorable Mayor Cox and Council Members: City ofChula Vista 276 Fourth Avenue MS A-IOO Chula Vista, CA 91910 Re: City Council Agenda Item 14A, August 4,2009 - Request Opposition Dear Mayor Cox and Council Members: This letler is submined on behalf of the San Diego County Superintendent of Schools, (the "School Districts") a coalition of Water Districts within San Diego County, back country rcsidents, consumer groups and communications service providers opposing the proposed resolution by the Council of the City of Chula Vista ("City Council") to support San Diego Gas & Electric's ("SDG&E") proposed power shut-off plan ("Plan"). SDG&E's Plan is couched as a fire prevention mcasure: however, SDG&E has presented no evidcnce that its Plan reduces the overall risk of fire. The Plan addrcsses only one fire ignition source - power lines - which according to Cal Fire account for the ignition of only 3% of wildfires in the atl'ected area. In the event a fire ignites from anothcr ignition source, which accounts for 97% of wildfires in the affected area, SDG&E's Plan leaves the affected community especially vulnerable and will inhibit the community's ability to effectively respond to an emergency, as discussed in more dctail below. While the undersigned support sound efforts aimed at reducing the risk of fire, SDG&E has not shown that its Plan will do so. Rather, SDG&E's proposal would subject San Diego County residents to new and unnecessary safety risks while seeking to insulate SDG&E from any liability that results. Contrary to its claims, SDG&E will not provide advance notice of specific shut-offs, because SDG&E will shut off power immediately when the environmental triggers are met. Notably, the Plan would not shut off power in the Chula Vista, but rather, in other parts of San Diego County. Thus, the most significant of the Plan's negative impacts will not be felt by Cit)' residents. We have detailed these ncw risks and the burdens SDG&E's Plan would placc on others in the California Public Utilities Commission proceeding reviewing the plan. This letter highlights only a few of the numerous and extcnsive risks and burdens SDG&E's plan would create. 8/4/2009 Page 2 of 4 For these reasons, we strongly urge the City Council to oppose the Plan. School Districts. The Plan would impose serious risks on schoolchildren and teachers. For example, a shut ofT could prevent School Districts from contacting emergency services or a parent if any student were injured. School Districts may not receive emergency warnings, thus hindering their ability to protect schoolchildren and teachers. Without power, school facilities could not be used safely as shelters during emergencIes. The Plan also threatens the School Districts' funding at a time when it is needcd most. Average daily attendance funding ("ADA"), which is awarded on a per child attendance basis and provides the bulk of School Districts' funding, would be reduccd when schoolchildren are sent home during a shut-off. Water Districts. The Water Districts require thirty-nine new generators to ensure critical pump systems provide water service during a shut off to' 200,000 County residents and the firefighters that protect them. Yet, SDG&E has agreed to provide only six generators. Moreover, SDG&E will not guarantee actual notice to the Water Districts, or any other entity, prior to de- energizing. Rather than commit to providing actual notice, SDG&E has informed the Water Districts that they should monitor SDG&E's website for indications that the shut-offtriggers have been met. Disability Rights Advocates. People with disabilities are at particular risk ifSDG&E shuts off power on its Q\vn initiative in the absence of an actual emergency for several reasons, including their disproportionate reliance on telecommunications to live an independent life and specialized needs for a consistent power supply. For example, if SDG&E pro-actively turns the power off, people with disabilities will be unable to obtain news coverage that would inform them of the need to evacuate in the event of an actual emergency. Additionally, they may be rendered unable to contact caregivers, family members or friends for assistance in evacuating. Further, they may not be able to maintain particular conditions necessary to accommodate their disabilities, such as keeping medicine refrigerated or a consistent power supply for life support equipment. Community Groups. Community groups are concerned not only by the prospect of the loss of convenience and productivity that a potential or actual shut-off would cause, but also with the fact that a shut-ofT poses its own risks to life, health and safety. In particular, as the eyes and ears ofthe back-country it is usually backcountry residents who call in to report fires and such rapid reporting is critical to firefighters successfully putting out backcountry fires before they spread. IfSDG&E turns off the power, it will necessarily disrupt communications services and water servjces~ \\'hich means fires will likely burn longer and farther prior to firefighters arriving. In addition, without power, back country residents will be required to utilize thousands of barbecue grills, candles and gas-powered generators - many of which may be possibly ill-maintained -- to compensate for the loss of power. Each of these is a potential ignition source. Just as problematic, while it acknowledges that the existence of 35 mph winds will be the criteria that triggers an automatic power shut off, SDG&E has admitted that it included this relatively low wind speed in its proposed slun-off criteria in order to facilitate fire suppression efforts and not to reduce the risk of fires started by power lines. Communications Providers. Communications providers provide critical services -television, high speed Internet and both land line and wireless telephone services - that the County of San Diego, City of Chula Vista and residential and business customers throughout San Diego County heavily relied upon during the 2007 fires and will need to rely upon during future fires. Public safety agencies rely on these services for planning, for dissemination of information to the public and, importantly, to evacuate people during emergencies. Indeed, the proposed draft Resolution notes that Governor Schwarzenegger's Blue Ribbon Task Force has emphasized the "critical role of timely emergency notification" and recommends that "local government prioritize the development of appropriate early warning systems." Additionally, San Diego County's report on the 2007 8/4/2009 Page 3 of 4 fires concluded that communications systems were critical to the successful distribution of information about the fires and the evacuation of over 500,000 people. For example, the report states: . An estimated 515,000 county residents were evacuated through the use of the Reverse 911 and AlertSanDiego mass-notification systems. This was the largest single fire evacuation in U.S. history; . 211 San Diego answered approximately 109,000 calls and assisted with providing timely and accurate information; and . The www.sdcount\.emer~y.com \....ebsite received approximately 10 million visits during the fires. San Diego County uses Reverse 911 in conjunction with emergency alert systems (EAS) messages, which certain communication providers are required by Jaw to distribute. As such~ access to communications services is absolutely critical during an emergency situation. Communications providers have back-up power in place to handle typical power outages, and they follow business continuity plans during emergencies to help maintain their cOl11munication services. Ho\vever. SDG&E's shut offs would be so long that they would exceed the back-up power capabilities of certain telecommunications equipment, including cell sites, and thus likely would cause wireline and wireless communications to fail or be interrupted. Interruption of wireless communication could be particularly harmful as it is often the only means of communication for fleeing residents. \Vithout power at their homes, impacted residents could not watch television because power is needed for a television to work; they could not access the Internet because power is needed for a computer and a modem to work; and they could not place or reeeive calls on a cordless telephone. The Plan. Under the Plan, SDG&E would automatically and unilaterally turn off power in ccrtain areas when five pre-determined conditions exist, regardless of whether a fire has already started. Once off, power would remain out for twelve to seventy-two hours, thus leaving communities without power in the event a fire is started from a source other than power lines. The Plan is not well-developed. For example, SDG&E indicated earlier this year that it would rely on the San Diego County OES to provide notice of a possible shut-off. But San Diego County rejected that idea and determined it would not enter into a memorandum of understanding with SDG&E with respect to the Plan. Indeed, the San Diego County Board of Supervisors recognized the significant deficiencies with SDG&E's Plan when it recent Iy voted 4 - 0 to oppose it. The Undersigned Recommend That The City Council Oppose The Plan. The undersigned are not suggesting that power shoold never be shut off for public safcty reasons. Indeed, there may be times when, based on the given situation, power may need to be shut off. However, based on the record the California Public Utilities Commission has developed on this application, SDG&E has not shown that the Plan would reduce fires or enhance public safety. SDG&E has not developed its plan in consultation with affected governmental agencies. SDG&E has not substantively considered and responded to the needs and concerns of other stake holders. SDG&E has, howcver, requested that it bear no responsibility or liability for the consequences of its shut-offs. For all thc above reasons we respectfully request that the City Council oppose the Plan. Sincerely, C',: I . r)'h-. K. J!~' ?- . ~r 8/4/2009 Page 4 of 4 Sam Attisha Cox, Vice President, Govemment Affairs & Business Development Ignacio De La Torre A 1'&1', Executive Director, External Affairs .on behalf of the following: San Diego County Superintendent of Schools Valley Center Municipal Water District Ramona Municipal Water District Padre Dam Municipal Water District Fallbrook Public Utility District Rainbow Municipal Water District Yuima Municipal Water District Disability Rights Advocates Utility Consumer's Action Network AT&T California Cable & Telecommunications Assoc. Cox Communications CTIA - The Wireless Association Mussey Grade Road Alliance Time Warner Cable cc: James D. Sandoval, City Manager Bart Miesfeld, City Atlomey Donna Norris, City Clerk Michael Meacham, Director, Conservation & Environmental Services Dept Sam Altisha Vice President-Business Development & External Affairs Cox Diamond View Tower 350 10th Avenue, Suite 600 San Diego, CA 92101 619-266-5653 direct 858-245-7325 cell 619-266-5600 fax sam.altisha@cox.com ~ ~:'R' Please consider the environment before printing this emai!. 8/4/2009 ~ ..-L.- ~\........., \.'+- . .... SDG/J I ./E {~ A ~, Sempra Energy utility~ A Plan to Improve Power Line Safety in San Diego Community Fire Safety Program July 27, 2009 '@ 2009 San Diego Gas & Electric Company, All copyright and trademark rights reserved: > (~- C/. ~ I~ ;;',S3 ~ ..~. ~ ~. en f>> :i a -. CD u:a o :t -. - a. .... -. ; en N o o ~ Southern CaUfornia fire Spending ~~i1l1:,~~,~,';;f~'l(~~'~ . ~... ~~~f')' .';' \~.;,\"- \ J ( . .. 'F.;' .;".. I".,L . '.. . _.....~'~-:-"_"-,l.",.~_~ ' ' ' * &.:~_, " .' ~op.ylation" . Los Angeles 10 million 4,060 Orange 3 million 790 San Diego 3 million 4,200 ..Countyyvide .. Fire:Spending* '.:V:-"',<,. ,.. ':-">!Ci\,,b... .c.," l;;,:',!>' -.':: $2.2 billion $542 million $475 million *AII numbers are for FY 2007 - 2008 Sources: San Diego Institute for Policy Research: How San Diego's Investment in Fire Protection Stacks Up 3 soG/" _'E . , A ~ Sl'mpra Em.rgy utilily ~ ~ Challenges ~bt San 19icgo ltnion~ijtribunc. ~C?~ Final Saturday. Auqust 1, 2009 Fire officials prepare to scale back operations Lawmakers shifted $2 billion in local property tax to state By Michael Gardner U-T SACRAMENTO BUREAU Gov. Arnold Sch\\'nrl.':~l1cggcl' and la\\'makcrs arc horrowing mOlley from locallirefightcfS. even with another catastrophic inferno just a li"IHning strike Of CITanl nlatch <lW<I\'. C' Across' San Diego COllllty, many ~Iin.: distrir.:t officials say they will have 10 raid reserves or scale back noncl11crgenc)' services to cover the property tn.x losses. which could cumulatively reach into the millions. III Julian. volunteer fircfighh..'rs prohahly will have to go another year without a check of $5 per rcspOllS": In cover gas. 111 Fa[lbnxlk, SI)lllC fire pn:-verHioll and pllh- ]ic cducation prugrams arc to he trirnnted. III Ramona, irunically, officials will lose a large share of the money the local district now uses to pay its contract with Cnl Fire, the state's Jirdighting agency. Statcwide and locally, lirc orliciHls :1J'l: quick to I )IC the' have t~ ken sto.:ps 10 nake 'LIre pub- ..!_^ '-'1><"""'''..,"1. ~ ...",,',.,..,.,'. '....".:. ?"".,.=- "_..",.,.,,.co.>>c;' 4 lic safety is nOl compromised. "\Ve will still ~I!tack. \\.-'c will still respond. But the whole systCll1 is stressed:' snid Alameda CUllnty FirL~ Chief Sheldon Gilbcrt, presidcllt of the Calit1.xnia Fire Chief" Associntioll. Tn help c1ose:1 $24 billion delkil, Schwar- J:clll:gger and l:nvmakcrs shifted $2 hillion in ]ocal pn,JI~rty tax funds 10 the state's aCt:ount. Ulltk~r a voter-approved ballOI measure, Ihe mOlley must be returned \vith interest of up to () percent by June 30, 20] 3. "He did,,'t cntcr into this lightly:' said H.D. Palmer. a spokesman for the governor's Depart- ment of Fi Illlllce. Also, new budgl.:t-related legis]ation gave districts withoul adequate reserVes the ability to take out a loan Ll~il1g the slatc's repayment re4uiremcnt as coJJaler~J. "\\'e won't borrow," said K.....vin Dubler. chic" {If Ju]ian-Cuyamaca Fire Protectil)n District, echoing otl\(.'r chiefs. "Thai just puts everyb<.x1y further '11' ,. Hardest-hit will be dislricts that heavily 1'<:'ly on property taxe~ and l1~e most of that llIlJlley 10 P:IY C:.\I Fil-C, There arc also independcllt fire districts that raisL' rI.'VeIHIl..' through a comhina- tion of property taxes and hnm('()\vner fces. BOlh anticipate a loss of roughly X percent ill pnlperty ta" n:velllle. CuI Fire contracts wilh 144 tin: districts. including si", in S:lll Diego COLlllty. "It will definitely affect evcryhudy:' said .Jem Torchia, deputy chief of the North County Fire Protection Distl-icl ill Fallhrook. 'I\.II-<.'hia said his district will han: to gel by on about S I million less. To do th:n. the districl wifllikely tap reserves. Icave fOllr admil1jstra~ tive p()sitiolls vacant and cxplore scaling hack pllblie olltre:lch allll1in: I>revcntillll pn>gnlms. "\\.-'e can't go very long:' Torchia said. "\Ve don't have Ihat big of a piggy bank."' The Ji5- trict has $2.5 millioll set aside for emergencies. he said. I 'an's Dubler anticipates llsing I' "'.1. ..JI/..",;;,,:~,.~ .,_<Y.'.....;_~ '.."'-- ~""',..;::- soG- _'E (}.J A Y.':)~ Sl'lTIpra ElH:rgv uti It}''' ~ Community Fire Safety Program · Pole and power line inspections · Tree-trimming/brush clearing · 700+ new steel structures · Undergrounding power lines · Disabled automatic switches · Staged work crews · New detection technology 5 , \ \. \, \ " . saG," _'E , A ~ Scrnpm EnNg'.' Ulility' Emergency Power Shut-Off Plan · Last resort - extreme weather · Five conditions must be met · Coordinate with police, fire & emergency responders · Six hour, two hour & event notifications · Average EPSO event . Impacts 8,000 - 10,000 customers . Once or twice per year . About one day without power 6 I I 1 I I ! . I I I I j , I , , , i , , 1_" soG/' _'E . , A ~ Sempra EnNg~' utilil)' ~ mf the ShutaOff Plan is Implemented... Then SDG&E will... · Open Community Care Centers · Provide transportation for special needs customers · Offer financial assistance for those in need · Provide a pool of generators for schools, water districts, communications companies & care centers 7 "",.c",...~(_....~\,,:, ~ ,,~ ' .."1.: ~i~I, .~},v" '," . ' ,t, ~ '1' ----'.'" .,. . . ", a~ ~jg;hf.3.. '-,,',!~ .~.::. ..... ',~'~"" ~ ,.f' :', '" "".", '~;t..... . ~I........ . ~ /.. E' - -..r.;"'I5-~'" \,,(! "':'l~ \ J' .oJ -' .~I J.", \~y,.., _ ( ._-,. / . ,/.. . t. o ~~_~h..'-" - . lid Gl' - . --"'.'. ~~~-. ~ soG- __if fY AQ, Semprll Enngy utility> ,- " " - -, \ - IP B<tlIC..nyon h,;/ . SAN'S).!STRANQ- -- TlIl&ga h, SAN MENTE 2009 SDG&E Emergency Power Shut Off 17 Sub-Regional Potential Outage Areas Potential Shut-Off Areas Please tlale: The pOH!f1bal far power outages Ullller ltvs program.... be ~mled oriJ'lQ I3rgelad I\lgll-nsk ~re areas wl>e<elocalweatllersl3tKlnsondoealesevereconcUloM.AJ1 "reas 'MIl not bt' Shut off logett>er, each individual Wl!alhef statoonW1ttiFl(l,eatewtllcha'ea(sjtslares.uoJedlOlheoutage Note: SewraI areas are assooaled to rrorelllOO (JI'lI!weathe< &t3lJOr1.lnlho$eCilis.es,~WIllbede-e"'''l.JlZed'lany 01 lI'e assoeiated weather StabOnS II'le'elmelle-enerQlZecnttna COIorsl'Iadlnglhatappearsd;/Ienm\lI\;Inlhe!egendISOue\() ~rtappiog.'eils Note: These shaded areas represent lIle rnaximum area of impOld "assOClalecf' toeadlwelltherS18l1Of1 " Legend D = Potential Outage Area By RAWS c::J Alpine CJ Oak Grove C:=J Ammo Dump c=J Palomar CJ Bell Canyon CJ Pine HH1s CJ Cameron CJ Potrero c=J Camp Elliott [:J Ranchila J:'j:;'i:<1 Descanso c=J San Miguel c=J Goose Valley CJ Talega CJ Julian CJ Vaney Center u=:J Mount Laguna A Remote Automatic Weather Station (RAWS) o 2 4 a 12 16 20 a:_:_====--=-====_ Miles "'- - .-'- Publls.he<;l;ApoI3,2009 SaGa ='E 8 . l A ~ Sempra Energy utility. Typical Outages vs. EPSO 3500 3000 2500 2000 1500 1000 500 o Source: San Diego Gas & Electric 9 Average Annual Power Outages in SDG&E Service Territory 3,200 1-2 Unplanned Planned Outages Outages EPSO Outages soG- ...../E , A W St'Jn[Jf3 Elwrg'l util t.,.~ Support for Shut..Off Plan ~. J.-~"#a11.r:' irW..~._-...~.F "~. ",. --~" ! "~.". .~~ ~z~-,.~_~ ''',_ - ~~\"i 'i'iitli ,"",~;;.ii::I" ix,,-;: ~'I' . '] ~ ",::", ~""',";j"'" , -' ,. . J,. (, ~l..-.'--~~"', ;1,(";.,,"/' l/,,;,~!~\",_ J' ( - ,~~, . rX.' -,- -, / ,\",-,(" ." . t,' "",. _ "~ ~'7"c"..\_L --: _~_~ _ __'. all Uili ~tuiturar __r:~~~rces "This proposal...may reduce the number of catastrophic wildland fires in California, saving both lives, property and precious resources." Michael Chrisman Secretary, California Natural Resources Agency soG- _'E 10 , , A ~ Sempra Energv utility A The Bottom Line About 10,000 customers may experience an EPSO outage one to two times per year for a day. Our program will help prevent catastrophic fires soG.- ....,'E 11 . I A ~ Sempra EnNgY utility. ~~f? ~~.. ~ " ~-~= Councilman Rudy Ramirez City Of Chula Vista 276 Fourth Avenue Chula Vista, Ca 91910 619.691.5044 - 619.476.5379 Fax MEMO ClN OF CHULA VISTA 'i~~li,~~f ~y}~~~~~~-~.,r;J,,".\"~'; '~~1.~" ~~.,(~<"ir~.:~ L~ ~1;';'.'Uc"~'1;.1 DATE: July 30, 2009 TO: Honorable Mayor and Members of the City Council FROM: Councilman Rudy Ramirez CC: Donna Norris, City Clerk (For inclusion in the August 4, 2009 City Council Agenda Packet) RE: Consideration to send letters to the San Diego Unified Port District, California Independent Systems Operator (CAISO) and the California Regional Water Quality Control Board conveying the City Council's unified position on the removal of the South Bay Power Plant .;;" ".~~.g'~~. ~}.~.~"~'....;?~->.'~~~~~. ,_..~i '~~~., r.::" ...~~ _lr i~~.o:14 -~01~"',>. ~';.,{. ....';",,:. .. The next few months are critical regarding the City's ability to impact the closure and removal of the South Bay Power Plant (SBPP) - a goal that I believe we all share in our effort to enhance the Bayfront and maximize its tremendous wildlife habitat, public access and economic potential. The Board of the California Independent Systems Operator (CAISO) is expected to make its recommendations for Reliability-Must Run (RMR) contracts for 2010. The California Regional Water Quality Control Board will make its determination on the renewal of the NPDES water discharge permit. The lease term of the SBPP with the Port District ends unless the RMR is renewed. The Otay Mesa Generating Station is currently in the testing phase and will be on-line in the fall which along with other new generation, demand management and conservation programs significantly reduce, or eliminate, the need for the SBPP. I would like to add my support to the work being done by the City Council Energy Subcommittee and request at the August 4, 2009 City Council meeting that we, as a City Council, send letters to the San Diego Unified Port District, California Independent Systems Operator (CAISO) and the California Regional Water Quality Control Board that convey our unified commitment to the removal of the South Bay Power Plant and the Council's request for these agencies support with regard to the Council's efforts. It is imperative that the full Council go on the record with these agencies, directly and immediately, about our commitment to the removal of the power plant. If we are silent or equivocal in our position as a Council, we risk being overlooked in the regional energy decisions and our goal to enhance our Bayfront will not be realized. I~~-/ THERE IS NO BACKUP MATERIAL FOR ITEM #14 C