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Home My WebLink About2009/10/06 Agenda Packet1 declare under penalty of perjury that I am employed by the City of Chula Vista in the Office of the City Clerk and that I posted this document on the bulletin board accord^ng tpr // Brown Act requirements. `\) ted ~@ 2~~ Signed -K`""' 1, -~ ~~--- `~~ CIIY OF CHULA VISTA Cheryl Cox, Mayor f~ Rudy Ramirez, Councilmember James D. Sandoval, City Manager Mitch Thompson, Interim Councilmember Bart Miesfeld, City Attorney Pamela Bensoussan, Councilmember Donna Norris, City Clerk Steve Castaneda, Councilmember October 6, 2009 4:00 P.M. CALL TO ORDER Council Chambers City Hall -Building 100 276 Fourth Avenue ROLL CALL: Councilmembers Bensoussan, Castaneda, Ramirez, Thompson, and Mayor Cox PLEDGE OF ALLEGIANCE TO THE FLAG AND MOMENT OF SILENCE SPECIAL ORDERS OF THE DAY • INTRODUCTION BY GARY HALBERT, DEPUTY CITY MANAGER/DEVELOPMENT SERVICES DIRECTOR, OF EMPLOYEE OF THE MONTH LYNETTE JONES, SENIOR PROJECTS COORDINATOR • PRESENTATION BY CITY MANAGER JIM SANDOVAL AND ASSISTANT CITY MANAGER SCOTT TULLOCH RECOGNIZING INTERIM LIBRARY DIRECTOR MARGARET KAZMER FOR HER SERVICE TO THE CITY OF CHULA VISTA • OATHS OF OFFICE: James Balnis, Board of Librazy Trustees • PRESENTATION OF A PROCLAMATION TO EMMA MCCLEES, SENIOR RISK MANAGEMENT SPECIALIST, DECLARING THE WEEK OF OCTOBER 5, 2009, AS DRNE SAFELY TO WORK WEEK IN THE CITY OF CHULA VISTA • PRESENTATION OF A PROCLAMATION TO MARIA SHEPERD, ON BEHALF OF FIRST ROBOTICS TEAM SAN DIEGO, PROCLAIMING SATURDAY, OCTOBER 17, 2009, AS FIRST ROBOTICS DAY IN CHULA VISTA • PRESENTATION TO FIRE CHIEF DAVID HANNEMAN AND DEPUTY FIRE CHIEF JUSTIN GIPSON, OF A PROCLAMATION PROCLAIMING OCTOBER 4, 2009 AS FIRE PREVENTION WEEK IN THE CITY OF CHULA VISTA • PRESENTATION OF A REPORT BY FIRE CHIEF DAVE HANNEMAN, ON THE STATUS OF WILDLAND FIRE PREPARATIONS AND CITY EMERGENCY OPERATIONS CENTER CAPABILITY FOR THE CURRENT FIRE SEASON CONSENT CALENDAR (Items 1-16) The Council will enact the Consent Calendar staff recommendations by one motion, without discussion, unless a Councilmember, a member of the public, or staff reguests 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 June 3 and June 9, 2009. Staff recommendation: Council approve the minutes. 2. WRITTEN COMMUNICATIONS A. Letters of resignation from Joanne Clayton-Eason, Mobile Home Rent Review and Planning Commissions. B. Letter of resignation from Mitch Thompson, Planning Commission. Staff recommendation: Council accept the resignations. 3. ORDINANCE OF THE CITY OF CHULA VISTA AMENDING SECTION 2.04.050 OF THE CHULA VISTA MUNICIPAL CODE RELATING TO TIME AND PLACE OF COUNCIL WORKSHOPS (SECOND READING AND ADOPTION) Section 2.04.050 of the Chula Vista Municipal Code sets the time and place for City Council Workshops. The current ordinance sets the time on the fourth Thursday of the month at four p.m. in the council conference room in the Civic Center Complex. Adoption of the ordinance will update the Municipal Code to reflect the current practice of convening Council Workshops on the first Thursday of the month. This ordinance was introduced on September 15, 2009. (Director of Finance) Staff recommendation: Council adopt the ordinance. Page 2 -Council Agenda htto://www.chulavistaca.eov October 6, 2009 4. A. ORDINANCE OF THE CITY OF CHULA VISTA AMENDING TITLE 10, CHAPTERS 10.08, 10.52, 10.56 AND 10.62, OF THE CHULA VISTA MUNICIPAL CODE, RELATED TO PARKING (SECOND READING AND ADOPTION) B. ORDINANCE OF THE CITY OF CHULA VISTA MODIFYING THE BOUNDARIES OF THE DOWNTOWN PARKING DISTRICT (SECOND READING AND ADOPTION) As part of the City's management of the Downtown Pazking District, staff has worked closely with the public to identify administrative and capital improvements that can be implemented. Adoption of the ordinances modifies the district boundaries and amends the Chula Vista Municipal Code to implement the pazking management strategy presented to the Council September 15, 2009. These ordinances were introduced on September 15, 2009. (Deputy City Manager/Development Services Director) Staff recommendation: Council adopt the ordinances. 5. ORDINANCE OF THE CITY OF CHULA VISTA ADDING CHAPTER 15.12, GREEN BUILDING STANDARDS, TO THE CHULA VISTA MUNICIPAL CODE (SECOND READING AND ADOPTION) On July 10, 2008, the Council approved Resolution No. 2008-177 adopting the Implementation Plans for the Climate Change Working Group measures. Measure 4, Green Building Standards, consists of several components, one of which is the eazly adoption of the State Housing and Community Development's standards that aze in the California Green Building Standards Code. The proposed ordinance adopts the green building standards and requires them on all residential and non-residential construction. This ordinance was introduced on September 15, 2009. (Deputy City Manager/Development Services Director) Staff recommendation: Council adopt the ordinance. 6. ORDINANCE OF THE CITY OF CHULA VISTA ADOPTING AMENDMENTS TO CHULA VISTA MUNICIPAL CODE SECTION 8.25.095 -CONSTRUCTION AND DEMOLITION DEBRIS RECYCLING (SECOND READING AND ADOPTION) In Mazch 2008, the Council adopted the Construction and Demolition Debris Recycling Ordinance, Chula Vista Municipal Code 8.25.095. Staff and applicants have worked with the process and are recommending modifications to the ordinance to provide clarity and a more detailed description of the required Waste Management Report. This ordinance was introduced on September 15, 2009. (Director of Public Works) Staff recommendation: Council adopt the ordinance. ORDINANCE OF THE CITY OF CHULA VISTA ADOPTING THE SECTIONAL PLANNING AREA (SPA) PLANNED COMMUNITY DISTRICT (FORM BASED CODE) REGULATIONS FOR OTAY RANCH EASTERN URBAN CENTER (SECOND READING AND ADOPTION) Page 3 -Council Agenda httu://www.chulavistaca.~ov October 6, 2009 On September 15, 2009, the Council approved the Sectional Planning Area Plan for the Eastern Urban Center portion of Otay Ranch. This ordinance adopts regulations for the Eastern Urban Center. This ordinance was introduced on September 15, 2009. (Deputy City Manager/Development Services Director) Staff recommendation: Council adopt the ordinance. 8. ORDINANCE OF THE CITY OF CHULA VISTA APPROVING A DEVELOPMENT AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND MCMILLIN OTAY RANCH LLC FOR MCMILLIN'S PORTION OF THE EASTERN URBAN CENTER (SECOND READING AND ADOPTION) In conjunction with an application for a Sectional Planning Area (SPA) Plan and Tentative Map, McMillin Otay Ranch proposed a development agreement for its portion of the Eastern Urban Center (EUC) project. The proposed development agreement provides greater certainty in the development of the project to the applicant and provides additional benefits to the City that would otherwise not be realized. Approval of the development agreement is integral to being able to finance and develop the project as it is identified in the SPA Plan. This ordinance was introduced September 15, 2009. (Deputy City Manager/Development Services Director) Staff recommendation: Council adopt the ordinance. 9. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING DEVELOPMENT IMPACT FEE PAYMENT PLAN AGREEMENTS WITH SHEA HOMES, L.P. FOR OTAY RANCH VILLAGE 11, "CLOVER", PHASE SEVEN AND OTAY RANCH VILLAGE 7, "MOSAIC" PHASE FIVE; AUTHORIZING THE CITY MANAGER TO EXECUTE THE AGREEMENTS ON BEHALF OF THE CITY, AND DIRECTING THE CITY CLERK TO RECORD THE LIENS AND THE AGREEMENTS WITH THE COUNTY RECORDER OF THE COUNTY OF SAN DIEGO On January 6, 2009 the Council adopted Ordinance No. 3120 providing developers the opportunity to enter into a payment plan for City Development Fees to stimulate development during this economic downturn. The proposed agreements with Shea Homes, L.P. set forth the terms of the payment plan for two residential projects within the Otay Ranch. (Deputy City Manager/Development Services Director) Staff recommendation: Council adopt the resolution. 10. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING SUBMITTAL OF A LOCAL ENERGY ASSURANCE PROGRAM GRANT APPLICATION TO THE U.S. DEPARTMENT OF ENERGY FOR $300,000, AND AUTHORIZING THE CITY MANAGER OR HIS DESIGNEE TO EXECUTE ALL DOCUMENTS NECESSARY TO OBTAIN AND MANAGE THE GRANT Page 4 -Council Agenda http://www chulavistaca.eov October 6, 2009 To achieve and maintain sustainable energy security, alternative emergency energy systems aze needed to support critical facilities -those supporting the health, safety, security, and orderly functioning of a community. Adoption of the resolution approves submission of an application in conjunction with the National Energy Center for Sustainable Communities to the U.S. Department of Energy for grant funding to produce and disseminate a model municipal emergency energy system design and technical planning guide to ensure the operation of critical urban facilities and infrastructure during disruptions of electric and gas supplies. (Deputy City Manager/Development Services Director) Staff recommendation: Council adopt the resolution. 11 A. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AUTHORIZING THE ADDITION OF ONE UNCLASSIFIED POSITION TO THE AUTHORIZED POSITION COUNT FOR THE POLICE DEPARTMENT, AMENDING HE COMPENSATION SCHEDULE AND CLASSIFICATION PLAN TO REFLECT THE ADDITION OF A CBAG ACCOUNTING TECHNICIAN AND AUTHORIZING THE RECLASSIFICATION OF THE CBAG MANAGEMENT ASSISTANT TO THE POSITION OF CBAG ADMINISTRATIVE ANALYST II B. ORDINANCE OF THE CITY OF CHULA VISTA AMENDING CHULA VISTA MUNICIPAL CODE SECTION 2.05.010, RELATING TO THE ESTABLISHMENT OF UNCLASSIFIED POSITIONS TO ADD THE POSITION OF CBAG ACCOUNTING TECHNICIAN (4/STHS VOTE REQUIRED) (FIRST READING) The California Border Alliance Group (CBAG) requested the addition of one new position, CBAG Accounting Technician. CBAG also requested reclassification of one CBAG Management Assistant to CBAG Administrative Analyst II. Chula Vista City Charter section 500 requires all unclassified positions not mentioned specifically in Charter section 500 be adopted by Ordinance. The Police Department requests the new CBAG position be added to the unclassified service. (Police Chief) Staff recommendation: Council adopt the resolution and place the ordinance on first reading. 12. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING ONE VEHICLE FROM THE UNITED STATES MARSHALS SERVICE FOR FUGITIVE TASK FORCE OPERATIONS AND APPROPRIATING $6,000 FOR FUEL AND MAINTENANCE COSTS TO THE FISCAL YEAR 2010 POLICE DEPARTMENT SUPPLIES AND SERVICES BUDGET BASED UPON UNANTICIPATED REVENUES (4/STHS VOTE REQUIRED) The United States Mazshals Service (USMS) has identified funding to pay for vehicles for participating agencies in the Fugitive Task Force. The Police Department requests to accept one vehicle from USMS for Fugitive Task Force operations. (Police Chief) Staff recommendation: Council adopt the resolution. Page 5 -Council Agenda http://www.chu(avistaca.eov October 6, 2009 13. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA WAIVING THE COMPETITIVE BIDDING PROCESS AND AUTHORIZING THE POLICE DEPARTMENT TO CONTRACT WITH AMERICAN EMERGENCY PRODUCTS FOR POLICE VEHICLE OUTFITTING SERVICES Because of personnel reductions in the Public Works Department, there is limited City staff available to outfit new vehicles. In order to process 24 new police vehicles in a timely manner, the Police Department recommends contracting with American Emergency Products to provide vehicle outfitting for the Police Department fleet. (Police Chief) Staff recommendation: Council adopt the resolution. 14. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING $346,395 FROM THE ORGANIZED CRLME DRUG ENFORCEMENT TASK FORCE PROGRAM TO SUPPORT REGIONAL OPERATIONS (4/STHS VOTE REQUIRED) The Police Department has been awarded $346,395 from the Organized Drug Crime Enforcement Task Force to act as a fiduciary for its operational costs. The City will receive athree-percent administrative fee for being the fiduciary agent. (Police Chief) Staff recommendation: Council adopt the resolution. 15. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA GRANTING AN EASEMENT OVER A PORTION OF CITY OWNED LAND TO SAN DIEGO GAS & ELECTRIC COMPANY (SDG&E) FOR UTILITY AND ACCESS PURPOSES AS NECESSARY TO PROVIDE ELECTRICAL AND/OR GAS SERVICE TO THE PIMA MEDICAL INSTITUTE/ANIMAL CONTROL OFFICER COMPLEX AT THE ANIMAL CONTROL FACILITY The construction of Pima Medical Institute/Animal Control Officer complex at the Animal Control Facility is nearing completion. In order to provide power to the newly relocated buildings it is necessary to grant an easement to San Diego Gas & Electric for underground power and communications facilities. (Director of Public Works) Staff recommendation: Council adopt the resolution. 16. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AN AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND THE SAN DIEGO COMMUNITY HOUSING CORPORATION FOR THE IMPLEMENTATION OF THE DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT NEIGHBORHOOD STABILIZATION PROGRAM AND AUTHORIZING THE CITY MANAGER TO EXECUTE THE AGREEMENT AND ANY NECESSARY DOCUMENTS Page 6 -Council Agenda http://www.chulavistaca.eov October 6, 2009 On March 3, 2009, Council approved and appropriated Neighborhood Stabilization Program funds that included a portion for Rental Housing for Very Low Income Households. Staff is bringing forward the selected agencies in response to a Request For Qualifications for Council consideration and to authorize the City Manager to execute any necessary documents. (Deputy City Manager/Development Services Director) Staff recommendation: Council adopt the resolution. ITEMS REMOVED FROM THE CONSENT CALENDAR PUBLIC COMMENTS Persons speaking during Public Comments may address the Council on any subject matter within the Council's jurisdiction that is not listed as an item on the agenda. State law generally prohibits the Council from discussing or taking action on any issue not included on the agenda, but, if appropriate, the Council may schedule the topic for future discussion or refer the matter to staff. Comments are limited to three minutes. 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 fall out a "Request to Speak" form (available in the lobby) and submit it to the Ciiy Clerk prior to the meeting. 17. CONSIDERATION OF AN APPLICATION FOR A REZONE FROM MHP- EXCLUSIVE MOBILEHOME PARK TO R-3-P, APARTMENT RESIDENTIAL ZONE, WITH A PRECISE PLAN MODIFYING DISTRICT Approval of the application rezones a vacant 4.35-acre project site that was the former location of Jade Bay Mobile Home Pazk, and makes the zoning consistent with the general plan and allows the site to be developed under the R-3 zoning designation with a precise plan modifying district. (Deputy City Manager/Development Services Director) Staff recommendation: Council continue the item to a date uncertain. 18. CONSIDERATION OF AMENDMENTS TO THE CHULA VISTA GAMING PLAN PURSUANT TO CHULA VISTA MUNICIPAL CODE SECTION 5.20.001 The Village Club cazd room requested amendments to the Chula Vista Gaming Plan that are authorized by California law and have been reviewed and approved by the California Attorney General's Office. The amendments include increasing the number of gaming tables by four, increasing credit lines for players, and changing the hours of alcohol service, among others. Village Club plans to seek a Conditional Use Permit amendment at a later time so that it can operate under these changes to the Gaming Plan. The Police Department and City Manager have consented to these amendments. (City Attorney) Page 7 -Council Agenda ~://www chulavistaca. _ov October 6, 2009 Staff recommendation: Council conduct the public hearing and adopt the following resolution: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING AMENDMENTS TO THE CHULA VISTA GAMING PLAN PURSUANT TO CHULA VISTA MUNICIPAL CODE SECTION 5.20.001 ACTION ITEMS The Item(s) listed in this section of the agenda will be considered individually by the Council and are expected to elicit discussion and deliberation. If you wish to speak on any item, please fill out a "Request to Speak" form (available in the lobby) and submit it to the City Clerk prior to the meeting. 19. CONSIDERATION OF APPROVAL OF THE NETWORK LICENSE AND ENCROACHMENT PERMIT AGREEMENT WITH NEXTG NETWORKS, INC. Adoption of the proposed resolution establishes an agreement between the City and NextG for the installation of up to 100 total wireless telecommunication facilities on property owned or controlled by the City and private property. (Director of Conservation & Environmental Services) Staff recommendation: Council adopt the following resolution: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING NETWORK LICENSE AND ENCROACHMENT PERMIT AGREEMENT WITH NEXTG NETWORKS, INC., FOR THE INSTALLATION AND OPERATION OF AS MANY AS 100 WIRELESS MICRO TELECOMMUNICATIONS FACILITIES OR SUBSTANTIALLY SIMILAR FACILITIES ON CITY-OWNED OR CONTROLLED PROPERTY, SUBJECT TO ALL NECESSARY APPROVALS, FOR A PERIOD OF 10 YEARS WITH AN OPTION TO RENEW FOR TWO ADDITIONAL FIVE- YEAR TERMS 20. CONSIDERATION OF APPROVAL OF THE PROCESS TO REVISE THE CITY'S MOBILEHOME AND TRAILER PARK CONVERSION ORDINANCE The City enforces a variety of regulations for mobilehome pazks, including the closure of mobilehome parks (Chula Vista Municipal Code Section 9.40). In 2007, City staff engaged in a public participation process to update the existing local ordinance regulating mobilehome park closures. This report serves as an update on the process to revise the City's Mobilehome and Trailer Pazk Conversion Ordinance and to request the establishment of a stakeholder committee to provide final recommendations. (Deputy City Manager/Development Services Director) Page 8 -Council Agenda htto://www.chulavistacaaov October 6, 2009 Staff recommendation: Council adopt the following resolution: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ESTABLISHING A STAKEHOLDER COMMITTEE TO RECOMMEND CHANGES TO THE CITY'S MOBILEHOME CLOSURE ORDINANCE; AND APPROPRIATING FUNDS FOR THE FACILITATION OF SUCH COMMITTEE (4/STHS VOTE REQUIRED) OTHER BUSINESS 21. CITY MANAGER'S REPORTS 22. MAYOR' S REPORTS Discussion regarding City Council consensus in the following: • Pursue partnership with the Port regarding funding the Chula Vista Nature Center • Maintain and support current and productive working relationship with Goodrich Aerostructures • Advocate bayfront condominium and hotel project in the bayfront redevelopment area • Support L Ditch remediation as currently discussed • Maintain forward progress regarding undergrounding transmission lines • Advocate for expeditious certification of the Bayfront EIR as circulated • Assist in current collaborative efforts to assure that the discharge permit for the South Bay Power Plant (SBPP) is neither renewed nor extended 23. COUNCILMEMBERS' COMMENTS Deputy Mayor Ramirez: Consideration of support for International Friendship Games Councilmember Bensoussan: A. Energy Subcommittee recommendation for approval by Council B. Recommendation for Council Policy on process for appointments by the Council ADJOURNMENT to the Regular Council Meeting of October 20, 2009 at 4:00 p.m. in the Council Chambers. The meeting of October 13, 2009 has been cancelled. Materials provided to the City Council 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 of Chula 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 9 -Council Agenda http://www.chulavistaca.~ov October 6, 2009 DRAFT MINUTES OF A SPECIAL MEETING OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA June 3, 2009 6:00 P.M. A Special Meeting of the City Council of the City of Chula Vista was called to order at 6:05 p.m. in the Executive Conference Room, located in City Hall, 276 Fourth Avenue, Chula Vista, California. ROLL CALL: PRESENT: Councilmembers Bensoussan, Castaneda, McCann, Ramirez, and Mayor Cox ABSENT: None PLEDGE OF ALLEGIANCE TO THE FLAG AND MOMENT OF SILENCE INTERVIEWS INTERVIEWS TO FILL ONE VACANCY (URBAN PLANNING, URBAN DEVELOPMENT AND/OR ENVIRONMENTAL LAW EXPERTISE) ON THE CHULA VISTA REDEVELOPMENT CORPORATION BOARD OF DIRECTORS The City Council interviewed applicants Dan Schon, David Flores, Charlotte Zolezzi, and Bud Gray. ACTION: Councilmember Castaneda moved to appoint David Flores to the Chula Vista Redevelopment Corporation Board of Directors. Councilmember Bensoussan seconded the motion and it carved 5-0. ADJOURNMENT At 7:35 p.m., Mayor Cox adjourned the meeting to the Regular Meeting of the City Council on June 9, 2009. Donna R. Nor s, CMC, City Clerk I DRAFT MINUTES OF A REGULAR MEETING OF THE CITY COUNCIL AND SPECIAL MEETINGS OF THE REDEVELOPMENT AGENCY AND HOUSING AUTHORITY OF THE CITY OF CHULA VISTA June 9, 2009 4:00 P.M. A Regular Meeting of the City Council and Special Meetings of the Redevelopment Agency and Housing Authority of the City of Chula Vista were called to order at 4:02 p.m. in the Council Chambers, located in City Hall, 276 Fourth Avenue, Chula Vista, California. ROLL CALL: PRESENT: Council/Agency Members Bensoussan, Castaneda, McCann, Ramirez, and Mayor Cox ABSENT: None ALSO PRESENT: City Manager/Executive Director Sandoval, City Attorney/Agency Counsel Miesfeld, City Clerk Norris, and Deputy City Clerk Bennett PLEDGE OF ALLEGIANCE TO THE FLAG AND MOMENT OF SILENCE Mayor Cox then announced that Public Hearings were scheduled for a time certain of 6:00 p.m. SPECIAL ORDERS OF THE DAY OATH OF OFFICE : David Flores, Chula Vista Redevelopment Corporation City Clerk Norris administered the oath of office to Mr. Flores, and Deputy Mayor McCann presented him with a certificate of appointment. RECOGNITION OF THE BUILDING INDUSTRY ASSOCIATION CARES PROGRAM DONATION TO THE SOUTH BAY LITTLE LEAGUE AND PONY LEAGUE, FOR IMPROVEMENTS TO THE MAX FIELD FACILITIES AT REINSTRA PARK, MAY 2009 Councilmember Castaneda recognized the Building Industry Association CARES for its donations of improvements to the Reinstra Park facilities. CONSENT CALENDAR (Items 1-6) Items 3 and 4 were removed from the Consent Calendar, at the request of Deputy Mayor McCann, for discussion on Item 3 and abstention on Item 4. APPROVAL OF MINUTES of January 24, January 26, the Special and Regular Meetings of January 27, February 3, and February 10, 2009. Staff recommendation: Council approve the minutes. Page ] -Counci] Minutes ~ ~ `' June 9, 2009 DRAFT CONSENT CALENDAR (Continued) 2. WRITTEN COMMUNICATIONS Letter of resignation from Gregory Alabado, member of the Housing Advisory Commission. Staff recommendation: Council accept the resignation and direct the City Clerk to post the vacancy in accordance with Maddy Act requirements. 3. Item 3 was removed from the Consent Calendaz. 4. Item 4 was removed from the Consent Calendar. 5. INVESTMENT REPORT FOR THE QUARTER ENDING MARCH 31, 2009 The Quarterly Investment Report provides information on various cash balances, investment transactions, and the status of the pooled investment portfolio in accordance with the Government Code and the City's Investment Policy. (Director of Finance) Staff recommendation: Council accept the report. 6. RESOLUTION NO. 2009-130, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING A FIRST AMENDMENT TO A FOUR- PARTY AGREEMENT BETWEEN THE CITY OF CHULA VISTA, HELIX ENVIRONMENTAL PLANNING, INC. (CONSULTANT), AND MCMILLIN OTAY RANCH, LLC AND OTAY PROJECT, LP (APPLICANTS), FOR CONSULTING SERVICES RELATED TO CONDUCTING ADDITIONAL MITIGATION MONITORING SERVICES FOR OLYMPIC PARKWAY, BETWEEN BRANDYWINE AVENUE AND SR-125 Adoption of the resolution approves the first amendment to a four-party agreement with Helix Environmental Planning, Inc., for consulting services related to conducting additional mitigation monitoring services for Olympic Parkway, between Brandywine Avenue and SR-125, for an amount not to exceed $27,345. (Deputy City Manager/Development Services Director) Staff recommendation: Council adopt the resolution. ACTION: Mayor Cox moved to approve staff s recommendations and offered Consent Calendar Items 1, 2, 5, and 6, headings read, text waived. Councilmember Bensoussan seconded the motion and it carried 5-0. Page 2 -Council Minutes ~ ~'~ June 9, 2009 DRAFT ITEMS REMOVED FROM THE CONSENT CALENDAR 3. ORDINANCE NO. 3129, ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING SECTION 2.04.020 OF THE CHULA VISTA MUNICIPAL CODE RELATING TO TIME AND PLACE OF COUNCIL MEETINGS (SECOND READING AND ADOPTION) In accordance with Section 306 of the Chula Vista City Charter, Section 2.04.020 of the Chula Vista Municipal Code sets the time and place for all meetings of the City Council. The current ordinance sets the time on the first Tuesday of each month at 4:00 p.m., and on the second, third, and fourth Tuesday of each month at 6:00 p.m. In an effort to reduce costs associated with staffing City Council meetings, it is recommended that the time for the second, third, and fourth Tuesday meetings be set at 4:00 p.m. This ordinance was introduced on June 2, 2009. (City Manager) ACTION: Mayor Cox moved to adopt Ordinance No. 3129, heading read, text waived. Councilmember Ramirez seconded the motion, and it carried 4-1, with Deputy Mayor McCann voting no. 4. RESOLUTION NO. 2009-129, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROPRIATING ADDITIONAL FUNDS TO THE "OTAY LAKES ROAD WIDENING IMPROVEMENTS FROM CANYON DRIVE TO TELEGRAPH CANYON ROAD / LA MEDIA (STM-355)" PROJECT FROM THE AVAILABLE TRANSPORTATION DEVELOPMENT IMPACT FUNDS BALANCE In Fiscal Year 2004/2005, the Council approved the appropriation of $900,000 to begin the preliminary design and investigation work for the Otay Lakes Road (OLR) Widening from Canyon Drive to Telegraph Canyon Road to ease traffic congestion and to assure that the City's GMOC thresholds continue to be satisfied. Further traffic studies by staff revealed the need to also construct improvements on East H, between the Southwestern College and Bonita Vista High School entrances to achieve the stated project objectives. With the additional scope and the complexity of this project with regard to right-of--way acquisition and utility coordination, additional funds are required to continue the critical design, right-of--way acquisition, and environmental stages of the project, as well as develop phased construction plans. (Director of Public Works) Staff recommendation: Council adopt the resolution. ACTION: Councilmember Castaneda moved to approve Resolution no. 2009-129, heading read, text waived. Councilmember Ramirez seconded the motion and it carried 4-0-1 with Deputy Mayor McCann abstaining. PUBLIC COMMENTS Ed Herrera, Chula Vista resident, representing the Chula Vista Civic Association, spoke in opposition to starting Council meetings at 4:00 p.m. He suggested the establishment of a Blue Ribbon Budget Committee to help review the City's budget. Page 3 -Coancil Minutes ~ ~~ ~ June 9, 2009 DRAFT PUBLIC COMMENTS (Continued) Gary Tillman, Chula Vista resident, representing the Chula Vista Civic Association offered his assistance, and stated he was willing to serve on a committee to make Chula Vista better. Isabelle Espino, Chula Vista resident, representing the Chula Vista Civic Association, suggested that the Council make sacrifices to make the City better, and spoke in opposition to starting meetings at 4:00 p.m. Shazon Cloward, San Diego resident, President of the San Diego Port Tenants Association, thanked the Council for its appointment of William Hall as the City's temporary representative to the Port, and she asked for Council consideration to keep Mr. Hall in the position for as long as he would stay. Larry Brietfelder, Chula Vista resident, urged the City and Firefighters Union to put everything on the table to achieve the City's cost reduction needs and maintain response times and public safety services. Item 13 was taken out of order, and heazd prior to Item 7. Robert Hill, Chula Vista resident, representing Chula Vista Fire Fighters Local 2180 announced that the Chula Vista Firefighters had reached a tentative agreement with the City, which was reached with contract concessions to fill the $1.4 million Fire Department budget reduction goal, in addition to the recent eight percent base wage deferral. At 4:43 p.m., Mayor Cox recessed the Council meeting and the Council convened in Closed Session. CLOSED SESSION 13. CONFERENCE WITH LABOR NEGOTIATORS PURSUANT TO GOVERNMENT CODE SECTION 54957.6 • Agency designated representatives: Jim Sandoval, Scott Tulloch, Kelley Bacon, Bart Miesfeld, Maria Kachadoorian, Rod Betts • Employee organization: IAFF ACTION: Mayor Cox moved to offer to IAFF Local 2180 an agreement in its draft form in a Side Letter of Agreement dated June 9, 2009, with the condition that the IAFF member vote be concluded no later than June 22, 2009. Councilmember Castaneda seconded the motion and it carried 5-0. The meeting reconvened at 6:00 p.m. with all members present. Page 4 council Minutes / ~ , l f June 9, 2009 DRAFT Mayor Cox reported on the Closed Session Meeting, stating that the Chula Vista City Council agreed by unanimous vote to offer the IAFF Local 2180, an agreement in its drafr form, in a side letter of agreement dated June 9, 2009, with the condition that the IAFF member vote be concluded no later than June 22, 2009. PUBLIC HEARINGS -TIME CERTAIN 6:00 P.M. CONSIDERATION OF THE ISSUANCE OF TAX EXEMPT OBLIGATIONS WITH RESPECT TO THE PROPOSED LANDINGS II AFFORDABLE HOUSING APARTMENTS Chelsea Investment Corporation (CIC) and Brookfield Shea have proposed the development and construction of a 143-unit affordable housing development for low- income households, known as The Landings II. The project is located at the northwest corner of Discovery Falls Drive and Crossroads Street within the Winding Walk master planned community. To finance the project, CIC is requesting that the City Council consider the issuance of a maximum of $39 million in tax exempt obligations by its Housing Authority and execution of a loan agreement for $2.4 million of HOME funds. (Deputy City Manager/Development Services Director) Notice of the hearing was given in accordance with legal requirements, and the heazing was held on the date and at the time specified in the notice. Principal Project Coordinator Hines provided information on the Landings II Affordable Housing project. Mayor Cox opened the public hearing. There being no members of the public who wished to speak, Mayor Cox closed the public heazing. ACTION: Councilmember Castaneda moved to adopt the following Resolution Nos. 2009- 131 and 2009-132, headings read, text waived: A. RESOLUTION NO. 2009-131, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE ISSUANCE, SALE AND DELIVERY OF MULTI-FAMILY HOUSING REVENUE BONDS OF THE HOUSING AUTHORITY OF THE CITY OF CHULA VISTA FOR THE LANDINGS II AFFORDABLE APARTMENTS B. RESOLUTION NO. 2009-132, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AUTHORIZING THE CITY MANAGER TO EXECUTE A LOAN AGREEMENT BY AND BETWEEN THE CITY OF CHULA VISTA, AND CIC LANDINGS, L.P. FOR THE HOME FINANCING OF THE LANDINGS II AFFORDABLE APARTMENTS Councilmember Ramirez seconded the motion and it carried 5-0. Page 5 council Minutes / ~ _ 5 June 9, 2009 DRAFT PUBLIC HEARINGS (Continued) 8. CONSIDERATION OF AMENDING THE CHULA VISTA MUNICIPAL CODE CHAPTER 15.60, ABANDONED RESIDENTIAL PROPERTY REGISTRATION (Deputy City Manager/Development Services Director) Staff recommendation: Council continue the public hearing to July 14, 2009. Notice of the hearing was given in accordance with legal requirements, and the heazing was held on the date and at the time specified in the notice. Item 8 was continued to July 14th Council Meeting. 9. CONSIDERATION OF ADOPTION OF THE OPERATING AND CAPITAL IMPROVEMENT BUDGETS FOR THE CITY AND THE REDEVELOPMENT AGENCY AND THE OPERATING BUDGET FOR THE HOUSING AUTHORITY FOR FISCAL YEAR 2009/2010 The City Council has received and considered the City Manager's proposed operating and capital improvement budgets for the City and the Redevelopment Agency and the operating budget for the Housing Authority for the fiscal year ending June 30, 2010. Work sessions were held on November 17, 2008, December 4, 2008, January 13, 2009 and May 12, 2009 to consider and deliberate on the recommendations contained in the proposed budgets. The budgets submitted at this time for formal adoption represent the City Manager's proposed budgets, as presented in the fiscal year 2009/2010 proposed budget document, amended to reflect various clean up items. Notice of the heazing was given in accordance with legal requirements, and the heazing was held on the date and at the time specified in the notice. City Manager Sandoval presented the 2009/2010 balanced budget, and provided an overview of the Fiscal Health Plan. Finance Director Kachadoorian provided an overview of the City's operating budget. Assistant Director of Engineering Quilantan presented an overview of the City's Capital Improvement Program budget. Mayor Cox opened the public hearing. Jacob Regalado, San Diego resident, representing CVEA/SEIU Local 221, commented on recent staffing cuts, layoffs, and salary reductions, stating that the union would continue to be a part of the solution during difficult times. Daniel Siso, Chula Vista resident, spoke on behalf of the City's Ranger Program, stating that he was the only City Ranger due to staffing cuts. To that end, he stated that he had received many positive comments by the citizens regarding pazk services and enforcement. Page 6 -Council Minutes June 9, 2009 l~-6 DRAFT PUBLIC HEARINGS (Continued) Theresa Acerro, Chula Vista resident, representing Southwest Chula Vista Civic Association, commented on the City's capital improvement projects. Regarding the Streetscape project, she stated that it was unfair to use southwest redevelopment funds for redevelopment between E Street and H Street. She was opposed to the proposed location of Fire Station 5 at the South Orange Public Library. Peter Watry, Chula Vista resident, spoke regazding cross-staffing of the Urban Search and Rescue vehicle (USAR), stating that the vehicle could not be used to extinguish fires, and that it utilized afour-person crew to operate the vehicle and its equipment, resulting in unnecessazy overtime. He spoke in support ofcross-staffing of the USAR with no overtime. Ed Herrera, Chula Vista resident, representing the Chula Vista Civic Association, spoke in support of the comments by Ms. Acerro and Mr. Watry. He commended staff on its efforts for capital improvements and a balanced budget, and announced that the Civic Association's proposals for reform were available. Alfredo Perez, Chula Vista resident, representing Olympics Soccer Club, stated that a park would be a better use for the location proposed for Fire Station 5, and he asked that Council consider more community parks in the southwest region of the City. Joyel Love, Chula Vista resident, stated there was abuse of overtime by some City departments. She also stated that further reductions in the Library, Recreation, and Nature Center Departments would drastically affect the quality of life for the community. She suggested that the Council ask the Fire Chief if the USAR vehicle had ever been used for its purpose as a search and rescue vehicle. She asked the Council to stay the course with the budget agreed upon by the unions two months ago. There being no further members of the public who wished to speak, Mayor Cox closed the public hearing. City Manager Sandoval responded to some of the speakers' comments. Regarding limiting the streetscape plan to E and H streets, he explained that the majority of the funding was from SANDAG grants, based upon the linkage of Third Avenue to transit nodes that aligned along E and H Streets. Regarding the proposed fire station location versus a pazk on Orange Avenue, he explained that there was existing funding for the park, with plans to move forwazd on pazk design, and to have the fire station and park co-exist. With respect to comments as to why the City was not doing more to build its revenue base, he clarified that there were four major projects moving forwazd, and if successful, would bring high-paying jobs and significantly increase revenues for the City. With respect to the City protecting its financial resources, he stated that the concept behind the Fiscal Health Plan was to create measures to protect the public's resources. He then asked Fire Chief Hanneman to address comments regarding the Fire Department. Page 7 council Minutes / ~ _ '7 June 9, 2009 DRAFT PUBLIC HEARINGS (Continued) Mayor Cox requested that staff make the memorandum from Public Works Director Hopkins regarding the proposed Fire Station location available to the public. Fire Chief Hanneman spoke regarding the Urban Seazch and Rescue (USAR) vehicle, clazifying that it specialized in technical rescues locally and in surrounding areas, but also responded to everyday calls in the district. Furthermore, he stated that while the USAR vehicle did not house water supplies, it nevertheless responded to fires. With respect to fire personnel overtime, he explained that there were two different types of overtime, one of which was reimbursable to the City when fire personnel were deployed to statewide wildfires, resulting in positive revenues for the City. He stated that part of the department's reduction plan was to use constant minimum overtime staffing, with amition in the department, as it was less expensive to call someone on overtime than to have afull-time employee for that position. Discussion continued regarding the proposed fire station and park construction timelines, and the raiding by the State of City funds. ACTION: Deputy Mayor McCann moved to remove the promotional expense for the International Friendship Commission from the 2009/2010 budget. Councilmember Castaneda seconded the motion. Further discussion ensued, with the comment by Deputy Mayor McCann that his intent for the motion would be to return the savings to the General Fund. Mayor Cox suggested Council consideration to give staff the opportunity to determine the expenditure level for the International Friendship Commission and to bring the matter back. Deputy Mayor McCann withdrew his motion and Councilmember Castaneda withdrew his second to the motion. Deputy Mayor McCann then requested clarification regarding numerous budget line items, and suggested that non-departmental expenses be categorized by department Mayor Cox announced a meeting recess at 8:08 p.m. The meeting reconvened at 8:24 p.m. with all members present. The Council discussed City Manager Sandoval's proposal to reduce auto allowances for executive and senior managers by 10%, and to roll the remaining 90% into their salazies. Mayor Cox presented the proposed budget for the Department of Mayor and Council. With respect to auto allowances, she recommended that Councilmembers who chose not to accept an auto allowance, or any portion of it, notify the City Treasurer in writing of their intent to direct those funds outside the department of Mayor and Council. Page 8 -Council Minutes r ~r.~ ~~ June 9, 2009 DRAFT PUBLIC HEARINGS (Continued) ACTION: Councilmember Bensoussan moved to adopt the following Resolution No. 2009- 133, heading read, text waived: A. RESOLUTION NO. 2009-133, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING THE OPERATING AND CAPITAL IMPROVEMENT BUDGETS FOR THE CITY OF CHULA VISTA EXCLUDING CAPITAL PROJECTS LB143, STM355, AND TF344 AND THE INTERFUND LOAN FROM THE TRANSPORTATION DEVELOPMENT IMPACT FEE FUND TO THE PUBLIC FACILITIES IMPACT FEE FUND FOR FISCAL YEAR 2009/2010, AND APPROPRIATING FUNDS FOR THE FISCAL YEAR ENDING JUNE 30, 2010 Councilmember Ramirez seconded the motion and it carved 4-1, with Deputy Mayor McCann voting no. ACTION: Councilmember Ramirez moved to adopt the following Resolution No. 2009-134, heading read, text waived: B. RESOLUTION NO, 2009-134, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING THE CAPITAL IMPROVEMENT BUDGET FOR PROJECT LB143 FOR FISCAL YEAR 2009/2010, AND APPROPRIATING FUNDS FOR THE FISCAL YEAR ENDING JUNE 30, 2010 Councilmember Bensoussan seconded the motion and it carried 4-0-1, with Councilmember Castaneda abstaining. ACTION: Councilmember Castaneda moved to adopt the following Resolution No. 2009- 135, heading read, text waived: C. RESOLUTION NO. 2009-135, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING THE CAPITAL IMPROVEMENT BUDGET FOR PROJECT STM355 FOR FISCAL YEAR 2009/2010, AND APPROPRIATING FUNDS FOR THE FISCAL YEAR ENDING JUNE 30, 2010 Councilmember Ramirez seconded the motion and it carried 4-0-1, with Deputy Mayor McCann abstaining. ACTION: Deputy Mayor McCann moved to adopt the following Resolution No. 2009-136, heading read, text waived: D. RESOLUTION NO. 2009-136, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING THE CAPITAL IMPROVEMENT BUDGET FOR PROJECT TF344 FOR FISCAL YEAR 2009/2010, AND APPROPRIATING FUNDS FOR THE FISCAL YEAR ENDING JUNE 30, 2010 Page 9 -council Minutes ) ~ ~ ~ June 9, 2009 DRAFT PUBLIC HEARINGS (Continued) Councilmember Ramirez seconded the motion and it carried 4-0-1, with Mayor Cox abstaining. ACTION: Councilmember Ramirez moved to adopt the following Resolution No. 2009-137, heading read, text waived: E. RESOLUTION NO. 2009-137, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE BUDGET FOR AN fNTERFUND LOAN FROM THE TRANSPORTATION DEVELOPMENT IMPACT FEE FUND TO THE PUBLIC FACILITIES IMPACT FEE FUND, AND APPROPRIATING FUNDS FOR THE FISCAL YEAR ENDING JUNE 30, 2010 Councilmember Bensoussan seconded the motion and it carried 4-0-1, with Councilmember Castaneda abstaining. ACTION: Councilmember Castaneda moved to adopt the following Resolution No. 2009- 138, heading read, text waived: F. RESOLUTION NO. 2009-138, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING THE COMPENSATION SCHEDULE AND CLASSIFICATION PLAN TO REFLECT THE ADDITION AND ELIMINATION OF VARIOUS POSITION TITLES AS REFLECTED IN THE FISCAL YEAR 2009/2010 OPERATING BUDGET Mayor Cox seconded the motion and it carried 4-1, with Deputy Mayor McCann voting no. ACTION: Agencymember Castaneda moved to adopt the following Redevelopment Agency Resolution No. 2009-2005, heading read, text waived: G. RESOLUTION NO. 2009-2005, RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA ADOPTING THE OPERATING AND CAPITAL IMPROVEMENT BUDGET FOR THE REDEVELOPMENT AGENCY FOR THE SOUTHWEST/TOWNE CENTER II/OTAY VALLEY/ADDED AREA PROJECT AREA FOR FISCAL YEAR 2009/2010, AND APPROPRIATING FUNDS FOR THE FISCAL YEAR ENDING JUNE 30, 2010 Agencymember Bensoussan seconded the motion and it carried 3-0-2, with Councilmembers McCann and Ramirez abstaining. ACTION: Agencymember Ramirez moved to adopt the following Redevelopment Agency Resolution No. 2009-2006, heading read, text waived: Page l0 council Minutes / ~ / ~ June 9, 2009 DRAFT PUBLIC HEARINGS (Continued) H. RESOLUTION NO. 2009-2006, RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA ADOPTING THE OPERATING AND CAPITAL IMPROVEMENT BUDGETS FOR THE REDEVELOPMENT AGENCY FOR TOWNE CENTER I AND THE BAYFRONT PROJECT AREAS FOR FISCAL YEAR 2009/2010, AND APPROPRIATING FUNDS FOR THE FISCAL YEAR ENDING JUNE 30, 2010 Agencymember Bensoussan seconded the motion and it carried 4-0-1, with Agencymember Castaneda abstaining. ACTION: Authoritymember Castaneda moved to adopt the following Housing Authority Resolution No. 2009-039, heading read, text waived: I. RESOLUTION NO. 2009-039, RESOLUTION OF THE HOUSING AUTHORITY OF THE CITY OF CHULA VISTA ADOPTING THE OPERATING BUDGET FOR THE HOUSING AUTHORITY FOR FISCAL YEAR 2009/2010, AND APPROPRIATING FUNDS FOR THE FISCAL YEAR ENDING JUNE 30, 2010 Authoritymember Ramirez seconded the motion and it carved 5-0. ACTION: Mayor Cox moved to place the following Ordinance on first reading, heading read, text waived: J. ORDINANCE OF THE CITY OF CHULA VISTA AMENDING CHULA VISTA MUNICIPAL CODE SECTION 2.05.010 RELATING TO THE ESTABLISHMENT OF UNCLASSIFIED POSITIONS TO ELIMINATE THE FOLLOWING TITLES -ANIMAL CONTROL MANAGER, ASSISTANT DIRECTOR OF BUDGET AND ANALYSIS, ASSISTANT DIRECTOR OF BUILDING AND HOUSING, ASSISTANT DIRECTOR OF HUMAN RESOURCES, ASSISTANT DIRECTOR OF PLANNING, ASSISTANT DIRECTOR OF RECREATION, ASSISTANT FIRE CHIEF, ASSISTANT LIBRARY DIRECTOR, CBAG BUDGET MANAGER, CBAG LEAD PROGRAMMER ANALYST, CHIEF OF STAFF, COASTAL/ ENVIRONMENTAL POLICY CONSULTANT, DIRECTOR OF BUDGET AND ANALYSIS, DIRECTOR OF COMMUNICATIONS, EXECUTIVE ASSISTANT TO THE CITY MANAGER, GOVERNMENT RELATIONS LIAISON, PARKS AND OPEN SPACE MANAGER, SPECIAL PROJECTS MANAGER; AND TO ADD THE FOLLOWING TITLES -ANIMAL CARE FACILITY MANAGER, BUDGET AND ANALYSIS MANAGER, COMMUNICATIONS COORDINATOR, DEPUTY FIRE CHIEF, AND FIRE DIVISION CHIEF (1sT READING) Councilmember Castaneda seconded the motion and it carried 5-0. Page 11 -Council Minutes ~ ~~~ ~ ~ June 9, 2009 DRAFT OTHER BUSINESS 10. CITY MANAGER'S REPORTS City Manager Sandoval reminded the public that the Yacht Marina would be hosting apre- disposal of waste materials on June 20, 2009. 1 ] . MAYOR' S REPORTS Mayor Cox announced a Metro fee reduction to the City by the City of San Diego, as a result of an accounting audit. She reported briefly on the successes of the recent SK community fun run at the Olympic Training Center, with a full report anticipated in the near future. She reminded the public about the Animal Care Facility's "Adopt a Cat" campaign. 12. COUNCILMEMBERS' COMMENTS Deputy Mayor McCann thanked everyone who participated in the recent Olympic Training Center SK event. A. Deputy Mayor McCann: Motion to eliminate caz allowances for Mayor, City Councilmembers, and executive and senior managers of the City of Chula Vista effective with the next pay period. With respect to car allowances, Deputy Mayor McCann suggested implementing a reimbursement model that would save money and increase accountability by its users, and without affecting service levels in the City. Councilmember Castaneda commented that the Council was currently looking at a balanced budget, as a result of $20 million in budget cuts, and he suggested leaving the caz allowances as they stood, and to revisit the matter at a later time. Ed Herrera, Chula Vista resident, representing the Chula Vista Civic Association, spoke in support of eliminating car allowances. Gary Tillman, Chula Vista resident, representing the Chula Vista Civic Association, spoke in support of a reimbursement procedure for caz allowances. Isabelle Espino, Chula Vista resident, representing Chula Vista Civic Association, spoke in support of eliminating car allowances. ACTION: Deputy Mayor McCann moved to eliminate car allowances for the Mayor, Councilmembers, and senior and executive managers. The motion died for lack of a second. ACTION: Councilmember Ramirez moved to implement the City Manager's proposal to cut the amount of auto allowances for executive and senior managers, including the City Manager, City Attorney, and City Clerk, by 10% and roll the remaining 90% into their base salaries, effective July 1, 2009. Page 12 council Minutes / ~~ / ~J June 9, 2009 DRAFT OTHER BUSINESS (Continued) Councilmember Castaneda requested a report from the City Manager of all executive staff that would receive pay enhancements. Further discussion ensued among the Council on the matter of auto allowances. Mayor Cox seconded the motion, and it carried 3-2, with Councilmember Castaneda and Deputy Mayor McCann voting no. ACTION: Deputy Mayor McCann moved to eliminate car allowances for the Mayor and Council. The motion died for lack of a second. Deputy Mayor McCann requested a memorandum from staff providing a list ofnon-public safety employees with a take home vehicle with an explanation of the rationale, costs, and benefits. Discussion continued regarding auto allowances and salaries received by Councilmembers. Councilmember Bensoussan spoke about the recent meeting between the Chazgers organization and the Chargers Council Subcommittee, and requested that the matter be placed on a future agenda for Council discussion. Councilmember Castaneda stated that the meeting between the Chazgers and the Subcommittee consisted of information that was provided to the public regazding a prior study that was paid for by the Chargers, information relative to the status of the south bay power plant, a report on the decommissioning of the power plant, and information on the subject power plant by the Energy Subcommittee. He stated that the Council had previously adopted guiding principles with respect to the City's relationship and negotiations with the Chargers, and it was his role as the Chargers Subcommittee member, to ensure the principles were adhered to. Councilmember Ramirez asked City Manager Sandoval at the next eazliest convenience, to place an item on an agenda for Council discussion on how to proceed with the Chazgers, to determine how communication would occur between the City and the Chazgers, examine the benefits of having a Chazgers Subcommittee, to look at exploring possibilities of communicating with the Chargers in a different way, and to ensure that matters regarding the bayfront master plan would not be impacted. It was the consensus of the Council that the Chargers Subcommittee return to the Council with a report giving an update on the Chargers. Mayor Cox also requested that City Manager Sandoval provide the Subcommittee with the guiding principles of the Subcommittee. She further asked the Chargers Subcommittee to incorporate in its report, the five Council votes taken to retain the Chargers in San Diego County as reported by Deputy Mayor McCann. City Manager Sandoval also offered to include a brief history on the matter in the report. It was the consensus of the Council to hold the June 16, 2009 Council meeting beginning at 6:00 p.m. Page 13 council Minu[es /~/~ June 9, 2009 DRAFT CLOSED SESSION 13. This item was taken out of order, and heazd prior to Item 7. ADJOURNMENT At 10:56 p.m., Mayor Cox adjourned the meeting to the Regular Meeting of June 16, 2009, at 6:00 p.m., in the Council Chambers. Lorraine Bennett, CMC, Deputy City Clerk Page 14 council Minutes f ~ June 9, 2009 /~_/`~ September i4, 2009 Chair, and CAembers Mobile Home Rent Review Commission Please accept this letter as my resignation, effective immediately, from the Mobile Home Rent Review Commission. I have thoroughly enjoyed my tenure on the Commission, and am resigning for purely personal reasons. I wish all the remaining members of the Commission and their City staff liaisons the best of luck in the future. Sincerely, ~ '~f Joanne la~// yton_Eason l~ 555 H Street Chula Vsta, CA 97970 619-585-0771 679374.2768 sdloca~realtor@aol.com 2~. ~ -----Original Message----- From: sdlocalrealtor@aol.com [mailto:sdlocalrealtor@aol.com] Sent: Wednesday, September 16, 2009 11:23 AM To: Diana Vargas Subject: Re: Cancellation Notice -Sept 23 Diana - I need to resign from planning commission, effective immediately, for personal reasons, I am moving to Memphis. JC «oa~~ CtQ.~kon ~ Sent from my Verizon Wireless B1ackBerry 2 /~-'~ ~ ~Q~~`y ~~ ~~ U~ S~ re ~ i~,~ ~ ~ `~- ~~ ~6,~i ar~r / S S/ ~ ~! 1 g-z~- ~~ 2 i_ (Mitchell Thompson) ORDQvANCE No. PO~NG PNp Pppp~\pN SSEppNp R~ ORDINr\i~ICE OF ~ THE CITY OF CHULA VISTA AMENDLi IG SECTION 2.04.050 OF THE CHULA VISTA MUNICIPAL CODE RELATING TO TIiVIE AMID PLACE OF COUNCIL WORKSHOPS WHEREAS, Chapter 2.04.050 of the Chula Vista Municipal Code establishes the time and place of Chula Vista Ciry Council workshops; and WT-IEREAS, the current ordinance sets the time for City Council workshops on the fourth Thursday of the month at four p.m. in the Council Conference Room; and WHEREAS, the City desires to amend Chapter 2.04.050 of the Chula Vista Municipal Codc to set the time for City Council workshops on the first Thursday of the month at four p.m. in the City Council Chambers unless otherwtse noticed NOW THEREFORE BE IT ORDAINED, the Council of the City of Chula Vista does hereby amend Section 2.04.050 of the Chula Vista Municipal Code relating io time and place of Council meetings: SECTION 1: Section 2.04.050 of the Chula Vista Municipal Code is hereby amended to read as follows: 2.04.050 Workshops A. The vlayor may announce, or the Council on majority vote may direct, at any regular Council meeting, the convening of a Council workshop on the first Thursday of the month, and in such event, the Council shall conduct a Council meeting on said first Thursday of the month at 4:00 p.m. in the Council Chambers in the Civic Center Complex, Administration Building; ax 2'76 Fourth r\venue, unless otherwise noticed. Said meeting shall be know~tt as a "Council workshop;" and shall be conducted in a "workshop" context according to the rules, policies, and guidelines herein set fotth in this section. B. The primary- purpose of the Council workshop meeting shall be to address matters which are primazily of a planning character or other matters which require extensive deliberation of such length, duration or complexity as to be not conveniently capable of being addressed at the regular Tuesday Council meetings. Notwithstandine the foregoing; other matters may be addressed which, in the opinion of the City Manager, have some aspect of urgency to them or should be addressed at such meeting in subsequent Tuesday City Council meeting. 3-1 C. Notice requirements for special Council conferences, other than Council workshops noticed in the manner herein provided, shall be the same as those for special Council meetings. D. At such Council workshops or special conferences, the City Council may require the attendance of members of any boards and commissions or members of the administrative staff for the purpose of discussing those items that appear on the Council conference agenda. E. Council workshop meetings shall be deemed a regulaz City Council meeting for all intents and purposes, and the City Council shall have the full authority to take any and all actions which the City Council is otherwise authorized by law or Charter to take at meetings. F. The City Clerk, unless otherwise directed by the City Council, may limit the record of Council workshop meetings to a record of actions taken ("action minutes'') by the Council. SECTION 2: This ordinance shall take effect and be in full force and effect on the thirtieth day from and after its adoption. Presented by James D. Sandoval City Manager Approved as to form by r ~/~ a 1 '~" pity Attorney 3-2 ORDfNANCE NO. ORDfNANCE OF THE CITY OF OlliLA VISTA AMENDING SECTION 204.050 OF THE CHULA VISTA MUNICIPAL CODE RELATING TO TIME AND PLACE OF COUNCIL WORKSHOPS WHEREAS, Chapter 2.04.050 of the Chula Vista Municipal .Code establishes the time and place ofChula Vista City Council workshops; and WHEREAS, the current ordinance sets the time for City Council workshops on the fourth Thursday of the month at four p.m. in the Council Conference Room; and 'NHEREAS, the City desires to amend Chapter 2.04.050 of the Chula Vista Municipal Code to set the time for City Council workshops on the first Thursday of the month at four p.m. in the City Council Chambers unless otherwise noticed NOW THEREFORE BE IT ORDAINED, the Council of the City of Chula Vista does hereby amend Section 2.04.050 of the Chula Vista Municipal Code relating to time and place of Council meetings: SECTION 1: Section 2.04.050 of the ChuIa Vista Municipal Code is hereby amended to read as follows: 2.04.050 Workshops A. The Mayor may announce, or the Council on majority vote may direct, at any regular Council meeting, the convening of a Council workshop H1cetin;; on the flrst fcarth Thursday of the month, and in such event, the Council shall conduct a Council meeting on said first fourth Thursday of the month at 4:00 p.m. in the Council Chambers EeHferaRce room in the Civic Center Complex, Administration Building, at 276 Fourth A venue. unless otherwise noticed. Said meeting shall be known as a "Council workshop meeting," and shall be conducted in a "workshop" context according to the rules, policies, and guidelines herein set forth in this section. B. The primary purpose of the Council workshop meeting shall be to address matters which are primarily of a planning character or other matters which require extensive deliberation of such length, duration or complexity as to be not conveniently capable of being aJdressed at the regular Tuesday Council meetings. Notwithstanding the foregoing, other matters may be addressed which, in the opinion of the City Manager, have some aspect of urgency to them or should be addressed at such meeting in subsequent Tuesday City Council meeting. 3-3 C. Notice requirements for special Council conferences, other than Council workshops noticed in the manner herein provided, sha1l be the same as those for special Council meetings. D. At such Council workshops or special conferences, the City Council may require the anendance of members of any boards and commissions or members of the administrative staff for the purpose of discussing those items that appear on the Council conference agenda. E. Council workshop meetings shall be deemed a regular City Council meeting for all intents and purposes, and the City Council shall have the full authority to take any and all actions which the City Council is otherwise authorized by law or Charter to take at meetings. F. The City CJerk, unless otherwise directed by the City Council, may limit the record of Council workshop meetings to a record of actions taken ("action minutes") by the Council. SECTION 2: This ordinance sha1l take effect and be in fu1l force and effect on the thirtieth day from and after its adoption. Presented by Approved as to form by ") r .. ,~ (!, ) ( \ c/,,{ i. C. . J \. ) .. '. ,r,-.i . Q. . .cet "'-- ,....:~E j'\1'-. /' .^ B~ c. l'vITesf<i!d k'V ~City Anomey James D. Sandoval City Manager 3-Lf ORDINANCE No. R~D1NG pND ~Op~10N SE~~ND ORDINANCE OF THE CITY OF CHULA VISTA AMENDING TITLE 10 CHAPTERS 10.08, 10.52, 1056 AND 10.62 OF THE CHULA VISTA MtNICIPAL CODE, RELATED TO PARKING WHEREAS, the Downtown Pazking District was established in 1963 pursuant to the Pazking District Law of 195 t; and WHEREAS, the Downtown Pazking District provides more than 1700 public pazking spaces through metered and free parking; and WHEREAS, modifications have been made within the Parking District including installing new individual and multi-space meters, expanding the District Boundaries and contracting management and enforcement; and WHEREAS, modifications aze required in Chula Vista Municipal Code Chapter 10 to accurately describe and address these changes and to provide accurate and consistent information. NOW, THEREFORE, the City Council of the City of Chula Vista does hereby ordain: SECTION I. Chapter 10 Section 10.08 Definitions is amended by adding Sections 10.08.147 and 10.08. ] 55 and amending the text of Section 10.08.150 as follows: 10.08.147 Pazking enforcement, Contract. 10.08.150 Pazking meter, Individual. 10.08.1» Parking_meter, Multi-Space: 10.08.147 Parking Enforcement, Contract. "Contract Enforcement" shall mean any duly qualified company that the City has entered into a contract with and approved by the Chief of Police to provide enforcement of CVMC Chapters 10.52, 10.56 and 10.60 relating to CVMC infractions only in the parking zones. 10.08.150 Parking meter, Individual. "Individual parking meter" means a mechanical device installed within or upon the curb or ,sidewalk area immediately adjacent to a parking space for the purpose of controlling the period ;of time for the occupancy of such Pazking space by any vehicle. (Ord. 2670 § 1, 1996; Ord. 973 ~§ 1, 1966; prior code § 19.1.3(N)). 10.08.155 Parking meter, Multi-space. "Multi-space Pazking meter" means a mechanical device installed within the parking zone for the purpose of controlling the period of time for the occupancy of multiple Pazking spaces. ~~ ~ / SECTION II. Chapter 10 Section 10.52 Stopping, Standing and Parking Sections 10.52.110, 10.52.120, 10.52.130, and 10.52.480 aze amended to read as follows: 10.52.110 Parking for advertising or demonstration purposes prohibited when. No vehicle displaying advertising matter for the primary purpose of commercial advertising, gas prohibited by CVMC 5.08.030 through 5.08.060, shall pazk upon any residential street or ,public pazking azea in this city. This prohibition shall not apply to a vehicle being offered "for sale." (Ord. 2946 § 1, 2004; Ord. 2670 § 1, 1996; Ord. 2255 § 1, 1988; Ord. 973 § 1, 1966; prior code § 19.10.7). 10.52.120 Repairing or greasing of vehicles prohibited where. No person shall build or cause to be built, rebuild or cause to be rebuilt, grease or cause to be greased, or perform any maintenance including changing of oil or flushing radiators on any vehicle or any part thereof upon any public street or public pazking area in the city. Except for temporary emergency repairs, no person shall repair or cause to be repaired any vehicle upon a public street. (Ord. 2670, 1996; Ord. 1744 § 1, 1977; Ord. 973 § 1, 1966; prior code § 19.10.8). 10.52.130 Washing or polishing of vehicles prohibited when. No person shall wash or cause to be washed, or polish or cause to be polished, any vehicle or any part thereof upon any public street or public pazking azea in the city when a chazge is made for such service. (Ord. 2670, 1996; Ord. 973 § 1, 1966; prior code § 19.10.9). 10.52.480 Municipal parking lots -Designated -Manner of parking required -Schedule XV. Pursuant to Vehicle Code Section 22519, the following areas are designated asoff-street public parking lots owned or operated by the city. It is unlawful for any vehicle to pazk in a municipal pazking lot except in accordance with the angle to the curb indicated by signs or pavement mazkings allotting space to parked vehicles and entirely within the limits of said allotted space, with the front wheel nearest the curb and within six inches of said curb or other stop, and in accordance with the time limits indicated on signs erected in the area by the city engineer pursuant to regulation adopted under CVMC 10.04.030. The city engineer shall :maintain within a register a Schedule XV listing the restrictions applicable to these locations. ,(Ord. 2983 § 1, 2004; Ord. 2670, 1996; Ord. 2488 § 1, 1991; Ord. 2436 § 1, 1991). Designated Parking Lot Location No. 1 Neaz southwest comer of Landis and E streets No. 2 Northeast corner of Landis and Davidson streets No. 3 200 block of Landis orth of F Street) No. 4 340 F Street eaz southwest comer of E Street) No. 5 Neaz southeast comer of Third and Madrona No.6 Northwest comer of Church and Madrona streets No.7 Southwest comer of Church and Center streets No. 8 281-287 Church Avenue etween Church and Del Maz streets / A - 2- 2 No. 9 Southwest corner of Church and Davidson streets No. 10 Northwest comer of Church and Davidson streets No. 1 I 222 Church Avenue Between E and Davidson streets) NPSC Norman Park Senior Center (Between F and Center streets) City Hall Em loyee Lot North side of F Street, West of intersection with Fourth Avenue Chula Vista Community Pazk Lot South of Chula Vista Community Park and West of Eastlake Pazkwa City Employee Lot West of Maxwell Road and North of Main Street at the John Lippit Public Works Center Ken Lee Lot West of Fourth Avenue and South of F Street Police Department Parking Structure East of Fourth Avenue and South of F Street SECTION III. Chapter 10 Section 10.56 Pazking Meters, Parking Meter 7_ones and Permit Pazking is amended by adding Section 10.56.095 and amending the text of Sections 10.56.020, 10.56.030, 10.56.040, 10.36.080, 10.56.090, 10.56.100, 10.56.110, 10.56.120, 10.56.130, 10.56.140, 10.56.150, 10.56.180, 10.56.190, 10.56:L70, 10.56.280, 10.56.300, 10.56.300, and 10.>6.310 as follows: 10.56.040 Meter zones -Designated -Time limits authorized in zone -Schedule XI. 10.56.090 Meters, Individual -Display of time limit. 10.56.095 Meters, Multi-space-Display of time limit. 10.56.190 Payment by unauthorized person prohibited. .10.56.280 Permit parking -Form of permit - Permit pazking authorized when. l 086.310 Permits or tags -Sale procedure -Display of permit. 10.56.020 Meters -Installation and maintenance -Rates for use. The City Council shall provide for the installation of pazking meters including curb or street marking lines, regulation and operation thereof, cause said meters to be maintained in good workable condition, and set the rates for parking in a space regulated by said meters by ordinance. The rates for parking in a space regulated by a meter aze as follows: A. Thirty (30) Minute Meters. A $O:LS deposit up to the maximum time limit established for the zone in which the meter is located; or B. Two, Three and Four Hour Meters. A $0.25 deposit for each 30-minute interval or a $0.50 deposit for each one-hour interval up to the maximum legal time limit established for the zone in 'which the meter is located; or C. Ten (] 0) Hour Meters. A $0.25 deposit for each one-hour period up to the maximum legal '.time limit established for the zone in which the meter is located. (Ord. 3094 § 2, 2007; Ord. X2670, 1996; Ord. 2436 § 2, 1991; Ord. 2367 § 1, 1990; Ord. 2143 § 1, 1986; Ord. 955 § 3, 1965). 10.56.030 Meter zones -Established -Regulations generally. Pursuant to the authority of Vehicle Code Section 22508, pazking meter zones and the rate of ifees for pazking in such zones shall be established in this CVMC Chapter 10 and applicable to ;those public parking lots and streets or parts of streets as identified and as described in CVMC ~fl- -3 10.56.040, Schedule XI, in which zones the pazking of vehicles shall be regulated by pazking meters for the duration of time specified in said Schedule XI and for the hours of operation identified in CVMC 10.56.150. (Ord. 2670, 1996; Ord. 2436 § 3, 1991; Ord. 973 § 1, 1966; prior code § 19.17.1(A)). 10.56.040 Meter zones -Designated -Time limits authorized in zone -Schedule XI. In accordance with CVMC 10.56.030, pazking meter zones aze hereby established upon those public pazking lots and streets or portions of streets described herein in which parking of vehicles shall be regulated by parking meters between the hours and on days specified in CVMC 10.56.150 and upon the signs erected thereon, and for the duration specified below and upon the signs erected thereonas follows: Name of Street Center Street Church Avenue Church Avenue Del Maz Avenue E Street F Street G Street Garrett Avenue Landis Avenue Landis Avenue Madrona Street Park Way Third Avenue Third Avenue Third Avenue Beginning At Third Avenue F Street Center Street F Street Garrett Avenue Schedule XI Euding At Del Mar Avenue E Street Madrona Street Center Street 100 fr. E/E curbline of Landis Avenue Del Maz Avenue 100 fr. EB curb]ine of Church Avenue 150 fr. N/N curbline of E Street 300 ft. N/N curbline of E Street 170 ft. N/N curbline of E Street Garrett Avenue 100 ft. W/W curbline of Third Avenue 125 ft. S/S curbline of E Street F Street F Street Third Avenue 125 fr. W/W curbline of Third Avenue E Street Center Street Madrona Avenue 125 ft. E/E curbline of Third Avenue Third Avenue Center Street Madrona Avenue Alvarado Street n `~ Side Duration N/S 1 hour E1W 2 hours E/W 2 hours East 2 hours N/S 2 hours North 2 hours N/S 2 hours East 2 hours East 2 hours West 2 hours N/S 2 hour N/S 2hour East 2 hours East 30 minutes or 2 hours East 2 hours 4 Third Avenue E Street Roosevelt Street West 2 hours Designated Location Duration Parking Lo t No. 1 Near southwest comer of Landis and E streets 10 hours No. 2 Northeast comer of Landis and Davidson streets 4 hours No. 3 200 block of Landis (North of F Street) 10 hours No. 4 340 F Street (Near southwest comer of E Street) 3 hours/ Unlimited No. S Near southeast corner of Third and Madrona 4 hours No.6 Northwest corner of Church and Madrona streets 10 hours No.7 Southwest corner of Church and Center streets 10 hours No. 8 281-287 Church Avenue (Between Church and Del Mar streets) 10 hours No. 9 Southwest comer of Church and Davidson streets 4 hours No. 10 Northwest comer of Church and Davidson streets 10 hours No. 11 222 Church Avenue (Between E and Davidson streets) 10 hours NPSC Norman Pazk Senior Center (Between F and Center streets) 2 hours The city engineer shall maintain within a register a Schedule XI listing the restrictions applicable to these locations where pazking meter zones have been established. (Ord. 2983 § 2, 2004; Ord. 2712 § 1, 1997; Ord. 2670, 1996; Ord. 2623 § 1, 1995; Ord. 2488 § 2, 1991; Ord. 2436 § 4, 1 991; Ord. 973 § 1, 1966; prior code § 19.22.1). 10.56.080 Meters -Installation -Location. Individual parking meters shall be installed upon the curb or sidewalk or area immediately adjacent to each parking space in a pazking meter zone. Each meter shall be placed in such manner as to show or display by sign or signal that the parking space adjacent thereto is or is not legally in use. Mufti-space parking meters shall be located within the zone regulated and indicated by appropriate parking control devices. (Ord. 2670 § I, 1996; Ord. 973 § 1, 1966; prior code $ 19.17.2(A)). ~ 10.56.090 Meters, Individual -Display of time limit. Each parking meter shall be designed to display, after the operational procedure has been completed, a sign or signal indicating legal parking for that period of time conforming to the limit of pazking time or portion thereof for which payment has been made for the zone in which said parking meter is installed, and shall continue to operate from the time of the completion of the operational procedure until the expiration of the time fixed as the parking limit or a portion thereof for the parking space for which said meter is placed. Each pazking meter shall also be arranged so that upon the expiration of said legal pazking time it will indicate by a mechanical operation and by proper signal that the lawful pazking period has expired. (Ord. 2670 § 1, 1996; Ord. 973 § 1, 1966; prior code § 19.17.2(B)). 10.56.095 Meters, Multi-space -Display of time limit ~~'~ A multi-space meter shall, after deposit of payment required, dispense a ticket on which the .amount of payment deposited, the applicable meter zone/lot that the ticket for which the ticket is valid, and expiration date and time of valid pazking period will be displayed. :10.56.100 Meter zone -Manner of parking required. When any vehicle is to be pazked within a pazking space regulated by a pazking meter, the ,operator of said vehicle shall park within the assigned azea designated by mazking lines indicating parallel, diagonal, perpendiculaz, or other such manner of pazking. A. When a pazking space regulated by a parking meter is pazallel to an adjacent curb or sidewalk, any vehicle pazked in such parking space shall be parked so that the foremost part of such vehicle shall be alongside of the nearest pazking meter. B. When a parking space regulated by a individual pazking meter is diagonal to a curb or sidewalk, any vehicle pazked in such parking space shall be pazked with the foremost part of such vehicle directly at and nearest to such meter. C. When a pazking space is regulated by a multi-space meter, any vehicle pazked within i such parking space shall pazk in a manner such that the foremost part of the vehicle enters the I space prior to the remainder of the vehicle. (Ord. 2670 § 1, 1996; Ord. 973 § 1, 1966; prior code ;§ 19.17.3). ' 10.56.110 Meter -Driver operations required. Upon parking a vehicle in a pazking space regulated by a parking meter, the owner or operator of such vehicle shall immediately make payment in the amount required by CVMC Section :1056.020 for the time limit or any fractional portion as may be authorized for the zone in which said pazking meter is installed. A. For an individual parking meter, after the deposit of payment as required by this section, the owner or operator of such vehicle shall tum any crank, knob, handle or other device or .perform such other actions as may be required in accordance with the instructions posted on the face of said parking meter. B. For amulti-space meter, the owner or operator of such vehicle shall select the time period that the vehicle will remain pazked in the parking space, make payment in the manner required in accordance with the instructions on said parking meter, remove the ticket dispensed from the ,parking meter, and place such ticket on the dashboazd of said vehicle such that it is cleazly visible from the exterior of the vehicle. (Ord. 2670 § 1, 1996; Ord. 973 § 1, 1966; prior code § 19.17.4(A)). 10.56.120 Meter zone -Parking unlawful when. Said parking space may then be used by such vehicle during the legal pazking limit or 'fractional part thereof as may be authorized for the zone in which said parking meter is installed. .Said vehicle shall be unlawfully parked if it remains in said space: A. When the owner or operator has not complied with the operational procedure described in CVMC 1056.110; or B. Beyond the legal parking limit or fractional part thereof as indicated by a sign or signal displayed by the individual parking meter. C. Beyond the legal pazking limit or fractional part thereof as indicated on the ticket dispensed from the multi-space pazking meter. (Ord. 2670 § 1, 1996; Ord. 973 § 1, 1966; prior code § 19.17.4(B)). ~~ .~ 10.56.130 Parking meter -Overtime. No person shall permit a vehicle to remain pazked in any pazking meter zone when the meter shows the parking time has expired or the ticket dispensed by the multi-space meter shows the parking time has expired. (Ord. 2670 § 1, 1996; Ord. 1867 § ?, 1979; Ord. 973 § 1, 1966; prior code § 19.17.4(C)). 10.56.140 Parking meter -Extra time prohibited. A. No person shall permit a vehicle to remain pazked beyond the time limit established for any ,parking meter zone in which the vehicle is parked. B. No person shall deposit or cause to be deposited in a pazking meter any payment for the ;purpose of increasing or extending the time during which a vehicle is pazked beyond the time 'limit established for the parking meter zone in which the vehicle is packed. (Ord. 2670 § 1, 1996; ;Ord. 1867 § 2, 1979; Ord. 973 § 1, 1966; prior code § 19.17.4(D)). 10.56.150 Parking meter -Time of operation. Parking meters shall be operated in parking meter zones every day between the hours of 9:00 a.m. and 6:00 p.m.; except Sundays and holidays defined in CVMC 10.08.110. (Ord. 2670, 1996; 'Ord. 2436 § 5, 1991; Ord. 1867 § 2, 1979; Ord. 973 § 1, 1966; prior code § 19.17.4 (E)). 10.56.180 Meters -Improper use prohibited. No person shall deposit or cause to be deposited in any parking meter any defaced, bent or counterfeit coin, slug, coin other than those of the United States, device, or other material or instrument as substitute for a coin of the United States, except pazking meter tokens authorized by the city. (Ord. 2670 § 1, 1996; Ord. 973 § 1, 1966; prior code § 19.17.7). ,10.56.190 Deposit of coins by unauthorized person prohibited. No person, other than the owner or operator of a vehicle, or a member of the police department, as authorized in CVMC 10.56.110 through 10.56.150, shall deposit any payment in any parking meter without the knowledge or consent of said oHmer or operator of the vehicle using the parking space regulated by such meter. (Ord. 2670 § 1, 1996; Ord. 973 § 1, 1966; prior code § 19.17.8). 10.56.270 Permit parking -Established -Administration authority. Notwithstanding any other provisions of this chapter, there is hereby established a system of ,permit pazking which the finance office, or his desisnee, shall administer subject to the standazds :and provisions set forth in CVMC 10.56.280 through 10.56.320. (Ord. 2670 § 1, 1996; Ord. 973 § 1, 1966; prior code § 19.17.14). 10.56.280 Permit parking -Authorized when -Sticker or tag required. In those parking meter zones and municipal parking lots approved by ordinance of the city council, described in CVMC 10.56:290 and listed in Schedule XII of the register maintained by the city engineer, a person may pazk any vehicle upon any public parking lots, designated by a 10-hour time limit, owned or operated by the city upon proper display of a valid and current parking permit, in lieu of deposit of payment in the parking meter. (Ord. 2670, 1996; Ord. 2436 § 6, 1991; Ord. 2131 § 1, 1985; Ord. 973 § 1, 1966; prior code § 19.17.14(A)). 10.56.290 Permit parking -Areas designated -Schedule XII. ~~ - Pursuant to Vehicle Code Sections 22508 and 22519 and in accordance with CVMC :10.56.270 and 10.56.280, the following areas aze also designated as permit pazking aeeas wherein 'vehicles displaying appropriate pazking permits or tags shall be allowed to pazk in spaces so marked for up to 10 hours (all day). Schedule XII Parking Zone Location Public Parking Lots 1 to 11 (Parking Meter Zones) See CVMC 10.56.040 for locations (Ord. 2983 § 3, 2004; Ord. 2670, 1996; Ord. 2488 § 3, 1991; Ord. 2436 § 7, 1991; Ord. 2131 § 1, 1985; Ord. 973 § 1, 1966; prior code § 19.22.1). 10.56.300 Permits or tags -Cost -Period of validity -Prorating permitted when. For the required fee (s) said parking permits shall be sold to cover a calendaz quarter of three months' duration. Said permits may be obtained at the city fmance office or other designated location. Applicanu must be merchants or employees of merchants owning or operating businesses within the downtown business azea or city officers on behalf of city employees assigned to Norman Park Center. Applicants may request a proration of the quarterly fee if they ,are purchasing a permit for the balance of the calendaz quarter, and such proration shall be made at the sole discretion of the finance officer, or his designee. (Ord. 2670 § 1, 1996; Ord. 2506 § 1, 1992; Ord. 2488 § 4, 1991; Ord. 2436 § 8, 1991; Ord. 2131 § 1, 1985; Ord. 973 § 1, 1966; prior code § 19.17.14(B)). 10.56.310 Permits or tags -Sale procedure -Display of permit. The finance officer, or his designee, shall establish the necessary procedure for the sale of ;such permits, and shall obtain the necessary permits which when displayed from the interior of a vehicle shall be clearly visible from the exterior of the vehicle. (Ord. 2670 § 1, 1996; Ord. 2436 § 9, 1991; Ord. 973 § 1, 1966; prior code § 19.17.14(C)). SECTION IV. Chapter 10 Section 10.62 Parking Violations and Enforcement is amended by adding Sections 10.62.020 and 10.62.030 and amending the text of 10.62.010 as follows: 10.62.010 Pakking Enforcement -Authorized agents. 10.62.020 Enforcement -Written notice of violation -Contents -Placement. 10.62.030 Civil and late payment penalties and fees. 10.62.010 Parking Enforcement -Authorized agents. A. Every Police officer and every City employee, and every volunteer (designated by the Chief of Police) chazged with enforcement of the provisions of Chapters 10_52, 10_56 and 10_60 CVMC relating to illegal pazking and time limitations in parking meter zones, the provisions of the California Vehicle Code, and the other laws of the state applicable to parking violations within the City, shall have the duty, when any vehicle is illegally pazked, to issue written notice of violation thereof stating the state vehicle license number, make of such vehicle, the time and date of such illegal pazking, meter number, street location, and a reference to the appropriate section of the code and the amount of the penalty for the violation. ~A -g B. Contract Enforcement. The City may enter into a contract with a duly qualified company, approved by the Chief of Police, to provide enforcement of the Chula Vista Municipal Code Chapters 10.52, 10.56 and 10.60 relating to CVMC infractions only. 10.62.020 Enforcement -Written notice of violation -Contents -Placement. When any vehicle is illegally parked an authorized agent may issue written notice of violation, in conformance with Vehicle Code § 40202. The peace office or person authorized to enforce .parking laws and regulations shall securely attach to the vehicle a notice of pazking violation setting forth the violation including reference to the section of this code or of the Public .Resources Code, the local ordinance, or the federal statute or regulation so violated; the date; the approximate time thereof; the location where the violation occurred; a statement printed on the ,notice indicating that the date of payment is required to be made not later than 21 calendar days ;from the date of citation issuance; and the procedure for the registered owner, lessee or rentee to deposit the parking penalty or pursuant to Section 402]5, contest the citation. The notice of parking violation shall also set forth the vehicle license number and registration expiration date if they are visible, the last four digi[s of the vehicle identification number, if that number is readable through the windshield, the color of the vehicle, and, if possible, the make of the ,vehicle. The notice of parking violation, or copy thereof, shall be considered a record kept in the ordinazy course of business of the issuing agency and the processing agency and shall be prima facie evidence of the facts contained therein. The notice of pazking violation shall be served by attaching it to the vehicle either under the windshield wiper or in another conspicuous place upon the vehicle so as to be easily observed by the person in chazge of the vehicle upon the return of that person. . - -- _ ].0.62.030 Civil and late payment penalties and fees. 1. Base penalty amounts for the following Chula Vista Municipal Code violations shall be $12.00 if paid within 30 days of the notice of violation: CVMC 10.56.100; 10.66.110; 10.56.120; 10.56.140. 2. Base penalty amounts for the following Chula Vista Municipal Cade violations shall be $50.00 if paid within 30 days of the notice of violation: CVMC 10.62.486. 3. Base penalty amounts for the following Chula Vista Municipal Code violations and California Vehicle Code violations shall be $25.00 if paid within 30 days of the notice of violation: CVMC 10.52.100; 10.62.110; 10.52.120; 10.52.130; 10.52.200; 10.52.210; 1052.240; 10.52.330; 10.52.390; 10.52.420; 10.52.430; 10.52.480; 1056.130; IOS6.310. California Vehicle Code Sections 2113(a); 22515; 22520. 4. Base penalty amounts for the following Chula V ista Municipal Code violations and California Vehicle Code violations shall be $35.00 if paid within 30 days of the notice of violation: CVMC 10.52.040; 10.52.060; 1052.070(A)(1)-(14); 10.52.090; 10.52.150; 10.52.160; 10.52.180; 10.62.190; ]0.52.230; 10.52.270; 1052.290; 10.52.310; 10.52.360; 10.52.450; 10.60.030; 10.60.050; 10.60.060; 10.60.080; 10.60.090; 10.60.100. California Vehicle Code Sections 21211; 22500(a) - (h); 22500(j), (k); 22500.1; 22514; 22516; 22517. 5. Base penalty amounts for the following California Vehicle Code violations shall be $26.00. The base penalty will be reduced to $10.00 upon submission of proof of correction ~~ _ ( 9 within the time frames specified in the Vehicle Code of the state of California: California Vehicle Code Sections 5200; 5201; 5204(a). 6. The base penalties for the following California Vehicle Code violations shall be as set forth below: California Vehicle Code Sections 4462(b) - $100.00; 22500(1) - $250.00; 22500(1) - $27~.00; 22507.8 - $330.00; 22522 - $275.00; 22523 - $100.00; 22526 - $50.00. 7. The base penalties for Chula Vista Municipal Code and California Vehicle Code violations not listed above shall be $35.00 if paid within 30 days of the notice of violation, unless the penalty amount is set by the Vehicle Code of the state of California. 8. The owner or operator may mail such payments to the City's Duector of Finance within the time established herein, but shall be responsible for delivery thereof to the office of the Director of Finance. 9. Late Payment Penalties. All base penalties under $250.00 listed in subsections (B)(2) through (6) of this section shall double if not paid within 30 days of the notice of violation, unless specifically restricted by the Vehicle Code of the state of California. The penalty for violations listed in subsection (B)(1) of this section shall be $35.00 if the penalty is not paid within 30 days of the notice of violation. C. Failure to Pay. Failure to pay the appropriate penalty as provided herein or failure to contest the violation pursuant to Sections 40200.7 and 40215 of the Vehicle Code of the state of California will result in either notification of the Department of Motor Vehicles, which agency shall collect the maximtnn penalties and fee(s) established hereby at such time as the owner or operator seeks to register his vehicle in accordance with the provisions of Section 4760 of the Vehicle Code of the state of California, or if applicable, in legal proceedings being instituted in court against the person responsible for the unpaid penalties and fees in accordance with the provisions of Section 40220 of the Vehicle Code of the state of California. For those citations that remain unpaid beyond 30 days and for which a hold is placed on the registration by the Department of Motor Vehicles, an additional $10.00 fee shall be assessed. (Ord. 3094 § 1, 2007; Ord. 2923 § 2, 2003; Ord. 2670 § 1, 1996; Ord. 2638 § 1, 1995; Ord. 2490 § 1, 1991; Ord. 2136 § 1, 1985; Ord. 2097 § 1, 1985; Ord. 1960 § 1, 1981; Ord. 1867 § 3, 1979). SECTION V. Effective Date This ordinance shall become effective thirty (30) days after its second reading and adoption. Presented by: Gary Halbert Deputy City Manager/Development Services Manager %/7'~Q 10 Np REAPING ANp ApOpZ10N SECO CITY COUNCIL ORDINANCE NO. AN ORDNANCE OF THE CHULA VISTA CITY COUNCIL MOD[FYNG THE BOUNDARIES OF THE DOWNTOWN PARKNG DISTRICT IVHEREAS, on February 6, 1963, a petition for the formation of a parking district in the City of Chula Vista, Califomia, under the provisions of the Pazking District Law of 191 (Part 4, Division 18 of the Streets and Highways Code of the State of California) was filed in the office of the City Clerk; and WHEREAS, thereafter this City Council adopted Resolution No. 3040, finding that said petition was sufficient; approving said petition and certificate; agreeing to install and maintain or to continue to maintain parking meters on certain public ways within the district as proposed in said petition; finding and determining that the public interest, convenience and necessity require that such meters be installed and maintained or continued to be maintained as proposed in said petition; and directing the City Engineer to make and file with the City Council a report showing the matters specified in Section 3527 of said Streets and Highways Code; and WHEREAS, thereafter this City Council adopted Ordinance No. 829, declaring and agreeing that certain described lands owned by the City of Chula Vista shall, for all purposes of said proposed parking district, be held, used and treated in all respects the same as parking places to be acquired with the proceeds of bonds to be issued under said Law; and WHEREAS, on ivlay 14, 1963, this City Council adopted Resolution No. 3115, declaring its intention to form said pazking district; and WHEREAS, on July 9, 1963; this City Council adopted Ordinance No. 847 declaring that Parking District No. 1 of the City of Chula Vista was formed and described the acquisitions and improvements to be made; and WHEREAS, on November 13, 2007, the Pazking District Interim Action Plan was approved by the City Council that included a recommendation to modify the Parking District Boundaries; and WHEREAS, the new Parking District Boundaries will be E Street to the North, Del Mar to the east, Garrett to the west and H Street to the south with the east boundary south of G Street; and WHEREAS, the State of Califomia Vehicle Code Section 22508 requires that local authorities establish parking meter cones by ordinance; and WHEREAS, the properties added to the Parking District will not have any assessment levied; and WHEREAS, the City is not proposing to issue any bonds for the operation of the Parking District; ~~~~ NOW, THEREFORE, BE IT RESOLVED that the City of Chula Vista City Council does hereby modify the Pazking District Boundaries as described above. This ordinance will take effect and be in force thirty days after final passage. Presented by: as to Gary Halbert rB Miesfeld Deputy City Manager/Development Services Manager C, Attorney ~~-2 ORDINANCE No. REP~ING PNp pDOPj1ON D AN ORDINANCE OF THE CITY OF CI-~~A~~ISTA ADDNG CHAPTER ]x.12; GREEN BUILDING STANDARDS, TO THE CHULA VISTA NILNICIPAL CODE The City Council of the City of Chula Vista does ordain as follows: SECTION I. Findings. The City Council finds as follows: 1. The City of Chula Vista has a long standing commitment to leadership in green building sandazds, sustainable design and construction practices, water and other resource conservation and the reduction of greenhouse gas emissions. The City has committed to reducing its citywide greenhouse gas (GHG) emissions to 20% below 1990 levels by 2010. 2. GHG reduction has been mandated by Governor Schwazzeneeger through executive orders and in his signing into law AB 32 in 2006. AB 32 requires a reduction of GHG emissions to 1990 levels by 2020. -. 3. A 2005 Greenhouse Gas Emissions Inventory indicated that Chula Vista's annual citywide greenhouse gas levels had increased by 3~% since 1990 due primarily to residential growth. =4. According to studies published by the United States Green Building Council, the construction; demolition and operation of buildings in the United States collectively consume up to 39% of the total energy used, l2% of all fresh water supply, and 40% of all raw materials used in the United States. $uildings also genecate 39% of total emission of greenhouse gases ~. The California Building Standards Commission (CBSC) and the Department of Housing and Community Development (HCD) developed and approved a California Green Building Standards Code (CGBSC) gleaned from nationally recognized programs and based on an open public adoption process. 6. Green building design, construction, and operation can have a significant positive effect on resource conservation, energy efficiency, waste and pollution generation, and the health and productivity of a building's occupants over the life of the building. Requiring commercial and residential projects to incorporate green building measuresVis necessary and appropriate to achieve the public health and welfare benefits of green building. 7. Modifications to the California Building Standards; as detailed in this Ordinance, are reasonably necessary dne to local climatic conditions. As a result of high summer ambient temperatures and periods of heat waves, average load demand and peak load demand of energy used in Chula Vista is an important factor concerning public safety and adverse economic impacts of power outages or power reductions. Redaction of total and peak energy use will have local and regional benefits in the reduction of energy costs for 5-1 Ordinance vo. Page 2 the building owner, additional available system energy capacity, and a reduction in greenhouse gas emissions. SECTIO~III. That Chapter 15.12 is added to the Chula Vista Municipal Code and reads as follows: Chapfer 15.12 Green Building Standards Sections: Section 15.12.001 Purpose Section 15.12.005 Scope Section 15.12.010 Definitions Section 15.12.015 Conflicting Provisions Section 15.12.020 Administration Section 15.12.025 Alternate Materials, Methods of Design and Methods of Construction Section 15.12.030 Green Building Standazds Section 15.12.035 Administrative Procedures Section 15.12.040 Appeal Section 15.12.001 Purpose The purpose of this Chapter is to enhance the public health and welfare by promoting the environmental and economic health of the City through the design, construction, maintenance, operation and deconstruction of buildings and other site development by incorporating green building practices into all development. The green building provisions referred to in this Chapter are designed to achieve the following goals: A. Increase energy efficiency in buildings; B. Encourage water and resource conservation; C. Reduce waste generated by construction projects; D. Provide durable buildings that aze efficient and economical to own and operate; E. Promote the health and productivity of residents, workers, and visitors to the city. Section 15.12.005 Scope The provisions of this Chapter shall apply to all new residential constriction, remodels, additions, and alterations, and to all new nonresidential construction, remodels, additions, and tenant improvements far which a building permit has been applied for on or after the effective date of this Chapter ("Covered Projects"). Section 15.12.010 Definitions For the purposes of this Chapter, the following words have the meanings shown in this section. Where a term is not defined in this section, but is defined in Chapter 15.06, or the technical codes Chapters 15.08, 15.10, 15.16, 15.24, 15.26, and 15.28, such term shall have the meaning ascribed to it in Chapter 15.06, or the technical codes Chapters 15.08, 15.10, 15.16, 15.24, 15.26, and 15.28. Where terms aze not defined, they shall have their ordinarily accepted meanings within the context with which they aze used. Wocds used in the singular include the 5-2 Ordinance No. Page 3 plural, and the plural the singular. Words used in the masculine gender include the feminine, and the feminine include the masculine. `'Building Official" means the officer or other designated authority charted with the administration and enforcement of this chapter, or duly authorized representative. `'Chula Vista Green Building Standards" means the green building measures that have been adopted by City Council, and which may be amended from time to time. '`Green Building'' means a holistic approach to design, construction; and demolition that minimizes the building's impact on the environment, the occupants, and the community. Section 15.12.015 Conflicting Provisions When conflicts occur between this Chapter and other chapters, codes or laws; those provisions providing the greater safety to life shall govern. In other conflicts where sanitation, life safety or fire safety are not involved, the most restrictive provisions shall govern. If there is a conflict with a state or federal law, the higher authority would prevail; if the laws aze consistent but the local is more restrictive, the more restrictive would govern. When there is a conflict between a general requirement and a specific requirement, the specific requirement shall apply. Section 15.12.020 Administration The Building Official is authorized and directed to enforce all the provisions of this chapter and to adopt and enforce rules and regulations supplemental to this chapter as may be deemed necessary to ctarify the application of the provisions of this chapter. Such interpretations, rules and regulations shall be in conformity with the intent and purpose of this chapter. Section 15.12.025 Alternate Materials, Methods of Design and Methods of Construction The provisions of this chapter are not intended to prevent the use of any material, method of design or method of construction not specifically prescribed by this chapter, provided an alternate has been approved and its use authorized by the Building Official. The Building Official may approve an alternate, provided the Building Official finds that the proposed design is satisfactory and complies with the provisions of this chapter and that the material, method or work offered is; for the purpose intended, at least the equivalent of that prescribed in this chapter. The Building Official may require documentation necessary to make findings for approval. The details of an action granting approval of an alternate shall be recorded and entered in the files of the Building Division. 5-3 Ordinance No. Page 4 Section 15.12.030 Creen Building Standards Buildings and building sites covered under Section 15.12.00 shall be designed to include Green Building measures, which have been adopted by City Council resolution as the '`Chula Vista Green Building Standards," and which may be amended from time to time. Section 15.12.035 Administrative Procedures A. Submittal of Documents. As part of the application for a building permit, construction plans and specifications shall indicate in the general notes or individual detail drawings the Green Building Standazds and product specifications and methods of construction that aze required by this Chapter. The Building Official may require the applicant to retain the services of a consultant having expertise in Green Building and/or energy efficiency techniques to review and evaluate complex systems and/or alternate methods or materials of construction and provide recommendations as to compliance with the requirements of this Chapter. The cost of such consultant shall be paid by the applicant. B. Approval of Permit Application. Notwithstanding any other provision of this code, no building permit shall be issued for any covered project until the Building Official has determined that the plans and specifications submitted for the building permit aze in compliance with the requirements of this Chapter. C. Compliance Verification. The $uilding Official shall verify that the Green Building measures and specifications indicated on the permitted plans and construction documents aze being implemented at foundation, framing, electrical, plumbing, mechanical, and any other required inspections; and prior to issuance of a final certificate of occupancy. Additional inspections may be conducted as needed to ensure compliance with this chapter. During the course of construction and following completion of the project, the city may require the applicant to provide information and documents showing use of products, equipment, and materials specified on the permitted plans and documents. If, at any stage of construction, the Building Official determines that the project is not being constructed in accordance with the permitted plans and documents, a Stop Order may be issued pursuant to CVMC Section 15.06.060.D. At the discretion of the Building Official, the stop work order may apply to the portion of the project impacted by noncompliance or to the entire project. The stop work order shall remain in effect until the Building Official determines that the project will be brought into compliance with the permitted plans and documents and this Chapter. Prior to final building approval or issuance of a certificate of occupancy; the Building Official shall review the information submitted by the applicant and determine whether the applicant has constructed the project in accordance with the permitted plans and documenu. If the Building Official determines that the applicant has failed to construct 5-4 Ordinance No. Page ~ the project in accordance with the permitted plans and documents; then the final building approval and fina] certificate of occupancy may be withheld, until the Building Official determines that the project is in compliance with this Chapter. Section 15.12.040 Appeal The Board of Appeals and Advisors as established by Chapter 2.26 is hereby designated to hear and decide appeals of orders, decisions, or determinations made by the Building Official relative to the application and interpretation of this Chapter. The Board shall render all decisions and findings in writing to the Building Official and provide a copy to the appellant. The decision of the Board is final. SECTION III. EFFECTIVE DATE. This ordinance will take effect and be in force thirty.days after final passage. Submitted by: Gary Halbert AICP, PE Deputy City Manager/ Director of Development Services Approved as to form by _~7 i Bart lie 1 ~ City Attorney 5-5 ORDINANCE NO. ~D R~Pp\NG PtJD PDOP~tON C ORDINANCE OF THE CITY OFS CHULA VISTA ADOPTING AMENDMENTS TO CHULA VISTA MUNICIPAL CODE SECTION 8.25.095 - CONSTRUCTION AND DEMOLITION DEBRIS RECYCLING The City Council of the City of Chula Vista does ordain as follows: SECTION I. That Section 8.25.095 of the Chula Vista Municipal Gode is hereby amended to read as follows: 8.25.095 Construction and demolition debris recycling. A. Projects. 1. Covered Projects. The following project categories are covered projects and must comply with this section: a. Any project requiring a permit for demolition or construction, with a project valuation of $20,000 or more, unless defned as anon-covered project in subsection (A)(3) of this section. b. Any sequenced developments, such as housing subdivision construction or subdivision demolition, must be considered as a "project" in its entirety for purposes of this section, and not as a series of individual projects. 2. City-Sponsored Projects. All City construction and demolition projects shall be considered "covered projects' and shall submit a waste management report to the City Manager or designee prior to issuance of any construction or demolition permits. 3. Non-Covered Projects. A performance deposit and waste management report shall not be required far the following: a. Work for which a construction or demolition permit is not required. b. Roofing projects that do not include tear-off of existing roof c. Work for which only a plumbing, only an electrical, or only a mechanical permit is required. d. Seismic tie-down projects. e. Projects less than 10,000 square feet, where no structural building modifications are required. f. Emergency required to protect public health and safety. g. Individual single-family homes that are not part of a larger project. While not required, it shall be encouraged that at least 50 percent of all project-related construction, renovation and demolition waste from non-covered projects be diverted B. Submission of Waste Management Report. 1. Construction and Demolition Waste Management Report Forms. Applicants for any covered project shall complete and submit a construction and demolition waste management report on a waste management report form (WMR) approved by the City for this purpose. The purpose of the WMR is to illustrate how the applicant plans to comply with the diversion requirements per CVMC § 8.25.020.06. Upon project completion, the WMR will illustrate how the applicant complied with the diversion requirements. The WMR shall indicate all of the following: a. Part 1 of the WMR shall be submitted for review and approval prior to issuance of a construction or demolition permit. The WMR should identify the 6-1 type of materials expected to be generated at the project site and the anticipated end uses or end markets (recycled, reused on-site, salvaged, or disposed) indicating how the landfill diversion goals will be met. Part 1 of the WMR shall include: i. The type of project; ii. The total square footage of the project; iii. The estimated generation of construction or demolition debris by material type. b. Upon completion, the applicant will submit Part 2 of the WMR and shall indicate all of the following: i. The type of project; ii. The total square footage of the project; iii. The actual volume or weight of construction and demolition debris recycled, by material type; iv. The actual volume or weight of construction and demolition debris reused or salvaged by material type; v. The actual volume or weight of construction and demolition debris disposed of in a landfill; vi. The actual volume or weight of construction and demolition debris recycled at a construction and demolition debris recycling/processing center; vii. The vendors or facilities that the applicant used to collect, process, or receive the construction and demolition debris. In estimating the volume or weight of materials identified in the WMR, the applicant shall use the standardized conversion rates established and approved by the City for this purpose or actual weight tickets. 2. Initial Application. Notwithstanding any other provision of this code, no construction or demolition permit may be issued until the initial construction and demolition waste management report has been approved by the WMR Compliance Official. The WMR Compliance Official will respond to the applicant's WMR submittal within 10 business days with an approval, denial or request for clarification. If the WMR Compliance Official does not respond within 10 business days, the applicant should notify the Official. After notification by the applicant, the Official will then fiave three business days to complete the review. If the review is not completed within three business days after the notification, the deposit requirement will be waived. 3. Amount of Performance Deposit. The applicant for any covered project shall submit to the City a performance deposit. The amount of the performance deposit shall be calculated as the lesser of three-quarters of one percent of the total project cost for new construction and one and one half percent of the total project costs for demolition projects or $30,000 maximum. All letters of credit must be issued by a financial institution acceptable to the City and on a form prescribed by the City and approved by the City Attorney. All bonds shall be in the form prescribed by the City and by such sureties which are admitted insurers in the State of California, are subject to regulation by the Department of Insurance, and which satisfy all State requirements. The City shall not accept a surety bond for any project with a performance deposit calculated at $10,000 or less. The WMR Compliance Official shall waive the performance deposit if the total deposit required pursuant to this section would be $50.00 or less. Performance deposit funds in the form of cash, money order, or check will be placed in a secured account, subject to interest. The performance deposit and accrued interest shall be returned to the applicant upon acceptance of proof of compliance in full. If partial compliance, the performance 6-2 deposit and associated interest will be refunded on a prorated basis dependent on the degree of compliance. The City will retain the interest on any deposit funds not refunded. 4. Documentation. Within 30 days after demolition is completed (if a demolition permit only) or 30 days after the issuance of a certificate of occupancy or at the time of issuing the last certificate of occupancy for units within a phased project of any covered project, the applicants shall submit to the WMR Compliance Official documentation that it has met the diversion requirement for the project, unless applicant has been granted an exemption pursuant to subsection (C) of this section. The documentation shall include all of the following: a. Receipts from the vendor or facility that received each material, showing the actual weight or volume of that material; b. A copy of the completed waste management report form, in its entirety; and c. Photographs and narrative documentation of the applicant's reuse activities. 5. Weighing of Wastes. Applicants shall make reasonable efforts to ensure that all construction, renovation and demolition waste diverted for reuse or disposed of is measured and recorded using the most accurate method of measurement available. To the extent practical, all construction, renovation and demolition waste shall be weighed by measurement on scales. Such scales shall be in compliance with all regulatory requirements for accuracy and maintenance. For construction, renovation and demolition waste for which weighing is not practical due to small size or other considerations, a volumetric measurement shall be used. For conversion of volumetric measurements to weight, the applicant shall use the standardized rates established by the conversion rates table approved by the City for this purpose. Conversion rate tables will be included with the waste management report form. 6. Determination of Compliance and Release of Performance Deposit. The WMR Compliance Official shall review the information submitted under this section and determine whether the applicant has complied with the diversion requirement, as follows: a. Compliance. If the WMR Compliance Official determines that the applicant has fully complied with the diversion requirement applicable to the project, he or she shall cause the release of the performance deposit to the applicant within 30 days of the applicant's submission of the documentation required under this section. If the applicant has complied in. part, a portion of the performance deposit will be withheld. The amount withheld will be proportional to the percentage of materials that are not recycledldiverted. b Noncompliance. If the WMR Compliance Official determines that the applicant failed to submit the documentation within the required time period, then the performance deposit shall be forfeited to the City. All forfeited and/or unrecovered funds shalt be used for waste reduction and recycling activities. C. Exemption. 1. Application. If an applicant for a covered project experiences unique circumstances that the applicant believes make it infeasible to comply with the diversion requirement, the applicant may apply for an exemption at the time that he or she submits the WMR. The applicant shall indicate on the WMR the maximum rate of diversion he or she believes is feasible for each material and the specific circumstances that he or she believes make it infeasible to comply with the diversion requirement. 2. Meeting with WMR Compliance Official. The WMR Compliance Official shall review the information supplied by the applicant and may meet with the applicant to discuss possible ways of meeting the diversion requirement. 3. Granting of Exemption. If the WMR Compliance Official determines that it is infeasible for the applicant to meet the diversion requirement due to unique circumstances, he or she shall determine the maximum feasible diversion rate for each material and shall indicate this rate on the WMR submitted by the applicant. The WMR Compliance Official shall return a copy of the WMR to the applicant marked °Approved 6-3 with Exemption." The applicant shall then be responsible for diverting the revised rate noted by the WMR Compliance Official on the approved WMR, in compliance with the provisions of this section. 4. Denial of Exemption. If the WMR Compliance Official determines that it is possible for the applicant to meet the diversion requirement, he or she shall so inform the applicant in writing. The applicant shall resubmit a WMR form in.full compliance with this section. If the applicant fails to resubmit the WMR, or if the resubmitted WMR does not comply with ihis section, the WMR Compliance Official shall deny the WMR. D. Appeal. Appeals of a determination made by the WMR Compliance Official under this section shall be made to the City Manager or designee. The appeal shall be in writing and filed with the City Clerk within 10 business days of issuance of the WMR Compliance Official's decision. The appeal shall be limited to the following issues: (1) the granting or denia( of an exemption; and (2) the amount of security to be released. The decision of the City Manager or designee shall be final. (Ord. 5. Granting of Exemption. If the WMR Compliance Official determines that it is infeasible for the applicant to meet the diversion requirement due to unique circumstances, he or she shall determine the maximum feasible diversion rate for each material and shall indicate this rate on the WMR submitted by the applicant. The WMR Compliance Official shall return a copy of the WMR to the applicant marked `Approved with Exemption." The applicant shall then be responsible for diverting the revised rate noted by the WMR Compliance Official on the approved WMR, in compliance with the provisions of this section. 6. Denial of Exemption. If the WMR Compliance Official determines that it is possible for the applicant to meet the diversion requirement, he or she shall so inform the applicant in writing. The applicant shall resubmit a WMR form in full compliance with this section. If the applicant fails to resubmit the WMR, or if the resubmitted WMR does not comply with this section, the WMR Compliance Official shall deny the WMR. D. Appeal. Appeals of a determination made by the WMR Compliance Official under this section shall be made to the Cdy Manager or designee. The appeal shall be in writing and filed with the City Clerk within 10 business days of issuance of the WMR Compliance Official's decision. The appeal shall be limited to the following issues: (1) the granting or denial of an exemption; and (2) the amount of security to be released. The decision of the City Manager or designee shall be final. (Ord. 3118 § 1, 2008; Ord. 3116 § 1, 2008; Ord. 3105 § 1, 2008). Presented by Approved as to form by Richard A. Hopkins Bart Miesfeld Director of Public Works City Attorney 6-4 ORDINANCE NO. ~ LGp,1D READING p,ND P,DGn?1G^1 ORDINANCE OF THE CITY COUNCIL OF THE CTTY OF CHULA VISTA APPROVIi IG THE SECTIONAL PLANNING AREA (SPA) PLANNED COMMUNITY DISTRICT (FORM BASED CODE) REGULATIONS FOR OTAY RANCH EASTERN URBAN CENTER WHEREAS, the property which is the subject matter of this ordinance is identified as Exhibit "A" attached hereto and commonly known as Otay Ranch Eastern Urban Center ("Property"); and WHEREAS, an application to consider anew Sectional Planning Area (SPA) Plan, including Planned Community District Regulations /Design Plan (Form Based Code) for the Eastem Urban Center was filed with the City of Chula Vista Development Services Department on April 14, 2006 by McMillin Otay Ranch, LLC ("Applicant"); and WHEREAS, the Otay Ranch Eastem Urban Center Sectional Planning Area (SPA) Plan, Planned Community District Regulations/Design Plan (Form Based Code){"Project") aze intended to ensure that the Otay Ranch Eastem Urban Center SPA Plan is prepazed in accordance with the Otay Ranch General Development Plan (GDP), to implement the City of Chula Vista General Plan for eastern Chula Vista, to promote the orderly planning and long term phased development ofthe Otay Ranch GDP and to establish conditions which will enable the Otay Ranch Eastem Utban Center to exist in harmony within the community; and WHEREAS, the Otay Ranch Eastern Urban Center SPA Planned Community District Regulations (Form Based Code) aze established pursuant to Title l9 of the Chula Vista Municipal Code, specifically Chapter 19.48 (PC) Planned Community Zone, and are applicable to the Otay Ranch Eastem Urban Center SPA Land Use Plan; and WHEREAS, the Otay Ranch Eastem Urban Center SPA Planned Community District Regulations (Farm Based Code) establishes development regulations applicable to the Gateway Mixed Use Commercial District, Neighborhood Residential Districts, Business District, Main Street District, and the Eastern Gateway District located in the Otay Ranch Eastem Urban Center; and WHEREAS, the Project relied in part on the original Otay Ranch General Development Plan Program Environmental Impact Report 90-01, and the Otay Ranch Eastern Urban Center SPA Plan Final Second-Tier Environmental Impact Report ("EIR 07-O1") (SCH#2007041074), the candidate CEQA Findings and Mitigation Monitoring and Reporting Program; and 7-1 WHEREAS, the Planning Commission set the time and place for a hearing on said Otay Ranch Eastern Urban Center Sectional Planning Area (SPA) Plan (PCM-06-08) and notice of said hearing, together with its purpose, was given by its publication in a newspaper of general circulation in the city and its mailing to property owners within 500 feet of the exterior boundaries ofthe Project site at least ten days prior to the hearing; and WHEREAS, the hearing was held at the time and place as advertised, namely 6:00 p.m. August 26, 2009 in the Council Chambers located in the Administration Building, 276 Fourth Avenue, and the Planning Commission voted 6-0-0-1 to approve Planning Commission Resolution PCM-06-08 recommending to the City Council approval of the Planned Community District regulations (Form Based Code); and WHEREAS, a duly noticed public hearing was scheduled before the City Council ofthe City of Chula V ista on the Otay Ranch Eastern Urban Center SPA Plan and adopting the ordinance to approve the SPA Planned Community District Regulations for Otay Ranch Eastern Urban Center. NOW, THEREFORE, THE CITY COUNCIL of the Ciry of Chula Vista does hereby order and ordain as follows: I. PLANNING COMMISSION RECORD The proceedings and all evidence introduced before the Planning Commission at their public hearing held on August 26, 2009 and the minutes and resolutions resulting therefrom, aze hereby incorporated into the record of this proceeding. These documents, along with any documents submitted to the decision makers, shall comprise the entire record of the proceedings for any California Environmental Quality Act (CEQA) claims. II. COMPLIANCE WITH CEQA The City Council hereby finds that the Project, as described and analyzed in the Second-Tier Final EIR 07-01, would have no new effects that were not examined in said Final EIR (Guideline 15168 (c)(2)) III. ACTION The City Counci] hereby adopts an Ordinance to the Otay Ranch Eastern Urban Center SPA Planned Community District Regulations (Form Based Code), fording that they are consistent with the City of Chula Vista General Plan, the Otay Ranch General Development Plan and all other applicable Plans, and that the public necessity, convenience, general wetfare and good planning and zoning practice support their approval and implementation. IV. EFFECTIVE DATE This Ordinance shall take effect and be in full force on the thirtieth day from and after its adoption. 7-2 Presented by Gary Halbert, AICP , PE Deputy City Manager Development Services Director Approved as to form by ~i Z f~-` ~ L ~~/ eft M'~~.'"''' ty Attorney 1:\Planning\Otayranch\Eastcrn Urban Center SPA\2005 $PA-PCM 99-OTPublic Hcarings-Workshops\City Council Hearing Package 2009\CC Ordinance adopting FBC for EUC Final .rtf 7-3 EXHIBIT A Legal Description of McMillin Properri With Nlap of All of EUC REAL PROPERTY IN THE CITY OF CHULA VISTA, STATE OF CALIFORNIA, DESCRIBED AS FOLLOWS: PARCEL 3 OF PARCEL MAP NO. 18481, IN THE CITY OF CHULA VISTA, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY, MAY 31, 2000, AS INSTRUMENT N0.2000-283684 OF OFFICIAL RECORDS. EXCEPTING THEREFROM THE LAND DESCRIBED IN THAT CERTAIN IRREVOCABLE OFFER OF DEDICATION OF FEE INTEREST RECORDED MAY 22, 2003, AS INSTRUMENT NO.2003- 0604602, AND ACCEPTED BY THAT CERTAIN ACCEPTANCE OF IRREVOCABLE OFFER OF DEDICATION OF FEE INTEREST RECORDED MAY 22, 2003, AS INSTRUMENT N0.2003- 0604603, AND CONVEYED TO THE STATE OF CALIFORNIA BY GRANT DEED RECORDED IvIAY 22, 2003, AS INSTRUMENT N0.2003-0604607, ALL OF OFFICIAL RECORDS OF SAN DIEGO COUNTY, CALIFORNIA. t . ,,`. 1/ i YI1.!Alfii 'M. I'AF;.6I. PA:1 'K~ .0'1' ~~ t n W 5cn ~ ~+ ~~. Q LO7 2^u oTAY FANGH tiIAP asa F.O.s. IEi7: YAROE! i3 P!A 7Ndg1 FUTUiiP F.; l.i.. P-yp L g}~~ '9 }/6 ` -~ C3*~r_'1l'•~ C~~ 7 t~' ~~ t ~\~ ~~. ! OT IB A4'IVl 644.070-01 f 9]IN wec 1?!k4~F 7-4 t ~ jV J~sj',J a p~~~ F~J ORDINANCE NO. ~~~~~~i,~~~~~ ,~.~ ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVI~i IG A DEVELOPMENT AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND MCMILLIN OTAY RANCH LLC FOR MCMILLIN'S PORTION OF THE EASTERN URBAN CENTER WHEREAS, the property which is the subject matter of this ordinance is identified in the Development Agreement (on file in the Office of the City Clerk) and commonly known as Otay Ranch Eastern Urban Center ("Property"); and WHEREAS, the Project relied in part on the original Otay Ranch General Development Plan Program Environmental Impact Report 90-O1, and the Otay Ranch Eastern Urban Center SPA Plan Final Second-Tier Environmental Impact Report ("EIR 07-0 l ") (SCH#2007041074), the candidate CEQA Findings and Mitigation Monitoring and Reporting Program; and WHEREAS, the Planning Commission set the time and place for a hearing on said Development Agreement and notice of said hearing, together with its purpose, was given by its publication in a newspaper of general circulation in the city and its mailing to property owners within 500 feet of the exterior boundazies of the Project site at least ten days prior to the hearing; and WHEREAS, the heazing was held at the time and place as advertised, namely 6:00 p.m. August 26, 2009, in the Council Chambers, 276 Fourth Avenue, and the Planning Commission voted 6-0-0-1 to approve Planning Commission Resolution PCM-06-08(B) recommending to the City Council approval of the Development Agreement between the City of Chula Vista and McMillin Otay Ranch LLC for McMillin's portion of the Eastern Urban Center (the "Development Agreement"); and WHEREAS, on September 15, 2009, a duly noticed public hearing was scheduled before the City Council of the City of Chula Vista to consider adopting the ordinance to approve the Development Agreement between the City of Chula Vista and McMillin Otay Ranch LLC for McMillin's portion of the Eastem Urban Center. NOW, THEREFORE, TT-lE C[TY COUNCIL of the City of Chula Vista does hereby order and ordain as follows: I. PLANNING COMMISSION RECORD The proceedings and all evidence introduced before the Planning Commission at their public hearing held on August 26, 2009 and the minutes and resolutions resulting therefrom, aze hereby incorporated into the record of this proceeding. These documents, along with any documents submitted to the decision makers, shall comprise the entire record of the proceedings for any California Environmental Quality Act (CEQA) claims. 8-1 a. iII. IV V COMPLIANCE WITH CEQA The City Council hereby finds that the adoption of the ordinance approving the Development Agreement for the Project, as described and analyzed in the Second-Tier Final EIR 07-01, would have no new effects that were not examined in said Final EIR (Guideline 15168 (c)(2))• CONSISTENCY WITH GENERAL PLAN Ai~1D OTAY RANCH GENERAL DEVELOPMENT PLAN (GDP) The City Council fords that the proposed Development Agreement is consistent with the City's General Plan and Otay Ranch General Development Plan. The Development Agreement implements the General Plan and GDP by providing a comprehensive program to implement the SPA Plan and Tentative Map. Those plans provide urban design plans incorporating a mixture of land uses connected by a grid system of public streets and pedestrian paths, urban parks and plazas, outdoor dining, public buildings, and commercial activities designed to promote a safe pedestrian environment. The EUC site utilization plan, including the density, non-residential squaze footage, height, and number ofresidential units, is consistent with the General Plan and GDP. ACTION The City Council hereby adopts an Ordinance approving the Development Agreement between the City of Chula Vista and McMillin Otay Ranch LLC for McMillin's portion of the Eastern Urban Center (on file in the Office of the City Clerk) finding it consistent with the California Government Code, with adopted City policies, and with the City's General Plan and Otay Ranch General Development Plan. EFFECTIVE DATE This Ordinance shall take effect and be in fall force on the thirtieth day from and after its adoption. Presented by Gary Halbert, AICP, PE Deputy City Manager Development Services Director Approved as to form by i"J e f ~ ~~ -l ity ttomey 8-2 TY COUNCIL STATEMENT ~`~~ CITY OF CHULA VISTA 10/06/09, Item `7 II ITEM TITLE: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING DEVELOPMENT IMPACT FEE PAYMENT PLAN AGREEMENTS ("AGREEMENTS") WITH SHEA HOMES, L.P. FOR OTAY RANCH VILLAGE 11, "CLOVER", PHASE SEVEN AND OTAY RANCH VILLAGE 7, "MOSAIC" PHASE FIVE; AUTHORIZING THE CITY MANAGER TO EXECUTE THE AGREEMENTS ON BEHALF OF THE CITY, AND DIRECTING THE CITY CLERK TO RECORD THE LIENS AND THE AGREEMENTS WITH THE COUNTY RECORDER OF THE COUNTY OF SAN DIEGO SUBMITTED BY: DIRECTOR OF DEVELOPMENT SERVICEEPUTY CITY MANAGER REVIEWED BY: CITY MANAGER 4/STHS VOTE: YES ^ NO SUMMARY On January 6, 2009 City Council adopted Ordinance No. 3120 providing developers the opportunity to enter into a payment plan for City Development Fees to stimulate development during this economic downturn. These agreements with Shea Homes, L.P. set forth the terms of the payment plan for two residential projects within the Otay Ranch. ENVIRONMENTAL REVIEW The City's 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; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines the activity is not subject to CEQA. Thus, no environmental review is necessary. RECOMMENDATION Council adopt the resolution. BOARDS/COMMISSION RECOMMENDATION Not applicable. 9-1 10/06/09, Item Page 2 of 3 DISCUSSION Ordinance 3120 provides a framework for individual projects to enter into payment plan agreements for council approval. The program is intended to be a temporary response to the current economic downturn, and as, such, will expire on December 30, 2010. The Agreements Shea Homes, L.P. is seeking building permits for 8 condominium units within Otay Ranch Village 11, Neighborhood R18, "Clover", Phase 7 and 9 condominium units within Otay Ranch Village 7, Neighborhoods R6 and R7, "Mosaic", Phase 5. "Clover" is located east of Discovery Falls Drive, north of Crossroads Street and can also be described as Lot 1 of Subdivision Map 15509. "Mosaic" is located east of Wolf Canyon Loop and south of Bob Pletcher Way and is within Parcel 2 of Parcel Map No. 20057. Shea Homes, L.P., owns both Clover Phase Seven and Mosaic Phase Five and agrees that they are responsible for all of the development impact fees owed for the project. Shea Homes also acknowledges and agrees that these fees are due and payable to the City prior to or upon the call for final inspection. The following table provides a summary of the balance of fees due on both projects and included in the agreement. TOTAL $173,871.48 $15,716.57 $62,154.04 Interest on Deferred Fees Although applicants have not been required to submit an administrative fee to cover the staff costs associated with administering the payment plan agreements, applicants are obligated to cover the interest of the outstanding balance of the deferred fees. The interest rate is based on the California State Local Agency Investment Fund (LAIF) Apportionment Rate in effect on the date of the execution of each agreement. The current investment rate is 2.54%. These agreements adhere to the stipulations outlined in this report and in Ordinance 3120, which established the payment plan program. Depending on market conditions and construction schedules, occupancy is anticipated to occur within the initial 12-month agreement and the sunset date of December 30, 2010. Approval of the agreement will enable the project to proceed and stimulate economic development within Chula Vista. 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. 9-2 Clover Phase Seven $95,030..57 $8,639.53 $88,585.37 Mosaic Phase Five $78,840.91 $7,077.04 $73,568.67 10/06/09, Item ~ Page 3 of 3 CURRENT FISCAL IMPACT Processing of these agreements will have a positive impact on the Development Services Fund. Currently, the fund revenues have a projected shortfall of $1.7M due to the decrease in development activity. The payment of $15,716.57 in processing fees will lower the projected shortfall. Applicants will reimburse the City for all costs incurred in the preparation, execution, and recordation of the individual project agreements. Staff costs incurred in administering individual payment plan agreements will not be recovered via astand-alone administrative fee. It is anticipated that these costs will not exceed staff time generally spent administering fee programs. Payment plans will enable the collection of processing fees on projects, which might otherwise cease and thus, stimulate the economy and improve development services revenue. ONGOING FISCAL IMPACT The balance to be paid at the call for final inspection may be expected to be collected for future fiscal years and approval of individual project payment plan agreements will result in extended payment of processing and development fees. Interest earnings are estimated at $4,017.13. ATTACHMENTS Fee Tables Prepared by: Chester Bautista, Associate Civil Engineer, Development Services Department H: IENGINEERIAGENDAICAS2009110-06-091PaymentPlan Agreements Shea Homes v3.doc 9-3 Attachment 1 Payment Schedule Mosaic Phase 5 (BR09-0001) Account Description 1200 Mechanical Permit Fees 1450 Resid Strong Motion Fees 1600 Sewer Administrative Fee 1700 Sewer Capacity Fee (18.4) 2164 CBSC SB143 Admin Fee 2165 CBSC S6143 Admin Fund 3000 Traffic Signal Fee (18.2) 3100 Res Construction Tax (18.3) 3210 PC Plan Review 3211 PC Permit Proc 3212 PC Inspection 3213 PC Blg Admin 3214 PC Plg Supp 3215 PC Code Enf 3216 PC Engineering 3217 PC Fire Prev 3220 BP Plan Review 3221 BP Permit Proc 3222 BP Inspection 3223 BP Blg Admin 3224 BP Plg Supp 3225 BP Code Enf 3226 BP Engineering 3227 BP Fire Prev 4000 DIF Transportation 4100 DIF Public Fac Admin 4200 DIF Civic Ctr 4300 DIF Police 4400 DIF Corp Yard 4500 DIF Library 4600 DIF Fire 5010 DIF Recreation 5140 NPDES Fee 5150 Salt Creek Sewer DIF 6000 Otay Ranch Res Balance of Fees Processing Balance of Due Fees* Deferred Fees 2.54% Balance Due at Interest'* Finai Inseectien $ 923.58 $ 923.58 $ - $ - $ - $ 115.70 $ 115.70 $ - $ - $ - $ 45.00 $ - $ 45.00 $ 1.14 $ 46.14 $ 23,476.50 $ - $ 23,476.50 $ 596.30 $ 24,072.80 $ 4.70 $ 4.70 $ - $ - $ - $ 42.30 $ 42.30 $ - $ - $ - $ 293.76 $ - $ 293.76 $ 7.46 $ 301.22 $ 2,675.00 $ - $ 2,675.00 $ 67.95 $ 2,742.95 $ 1,013.04 $ 1,013.04 $ - $ - $ - $ 551.15 $ 551.15 $ - $ - $ - $ 2,536.49 $ 2,536.49 $ - $ - $ - $ 147.97 $ 147.97 $ - $ - $ - $ 290.55 $ 290.55 $ - $ - $ - $ 277.37 $ 277.37 $ - $ - $ - $ 548.75 $ 548.75 $ - $ - $ - $ 625.44 $ 625.44 $ - $ - $ - $ 15,031.80 $ - $ 15,031.80 $ 381.81 $ 15,413.61 $ 4,788.00 $ - $ 4,788.00 $ 121.62 $ 4,909.62 $ 7,146.00 $ - $ 7,146.00 $ 181.51 $ 7, 327.51 $ 8,046.00 $ - $ 8,046.00 $ 204.37 $ 8,250.37 $ 9,648.00 $ - $ 9,648.00 $ 245.06 $ 9,893.06 $ 379.00 $ - $ 379.00 $ 9.63 $ 388.63 $ 234.81 $ - $ 234.81 $ 5.96 $ 240.77 ~ /tr,s4u.y~ ' All Processing fees are due at the time of building permit issuance Intepest Rate at 2.54% CA State Local Agency Investment Fund ~ /,U//.U4 al /7,/b3.tl/ ~ htJLL.tIU S /3~JtlO.C/ Ending 12/31/08 Apportionment Rate va c ~ -~~ o~ ~1,2~_~~ Date e ,ZZ_~~ Date 9-4 Attachment 1 Payment Schedule Clover Phase 7 (BR08-0040 to BR08-0041) Account Description 1200 Mechanical Permit Fees 1400 Plan Check Fees 1450 Resid Strong Motion Fees 1600 Sewer Administrative Fee 1700 Sewer Capacity Fee (18.4) 2164 CBSC S6143 Admin Fee 2165 CBSC SB143 Admin Fund 3000 Traffic Signal Fee (18.2) 3100 Res Construction Tax (18.3) 3210 PC Plan Review 3211 PC Permit Proc 3212 PC Inspection 3213 PC Blg Admin 3214 PC Plg Supp 3215 PC Code Enf 3216 PC Engineering 3217 PC Fire Prev 3220 BP Plan Review 3221 BP Permit Proc 3222 BP Inspection 3223 BP Blg Admin 3224 BP Plg Supp 3225 BP Code Enf 3226 BP Engineering 3227 BP Fire Prev 4000 DIF Transportation 4100 DIF Public Fac Admin 4200 DIF Civic Ctr 4300 DIF Police 4400 DIF Corp Yard 4500 DIF Library 4600 DIF Fire 5010 DIF Recreation 5140 NPDES Fee 5150 Salt Creek Sewer DIF 6000 Otay Ranch Res 8087 Village 11 Ped Bridge Balance of Fees Processing Due Fees* $ 820.96 $ 820.96 $ - $ - $ - $ 129.31 $ 129.31 . $ - $ - $ - $ 90.00 $ - $ 90.00 $ 2.29 $ 92.29 $ 20,868.00 $ - $ 20,868.00 $ 530.05 $ 21,398.05 $ 1,966.72 $ - $ 1,966.72 $ 49.95 $ 2,016.67 $ 2,400.00 $ - $ 2,400.00 $ 60.96 $ 2,460.96 $ 1,274.94 $ 1,274.94 $ - $ - $ - $ 710.22 $ 710.22 $ - $ - $ - $ 3,268.54 $ 3,268.54 $ - $ - $ - $ 190.68 $ 190.68 $ - $ - $ - $ 374.40 $ 374.40 $ - $ - $ - $ 357.42 $ 357.42 $ - $ - $ - $ 707.12 $ 707.12 $ - $ - $ - $ 805.94 $ 805.94 $ - $ - $ - $ 13,361.60 $ - $ 13,361.60 $ 339.38 $ 13,700.98 $ 4,256.00 $ - $ 4,256.00 $ 108.10 $ 4,364.10 $ 1,464.00 $ - $ 1,464.00 $ 37.19 $ 1,501.19 $ 592.00 $ - $ 592.00 $ 15.04 $ 607.04 $ 120.00 $ - $ 120.00 $ 3.05 $ 123.05 $ 4,176.00 $ - $ 4,176.00 $ 106.07 $ 4,282.07 $ 7,152.00 $ - $ 7,152.00 $ 181.66 $ 7,333.66 $ 8,576.00 $ - $ 8,576.00 $ 217.83 $ 8,793.83 $ 548.00 $ - $ 548.00 $ 13.92 $ 561.92 $ 7, 980.00 $ - $ 7, 980.00 $ 202.69 $ 8,182.69 $ 208.72 $ - $ 208.72 $ 5.30 $ 214.02 $ 12,632.00 $ - $ 12,632.00 $ 320.85 $ 12,952.85 2.54% Balance of Balance Due at Deferred Fees Interact** Final Incncrfinn $ 95,U3U.57 $ (1,639.53 $ fJ6,397.U4 $l, 794.33 ~ 88,8(!5.37 All Processing fees are due at the time of building permit issuance Intere t Rate at 2.54% A State Local Agency Investment Fun(d~(LAIQF) Quarter Ending 12/31/08 Apportionment Rate ( ~ -I 0 y ( w din Dat _ .~= p` h ~~~©~ red y ( ann' g) ~ Date ;~ ~, ~ - ZZ Verified v (Engineeri ) n q'! Date Verified By'(14ar~tJ' scaping) ~~~ ,. Date 9-5 RESOLUTION N0.2009 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING DEVELOPMENT IMPACT FEE PAYMENT PLAN AGREEMENTS ("AGREEMENTS") WITH SHEA HOMES, L.P. FOR OTAY RANCH VILLAGE 11, "CLOVER", PHASE SEVEN AND OTAY RANCH VILLAGE 7, "MOSAIC" PHASE FIVE; AUTHORIZING THE CITY MANAGER TO EXECUTE THE AGREEMENTS ON BEHALF OF THE CITY, AND DIRECTING THE CITY CLERK TO RECORD THE LIENS AND THE AGREEMENTS WITH THE COUNTY RECORDER OF THE COUNTY OF SAN DIEGO WHEREAS, the City requires the payment of various processing, development impact, capacity, and in-lieu fees to ensure new development mitigates its impact on public facilities; and WHEREAS, the payment of these fees is a substantial commitment for many projects, and spreading the payment of the fees over an extended period may assist in the development of projects; and WHEREAS, in December 2008, members of the development community contacted the City and requested an extended payment schedule program be considered; and 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 Clover Phase Seven, Shea Homes proposes to develop 8 condominium units in Otay Ranch Village 11 Neighborhood R-18; and WHEREAS, in Mosaic Phase Five, Shea Homes proposes to develop 9 condominium units in Otay Ranch Village 7 Neighborhoods R6 and R7; and WHEREAS, Shea Homes, L.P. owns the both properties for Clover Phase Seven and Mosaic Phase Five ("Property") and agrees that they are responsible for all of the development impact fees owed for the project; and WHEREAS, Shea Homes also acknowledges and agrees that these fees are due and payable to the City prior to or upon the call for final inspection; and WHEREAS, by executing this Agreement and placing a lien on the Property, the City is securing the payment of the deferred fees. 9-6 NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby: 1. Approve the Development Impact Fee Payment Plan Program Agreement with Shea Homes, L.P. for the Property 2. Authorize the City Manager to execute the Agreements on behalf of the City. 3. Direct the City Clerk to record the liens and the Agreements with the County of San Diego Recorder. Presented by Gary Halbert, AICP, PE Deputy City Manager/Director of Development Services 9-7 City Attorney THE ATTACHED AGREEMENT HAS BEEN REVIEWED AND APPROVED AS TO FORM BY THE CITY ATTORNEY' S OFFICE AND WILL BE FORMALLY SIGNED UPON APPROVAL BY THE CITY COUN Dated: Z LIEN AND DEVELOPMENT IMPACT FEE PAYMENT PLAN PROGRAM AGREEMENT BETWEEN SHEA HOMES LIMITED PARTNERSHIP AND THE CITY OF CHULA VISTA FOR CLOVER PHASE 7, VILLAGE 11 (NEIGHBORHOOD R 18) 9-8 City Attorney RECORDING REQUESTED BY, AND WHEN RECORDED MAIL TO: CITY OF CHULA VISTA Attn: No transfer taxis due as this is a conveyance to a public agency of less thar a fee interest for whidi no cash consideration has been paid or received For Recorder's Use Only LIEN AND DEVELOPMENT IMPACT FEE PAYMENT PLAN PROGRAM AGREEMENT THIS LIEN AND DEVELOPMENT IMPACT FEE PAYMENT PLAN PROGRAM AGREEMENT ("Agreement"), dated 20~ for reference only and executed on the date on which the last party signs, by and between SHEA HOMES LIMITED PARTNERSHIP. a California LIMITED PARTNERSHIP ("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 thatcertain real property in the City Of Chula Vista, County of San Diego, State of California, more particularly described on Exhibit "A" attached ("Property"). B. On March 8, 2005, the City Council of the City approved the Resolution No. 2006-362, Lot 1 of Final Map No. 15509 also known as Clover Phase 7. Villaee 1 I (Nei~hborhoodR181(the "Project"). C. Owner has applied for a building permit(s) for the Project. D. Upon the issuance of building permits, certain fees are due and payable pursuant to City's Municipal Code, non-codified ordinances related to lard development, and California Government Code Sections 66000 et. seq ["Fees"]. The Fees applicable to the building permits aze more particularly described on Exhibit "B", attached. Other fees or charges related to the Project; but not included in Exhibit "B", shall still be due and payable to the City in accordance with the City Municipal Code. Omission of such additional fees and charges from Exhibit "B" shall riot be a waiver of the obligation of Owner to pay such additional fees and charges. E. Pursuant to City Ordinance No. 3120 ("Ord. No. 3120"),.the City has the authority to defer Fees for 12 months from the permit issuance with an option to extend for an additional 12 months, at the sole ducretion of the City Manager or his/her designee, or until the call for final inspection for residential development or issuance of certificate of occupancy for non-residential development, whichever is earlier. F. The City has found that the Fees aze not immediately needed for public improvements required to serve the Project; deferral of collection of Fees would encourage ~velopment vital to the City; payment of Fees is adequately secured through this Agreement and the City's right to withhold final inspection or certificate of occupancy until Fees are paid; and the deferral of Fees for the Project would nd jeopardize the public health, safety, and welfare. G. Ord. No. 3120 requires Owner to execute a contract with the City, prior to the issuance of building permits, in order to defer the payment of the Fees. H. City and Owner desire to enter irto this Agreement deferring payment of the Fees for 12 months from the permit issuance with an option to extend for ~ additional 12 months, at the sole discretion of the City Manager or his/her designee, or until the call for final inspection for residential development or issuance of certificate of occupancy for non-residential development, whichever is earlier, pursuant to all the terms and conditions of this Agreement. NOW, THEREFORE, THE PARTIES AGREE AS FOLLOWS: 1. Owner agrees and acknowledges that it is obligated to pay all Fees in type and amount identified in Exhibit "B" and such Fees are due and payable upon issuance of building permits and by executing this Agreement WAIVES AND RELEASES the City from any and all claims arising out of or related to this Agreement, including the amount and type of Fees identified in Exhibit "B". Owner's waiver and release of the Cty shall exclude any and all claims azising out of or related to the City's breach of this Agreement 2. City agrees to defer the payment of he Fees for 12 months from the permit issuance with an option td extend for an additional 12 months, at the sole discretion of the City Manager or his/her designee, or until the call for final inspection for residential development or issuance of certificate of occupancy for non-residential development, whidrever is earlier `Deferral Period"). 3. Interest shall accme at the California State Local Agency Investment Fund (LAIF) Apportionment Rate in effect on the date of the execution of this Agreement through the end of the Deferral Period until paid ("Accrued Interest"). 4. Owner on behalf of itself and its successors in interest, whether by inheritance, gift, bequest, devise, sale, conveyance, assignment, or other method of transferring title or acquiring interest in or to any part of the Project or Property `Successors"), ,9_9 agrees to pay the Fees and Accrued Interest with acertified check prior to or concurrent with the date on which the Deferral Period ends. 5. Owner agrees that if it fails to pay the Fees and Accrued Interest in full prior the end of the Deferral Period, City shall withhold the fmal inspection or issuance of certificate of occupancy, as applicable, until payment of Fees and Accrued Interest is made in full. 6. All other rights of the parties shall remain unchanged, as if the Fees were paid at the time of permit issuance. Without limiting the foregoing, the Fees payable shall be hose in effect at the time of execution of the Agreement as set forth on Exhibit "B". 7. This Agreement shall be recorded by the City in the Official Records of the County of San Diego, Office of the County Recorder and shall constitute a lien for the Fees and Accrued Interest binding upon and running with the Property. If the Owner sells of transfers the Property or any portion of the Property in any manner, Property shall not be released from any of the obligatons, covenants, or conditions under this Agreement relating to the Property or portion of he Property or Project being acquired. 8. The burden of this Agreement shall be released from the title to the Property upon the payment of Fees and Accrued Interest. Within ten (10) business days following the payment of the Fees and Accrued Interest, the City shall execute a "Release ofLien" (Exhibit "C"), which shall be in standard form, approved by the City Attomey, releasing the burden of this Agreement from the title to the Property. Failure of the Clty to execute the Release ofLien within ten (10) business days of paymentof the Fees and Accrued Interest shall notbe deemed a breach ofthis Agreement, provided City makes its best efforts to execute the Release of Lien within a reasonable time thereafter. 9. The Owner agrees and is obligated to pay all costs assoaated with the recording of the Agreement and Release ofLien. 10. 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 agendes/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. 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. SHEA HOMES LIMITED PARTNERSHIP, Date: C~ ~ ' t~ ~ G9 g, Date: A California limited partnership, By - Its ~.tat.e rt,c t-c D ~ Gc"~-'f- THE CITY OF CHULA VISTA, A California municipal corporation By Is Approved as to form aid legality this day of 20 Bart Miesfeld, City Attomey By: Deputy City Attomey 9-10 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT State of California County of Or~e~Fe.mber 1~Z~'tbefore me, ~~~i J. ~ c,l~rna_t'1. r~f7-~kar~ ~~hlt G , Date Here Insert Name an Title of the Officer personally appeared ~ ~~ x-L . P { 1S1~i~ r ame(s) of Signer(s) who proved to me on the basis of satisfactory evidence to be the erso s) whose a~~(s~i fare subscribed to the within instrument and acknowledged to me that the/they executed the same in er/their authorized apaa (ies), and that by SARAH J. BECKMAN /her/their i na u s) on the instrument the Commis:ion • 1857709 er o s), or the entity upon behalf of which the Hoary Public - C~IiforMs erso (s) acted, executed the instrument. S~In Diego Coulnly Comm. iresJu113.20t3 I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature: Place No[ary Seal and/or Stamp Above Signatu f Notary Public OPTIONAL Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document. Description of Attached Document Title or Type of Document: Document Date: Signer(s) Other Than Named Above: _ Capacity(ies) Claimed by Signer(s) Number of Pages: Signer's Name: Signer's Name: ^ Corporate Officer -Title(s): ^ Individual ^ Partner - ^ Limited ^ General ^ Attorney in Fact ^ Trustee ^ Guardian or Conservator ^ Other: Signer Is Representing ^ Corporate Officer -Title(s): ^ Individual Top of thumb here ^ Partner - ^ Limited ^ General Top of thumb here ^ Attorney in Fact ^ Trustee ^ Guardian or Conservator ^ Other: Signer Is Representing: ®2008 National Notary Association • 9350 De Soto Ave., P.O. Box 2402 • Chatsworth, CA 91313-2402 • www.NationalNotary.org Item #5907 Reorder: Call Toll-Free 1-800-876-6827 9-11 City of Chula Vista Exhibit "A" Property Description (Legal Description) LOT 1 OF CHULA VISTA TRACT NO. 01-11, OTAY RANCH, VILLAGE 11 NEIGHBORHOOD R-18, IN THE CITY OF CHULA VISTA, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF N0.15509 FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAID SAN DIEGO COUNTY ON JANUARY 29, 2007. 9-12 EXHIBIT B Lien and Development Impact Fee Payment Plan Program Agreement Clover Phase 7 (BR08-0040 to BR08-0041) Account Description 1600 Sewer Administrative Fee 1700 Sewer Capacity Fee (18.4) 3000 Traffic Signal Fee (18.2) 3100 Res Construction Tax (18.3) 4000 DIF Transportation 4100 DIF Public Fac Admin 4200 DIF Civic Ctr 4300 DIF Police 4400 DIF Corp Yard 4500 DIF Library 4600 DIF Fire 5010 DIF Recreation 5140 NPDES Fee 5150 Salt Creek Sewer DIF 6000 Otay Ranch Res 8087 Village 11 Ped Bridge TOTALS 2.54% Balance of Balance Due ~ Deferred Fees Interest* Final Inspection $ 90.00 $ 2.29 $ 92.29 $ 20,868.00 $ 530.05 $ 21,398.05 $ 1,966.72 $ 49.95 $ 2,016.67 $ 2,400.00 $ 60.96 $ 2,460.96 $ 13,361.60 $ 339.38 $ 13,700.98 $ 4,256.00 $ 108.10 $ 4,364.10 $ 1,464.00 $ 37.19 $ 1,501.19 $ 592.00 $ 15.04 $ 607.04 $ 120.00 $ 3.05 $ 123.05 $ 4,176.00 $ 106.07 $ 4,282.07 $ 7,152.00 $ 181.66 $ 7,333.66 $ 8,576.00 $ 217.83 $ 8,793.83 $ 548.00 $ 13.92 $ 561.92 $ 7,980.00 $ 202.69 $ 8,182.69 $ 208.72 $ 5.30 $ 214.02 $ 12,632.00 $ 320.85 $ 12,952.85 $ 86,391.04 $ 2,194.33 $ 88,585.37 Interest Rate at 2.54% CA State Local Agency Investment Fund (LAIF) quarter Ending 12/31/08 Apportionment Rate 9-13 City of Chula Vista Exhibit "C" Recorded at the request of: When recorded, mail to: TERMINATION OF DEVELOPMENT IMPACT FEE PLAN PROGRAM AGREEMENT NOTICE IS HEREBY GIVEN that the Development Impact Fees due under Condition of the Agreement between and the City of Chula Vista, Document No. ,for the payment of Development Impact Fees as recorded in the Office of the County Recorder of San Diego County on ,Document No. ,have been fully satisfied as pertaining to: COUNTY ASSESSOR'S PARCEL NO. _ UNIT(s) LOT(s) Dated: State of California County of San Diego OR MAP City of Chula Vista By: On before me, personally appeared personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) acted, executed the instrument. WITNESS my hand and official seal Notary Public in and for said County and State (Seal) 9-14 THE ATTACHED AGREEMENT HAS BEEN REVIEWED AND APPROVED AS TO FORM BY THE CITY ATTORNEY' S OFFICE AND WILL BE FORMALLY SIGNED UPON APPROnVAL BY THE CITY COUNCIL / I /~ Bart C. Miesfeld City Attorney Dated: C Z~ LIEN AND DEVELOPMENT IMPACT FEE PAYMENT PLAN PROGRAM AGREEMENT BETWEEN SHEA HOMES LIMITED PARTNERSHIP AND THE CITY OF CHULA VISTA FOR MOSAIC AT OTAY RANCH, VILLAGE 7 LOMAS VERDES (NEIGHBORHOOD R6/R7) 9-15 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 of less than a fee interest for which no cash consideration has been paid or received For Recorder's Use Only LIEN AND DEVELOPMENT IMPACT FEE PAYMENT PLAN PROGRAM AGREEMENT THIS LIEN AND DEVELOPMENT IMPACT FEE PAYMENT PLAN PROGRAM AGREEMENT ("Agreement"), dated 20_~ for reference only and executed on the date on which the last party signs, by and between SHEA HOMES LIMITED PARTNERSHIP. a California LIMITED PARTNERSHIP- ("Owner"), and the CITY OF CHULA VISTA, a Califomia municipal corporation and charter city ("City") with reference to flee following facts: A. Owner is the owner of thatcertain real property in the City Of Chula Vista, County of San Diego, State of Califomia, more particularly described on Exhibit "A" attached ("Property"). B. On Mazch 8, 2005, the City Council of the City approved the Resolution No. 2005-074, Lot 8 and 9 of Final Map No. 15014 also known as Mosaic at Otay Ranch .Village 7 Lomas Verdes (Neighborhoods R6/R71 Phase 5 (the "Project"). C. Owner has applied for a building permit(s) for the Project. D. Upon the issuance of building permits, certain fees aze due and payable pursuant to City's Municipal Code, non-codified ordinances related to land development, and California Government Code Sections 66000 et. seq ["Fees"]. The Fees applicable to the building permits are more particularly described on Exhibit "B", attached. Other fees or charges related to the Project but not included in Exhibit "B", shall still be due and payable to the City in accordance with the City Municipal Code. Omission of such additional fees and charges from Exhibit "B" shall not be a waiver of the obligation of Owner to pay such additional fees and charges. E. Pursuant to City Ordinance No. 3120 ("Ord. No. 3120"), the City has the authority to defer Fees for 12 months from the permit issuance with an option to extend for an additional 12 months, at the sole discretion of the City Manager or his/her designee, or until the call for final inspection for residential development or issuance of certificate of occupancy for non-residential development, whichever is earlier. F. The City has found that the Fees are not immediately needed for public improvements required to serve the Project; deferral of collection of Fees would encourage cEvelopment vital to the City; payment of Fees is adequately secured through this Agreement and the City's right to withhold final inspection or certificate of occupancy until Fees aze paid; and the deferral of Fees for the Project would not jeopardize the public health, safety, and welfaze. G. Ord. No. 3120 requires Owner to execute a contract with,the City, prior to the issuance of building permits, in order to defer the payment of the Fees. H. City and Owner desire to enter into this Agreement deferring payment of the Fees for 12 months from the permit issuance with an option to extend for an additional 12 months, at the sole discretionof the City Manager or his/her designee, oruntil the call for final inspection for residential development or issiance of certificate of occupancy for non-residential development, whichever is earlier, pursuant to all the terms and conditions of this Agreement. NOW, THEREFORE, THE PARTIES AGREE AS FOLLOWS: 1. Owner agrees and acknowledges that it is obligated to pay all Fees in type and amount identified in Exhibit "B" and such Fees are due and payable upon issuance of building permits and by executing this Agreement WAIVES AND RELEASES the City from any and all claims arising out of or related to this Agreement, including the amount and type of Fees identified in Exhibit "B". Owner's waiver and release of the Cty shall exclude any and all claims arising out of or related to the City's breach of this Agreement 2. City agrees to defer the payment of he Fees for 12 months from the permit issuance with an option to extend for an additional 12 months, at the sole discretion of the City Manager or his/her designee, or until the call for final inspection for residential development or issuance of certificate of occupancy for non-residential development, whichever is earlier ("Deferral Period"). 3. Interest shall accme at the California State Local Agency Investment Fund (LATE) Apportionment Rate in effect on the date of the execution of this Agreement through the end of the Deferral Period until paid ("Accrued Interest"). 4. Owner on behalfof itself and its successors in interest, whetherby inheritance, gift, bequest, devise, sale, conveyance, assignment, or other method of transfetting title or acquiring interest in or to any part of the Project or Property `Successors"), 9-16 agrees to pay the Fees and Accrued Interest with acertified check prior to or concurrent with the date on which the Deferral Period ends. 5. Owner agrees that if it fails to pay the Fees and Accrued Interest in full prior the end of the Defercal Period, City shall withhold the final inspection or issuance of certificate of occupancy, as applicable, until payment of Fees and Accrued Inten:st is made in full. 6. Al I other rights of the parties shall remain unchanged, as'if the Fees were paid at the time of permit issuance. W ithout limiting the foregoing, the Fees payable shall be hose in effect at the time of execution of the Agreement as set forth on Exhibit "B". 7. This Agreement shall be recorded by the City in the Official Records of the County of San Diego, Office of the County Recorder and shall constitute a lien for the Fees and Accrued Interest binding upon and running with the Property. If the Owner sells or transfers the Property or any portion of the Property in any manner, Property shall not be released from any of the obligations, covenants, or conditions under this Agreement relating to the Property or portion of the Property or Project beingacquired. 8. The burden of this Agreement shall be released from the title to the Property upon the payment of Fees and Accrued Interest. Within ten (10) business days following the payment of the Fees and Accred Interest, the City shall execute a "Release of Lien" (Exhibit "C"), which shall be in standazd form, approved by the City Attomey, releasing the burden of this Agreement from the title to the Property. Failure of the City to execute the Release of Lien within ten (10) business days of paymentof the Fees and Accrued Interest shall notbe deemed a breach of this Agreement, provided City makes its best efforts to execute the Release of Lien within a reasonable time thereafter. 9. The Owner agrees and is obligated to pay all costs assodated with the recording of the Agreement and Release of Lien. 10. Each signatory to this Agreement represents, warrants, and certifies that he/she has the authority to enter mto 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. 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, artd by the Owner/Applicant. SHEA HOMES LIMITED PARTNERSHIP, Date: ~~ ~t`'<<~~ ~ B} Date: THE CITY OF CHULA VISTA, A California municipal corporation By Approved as to form and legality this day of . 20 Bart Miesfeld, City Attomey By: Deputy City Attomey 9-17 Its i%l'~'~Ct-tr'K.-r Zr ~ ~y-c"w"r CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT State of California County of ~G.1n ~ le OnSerrF~mloer I~7.~9efore me, r u.b(L , Date Here Insert Name and Title of the Offi er personally appeared Q I eX l- • p~ IC~~X Name(s) of Signer(s) who proved to me on the basis of satisfactory evidence to be th person )whose a®(s)dare subscribed to the within instrument and acknowledged to me that ®Vshe/they executed the same in ~~nw~l~ ter/their authorized apace ies), and that by SARAH J. BECKMAN i her/their na ur s) on the instrument the Commission a til577tq erso (s), or the entity upon behalf of which the Notary Public - C>tNfon~ia erso s) acted, executed the instrument. San Dispo County Comm. Ex 'res Jul 13, 20t3 I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my nd and official seal. Signature: -- Place Notary Seal and/or Stamp Above Sig ure of Notary Public OPTIONAL Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document. Description of Attached Document Title or Type of Document: Document Date: Signer(s) Other Than Named Above: Capacity(ies) Claimed by Signer(s) Number of Pages: Signer's Name: Signer's Name: ^ Corporate Officer -Title(s): ^ Individual ^ Partner - ^ Limited ^ General Top of thumb here ^ Attorney in Fact ^ Trustee ^ Guardian or Conservator ^ Other: Signer Is Representing: ®2008 National Notary Association • 9350 De Soto Ave., P.O. Box 2402 • Chatsworth, CA 91313-2402 • www.NationalNotary.org ^ Corporate Officer -Title(s): ^ Individual ^ Partner - ^ Limited ^ General Top of thumb here ^ Attorney in Fact ^ Trustee ^ Guardian or Conservator ^ Other: Signer Is Representing: Item #5907 Reorder. Call Toll•Free 1-800-876-6827 9-18 City of Chula Vista Exhibit "A" Property Description (Legal Description) PARCEL 2 OF PARCEL MAP NO. 20057, IN THE CITY OF CHULA VISTA, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAID SAN DIEGO COUNTY ON JULY 17,2006. 9-19 EXHIBIT B Lien and Development Impact Fee Payment Plan Program Agreement Mosaic Phase 5 (BR09-0001) Account Description 1600 Sewer Administrative Fee 1700 Sewer Capacity Fee (18.4) 3000 Traffic Signal Fee (18.2) 3100 Res Construction Tax (18.3) 4000 DIF Transportation 4100 DIF Public Fac Admin 4500 DIF Library 4600 DIF Fire 5010 DIF Recreation 5140 NPDES Fee 6000 Otay Ranch Res TOTALS 2.54% Balance of Balance Due ~ Deferred Fees Interest* Final Inspection $ 45.00 $ 1.14 $ 46.14 $ 23,476.50 $ 596.30 $ 24,072.80 $ 293.76 $ 7.46 $ 301.22 $ 2,675.00 $ 67.95 $ 2,742.95 $ 15,031.80 $ 381.81 $ 15,413.61 $ 4,788.00 $ 121.62 $ 4,909.62 $ 7,146.00 $ 181.51 $ 7,327.51 $ 8,046.00 $ 204.37 $ 8,250.37 $ 9,648.00 $ 245.06 $ 9,893.06 $ 379.00 $ 9.63 $ 388.63 $ 234.81 $ 5.96 $ 240.77 $ 71,763.87 $ 1,822.80 $ 73,586.67 Interest Rate at 2.54% CA State Local Agency Investment Fund (LAIF) Quarter Ending 12/31/08 Apportionment Rate 9-20 City of Chula Vista Exhibit "C" Recorded at the request of: When recorded, mail to: TERMINATION OF DEVELOPMENT IMPACT FEE PLAN PROGRAM AGREEMENT NOTICE IS HEREBY GIVEN that the Development Impact Fees due under Condition of the Agreement between and the City of Chula Vsta, Document No. ,for the payment of Development Impact Fees as recorded in the Office of the County Recorder of San Diego County on ,Document No. ,have been fully satisfied as pertaining to: COUNTY ASSESSOR'S PARCEL NO. _ UNIT(s) LOT(s) Dated: OR MAP City of Chula vista By: State of California ) County of San Diego ) On before me, personally appeared personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by hislheNtheir signature(s) acted, executed the instrument. WITNESS my hand and official seal Notary Public in and for said County and State (Seal) 9-21 ~'TY CC)UNCIL STATEMENT ~`~~ CITY OF CHU[A VISTA October 6, 2009, Item ITEM TITLE: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING SUBMITTAL OF A LOCAL ENERGY ASSURANCE PROGRAM GRANT APPLICATION TO THE U.S. DEPARTMENT OF ENERGY FOR $300.000 AND AUTHORIZING THE CITY MANAGER OR HIS DESIGNEE TO EXECUTE ALL DOCUMENTS NECESSARY TO OBTAIN AND MANAGE GRANTF~~DS SUBMITTED BY: DEPUTY CITY MANAG&~~/1UIRECTOR OF REVIEWED BY: SUMMARY DEVELOPMENT SERV CES CITY MANAGER 4/STHS VOTE: YES ~ NO ~X A goal of the American Recovery and Reinvestment Act of 2009 (ARRA), in part, is to "facilitate recovery from disruptions to the energy supply'' and "enhance reliability and quicker repair of outages." The U.S. Department of Energy is utilizing ARRA funding to create the Local Energy Assurance Planning Initiative (LEAP). The goal of the LEAP Initiative is to create jobs at the local level and allow Cities to have well-developed, standardized energy assurance and resiliency plans that they can rely on during energy emergencies and supply disruptions. LEAP funding will allow local governments to address energy supply disruption risks and vulnerabilities in their plans to lessen the devastating impact that such incidents have on the economy and the health and safety of citizens. City staff, along with the National Energy Center for Sustainable Communities is seeking authorization to apply for LEAP funding for the development of a plan and implementation strategy that focuses on developing new, or refining existing, plans to integrate new energy portfolios (renewable energy, bio-fuels, etc.) and new applications, such as Smart Grid technology, into energy assurance and emergency preparedness plans. 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 10-1 OCTOBER 6, 2009, Item Page 2 of 4 CEQA Guidelines, because the proposed action involves the submittal of a grant application which would not result in a potentially significant physical impact on the environment. Therefore, pursuant to Section 15060 (c) (3) of the State CEQA Guidelines, the activity is not subject to CEQA. Thus, no environmental review is necessary. RECOMMENDATION Council adopt the resolution. BOARDS/COMMISSION RECOMMENDATION N/A. DISCUSSION Since March of 2006, the National Energy Center for Sustainable Communities (NECSC), a collaboration between the City, San Diego State University and the Gas Technology Institute, has been working to advance responsible use of energy resources through the planning process of major developments throughout Chula Vista. The work of the NECSC is providing a road map for Chula Vista to integrate advanced energy practices at the building and community design level in a manner that makes the most of the economic and environmental opportunities. An essential aspect of the NECSC mission is the demonstration of technologies, plans, public policies and market-feasible business models for energy- and resource-efficient development throughout the City of Chula Vista. To date, the NECSC has received over $1.3 Million in funding for research projects that focus on the City of Chula Vista. Through the LEAP initiative, the City and the NECSC are seeking funding to develop a plan and implementation strategy to provide alternative emergency energy systems to support critical facilities (those supporting the health, safety, security and the orderly functioning of a community). These systems would permanently disaggregate/decentralize the production of emergency electricity energy resources into the community through the use of flexible-fuel distributed generation technologies. The delivery of these resources to critical facilities would then be provided by small-scale, local-area electrical energy micro-grids and thermal energy pipelines. Funding for the implementation of this planning effort is not part of this grant proposal. However, funding to implement the strategy will be sought at a later date through subsequent opportunities. The LEAP proposal will result in the following four product deliverables: ^ Emergency Energy System Development (EESD) Designs -The model will consist of a set of technologically and economically feasible energy system designs that integrate distributed generation (DG) equipment, delivery, monitoring, control and communications components with existing metropolitan electricity and natural gas infrastructure. The system design will be formulated to meet the average energy 10-2 OCTOBER 6, 2009, Item ~d Page 3 of 4 demand characteristics associated with critical facilities serving an average urban neighborhood community (i.e.: facilities in close spatial proximity to each other). The demonstration city for this part of the design will be the City of Chula Vista. ^ Technical Planning Guide -The guide will contain technical information and a specific planning methodology that will enable target audiences to customize the components of the design model to meet the specific emergency energy needs of their communities. ^ Local Government EESD Toolkit & Exchanges -The toolkit will contain additional resources designed to introduce EESD to local community stakeholders, to demonstrate actual community experiences implementing EESD plans, and to provide a framework for direct peer-to-peer assistance exchanges between communities. The toolkit will also contain a series of case studies that document the experiences of metropolitan communities selected to pilot test the EESD planning process. ^ Regional Workshops & Dissemination Campaign - To ensure that the model, guide and toolkit reach their intended audiences, the project scope will include the staging of regional workshops designed to lead local government attendees through the EESD design and planning process. Future Actions LEAP funds can only be awarded to local municipalities and tribal governments. While the City will be the applicant for the grant funds, the grant application will be prepared by Douglas Newman, Director of the National Energy Center for Sustainable Communities, at no cost to the City. It is staff s intention that in the event that the City is awarded grant funding, Mr. Newman will be contracted to manage and implement the project as described above. If awarded the grant funding, staff will return to the City Council at a later date for consideration of a sole source contract with Mr. Newman to implement this project. DECISION MAKER CONFLICT Staff has reviewed the property holdings of the City Council and has found a conflict exists, in that Councilmember Castaneda has property holdings within 500 feet of the boundaries of the potential property which is the subject of this action. CURRENT YEAR FISCAL IMPACT The City's submission of the LEAP grant application will require approximately 8-10 hours of staff time to complete the application process. Staff involvement in the application process would include personnel from the Fire, Conservation and Environmental Services, and Economic Development Departments. Staff costs for the preparation of the grant proposal would come from existing department budgets. 10-3 OCTOBER 6, 2009, Item /(J Page 4 of 4 ONGOING FISCAL IMPACT If the City is awarded the LEAP grant, all staff costs associated with development of the project will be covered by the grant funds. It is anticipated that staff involvement in the project would total approximately 80 hours of work over a 12 month period. Therefore, there will be no fiscal impact to the City's General Fund. ATTACHMENTS Attachment A -Grant Summary Prepared by: Craig Ruin, Principal Economic Development Specialist, Economic Development Division 10-4 ATTACHMENT A FINANCIAL ASSISTANCE FUNDING OPPORTUNITY ANNOUNCEMENT U. S. Department of Energy National EnE=rgy Technology Laboratory Recovery Act Local Energy Assurance Planning (LEAP) Initiative Funding Opportunity Number: DE-FOA-0000098 Announcement Type: Initial CFDA Number: 81.122 Issue Date: Letter of Intent Due Date: Pre-Application Due Date: Application Due Date: 07/20/2009 Not Applicable Not Applicable 10/08/2009 at 3:00:00 PM Eastern Time DE-FOA-0000098 Page 1 of 26 10-5 NOTE: REGISTRATION/SUBMISSION REQUIREMENTS Registration Requirements There are several one-time actions you must complete in order to submit an application in response to this Announcement (e.g., obtain a Dun and Bradstreet Data Universal Numbering System (DUNS} number, register with the Central Contractor Registration (CCR), and register with FedConnect). Applicants who are not registered with CCR and FedConnect, should allow at least 10 days to complete these requirements. It is suggested that the process be started as soon as possible. Applicants must obtain a DUNS number. DUNS website: http:/lfedAov.d n b.com/webform. Applicants must register with the CCR. CCR website: http://www.ccr.gov/ Applicants must register with FedConnect to submit their applica#i.on. FedConnect website: www.fedconnect.net Questions Questions relating to the system requirements or how an application form works must be directed to Grants.gov at 1-800-518-4726 or support(o7grants.gov. Questions regarding the content of the announcement must be submitted through the FedConnect portal. You must register with FedConnect to respond as an interested party to submit questions, and to view responses to questions. It is recommended that you register as soon after release of the FOA as possible to have the benefit of all responses. More information is available at http://www.compusearch.com/products/fedconnect/fedconnect.asp. DOE/NNSA will try to respond to a question within 3 business days, unless a similar question and answer have already been posted on the website. Questions pertaining to the submission of applications through FedConnect should be directed by e-mail to support _FedConnect.net or by phone to FedConnect Support at 800-899-6665. Application Preparation and Submission Applicants must download the application package, application forms and instructions, from Grants.gov. Grants.gov website: http://www.grants.gov/ (Additional instructions are provided in Section IV A of this FOA.) Applicants must submit their application through the FedConnect portal. FedConnect website: www.fedconnect.net (Additional instructions are provided in Section IV H of this FOA.} DE-FOA-0000098 Page 2 of 26 10-6 TABLE OF CONTENTS PART I -FUNDING OPPORTUNITY DESCRIPTION .................................................................................4 A. INTRODUCTION ............................................................................................................................ ..4 B. DESCRIPTION OF FUNDING OPPORTUNITY ............................................................................. ..5 SECTI ON II -AWARD INFORMATION .......................................................................................•--............ ..8 A. TYPE OF AWARD INSTRUMENT ................................................................................................. ..8 B. ESTIMATED FUNDING ................................................................................................................. ..8 C. MAXIMUM AND MINIMUM AWARD SIZE .................................................................................... ..8 D. EXPECTED NUMBER OF AWARDS ............................................................................................ ..8 E. ANTICIPATED AWARD SIZE ....................................................................................................... ..8 F. PERIOD OF PERFORMANCE ...................................................................................................... ..8 G. TYPE OF APPLICATION .............................................................................................................. ..9 SECTI ON III -ELIGIBILITY INFORMATION .............................................................................................. 10 A. ELIGIBLE APPLICANTS ............................................................................................................... 10 B. COST SHARING ............................................................................................................................ 10 C. OTHER ELIGIBILITY REQUIREMENTS ......................................................................................: 10 SECTI ON IV -APPLICATION AND SUBMISSION INFORMATION ......................................................... 11 A. ADDRESS TO REQUEST APPLICATION PACKAGE .................................................................. 11 B. LETTER OF INTENT AND PRE-APPLICATION ........................................................................... 11 C. CONTENT AND FORM OF APPLICATION - SF 424 .................................................................... 11 D. STATEMENT OF PROJECT OBJECTIVES .................................................................................. 15 E. SUBMISSIONS FROM SUCCESSFUL APPLICANTS .................................................................. 17 F. SUBMISSION DATES AND TIMES ............................................................................................... 17 G. INTERGOVERNMENTAL REVIEW ............................................................................................... 17 H. FUNDING RESTRICTIONS ........................................................................................................... 18 1. OTHER SUBMISSION AND REGISTRATION REQUIREMENTS ................................................ 18 PART V -APPLICATION REVIEW INFORMATION .................................................................................. 19 A. CRITERIA ....................................................................................................................................... 19 B. REVIEW AND AWARD PROCESS ................................................................................................ 20 PART VI -AWARD ADMINISTRATION INFORMATION .......................................................................... 21 A. AWARD NOTICES ......................................................................................................................... 21 B. ADMINISTRATIVE AND NATIONAL POLICY REQUIREMENTS ................................................ 21 C. REPORTING .................................................................................................................................. 22 PART VII -QUESTIONS/AGENCY CONTACTS ....................................................................................... 23 A. QUESTIONS .................................................................................................................................. 23 B. AGENCY CONTACT ...................................................................................................................... 23 PART VIII -OTHER INFORMATION .......................................................................................................... 24 A. MODIFICATIONS ........................................................................................................................... 24 B. GOVERNMENT RIGHT TO REJECT OR NEGOTIATE ................................................................. 24 C. COMMITMENT OF PUBLIC FUNDS ............................................................................................. 24 D. PROPRIETARY APPLICATION INFORMATION .......................................................................... 24 E. EVALUATION AND ADMINISTRATION BY NON-FEDERAL PERSONNEL ............................... 24 SECTION IX -ATTACHMENTS .................................................................................................................26 ATTACHMENT A-REPORTING REQUIREMENTS ............................................................................. 26 ATTACHMENT B -PROJECT MANAGEMENT PLAN TEMPLATE .....................................................26 DE-FOA-0000098 Page 3 of 26 10-7 PART I -FUNDING OPPORTUNITY DESCRIPTION A. INTRODUCTION American Recovery and Reinvestment Act of 2009 (ARRA 2009) Projects under this FOA will be funded, in whole or in part, with funds appropriated by the American Recovery and Reinvestment Act of 2009, Pub. L. 111-5, (Recovery Act or Act}. The Recovery Act's purposes are to stimulate the economy and to create and retain jobs. The Act gives preference to activities that can be started and completed expeditiously. Accordingly, special consideration will be given to projects that promote and enhance the objectives of the Act, especially job creation, preservation and economic recovery, in an expeditious manner. Be advised that special terms and conditions may apply to projects funded by the Act relating to: • Reporting, tracking and segregation of incurred costs; • Reporting on job creation and preservation; • Publication of information on the Internet; • Access to records by Inspectors General and the Government Accountability Office; • Prohibition on use of funds for gambiing establishments, aquariums, zoos, golf courses or swimming pools; • Ensuring that iron, steel and manufactured goods are produced in the United States; • Ensuring wage rates are comparable to those prevailing on projects of a similar character; • Protecting whistleblowers and requiring prompt referral of evidence of a false claim to an appropriate inspector general; and • Certification and Registration. These special terms and conditions will be based on provisions included in Titles XV and XVI of the Act. The special terms and conditions can be found at http://manaQement.energy.qov/policy guidance/1672.htm. The Office of Management and Budget (OMB) has issued Implementing Guidance for the Recovery Act. See M-09-10. Initial Implementing Guidance for the American Recovery and Reinvestment Act of 2009 and M-09-15. Updated Implementing Guidance for the American Recovery and Reinvestment Act of 2009. OMB will be issuing additional guidance concerning the Act in the near future. Applicants should consult the DOE website, www.energy.aov, the OMB website http://www.whitehouse.gov/omb/, and the Recovery website, www.recovery.gov regularly to keep abreast of guidance and information as it evolves. Recipients of funding appropriated by the Act shall comply with requirements of applicable Federal, State, and local laws, regulations, DOE policy and guidance, and instructions in this FOA, unless relief has been granted by DOE. Recipients shall flow down the requirements of applicable Federal, State and local laws, regulations DOE policy and guidance, and instructions in this FOA to subrecipients at any tier to the extent necessary to ensure the recipient's compliance with the requirements. Be advised that Recovery Act funds can be used in conjunction with other funding as necessary to complete projects, but tracking and reporting must be separate to meet the reporting requirements of the Recovery Act and related OMB Guidance. Applicants for projects funded by sources other than the Recovery Act should plan to keep separate records for Recovery Act funds and to ensure those records comply with the requirements of the Act. Funding provided through the Recovery Act that is supplemental to an existing grant is one-time funding. DE-FOA-0000098 Page 4 of 26 10-8 Applicants should require their first tier subawardees to obtain a DUNS number (or update the existing DUNS record) and register with the Central Contractor Registration (CCR). B. DESCRIPTION OF FUNDING OPPORTUNITY 1. Background: A goal of the American Recovery and Reinvestment Act of 2009 (ARRA), in part, is to: "facilitate recovery from disruptions to the energy supply" and "enhance reliability and quicker repair of -- outages." This initiative will create jobs at the local level and allow Cities to have well-developed, standardized energy assurance and resiliency plans that they can rely on during energy emergencies and supply disruptions. City governments will address energy supply disruption risks and vulnerabilities in their plans to lessen the devastating impact that such incidents have on the economy and the health and safety of citizens. This initiative, (restricted to U.S. cities) called "Local Energy Assurance Planning" (hereinafter called the LEAP Initiative) focuses on developing new, or refining existing, plans to integrate new energy portfolios (renewables, biofuels, etc) and new applications, such as Smart Grid technology (http://www.oe.energy.gov/smartgrid.htm), into energy assurance and emergency preparedness plans. Better planning efforts will help contribute to the resiliency of the energy sector, including the electricity grid, by focusing on the entire energy supply system, which includes refining, storage, and distribution of fossil and renewable fuels. 2. Statutory Authority: American Recovery and Reinvestment Act of 2009 (ARRA). 3. Purpose/Objectives: The objectives of this initiative are to: 1. Strengthen and expand local government energy assurance planning and resiliency; 2. Reduce the impacts from energy supply disruptions, and 3. Create jobs. The initiative will focus on building local energy assurance capability to allow Cities to better coordinate and communicate state-wide, regionally and with one another, on energy security and reliability and related emergency response issues. To achieve the goals on this initiative, applicants will be encouraged to consider the following activities when proposing projects under the FOA: • Creating in-house expertise at the local level on energy assurance planning and resiliency, focusing on Smart Grid applications and vulnerabilities, critical infrastructure interdependencies, cyber security, energy supply systems, energy data analysis, and communications; • Developing new, or refining existing, Energy Assurance Plans to incorporate response actions to new energy portfolios, including Smart Grid technologies; • Developing new, or modifying existing energy assurance plan modeled after the Public Technology Institute Local Energy Assurance Guidelines (http://www.pti.org/docs- sust/LocalGovernmentEnergyAssuranceGuidelines.gdf}; DE-FOA-0000098 Page 5 of 26 10-9 • Revising appropriate City policies, procedures and practices to reflect the Energy Assurance Plans; • Training appropriate personnel on energy infrastructure and supply systems and the content and execution of energy assurance plans; • Conducting energy emergency exercises to evaluate the effectiveness of the energy assurance plans; • Assessing the readiness of a local jurisdiction to an energy emergency; • Building organization relationships and identifying responsibilities within local and state government, the private sector and the region; • Identifying actions that can ease the impacts of short-term energy disruptions; • Defining long-term strategies and options for dealing with sustained disruptions or outages; • Elevating the awareness of energy security and energy assnranee-issues; • Indentifying steps to work with industry minimize and resolve the impact of energy supply disruptions; • Introducing new, valuable energy assurance resources; • Defining strategies for implementing new technologies and innovative renewable energy resources, including Smart Grid technologies; • Evaluating financing options to meet energy assurance needs; and • Sharing lesson-learned and best practices among other local governments across the country. Although the DOE encourages cities to assure coordination between DOE-funded and any other energy programs, funds received under this announcement cannot be used to supplant funds under the Energy Efficiency and Conservation Block Grant Program, the Annual State Energy Program (SEP) or the Recovery Act SEP Program nor can the funds under those programs be used for activities under this FOA. 1. Benefits The DOE expects that the LEAP Initiative will produce measurable programmatic outputs in support of the stated ARRA goals to facilitate recovery from disruptions to the energy supply and enhance reliability and quicker repair of outages. The measurable programmatic outputs are: 1. Number of energy assurance plans created or substantially revised; 2. Number of jobs created within city governments for energy assurance planning and response capabilities; 3. Number of energy assurance implementation activities completed (e.g., training sessions, workshops and/or exercises conducted, etc.); and 4. Number of people trained in energy assurance. DE-FOA-0000098 Page 6 of 26 10-10 The DOE expects the following public benefits to result from the LEAP Initiative. 1. Creating more current or up-to-date energy assurance plans that will incorporate new energy portfolios such as renewables, biofuels, and Smart Grid technologies, etc. Updating energy assurance plans to reflect these portfolios will allow Cities to be more informed and better prepared when responding to energy emergencies. 2. Creating in-house energy assurance planning expertise at the local level will allow cities to better identify energy events, more rapidly assess supply disruptions, be more aware of how energy systems work, and better understand energy interdependencies with other sectors. Ultimately, enhancing local energy assurance capabilities will reduce the response, restoration and recovery time from energy supply disruption events. 3. Better coordination across jurisdictions and with industry creates more efficient preparedness and response actions, reduces duplication, and decreases the time required to recover and restore the energy infrastructure. 4. Creating and saving jobs in energy assurance planning. at the city level. DE-FOA-0000098 Page 7 of 26 10-11 SECTION II -AWARD INFORMATION A. TYPE OF AWARD INSTRUMENT DOE anticipates awarding grants under this program announcement. B. ESTIMATED FUNDING A total of $10,500,000 in ARRA funding is available through the FOA and will be awarded on a competitive basis. C. MAXIMUM AND MINIMUM AWARD SIZE Ceiling (i.e., the maximum amount for an individual award made under this announcement}: $300,000. Floor (i.e., the minimum amount for an individual award made under this announcement}: $60,000. D. EXPECTED NUMBER OF AWARDS DOE anticipates making approximately 50 awards under this funding opportunity announcement. E. ANTICIPATED AWARD SIZE DOE anticipates that awards will be in the $60,000 to $300,000 range for the total project period. Population-based funding guidelines are provided in the following table for applicants to use as a general guide in scoping proposed projects. The funding guidelines are based on the estimated cost to 1) create and implement an Energy Assurance Plan commensurate with the size/population of the City, 2) hire and train staff or hire contractors to assist with energy assurance planning, and 3) exercise and/or implement the Energy Assurance Plan. The individual amounts will be based on the proposed cost to perform the activities submitted in the application. Population Category Total Award > 500,000 $300,000 100,000-500,000 $200,000 25,000-99,999 $130,000 < 25,000 $60,000 F. PERIOD OF PERFORMANCE DOE anticipates making awards with a single project period not to exceed twenty four (24) months. DE-FOA-0000098 Page 8 of 26 10-12 G. TYPE OF APPLICATION DOE will accept only new applications under this announcement. DE-FOA-0000098 Page 9 of 26 10-13 SECTION III -ELIGIBILITY INFORMATION A. ELIGIBLE APPLICANTS In accordance with 10 CFR 600.6(b), eligibility for award is restricted to U.S. Cities. For the purpose of this FOA, a "city" is defined as acity-equivalent unit of local government, such as a town, village or other municipality. Consolidated city-county governments will be considered as cities and will be eligible. A city is eligible for funds under this FOA if all of the following conditions are met: 1. The city government is included in the latest available U.S. Census of Governments as a currently incorporated government; 2. The city government has a governance structure with an elected official and governing body; and 3. The city government has the authority to implement the eligible activities under this FOA. B, COST SHARING Cost sharing is not required. C. OTHER ELIGIBILITY REQUIREMENTS Federally Funded Research and Development Center (FFRDC) Contractors are not eliaible for an award under this announcement, either as a prime recipient or as a team member. DE-FOA-0000098 Page 10 of 26 10-14 SECTION IV -APPLICATION AND SUBMISSION INFORMATION A. ADDRESS TO REQUEST APPLICATION PACKAGE Application forms and instructions are available at Grants.gov. To access these materials, go to http://www.grants.gov, select "Apply for Grants," and then select "Download Application Package." Enter the CFDA and/or the funding opportunity number located on the cover of this announcement and then follow the prompts to save the application package. Once you have SAVED the application package and completed all the required documentation, you will submit your application via the Fedconnect portal. DO NOT use the Save 8~ Submit selection in Grants.gov. B. LETTER OF INTENT AND PRE-APPLICATION 1. Letter of Intent. Letters of Intent are not required. 2. Pre-application Pre-applications are not required. C. CONTENT AND FORM OF APPLICATION - SF 424 You must complete the mandatory forms and any applicable optional forms (e.g., SF-LLL- Disclosure of Lobbying Activities) in accordance with the instructions on the forms and the additional instructions below. Files that are attached to the forms must be in Adobe Portable Document Format (PDF) unless otherwise specified in this announcement. SF 424 -Application for Federal Assistance Complete this form first to populate data in other forms. Complete all required fields in accordance with the pop-up instructions on the form. The list of certifications and assurances referenced in Field 21 can be found on the DOE Financial Assistance Forms Page at http://management.energy.govlbusiness doe/business forms.htm under Certifications and Assurances. Save the file name in the following format: LEAP-[State abbreviation]-[City Name]-SF424.pdf. For example, "LEAP-WV-Morgantown-SF424.pdf' or "LEAP-PA-Pittsburg h-SF424. pdf'. PLEASE NOTE: By signing the SF 424, Applicants are providing their written assurance that they will comply with ALL requirements set forth in the American Reinvestment and Recovery Act. 2. ProjectlPerformance Site Location(s) Indicate the primary site where the work will be performed. If a portion of the project will be performed at any other site(s), identify the site location(s) in the blocks provided. Note that the Project/Performance Site Congressional District is entered in the format of the 2 digit state code followed by a dash and a 3 digit Congressional district code, for example VA-001. Hover over this field for additional instructions. Use the Next Site button to expand the form to add additional Project/Performance Site Locations. DE-FOA-0000098 Page 11 of 26 10-15 3. Other Attachments Form Submit the following files with your application and attach them to the Other Attachments Form. Click on "Add Mandatory Other Attachment" to attach the Project Narrative. Click on "Add Optional Other Attachment," to attach the other files. Project Narrative File - Mandatory Other Attachment The project narrative must not exceed 15 pages including cover page, table of contents, charts, graphs, maps, photographs, and other pictorial presentations, when printed using standard 8.5" by 11"paper with 1 inch margins (top, bottom, left, and right}. EVALUATORS WILL REVIEW ONLY THE NUMBER OF PAGES SPECIFIED IN THE PRECEDING SENTENCE. The font must not be smaller than 11 point, and the lines must be single spaced. Do not include any Internet addresses (URLs) that provide information necessary to review the application. See Part VIII.D for instructions on how to mark proprietary application information. Save the information in a single file named "Project.pdf," and click on "Add Mandatory Other Attachment" to attach. • Proje-ct:Objectives The project narrative must include Project Objectives. In addition to the project objectives stated in Section A of the Statement of Project Objectives (SOPO), the applicant shall identify additional objectives specifically related to the proposed project. If selected for award, the objectives addressed in this section will be incorporated into the Statement of Project Objectives (SOPO}. • Statement of Need The project narrative must include a Statement of Need. The Statement of Need shall explain the need for funding for activities eligible under this Funding Opportunity Announcement. The Applicant shall address specific gaps in the City's energy assurance plan and/or emergency response plan (e.g., lack of integration into state energy assurance plan, lack of interagency coordination, lack of integration of new energy technologies, etc.) that this project will address. Additionally, the Applicant shall also describe any unmet needs (e.g. complete lack of an energy assurance plan, lack of appropriate expertise, need to implement specific energy assurance activities, etc.), which this project can address. The Applicant shall also identify the predominant energy sources/issues (e.g., renewable energies, natural gas, home heating oil, etc.) for its jurisdiction. • Technical Discussion The project narrative must include a technica! discussion. The technical discussion shall address the following: 1. Proposed technical approach/strategy for: a. Managing the project and providing necessary oversight to assure the successful completion of the project. b. Developing a new or revising an existing Energy Assurance Plan in accordance with the Public Technology Institute (PTI) DE-FOA-0000098 Page 12 of 26 10-16 Local Energy Assurance Guidelines (refer to the Statement of Project Objectives below). c. Implementing the Energy Assurance Plan. Workforce Development Plan -The Workforce Development Plan should describe the plan for development of expertise on energy assurance planning, including hiring, retaining, and training personnel for energy assurance activities. Energy Assurance Plan Implementation Activities -The applicant should identify and discuss specific activities to be performed to implement the Energy Assurance Plan. These activities should, at a minimum, consider the examples provided in Part I, Funding Opportunity Description, Section B, Item 3, Purpose/Objectives (pages 5-6). This discussion should also address how energy assurance planning will be coordinated with appropriate entities, such as the emergency management office, homeland security office, fire departments,_public utility commissions, state energy office, priu~te sector utilities, etc. The applicant should also identify any additional deliverable(s) being proposed (e.g., report, resolution for plan implementation, table-top exercise plan/summary, training plan, interagency agreement, etc.). If selected for award, the activities and deliverables addressed in this section of the technical discussion will be incorporated into the Statement of Project Objectives (SOPO). • Project Summary/Abstract File The project summary/abstract must contain a summary of the proposed activity suitable for dissemination to the public. It should be aself-contained document that identifies the name of the applicant, the project director/principal investigator(s), the project title, the objectives of the project, a description of the project, including methods to be employed, the potential impact of the project (i.e., benefits, outcomes), and major participants (for collaborative projects). This document must not include any proprietary or sensitive business information as the Department may make it available to the public. The project summary must not exceed one (1) page when printed using standard 8.5" by 11"paper with 1" margins (top, bottom, left and right) with font no smaller than 11 point. Save this information in a file named "Summary.pdf," and click on "Add Optional Other Attachment" to attach. SF 424 A Excel, Budget Information -Non-Construction Programs File You must provide a separate budget for each year of support requested and a cumulative budget for the total project period. Use the SF 424 A Excel, "Budget Information -Non Construction Programs" form on the DOE Financial Assistance Forms Page at htt~://management.energy.govlbusiness doe/business forms.htm. You may request funds under any of the Object Class Categories as long as the item and amount are necessary to perform the proposed work, meet all the criteria for allowability under the applicable Federal cost principles, and are not prohibited by the funding restrictions in this announcement (See PART IV, G). Save the information in a single file named "SF424A.xls," and click on "Add Optional Other Attachment" to attach. Budget Justification File You must justify the costs proposed in each Object Class Category/Cost Classification DE-FOA-0000098 Page 13 of 26 10-17 category (e.g., identify key persons and personnel categories and the estimated costs for each person or category; provide a list of equipment and cost of each item; identify proposed subaward/consultant work and cost of each subaward/consultant; describe purpose of proposed travel, number of travelers, and number of travel days; list general categories of supplies and amount for each category; and provide any other information you wish to support your budget). Provide the name of your cognizant/oversight agency, if you have one, and the name and phone number of the individual responsible for negotiating your indirect rates. If cost sharing is required, you must have a letter from each third party contributing cost sharing (i.e., a party other than the organization submitting the application) stating that the third party is committed to providing a specific minimum dollar amount of cost sharing. In the budget justification, identify the following information for each third party contributing cost sharing: (1) the name of the organization; (2} the proposed dollar amount to be provided; (3) the amount as a percentage of the total project cost; and (4) the proposed cost sharing -cash, services, or property. By submitting your application, you are providing assurance that you have signed fetters of commitment. Successful applicants will be required to submit these signed letters of commitments. Save the budget justification information in a single -file named "Budget.pdf," and click on "Add Optional -Other Attachment" to attach. ARRA 2009 Additional Budget Justification Information Applications shall provide information which validates that all laborers and mechanics on projects funded directly by or assisted in whole or in part by and through funding appropriated by the Act are paid wages at rates not less than those prevailing on projects of a character similar in the locality as determined by subchapter IV of Chapter 31 of title 40, United States Code (Davis-Bacon Act). For guidance on how to comply with this provision, see http://www. dol. qov/esa/whd/contracts/dbra. htm. subaward Budget File(s) You must provide a separate budget (i.e., budget for each budget year and a cumulative budget) for each subawardee that is expected to perform work estimated to be more than $100,000 or 50 percent of the total work effort (which ever is less). Use the SF 424 A Excel for Non Construction Programs or the SF 424 C Excel for Construction Programs. These forms are found on the DOE Financial Assistance Forms Page at http://management.eneray.gov/business doe/business forms.htm. Save each subaward budget in a separate file. Use up to 10 letters of the subawardee's name (plus .xls) as the file name (e.g., ucla.xls or energyres.xls), and click on "Add Optional Other Attachment" to attach. NEPA All projects receiving financial assistance from DOE must be reviewed under the National Environmental Policy Act (NEPA) of 1969 - 42 U.S.C. Section 4321 et seq. The first step in DOE's NEPA review process requires financial assistance recipients to submit information to DOE regarding the potential environmental impacts of the project receiving DOE funds. Prior to award, successful applicants must complete the Environmental Checklist (DOE PMC EF-1) on-line at the following site: httos://www.eere-pmc.energy.aov/N EPA.aso. DE-FOA-0000098 Page 14 of 26 10-18 • SF-LLL Disclosure of Lobbying Activities If applicable, complete SF- LLL. Applicability: If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the grant/cooperative agreement, you must complete and submit Standard Form - LLL, "Disclosure Form to Report Lobbying." D. STATEMENT OF PROJECT OBJECTIVES The Department of Energy's, National Energy Technology Laboratory intends on utilizing the following Statement of Project Objectives (SOPO) template. for this award. If selected for award, finalization of the SOPO will be based on the submitted application. The SOPO may be released to the public by DOE in whole or in part at any time. It is therefore required that it shall not contain proprietary or confidential business information. STATEMENT OF PROJECT OBJECTIVES (SO-PO} A. OBJECTIVES The initiative will focus on building regional energy assurance capability to allow Cities to better coordinate and communicate state-wide and with one another, on energy security, reliability, and emergency response issues. The objectives of this initiative are to: 1) strengthen and expand local government energy assurance planning and resiliency, (2) reduce the impacts from energy supply disruptions, and (3) create jobs and save jobs in energy assurance planning at the city level. B. TASKS TO BE PERFORMED Task 1.0 -Project Management Plan The Project Management Plan details the work elements required to manage and report on activities in accordance with the ARRA and grant requirements. This Plan also documents the 2-year plan and project budget for carrying out all Tasks and completing all Deliverables under this Grant. It is anticipated that this document will be periodically revised during the performance period, but should at all times provide sufficient detail to plan, carry out and monitor all project activities. Task 2.0 -Workforce Development Plan The Workforce Development Plan shall be revised as necessary to provide the status of its implementation and any changes to the plan during the course of the project. Task 3.0 -Energy Assurance Planning The Energy Assurance Plan (new or revised) shall be modeled after the Local Energy Assurance Guidelines (http://www.pti.org/docs- sust/LocalGovernmentEnergyAssuranceGuidelines.pdf) developed by Public Technology Institute (PTI) and DOE Office of Electricity Delivery and Energy Reliability (OE). The Energy Assurance Plan should incorporate response actions for new energy portfolios, including Smart Grid technologies, and be integrated with the respective State Energy Assurance Plan. Energy assurance planning will be coordinated with appropriate entities, such as the emergency management office, homeland security office, fire departments, public utility commissions, state energy office, private sector utilities, etc. DE-FOA-0000098 Page 1 ~ of 26 10-19 Task 4.0 -Energy Assurance Plan Implementation Activities Subtask 4.1 (subtask to be determined by the activities submitted by the applicant) Subtask 4.2 (subtask to be determined by the activities submitted by the applicant) Subtask 4.3 (subtask to be determined by the activities submitted by the applicant) B. DELIVERABLES Reports shall be submitted in accordance with the "Federal Assistance Reporting Checklist" and the instructions accompanying the checklist included as Attachment A to this FOA. In addition, the following deliverables are required. Note: The Recipient shall provide a list of deliverables other than those identified on the "Federal Assistance Reporting Checklist" that will be delivered. These reports shall also be identified within the text of Project Management Plan. Deliverable 1.0 -Project Management Plan (PMP) (PMP due 45 days following award and subsequent revisions, due quarterly throughout the performance period.) Reference Attachment B for the Project Management Plan template. Deliverable 2.0 - Workforce Development Plan (WDP) (WDP required with application and subsequent revisions due quarterly throughout the performance period.) Deliverable 3.0 -Energy Assurance Plan (due at end of project period) Deliverable 4.0 -Energy Assurance Plan Implementation Documentation (To be proposed by the Applicant and described in the application. Due at end of project period.} Deliverable 5.0 - (deliverable to be determined in the application} Deliverable 6.0 - (deliverable to be determined in the application} Deliverable 7.0 - (deliverable to be determined in the application} '`"`Rest of Page Intentionally Left Blank''" DE-FOA-0000098 Page 16 of 26 10-20 Summary of Required Forms/Files Your application must include the following documents: Name of Document Format File Name Application for Federal Assistance - SF424 Form LEAP-[State abbreviation]- [City Name]-SF424.pdf. Project/Performance Site Location(s) Form N/A Other Attachments Form: Attach the following files to this form: Form N!A Project Narrative File PDF Project.pdf Project Summary/Abstract File PDF Summary.pdf SF 424A File -:-Budget Information for Non-Construction Programs Excel SF424A.xls Budget Justification File PDF Budget.pdf Subaward Budget File(s) Excel (subawardee name).xls ARRA 2009 Additional Budget Justification Information PDF ARRAWage.pdf SF-LLL Disclosure of Lobbying Activities, if applicable. Form N/A E. SUBMISSIONS FROM SUCCESSFUL APPLICANTS If selected for award, DOE reserves the right to request additional or clarifying information for any reason deemed necessary, including, but not limited to: • Indirect cost information • Other budget information • Name and phone number of the Designated Responsible Employee for complying with national policies prohibiting discrimination (See 10 CFR 1040.5) • Representation of Limited Rights Data and Restricted Software, if applicable • Commitment Letter from Third Parties Contributing to Cost Sharing, if applicable F. SUBMISSION DATES AND TIMES Applications should be received by October 8, 2009, not later than 3:00 PM Eastern Time. You are encouraged to transmit your application well before the deadline. APPLICATIONS RECEIVED AFTER THE DEADLINE WILL NOT BE REVIEWED OR CONSIDERED FOR AWARD. G. INTERGOVERNMENTAL REVIEW This program is not subject to Executive Order 12372 -Intergovernmental Review of Federal Programs. DE-FOA-0000098 Page 17 of 26 10-21 H. FUNDING RESTRICTIONS Cost Principles: Costs must be allowable in accordance with the applicable Federal cost principles referenced in 10 CFR part 600. The cost principles for commercial organization are in FAR Part 31. 1. OTHER SUBMISSION AND REGISTRATION REQUIREMENTS 1. Where to Submit APPLICATIONS MUST BE SUBMITTED THROUGH FEDCONNECT TO BE CONSIDERED FOR AWARD. Submit electronic applications through the FedConnect portal at www.fedconnect.net. Information regarding how to submit applications via Fed Connect can be found at https://www.fedconnect.net/FedConnect/PublicPages/FedConnect Ready Set Go pdf. Further, it is the responsibility of the applicant, prior to the offer due date and time, to verify successful transmission. 2. Registration Process There are several one-time actions you must complete in order to submit an application in response to this Announcement (e.g., obtain a Dun and Bradstreet Data Universal Numbering System (DUNS) number, register with the Central Contract Registry (CCR), and register with FedConnect). Applicants, who are not registered with CCR and Fedconnect, should allow at least 10 days to complete these requirements. It is suggested that the process be started as soon as possible. DE-FOA-0000098 Page 18 of 26 10-22 Part V -APPLICATION REVIEW INFORMATION A. CRITERIA 1. Initial Review Criteria Prior to a comprehensive merit evaluation, DOE will pertorm an initial review to determine that (1) the applicant is eligible for an award; (2) the information required by the announcement has been submitted; (3) all mandatory requirements are satisfied; and (4) the proposed project is responsive to the objectives of the funding opportunity announcement. 2. Merit Review Criteria Applications will be reviewed based on the following five criteria (weighted as identified below):: Criterion 1: (25 percent weight): Degree to which the technical approach for creating or revising an Energy Assurance (EA) Plan addresses integration of the following: • Public Technology Institute's (PTI) Local Government Energy EA Guidelines. • State Energy Assurance Pians. Criterion 2: (25 percent weight): Degree to which the Applicant will coordinate and collaborate with: • Emergency Management Office(s). • Private sector industry. • Homeland Security Office(s). • State Public Utility Commission(s). • State Energy Office, and • Other agencies as appropriate. Criterion 3: (20 percent weight): Effectiveness of the proposed strategy for implementing, exercising and maintaining the Energy Assurance Plan. Criterion 4: (10 percent weight): Adequacy of the strategy for project management and accompanying oversight. Criterion 5: (10 percent weight): Adequacy of the strategy for local job creation and workforce development as described/proposed in the Workforce Development Plan. Criterion 6: (10 percent weight): Degree to which the Applicant demonstrates the need for an Energy Assurance Plan. 3. Other Selection Factors The Selection Official may consider the following program policy factors in the selection process: 1. It may be desirable to select projects from a diversity of geographical areas across the United States. 2. It may be desirable to select projects representing a range of populations. 3. It may be desirable to select projects representing a diversity of predominant energy DE-FOA-0000098 Page 19 of 26 10-23 sources/issues (e.g. natural gas, renewable energies, coal, petroleum, home heating oil, etc), 4. It may be desirable to select projects representing a diversity of predominant disaster threats (e.g., hurricanes, earthquakes, flooding, tornados, etc.). 5. It may be desirable to select projects representing different stages of current plan status, i.e., new plan versus update to an existing plan. 6. (ARRA 2009 Application Review Information Criteria) Selection of applications which promote and enhance the objectives of the American Recovery and Reinvestment Act of 2009, P.L. 111-5, especially job creation, and/or preservation and economic recovery in an expeditious manner. B. REVIEW AND AWARD PROCESS 1. Merit Review Applications that pass the initial review will be subjected to a merit review in accordance with the guidance provided in the "Department of Energy Merit Review Guide for Financial Assistance." This guide is available under Financial Assistance, Regulations and Guidance at http://www.management.energy.gov/documents/meritrev pdf. 2. Selection The Selection Official will consider the merit review recommendation, program policy factors, and the amount of funds available. 3. Discussions and Award The Government may enter into discussions with a selected applicant for any reason deemed necessary, including but not limited to: (1) the budget is not appropriate or reasonable for the requirement; (2) only a portion of the application is selected for award; (3) the Government needs additional information to determine that the recipient is capable of complying with the requirements in 10 CFR part 600; and/or (4) special terms and conditions are required. Failure to resolve satisfactorily the issues identified by the Government will preclude award to the applicant. D. ANTICIPATED NOTICE OF SELECTION AND AWARD DATES DOE is striving to make awards within eight (8) months. The time interval begins on the date applications are due or the date the application is received, if there is no specified due date/deadline. DE-FOA-0000098 Page 20 of 26 10-24 Part VI -AWARD ADMINISTRATION INFORMATION A. AWARD NOTICES 1. Notice of Selection DOE will notify applicants selected for award. This notice of selection is not an authorization to begin performance. (See Part IV.G with respect to the allowability of pre-award costs.) Organizations whose applications have not been selected will be advised as promptly as possible. This notice will explain why the application was not selected. 2. Notice of Award A Financial Assistance Agreement issued by the contracting officer is the authorizing award document. It normally includes either as an attachment or by reference: (1 ). Special Terms and Conditions including ARRA special provisions; (2). Applicable program regulations, if any; (3). Application as approved by DO-E/NNSA; (4). DOE assistance regulations at 10 CFR part 60D; (5}. Nation- al Policy Assurances To Be Incorporated As Award Terms; (6). Budget Summary; and (7).-Federal-Assistance Reporting Checklist, which identifies the reporting requirements. B. ADMINISTRATIVE AND NATIONAL POLICY REQUIREMENTS 1. Administrative Requirements The administrative requirements for DOE grants and cooperative agreements are contained in 10 CFR part 600 (See: http://ecfr.gpoaccess.gov). Grants and cooperative agreements made to universities, non-profits and other entities subject to OMB Circular A-110 are subject to the Research Terms and Conditions located on the National Science Foundation web site at http://www.nsf.gov/bfa/digs/policy/rtc/index.jsp. ARRA 2009 Award Administration Information Special Provisions relating to work funded under American Recovery and Reinvestment Act of 2009, Pub. L. 111-5 shall apply. These provisions can be found at http://management.energy.aov/policy guidance/1672.htm. 2. Special Terms and Conditions and National Policy Requirements The DOE Special Terms and Conditions for Use in Most Grants and Cooperative Agreements are located at http://manaaement.energy.aov/business doe/business forms.htm. The National Policy Assurances To Be Incorporated As Award Terms are located at DOE http://management.energy.pov/business doe/business forms.htm. Intellectual Property Provisions The standard DOE financial assistance intellectual property provisions applicable to the various types of recipients are located at http://www.gc.doe.aov/financial assistance awards.htm. DE-FOA-0000098 Page 21 of 26 10-25 C. REPORTING Reporting requirements are identified on the Federal Assistance Reporting Checklist, DOE 4600.2, attached to the award agreement. See Attachment E, Reporting Requirements. DE-FOA-0000098 Page 22 of 26 10-26 PART VII -QUESTIONS/AGENCY CONTACTS A. QUESTIONS Questions regarding the content of the announcement must be submitted through the FedConnect portal. You must register with FedConnect to respond as an interested party to submit questions, and to view responses to questions. It is recommended that you register as soon after release of the FOA as possible to have the benefit of all responses. More information is available at http://www.comgusearch.com/products/fedconnect/fedconnect.asg. DOE/NNSA will try to respond to a question within 3 business days, unless a similar question and answer have already been posted on the website. B. AGENCY CONTACT Name: Diane M. Franklin E-mail: diane.franklin@netl.doe.gov FAX: 304.285.0986 Telephone: 304.285.4609 DE-FOA-0000098 Page 23 of 26 10-27 PART VIII -OTHER INFORMATION A. MODIFICATIONS Notices of any modifications to this announcement will be posted on Grants.gov and the FedConnect portal. You can receive an email when a modification or an announcement message is posted by registering with FedConnect as an interested party for this FOA. It is recommended that you register as soon after release of the FOA as possible to ensure you receive timely notice of any modifications or other announcements. More information is available at http://www.fedconnect.net and http://www.compusearch.com/products/fedconnect.aso. B. GOVERNMENT RIGHT TO REJECT OR NEGOTIATE DOE reserves the right, without qualification, to reject any or all applications received in response to this announcement and to select any application, in whole or in part, as a basis for negotiation and/or award. C. COMMITMENT OF PUBLIC FUNDS The Contracting Officer is the only individual who can make awards or commit the Government to the expenditure of public funds. A commitment by other than the Contracting Officer, either explicit or implied, is invalid. D. PROPRIETARY APPLICATION INFORMATION Patentable ideas, trade secrets, proprietary or confldentional commercial or financial information, disclosure of which may harm the applicant, should be included in an application only when such information is necessary to convey an understanding of the proposed project. The use and disclosure of such data may be restricted, provided the applicant includes the following legend on the first page of the project narrative and specifies the pages of the application which are to be restricted: "The data contained in pages of this application have been submitted in confidence and contain trade secrets or proprietary information, and such data shall be used or disclosed only for evaluation purposes, provided that if this applicant receives an award as a result of or in connection with the submission of this application, DOE shall have the right to use or disclose the data herein to the extent provided in the award. This restriction does not limit the government's right to use or disclose data obtained without restriction from any source, including the applicant." To protect such data, each line or paragraph on the pages containing such data must be specifically identified and marked with a legend similar to the following: "The following contains proprietary information that (name of applicant) requests not be released to persons outside the Government, except for purposes of review and evaluation." E. EVALUATION AND ADMINISTRATION BY NON-FEDERAL PERSONNEL In conducting the merit review evaluation, the Government may seek the advice of qualified non-Federal personnel as reviewers. The Government may also use non-Federal personnel to conduct routine, nondiscretionary administrative activities. The applicant, by submitting its application, consents to the use of non-Federal reviewers/administrators. Non-Federal reviewers must sign conflict of interest and non-disclosure agreements prior to reviewing an DE-FOA-0000098 Page 24 of 26 10-28 application. Non-Federal personnel conducting administrative activities must sign a non- disclosure agreement. DE-FOA-0000098 Page 25 of 26 10-29 SECTION IX -ATTACHMENTS ATTACHMENT A -REPORTING REQUIREMENTS See Attachment A for Reporting Requirements. ATTACHMENT B -PROJECT MANAGEMENT PLAN TEMPLATE See Attachment B for Project Management Plan template. DE-FOA-0000098 Page 26 of 26 10-30 COUNCIL RESOLUTION N0. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING SUBMITTAL OF A LOCAL ENERGY ASSURANCE PROGRAM GRANT APPLICATION TO THE U.S. DEPARTMENT OF ENERGY FOR $300,000 AND AUTHORIZING THE CITY MANAGER OR HIS DESIGNEE TO EXECUTE ALL DOCUMENTS NECESSARY TO OBTAIN AND MANAGE GRANT FUNDS WHEREAS, a goal of the American Recovery and Reinvestment Act of 2009 (ARRA), in part, is to "facilitate recovery from disruptions to the energy supply" and "enhance reliability and quicker repair of outages; and WHEREAS, the U.S. Department of Energy is utilizing ARRA funding to create the Local Energy Assurance Planning Initiative (LEAP) to create jobs at the local level and allow Cities to have well-developed, standardized energy assurance and resiliency plans that they can rely on during energy emergencies and supply disruptions; and WHEREAS, eligibility for award under the LEAP Initiative is restricted to U.S. Cities only; and WHEREAS, LEAP Initiative funding will provide opportunities for the City to evaluate and improve the emergency operation system; and WHEREAS, the National Energy Center for Sustainable Communities (NECSC) was founded by the City of Chula Vista, California; San Diego State University (SDSU); and the Gas Technology Institute (GTI), and with the support of the U.S. Department of Energy; and WHEREAS, the NECSC's mission is to promote healthier and more productive communities by integrating cleaner energy systems and energy-smart planning and design into new development and redevelopment projects; and WHEREAS, the NECSC executes its mission through collaborative research, demonstration and capacity-building (education and training) initiatives among government agencies, universities, utilities, companies and nongovernmental organizations across the nation; and WHEREAS, the NECSC is collaborating with government agencies, companies and utilities to create a national demonstration site for energy-smart community development through the ultimate creation of up to 20-30 showcase technology, land use and management practice demonstration sites across the City of Chula Vista; and WHEREAS, city staff seeks to work with the NECSC to apply for and acquire funding under the LEAP Initiative. 10-31 NOW, THEREFORE BE IT RESOLVED that the City Council of the City of Chula Vista does hereby approve submittal of a Local Energy Assurance Planning Initiative Grant Application for $300,000. BE IT FURTHER RESOLVED that the City Council of the City of Chula Vista does hereby authorize the City Manager or his designee to execute all documents necessary to obtain and manage grant funds. Presented by Gary Halbert, AICP, PE ~~,) Deputy City Manager/Director of Development Services 10-32 Approved as to form by CITY COU NCI L z AGENDA STATEMENT ~~ ~~~~~~~~~~ BSI i ~ ~~ CITY OF CHULA VISTA 10/06/2009 Item ITEM TITLE: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AUTHORIZING THE ADDITION OF ONE UNCLASSIFIED POSITION TO THE AUTHORIZED POSITION COUNT FOR THE POLICE DEPARTMENT, AMENDING THE COMPENSATION SCHEDULE AND CLASSIFICATION PLAN TO REFLECT THE ADDITION OF A CBAG ACCOUNTING TECHNICIAN AND AUTHORIZING THE RECLASSIFICATION OF THE CBAG MANAGEMENT ASSISTANT TO THE POSITION OF CBAG ADMINISTRATIVE ANALYST II ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING CHULA VISTA MUNICIPAL CODE SECTION 2.05.010 RELATING TO THE ESTABLISHMENT OF UNCLASSIFIED POSITIONS TO ADD THE POSITION OF CBAG ACCOUNTING TECHNICIAN SUBMITTED BY: CHIEF OF POLICE~t,~~ ~~ REVIEWED BY: CITY MANAGE 4/STHS VOTE: YES ^X NO SiTNIlVIARY The California Border Alliance Group (CBAG) has requested the addition of one new position, CBAG Accounting Technician. CBAG is also requesting to reclassify the one of the CBAG Management Assistants to the position of CBAG Administrative Analyst II. Additionally, Chula Vista City Charter section 500 requires that all unclassified positions not mentioned specifically in Charter section 500 be adopted by Ordinance. The Police Department requests the addition of the new CBAG position to the unclassified service. 11-1 10/06/2009, Item Page2of3 RECOMMENDATION 1. That Council adopts the resolution 2. That Council approves the Ordinance BOARDS/COMMISSION RECOMMENDATION N/A DISCUSSION The Police Department entered into an agreement with the Office of National Drug Control Policy in 1996 to be the fiscal agent for the California Border Alliance Group (CBAG). CBAG is part of the Southwest Border High Intensity Drug Trafficking Area (SWHIDTA). In essence, the City receives full funding, plus a 3% administrative fee:, to hire and administer salary and benefits for CBAG positions. To date, there are currently 18 CBAG positions with the City of Chula Vista that are fully funded from the Office of National Drug Control Policy (ONDCP). The Department is requesting the addition of one new position to the official City classification listing, and the reclassification of one position. These positions are both under the CBAG umbrella. The new classification will need to be added to Municipal Code section 2.05.010 relating to the establishment of unclassified positions. CBAG Accounting Technician This is a new classification for CBAG. The CBAG Accounting Technician position will be under filling the CBAG Analyst position in the CBAG Budget Office. The CBAG Accounting Technician position will provide accounting support to the CBAG Program Manager in their budget unit. The "E" step annual salary for this position will be $58,266. This position is considered "Unclassified" due to the nature of the funding for this position and will receive the "Confidential" benefit package. CBAG Administrative Analyst II CBAG has also requested the reclassification of the CBAG Management Assistant in the National Meth and Chemical/Pharmaceutical Drug Crimes Initiative (NMCUPDC) to the position of CBAG Administrative Analyst II. This position provides high-level analytical support to the Program Manager for NMCI/PDC and has changed significantly over the last two years. Previously, this position provided more high-level clerical support, but has evolved due to the growing demands of the NMCUPDC program. This position now routinely develops memorandum of understandings (MOU), budget documents, coordinates programs, etc. The "E" step annual salary for the CBAG Administrative Analyst II position is $70,397. This position is considered "Unclassified" due 11-2 10/06/2009, Item Page 3 of 3 to the nature of the funding for this position and will receive the "Confidential" benefit package. Municipal Code Section 2.05.010 Amended Municipal Code Section 2.05.010 will need to be amended to add the position of CBAG Accounting Technician to the list of unclassified positions. This addition has been underlined in the proposed ordinance for easy identification. 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 18704.2(a)(1) is not applicable to this decision. FISCAL IMPACT All CBAG positions are 100% fully reimbursed through ONDCP. No additional appropriations are needed to enact these changes. Approval of this resolution will result in no net impact to the General Fund. ONGOING IMPACT There is no ongoing net impact to the General Fund as a result of these changes. All costs for CBAG positions are fully reimbursed through ONDCP. ATTACHI~ZENTS None. Prepared by.' Edward Chew, Administrative Services Manager, Police Department 11-3 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AUTHORIZING THE ADDITION OF ONE UNCLASSIFIED POSITION TO THE AUTHORIZED POSITION COUNT FOR THE POLICE DEPARTMENT, AMENDING THE COMPENSATION SCHEDULE AND CLASSIFICATION PLAN TO REFLECT THE ADDITION OF A CBAG ACCOUNTING TECHNICIAN AND AUTHORIZING THE RECLASSIFICATION OF THE CBAG MANAGEMENT ASSISTANT TO THE POSITION OF CBAG ADMINISTRATIVE ANALYST II WHEREAS, The Police Department entered into an agreement with the Office of National Drug Control Policy in 1996 to be the fiscal agent for the California Border Alliance Group (CBAG); and WHEREAS, CBAG has requested the addition of a new classification CBAG Accounting Technician and the reclassification of the CBAG Management Assistant to the position of CBAG Administrative Analyst II; and WHEREAS, the City receives full funding, plus a 3% administrative fee, to hire and administer salary and benefits for CBAG positions; NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby authorize the addition of one unclassified position to the authorized position count for the Police Department, amend the compensation schedule and classification plan to reflect the addition of a CBAG Accounting Technician and authorize the reclassification of the CBAG Management Assistant to the position of CBAG Administrative Analyst II. Presented by: Approved as to form by: David Bejarano Police Chief I~--- Bart Miesfeld City Attorney 11-4 ORDINANCE NO. ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING CHULA VISTA MUNICIPAL CODE SECTION 2.05.010 RELATING TO THE ESTABLISHMENT OF UNCLASSIFIED POSITIONS TO ADD THE POSITION OF CBAG ACCOUNTING TECHNICIAN WHEREAS, the Human Resources Department has created new classifications to better reflect the needs of the City's workforce; and WHEREAS, Charter Section 500(a) requires that all new unclassified management level positions be adopted by ordinance and afour-fifths vote of the Council. NOW, THEREFORE, the City Council of the City of Chula Vista does ordain as follows: SECTION I: That Section 2.05.010 of the Chula Vista Municipal Code is hereby amended to read as follows: 2.05.010 Unclassified positions established. In addition to those unclassified positions specifically delineated in Section 500 of the Charter of the City, there are established the unclassified positions entitled Administrative Services Manager, Advanced Planning Manager, Animal Care Facility Manager, Assistant Chief of Police, Assistant Director of Engineering, Assistant Director of Finance, Assistant Director of Public Works, Assistant Director of Redevelopment and Housing, California Border Alliance Group (CBAG) Deputy Executive Director, CBAG Director - SD LECC, CBAG Accounting Technician, CBAG Administrative Analyst I, CBAG Administrative Analyst II, CBAG Analyst, CBAG Executive Assistant, CBAG Executive Director, CBAG Graphics Designer/Webmaster, CBAG Management Assistant, CBAG Microcomputer Specialist, CBAG Network Administrator I, CBAG Network Administrator II, CBAG Network Manager, CBAG Program Analyst, CBAG Program Manager, CBAG Regional Computer Forensic Laboratory Network Engineer, City Engineer, Communications Coordinator, Constituent Services Manager, Deputy Building Official, Deputy City Manager, Deputy Fire Chief, Development Planning Manager, Director of Conservation and Environmental Services, Economic Development Officer, Fire Division Chief, Fiscal Operations Manager, Human Resources Operations Manager, Office Specialist (Mayor's Office), Police Captain, Purchasing Agent, Real Property Manager, Redevelopment and Housing Manager, Risk Manager, Senior Council Assistant, Traffic Engineer, Transit Coordinator, Transit Manager, Treasury Manager. SECTION II: This ordinance shall take effect and be in full force thirty days from its adoption. Submitted by: ____J W 1. -'~ ~l.M David Bejarano Chief of Police J Approved as to form by: c" ~ ~P~i ? ~-/ ~' ~ ~~' Bart Miesfeld City Attorney 11-5 ITY COUNCIL STATEMENT ~~ CITY OF CHULA VISTA 10/06/2009 Item_J~ ITEM TITLE: SUBMITTED BY REVIEWED BY: SiINIMARY RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING ONE VEHICLE FROM THE UNITED STATES MARSHALS SERVICE FOR FUGITIVE TASK FORCE OPERATIONS AND APPROPRIATING $6,000 FOR FUEL AND MAINTENANCE COSTS TO THE FISCAL YEAR 2010 POLICE DEPARTMENT SUPPLIES AND SERVICES BUDGET BASED UPON UNANTICIPATED REVENUES CHIEF OF POLICE CITY MANAGER 4/STHS VOTE: YES X NO The United States Marshals Service (USMS) has identified funding to pay for vehicles for participating agencies in the Fugitive Task Force. This funding includes reimbursement for fuel and maintenance costs. The Police Department requests to accept one vehicle from USMS for Fugitive Task Force operations and appropriate $6,000 for fuel and maintenance costs. ENVIRONMENTAL REVIEW This proposed activity has been reviewed for compliance with the California Environmental Quality Act (CEQA) and it has been determined that the activity is not a "Project" as defined under Section 15378 of the State CEQA Guidelines because it will not result in a physical change in the environment; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines, the activity is not subject to CEQA. Thus, no environmental review is necessary. RECOMMENDATION Council adopt the resolution. BOARDS/COMMISSION RECOMMENDATION Not Applicable. 12-1 10/06/2009, Item `~ Page 2 of 2 DISCUSSION Since 2003, the Police Department has assigned one detective to the San Diego Regional Fugitive Task Force, which is coordinated by the U.S. Marshals Service (USMS). The Asset Forfeiture Fund of the U.S. Department of Justice reimburses state and local agencies for costs relating to USMS sponsored fugitive task forces. The primary mission of the task force is to investigate and arrest, as part of joint law enforcement operations, persons who have active state and federal warrants for their arrest. The intent of the joint effort is to investigate and apprehend local, state and federal fugitives, thereby improving public safety and reducing violent crime. The USMS was recently awarded asset forfeiture funding for the acquisition of vehicles to state and local officers in support of joint law enforcement operations and USMS fugitive task forces. The vehicle will become the property of the state or local law enforcement agencies. The goal of USMS is to provide a vehicle to every full time task force officer who is currently assigned to a USMS fugitive task force. The USMS will also provide $6,000 per year to cover fuel and maintenance costs for the new vehicle. 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 18704.2(a)(1) is not applicable to this decision. CURRENT YEAR FISCAL IMPACT Approval of this resolution will result in the acceptance of one vehicle from USMS. USMS will also provide funding for fuel and equipping the vehicle. There is no net fiscal impact for accepting the vehicle. ONGOING FISCAL IMPACT There is no ongoing fiscal impact by accepting this vehicle. All fuel and maintenance costs are reimbursed by the USMS. ATTACHMENTS None. Prepared by: Jonathan Alegre, Principal Management Analyst, Police Department 12-2 RESOLUTION N0. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING ONE VEHICLE FROM THE UNITED STATES MARSHALS SERVICE FOR FUGITIVE TASK FORCE OPERATIONS AND APPROPRIATING $6,000 FOR FUEL AND MAINTENANCE COSTS TO THE FISCAL YEAR 2010 POLICE DEPARTMENT SUPPLIES AND SERVICES BUDGET BASED UPON UNANTICIPATED REVENUES WHEREAS, since 2003, the Police Department has assigned one detective to the San Diego Regional Fugitive Task Force, which is coordinated by the United States Marshals Service; and WHEREAS, the primary mission of the fugitive task force is to investigate and arrest, as part of joint law enforcement operations, persons who have active state and federal warrants for their arrest; and WHEREAS, the United States Marshals Service was recently awarded asset forfeiture funding for the acquisition of vehicles to state and local officers in support of joint law enforcement operations and fugitive task forces; and WHEREAS, the vehicle will become the property of the state or local law enforcement agencies. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby accept one vehicle from the United States Marshals Service for fugitive task force operations and appropriate $6,000 for fuel and maintenance costs to the fiscal year 2010 Police Department Supplies and Services budget. Presented by: Approved as to form by: David Bejarano Police Chief Bart Miesfeld City Attorney 12-3 CITY COUNCIL AGENDA STATEMENT ~~cr, ~~~~ ,;~ ,-~- = CITY OF "~" CHULAVISTA OCTOBER 6, 2009 Item"_ ITEM TITLE: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA WAIVING THE COMPETITIVE BIDDING PROCESS AND AUTHORIZING THE POLICE DEPARTMENT TO .CONTRACT WITH AMERICAN EMERGENCY PRODUCTS FOR POLICE VEHICLE OUTFITTING SERVICES. SUBMITTED BY: CHIEF OF POLIC~~~' REVIEWED BY: CITY MANAGE.=~~ 3 4/STHS VOTE: YES NO X SUMMARY In order to process 24 new police vehicles in a timely manner, the Police Department recommends contracting with American Emergency Products to provide vehicle outfitting for the Police Department fleet. American Emergency Products can provide cost-effective services for outfitting police cruisers and contracting with this company would assist with updating current vehicles and would enhance the operational capabilities of the Police Department. ENVIRONMENTAL REVIEW Not Applicable RECOMMENDATION That Council adopts the resolution. BOARDS/COMMISSION RECOMMENDATION Not Applicable DISCUSSION The Police Department has recently purchased 24 patrol sedans which will replace aging vehicles in the fleet. There are currently ten vehicles on site awaiting build out of all the required equipment (radios, light bar, MDC, etc), with another 14 vehicles on order, scheduled to be delivered in late September/early October. Because of City staffing reductions as a result of budgetary constraints, it is estimated that it would take upwards of one month per vehicle to fully outfit and prepare a police cruiser for service. This 13-1 OCTOBER 6, 2009 Item ~ 3 Page 2 of 3 would mean that based upon the number of vehicles waiting to be outfitted, it could take as long as 2 years to replace the 24 vehicles that are designated for replacement. This would cause severe operational impact to the Police Department as .vehicles which are slated for replacement have at least 100,000 miles of use. This could mean that cars awaiting replacement could reach nearly 200,000 miles of use. By way of comparison, normal vehicle replacement mileage for patrol cars was at 80,000 miles. It was extended to 100,000 miles during the latest budget crises in order to reduce replacement costs. In order to expedite the replacement process for these vehicles, the Police Department recommends contracting with American Emergency Products (formerly known as Thunderworks Mobile Engineering.) to provide police vehicle outfitting services. American Emergency Products is the only company in San Diego County which offers this service. They currently provide vehicle outfitting services to all of the local law enforcement agencies in San Diego with the exception of the City of San Diego (The City of San Diego utilizes internal staff for outfitting of police vehicles). They are a large nation-wide company which specializes in public safety vehicle outfitting, and maintain a very good reputation with the law enforcement agencies throughout the region. City staff from the Public Works Garage and Police Department conducted a site visit to American Emergency Products, whose facilities are currently located in the City of Santee. They maintain a very clean vehicle outfitting garage and utilize industry standard or better equipment for their builds. Staff was able to inspect several vehicles which were currently under construction and found the workmanship and materials used to be excellent. In reviewing the costs associated with contracting these services, staff has determined that the there are several benefits both economic and operational with regard to contracting with American Emergency Products. First, American Emergency Products can provide the outfitting services in acost-effective manner. Secondly, American Emergency Products can order equipment direct from the manufacturers at significant volume discounts. Staff compared the prices of equipment for police sedans supplied by American Emergency Products with what the City is able to purchase, and found that across the board, American Emergency Products prices are lower than what the City has been able to procure. Another advantage to American Emergency Products are that they are located in Santee, and can process up to three cars per week including the dismantling usable equipment from old police sedans. This is important as the recycling of usable equipment results in lower outfitting costs to the City, and quicker turn-around times for build outs. The full cost to build out a police sedan varies based upon which new equipment is required. Staff estimates the cost to outfit each police sedan to be between $7,000 to $10,000. It is difficult to estimate the true cost savings because of the different build requirements, but a conservative estimate is between $1,500 to $3,000 per vehicle. 13-2 OCTOBER 6, 2009 Item ~ 3 Page 3 of 3 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 18704.2(a)(1) is not applicable to this decision. FISCAL IMPACT The City Council approved as part of the fiscal year 2010 budget, funds to outfit the aforementioned vehicles, therefore no additional appropriations are needed at this time. In succeeding fiscal years, vehicle replacement and outfitting costs will be budgeted as part of the normal vehicle replacement fund. ONGOING FISCAL IMPACT Ongoing costs associated with vehicle replacement and outfitting will be budgeted as part of the normal budget review process. ATTAC>FIlVIENTS None. Prepared by: Edward Chew, Administrative Services Manager, Police Department 13-3 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA WAIVING THE COMPETITIVE BIDDING PROCESS AND AUTHORIZING THE POLICE DEPARTMENT TO CONTRACT WITH AMERICAN EMERGENCY PRODUCTS FOR POLICE VEHICLE OUTFITTING SERVICES WHEREAS, the Police Department currently has 24 police sedans awaiting installation of emergency and safety equipment; and WHEREAS, the estimated build time for each vehicle utilizing current City staff is one car per month which would result in a significant delay in putting the new cars into service; and WHEREAS, the delay in building the new vehicles would cause significant safety and operational concerns; and WHEREAS, staff researched alternative solutions to expedite the build of patrol vehicles and contacted American Emergency Products to provide pricing and details to provide vehicle equipment installation services; and WHEREAS, American Emergency Products is the only company .in San Diego County which provides public safety vehicle equipment installation; and WHEREAS, American Emergency Products installs emergency and safety equipment to all but one local law enforcement agency in San Diego County and their quality of work, competitive market prices, close location and ability to provide one week turn-around for three police vehicles make them an ideal company to perform the required work. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby waive the competitive bidding process and authorize the Police Department to contract with American Emergency Products for police vehicle outfitting services. Presented by: David Bejarano Police Chief Approved as to form by: ~~ Bart Miesfeld City Attorney 13-4 TY COUNCIL STATEMENT ~,~,~ CITY OF CHULA VISTA 10/06/2009 Item ITEM TITLE: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING $346,395 FROM THE ORGANIZED CRIME DRUG ENFORCEMENT TASK FORCE PROGRAM TO SUPPORT REGIONAL OPERATIONS. SUBMITTED BY: CHIEF OF POLICE REVIEWED BY: CITY MANAGER 4/STHS VOTE: YES X NO SUMMARY The Police Department will receive $346,395 from the Organized Drug Crime Enforcement Task Force (OCDETF) and act as the fiduciary for operational costs associated with regional task force operations. The City will receive a 3% administrative fee for being the fiduciary agent. ENVIRONMENTAL REVIEW This proposed activity has been reviewed for compliance with the California Environmental Quality Act (CEQA) and it has been determined that the activity is not a "Project" as defined under Section 15378 of the State CEQA Guidelines because it will not result in a physical change in the environment; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines, the activity is not subject to CEQA. Thus, no environmental review is necessary. RECOMMENDATION Council adopt the resolution. BOARDS/COMMISSION RECOMMENDATION Not Applicable. DISCUSSION The Organized Crime Drug Enforcement Task Force (OCDETF) Program was established in 1982 to conduct comprehensive, multi-level attacks on major drug trafficking and money laundering organizations. Today, OCDETF combines the 14-1 10/06/2009, Item ~~ Page 2 of 2 resources and expertise of its member federal agencies which include: the Drug Enforcement Administration, the Federal Bureau of Investigation, the Bureau of Immigration and Customs Enforcement, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the U.S. Marshals Service, the Internal Revenue Service, and the U.S. Coast Guard - in cooperation with the Department of Justice Criminal Division, the Tax Division, and the 93 U.S. Attorney's Offices, as well as with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation's drug supply. As a participant in OCDETF and other similar task forces, the Chula Vista Police Department has developed an exceptionally productive working relationship with several allied federal, state and local agencies. These agencies have been the Department's counterparts in a variety of investigations, including money laundering, homicides, kidnapping and major drug investigations. One goal of the Police Department is to help disrupt the illegal drug activities occurring along the southwest United States/Mexican border within the County of San Diego, giving particular attention to cases involving the City of Chula Vista. Our participation has significantly increased arrests, narcotics and money seizures among large-scale drug traffickers, including several who operated in Chula Vista. The Police Department will receive $346,395 from OCDETF to act as a fiduciary for its operational costs. Similar to the HIDTA (High Intensity Drug Trafficking Area) Program, this funding is only available to local agencies, and the City will receive a 3% administrative fee for being the fiduciary agent. 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 18704.2(a)(1) is not applicable to this decision. CURRENT YEAR FISCAL IMPACT Approval of this resolution will result in an appropriation of $336,306 to the supplies and services category of the Police Grant Fund (fund 252) for operational costs during the 9- month period of 10/1/2009 to 6/30/2010. The funding from the OCDETF program includes the $336,306 expenditure reimbursement, along with a 3% administration fee. Consequently, there is a positive fiscal impact in the amount of $10,089 to the General Fund. ONGOING FISCAL IMPACT The Police Department anticipates receiving approximately $450,000 of OCDETF funding each fiscal year, which will result in an ongoing positive fiscal impact of $13,500 in subsequent years. ATTACHMENTS None. Prepared by: Jonathan Alegre, Principal Management Analyst, Police Department 14-2 RESOLUTION N0. ^ RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ` CHULA VISTA ACCEPTING $346,395 FROM THE ORGANIZED CRIME DRUG ENFORCEMENT TASK FORCE PROGRAM TO SUPPORT REGIONAL OPERATIONS WHEREAS, the Organized Crime Drug Enforcement Task Force (OCDETF) Program was established in 1982 to conduct comprehensive, multi-level attacks on major drug trafficking and money laundering organizations; and WHEREAS, as a participant in OCDETF and other similar task forces, the Police Department has developed an exceptionally productive working relationship with several allied federal, state and local agencies; and WHEREAS, the Police Department has been awarded $346,395 from OCDETF to act as a fiduciary for its operational costs; and WHEREAS, the funding from the OCDETF program includes the $336,306 expenditure reimbursement, along with a 3% administration fee of $10,089. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby accept $346,395 from Organized Crime Drug Enforcement Task Force Program and appropriate $336,306 to the Fiscal Year 2009/2010 Police Grants Fund supplies and services budget to support regional operations. Presented by: David Bejarano Police Chief Approved as to form by: c~~-- ,~ Bart Miesfeld City Attorney 14-3 TY COUNCIL STATEMENT ~~ CITY OF -~ CHULA VISTA 10/6/09, Item ~~ ITEM TITLE: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA GRANTING AN EASEMENT OVER A PORTION OF CITY OWNED LAND TO SAN DIEGO GAS & ELECTRIC COMPANY (SDG&E) FOR UTILITY AND ACCESS PURPOSES AS NECESSARY TO PROVIDE ELECTRICAL AND/OR GAS SERVICE TO THE PIMA MEDICAL INSTITUTE/ANIMAL CONTROL OFFICER COMPLEX A THE ANIMAL CONTROL FACILITY SUBMITTED BY: DIRECTOR OF PUBLIC WORKS ASSISTANT DIItECTO OF ENGINEE REVIEWED BY: CITY MANAGE ASSISTANT CIT ANAGER ~~ 4/STHS VOTE: YES ^ NO SUMMARY The construction of Pima Medical Institute (PMI)/Animal Control Officer (ACO) complex at the Animal Control Facility (ACF) is nearing completion. In order to provide power to the newly relocated buildings it is necessary to grant an easement to San Diego Gas & Electric (SDG&E) for underground power and communications facilities. ENVIRONMENTAL REVIEW The Environmental Review Coordinator has reviewed the proposed action for compliance with the California Environmental Quality Act (CEQA) and has determined that this action qualifies for a Class 5 categorical exemption pursuant to Section 15305 (Minor Alteration in Land Use Limitations) of the State CEQA Guidelines, because approval would not result in the granting of a utility easement over a portion of City owned land. Thus, no further environmental review is necessary. RECOMMENDATION Council adopt the resolution. BOARDS/COMMISSION RECOMMENDATION Not applicable. 15-1 10/6/09, Item ~5 Page 2 of 2 DISCUSSION PMI has partnered with the City of Chula Vista to expand and improve the ACF. Our agreement provides that site improvements be made to the vacant City-owned lot next to the ACF including a modular building, a pet exercise area, additional parking, security fencing and lighting, and interior furnishings and equipment at both the modular building and the existing facility. In order to complete this construction, it is necessary to provide an easement to SDG&E so that power can be made available to the site. A copy of the proposed easement is attached to this report. 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 that is the subject of this action. CURRENT FISCAL IMPACT None. ONGOING FISCAL IMPACT None. ATTACHMENTS 1. Easement Deed Prepared by: Rick Ryals, Real Property Manager, Public Works Dept. M:\Engineer\AGENDA\CAS2009\10-06-09\SDGE P[MA easement.doc 15-2 Recording Requested by San Diego Gas & Electric Company When recorded, mail to: San Diego Gas & Electric Company 8335 Century Pazk Court, Suite 100 San Diego, CA 92123-1569 Attn: Real Estate Records - CP11D ATTACHNT SPACE ABOVE FOR RECORDER'S USE Project No.: 957570-010 Const. No.: 500531 l/Service A.P. No.: 629-060-54 Transfer Tax None Sketch No.: OS-14397 SAN DIEGO GAS & ELECTRIC COMPANY EASEMENT THE CITY OF CHULA VISTA, a municipal corporation, (Grantor), grants to SAN DIEGO GAS & ELECTRIC COMPANY, a corporation {Grantee), an easement and right of way in, upon, over, under and across the lands hereinafter described, to erect, construct, change the size of, improve, reconstruct, relocate, repair, maintain and use facilities consisting of: Underground facilities and appurtenances for the transmission and distribution of electricity. 2. Communication facilities, and appurtenances. The above facilities will be installed at such locations and elevations upon, along, over and under the hereinafter described easement as Grantee may now or hereafter deem convenient or necessary. Grantee also has the right of ingress and egress, to, from and along this easement in, upon, over and across the hereinafter described lands. Grantee further has the right, but not the duty to clear and keep this easement clear from explosives, buildings, structures and materials. The property in which this easement and right of way is hereby granted is situated in the City of Chula Vista, County of San Diego, State of California described as follows: That portion of the Southwest Quarter of the Northwest Quarter of Section 23, Township 18 South, Range 2 West, San Bernardino Meridian as described in Deed recorded April 30, 1998 as Document No. 1998-0248752 of Official Records in the Off ee of the County Recorder of said County. t larte~'rlestrt ~,: 3!0?368' Rer.l 15-3 The easement in the aforesaid property shall be a strip of land, including all of the area lying between the exterior sidelines, which sidelines shall be five (5) feet, measured at right angles, on each exterior side of each and every existing facility and those facilities to be installed, the approximate location being shown and delineated as "UTILITY FACILITIES" on the Exhibit "A", attached hereto and made a part hereof. In order to provide adequate working space for Grantee, Grantor shall not erect, place or construct, nor permit to be erected, placed or constructed any building or other structure, park any vehicle, deposit any materials, plant any trees and/or shrubs or change ground elevation within eight {8) feet of the front of the door or hinged opening of any above ground facility installed within this easement. Grantor grants to Grantee the right to erect and maintain on Grantor's property immediately adjacent to this easement retaining walls and/or protective barricades as may be necessary for Grantee's purposes. Grantor shall not erect, place or construct, nor permit to be erected, placed or constructed, any building or other structure, plant any tree, drill or dig any well, within this easement. Grantor shall not increase or decrease the ground surface elevations within this easement after installation of Grantee's facilities, without prior written consent of Grantee, which consent shall not unreasonably be withheld. Grantor further grants to Grantee the right to assign any or all of the rights granted in this easement in whole or in part to other companies providing utility or communication facilities/services. Grantee shall have the right but not the duty, to trim or remove trees and brush along or adjacent to this easement and remove roots from within this easement whenever Grantee deems it necessary. Said right shall not relieve Grantor of the duty as owner to trim or remove trees and brush to prevent danger or hazard to property or persons. CONDUITS CARRY HIGH VOLTAGE ELECTRICAL CONDUCTORS, therefore Grantor shall not make or allow any excavation or fill to be made within this easement WITHOUT FIRST NOTIFYING SAN DIEGO GAS & ELECTRIC COMPANY BY CALLING (619) 696-2000, and OBTAINING PERMISSION. The legal description for this easement was prepared by San Diego Gas & Electric Company pursuant to Section 8730 of the Business and Professions Code, State of California. This easement shall be binding upon and inure to the benefit of successors, heirs, executors, administrators, pennittees, licensees, agents or assigns of Grantor and Grantee. ~:~;~~«r:d~,«: a ~ sror~bs R~~~. r 15-4 IN WITNESS WHEREOF, Grantor executed this instrument this day of .2U THE CIT'1'~ OF CHULA VISTA, a municipal corporation By: _ Title: By:_ Title: Drawn: Huffer / (957570-CVAnimal.doc) Checked SQli Date 08/10/09 STATE OF CALIFORNIA COUNTY OF )SS. On ,before me (name, title of officer}, appeared who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signatures} on the instrument the person(s), or the entity upon behalf of which the persons} acted, executed the instrument. I certify under PENALTY QF FERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature Her. ! 15-5 H15928 73017 ~ \ • N ~~ v ' ~ '~ Po r. S~V1/ NW 1/4 ~~ SEC 23 / ~ T18S R2W ¢~ S.B M. / 400A pone! ~177t / UTILITY FACILITIES D145200 P.M. 10674 11-6-80 80-375149 Cify of Chula Vista, a municipal corporation RFC: 4-30-98 X1998-0248752 629 06 SHT 1 OF 3 ~~~ r~~ 14ve UG ELEC. EXHIBIT "A" SAN DIEGD GAS & ELECTRIC ORIGINATOR: JHutter OK TO INSTALL: PROJECT N0. SAN DIEGO, CALIFORNIA SURVEYED BY: R W OK. 957570-010 NONE CONST N0 hula V1Sta Animal Contro DRAWN BY: DATE: . . JHutter SERVICE Fourth Ave & Beyer Way DATE: THOS BROS . . 08 10 2009 1330-DS DRAWING N0. Chula Vista scALE: NONE OS-1439'7 N0. SUPPLEMENTS DATE: 8Y APP'D 15-6 RESOLUTION 2009- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA GRANTING AN EASEMENT OVER A PORTION OF CITY OWNED LAND TO SAN DIEGO GAS & ELECTRIC COMPANY (SDG&E) FOR UTILITY AND ACCESS PURPOSES AS NECESSARY TO PROVIDE ELECTRICAL AND/OR GAS SERVICE TO THE PIMA MEDICAL INSTITUTE/ANIMAL CONTROL OFFICER COMPLEX AT THE ANIMAL CONTROL FACILITY WHEREAS, the City of Chula Vista is the fee owner of that certain real property situated in the City of Chula Vista, County of San Diego, State of California, identified as San Diego County Assessors Parcel No. 629-060-54; and WHEREAS, the City of Chula Vista is currently constructing the Pima Medical Institute (PMI)/Animal Control Officer (ACO) Complex at the Chula Vista Animal Control Facility (ACF); and WHEREAS, in order to complete this project an easement for utility purposes will be required by San Diego Gas & Electric across a portion of said City owned property. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby grant an easement over a portion of City owned land to San Diego Gas & Electric Company (SDG&E) for utility and access purposes as necessary to provide electrical and/or- gas service to the Pima Medical Institute/Animal Control Officer complex at the Animal Control Facility. BE IT FURTHER RESOLVED that the Mayor and City Clerk are hereby authorized to execute a deed granting the herein described easements on behalf of the City of Chula Vista to the San Diego Gas and Electric Company. Presented by Richard A. Hopkins Director of Public Works Approved as to form by Bart Miesfeld City Attorney 15-7 TY COUNCIL STATEMENT `~~ CITY OF CHULAVISTA OCTOBER 6, 2009, Item ITEM TITLE: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AN AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND THE SAN DIEGO COMMUNITY HOUSING CORPORATION FOR THE IMPLEMENTATION OF THE DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT NEIGHBORHOOD STABILIZATION PROGRAM AND AUTHORIZING THE CITY MANAGER TO EXECUTE THE AGREEMENT AND ANY NECESSARY DOCUMENTS SUBMITTED BY: DEPUTY ~~~'Y MANAGER /DEVELOPMENT SERVICES On March 3, 2009, Council approved and appropriated Neighborhood Stabilization Program funds that included a portion for acquiring and rehabilitating rental housing for very low income households. Staff has completed a selection process for an organization to provide these services and staff recommends that the Council approve entering into a contract with San Diego Community Housing Corporation. DIRECTO REVIEWED BY: CITY MANAGE 4/STHS VOTE: YES ~ NO ^X StiIMMARY ENVIRONMENTAL REVIEW The Environmental Review Coordinator has reviewed the proposed action for compliance with the National Environmental Policy Act (NEPA) due to the use of Federal funds and has determined that pursuant to Section 58.30 (b), Subpart D, Title 24 of the Code of Federal Regulations, further review and environmental determination as appropriate, will be required for each prof ect as it is identified. Thus, no further NEPA environmental review or documentation is necessary at this time. RECOMMENDATION Council adopt the resolution. BOARDS/COMMISSION RECOMMENDATION None. 16-1 October 6, 2009, Item l rU Page 2 of 3 DISCUSSION BACKGROUND On March 3, 2009, Council approved Neighborhood Stabilization Program (NSP) funds that included a portion for acquisition and rehabilitation of abandoned and foreclosed properties. Once acquired and rehabilitated by the City's partner, the units would be leased to very low income households. Tonight, staff is bringing forward the selected partner agency for this activity for City Council consideration and approval. On April 24, 2009, a Request for Qualifications (RFQ) was issued for agencies interested in acquiring and rehabilitating foreclosed or abandoned properties to rent to very low- income qualified households utilizing NSP funds. The goal of the NSP program under this activity is to create permanent rental housing for very low income households using the $1,000,000 appropriated for this NSP activity. The agency selected partner will assist the City in identifying the best method for leveraging NSP funds with other special needs or low income housing funding opportunities. The City received five (5) proposals from the following applicants: 1. Casa Familiar 2. Community HousingWorks 3. Pacific Southwest Community Development Corporation and Southern California Housing Collaborative 4. San Diego Community Housing Corporation 5. South Bay Community Services A selection committee reviewed the applications and conducted interviews. Based on the applications received, San Diego Community Housing Corporation was selected as an agency with extensive experience for this type of project and one that can best meet the goals and objectives of the City's Neighborhood Stabilization Program Plan. Project Scope and Contractual Requirements As proposed, the services to be provided by San Diego Community Housing Corporation are generally performed in eight phases: (1) identify properties, (2) conduct financial feasibility, (3) submit to the City a pro forma for review and approval, (4) make an offer on a property, close escrow, and record City's affordable housing loan documents securing the City's financial interest (5} complete acquisition, (6) complete any rehabilitation needed for occupancy, (7) market the units to eligible households, and (8) manage the property during the affordability period. 16-2 October 6, 2009, Item Page 3 of 3 DECISION MAKER CONFLICT Staff has reviewed the property holdings of the City Council and has found that three conflicts exist, in that Councilmembers Castaneda, Thompson, and Bensoussan have property holdings within 500 feet of the boundaries or within the target neighborhoods which are the subject of this action. Due to identified conflicts during the initial target area development, City staff requested a written opinion from the Fair Political Practices Commission ("FPPC"). In response, the FPPC opined that Councilmembers could participate in the decision on this matter because, "it does not appear foreseeable that the decision to appropriate HUD funds will have a material financial effect (on a council member)." Based on the information in said FPPC letter Castaneda and Bensoussan do not have a conflict. However, staff has identified that Councilmember Thompson has a separate conflict of interest. FISCAL IMPACT Current There is no fiscal impact by tonight's action Council on March 24, 2009. NSP funds were previously appropriated by Ongoing There are no ongoing fiscal impacts as the program is revenue offset by the grant funds. Prepared by: Jose Dorado, Project Coordinator II, Development Services Department, Housing Division 16-3 RESOLUTION NO. 2009- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AN AGREEMENT BETWEEN TI-IE CITY OF CIgULA VISTA AND THE SAN DIEGO COMMUNITY HOUSING CORPORATION FOR THE IMPLEMENTATION OF THE DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT NEIGHBORHOOD STABILIZATION PROGRAM AND AUTHORIZING THE CITY MANAGER TO EXECUTE THE AGREEMENT AND ANY NECESSARY DOCUMENTS WHEREAS, the City of Chula Vista will receive $2,830,072 of which $1,000,000 is earmarked for the creation of permanent rental housing for very low-income households under the Neighborhood Stabilization Program (NSP); and WHEREAS, in January, 2009, HUD approved the City's Amended 2008-2009 Annual Action Plan containing the proposed activities to be funded with NSP funds, including the Acquisition and Rehabilitation of Foreclosed or Abandoned Property for the creation of permanent rental housing for very low-income households; and WHEREAS, the City issued a Request for Qualifications on April 24, 2009 and received five (5) applications from various agencies to partner with the City to utilize Neighborhood Stabilization Program funds in accordance with the City's NSP Plan for the creation of Permanent Rental Housing for very low-income households; and WHEREAS, San Diego Community Housing Corporation was selected by the selection committee as best suited to carry out this activity; and NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista approves the Agreement between the City of Chula Vista and the San Diego Community Housing Corporation to provide permanent rental housing for low income-households within NSP eligible target areas and authorizes the City Manager to execute the Agreement and any documents necessary to secure the City's financial interest. Presented by: Approved as to form by: James D. Sandoval City Manager Bart C. Miesfeld City Attorney 16-4 THE ATTACHED AGREEMENT HAS BEEN REVIEWED AND APPROVED AS TO FORM BY THE CITY ATTORNEY'S OFFICE AND WILL BE FORMALLY SIGNED UPON APPROVAL BY THE CITY COUNCIL ~~~~ Bart C. Miesfeld City Attorney Dated: Agreement between the San Diego Community Housing Corporation and The City of Chula Vista for Management and Implementation of A Neighborhood Stabilization Program Project 16-5 ~~(t~ ~~ cnv of CHULA VISfA AGREEMENT BY AND BETWEEN THE CITY OF CHULA VISTA AND SAN DIEGO COMMUNITY HOUSING CORPORATION FOR MANAGEMENT AND IMPLEMENTATION OF A NEIGHBORHOOD STABILIZATION PROGRAM This Contract Number by and between San Diego Community Housing Corporation (hereinafter referred to as "Developer") and the City of Chula Vista (hereinafter referred to as "City") is effective on ("Effective Date"). WITNESSETH: WHEREAS, the Neighborhood Stabilization Program (NSP), authorized under Title III of Division B of the Housing and Economic Recovery Act of 2008 (HERA), is a special allocation of Community Development Block Grant (CDBG) funds targeted at acquisition, rehabilitation of foreclosed and abandoned properties in eligible neighborhoods; and WHEREAS, the Department of Housing and Urban Development described regulatory requirements in Federal Register Notice (FR-5255-N-O1) dated October 6, 2008, and amended such requirements by Federal Register Notice (FR-5255-N-02) Notice of Allocations, Application Procedures, Regulatory Waivers Granted to and Alternative Requirements for Emergency Assistance for Redevelopment of Abandoned and Foreclosed Homes Grantees under the Housing and Economic Recovery Act, 2008; and WHEREAS, the City, is authorized to apply for and accept Neighborhood Stabilization Program Grant funds; and WHEREAS, City incorporated the use of Neighborhood Stabilization Program funds described in Attachment "A" hereof (hereinafter referred to as the "Project") into the City's Community Development Block Grant/HOME Investment Partnership/Emergency Shelter Grant Annual Funding Plan Amendment which was submitted to the U.S. Department of Housing and Urban Development (HUD); and WHEREAS, HUD has approved the City Annual Funding Plan Amendment for the Neighborhood Stabilization Program; and WHEREAS, Neighborhood Stabilization Program funds are generally construed as CDBG program funds, subject to CDBG program requirements (unless superseded by HERA) and is considered a special allocation of Fiscal Year (FY) 2008 CDBG funding; and, ~c_c NSP Developer Agreement Pagel of 20 WHEREAS, it is the desire of the Developer and the City that the Project be implemented by the Developer; and WHEREAS, the Developer shall undertake the same obligations to the City with respect to the Project in the City's aforesaid Amendment to the Annual Funding Plan for participation in the Neighborhood Stabilization Program; NOW THEREFORE, IT IS AGREED AS FOLLOWS: 1. WORK TO BE PERFORMED: Developer shall implement the scope of work ("Scope of Work") described in Attachment A, hereof fully and in accordance with the terms of the Annual Funding Plan Amendment approved by the City and submitted to HUD in application for NSP funds to carry out the Project and the Certifications which were submitted concurrently with the Annual Funding Plan Amendment. The Annual Funding Plan and Certifications form is hereby incorporated by reference into this contract fully as if set forth herein. Developer shall also undertake the same obligations to the City that the City has undertaken to HUD pursuant to said Annual Funding Plan Amendment and Certifications. The obligations undertaken by Developer include, but are not limited to, the obligation as applicable comply with each of the following as may be amended from time to time and be amended for specific Neighborhood Stabilization Program activities described in Federal Register Notices FR-5255-N-O1 and FR-5255-N-02: a. HERA alternative requirements to provisions under Title I of the Housing and Community Development Act of 1974 (Public Law 93-383, as amended, 42 USC § 5301, et seq.), as amended, except for requirements related to fair housing, nondiscrimination, labor standards, and the environmental (including lead-based paint), in accordance with the terms of section 2301 of HERA and for the sole purpose of expending the use of grant funds; b. HUD regulations relating to Community Development Block Grants (24 CFR 570.1, et seq.) unless superseded by HERA; c. The regulations in 24 CFR Part 58 specifying other provisions of the law that further the purposes of the National Environmental Policy Act of 1969 and the procedures by which grantees must fulfill their environmental responsibilities; d. Title VI of the Civil Rights Act of 1964 (42 USC § 2000d); Title VII of the Civil Rights Act of 1964 (Public Law 88-352); Title VIII of the Civil Rights Act of 1968 (Fair Housing Act, 42 USC § 3601, et seq.); Section 109 of the Housing and Community Development Act of 1974; Executive Order 1 1246, as amended (equal employment opportunity); Executive Order 1 1063 (non-discrimination), as amended by Executive Order 12259; and any HUD regulations heretofore issued or to be issued to implement these authorities relating to civil rights; e. Section 3 of the Housing and Urban Development Act of 1968, as amended, 12 U.S.C. 1701 u. NSP Developer Agreement Paget of 11 All section 3 covered contracts shall include the following clause (referred to as the "section 3 clause"): i. The work to be performed under this contract is subject to the requirements of section 3 of the Housing and Urban Development Act of 1968, as amended, 12 U.S.C. 1701 u (section 3). The purpose of section 3 is to ensure that employment and other economic opportunities generated by HUD assistance or HUD-assisted projects covered by section 3, shall, to the greatest extent feasible, be directed to low- and very low-income persons, particularly persons who are recipients of HUD assistance for housing. ii. The parties to this contract agree to comply with HUD's regulations in 24 CFR part 135, which implement section 3. As evidenced by their execution of this contract, the parties to this contract certify that they are under no contractual or other impediment that would prevent them from complying with the part 135 regulations. iii. The Developer agrees to send to each labor organization or representative of workers with which the Developer has a collective bargaining agreement or other understanding, if any, a notice advising the labor organization or workers' representative of the Developer's commitments under this section 3 clause, and will post copies of the notice in conspicuous places at the work site where both employees and applicants for training and employment positions can see the notice. The notice shall describe the section 3 preference, shall set forth minimum number and job titles subject to hire, availability of apprenticeship and training positions, the qualifications for each; and the name and location of the person(s) taking applications for each of the positions; and the anticipated date the work shall begin. iv. The Developer agrees to include this section 3 clause in every subcontract subject to compliance with regulations in 24 CFR part 135, and agrees to take appropriate action, as provided in an applicable provision of the subcontract or in this section 3 clause, upon a finding that the sub-contractor is in violation of the regulations in 24 CFR part 135. The Developer will not subcontract with any sub-contractor where the Developer has notice or knowledge that the sub contractor has been found in violation of the regulations in 24 CFR part 135. v. The Developer will certify that any vacant employment positions, including training positions, that are filled (1) after the Developer is selected but before the contract is executed, and (2) with persons other than those to whom the regulations of 24 CFR part 135 require employment opportunities to be directed, were not filled to circumvent the Developer's obligations under 24 CFR part 135. vi. Noncompliance with HUD's regulations in 24 CFR part 135 may result in sanctions, termination of this contract for default, and debarment or suspension from future HUD assisted contracts. vii. With respect to work performed in connection with section 3 covered Indian housing assistance, section 7(b) of the Indian Self-Determination and Education Assistance Act (25 U.S.C. 450e~ also applies to the work to be performed under this contract. Section 7(b) requires that to the greatest extent feasible (i) preference and opportunities for training and employment shall be given to Indians, and (ii) preference in the award of contracts and subcontracts shall be given to Indian organizations and NSP Developer Agreement Page3 of 11 Indian-owned Economic Enterprises. Parties to this contract that are subject to the provisions of section 3 and section 7(b) agree to comply with section 3 to the maximum extent feasible, but not in derogation of compliance with section 7(b). f. The Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1979, 42 USC § 4601, et seq., and regulations adopted to implement that Act in 49 CFR Part 24; except as those provisions are modified by the Notice for the NSP Program published by HUD. g. Office of Management and Budget ("OMB") Circular A-122 entitled "Cost Principles for Non-Profit Organizations"; OMB Circular A-133 entitled "Audits of States, Local Governments, and Non-Profit Organizations"; and OMB Circular A-110 entitled "Uniform Administrative Requirement for Grants and Agreements with Institutions of Higher Education, Hospitals, and Other Non- profit Organizations." h. Grant administration requirements as described in 24 CFR 570.504 and CDBG program income requirements at 24 CFR Part 570.500(a) shall apply to the amounts received by the City. Developer shall equally share any net operating income earned (i.e. residual receipts) by Developer in carrying out the activities of this Contract with the City. Residual Receipts and Program Income must be used for a NSP eligible activity. Upon expiration of this Contract, Developer shall transfer to the City any Neighborhood Stabilization Community Development Block Grant funds on hand at the- time of expiration and any accounts receivable attributable to the use of Neighborhood Stabilization Community Development Block Grant funds. Any real property under Developer's control acquired or improved in whole or in part with Community Development Block Grant funds will be used to meet one of the Neighborhood Stabilization Program National Objectives, as defined in 24 CFR 570.208, and outlined in the City of Chula Vista Annual Funding Plan Amendment (i.e. NSP Plan); 24 CFR 570.505 concerning use of real property; The following laws and regulations relating to preservation of historic places: National Historic Preservation Act of 1966 (Public Law 89-665); the Historical and Archaeological Preservation Act of 1974 (Public Law 93-291); and Executive Order 1 1593; k. The Labor Standards Regulations set forth in 24 CFR 570.603; I. Labor Code section 1771 concerning prevailing wages; m. The Hatch Act relating to the conduct of political activities (5 U.S.C. § 1501, et seq.); n. The Flood Disaster Protection Act of 1973 (42 U.S.C. § 4001, et seq., and the implementing regulations in 44 CFR Parts 59-78); o. The Rehabilitation Act of 1973 (Public Law 93-112) as amended, including NSP Developer Agreement Page4 of 11 Section 504 which relates to nondiscrimination in federal programs and HUD 24 CFR Part 8; p. The Clean Air Act (42 U.S.C. § 7401, et seq.) and the Federal Water Pollution Control Act, as amended (33 U.S.C. § 1251, et seq.) and the regulations adopted pursuant thereto (40 CFR Part 6); q. The Drug-Free Workplace Act of 1988 (Public Law 100-690); The Lead-Based Paint Poisoning Prevention Act, the Residential Lead-Based Paint Hazard Reduction Act of 1992, and implementing regulations at 24 CFR Part 35; No member, officer or employee of the Developer, or its designee or agents, no member of the governing body of the locality in which the program is situated, and no other public official of such locality or localities who exercises any functions or responsibilities with respect to the program during his/her tenure or for one year thereafter, shall have any interest, direct, or indirect, in any contract or subcontract, or the process thereof, for work to be performed in connection with the program assisted under the Grant, and that it shall incorporate, or cause to be incorporated, in all such contracts or subcontracts a provision prohibiting such interest pursuant to the purposes of this certification. The Developer certifies, that in accordance with Section 319 of Public Law 101-121, to the best of his or her knowledge and belief that: No federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of any agency, a member of Congress, an officer or employee of Congress, in connection with the awarding of any federal contract, the making of any federal grant, the making of any federal loan, the entering into of any cooperative contract, and the extension, continuation, renewals, amendment, or modifications of any federal contract, grant loan, or cooperative contract. ii. If any funds other than federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a member of Congress, or an employee of a member of Congress in connection with this federal contract, grant, loan, or cooperative contract, the undersigned shall complete and submit Standard Form-LLL, "Disclosure Form to Report Lobbying", in accordance with its instructions. u. The Architectural Barriers Act of 1968 (42 U.S.C. § 4151, et seq.); v. The Americans with Disabilities Act (42 U.S.C. § 12101); and w. The bonding requirements described in 24 CFR Part 85.36 required for construction or facility improvement contracts or subcontracts that exceed the simplified acquisition threshold (defined at 41 U.S.C. 403(11)). These requirements are further described in Attachment A, which is attached NSP Developer Agreement Pages of 11 hereto and incorporated by reference. x. Developer shall hold City harmless and indemnify City against any harm that it may suffer with respect to HUD on account of any failure on the part of the Developer to comply with the requirements of any such obligation. 2. COMPLIANCE WITH LAWS: Developer shall comply with all applicable local, state, and federal laws, regulations, ordinances, and City Policies when performing the work required by this Contract. 3. COMPENSATION: City shall reimburse Developer up to 10~ for a developer fee for the portfolio of projects (rental units) assistance and with reasonable gap financing expenses it incurs for work performed under this Contract. Total reimbursement (developer fee and gap financing) shall not exceed $1,000,000. Developer shall not submit claims to the City nor shall City reimburse Developer for costs for which Developer is reimbursed from a source other than the funds allocated for work under this Contract. 4. COMPENSATION SCHEDULE: City shall pay Developer monthly progress payments upon submittal by Developer of a certified statement of actual expenditures incurred, provided, however, that not more than 90% of the total agreed compensation will be paid during the performance of this Contract. The balance due shall be paid upon certification by Developer that all of the required services have been completed. Payment by City is not to be construed as final in the event HUD disallows reimbursement for the project or any portion thereof. The 10% retention will not apply to acquisition or service contracts. 5. INDIRECT COSTS: If indirect costs are charged, the Developer will develop an indirect cost allocation plan for determining the appropriate Developer's share of administrative costs and shall submit such plan to the City for approval. 6. EXPENDITURE STANDARD: To insure effective administration and performance of approved Neighborhood Stabilization Program projects and to meet HUD performance standards, Developer shall demonstrate reasonable progress on implementation of the project, expending all contracted funds within the term of the contract. In the event all funds are not expended within the term period, the City shall notify the Developer of the expenditure deficiency. Developer will have a total of 30 days from the date of the City's written notification to correct the deficiency. If the deficiency is not corrected within that time, Developer agrees that the City may reallocate the amount of the expenditure deficiency. TERM: This contract shall commence when executed by the parties and shall continue in effect until terminated as provided herein or until Developer has carried out all its obligations under the contract. Services of the Developer shall start on the lit day of September 2009 and end on the 30th day of June of 2010. With City approval, the term of this Agreement and the provisions herein shall be extended to cover any additional time period during which the Developer remains in control of NSP/CDBG funds or other NSP/CDBG assets, including program income. 8. TERMINATION FOR CONVENIENCE: The City may permit the agreement to be NSP Developer Agreement Page6 of 1 1 terminated for convenience in accordance with 24 CFR 85.44. 9. AUTOMATIC TERMINATION: This Contract shall terminate at the discretion of the City if the United States Government terminates the Neighborhood Stabilization Community Development Block Grant Program or terminates the Project that is the subject of this Contract. 10. TERMINATION OF CONTRACT FOR CAUSE: Developer and City recognize that the City is the governmental entity which executed the grant agreement received pursuant to the City's application and that City is responsible for the proper performance of the Project. If Developer fails to fulfill in a timely and proper manner its obligations under this Contract to undertake, conduct or perform the Project identified in this Contract, or if Developer violates any state laws or regulations or local ordinances or regulations applicable to implementation of the Project, or if Developer violates any provisions of this contract, City shall have the right to terminate this contract by giving at least five days written notice to Developer of the effective date of termination. Even if City terminates the Contract, Developer shall remain liable to City for all damages sustained by City due to Developer's failure to fulfill any provisions of this Contract, and City may withhold any reimbursement payments form Developer for the purpose of set-off until the exact amount of damages due to City from Developer is determined. Developer hereby expressly waives any and all claims for damages for compensation arising under this contract except as set forth in this section in the event of such termination. The City may also, in lieu of termination and at its discretion, take any action, as stated in 24 CFR 85.43, subdivision (a), sections 1 to 5, to enforce this Agreement. 1 1. CONTRACT ADMINISTRATION: The Housing Manager of the City of Chula Vista shall administer this Contract on behalf of the City. The Chief Executive Officer of the San Diec1o Community Housing Corporation shall administer this contract on behalf of the Developer. Within a reasonable time after the City makes a request, Developer shall give the City progress reports or other documentation as required by the City's Administrator to audit Developer's performance of this Contract. 12. RECORDS AND REPORTS: The Developer shall maintain records and make such reports as required by the City of Chula Vista to, but not limited to, enable the City to analyze Developer's project. All records of the Developer related to this Contract or work performed under the Contract shall be open and available for inspection by HUD and/or City monitors and auditors during normal business hours. 13. RETENTION: The Developer shall retain all financial records, supporting documents, statistical records, and all other records pertinent to the Agreement for a period of five (5) years. The retention period begins on the date of the submission of the Grantee's annual performance and evaluation report to HUD 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 NSP Developer Agreement Pagel of 1 1 until completion of the actions and resolution of all issues, or the expiration of the five-year period, whichever occurs later. 14. DATA: The Developer shall maintain data demonstrating eligibility (low- moderate locations) for services provided. Such data shall include, but not be limited to exact location of the work performed, and a description of service provided. Such information shall be made available to City monitors or their designees for review upon request. 15. DISCLOSURE: The Developer understands that client information collected under this contract is private and the use or disclosure of such information, when not directly connected with the administration of the City's or Developer's responsibilities with respect to services provided under this contract, is prohibited by the state of Federal law privacy laws unless written consent is obtained from such person receiving service and, in the case of a minor, that of a responsible parent/guardian. 16. QUARTERLY REPORTS/ANNUAL REPORT: Developer shall provide the City with a quarterly report, submitted no later than 15 days after the last day of the previous quarter, which includes a narrative of the services provided, progress towards meeting the timeline goals stated in the contract, and an itemized accounting of the expenditures of CDBG funds during the previous quarter. Failure to submit quarterly reports in a timely manner will result in withholding of CDBG funds until the report has been submitted. Quarterly Performance Reports are due October 15 (lst Quarter), January 15 (2~d Quarter), April 15, (3~d Quarter) and July 15 (4th Quarter). The Annual Performance Report will also be due July 15. 17. INDEMNIFICATION: City shall not be liable for, and Developer 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 Developer or its officers, employees, agents, Developers, licensees or servants, contractors or subcontractors, including without limitation, claims caused by the concurrent act, error, omission or negligence, whether active or passive, of City, and/or its agents, officers, employees or volunteers. However, Developer shall have no obligation to defend or indemnify City from a claim if it is determined by a court of competent jurisdiction that such claim was caused by the sole negligence or willful misconduct of City or its agents or employees. Developer and its successors, assigns, and guarantors, if any, jointly and severally agree to indemnify, defend (with counsel selected by City) reimburse and hold City and its officers, employees and agents harmless from any claims, judgments, damages, penalties, fines, costs, liabilities (including sums paid in settlement of claims) or loss, including attorneys' fees, consultant's fees, and experts' fees which arise during or after the contract term for any losses incurred in connection with investigation of site conditions, or any cleanup, remedial, removal or restoration work required by any hazardous materials laws because NSP Developer Agreement Page8 of 11 of the presence of hazardous materials, in the soil, ground water or soil vapors on the premises, and the release or discharge of hazardous materials by Developer during the course of any alteration or improvements of the Premises by Developer, unless hazardous materials are present solely as a result of the gross negligence or willful misconduct of City, its officers, employees or agents. The indemnification provided by this section shall also specifically cover costs incurred in responding to: a. Hazardous materials present or suspected to be present in the soil, ground water to or under the Property before the commencement date; b. Hazardous materials that migrate, flow, percolate, diffuse, or in any way move on to or under the Property following the commencement date; c. Hazardous materials present on or under the Property as a result of any discharge, release, dumping, spilling (accidental or otherwise), onto the Property during or after the term of this Contract by any person, corporation, partnership or entity other than City. Funding from this program is a result of a Federal Grant, should Federal funding be terminated for any reason, City is not liable for any consequence of any type resulting directly or indirectly from the termination of federal funding and Developer agrees, in addition to any other indemnification provision set forth in this agreement, to indemnify, hold harmless, and defend the City against any claim, cause of action, or any form of liability as a result of, directly or indirectly, funding termination. The foregoing indemnities shall survive the expiration or termination of the contract any or any transfer of all or any portion of the Premises, or of any interest in this Contract and shall be governed by the laws of the State of California. 18. AUDIT COSTS: Developer shall reimburse City for all costs incurred to investigate and audit Developer's performance of its duties under the Contract if Developer is subsequently 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 Developer under this Contract. 19. ENTIRE AGREEMENT: This Contract and referenced Attachments and Exhibits constitutes the entire agreement of the parties and supersedes any previous oral or written understandings or contracts related to the matters covered herein. 20. MODIFICATION. This Contract may not be modified except by written amendment executed by each party. 21. ACKNOWLEDGEMENT OF FUNDING: Developer shall identify the City of Chula Vista as the source of funding, or, if applicable, one of the sources of funding in public announcements that are made regarding the Project. Acknowledgement of the City's funding roles, for example, should be included in publicity materials related to the Project. In addition, Developer agrees that the NSP Developer Agreement Page9 of 11 City shall be apprised of any special events linked to the Project so that a review can be made on what role, if any, the City would assume. 22. INSURANCE: Developer agrees to comply with the insurance requirement set forth in Attachment "B" and/or any additional insurance requirements requested by the City, as the City deems appropriate. Failure to acquire and maintain the required insurance is a basis to take an enforcement action, or terminate this agreement. 23. NO WAIVER: No failure, inaction, neglect or delay by City in exercising any of its rights under this Contract shall operate as a waiver, forfeiture or abandonment of such rights or any other rights under this Contract. 24. NOTICE: Any notice or notices required or permitted to be given pursuant to this Contract shall be personally served by the party giving notice or shall be served by certified mail. Notices shall be sufficient if personally served on or if sent by certified mail, postage prepaid, addressed to: Developer: City: San Diego Community Housing Corp. City of Chula Vista Chief Executive Officer Housing Manager 6160 Mission Gorge Road., Suite 204 276 Fourth Avenue San Diego, CA 92120 Chula Vista, CA 91910 IN WITNESS WHEREOF, the Parties have executed this contract as of the date first written above. CITY OF CHULA VISTA James D. Sandoval, City Manager, City of Chula Vista APPROVED AS TO FORM Bart Miesfeld City Attorney ATTEST City Clerk NSP Developer Agreement Page10 of 11 IN WITNESS WHEREOF, the Parties have executed this contract as of the date first written above. CITY OF CHULA VISTA James D. Sandoval, City Manager, City of Chula Vista APPROVED AS TO FORM Bart Miesfeld City Attorney ATTEST City Clerk SAN DIEGO COMMUNITY HOUSING y CORPORATION ~i.-~-1 J. bert St. Germain, ief Executive Officer Attachment A: Scope of Work Attachment B: Insurance Requirements Attachment C: Income Limits Attachment D: Disclosure Form Exhibit 1: Deed of Trust Exhibit 2: Note Secured by Deed of Trust Exhibit 3: Declaration of Covenants, Conditions, and Restrictions (NSP Program) NSP Developer Agreement Page 11 of 1 1 16-16 ATTACHMENT "A" SCOPE OF WORK SAN DIEGO COMMUNITY HOUSING CORPORATION (DEVELOPER) has a certain project to be implemented with Neighborhood Stabilization Program (NSP) Community Development Block Grant (CDBG) Program funds. The work to be accomplished includes the following: Developer: • Shall utilize Neighborhood Stabilization Program (NSP) funding for purchase and rehabilitation of foreclosed and abandoned properties for use of permanent rental housing in NSP eligible areas and provide project management and oversight of services for certain aspects of the NSP, including management and maintenance of affordable rental properties, hereinafter referred to as "Project(s)." • Shall perform a subsidy layering analysis to determine financial feasibility of the project factoring in affordability period and rent levels as described in the City NSP Plan. • Obtain additional financing to finance the acquisition and/or rehabilitation. • NSP funds will be available for gap financing. • Submit information of each proposed property to be acquired with NSP funds for City review and approval prior to acquisition. • Shall negotiate a discount purchase price (minimum 1 % of appraised value) for certain identified abandoned and/or foreclosed residential properties from lenders/property owners in accordance with NSP guidelines, and shall perform due diligence to ensure that all properties acquired have clear marketable title. • Properties purchased, rehabilitated, and leased under this agreement may only be used to benefit eligible households earning less than fifty 50% (percent) of the Area Median Income (AMI) and at Home Investment Partnerships Program rent levels as defined in 24 CFR Part 92.252(a), (c), (e) and (f), and 92.254, as defined by the NSP and the City's Annual Funding Plan Amendment. • The cost of acquisition and/or rehabilitation of properties purchased under the NSP are eligible expenses under this agreement. • Shall carry out the Project under this Agreement in accordance with the guidelines and regulations of the Neighborhood Stabilization Program as authorized under Title III of Division B of the Housing and Economic Recovery Act of 2008 (HERA), as amended. • Shall use the City of Chula Rehabilitation Standards and at a minimum comply with applicable laws, codes, and other requirements relating to health and safety, quality, and habitability in order to rent such homes and properties. • Shall obtain any needed permits from the City of Chula Vista. • Will competitively bid the rehabilitation and submit a copy of the bid package and specifications for City review and approval. The project shall be advertised to solicit the most responsive and responsible bidder. Developer shall notify potential bidders that this is a federally funded NSP project that includes local, Federal, and State requirements. The applicable Davis-Bacon decision rate shall be included in the bid package, if applicable. • Check the Excluded Parties List to ensure Contractors are not debarred or NSP Developer Agreement Attachment "A" 1 6-1 7 Pagel of 20 suspended. • Developer shall incumber the title to the NSP eligible affordable housing project(s) using the City's Deed of Trust (Exhibit 1), Note Secured By Deed of Trust (Exhibit 2), and Declarations of Covenants, Conditions and Restrictions (Exhibit 3) to be recorded at time of escrow securing the City's financial and property interest in the project(s) and affordability period (minimum 55 years). • With regard to the NSP eligible affordable housing project(s), Developer shall execute and use, be bound by and abide by the terms of, and cause to be encumbered the title of property acquired under the Project(s) as stated in the attached City's Deed of Trust (Exhibit 1), Note Secured By Deed of Trust (Exhibit 2), and Declarations of Covenants, Conditions and Restrictions (Exhibit 3) to be recorded at time of escrow securing the City's financial interest in the project(s) and affordability period (minimum 55 years). Exhibits 1 Ito 3 are hereby incorporated by reference into this agreement. City: • The City will provide Developer with a reasonable developer fee (not to exceed 10% of total portfolio of assisted projects), related to NSP-assisted housing rehabilitation or construction activities, at a level approved by the City. • The City shall provide Developer with Deed of Trust (Exhibit 1), Promissory Note (Exhibit 2), and Covenant Agreement (Exhibit 3) to be recorded at time of escrow securing the City's financial interest in the project(s) and affordability period (minimum 55 years). • The City shall provide the Voluntary Acquisition form to acquire properties using NSP funds. • City shall provide Developer with maps of NSP eligible areas as approved by the Department of Housing and Urban Development. • City shall provide technical assistance to Developer to ensure NSP program is carried out successfully and in compliance with HUD regulations. The Scope of Services outlined above shall not be altered without written approval of the City. Performance Measurement: Create a minimum of 4 rental units serving households earning less than 50% of the Area Median Income for the City of Chula Vista. CDBG National Objective: Very Low Income Residents at or below 50 (%) Percent Area Median Income A. TIME SCHEDULE: DEVELOPER will make all good faith and reasonable efforts to fullfill the project by June 30, 2010, or earlier. B. BUDGET: DEVELOPER shall make all good faith and reasonable efforts to complete the work under this Contract within the following budget. In no case shall DEVELOPER be entitled to, nor shall City reimburse DEVELOPER, more than 10% developer fee and not more than $1,000,000 for work performed under this Contract. 1 6-18 Attachment "A" -Scope of Work Page 2 of 3 In addition to the required quarterly reports identified in Section 12 of this CONTRACT, the Developer shall document all clients served to ensure that at least 51 percent of those served are at or below 50 percent of the Area Median Income as established by the U.S. Department of Housing and Urban Development (HUD). This information is to be collected and compiled semi-annually and submitted to the City each January 15 and July 15 during the affordability period and shall be submitted to the City of Chula Vista Development Services Department -Housing Division upon receipt of a written request and at the time of any monitoring of project records. Developer shall also submit to the City in a timely manner other reports as requested/required by HUD and/or the City including, but not limited to Contractor/Subcontractor: Semi-Annual Labor Standards Enforcement Reports (HUD- 4710), Annual Minority Business Enterprise Activity Reports (HUD-2516), Section 3 Reports (HUD-60002) and provide, as requested by HUD and/or the City, information necessary to prepare the Grantee Consolidated Annual Performance and Evaluation Report (CAPER), Consolidated Plan, Annual Plan and other such reports and/or plans. Attachment "A" -Scope of Work 16-19 Page 3 of 3 ATTACHMENT "B" INSURANCE REQUIREMENTS Contractor/Developer 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 Developer/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. Minimum Scope of Insurance Coverage must be at least as broad as: 1. Insurance Services Office Commercial General Liability coverage (occurrence Form CG0001) 2. Insurance Services Office Form Number CA 0001 covering Automobile Liability, codel (any auto). 3. Workers' Compensation insurance as required by the State of California and Employer's Liability Insurance. Minimum Limits of Insurance Developer/Contractor must maintain limits no less than: 1. General Liability: $1,000,000 per occurrence for bodily injury, personal injury and (Including operations, property damage. If Commercial General Liability insurance products and completed with a general aggregate limit is used, either the general operations, as applicable.) aggregate limit must apply separately to this project/location or the general aggregate limit must be twice the required occurrence limit. 2. Automobile Liability: $1,000,000 per accident for bodily injury and property damage. 3. Workers' Compensation Statutory Employer's Liability: $1,000,000 each accident $1,000,000 disease-policy limit $1,000,000 disease-each employee Deductibles and Self-Insured Retentions Any deductibles orself-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 orself-insured retentions as they pertain to the City, its officers, officials, employees and volunteers; or the Developer/Contractor 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, the worker's compensation policies are to contain, or be endorsed to contain, the following provisions: 1. The City of Chula Vista, its officers, officials, employees, agents, and volunteers are fo be named as additional insureds with respect fo liability arising out of automobiles owned, leased, hired or borrowed by or on behalf of the Developer/contractor, where applicable, and, with respect to liability arising out of work or operations performed by or on behalf of the Developer/contractor 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 Attachment "B" -Insurance Requirements 1 6-20 Page 1 of 2 Developer's/contractor's insurance using ISO CG 2010 (11 /85) or its equivalent. Specifically, the endorsement must not exclude Products /Completed Operations coverage. 2. The Developer's/contractor's 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 Developer/contractor and in no way relieves the Developer/contractor from its responsibility to provide insurance. Each insurance policy required by this clause must be endorsed to state that coverage will not be canceled by either party, except offer 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. Developers/Contractor'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. 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 Developer/Contractor 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 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 Developer/Contractor must include all subcontractors as insureds under its policies or furnish separate certificates and endorsements for each subcontractor. All coverage for subcontractors are subject to all of the requirements included in these specifications. Attachment "B" -Insurance Requirements Page 2 of 3 16-21 Bonding Requirements Prior to commencement of rehabilitation, Developer shall file with the City on the approved forms, the surety bonds in the amounts and for the purposes noted below. The surety must posses a minimum rating from A.M. Best Company of A-VII. and be listed as an acceptable surety on federal bonds by the United States Department of the Treasury. Developer shall pay all premiums and costs thereof and incidental thereto, as security for payment of persons named in California Civil Code- Section 3181 or amounts due under Unemployment Insurance Code with respect to Work or Labor performed by any such claimant. All alterations, time extensions, extra and additional work, and other changes authorized by the Specifications, or any part of the Contract, may be made without securing consent of the surety or sureties on the contract bonds. Each bond shall be signed by both Developer and the sureties. Should any surety or sureties be deemed unsatisfactory at any time by the City, notice will be given Developer to that effect, and Developer shall forthwith substitute a new surety or sureties satisfactory to the Developer. No further payment shall be deemed due or will be made under the Contract until the new sureties qualify and are accepted by the City. i. A bid guarantee from each bidder equivalent to five percent of the bid price. The ~~bid guarantee" shall consist of a firm commitment such as a bid bond, certified check, or other negotiable instrument accompanying a bid as assurance that the bidder will, upon acceptance of his bid, execute such contractual documents as may be required within the time specified. ii. A performance bond on the part of the developer for 100 percent of the contract price, as determined from the prices in the bid form, and shall insure the faithful performance by developer of all work under the Contract. It shall also insure the replacing of, or making acceptable, any defective materials or faulty workmanship. iii. A payment bond on the part of the contractor for 100 percent of the contract price, as determined from the prices in the bid form, and shall inure to the benefit of persons performing labor or furnishing materials in connection with the work of the proposed Contract. This bond shall be maintained in full force and effect until all work under the Contract is completed and accepted by the City, and until all claims for materials and labor have been paid. Attachment "B" -Insurance Requirements 1 fi-22 Page 3 of 3 ATTACHMENT "C" 2009 San Diego Income Limits Median Income: $74,900 Extremely ~ ery Low Income Low Income Low Income Fa~a~ 30% 35% 40% 50% 60% 65% 70% 80% size Income Income Income Income Income Income Income Iuco~ne oIv'E $17,350 $20,250 $23,150 $28,900 $34,680 $37,600 $40,450 $46,250 Two $19,850 $23,100 $26,450 $33,050 $39,660 $42,950 $46,250 $52,900 TREE $22,300 $26,000 $29,750 $37,150 $44.580 $48,350 $52.000 $59,500 Fovx $24,800 $28,900 $33,050 $41,300 $49;560 $53,700 $57,800 $66,100 r~'E X26,800 $31,200 $35.700 $44.600 $53,520 $58,000 $62,400 $71,400 sIx $28,750 $33,500 $38,350 $47,900 $57,480 $62,300 $67,050 $76;700 sEVEIv $30,750 $35,850 $41,000 $51.200 $61,440 $66,600 $71,650 $81,950 EIGHT $32,750 $38,150 $43.650 $54,500 $65,400 $70,900 $76,300 $87,250 *Income Limits 80% and Below are Based on HUD Formula Income Limits Adjusted for High Housing Cost Area Attachment "C" -Income Limits Page 1 of 1 16-23 ATTACHMENT "D" Redevelopment and Housing Disclosure Statement Pursuant to Council Policy 1 Ol -Ol ,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 of financial interests, payments, or campaign contributions for a City of Chula Vista election must be filed. The following information must be disclosed: List the names of all persons having a financial interest in the project that is the subject of the application or the contract. e.g., owner, applicant, contractor, subcontractor, material supplier. 2. If any person* identified pursuant to (1) 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 (1) above is anon-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. 5. Has any person* associated with this contract had any financial dealings with an official** of the City of Chula Vista as it relates to this contract within the past 12 months? Yes No If Yes briefly describe the nature of the financial interest the official** may have in this contract. Attachment "D" -Disclosure Form Page 1 of 2 16-24 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_ Yes_ If yes, which Council member? 7. Have you provided more than $340 (or an item of equivalent) to an official** of the City of Chula Vista in the past twelve (12) months? (This includes being a source of income, money to retire a legal debt, gift, loan, etc.) Yes No If Yes, which official** and what was the nature of item provided? Date: Signature of Developer Print or type name of Developer * Person is defined as: any individual, firm, co-partnership, joint venture, association, social club, fraternal organization, corporation, estate, trust, receiver, syndicate, any other county, city, municipality, district, or other political subdivision, -or any other group or combination acting as a unit. ** Official includes, but is not limited to: Mayor, Council member, Planning Commissioner, Member of a board, commission, or committee of the City, employee, or staff members. Attachment "D" -Disclosure Form Page 2 of 2 16-25 EXHIBIT 1 NO CHARGE ON THIS DOCUMENT FOR THE BENEFIT OF A PUBLIC AGENCY Recording Requested By: City Clerk City of Chula Vista 276 Fourth Avenue Chula Vista, California 91910 And When Recorded Mail To: City Clerk City of Chula Vista 276 Fourth Avenue Chula Vista, California 91910 DEED OF TRUST THIS DEED OF TRUST is dated as of the of , 20 , by San Diego Community Housing Corporation, A California Non-Profit ("Trustor"), whose address is 6160 Mission Gorge Road, Suite 204 San Diego, CA 92120, Attention: J. Robert St. Germain, and ("Trustee") and THE CITY OF CHULA VISTA, a public body, corporate and politic (the "Beneficiary"), whose address is 276 Fourth Avenue, Chula Vista, California, 91910. TRUSTOR HEREBY irrevocably grants, transfers, and assigns to Trustee, in trust, with power of sale, all that property in the City of Chula Vista, County of San Diego, State of California (the "Property"), described as: (See Legal Description -Exhibit "A") FOR THE PURPOSE OF SECURING: (1) Payment of the indebtedness evidenced by a promissory note of even date herewith executed by Trustor, in the principal sum of DOLLARS ($XXX,000), and any renewal, extension, or modification of the promissory note (the "Note''); (2) Any additional sums and interest that may hereafter be loaned to the then record owner of the Property by Beneficiary, when evidenced by another note or notes reciting that it or they are so secured; Neighborhood Stabilization Program Cit y Council Resolution No. 2009- 16-26 (2) Any additional sums and interest that may hereafter be loaned to the then record owner of the Property by Beneficiary, when evidenced by another note or notes reciting that it or they are so secured; (3) The performance of each agreement contained in this Deed of Trust, the terms being synonymous, and the Note referenced in Paragraph (1) above; (4) The performance of each agreement of Trustor under that certain "Loan Agreement" dated by and between Trustor ("Borrower" therein) and Beneficiary ("City" therein) on file in the Office of Beneficiary; (5) The performance of each agreement and covenant of Trustor under that certain Declaration of Covenants, Conditions and Restrictions" ("Restrictions") of even date herewith and recorded concurrently herewith affecting the Property; and (6) The performance of each agreement of Trustor under that certain "Developer Agreement" dated September , 2009, terms and conditions of which bind the Property and run with the land and which are being assumed by Trustor. Notwithstanding anything set forth herein to the contrary this Deed of Trust expressly does not secure any obligations, covenants, indemnities or other agreements of the Trustor, San Diego Community Housing Corporation, - or their successors or assigns, under: (i) that certain Developer Agreement between San Diego Community Housing Corporation and Beneficiary. A. TO PROTECT THE SECURITY OF THIS DEED OF TRUST, TRUSTOR AGREES: Maintenance and Repair (1) To keep the Property in good condition and repair; not to remove or demolish any buildings on the Property; to complete or restore promptly and in good and workmanlike manner any building that maybe constructed, damaged, or destroyed on the Property; to pay when due all claims for labor performed and materials furnished for the Property; to comply with all laws affecting the Property or requiring any alterations or improvements to be made on the Property; not to commit or permit waste of the Property; not to commit, suffer, or permit any act upon the Property in violation of law; and to cultivate, irrigate, fertilize, fumigate, prune, and do all other acts that from the character or use of the Property may be reasonably necessary. 2 Neighborhood Stabilization Program Cit y Council Resolution No. 2009- 16-27 Fire Insurance (2) To provide, maintain, and deliver to Beneficiary fire insurance satisfactory to and with loss payable to Beneficiary as its interest may appear. Subject to the rights of any senior lenders, the amount collected under any fire or other insurance policy may be applied by Beneficiary upon any indebtedness secured by this Deed of Trust and in any order determined by Beneficiary, or at the option of Beneficiary the entire amount so collected or any part of that amount may be released to Trustor. This application or release shall not cure or waive any default or notice of default under this Deed of Trust or invalidate any act done pursuant to such a notice. Notwithstanding the foregoing, in the event of any fire or other casualty to the Property, Trustor shall have the right to rebuild the Property, and to use all available insurance proceeds therefor, provided that (a) such proceeds are sufficient to rebuild the Property in a manner that provides adequate security to Beneficiary for repayment of the indebtedness secured hereby or if such proceeds are insufficient then Trustor shall have funded any deficiency, (b) Beneficiary shall have the right to approve (which shall not be unreasonably withheld or delayed) plans and specifications for any major rebuilding and the right to approve (which shall not be unreasonably withheld or delayed) disbursements of insurance proceeds for rebuilding under a construction escrow or similar arrangement, and (c) no material default then exists hereunder or under the Note. If the casualty affects only part of the Property and total rebuilding is not feasible, then proceeds may be used for partial rebuilding and partial repayment of the indebtedness secured hereby in a manner that provides adequate security to Beneficiary for repayment of the remaining indebtedness secured hereby. Defense of Security (3) To appear in and defend any action or proceeding purporting to affect the security of this Deed of Trust or the rights or powers of Beneficiary, or Trustee; and to pay all costs and expenses, including cost of evidence of title and attorneys' fees in a reasonable sum, in any such action or proceeding in which Beneficiary or Trustee may appear, and in any suit brought by Beneficiary to foreclose this Deed of Trust. Payment of Liens and Taxes (4) To pay, at least ten (10) days before delinquency, all taxes and assessments affecting the Property, including assessments on appurtenant water stock, all encumbrances, charges, and liens, with interest, on the Property or any part of the Property, which appear to be prior or superior to this Deed of Trust; and all costs, fees, and expenses of this Trust. If Trustor fails to make any payment or to do any act as provided in this Deed of Trust, then Beneficiary or Trustee may (but is not obligated to) make the payment or do the act in the required manner and to the extent deemed necessary by Beneficiary or Trustee to protect the security of this Deed of Trust. The performance by Beneficiary or Trustee of such an act shall not require notice to or demand upon Trustor and shall not release Trustor from any obligation under this Deed of Trust. 3 Neighborhood Stabilization Progarrt Cit y Council Resolution No. 2009-_ 16-ZH Beneficiary or Trustee shall also have the following related rights and powers: to enter upon the Property for the foregoing purposes; to appear in and defend any action or proceeding purporting to affect the security of this Deed of Trust or the rights or powers of Beneficiary or Trustee; to pay, purchase, contest, or compromise any encumbrance, charge, or lien that in the judgment of either appears to be prior or superior to this Deed of Trust; to employ counsel; and to pay necessary expenses and costs, including reasonable attorneys' fees. Reimbursement of Costs (5) To pay immediately and without demand all sums expended by Beneficiary or Trustee pursuant to this Deed of Trust, with interest from date of expenditure at the amount allowed by law in effect at the date of this Deed of Trust, and to pay any amount demanded by Beneficiary (up to the maximum allowed by law at the time of the demand) for any statement regarding the obligation secured by this Deed of Trust. (6) That it will pay the City Note at the time and in the manner provided therein. (7) That it will not permit or suffer the use of any of the Property for any purpose other than the use for which the same was intended at the time this Deed of Trust was executed. (8) That the Note, the Loan Agreement, Memorandum of First Right of Refusal, Affordable Housing Agreement and the Declaration of Covenants and Restrictions are incorporated herein by reference and made a part of this Deed of Trust, although not attached. Copies are on file in the office of the Redevelopment Agency and Housing Authority of the City of Chula Vista. (9) To perform, in a timely manner, each agreement and covenant by and between Trustor on any and all notes, loans and deeds of trust that are senior and/or junior to this Deed of Trust. A default in any of these obligations and the expiration of any applicable notice or cure period shall constitute a default under this Deed of Trust. B. THE PARTIES AGREE THAT: Condemnation Award (1) Any award of damages in connection with any taking or condemnation, or for injury to the Property by reason of public use, or for damages for private trespass or injury to the Property, is hereby assigned and shall be paid to Beneficiary (subject to the rights of any senior lenders), as its interest may appear as further security for all obligations secured by this Deed of Trust. Upon receipt of such proceeds, Beneficiary may hold the proceeds as further security, or apply or release them in the same manner and with the same effect as provided in Paragraph A(2) of this Deed of Trust for the disposition of proceeds of fire or other insurance. 4 Neighborhood Stabilization Program Cit y Council Resolution No. 2009-_ 16-29 Waiver of Late Payments (2) By accepting payment of any sum secured by this Deed of Trust after its due date, Beneficiary does not waive its right either to require prompt payment when due of all other sums so secured or to declare default for failure to pay any indebtedness secured by this Deed of Trust. Trustee's Powers (3) Upon written request of Beneficiary and presentation of this Deed of Trust and the Note for endorsement, Trustee may (a) reconvey all or any part of the Property; (b) consent to the making and recording, or either, of any map or plat of all or any part of the Property; (c) join in granting any easement on the Property; or (d) join in or consent to any extension agreement or any agreement subordinating the lien, encumbrance, or charge of this Deed of Trust. Trustee need not provide Trustor with notice before taking any of the foregoing actions, and shall not be liable for the proper performance of the act. The exercise by Trustee of any of the foregoing powers shall not affect the personal liability of any person for payment of the indebtedness secured by this Deed of Trust, or the lien of this Deed of Trust on the remaining property as security for the repayment of the full amount secured by this Deed of Trust. Full Reconveyance (4) Upon written request of Beneficiary stating that all sums secured by this Deed of Trust have been paid, surrender of this Deed of Trust, the Note, and any other notes secured by this Deed of Trust to Trustee for cancellation and retention, and payment of Trustee's fees and charges, Trustee shall reconvey, without warranty, the Property then subj ect to this Deed of Trust. The recitals in the reconveyance shall be conclusive proof of the truthfulness of the recitals. The grantee in the recon- veyance may be described as "the person or persons legally entitled thereto." Five years after issuance of the full reconveyance, Trustee may destroy the Note and this Deed of Trust, unless directed in the request to retain them. Assignment of Rents (5) As additional security, Trustor hereby gives to and confers upon Beneficiary the right, power, and authority during the continuance of these Trusts, to collect the rents, issues, and profits of the Property, but reserves the right, prior to any default, which shall continue beyond any applicable notice and cure periods, by Trustor in payment of any indebtedness secured by this Deed of Trust or in the performance of any agreement under this Deed of Trust, to collect and retain these rents, issues, and profits as they become due and payable. Upon any such default, Beneficiary may, without notice and without regard to the adequacy of the security for the indebtedness secured by this Deed of Trust, either personally or by agent or court-appointed receiver, do the following: enter upon and take possession of the Property or any part of the Property; sue for or otherwise collect all rents, issues, and profits, including those past due and unpaid; and apply these rents, issues, and profits, less costs and expenses of operation and collection (including reasonable attorneys' fees), upon any indebtedness secured by this Deed of Trust, in any order determined by Beneficiary. The 5 Neighborhood Stabilization Program Cit y Council Resolution No. 2009-_ 16-30 exercise of the foregoing rights by Beneficiary shall not cure or waive any default or notice of default under this Deed of Trust or invalidate any act done pursuant to such a notice. Default in Foreclosure (6) Upon default by Trustor in the payment of any indebtedness secured by this Deed of Trust or in the performance of any material obligation under this Deed of Trust, and the expiration of any and all applicable notice or cure periods, Beneficiary may declare all sums secured by this Deed of Trust immediately due and payable by delivering to Trustee a written declaration of default and demand for sale and a written notice of default and election to sell the Property. Trustee shall cause the notice of default and election to sell to be recorded. Beneficiary also shall deposit with Trustee this Deed of Trust, the Note, and all documents evidencing any additional expenditures secured by this Deed of Trust. After the required time period has lapsed following the recordation of the notice of default, and after notice of sale has been given as required by law, Trustee, without demand on Trustor, shall sell the Property at the time and place specified in the notice of sale, either as a whole or in separate parcels, and in any order determined by Trustee, at public auction to the highest bidder for cash in lawful money of the United States, payable at the time of sale. Trustee may postpone sale of all or any portion of the Property by public announcement at the time and place of sale, and from time to time thereafter may postpone the sale by public announcement at the time fixed by the preceding postponement. Trustee shall deliver to the purchaser at the auction its deed conveying the Property sold, but without any covenant or warranty, express or implied. The recital in the deed of any matter or fact shall be conclusive proof of the truthfulness of the recital. Any person, including Trustor, Trustee, or Beneficiary, may purchase at the sale. After deducting all costs, fees, and expenses of Trustee and Beneficiary under this paragraph, including costs of procuring evidence of title incurred in connection with sale, Trustee shall apply the proceeds of sale to payment of: all sums expended under the terms of this Deed of Trust, not then repaid, with accrued interest at the amount allowed by law in effect at the date of this Deed of Trust; all other sums then secured by this Deed of Trust; and the remainder,. if any, to the person or persons legally entitled to the remaining proceeds. (7) Should the undersigned agree to or actually sell, convey, transfer, or dispose of, or further encumber the real property described in this deed of trust securing the Promissory Note, or any part of it, or any interest in it, without first obtaining the written consent of the Holder of the Note, then all obligations secured by the Note and trust deed may be declared due and payable, at the option of the Holder. Consent to one transaction of this type will not constitute a waiver of the right to require consent to future or successive transactions. 6 Neighborhood Stabilization Program Cit y Council Resolution No. 2009-_ 16-31 General Provisions (8) This Deed applies to, inures to the benefit of, and binds all parties to this Deed of Trust and their heirs, legatees, devisees, administrators, executors, successors, and assigns. The term "Beneficiary" shall mean the holder and owner, including pledgee, of the Note secured by this Deed of Trust, whether or not named as a beneficiary in this Deed of Trust, and the heirs, legatees, devisees, administrators, executors, and assigns of any such person. In this Deed, whenever the context so requires, the masculine gender includes the feminine and/or neuter, and the singular number includes the plural. Acceptance by Trustee (9) Trustee accepts this Trust when this Deed, duly executed and acknowledged, is made a public record as provided by law. Trustee is not obligated to notify any party to this Deed of Trust of pending sale under any other deed of trust or of any action or proceeding in which Trustor, Beneficiary, or Trustee shall be a party unless brought by Trustee. Substitution of Trustees (10) Beneficiary, or any successor in ownership of any indebtedness secured by this Deed of Trust, may from time to time, by written instrument, substitute a successor or successors to any Trustee named in or acting under this Deed of Trust. The substitution instrument shall contain the name of the original Trustor, Trustee, and Beneficiary under this Deed of Trust, the book and page where this Deed is recorded, and the name and address of the new Trustee. When executed by Beneficiary and duly acknowledged and recorded in the office of the recorder of the county or counties where the Property is situated, the substitution instrument shall be conclusive proof of proper substitution of the successor Trustee or Trustees. Any successor Trustee or Trustees shall, without conveyance from the predecessor Trustee, succeed to all its title, estate, rights, powers, and duties. Cumulative Powers and Remedies (11) The powers and remedies conferred in this Deed of Trust are concurrent and cumulative to all other rights and remedies provided in this Deed of Trust or given by law. These powers and remedies may be exercised singly, successively, or together, and as often as deemed necessary. Conclusiveness of Recitals (12) The recitals contained in any reconveyance, trustee's deed, or any other instrument executed by Trustee from time to time under the authority of this Deed of Trust or in the exercise of its powers or the performance of its duties under this Deed of Trust, shall be conclusive evidence of their truth, whether stated as specific and particular facts, or in general statements or conclusions. Further, the recitals shall be binding and conclusive upon Trustor, its heirs, executors, administrators, successors, and assigns, and all other persons. 7 Neighborhood Stabilization Program Cit y Council Resolution No. 2009- 16-32 Attorneys' Fees (13) If any action is brought for the foreclosure of this Deed of Trust or for the enforcement of any provision of this Deed of Trust (whether or not suit is filed), Trustor agrees to pay all costs and expenses of Beneficiary and Trustee, including reasonable attorneys' fees; and these sums shall be secured by this Deed of Trust. Co-trustees (14) If two or more persons are designated as Trustee in this Deed of Trust, any, or all, power granted in this Deed of Trust to Trustee maybe exercised by any of those persons, if the other person or persons are unable, for any reason, to act. Any recital of this inability in any instrument executed by any of those persons shall be conclusive against Trustor and Trustor's heirs and assigns. Request for Notices of Default and Sale (15) In accordance with Section 2924b of the California Civil Code, request is hereby made that a copy of any Notice of Default and a copy of any Notice of Sale under any Deeds of Trust executed by Trustor, and recorded in the Official Records of San Diego County, California, in which Beneficiary, is named as beneficiary, be mailed to: Beneficiary: City of Chula Vista 276 Fourth Avenue Chula Vista, CA 91910 Attention: Director of Redevelopment and Housing If to Trustor: San Diego Community Housing Corporation 6160 Mission Gorge Road Suite 204 ,San Diego, CA 92120 Attention: J. Robert St. Germain NOTICE: A copy of any notice of default and of any notice of sale will be sent only to the address contained in this recorded request. If your address changes, a new request must be recorded. The undersigned Trustor requests that a copy of any notice of default and of any notice of sale under this Deed of Trust be mailed to Trustor at the address of Trustor set forth above. (16) Trustor shall permit Beneficiary and its agents or representatives, to inspect the Property at any and all reasonable times, upon prior written notice of not less than twenty-four (24) hours (unless Trustor is in default under any of the Loan Documents}. Inspections shall be conducted so as not to interfere with the tenants' use and enjoyment of the Property and the general operation of the Property. 8 Neighborhood Stabilization Program Cit y Council Resolution No. 2009- 16-33 (17) The City Loan provided for herein shall be subject to the restrictions set forth in the Loan Agreement and Declaration of Covenants and Restrictions and Trustor hereby consents to such restrictions and agrees to be bound thereby. Such restrictions shall be in addition to and not in limitation of the rights of Beneficiary expressly set forth in this Deed of Trust. (18) For purposes of this Deed of Trust, "Hazardous Materials" mean and include any hazardous, toxic or dangerous waste, substance or material including, without limitation, flammable explosives, radioactive materials, asbestos, hazardous wastes, toxic substances and any materials or substances defined as hazardous materials, hazardous substances or toxic substances in (or for purposes of) the Comprehensive Environmental Response, Compensation and Liability Act of 1980 ("CERCLA"), as amended (42 U.S.C. §9601, et seq.), the Hazardous Materials Transportation Act (49 U.S.C. § 1801, et seq.), the Resource Conservation and Recovery Act (42 U.S.C. §6901, et seq.), and those substances defined as hazardous wastes in §25117 of the California Health and Safety Code or as hazardous substances in §25316 of the California Health and Safety Code or in any regulations promulgated under either such law, any so-called "Superfund" or "Superlien" law, or any other federal, state or local statute, law, ordinance, code, rule, regulation, order or decree regulating, relating to, or imposing liability or standards of conduct concerning, any hazardous, toxic or dangerous waste, substance or material, as now or at any time hereafter in effect. (19) In addition to the general and specific representations, covenants and warranties set forth in the Deed of Trust or otherwise, Trustor represents, covenants and warrants, with respect to Hazardous Materials, as follows: (a) Neither Trustor nor, to the best knowledge of Trustor, any other person, has ever caused or permitted any Hazardous Materials to be manufactured, placed, held, located or disposed of on, under or at the Property or any part thereof, and neither the Property nor any part thereof, or any property adjacent thereto, has ever been used (whether by Trustor or, to the best knowledge of Trustor, by any other person) as a manufacturing site, dump site or storage site (whether permanent or temporary) for any Hazardous Materials. "Hazardous Materials" for purposes of this Paragraph 19(a) shall not include substances typically used in the ordinary course of developing, operating and maintaining apartment complexes, provided that such substances are used in accordance with all applicable laws. (b) Trustor hereby agrees to indemnify Beneficiary, its officers, employees, contractors and agents, and hold Beneficiary, its officers, employees, contractors and agents harmless from and against any and all losses, liabilities, damages, injuries, costs, expenses and claims of any and every kind whatsoever paid, incurred or suffered by, or asserted against Beneficiary, its officers, employees, contractors or agents for, with respect to, or as a direct or indirect result of, the presence or use, generation, storage, release, threatened release or disposal of Hazardous Materials on or under the Property or the escape, seepage, leakage, spillage, discharge, emission or release of any Hazardous Materials from the Property (including, without limitation, any losses, liabilities, damages, injuries, costs, expenses or claims asserted or arising under CERCLA, any so-called "Superfund" or "Superlien" law, or any other federal, state or local statute, law, ordinance, code, rule, regulation, order or decree regulating, relating to or imposing liability or standards of conduct 9 Neighborhood Stabilization Program Cit y Council Resolution No. 2009- 16-34 concerning any Hazardous Materials) regardless of whether or not caused by or within the control of Trustor. The foregoing indemnification shall not apply to any liability resulting from (i) an event that occurs after a transfer of the Properly due to any foreclosure sale (judicial or nonjudicial) or a deed in lieu of foreclosure, or (ii) acts or omissions of Beneficiary or its agents. (c) Trustor has not received any notice of (i) the happening of any event involving the use, spillage, discharge, or cleanup of any Hazardous Materials ("Hazardous Discharge") affecting Trustor or the Properly or (ii) any complaint, order, citation or notice with regard to air emissions, water discharges, noise emissions or any other environmental, health or safety matter affecting Trustor or the Property ("Environmental Complaint") from any person or entity, including, without limitation, the United States Environmental Protection Agency ("EPA"). If Trustor receives any such notice after the date hereof, then Trustor will give, within seven (7) business days thereafter, oral and written notice of same to Beneficiary. (d) Without limitation of Beneficiary's rights under this Deed of Trust, Beneficiary shall have the right, but not the obligation, to enter onto the Property or to take such other actions as it deems necessary or advisable to clean up, remove, resolve or minimize the impact of, or otherwise deal with, any such Hazardous Materials or Environmental Complaint upon its receipt of any notice from any person or entity, including without limitation, the EPA, asserting the existence of any Hazardous Materials or an Environmental Complaint on or pertaining to the Property which, if true, could result in an order, suit or other action against Trustor affecting any part of the Property by any governmental agency or otherwise which, in the sole opinion of Beneficiary, could jeopardize its security under this Deed of Trust. All reasonable costs and expenses incurred by Beneficiary in the exercise of any such rights shall be secured by this Deed of Trust and shall be payable by Trustor upon demand together with interest thereon at a rate equal to the highest rate payable under the note secured hereby. (e) The foregoing representation, covenants, indemnities and warranties shall be continuing and shall be true and correct for the period from the date hereof to the release of this Deed of Trust (whether by payment of the indebtedness secured hereby or foreclosure or action in lieu thereof), and these representations, covenants, indemnities and warranties shall survive such release. (20) Each successor owner of an interest in the Property other than through foreclosure or deed in lieu of foreclosure of an interest superior to this Deed of Trust, shall take its interest subject to this Deed of Trust. (21) This Deed of Trust shall be governed by and construed in accordance with the laws of the State of California. (22) If the Property is allocated to aloes-income housing tax credits under the provisions of sections 17058 and 23610.5 of the Revenue and Taxation Code of State of California and under the Section 42 of the Internal Revenue Code of 1986, as amended ("Code") then the Property will be subject to certain requirements of Section 42 of the Code, including, but not limited to Section 42(h)(6)(e)(ii), which does not permit the eviction or termination of tenancy (other than for good 10 Neighborhood Stabilization Program Cit y Council Resolution No. 2009-_ 16-35 cause) of an existing tenant of any low-income unit or any increase in the gross rent with respect to such unit not otherwise permitted under Section 42 for a period of three (3) years after the date the Property is acquired by foreclosure or deed in lieu of foreclosure. Beneficiary acknowledges the provisions of Section 42 of the Code and agrees that, if and to the extent applicable to Beneficiary in connection with the Property, Beneficiary will comply therewith. Recourse During Construction and Non-Recourse After Filing of Certificate of Completion. (23) Following the timely completion of the acquisition & rehabilitation Project, as defined in the Loan Agreement, measured by the timely filing of a Certificate of Completion, nothing herein contained shall be deemed to cause Trustor (or any of its partners, or any of their respective directors, officers, employees, partners, principals or members) personally to be liable to pay or perform any of its obligations evidenced hereby, and the Beneficiary shall not seek any personal or deficiency judgment on such obligations, and the sole remedy of the Beneficiary with respect to the repayment of the loan evidenced by this Note shall be against the .Property; provided, however, that the foregoing shall not in any way affect any rights the Beneficiary may have (as a secured party or otherwise) hereunder or under this Deed of Trust, or any other rights the Beneficiary may have to: (a) recover directly from the Trustor any funds, damages or costs (including, without limitation, reasonable attorneys' fees and costs) incurred by the Beneficiary as a result of fraud, intentional misrepresentation or intentional waste by Trustor; or (b) recover directly from the Trustor any condemnation or insurance proceeds, or other similar funds or payments attributable to the Property which under the terms of this Deed of Trust should have been paid to the Beneficiary, and any costs and expenses incurred by the Beneficiary in connection therewith (including, without limitation, reasonable attorneys' fees and costs). (24) All individuals signing this Deed of Trust for a parry which is a corporation, a partnership or other legal entity, or signing under a power of attorney, or as a trustee, guardian, conservator, or in any other legal capacity, covenant to the Beneficiary that they have the necessary capacity and authority to act for, sign and bind the respective entity or principal on whose behalf they are signing. (25) This Deed of Trust is subordinate and subject to the Deed of Trust, Assignment of Rents and Leases dated as of executed by Trustor for the benefit of (the "Trustee") and recorded concurrently herewith, and the rights hereunder are otherwise subj ect to the terms and conditions of that certain Subordination Agreement recorded concurrently herewith and executed by the Trustor, the Beneficiary, the City of Chula Vista, the Trustee, and. [Signature Pages to Follow] 11 Neighborhood Stabilization Program Cit y Council Resolution No. 2009-_ 16-36 SAN DIEGO COMMUNITY HOUSING CORPORATION, a California Non-Profit By: J. Robert St. Germain, Chief Executive Officer ,President CITY OF CHULA VISTA By: James D. Sandoval, City Manager Approved as to form: By: Bart Miesfeld, City Attorney 12 Neighborhood Stabilization Program Cit y Council Resolution No. 2009- 16-37 REQUEST FOR FULL RECONVEYANCE To be used only when note has been paid Dated TO Trustee: The undersigned is the legal owner and holder of all indebtedness secured by the within Deed of Trust. All sums secured by said Deed of Trust have been fully paid and satisfied; and you are hereby requested and directed, on payment to you of any sums owing to you under the terms of said Deed of Trust, to cancel all evidences of indebtedness, secured by said Deed of Trust, delivered to you herewith together with the said Deed of Trust, and to reconvey, without warranty, to the parties designated by the terms of said Deed of Trust, the estate now held by you under the same. By By By By MAIL RECONVEYANCE TO: 13 Neighborhood Stabilization Program Cit y Council Resolution No. 2009- 16-38 ACKNOWLEDGMENT State of California County of San Diego On 200_, before me, personally appeared, personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that byhis/her/their signature(s) on the instrument the person(s), or the entity on behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature Neighborhood Stabilization Program Cit y Council ResoWoon No. 2009- , (Seal) 14 16-39 ACKNOWLEDGMENT State of California ) County of San Diego ) On , 200_, before me, personally appeared, personally known to me (or proved to me on the basis of satisfactory evidence) to be the persons} whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity on behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature (Seal) 15 Neighborhood Stabilization Progam Cit y Council Resolution No. 2009- 16-40 ACKNOWLEDGMENT STATE OF CALIFORNIA ) S.S. COUNTY OF SAN DIEGO ) On 20_ before me, Donna Norris, City Clerk, personally appeared who proved to me on the basis of satisfactory evidence to be the person whose name is subscribed to the within instrument and acknowledged to me that he executed the same in his authorized capacity, and that by his signature on the instrument, the person, or the entity upon behalf of which the person acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct WITNESS my hand and official seal Donna Norris, CMC City Clerk of the City of Chula Vista (SEAL) 16 Neighborhood Stabilization Program Cit y Council Resolution No. 2009- 16-41 Exhibit "A" Legal Description All that certain real property situated in the City of Chula Vista, County of San Diego, State of California, described as follows: INSERT LEGAL DESCRIPTION APN: 17 Neighborhood Stabilization Program Cit y Counctl Resolution No. 2009- 16-42 EXHIBIT 2 DO NOT DESTROY THIS NOTE: WHEN PAID, THIS NOTE AND THE DEED OF TRUST SECURING IT MUST BE SURRENDERED TO TRUSTEE FOR CANCELLATION BEFORE RECONVEYANCE WILL BE MADE. NOTE SECURED BY DEED OF TRUST ("Note") San Diego, California 1. Principal and Interest. Month Day, 2009 FOR VALUE RECEIVED, and in consideration of the Loan Agreement of [event date] herewith ("Loan Agreement"), made by the City of Chula Vista, a public body, corporate and politic ("City"), San Diego Community Housing Corporation , A California Non-Profit Organization ("Maker") promises to pay to City, or order, at 276 Fourth Avenue, Chula Vista, California 91910, or such other place as the holder may from time to time designate by written notice to Maker the principal sum of ONE MILLION THOUSAND DOLLARS ($1,000,000), or so much as is advanced, together with accrued interest from the date of disbursement on the disbursed and unpaid principal at the interest rate of three percent (3 %) simple interest per annum. This Note is issued pursuant to the Loan Agreement dated and the deed of trust (the "Deed of Trust"), being executed concurrently herewith, to be recorded in the office of the County Recorder of San Diego County. The Deed of Trust, the Loan Agreement, the Declaration of Covenants, Conditions and Restrictions, which terms are defined in the Loan Agreement, are sometimes collectively referred to herein as the "Loan Documents." All capitalized terms which are not defined herein shall have the meaning ascribed to them in the Loan Agreement. The Deed of Trust shall be subordinate and junior during the acquisition and rehabilitation period to the Deed of Trust dated as of for the benefit of as trustee. 2. Term of Loan, Due Date and Right of Prepayment. Due Date and Right of Prepayment. Payments shall be due and payable on the earlier of the following dates: (a) Commencing one year after tenant occupancy agreement, by the City, but no later than June 30th, 2010, and on July 1St of each year thereafter, Maker shall calculate its Residual Receipts for the previous calendar year, as defined herein, submit to City a report calculating payment or nonpayment of Residual Receipts and pay to City its proportionate share of the Residual Receipts for the previous calendar year, ,with the other fifty percent (50%) of Residual Receipts retained by Maker. (b) Fifty-f>,ve (55) years from the City's issuance of the initial tenant occupancy, but no Neighborhood Stabilization Program Cit y Council Resolution No. 2009- 16-43 later than sixty (60) years from the date of this Note, when all principal and accrued interest shall be due and payable. (c) Acceleration of this Note pursuant to the provisions of Paragraph 4 of this Note, when all principal and accrued interest shall be due and payable; or (d} Upon default under the terms of this Note as referenced in Paragraph 4 hereof, when all principal and accrued interest shall be due and payable. "Residual Receipts" shall mean "Gross Revenue" (as defined below) from the Properly minus the "Reasonable Operating Expenses" (as defined below) for the same period, calculated on a calendar year basis, as provided in the Residual Receipts Computation form attached hereto as Exhibit "A". All calculations of Residual Receipts during the preceding calendar year shall be subject to verification and approval by the City. "Gross Revenue" shall mean all revenue, income, receipts, and other consideration actually received from operation and leasing of the Property. Gross Revenue shall include, but not be limited to: all rents, fees and charges paid by tenants, Section 8 payments or other rental subsidy payments received for the dwelling units, all cancellation fees; proceeds from vending and laundry room machines; the proceeds of business interruption or similar insurance to the extent not applied to the Bond Loan; the proceeds of casualty insurance to the extent not utilized to repair or rebuild the Project or applied to the Bond Loan; and condemnation awards for a taking of part or all of the Project for a temporary period to the extent not applied to the Bond Loan or used to repair or restore the Project. Gross Revenue shall not include tenants' security deposits, loan proceeds, capital contributions or similar advances or payments from reserve funds. "Reasonable Operating Expenses" shall mean any and all reasonable and actually incurred costs associated with the ownership, operation, use or maintenance of the Property, calculated in accordance with generally accepted accounting principles. Such expenses may include, without limitation, property and other taxes and assessments imposed on the Project; premiums for property damage, liability and business interruption insurance; utilities not directly paid for by the tenants including, without limitation, water, sewer, trash collection, gas and electricity, maintenance and repairs including, without limitation, pest control, landscaping and grounds maintenance, painting and decorating, cleaning, general repairs, and supplies; tenant relocation costs and expenses; license fees or certificate of occupancy fees required for operation of the Project; general administrative expenses directly attributable to the Property including, without limitation, advertising and marketing, security services and systems, and professional fees for legal, audit and accounting; property management fees and reimbursements including on-site manager and assistance manager expenses; any fees and distributions payable to Maker's Investor Limited Partner pursuant to the Partnership Agreement, including but not limited to the Cumulative Priority Distribution, as such terms are defined in the Partnership Agreement, debt service on any loan made to the Maker by any partner of the Maker to cover operating expenses; a reasonable property management fee, cash deposited into a reserve for capital replacements of the Project improvements and an operating reserve (and such other reserve accounts required with respect to the Bond Loan) in such amounts as Neighborhood Stabilization Program 2 Cit y Council Resolution No. 2009- 16-44 are required by the Bond Issuer/Lender and as may be reasonably required by Project equity investors; tenant services costs; debt service payments (excluding debt service due to City from Residual Receipts of the Project) on financing for the Project; reasonable supplemental management fees; and payment of the Deferred Development Fee. In no event shall expenditures, including attorneys' fees or litigation costs, normally required to be paid out of the Replacement Reserve, be treated as Reasonable Operating Expenses unless specifically approved in writing by the City. For purposes of the foregoing definition of "Reasonable Operating Expenses," any property management fee or partnership management fee which is paid to Maker or an affiliate of Maker shall at no time exceed an amount as is customary and standard for affordable housing projects similar in size, scope and character to the Project. Notwithstanding the foregoing, for purposes of this calculation, Reasonable Operating Expenses shall not include the following: principal and interest payments on any debt subordinate to the City Note (except debt service on loans made to the Maker by a partner to cover operating expenses, as provided above), depreciation, amortization, depletion or other non- cash expenses, incentive partnership asset management fees payable to the Maker or its affiliate (other than the supplemental management fee described above), or any amount expended from a reserve account. In the event that any of the above costs is incurred partially with respect to the Project and incurred partially with respect to the commercial retail development located on the Property, the parties shall mutually agree upon an allocable portion of such costs which shall be deemed Reasonable Operating Expenses of the Project for the purposes of this Agreement. This Note may be prepaid in whole or in part at any time and, from time to time, without notice or penalty. Any prepayment shall be allocated first to unpaid interest and then to principal. Should the undersigned sell, convey, transfer, further encumber, or dispose of the Property described in the Deed of Trust securing this Note, or any part of it, or any interest in it, without first obtaining the written consent of City, or the then holder of this Note, then all obligations secured by this Note maybe declared due and payable, at the option of City, or the then holder of this Note. City reserves the right to approve all sales, transfers, conveyances, additional encumbrances, or dispositions of the real property which approval shall not be unreasonably withheld or delayed. Consent to one transaction of this type will not constitute a waiver of the right to require consent to future or successive transactions. If such a sale, transfer, further encumbrance, disposition, conveyance or transfer is approved by City, then upon the sale, transfer, further encumbrance, conveyance, transfer all accrued but unpaid interest on this Note shall be paid to City, at City's option. Neighborhood Stabilization Program 3 Cit y Council Resolution No. 2009- 16-45 3. Security for Note. This Note is secured by the Deed of Trust of even date herewith executed by Maker, which creates a lien on that certain real property described therein and by the Loan Documents, including the Security Agreement. 4. Acceleration Upon Default. In the event of any default under the terms of this Note after the expiration of all applicable cure periods, as set forth in the Loan Agreement, of the Deed of Trust securing this Note, or of the Loan Agreement, or the Declaration of Covenants and Restrictions, or any prior or subsequent loans, notes and/or deed of trust, at the option of the holder of this Note, and after written notice to Maker), with thirty (30) days in which to cure any default, all principal and interest due under this Note and the Note shall immediately become due and payable, without further notice. Failure to exercise such option shall not constitute a waiver of the right to exercise it in the event of any subsequent default. Without limiting any other events of default contained herein, or in any of the Loan Documents, the failure to complete rehabilitation of the Project within a reasonable period of time shall be considered an event of default, entitling the City to accelerate the payment of principal and interest hereunder, as provided in this Section 4. 5. Costs Paid by Maker. Maker agrees to pay the following costs, expenses, and attorneys' fees paid or incurred by the holder of this Note, or adjudged by a court: (a) reasonable costs of collection, costs, and expenses, and attorneys' fees paid or incurred in connection with the collection or enforcement of this Note, whether or not suit is filed; and (b) costs of suit and such sum as the court may adjudge as attorneys' fees in any action to enforce payment of this Note or any part of it. 6. Payment and Interest Calculation. Principal and interest shall be payable in lawful money of the United States of America. Interest shall be computed based on a 360-day year and 30-day month. Payments shall be applied to interest first and then to any unpaid principal balance. 7. Incorporation of the Loan Agreement. The provisions of the Loan Agreement are expressly incorporated in this Note by this reference. Neighborhood Stabilization Program 4 Cit y Council Resolution No. 2009- 16-46 8. Waiver. Maker hereby waives diligence, presentment, protest and demand, notice of protest, dishonor and nonpayment of this Note, and expressly agrees that, without in any way affecting the liability of Maker hereunder, City may extend any maturity date or the time for payment of any installment due hereunder, accept additional security, release any party liable hereunder and release any security now or hereafter securing this Note. Maker further waives, to the full extent permitted by law, the right to plead any and all statutes of limitations as a defense to any demand on this Note, or on any deed of trust, security agreement, guaranty or other agreement now or hereafter securing this Note. 9. Recourse During Acpuisition/Rehabilitationand Non-Recourse After Filing of Certificate of Completion. Following the timely completion of the construction of the Project, as defined in the Loan Agreement, measured by the timely filing of a Certificate of Completion, nothing herein contained shall be deemed to cause Maker (or any of its partners, or any of their respective directors, officers, employees, partners, principals or members) personally to be liable to pay or perform any of its obligations evidenced hereby, and the City shall not seek any personal or deficiency judgment on such obligations, and the sole remedy of the City with respect to the repayment of the loan evidenced by this Note shall be against the Property; provided, however, that the foregoing shall not in any way affect any rights the City may have (as a secured party or otherwise) hereunder or under the Deed of Trust, or any other rights the City may have to: (a) recover directly from the Maker any funds, damages or costs (including, without limitation, reasonable attorneys' fees and costs) incurred by the City as a result of fraud, intentional misrepresentation or intentional waste by Maker; or (b) recover directly from the Maker any condemnation or insurance proceeds, or other similar funds or payments attributable to the Property which under the terms of the Deed of Trust should have been paid to the City, and any costs and expenses incurred by the City in connection therewith (including, without limitation, reasonable attorneys' fees and costs). 10. Late Charge. In addition to the foregoing, if any installment due hereunder is not paid within thirty (30) days from the date due, Maker promises to pay a "late charge" of five percent (5%) of the installment so overdue to defray the expense incident to handling any such delinquent payment or payments. 11. Severability. If any provision of this Note is determined to be void by court of competent jurisdiction, such determination shall not affect any other provision of this. Note, and such other provisions shall remain in full force and effect. 12. Non-Waiver. No delay in demanding or failure to demand performance hereunder shall constitute a waiver by City of its right to subsequently demand such performance or to exercise any remedies for any default hereunder. Further, in order to be effective, any waiver of any of City's rights and remedies Neighborhood Stabilization Program 5 Cit y Council Resolution No. 2009- 16-47 hereunder shall be expressed in a writing signed by City. Further waiver by City of any right hereunder shall not constitute a waiver of any other right, including but not limited to the right to exercise any and all remedies for a different or subsequent event of default hereunder. 13. Replacement Note. The undersigned agrees that, in the event that this Note shall become lost or stolen, upon request of City, the undersigned shall execute a replacement Note incorporating the terms hereof, provided that City shall furnish a written agreement to indemnify the undersigned against all losses, costs, and damages arising from a duplicative demand for payment under this Note. 14. Interpretation. This Note shall be governed and interpreted in accordance with applicable California law. 15. Signature Authority. All individuals signing this Note for a party which is a corporation, a partnership or other legal entity, or signing under a power of attorney, or as a trustee, guardian, conservator, or in any other legal capacity, covenant to the City that they have the necessary capacity and authority to act for, sign and bind the respective entity or principal on whose behalf they are signing. 16. Subordination. The indebtedness evidenced by this Note is and shall be subordinate in right of payment to the prior payment in full of the indebtedness evidenced by a Promissory Note (the "Senior Note") of even date herewith in the original principal amount of $ issued by Maker, and payable to the City of Chula Vista- and assigned to "Trustee"), or order, to the extent and in the manner provided in that certain Subordination Agreement dated as of between the payee of this Note, the City of Chula Vista, the Trustee, the maker of this Note. ). The Deed of Trust securing this Note is and shall be subject and subordinate in all respects to the liens, terms, covenants and conditions of the Acquisition and Rehabilitation Deed of Trust securing the Senior Note as more fully set forth in the Subordination Agreement. The rights and remedies of the payee and each subsequent holder of this Note under the Deed of Trust securing this Note are subject to the restrictions and limitations set forth in the Subordination Agreement. Each subsequent holder of this Note shall be deemed, by virtue of such holder's acquisition of the Note, to have agreed to perform and observe all of the terms, covenants and conditions to be performed or observed by the Subordinate Lender under the Subordination Agreement. [Signature Page to Follow] Neighborhood Stabilization Program 6 Cit y Council Resolution No. 2009- 16-48 Maker: SAN DIEGO COMMUNITY HOUSING CORPORATION a California non-profit organization By: J. Robert St. Germain, Chief Executive Officer San Diego Community Housing Corporation NSP Agreement- 16-49 Exhibit "A" Residual Receipts Computation Form In the event of any contradiction between this Exhibit A and the Loan Documents, then the Loan Documents shall prevail. Payments from Residual Receipts, if any, shall be made as described in the Promissory Note in accordance with the Loan Agreement dated .The Maker shall annually provide the Commission a Computation of Residual Receipts Report, which provides the basis for the Maker's calculation of the payment or nonpayment of Residual Receipts to the City. The form of the Computation of Residual Receipts is attached. "Residual Receipts" is specifically defined as the "Gross Revenue" (as defined below) from the Project minus the "Reasonable Operating Expenses" (as defined below) for the same period. a. "Gross Revenue" shall mean all revenue, income, receipts, and other consideration actually received from operation and leasing of the Project. Gross Revenue shall include, but not be limited to: all rents, fees and charges paid by tenants, Section 8 payments or other rental subsidy payments received for the dwelling units, all cancellation fees; proceeds from vending and laundry room machines; the proceeds of business interruption or similar insurance to the extent not applied to the Bond Loan; the proceeds of casualty insurance to the extent not utilized to repair or rebuild the Project or applied to the Bond Loan; and condemnation awards for a taking of part or all of the Project for a temporary period to the extent not applied to the Bond Loan or used to repair or restore the Project. Gross Revenue shall not include tenants' security deposits, loan proceeds, capital contributions or similar advances or payments from reserve funds. b. "Reasonable Operating Expenses" shall include any and all reasonable and actually incurred costs associated with the ownership, operation, use or maintenance of the Property, calculated in accordance with generally accepted accounting principles. Such expenses may include, without limitation, property and other taxes and assessments imposed on the Project; premiums for property damage, liability and business interruption insurance; utilities not directly paid for by the tenants including, without limitation, water, sewer, trash collection, gas and electricity, maintenance and repairs including, without limitation, pest control, landscaping and grounds maintenance, painting and decorating, cleaning, general repairs, and supplies; tenant relocation costs and expenses; license fees or certificate of occupancy fees required for operation of the Project; general administrative expenses directly attributable to the Property including, without limitation, advertising and marketing, security services and systems, and professional fees for legal, audit and accounting; property management fees and reimbursements including on-site manager and assistance manager expenses; any fees and distributions payable to Maker's Investor Limited Partner pursuant to the Partnership Agreement, including but not limited to the Cumulative Priority Distribution, as such terms are defined in the Partnership Agreement, debt service on any loan made to the Maker by any partner of the Maker to cover operating expenses; a reasonable property management fee, cash deposited into a reserve for capital replacements of the Project improvements and an operating reserve (and such other reserve accounts required with respect to the Bond Loan) in such amounts as are required by the Bond Issuer/Lender and as may be reasonably required by Project equity investors; tenant services costs; debt service payments (excluding debt service due to City from Residual Receipts ofthe Project) on fmancing for the Project; reasonable supplemental management fees; and payment of the Deferred Development Fee. In no event shall expenditures, including attorneys' fees or litigation costs, normally required to be paid out of the Replacement Reserve, be treated as Reasonable Operating Expenses unless specifically approved in writing by the City. For purposes of the foregoing defmition of"Reasonable Operating Expenses," any property management fee or partnership management fee San Diego Community Housing Corporation NSP Agreement_ 16-50 which is paid to Maker or an affiliate of Maker shall at no time exceed an amount as is customary and standard for affordable housing projects similar in size, scope and character to the Project. Notwithstanding the foregoing, for purposes of this calculation, Reasonable Operating Expenses shall not include the following: principal and interest payments on any debt subordinate to the City Note (except debt service on loans made to the Maker by a partner to cover operating expenses, as provided above), depreciation, amortization, depletion or other non-cash expenses, incentive partnership asset management fees payable to the Maker or its affiliate (other than the supplemental management fee described above), or any amount expended from a reserve account. In the event that any of the above costs is incurred partially with respect to the Project and incurred partially with respect to the commercial retail development located on the Property, the parties shall mutually agree upon an allocable portion of such costs which shall be deemed Reasonable Operating Expenses of the Project for the purposes of this Agreement. 9 San Diego Community Housing Corporation NSP Agreement- 16-51 COMPUTATION OF RESIDUAL RECEIPTS FOR THE YEAR ENDING Maker: Project Address: Date Prepared: Please complete the following information and execute the certification at the bottom of this form. Gross Income Please report Gross Income for the year ending Rental Payments (including Section 8 tenant assistance payments, if any) (1) Interest Income (2) on the following lines: Additional Income Related to Project Operations (for example, laundry income, and any other income from the project) (3) $ Total Gross Income (add lines 1, 2, and 3) (4) 10 San Diego Community Housing Corporation NSP Agreement_ 16-52 COMPUTATION OF RESIDUAL RECEIPTS FOR THE YEAR ENDING Annual Operating Expensesi Please report Annual Operating Expenses incurred in relation to the operations of the Project for the year ending on the following lines: Administrative Expenses (5) $ Marketing Expenses (6) $ Professional Fees (7) $ Utilities (8) $ Contract Services (9) $ Cleaning (Painting Supplies, Ground Supplies) (10) $ Taxes and Insurance (11) $ Other Expenses Related to Operations of the Project: a) Other -City Monitoring Fees (12a) $ b) Other -Service Amenities (12b) $ (Note: in no event shall Service Amenities exceed $ per year,) c) Other -Replacement Reserves ($ per year (12c) $ d) Other - GP Asset Management Fee (12d) $ (Note: in no event shall Asset Management Fees exceed $ per year.) Total Annual Operating Expenses* (13) $ (Add lines 5, 6, 7, 8, 9, 10, 11 and 12) (Note: in no event shall this form's total Annual Operating Expenses (line 13) exceed the $ /unit/year (with inflation adjustment) as specifically stated under the Promissory Note's definition of "Operating Expenses" (at page 2 of the Promissory Note). Net Operating Income (subtract line 13 from line 4) (14) $ * i Do not include expenses unrelated to the Project's operations, such as depreciation, amortization, accrued principal and interest expenses on deferred payment debt, or charges to replacement reserves. 11 San Diego Community Housing Corporation NSP Agreement- 16-53 COMPUTATION OF RESIDUAL RECEIPTS FOR THE YEAR ENDING Debt Service On Loans Senior to City Loan: (15) Total Cash Flow (16) Residual Receipts for Year Ending • (Line 16 Above) $ • Percentage of Residual Receipts to be paid to the City (as shown in the Promissory Note by and between the City and Maker dated ) X 50% • Amount Payable to the City $ IN ACCORDANCE WITII LOAN AGREEMENT SECTION 4.12, AUDITED FINANCL4L STATEMENTS MUST BE ATTACHED TO THIS REPORT. San Diego Community Housing Corporation NSP Agreement- 12 16-54 COMPUTATION OF RESIDUAL RECEIPTS FOR THE YEAR ENDING The Executive Director or Chief Financial Officer of the Maker shall execute the following certification. I, hereby, certify under penalty of perjury under the laws of the State of California that the information provided in this form is true, complete, correct and accurate in all respects and I understand that the City of Chula Vista will rely on this certification in calculating the residual receipts payments to which it is entitled. I further certify under penalty of perjury under the laws of the State of California that the undersigned have/has the authority to execute this certification and that sufficient and adequate due diligence has been performed by the undersigned or at the undersigned direction to make these certifications. The undersigned further acknowledges that a false statement made under penalty of perjury to a state agency has potential criminal consequences and ramifications. Executed this _ day of , 20_ at Chula Vista, California MAKER: By: (Print or Type Name) (Title) 13 San Diego Community Housing Corporation NSP Agreement_ 16-55 EXHIBIT 3 NO CHARGE ON THIS DOCUMENT FOR THE BENEFIT OF PUBLIC AGENCY Recording Requested By: CITY CLERK CITY OF CHULA VISTA 276 FOURTH AVENUE CHULA VISTA, CALIFORNIA 91910 And When Recorded Mail To: CITY CLERK CITY OF CHULA VISTA 276 FOURTH AVENUE CHULA VISTA, CALIFORNIA 91910 DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS (NSP PROGRAM) THIS DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS ("Declaration") is dated as of the _tn day of _, by San Diego Community Housing Corporation, a California Non-Profit ("Declarant") in connection with that certain parcel of real property ("Property") located in the City of Chula Vista, County of San Diego, California, described in Exhibit "A" attached hereto and incorporated herein by reference. RECITALS A. Declarant has acquired title to the Property, and will be rehabilitating, with the aid of a Loan obtained from the CITY OF CHULA VISTA, a public body, corporate and politic ("City" or "City of Chula Vista"), a ~) unit housing project (the "Project"). One of the (~ units will be occupied as a manager's unit, and will not be income or rent restricted. (Insert if property requires an onsite manager. B. Concurrently with the recordation of this Declaration, the City is funding the Loan secured by a deed of trust on the Property. The rehabilitation and acquisition financing of the Project are described in the Loan Agreement dated , ,including any amendments thereto ("Agreement"). This Loan is to assist Declarant in the acquisition and rehabilitation and operation of the Proj ect and is secured by a deed of trust ("Trust Deed"). The Agreement and Trust Deed by City Neighborhood Stabilization Program Cit y Council Resolution No. 2009- 16-56 was conditioned in part upon the recordation of a document setting forth certain restrictions upon the use and sale of the Property. C. NOW, THEREFORE, Declarant hereby declares that the Property shall be subject to the covenants, conditions and restrictions set forth below: Restrictive Covenants. (a) ( 1 NSP Units. Declarant agrees and covenants on behalf of itself and its successors and assigns, and each successor in interest to the Property, that, residential dwelling units at the Project shall be set aside and reserved as affordable NSP Units restricted pursuant to the NSP Program ("NSP Units") for fifty-five (55) years. The ~) NSP Units shall be rented only to "Eligible Tenants" as further defined herein, whose income does not exceed fifty percent (50%) of Area Median Income, as adjusted for family size. The maximum monthly rents for the ~) NSP Units shall not exceed fifty (50%) of the monthly income of a family earning fifty percent (50%) of Area Median Income, as adjusted for family size appropriate for the unit. The (_) NSP units will be restricted for fifty-five (55) years under the NSP Program, thereafter those NSP units shall be restricted as set forth in the Developer Agreement. For purposes of this Declaration, the current annual median income shall be the median income defined by the Department of Housing and Urban Development ("HUD") as the then current median income for the San Diego Standard Metropolitan Statistical Area, established periodically by HUD and published in the Federal Register, as adjusted for family size. The rents and the occupancy restrictions shall be deemed adjusted, from time to time, in accordance with any adjustments that are authorized by HUD or any successor agency. In the event HUD ceases to publish an established median income as aforesaid, City may, in its sole discretion, use any other reasonably comparable method of computing adjustments in median income or NSP Program rents. Notwithstanding anything contained herein to the contrary, to the extent any other restrictions applicable to the Property limit the rent and/or occupancy of the Property, the most restrictive shall apply. (b) Rent Adjustment. An adjustment of rents may be performed annually in accordance with the rents contained in the applicable City or HUD rent schedules published by the City of Chula Vista for the affected unit type and updated from time to time. However, in no event shall the rents of the NSP Units, as adjusted, exceed the maximum rents chargeable for NSP Units. Further, the rents charged shall be further limited as set forth in Paragraph 14, hereof. (c) Certification of Eli ibility. The eligibility of each prospective tenant under the restrictions set forth hereinabove shall be certified by Declarant which shall submit such certification and all supporting documentation on forms provided to Declarant by City for a determination of tenant eligibility, prior to tenant occupancy. No NSP Unit maybe rented to a prospective tenant or occupied by any person unless and until City has determined that the prospective tenant or occupant is an Eligible Tenant (defined above) as determined in accordance with the provisions set forth below in Sections 3 and 4. 2. Affordable Marketing Plan Com liance. Declarant shall submit for the approval of the City a management and marketing plan for rental of all of the low income units at the Property except for 2 Neighborhood Stabilization Program Cit y Council Resolution No. 2009- 16-57 the provisions describing selection of tenants, is hereby incorporated into this Declaration, as if fully set forth herein. Notwithstanding the foregoing, to the extent the management and marketing plan for rent of all of the low income units at the Property is subject to the review and approval of the U.S. Department of Housing and Urban Development ("HUD"), Declarant agrees to submit such plan to HUD for its review and approval and to make such changes as are required pursuant to any regulations, policies and/or handbooks of HUD. Declarant's marketing of units shall be in compliance with federal and state fair housing law. All tenants of each NSP Unit shall meet the income requirements set forth herein and tenancy and eligibility shall be in conformance with the terms and standards set forth in the approved management plan and affirmative marketing plan, as maybe amended from time to time. This Declaration shall supersede those requirements only to the extent related to preferences for the selection of residents as specified in the Development Agreement. Notwithstanding the Development Agreement, selection of residents shall be made randomly within the following levels of priority, rather than on a first-come, first-serve basis: (a) First Priority. Households which are displaced from their primary residence as a result of an action of City or Agency, a condominium conversion involving the household's residence, expiration of affordable housing covenants applicable to such residence, or closure of a mobile home or trailer park community in which the household's residence was located, and the household resided in such housing as the household's primary place of residence for at least two years prior to such action or event. (b) Second Priority. Households which meet one of the following criteria: (i) households which are displaced from their primary residence as a result of an action of City or Agency, a condominium conversion involving the household's residence, expiration of affordable housing covenants applicable to such residence, or closure of a mobile home or trailer park community in which the household's residence was located, and the household resided in such housing as the household's primary place of residence for at least one year but less than two years prior to such action or event; (ii) households with at least one member who resides within the City, as that person's primary place of residence; (iii) households with at least one member who works or has been hired to work within the City, as that person's principal place of full-time employment; or (iv) households with at least one member who is expected to live within the City as a result of a bona fide offer of employment within the City. (c) Third Priority. Other Low Income Households who do not meet the criteria for first priority or second priority above. 3 Neighborhood Stabilization Program Cit y Council Resolution No. 2009- 16-58 (d) No Discrimination. No preference herein may be used for the purpose or effect of delaying or otherwise denying admission to the Property or unit based on the race, color, ethnic origin, gender, religion, disability, or age of any member of an applicant household. (e) Use of Standard Screening Criteria. Nothing herein shall restrict Declarant from screening tenants through the application of criteria which is lawful and customary in apartment management in San Diego County and otherwise consistent with federal, state and local regulations and restrictions related to the financing for the Project and HUD regulations. 3. Determination; Annual Requalification. Determination of tenant eligibility for the NSP Units shall be as provided in Development Agreement, which section is hereby incorporated into this Declaration, as if fully set forth herein. Notwithstanding the foregoing, Declarant agrees to comply with any and all regulations, policies and/or handbooks of HUD, with respect to determination of tenant eligibility with respect to the NSP Units to the extent the HUD requirements vary in any way from the requirements of the Development Agreement. Failure by Declarant to timely comply with the tenant qualification and requalification process described in this Paragraph 3 shall constitute a material default under the Agreement. 4. This Section Intentionally Left Blank. 5. Relationship with Declarant. The term "Eligible Tenant" shall not include Declarant or any individuals who are partners or shareholders in Declarant or in any entity having an interest in Declarant or in the Property, or officer, employee, agent or consultant of the owner, developer or sponsor. 6. No Student Dependents. The term "Eligible Tenant" shall not include any student dependent as defined in the U.S. Internal Revenue Code, unless the taxpayer (upon whom the student in question is dependent) resides in the same dwelling unit. 7. Income of Co-tenants, etc. The income of all co-tenants and/or non-dependent occupants shall be taken into account in determining whether a household is an Eligible Tenant hereunder. 8. Over Income Tenants. In the event that a tenant who was properly certified as an Eligible Tenant at the commencement of such tenant's occupancy ceases to be eligible, for any reason other than a tenant being over income, Declarant shall give sixty (60) days written notice to such tenant to vacate the NSP Unit. The vacated NSP Unit shall be rented to an Eligible Tenant. Notwithstanding anything to the contrary in this Declaration, no occupant of a NSP Unit who previously and properly qualified as an Eligible Tenant shall be evicted by Declarant because such occupant fails to requalify as an Eligible Tenant, because such occupant exceeds the income limits set forth herein, except as provided for in Section 92.252 of the Code of Federal Regulations, as amended from time to time. Rather, the next available unit at the Proj ect that is not then a NSP Unit shall be designated as a NSP Unit to replace the NSP Unit of the occupant in question. Further, subject to the HOME rents set forth in City's NSP Plan, such occupant shall commence paying rent equal HOME rents (as that term is defined in 24 C.F.R. §92.203}, effective from and after the date of such failure to requalify, as further described in Paragraph 9(b) and (d), hereof. The over-income tenant shall continue to be 4 Neighborhood Stabilization Program Cit y Council Resolution No. 2009- 16-59 considered an Eligible Tenant until evicted. When a NSP Unit Eligible Tenant's gross income exceeds the "low income" definition as defined in CFR 92.252(1), then the tenant shall commence paying rent equivalent to thirty percent (30%) of the Tenant's adjusted income, subject to the fair market rent ceiling as set forth in HOME Regulation 92.252(1) and the next available comparable sized and configured unit shall be designated as a NSP Unit. The tenant shall continue to be considered an "Eligible Tenant" until evicted, provided this continued occupancy otherwise complies with all applicable NSP Program requirements. When the NSP and Tax Credit Funds are involved, an over-income tenant shall be governed by the Tax Credit Program provisions for so long as tax credits are involved. Thereafter, the NSP and HOME rules specified in this agreement shall apply. 9. Fhysical Condition of NSP Units. The NSP Units shall be maintained as provided in the Development Agreement, which section is hereby incorporated into this Declaration, as if fully set forth herein. Notwithstanding the foregoing, after completion of the Project, Declarant shall continually maintain the NSP Units in a condition which satisfies the Housing Quality Standards promulgated by HUD under its Section 8 Program, as such standards and interpreted and enforced by City under its normal policies and procedures. City shall have the right to inspect the NSP Units from time to time, on reasonable notice and at reasonable times, in order to verify compliance with the foregoing maintenance covenant. 10. City Monitoring Functions. It is contemplated that, during the term of this Declaration, City will perform the following monitoring functions: (A) preparing and making available to Declarant any general information that City possesses regarding income limitations and restrictions which are applicable to the NSP Units; (B) reviewing the applications of prospective occupants of the NSP Units, and determining eligibility of such persons as Eligible Tenants; (C) reviewing the documentation submitted by Declarant in connection with the annual certification process for Eligible Tenants described in subparagraph (1)(a)(i) and (iii) above; and (D) inspecting the NSP Units to verify that they are being maintained in accordance with Paragraph 9 above. Notwithstanding the foregoing description of City's functions, Declarant shall have no claim or right of action against City based on any alleged failure to perform such function, except that Declarant may reasonably rely upon City's tenant eligibility determination. 11. Desi>~nation of NSP Units. The (~ NSP Units, will be designated prior to initial occupancy at the discretion of City. Such designations maybe changed by Declarant, provided that the units before and after the change in designation are of the same unit types, size, features and otherwise comply with the terms of 24 C.F.R. §92.252(j).. 12. Compliance with NSP and Local Regulations. Declarant shall comply with all regulations, policies and procedures promulgated by HUD, or by City in connection with the NSP Program, under which the Loan is being made to Declarant. Declarant's failure to so comply shall constitute a material default hereunder, entitling City to the remedies set forth in Paragraph 24, below. 13. Successors Bound. Declarant covenants, for itself and its successors and assigns, not to sell, transfer, assign or otherwise dispose of ownership of the Property without the written consent of the City whose approval shall not be reasonably withheld or delayed. Any prospective purchaser, transferee or assignee shall expressly promise in writing to be bound by all of the provisions hereof, 5 Neighborhood Stabilization Program Cit y Council Resolution No. 2009- 16-60 including the covenant in this Paragraph 13 to require successors to expressly assume the obligations herein. It is expressly acknowledged that the covenants and restrictions set forth herein shall survive any repayment of the Loan. Further, the obligations of Declarant hereunder shall be deemed independent of Declarant's obligations under the Loan. 14. Maximum Rent To Be Collected by Declarant. In no event, shall all of the rent, including the portion paid by the Eligible Tenant and any other person or entity, collected by Declarant (the "Total Rent") for any rent restricted unit exceed the amount of rent set forth herein. Total Rent includes all payments made by the Eligible Tenant and all subsidies received by Declarant. In the case of persons receiving Section 8 benefits, who are Eligible Tenants, Declarant acknowledges that it shall not accept any subsidy or payment that would cause the Total Rent received for any restricted unit to exceed the maximum rents allowed herein, for any NSP Unit. Should Declarant receive Total Rent in excess of the allowable maximum rent set forth herein, then the provisions of the Development Agreement 15. Loan Payments. Annual payments as referenced in the Agreement shall be made to City as provided in the Agreement. 16. Term. This Declaration and the covenants and restrictions contained herein shall be effective upon the completion of the acquisition and rehabilitation of the units and shall remain in full force and effect for a period fifty-five (55) years from their effective date with respect to the portion of Section 2, above, relating to preferences for selection of tenants. Completion of acquisition and rehabilitation shall be the date upon which a temporary certificate of occupancy is issued for all units within the Project. 17. Covenant Against Discrimination. Declarant covenants on behalf of itself and its successors and assigns, and each successor in interest to the Property, not to discriminate against any tenant or prospective tenant of any NSP Unit on the basis of their race, age, sexual orientation, marital status, color, religion, sex, handicap, or national origin, as referenced in all applicable state, local and federal law. 18. Compliance with Loan Agreement. Declarant covenants on behalf of itself and its successors and assigns, and each successor in interest to the Property that it shall comply with all terms and conditions of the Agreement and such terms and conditions shall be incorporated herein by this reference. 19. Enforcement. Declarant expressly agrees and declares that City or any successor public agency is a proper party and shall have standing to initiate and pursue any and all actions or proceedings, at law or in equity to enforce the provisions hereof and/or to recover damages for any default hereunder, notwithstanding the fact that such damages or the detriment arising from such default may have actually been suffered by some other person or the public at large. Further, City or any successor public agency shall be the proper party to waive, relinquish, release or modify the rights, covenants, obligations or restrictions contained in or arising under this Declaration. ` 20. Attorneys' Fees. In the event that any litigation for the enforcement or interpretation of this Declaration, whether an action at law or arbitration or any manner of non judicial dispute resolution 6 Neighborhood Stabilization Program Cit y Council Resolution No. 2009- 16-61 to this Declaration by reason of the breach of any condition or covenant, representation or warranty in this Declaration, or otherwise arising out of this Declaration, the prevailing party in such action shall be entitled to recover from the other reasonable attorneys' fees to be fixed by the court which shall render a judgment, as well as the costs of suit. 21. Severability. In the event that any provision or covenant of this Declaration is held by a court of competent jurisdiction to be invalid or unenforceable, then it shall be severed from the remaining portions of this Declaration which shall remain in full force and effect. 22. Covenants to Run With the Land. The covenants contained herein shall constitute "covenants running with the land", and shall bind the Property and every person having an interest therein during the term of this Declaration. Declarant agrees for itself and its successors that, in the event that, for any reason whatsoever, a court of competent jurisdiction determines that the foregoing covenants do not run with the land, such covenants shall be enforced as equitable servitudes against the Property. 23. Recordation. This Declaration shall be recorded in the Office of County Recorder of San Diego, California. 24. Remedies. In the event of any breach of this Declaration by Declarant and/or the City the rights and remedies of Declarant and the City shall be as set forth in the Development Agreement shall apply with respect to the same. The Development Agreement is hereby incorporated into this Declaration, as if fully set forth herein. 25. MorEg~ees Protection. No violation or breach of the covenants, conditions, restrictions, provisions or limitations contained in this Declaration shall defeat or render invalid or in any way impair the lien or charge of any permitted deed of trust recorded on the Property provided, however, that any subsequent owner of the Property shall be bound by the covenants, conditions, restrictions, limitations and provisions of this Declaration, whether such owner's title was acquired by foreclosure, deed in lieu of foreclosure, trustee's sale or otherwise. 26. Property Mana e~ment. The Property and the NSP Units shall be maintained and operated as provided in the Developer Agreement, which section is hereby incorporated into this Declaration, as if fully set forth herein. 7 Neighborhood Stabilization Program Cit y Council Resolution No. 2009- 16-62 27. Lease Provisions. Declarant agrees that it will include in all of its leases and cause its successors in interest to include in all of their leases, all provisions required under the terms of the NSP Program, including the following provisions: (a) Additional Lease Provisions/Annual Income Verification. Lessee agrees, upon written request from the Landlord or the City, to certify under penalty of perjury the accuracy of all information provided in connection with the examination or reexamination of annual income of the tenant's household. Further, tenant agrees that the annual income and other eligibility requirements are substantial and material obligations of the tenancy and that the tenant will comply promptly with all requests for information with respect to the tenancy from the landlord and/or City. Further, tenant acknowledges that tenant's failure to provide accurate information regarding such requirements (regardless of whether such inaccuracy is intentional or unintentional) or the refusal to comply with the request for information with respect thereto, shall be deemed a violation of this lease provision, and a material breach of the tenancy and shall constitute cause for immediate termination of the tenancy. (b) Term of Lease for NSP Units. LESSEE has been made aware by Landlord that the unit being leased was assisted with NSP funds. Under the provisions of 24 CFR 92.253, a lease must be for a period of not less than one (1) year unless the parties agree by mutual agreement that the term of the lease be less. The Lessee acknowledges by initialing in the space below that it has been made aware of the provisions of 24 CFR 92.253. 28. Section 42 of the Internal Revenue Code (a) Section 42(h)(6)(E)(ii) of the Internal Revenue Code does not permit the eviction or termination of tenancy (other than for good cause) of an existing tenant of any low-income unit or any increase in the gross rent with respect to such unit not otherwise permitted under Section 42 for three (3) years after the date the Property is acquired by foreclosure or deed in lieu of foreclosure. (b) Notwithstanding anything to the contrary contained herein or in the Agreement or any of the Loan Documents, City acknowledges that pursuant to Section 42 of the Internal Revenue Code, the Project will be subject to a regulatory agreement by and between Declarant and the California Tax Credit Application Committee (the "TCAC Regulatory Agreement"). City further acknowledges and agrees that the terms and conditions of the TCAC Regulatory Aigreement may impose rental restrictions that are more strict than the restrictions set forth herein, and compliance by Declarant of any such stricter rental restrictions set forth in the TCAC Regulatory Agreement shall not constitute a default hereunder or under the Agreement or any of the Loan Documents. 29. Signature Authority. All individuals signing this Declaration for a party which is a corporation, a partnership or other legal entity, or signing under a power of attorney, or as a trustee, guardian, conservator, or in any other legal capacity, covenant to the City that they have the necessary capacity and authority to act for, sign and bind the respective entity or principal on whose behalf they are signing. 8 Neighborhood Stabilization Program Cit y Council Resolution No. 2009- 16-63 30. Priori .This Declaration is_subordinate and subject to the Acquisition/Rehabilitation Deed of Trust, executed by the Declarant in favor of the Trustee named therein for the benefit of ("Trustee") and recorded concurrently herewith, and is otherwise subject to the terms and conditions of that certain Subordination Agreement recorded concurrently herewith and executed by the Declarant, the City of Chula Vista. 31. No Novation; Conflicts Between Agreements. None of this Declaration, the Agreement, the Trust Deed or any other document being executed in conjunction herewith or therewith is a novation of, and do not supersede or otherwise amend all or any part of the Affordable Housing Agreement, the terms of which are hereby ratified and agreed to by Declarant. In the event of any conflict between all or any part of the Development Agreement and this Declaration, the terms of this Declaration shall apply. Declarant: San Diego Community Housing Corporation A Non-Profit Organization By: J. Robert St. Germain, Chief Executive Officer CITY OF CHULA VISTA, A public body, corporate and politic By: James D. Sandoval, City Manager Approved as to form: By: Bart Miesfeld, City Attorney ATTEST: By: Donna Norris, City Clerk 9 Neighborhood Stabilization Program Cit y Council Resolution No. 2009- 16-64 ACKNOWLEDGMENT State of California County of San Diego On , 200_, before me, personally appeared, personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same inhis/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity on behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature 10 Neighborhood SCabilizadon Program Cit y Council Resolution No. 2009- (Seal) 16-65 ACKNOWLEDGMENT State of California ) County of San Diego ) On , 200_, before me, personally appeared, personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity on behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature (Seal) 11 Neighborhood Stabilization Program Cit y Council Resolution No. 2009- 16-66 ACKNOWLEDGMENT STATE OF CALIFORNIA ) S.S. COUNTY OF SAN DIEGO ) On 20_ before me, Donna Norris, City Clerk, personally appeared who proved to me on the basis of satisfactory evidence to be the person whose name is subscribed to the within instrument and acknowledged to me that he executed the same in his authorized capacity, and that by his signature on the instrument, the person, or the entity upon behalf of which the person acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct WITNESS my hand and official seal Donna Norris, CMC City Clerk of the City of Chula Vista (SEAL) 12 Neighborhood Stabilization Program Cit y CouncIl Resolution No. 2009- 16-67 Exhibit "A" Legal Description APN: 13 Neighborhood Stabilization Program Cit y Council Resolution No. 2009- 16-68 CITY CCU NCI L AGENDA STATEMENT `,,~;~, crnr of ~~ CHULA VISTA October 6, 2009, Item No.: ~ ITEM TITLE: PUBLIC HEARING: PCZ-08-04 Consideration of an application filed by SKK Realty, LLC-requesting a rezone from MHP-Exclusive Mobilehome Park to R3 Apartment Residential Zone, with a Precise Plan Modifying District. RESOLUTION: of the City Council of the City of Chula Vista finding that the applicant has complied with required provisions of LUT Section 7.17 of the Chula Vista General Plan regarding an application to rezone property currently designated MHP (Exclusive Mobilehome Park) Zone. ORDINANCE: of City of Chula Vista amending the Zoning Map established by Section 19.18.010 to rezone one 4.35 acre parcel located at 701 D Street from MHP (Exclusive Mobilehome Park) Zone to R-3-P (Apartment Residential, Precise Plan) Zone. SUBMITTED BY: Director of Developm nt Servieputy City Manager REVIEWED BY: City Manager 4/Sths Vote :_Yes X No RECOMMENDATION Staff recommends that the City Council continue this public hearing to a date uncertain. -17- TY COUNCIL STATEMENT ~`~` CIIY OF CHULA VISTA October 6, 2009 Itemr- ITEM TITLE: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING AMENDMENTS TO THE CHULA VISTA GAMING PLAN PURSUANT TO CHULA VISTA MUNICIPAL CODE SECTION 5.20.001 SUBMITTED BY: CITY ATTORNEY' S OFFICE ~~ REVIEWED BY: CITY ATTORNEY'S OFFICE 4/STHS VOTE: YES ^ NO BACKGROUND The Village Club cardroom, through its proprietor and owner Mr. Harvey Souza, has requested amendments to the Chula Vista Gaming Plan. The Village Club cardroom is the only gaming operation within the Chula Vista jurisdiction (location: 429 Broadway). Village Club has requested these amendments because they have been authorized by the California Legislature and also to facilitate moving its business to a new location. To be clear, the amendments to the Gaming Plan will not have an immediate impact on the Village Club's operations. The Village Club is constrained to operating within the limits of the Conditional Use Permit issued by the Council on October 23, 2001 (a copy of the CUP is attached to this agenda item). Mr. Souza plans to pursue an amendment to the CUP when he locates a new business location within Chula Vista. There are some changes to the Village Club's business that will take place through these amendments, however, such as eliminating cordoned off tables and enlarging the credit line. Staff has submitted these revisions to the California Attorney General who is responsible for oversight of non-Indian gaming within the State of California. The Attorney General's Office has approved the amendments and has stated they conform with the California Gambling Control Act (a copy of the AG's letter is attached to this agenda item). Specifically, the amendments permit the Village Club to have an additional four (4) gaming tables from twelve (12) to sixteen (16) under a consolidated license which the Village Club possesses. The increase in tables will not take place until after a CUP amendment is issued. 18-1 2/12/08, Item {~ Page 2 of 3 Other general amendments of note include: 1) removing the requirement to cordon off specific gaming tables; 2) changing the number of players per table (reducing the number of players per type of game and at the same time increasing other numbers for other types); 3) increasing the credit line for a player from $2,000 to $20,000; and 4) changing the time Village Club may serve alcohol from 5 p.m., now beginning at 12:00 p.m. (pursuant to the terms of Village Club's A.B.C. On-Site General Alcohol License). These Gaming Plan amendments are also part of a two-step process because the Legislature has increased the number of permitted tables under a consolidated license to 18 under a separate statute then the increase to 16. Applicant plans to come back to Council in the near future to request an additional increase to 18 once the Attorney General's Office has reviewed and approved this additional amendment to the Gaming Plan. The Police Department and the City Manager's Office are aware of the proposed amendments and have consented to them. The proposed amendments can be adopted by resolution after a public hearing pursuant to Chula Vista Municipal Code Section 5.20.001. ENVIRONMENTAL REVIEW This proposed activity has been reviewed for compliance with the California Environmental Quality Act (CEQA) and it has been determined that the activity is not a "Project" as defined under Section 15378 of the state CEQA Guidelines because it will not result in a physical change in the environment; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines, the activity is not subject to the CEQA. Thus, no environmental review is necessary. RECOMMENDATIONS Approve the attached Resolution To Adopt Amendments To The Chula Vista Gaming Plan Pursuant to Chula Vista Municipal Code BOARDS/COMMISSION RECOMMENDATION N/A. DECISION MAKER CONFLICT Staff has reviewed the property holdings of the City Council Members and has found no property holdings within 500 feet of the boundaries of the property which is the subject of this action. FISCAL IMPACT None anticipated. When Village Club finds a new location and expands its business pursuant to the terms of the Gaming Plan and a CUP amendment Village Club will have to pay additional fees per gaming table for the increased amount of tables. ATTACHMENTS 1. Village Club's Conditional Use Permit; 18-2 2/12/08, Item ~v~ Page 3 of 3 2. California Attorney General's letter approving amendments to the Chula Vista Gaming Plan; 3. Resolution; 4. Copy of amendments to the Chula Vista Gaming Plan (red-lined for Council's review and attached to Resolution). Prepared by: Chance Hawkins, Deputy City Attorney, City Attorney's Off ce J:\Attorney\Chance Hawkins\Staff Reps & Ords\StLReprt.Gaming.Ord.doc 18-3 EDPr;J"d D G. RR~ri'1`1,%R, Sfatp o~'CUIit®Nnir~' J J Attorney General DEPARTMENT OF JUSTICE F BUREAU OF GAMBLING CONTROL P. O. Box 168024 Sacramento, CA 95816-8024 Public (916) 263-0366 Fax: (916) 263-3403 July 28, 2009 Mr. Chance C. Hawkins Deputy City Attorney Chula Vista City Attorney's Office 276 Fourth Avenue Chula Vista, California 91910 Re: City of Chula Vista's Gamblins; Ordinance Dear Mr. Hawkins: On July 16, 2009, the Bureau of Gambling Control (Bureau) received the proposed amendments to the portion of the City's ordinance entitled Chula Vista Gaming Plan in accordance with Business and Professions (B&>?) ~Cpd~section 19961.1. The amendments to Section 3.2.2 regarding 21st Century Blackaek aad bae?{line betting were in response to the Bureau's recommendations. The Bureau's review revealed that the proposed amendments are in compliance with the Gambling Control Act (Act). Upon approval and adoption of the proposed amendments, please provide the Bureau with a signed certified copy of the amendments. If you have any questions, please contact Analyst Brenda Weygandt of my staff at (916) 263-5413. Thank you for your cooperation in this matter. Sincerely, NORM PIERCE Assistant Bureau Chief Bureau of Gambling Control For EDMUND G. BROWN JR. Attorney General 18-4 ~e COtI[p~ a`dtii w j vi.:.:L~S.^.... RECORD G REQUESTED BY: ~' F c~Crt 1Jl 5 i ~ C~. / ~ ('G't~rc AND, WI~~N RECORDED MAIL TO: ~7L~ ~/ ~ /7crz. . C !~u /h U f ~ , C.;a ~~ l ~ ~v ~~ 2001-0897288 ~ ~/ ~~ C L+~~ ~ LV+~~~t1~1~ ~~,~~ OFFICIAL RECORDS SAS! BIEGO COMITY RECORDER'S OFFICE i~fIRY J. S~fijff~ l~1L~tTY REf~kDER FEES: 0.00 ~~~ (THlS SPrtCE FOR RECORDERS USE ONLY) (Please fill in document tide(s) on this line) THIS PAGE ADDED TO PROVIDE ADEQUATE SPACE FOR RECORDING INFORMATION (Additional recording fee applies) 18-5 RESOLUTION NO. 2001-365 Q 9 3 Ci RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA GRANTING CONDITIONAL USE PERMIT PCC-00-16, MODIFYING THE EXISTING PERMIT TO ALLOW THE EXPANSION OF THE EXISTING CARD ROOM FACII.ITY, INCLUDING CLASS II GAMING, AT THE VILLAGE CARD ROOM, LOCATED AT 429 BROADWAY A. RECITALS 1. Project Site WHEREAS, the parcel(s) which are the subject matter of this resolution are represented in Exhibit "A," attached hereto and incorporated herein by this reference, and for the purpose of general description is located at 429 Broadway and 584 Vance Street ("Project Site"); and 2. Project Applicant WHEREAS, on October 5, 1999, a duly verified application for a conditional use permit (PCC-00-16) was filed with the City of Chula Vista Planning Department by Harvey Souza DBA Village Club ("Applicant"); and 3. Project Description; Application for Conditional Use Permit - WHEREAS, said Applicant requests permission to modify the existing conditional use permit and allow the expansion of the use to increase the number of card tables from 10 to 12, including 3 "Pai-Gow" 3 "21st Century California Style Blackjack," and 6 regular poker card tables; serve alcoholic beverages with food from a service bar to all the card tables; provide 24- hour, 7 day a week operation with an exclusively valet parking arrangement for all parking located on the site ("Project"); and 4. Planning Commission Record of Application WHEREAS, the Planning Commission held an advertised public hearing on the project on October 17, 2001, and voted f~-0-0-1 recommending that the City Council approve the project in accordance with Resolution PCC-00-16; and 5. City Council Record of Application WHEREAS, a duly called and noticed public hearing on the project was held before the City Council of the City of Chula Vista on October 23, 2001; to receive the recommendation of the Planning Commission, and to hear public testimony with regard to the same. NOW, THEREFORE BE IT RESOLVED that the City Council does hereby find, determine, and resolve as follows: B. PLANNING COMMISSION RECORD 18-6 4937 Resolution 2001-365 Page 2 The proceedings and all evidence on the Project introduced before the Planning Commission at their public hearing on this project held on October 17, 2001 and the minutes and resolution resulting therefrom, are hereby incorporated into the record of this proceeding. C. ENVIRONMENTAL DETERMINATION The Resource Conservation Commission determined that the Initial Study was adequate and recommended adoption of the Negative Declaration on October 1, 2001. The Planning Commission adopted the attached Resolution PCC-00-16 recommending that the City Council adopt the Negative Declaration on October 17, 2001. D. CERTIFICATION OF COMPLIANCE WITH CEQA The City Council does hereby fmd that the environmental determination of the Resource Conservation Commission and the Planning Commission was reached in accordance with requirements of the California Environmental Quality Act, the State EIR Guidelines, and the Environmental Review Procedures of the City of Chula Vista. E. CONDITIONAL USE PERMIT FINDINGS The City Council of the City of Chula Vista does hereby make the findings required by the City's rules and regulations for the issuance of conditional use permits, as hereinbelow set _. forth, and sets forth, thereunder, the evidentiary basis that perrtzits the~stated finding to be made. 1. That the proposed use at this location is necessary or desirable to provide a service or facility which will contribute to the general well being of the neighborhood or the community. The former cocktail lounge has been closed and will be converted to additional card room use to allow for the expansion up to 12 card table facility; therefore the expansion will not require additional building azea. The parking lot will be enlarged to include the adjacent R-2 zoned vacant lot and a tandem parking arrangement as necessary to meet parking requirements that will require valet pazking at all times. The valet pazking will allow for additional security in and around the facility, and with a 24-hour operation there will he surveillance of the facility at all times. This aspect should also reduce the vehicular trip generation of card players leaving and returning to the facility, since most card players play for many hours and would not have to leave at any time because of closing or opening times. In addition, the use and expansion will not harm the general community since the application involves the adaptive re-use of the abandoned portion of the building (Winner's Circle Cocktail Lounge), the expansion of the existing use will be done in such a way as to minimize impacts to neighbors, and it is consistent with the City approved Gaming Plan. 2. That such use will not under the circumstances of the particular case be detrimental to the health, safety or general welfare of persons residing or working in the vicinity or injurious to property or improvements in the vicinity. The remodeling of the card room facility will also include improvements to the site in -- general. Parking will be eliminated in the front building setback along Broadway, and replaced 18-7 ~~ `-= ` ~ 9:~~ ~) ~ ~g Rt;solution 2001-365 Page 3 with landscape elements. The rear of the building will also include landscape planters. A landscape buffer will be implemented along Vance Street adjacent to the tandem valet service parking stalls, as well as along the rear property line adjacent to the residential use. A 6-ft. screening wall will also be installed to separate the residential and commercial use. The overall number of driveways to access the site will be reduced and customers must enter at one location for the valets to park their vehicles, reducing the number of potential vehicular and pedestrian conflicts. In addition, all parking will be provided on-site, the abandoned cocktail lounge building will be remodeled, and the 24hour valet parking system will increase security in the area. 3. That the proposed use will comply with the regulations and conditions specified in the code for such use. The use of the property for a cazd room facility is permitted within the CT zone by way of this conditional use permit. The applicant has strived to bring the subject properties into conformance with current development standards, including additional pazking and landscaping elements which substantially reduce the non-conformities to current development standards. The R-2 zoned property adjacent to the east will be incorporated into the pazking lot arrangement as allowed by the zoning code as part of this conditional use permit. - - In addition, the proposed use will be consistent with all provisions of the Cit~,~:gaming ordinance (Gaming Plan) covering this type of facility. 4. That the granting of this Conditional Use Permit will not adversely affect the General Plan of the City or the adopted plan of any government agency. The proposed expansion of the existing card room use will not adversely affect the General Plan of the City or the adopted plan of any government agency. The proposed expanded and existing card room use aze still subject to and must comply with the City's Gaming Plan as overseen by the Police Department. The expansion will also be consistent with a Security Plan to be approved by the Police Department, State Department of Alcohol Beverage Control (ABC) licensing regulations pertaining to the hours and percentage of alcoholic beverages sold on site, and State Department of Justice Division of Gambling Control licensing regulations pertain to controls to Class I, IA, and II gaming in compliance with the City's approved Gaming Plan. F. TERMS OF GRANT OF PERMIT The City Council hereby grants Conditional Use Permit PCC-00-16 subject to the following conditions whereby the Applicant and/or property owners shall: 1. Construct the project as shown on the conceptual site plan, elevations, and landscape plan submitted for review on August 23, 2001. Provide revised plans in compliance with all conditions of approval prior to the issuance of building permits. 2. The card room use shall be permitted 24-hours a day, seven (7) days a week. 18-8 493 Resolution 2001-365 Page 4 3. The time frame for alcoholic beverage sales and consumption shall be limited to between 5 PM to 2 AM (9 hours). Receipts shall be provided at the end of each-year to the Police Department to verify that the sale of alcohol is incidental (less than 50 percent) to the sale of food, in compliance with an ABC On-Site General Sale (Type 47} Eating Place (restaurant) license. 4. In the event that the applicant fails to operate the facility in conformance with the Security Plan as approved by the Police Department, or if there aze any irregularities or violations of the conditions placed on the card tables, such as the number of persons playing at card tables or the prescribed seating at the card tables as proposed that are occumng at any time, then staff will return the Conditional Use Permit to Planning Commission and City Council for further review or revocation. 5. The adjacent R-2 lot owned by the Applicant will be upgraded with the same paving, striping, and landscaping improvements as the rest of the parking lot. The screening wall shall be increased from a 5-ft. wall to a 6-ft. decorative block wall on the easterly property line, retaining the proposed landscape buffer to separate the commercial and residential use. Submit revised site plans and elevations showing these changes for review and approval prior to the issuance of building permits. 6. The exterior of the cocktail lounge shall be remodeled by extending the mansard roof across the entire building front, and the building shall .be anti-graffiti coated as described in ._. Condition No. 21. All rooftop mechanical equipmen~n;~hall, also__be screened by means of a parapet or screening material to match the building.. - ' '- - 7. The existing signage of the cocktail lounge shall be removed, and the existing pole sign shall be relocated outside the public right-of--way. All remaining signage shall be brought into conformance with the sign ordinance, subject to the approval by the Director of Planning and Building. 8. The parking ratio and requirement shall be 1 parking space per 1.5 card players, for a minimum total of 84 parking spaces for 126 card players. Submit revised site and conceptual landscape plans that shall show the elimination of the five additional parking spaces in order to provide for additional landscape planter areas in conformance with landscaping requirements. 9. The driveway directly in front of the card room building shall be removed and replaced with barrier curb and Level sidewalk. The driveways on Vance Street shall be re-aligned with the driveway aisles to eliminate conflicts with the proposed spaces. 10. The driveway aprons and opening shall be removed, replaced or re-aligned in conformance with Chula Vista design standards as required to provide proper circulation within the parking space and driveway aisle arrangement allowed for tandem parking only. 11. The provision to allow for tandem parking within the parking lot shall require that full- time valet parking employees shail be provided to control and access and eliminate all seif- parking on 24-hour basis for the entire parking lot. 18-9 • ~ t. • Fi' ~~~ V Resolution 2001-365 Page 5 12. if the valet parking is discontinued for any reason, the applicant shall be required to submit a Conditional Use Permit amendment to modify this Conditional Use Permit. This will require the re-striping of the parking lot for standard parking spaces and driveway aisles, and the card room operation (number of card tables allowed) shall be proportionally reduced based on the parking space allotment, unless additional off-site parking spaces can be appropriately provided to maintain the intensity of use. 13. The handicap access Barking space located in the front (20-ft.) along Broadway at the corner of Vance Street shall be eliminated and replaced with a landscape planter area. The applicant may retain four (4) handicapped parking spaces along the north side of the building to meet the code requirement for an 84-space pazking lot. 14. Subject to the approval of the Director of Planning and Building, Applicant shall submit a plan to eliminate another four pazking spaces and provide four additional landscape planter areas, to be strategically located at the driveway entrances and near walkways per the determination of the Landscape Planner. Another row of palm tree planter shall be incorporated within the easterly triple row of tandem parking spaces similazly to those shown for the westerly triple row of tandem pazking spaces. 15. Applicant shall submit a revised conceptual landscape plan subject to the approval of the Director of Planning and Building, incorporating the new additional landscape planter areas and . - subject to the review of the Landscape Planner. Said plan shall incorporate plantin-g that w.11 be appropriate so that the irrigation and maintenance will be satisfactory to address the longevity and durability of the proposed landscaping. 16. Commercial properties must have enclosures, bins, or carts that meet design specifications. The locations and orientation of storage bins and dumpsters must be pre- approved by the City franchise trash hauling company. Provide sufficient space for designated recyclables. A shared paper/cardboard bin, along with food and beverage container cart with other storage may be permitted. A commercial trash enclosure lazge enough for solid waste, mixed paper, and a cart for food and beverage containers must be provided to meet the minimum 50 percent recycling requirement. Contact the City Conservation Coordinator at 691-SI22. 17. Obtain all necessary permits from the Chula Vista Building Division. Building plans shall include, but are not limited to, plans showing any alterations to plumbing, mechanical, electrical changes, such as walls moved, deleted, etc. Building plans must comply with 1998 California Building Code, Mechanical Code, Plumbing Code, and Electrical Code, as well as Handicapped accessibility requirements and 2001 Energy requirements). 18. Provide building floor plans with complete detail dimensions of all building spaces. The plans shall include, but are not limited to showing all exiting and occupancy loads for each building room or space, and the widths of all openings. Indicate the type of construction of the buildings. Four (4} handicapped access-parking stalls must be shown per conceptual plans that call for 89 parking spaces. 19. The building plans shall include, but are not limited to the requirement to obtain Health Department approval for the restaurant permit. The exterior walls and openings may need to be fire rated. Kitchen services, restrooms and corridors will also need to be fire rated and the 18-10 ~~~~ Resolution 2001-3G5 Page 6 occupancy changed to "A." Any modifications to the roofing will also need to be shown on the building plans. 20. A graffiti resistant treatment shall be specified for all wall and building surfaces. This shall be noted on any building and wall plans and shall be reviewed and approved by the Planning Director prior to issuance of building permits. Additionally, the project shall conform to Sections 9.20.055, 9.20.060, and 9.20.035 of the Chula Vista Municipal Code regarding grai~`iti control. 21. The Fire Department requirements include, but are not limited to requiring building plans to indicate the occupancy classification change to A-3, the total square footage, exiting, etc. Corridors are required to be a minimum 3-ft. in width. All doors must be a minimum 20-minute fire rated. Changes in floor levels greater than %z inch shall be accomplished by means of a ramp. Smoke detectors shall be required in every area and in the hallway. Provide one 2AlOBC fire extinguisher every 3,000-sq. ft., a 20-ft. access shall be provided around the building for fire trucks. One manual pull station shall be provided at a location approved by the Fire Department. 22. Comply with all requirements of the Police Department. The security plan shall be submitted for Police Department review and approval prior to implementation of the Class II gaming. All card room operations shall comply with the requirements of the Gaming Plan. 23. The parking azea needs to have adequate security lighting. In addition, the lighting for __. the vehicle drop-off and pick-up area needs to have transitional lighting for the safety of the patrons and employees. Lighting for the facility shall be sha~~vn on a revised site plan and shall be in conformance with Section 17.28.020 of the Municipal Code. The lighting plan shall includes details showing that the proposed lighting shall be shielded to remove any glaze from adjacent residential and commercial properties, and shall be reviewed and approved to the satisfaction of the Planning and Building Director. 24. Comply with all requirements of the Chula Vista Public Works Department and Engineering Division. Additional review will be required at the time ofbuilding permit approval. Fees, including but not limited to sewer capacity and traffic signal impact fees shall be required. 25. All driveways shall be constructed per Chula Vista standards. All driveway closures, sidewalk, curb, and gutter must be constructed to the standards of the City. AlI driveways must align properly with adjacent on-site driveways. A construction permit for work in the City's right-of--way will be required for the construction of all driveway aprons per Chula Vista construction standards CVCS-1. 26. The Applicant shall prepare and obtain approval of revised plans from the Traffic Section of the Engineering Division of Public Works Department prior to final approval of the building permit. Said plans shall demonstrate that there is adequate sight distance for drivers to turn right onto Broadway from Vance Street. The curbside parking on the east side of Broadway will be prohibited for a distance of approximately 50-ft. north and south of Vance Street, which will be verified in the field and painted red-curb by the City. 27. The westerly driveway shall also be a one-way driveway similar to the easterly driveway. -- Applicant shall be responsible for the relocation of the existing streetlight within the project so 18-11 ~~ ` '~ '~ 4 94 ~ Resolution 2001-365. Page 7 that access to the parking lot is maintained. The driveway access along Broadway shall be removed, and the driveways along Vance Street shall be designed and modified to the satisfaction of the City Engineer. 28. The Applicant shall submit a letter to the Sweetwater Authority from the Chula Vista Fire Department stating the fire flow requirements for water prior to the certificate of occupancy. The Sweetwater Authority shall determine if there is a need for new water systems or substantial alteration to the existing water system and Applicant must comply with any such determination. 29. Prior to issuance of building permit, Applicant shall be required to pay all school fees including, but not limited to the Sweetwater Union High School District and Chula Vista Elementary School District. Said fees shall be based on square footage of floor area, to be assessed at the time of building permit issuance. 30. This conditional use permit shall become void and ineffective if not utilized within one year from the effective date thereof, in accordance with Section 19.14.260 of the Municipal Code. Failure to comply with any conditions of approval shall cause this permit to be reviewed by the City far additional conditions or revocation. 31. This permit shall be subject to any and all new, modified or deleted conditions imposed after approval of this permit to advance a legitimate governmental interest related to health, safety ar welfare which the City shall impose after advance written notice .to t~e.~Pgrm~~tee~ and ~.: after the City has given to the Permittee the right to be heard with regazd theieto ~I~.ovvever, the City, in exercising this reserved rightlcondition, may not impose a substantial expense or deprive Permittee of a substantial revenue source, which the Permittee cannot, in the normal operation of the use permitted, be expected to economically recover. 32. Applicant/operator shall and does hereby agree to indemnify, protect, defend and hold harmless City, its Council members, officers, employees, agents and representatives, from and against any and all liabilities, losses, damages, demands, claims and costs, including court costs and attorneys' fees {collectively, "liabilities"} incurred by the City arising, directly or indirectly, from (a) City's approval and issuance of this conditional use permit, (b) City's approval or issuance of any other permit or action, whether discretionary or non-discretionary, in connection with the use contemplated herein. Applicant/operator shall acknowledge their agreement to this provision by executing a copy of this conditional use permit where indicated, belaw. Applicant's/operator's compliance with this provision is an express condition of this conditional use permit and this provision shall be binding on any and all of Applicant's/operator's successors and assigns. G. EXECUTION AND RECORDATION OF RESOLUTION OF APPROVAL The property owner and the applicant shall execute this document by signing the Lines provided below, said execution indicating that the property owner and applicant have each read, understood, and agreed to the conditions contained herein. Upon execution, this document shall be recorded with the County Clerk of the County of San Diego, at the sole expense of the property owner and/or applicant, and the failure to return a signed, stamped copy of this recorded document within ten days of recordation to the City Clerk shall indicate the property owners/applicant's desire that the project, and the corresponding application for building permits 18-12 :~9~? Resolution 2001-3b5 Page 8 and/or a business license, be held in abeyance without approval. Said document will also be on file in the City Clerk's Office. r7 a /' Signature roperty er Date ~~- 6 y -~ Signature of Property er Date ~~ -~ Date 1~- ~ b ~ Date _~~ - S` ' ~ Date H. ADDITIONAL TERM OF GRANT This permit shall expire ten (10) years after the date of its approval by the City Council. After the first five (5) years, the Zoning Administrator shall review this Conditional Use Permit for compliance with the conditions of approval, and shall determine, in consultation with the applicant whether the Conditional Use Permit shall be extended for an additional five (5) years. At any time prior to the ten (10) yeaz expiration date, the applicant may apply for an extension. I. NOTICE OF DETERMINATION The City Council directs the Environmental Review Coordinator to post a Notice of Determination and file the same with the County Clerk. J. INVALIDITY; AUTOMATIC REVOCATION It is the intention of the City Council that its adoption of this Resolution is dependent upon the enforceability of each and every term, provision, and condition herein stated; and that in the event that any one or more terms, provisions, or conditions aze determined by a Court of -•~ 18-13 ./ ~,~ ~_ _. Signa Represe 've of Village Card Room ~~~~ Resolution 2001-3b5 Page 9 competent jurisdiction to be invalid, illegal, or unenforceable, this resolution and the permit shall be deemed to be automatically revoked and of no further force and effect ab initio. Presented by ~~2~ Robert A. Leiter Planning and Building Director Approved as to form by Jo . Kaheny Attorney PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista, California, this 23rd day of October, 2041, by the following vote: AYES: Councihnembers: Davis, Rindone, and Horton NAYS: Councilmembers: Salas ABSENT: Councihnembers: Padilla ~~' ~, Shirley Horton ayor ATTEST: ~~ ~~'~~ Susan Bigelow, City Clerk STATE OF CALIFORNIA COUNTY OF SAN DIEGO CITY OF CHULA VISTA I, Susan Bigelow, City Clerk of Chula Vista, California, do hereby certify that the foregoing Resolution No. 2001-365 was duly passed, approved, and adopted by the City Council at a regular meeting of the Chula Vista City Council held on the 23rd day of October, 2001. Executed this 23rd day of October, 2001. Susan Bigelow, City Clerk 18-14 1 h :Ihomelplanninglcarlosll ocatorslPCC0016.cdr RESOLUTION NO. 2009- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING AMENDMENTS TO THE CHULA VISTA GAMING PLAN PURSUANT TO CHULA VISTA MUNICIPAL CODE SECTION 5.20.001 WHEREAS, the City Council of the City of Chula Vista is authorized to make amendments to its Gaming Plan by a majority vote by resolution after a public hearing pursuant to Chula Vista Municipal Code Section 5.20.001; and WHEREAS, the Village Club cardroom has requested that the City of Chula Vista make amendments to its Gaming Plan; and WHEREAS, on July 28th, 2009, the California Attorney General's Office approved the amendments to the Gaming Plan which were submitted by the City Attorney's Office; and WHEREAS, staff is recommending approval of these amendments based on the consent of the City Manager's Office and the Police Department; and NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista adopts the amendments to its Gaming Plan. Said amendments are attached hereto as Exhibit A to this Resolution. Presented by: Chance C. Hawkins Deputy City Attorney Approved as to form by: ~~~~~ ~ I~~~- 7`~ Bart C. Miesfeld City Attorney 18-16 CHULA VISTA GAMING PLAN In accordance with Chapter 5.20 of the Chula Vista Municipal Code (the "Gaming Code"), this document shall serve as the gaming plan for the City of Chula Vista (the "Gaming Plan"). This Gaming Plan was adopted on February 13, 1996, after a public hearing, pursuant to city council Resolution No. 18212. The Gaming Plan has been amended as follows: (1) on January 13, 1998 pursuant to Resolution No. 18862; (2) on November 10, 1998 pursuant to Resolution No. 19251; (3) on September 26, 2000, pursuant to Resolution No. 2000-332;__and (4) on , 2009, pursuant to Resolution No. 2009- The modifications contained in such amendments shall be deemed effective as of the dates of their adoption. Effective upon its adoption, this Gaming Plan shall implement, in its entirety, Subchapter 2 of the Gaming Code. In the event of any inconsistency between this Gaming Plan and the Gaming Code, the terms and conditions of this Gaming Plan shall govern. Except to the extent that this Gaming Plan expressly modifies or is otherwise inconsistent with the Gaming Code, the Gaming Code shall remain in full force and effect. This Gaming Plan is intended to deal only with the subject of cardrooms. No other types of gaming permitted by the code, subject to the adoption of a gaming plan with respect thereto, shall be permitted or governed hereby. To be permitted, such other types of gaming must be the subject of further action by resolution of the city council to amend or add to this Gaming Plan. 1. Cardroom Defined. CARDROOMS For the purpose of this Gaming Plan, a "cardroom" is defined to be any space, room or enclosure furnished or equipped with a table or tables used or intended to be used, either exclusively or in conjunction with another business or activity, as a card table for the playing of cards and similar games, and the use of which is available to the public. 2. Licensing. 2.1 License Reauired to Operate Cardroom -Individual Licensees Must be 21 Years or Older. A license from the city issued pursuant to the Gaming Code or this Gaming Plan, is required for any person, group of persons, partnership, corporation, or any other entity or organization (each a "Person" hereinafter) to engage in or carry on, or to maintain or conduct, or cause to be engaged in, carried on, maintained or conducted, any cardroom in the city. Any such activity J:\Attomey\Chance Hawkins\ChulaVistaGamingPlan.Revised.Final.doc ~$-~7 conducted without such a license, or otherwise in non-compliance with the terms of the Gaming Code, this Gaming Plan, or any and all other applicable federal, state and local laws and regulations shall be unlawful. No license shall be issued to any individual Person under the age of twenty-one years. 2.2 Number of Licenses Permitted -Existing Licenses. The number of licenses authorized to be issued or held, in the aggregate, under the provisions of this Gaming Plan shall be limited, based upon the population of the city according to the certified determination thereof by the state department of finance. The number of licenses so authorized may not be more than two (2). All such licenses shall be issued and held in accordance with the provisions of this Gaming Plan; provided, however, any Person holding a license or licenses to conduct cardroom operation upon the effective date of this Gaming Plan may continue to hold such license or licenses subject to the terms and conditions set forth herein. For purposes of determining the number of licenses which are authorized to be issued by the city hereunder, any two licenses which are "consolidated" pursuant to Section 2.6 hereof shall still be treated as being two separate licenses counted against the total number authorized. 2.3 Types of Licenses - Class I and Class II. 2.3.1 In General. There shall be two types of cardroom licenses: Class I and Class II. The characteristics, rights, obligations and limitations attributable, respectively, to a Class I or Class II licenses are set forth throughout this Gaming Plan. Subject to all such provisions, in general, (a) a Class I license shall permit the playing of all games permitted by the state attorney general to be within the permissible subject of local licensing by California cities, except games involving "back-line" betting; and (b) a Class II license shall permit the playing of all games permitted under a Class I license, and shall also permit games involving back-line betting. 2.3.2 All licenses issued by the city shall initially be Class I licenses. In order to convert a Class I license into a Class II license the holder of a Class I license (a) must have continuously operated a cardroom under its Class I license within the city for a period of three (3) years at a fixed location; and (b) must apply with the city and receive prior approval from the city for such conversion in accordance with the application procedures set forth in Section 2.4 hereof, below. 2.4 Application/Issuance Procedure. 2.4.1 Any Person desiring a cardroom license must submit an application therefore to the chief of police. Such application shall be on a form issued by, or otherwise approved in advance by, the chief of police. Such J:Wttorney\Chance Hawkins\ChulaVistaGamingPlan.Revised.Final.doc 18-18 application shall include, in addition to any other information required by the chief of police, (a) the true names and addresses of any and all Persons currently, or contemplated to have a "financial interest" in the cardroom operation proposed to be licensed; (b) the past criminal record, if any, of any and all such Persons; (c) the fingerprints of any and all such Persons; (d) the proposed location of the cardroom; and (e) anon-refundable fee, as presently designated, or as may in the future be amended, in the Master Fee Schedule, to cover the cost of processing the application and of any required investigation of the applicant. Upon the issuance of a cardroom license, the chief of police may authorize the refund of the investigation portion of the application fee to any Persons who were not subject to investigations. 2.4.2 Each cardroom license application shall be totally independent and unassociated with any other application being submitted for the purpose of obtaining such a license. No applicant requesting a license pursuant to this section may have a financial interest, or any other interest (as described in Section 2.4.3 hereof) in any other cardroom license, or application pending therefore. 2.4.3 For purposes of this Section 2.4 and the Gaming Plan, the term "financial interest" shall mean any and all direct or indirect ownership, creditor or other interests, in a cardroom license, the cardroom business operated thereunder, the assets thereof, or the revenues generated thereby. Such an interest shall include, without limitation, any and all interests held by building owners, landlords, tenants, equipment or fixtures owners, lessors or lessees, creditors, lenders or guarantors related in any way to the ownership, financing or operation of the cardroom; and (b) a parent, spouse, sibling or child of an individual Person holding a direct, majority or controlling ownership interest in a license or cardroom shall also be deemed the holder of a "financial interest" for purposes of this Section and this Gaming Plan. 2.4.4 Any new or revoked cardroom license otherwise qualified for issuance may be issued during the period of May 1 through June 30 following the availability or revocation date of such a license. After the expiration of this period no further licenses shall be issued until the following May 1 through June 30 period. In the event that there are applications in excess of the number of licenses available in accordance with the limitations set forth in Section 2.2 hereof, a license may be issued to the most qualified of such applicants in accordance with a procedure established by the city. Notwithstanding the foregoing, the city shall decide, in its sole discretion, as to whether to issue any cardroom license authorized hereunder, and whether or how to condition such an issuance; furthermore, the city reserves the right, for any reason whatsoever, to reject any and all applications for a cardroom license hereunder. 2.5 Transfers. J:\Attomey\Chance Hawkins\ChulaVistaGamingPlan.Revised.Final.doc 18-19 2.5.1 In General. Any license issued pursuant to the Gaming Code or this Gaming Plan, a cardroom operated thereunder, or any director indirect interest therein, may be transferred, but only in strict accordance with the terms and conditions of this Section 2.5. Transfers governed by this section shall include, without limitation, any and all sales, leases, conveyances, assignments, grants, pledges, gifts, devises, donations and/or similar transfers by a Person of any or all of such Persons, direct or indirect, ownership interest in a license or cardroom operated thereunder, or "financial interest" in a license or cardroom operated thereunder, as such concept is defined in Section 2.4.3 hereof. Such transfers shall include, without limitation, (a) a transfer of all or any shares by a shareholder in a corporate licensee; (b) the transfer of all or any partnership interest by a partner in a partnership licensee; (c) the transfer of all or any portion of a controlling shareholder or partnership interest in an entity which itself holds a direct or indirect ownership or financial interest in a license or cardroom; and (d) a transfer of a substantial portion of the assets of a Person holding a license or a cardroom operated thereunder. 2.5.2 Application Required. A license may only be transferred to a Person that submits an application for approval by the chief of police and receives approval from the chief of police in accordance with the procedures set forth for the issuance of a licenses set forth in Section 2.4 hereof. Fees for the application and investigation relating to transfers are addressed in Section 2.5.8 herein. 2.5.3 Approval Required. Any and all proposed cardroom license transfers must receive (a) prior written approval of the chief of police, which approval may be withheld in the sole discretion of the chief of police, (b) approval by the State of California Division of Gambling Control; and (c) the ratification of the city council, which ratification may be withheld in the sole discretion of the city council. Such approval and/or ratification may be conditioned as the acting parties deem appropriate, and may be based, but is not required to be based, entirely or in part on the assessment by the chief of police or, as applicable, the city council, of the character of the proposed licensee, or on the opinion of the approving or ratifying entity, that there appears to be good cause why such Person should or should not operate a cardroom. Notwithstanding the foregoing in the event of a transfer directly caused by the death or divorce of a Person holding a financial interest in a license, the "prior approval" requirement, above, shall be amended to require that approval of the resulting transferee be obtained by no later than sixty (60) days following the death or divorce causing such transfer. The time limit may be extended provided the resulting transferee has submitted its application and such additional information as may have been requested with the licensing authorities in a timely fashion. J:Wttomey\Chance Hawkins\ChulaVistaGamingPlan.Revised.Final.doc 18-20 2.5.4 Three Years Operation Required Before Transfer. With the exception of those licenses which have been issued prior to September 1, 1992, no license may be transferred unless and until the holder thereof has been operating a cardroom governed by such license for three (3) years at a fixed location in the city. Licenses issued prior to September 1, 1992 may not be transferred unless and until the holder thereof has been operating a cardroom governed by such license for one (1) year at a fixed location within the city. 2.5.5 Non-Complying Transfers. In the event of a purported transfer of a license which does not comply with the terms of this Section (a) the purported transferor shall be subject to monetary penalties as provided in Section 4.2 hereof; (b) the purported transferee shall have no rights to operate a cardroom in the city under the authority of such license; (c) the license involved shall be subject to revocation by the city as provided in Section 4.3 hereof; and (d) the transfer may otherwise be declared null and void. J:Wttorney\Chance Hawkins\ChulaVistaGamingPlan.Revised.Final.doc ~$-21 2.5.6 Special Rules for Transfers of Class II Licenses. 2.5.6.1 Except as otherwise provided herein, upon the transfer, either all at once or in a series of transfers, of a "material or controlling financial interest" (define below) in a Class II license, the Class II license which is the subject of such transfer shall immediately revert back to a Class I license. A Class II license so reverted may be converted back to a Class II license, but only in accordance with the provisions of Section 2.3.2 hereof. 2.5.6.2 Notwithstanding the foregoing, a material or controlling interest in a Class II license may be transferred without reversion of the subject Class II license to Class I status subject to the following terms and conditions: (a) The transfer must be to a "pre-qualified transferee". For purposes of this Section, a "pre-qualified transferee" shall be defined as a Person on record with the chief of police as a Person holding a financial interest in the license, which, with the prior knowledge of the chief of police, acknowledged in writing thereby, has been substantially responsible for the management and operations of the licensed cardroom continuously for a period of three (3) years. (b) In addition to the agreement required pursuant to Section 5.5 hereof, any pre-qualified transferee shall enter into a written agreement with the city whereby such Person, on behalf of itself, any successors or assigns thereof, and any and all parties with a financial interest in the license or the cardroom operated thereunder, agrees that (a) the Class II status of the license to be transferred thereto shall be temporary and subject to reversion to Class I status in accordance with this Section; and (b) any action taken by the City to revert the Class II license to a Class I license shall not constitute a taking of any property or other interest held by such Person(s); and (c) such Person(s) waive and agree not to pursue any and all claims or other action against the City in connection with a City decision to revert the Class II license to a Class I license. ( c) Until such time that Class II Games have been operated continuously by the pre-qualified transferee for a period of one (1) year following the effective date of the transfer of the Class II license, or such longer period as the Class II license, or such longer period as the chief of police may require (the "Temporary Class II Status Period"), the Class II statues of the license shall be temporary, and therefore subject to reversion to a Class I license upon a determination by the chief of police, in his/her sole discretion, for any or no reason whatsoever, that the transferee should be required to first operate as a Class I licensee prior to being permitted to operate as a Class I I licensee in J:Wttomey\Chance Hawkins\ChulaVistaGamingPlan.Revised.Final.doc ~$-22 accordance with the terms and conditions of Section 2.3.2 hereof. Such determination may be made at any time within thirty (30) days after the expiration of the Temporary Class II Status Period. (d) Pre-qualification of a potential transferee hereunder shall not constitute City approval of a transfer to such potential transferee and any such transfer shall remain subject to the provisions of Section 2.5 hereof. 2.5.6.3 For purposes of this Section, the City shall determine, in its sole discretion, what constitutes a "material or controlling financial interest"' provided, however, in general, a transfer of a financial interest for purposes of pre-qualifying a Person under Section 2.5.6.2 shall not be considered the transfer of a "material or controlling financial interest". 2.5.7. Except as otherwise provided herein, upon the transfer, either all at once or in a series of transfers, of a material or controlling financial interest in a license or the cardroom operated thereunder, the holder of the license which is the subject of such transfer shall be considered to be new holder of such license subject to any and all provisions hereunder applicable thereto. 2.5.8. Full Cost Recovery for Administrative Costs Associated with Transfer. Any person submitting an application for transfer of a license shall be responsible for payment to the City of all actual administrative costs incurred by the City including the cost of staff time, at the City's full cost recovery rate, associated with the investigation of the application for a license transfer and review of transfer documents. The chief of police shall estimate the cost of City staff and other administrative costs in connection with an application and the Person shall deposit such amount at the time of submitting the application for license transfer to the chief of police. If actual costs incurred exceed the initial deposit the chief of police may require the applicant to make additional deposits to offset costs incurred or to be incurred by the City. If the amount estimated is in excess of the cost incurred, the difference will be refunded to the applicant at the end of the City's review. 2.6 Consolidation. 2.6.1 In General. Notwithstanding any other section of this Gaming Plan to the contrary, the holder of a Class I or Class II license may acquire one, but only one, additional Class I or Class II license, subject to the consolidation rules and procedures of this Section 2.6. Under no circumstances may any Person acquire or hold more than two licenses. 2.6.2 Required Qualifications/Procedures. In order to acquire an additional license, an existing license holder (a) must have continuously J:Wttomey\Chance Hawkins\ChulaVistaGamingPlan.Revised.Final.doc 18-23 operated a cardroom under its existing license within the city for a period of three (3) years at a fixed location; and (b) must apply with the city and receive prior written approval from the city for such acquisition in accordance with the rules and procedures set forth in Section 2.4 hereof regarding the initial issuance of licenses. If the additional license is to be acquired from another existing license holder, such application shall also be made in accordance with the rules and procedures governing license transfers set forth in Section 2.5.3 hereof. 2.6.3 Effect of Consolidation; Deemed Consolidation. If an application for the acquisition of an additional license is granted, the two licenses held by the applicant shall become "consolidated". In addition, licenses shall be deemed to be "consolidated" in the event that the same Person holds, or comes to hold, a "financial interest" (as defined in Section 2.4.3 thereof) in such licenses or the cardrooms operated thereunder. Under a consolidated license, the maximum number of tables permitted to be operated is fi•~°'~~° ~~ ~' sixteen (16~, subject to any additional or contrary terms and conditions set forth in Section 3.5 and/or other provisions of this Gaming Plan. All tables operated under a consolidated license must be operated in the same location. 2.6.4 Class I with Class II Consolidations. In the event that a Class I license is consolidated with a Class II license, the following rules shall apply: (a) if the previous owner of the Class II License retains majority ownership and control over the consolidated license, the full benefits and burdens hereunder of Class II status shall apply to all the card tables operated under such consolidated license (b) if the previous owners of the Class I License retains majority ownership and control over the consolidated license, the consolidated license shall retain Class I status and the requirements for conversion to a Class II License under Section 2.3.2 of this Gaming Plan shall continue to apply. 2.7 License Tax. 2.7.1 In General. There shall be a license tax imposed on any licensed cardroom within the city in accordance with the terms of this Section 2.7. The license tax is imposed for purposes of generating revenues to the general fund of the city and for purposes of regulation. The tax shall be imposed against the number of tables that are licensed by the city pursuant to the terms of this Gaming Plan that are also permitted to be operated by the City at the location where the license is being utilized pursuant to the City's land use laws and regulations. The tax shall be imposed based upon the maximum number of tables so licensed and permitted based upon the class of license issued with respect thereto, regardless of the number of tables which may actually be operated on any given day or the class of game conducted thereon. J:Wttorney\Chance Hawkins\ChulaVistaGamingPlan.Revised.Final.doc 18-24 2.7.2 Amount of Tax Rate. The license tax to be assessed and collected on each licensed cardroom shall be the applicable "base rate" tax determined as follows: 2.7.2.1 Base Rate: a. Class I -Non-consolidated: The base license tax for card tables licensed under a single, non-consolidated Class I license shall be $1,500 per card table per quarter for a cardroom authorized to operate six (6) days per week; and $1,750 per card table per annual quarter for a cardroom authorized to operate seven (7) days per week. b. Class I -Consolidated: The base license tax for card tables licensed under a consolidated Class I license shall be $2,500 per card table per annual quarter. c. Class 1fA -Higher Level Betting: -,o;n„ ho+ +"The base license tax for such Class 1A~ card tables shall be $3,750 per card table per annual quarter. Such games may be referred to herein as "Class 1fA" games. d. Class II: The base license tax for each card table licensed to play Class II games under a Class II license shall be $5,000 per table per annual quarter. For example, a single non-consolidated Class I license is converted to a Class II License, the base rate for 6 of the 8 licensed tables shall be determined by the applicable Class I rate, and the base rate for the remaining two tables shall be the Class II base rate. This rate shall apply to the maximum number of Class II tables licensed and permitted to be operated at the cardroom location regardless of whether or not Class II games are actually being played at such tables. 2.7.3 Procedures for Payment of Tax. 2.7.3.1 Advance Payment. The license tax assessed hereunder shall be payable quarterly in advance by no later than the day falling fifteen (15) days prior to the first day of each calendar quarter. 2.7.4 Audit rights. The City shall have the right to conduct an independent audit of licensee's accounting records at any time upon three (3) days prior written notice to licensee. The audit shall be performed by a party designated by the City, subject to the reasonable approval of licensee. If the City elects to conduct such an audit, the licensee shall be responsible for reimbursing City costs incurred in connection therewith. The licensee's J:Wttorney\Chance Hawkins\ChulaVistaGamingPlan.Revised.Final.doc 18-25 reimbursement obligation under this Section shall not exceed $10,000.00 per any twelve (12) month period. 2.7.5 Tax Receipt. The finance director shall issue a receipt for each licensed cardroom and such receipt shall be displayed on the premises during the full term for which such receipt was issued. 2.7.6 Annual Increase in Base License Tax Rate. The base rate license tax amounts set forth in Section 2.7 shall be increased by five percent (5%) per year. The first increase shall take effect on July 1, 2001 and each subsequent increase shall take effect on each July 1 thereafter. 3. Operating Limitations and Conditions. 3.1 City Land Use Regulations Shall Control. All cardrooms and card table operations shall be subject to the city's land use regulations. Notwithstanding any provision in this Gaming Plan to the contrary, no cardroom operations shall be permitted without the prior acquisition of any and all necessary approvals and permits from the city in connection therewith, and any cardroom operation with such approvals and permits shall operate in strict compliance with any and all terms and conditions thereof. 3.2 Games Permitted. 3.2.1 Class I License: Subject to the terms and conditions of this Gaming Plan and the Gaming code, the holder of a Class I cardroom license shall be permitted to operate a cardroom which conducts all card games which were determined by the attorney general to be within the permissible subject of local licensing by California cities, but that do not involve "backline betting", and that have been approved by the chief of police as of September 26, 2000. The games permitted under this section shall be referred to herein from time to time as "Class I Games". A list of permitted Class I Games shall be maintained by the chief of police. Class I Games include, but are not limited to, the game of "caribbean stud poker", "hold `em poker", "pineapple poker" or "pineapple high- low split". A holder of a Class I or Class II license may petition the chief of police to add games to this list, but not more than once in any consecutive twelve month period. The chief of police shall have the right to approve or disapprove any proposed new games in his/her sole discretion, and such decision shall be final. 3.2.2 Class II License: subject to the terms and conditions of this Gaming Plan and the Gaming code, the older of a Class II cardroom license shall be permitted to operate a cardroom which conducts all card games permitted by a Class I license (as described in Section 3.2.1, above,), plus those J:\Attorney\Chance Hawkins\ChulaVistaGamingPlan.Revised.Final.doc 18-26 card games which involve backline betting. Such games shall be referred to herein from time to time as "Class II Games", and include "pai gow poker" (considered a "Class II Game"), "no bust 21St century blackjack 4.0" and all versions of "21S century blackjack" (which are considered "Class 1A" games but are included under a Class II License) -For purposes of this Gaming Plan,- , back- line betting may be conducted, as that term is understood pursuant to Business and Professions Code Section 19843, and provided that the player-dealer position is continuously and systematically rotated amongst the players. A list of permitted Class II games shall be maintained by the chief of police. A holder of a Class II license may petition the chief of police to add games to this list, but no more than once in any consecutive twelve month period. The chief of police shall have the right to approve or disapprove any proposed new games in his/her sole discretion, and such decision shall be final. 3.2.3 Posting of Permitted Games -Game Being Played. There shall be posted in every cardroom in letters plainly visible from all parts thereof, signs stating which games have been approved for play at said cardroom. In addition to the foregoing, each table shall identify by prominent sign located thereon the game which is currently being played at said table. 3.3 Game Rules. 3.3.1. In General. No permitted game may be played in a cardroom unless and until a written set of rules ("Games Rules") for such a game has been submitted to the chief of police and approved thereby. Said approval may be amended, conditioned or revoked from time to time in the sole discretion of the chief of police. Each and every permitted game must, at all times, be played strictly in accordance with the approved and posted Game Rules applicable thereto. Variations of a game, unless specifically described in the Game Rules, shall not be allowed. 3.3.2 Posting of Game Rules. A copy of the approved Game Rules showing thereon the approval of the chief of police shall be posted in the cardroom in a conspicuous place readily available to the patrons or prospective patrons and visible from any seat at any card table on the premises. 3.4 Hours and Days of Operation. Licensed cardrooms may operate seven days per week, twenty- four hours per day subject to any and all land use conditions imposed by the City with respect to a specific site of operation. J:\Attorney\Chance Hawkins\ChulavistaGamingPlan.Revised.Final.doc 18-27 3.5 Maximum Number of Tables. 3.5.1 Class I -Non-Consolidated. The maximum number of tables that may be operated under a single, non-consolidated Class I license shall be eight (8). 3.5.2 Class I -Consolidated. The maximum number of tables permitted under a consolidated Class I license shall be fig,°'"° ~'"` nine 9 during gaming operations. 3.5.3 Class II - Non-Consolidated. The maximum number of tables that may be operated under anon-consolidated Class II license shall be eight (8). Of that eight, only two (2) shall be allowed to conduct Class II games. 3.5.4 Class II - -Consolidated. The maximum number of tables that may be operated under a consolidated Class II license shall be'~~~°'~~° ~1 ~` sixteen (16). Of the fi.,°'~~° ~"` sixteen (16), a maximum of three (3) tables shall be allowed to conduct Class II games at any one time, a maximum of four (4) tables shall be allowed to conduct Class 1A games at any one time, and a maximum of nine (9) tables shall be allowed to conduct Class I games at an rL one time. 3.6 Maximum Number of Players Per Table. 3.6.1 Class I Tables. No more than Rifle-{$)-ten 10 players shall be permitted at any one card table conducting Class I games. Only persons seated at the card table as players shall be permitted to bet. 3.6.2 Class II ~ 1A Tables. No more than seven-E~-ei ht 8 seated players with t-k~ee-one 1 additional standing players per seat "backline" betting behind the seated player, feFa-tetat-s#not to exceed a total of y- Eynhtsixteen (16) players (standing and sitting) per table shall be permitted at any one card table conducting Class II or 1A Games. 3.7 Maximum Bets and Betting Rules. 3.7.1 In General. There shall be no limit on bets or wagers, subject to chief of police review as set forth below. 3.7.2 Chief Of Police Discretion. Maximum bets and betting rules may be modified upon review by the chief of police, in his/her sole discretion and control pursuant to a procedure to be implemented and administered by the chief. The chief of police's decision shall be final. J:\Attorney\Chance Hawkins\ChulaVistaGamingPlan.Revised.Final.doc 18-28 3.7.3 Adequate Funds on Hand/Payment Policy. At all times, licensee must have sufficient proceeds to reimburse any and all demands made upon said licensee for the payment of winnings by a cardroom patron. In the alternative, and subject to approval of the chief of police in his/her sole discretion, said licensee may have a written policy for full payment of winnings to a cardroom patron clearly posted in a place visible to cardroom patrons. 3.8 Maximum House Charges Per Hand - -Posting Required. nh~r,-.o in cvnooo of ~hroo .-Inll.+r i~~ nrn 0 +ho r,rivilor.o of n~rtinir+o}inn in ~r~~i (`I~+ c 11 ("_`nmo 3.8.1. Approval. All house charges per hand and any proposed charges subject thereto shall be subject to the approval of the chief of police prior to being imposed. 3.8.2 Posting Required. A copy of all schedules of house charges shall be provided to the pel~~e-s#ie#chief of police and shall be clearly posted in each licensed cardroom. 3.9 Work Permits and Identification Badges Required For Managers Key Employees and Employees. 3.9.1 Work Permit Required. Unless other provided herein, ~is~ rior to commencing work at a cardroom, each proposed key employee or employee of a cardroom, if such Person is other than the Person or Persons whose names appear on the application for the cardroom license, must obtain a work permit from the chief of police. 3.9.2 Temporary Probationary Work Permit. Temporary probationary work permits may be summarily issued upon payment of the requisite application fee for food and beverage servers, janitorial staff and kitchen workers pending the issuance of a regular annual work permit. Such temporary probationary work permits may be subject to immediate summary revocation with or without cause by the chief of police, and shall not be valid for more than thirty (30) days and shall automatically expire upon issuance of the J:Wttorney\Chance Hawkins\ChulaVistaGamingPlan.Revised.Final.doc 18-29 regular annual work permit or upon denial of the regular annual work permit application by the chief of police. The fee for temporary probationary work permit shall be non-refundable and in addition to the fee for the regular annual work permit application. 3.9.3 Application Process. Each proposed key employee or employee shall submit an application for the required work permit to the chief of police. Such application shall be on a form issued by, or otherwise approved in advance by, the chief of police. Such application shall include, in addition to any other information required by the chief of police, (a) the past criminal record, if any, of such Person; (c) the fingerprints of such Person; and (d) a non- refundable fee, as presently designated, or as may in the future be amended, in the Master Fee Schedule for cardroom applications, to cover the cost of processing the application and of any required investigation of the applicant including a criminal background check to be performed by the police department at the applicant's expense. The work permit, when issued, shall be valid for one (1) year. Any renewal must also be approved by the chief of police and will be subject to a criminal background check to be performed by the chief of police at the applicant's expense. The chief of police may deny the initial approval or renewal of a work permit if, in the chief of police's opinion, (1) in the case of a proposed key employee the applicant therefore should not be permitted to act as key employee or employee in lieu of management by the licensee of the cardroom; and (2) in the case of a proposed employee the applicant therefore should not be permitted to be employed in a cardroom. 3.9.4 Identification badges to be worn. Every key employee and employee of a cardroom shall, at all times when present in such cardrooms, wear an identification badge containing such Person's photograph, age, address and description of such individual.__ The identification badges shall be worn at chest level. 3.9.54 Limitation of Discretion to Issue Work Permit. In addition to any other restrictions provided by law, no work permit shall be issued to any other restrictions provided by law, no work permit shall be issued to anyone who is disqualified from holding a state gambling license, for any of the reasons specified in California Business and professions Code Section 19850. 3.9.65 Denial of an application for a Work Permit. Any application for a work permit shall be subject to objection by the State of California Division of Gambling Control (hereafter Division). If the Division objects to the issuance of a work permit it shall be denied. Such a denial my be reviewed in accordance with the Gambling Control Act (Business and Professions Code Section 19801 et seq.). J:\Attorney\Chance Hawkins\ChulaVistaGamingPlan.Revised.Final.doc 18-30 3.9.76 Employment of Persons to Stimulate Play Prohibited. 3.9.76.1 It shall be unlawful for any licensee, key employee, independent contractor, or employee of a cardroom to engage or persuade any Person to play cards for the purpose of stimulating play where such person is to receive any reward, whether financial or otherwise, present or promised; or where such reward or revenue is to be diverted to the licensee, a manager or employee except that the licensee may use employee proposition players in strict conformity with the provisions of Section 3.9.7 below. '3.9.76.2 (-vner~+ oc cvr~ro~cly r~ri+virlorl horoin if is i ~r~I~~Arf~ it ~ i i i r f o .Licensee may extend credit to a player in an amount not to exceed $?690- 20 000 at no interest subject to the following: (a) Only chips may be advanced, never money jb) The patron must demonstrate the present ability to pay; (c) When a patron requests chips on credit, the patron is given a credit application to complete; ~,d) The person issuing the credit shall be required to positively identify the patron by requesting valid identification. The Owner-operator shall maintain a copy of the creditor's driver's license orstate-issued photo identification card for purposes of identification; ~) The original of the credit application and the copy of the driver's license or photo identification card shall be maintained in the Owner- o~erator's files until all outstanding advances have been repaid. The Owner-operator shall produce a copy of such records to the Chula Vista Police Department upon request; (fl The Owner-operator decides whether to grant credit, and if credit is granted, at the same time determines the credit limit and terms for repayment; ~„g) The primary criteria for granting credit is whether the patron currently has funds in a bank to cover the advance; (h) At the time credit is granted the amount and repayment terms are entered on the application and in the computer, and so are available to the cashier; ~i) When the patron requests chips, the cashier checks the account on the computer and makes sure that the patron does not exceed the predetermined credit limit. The person issuing the credit shall also positively identify the patron by requesting valid identification; J:\Attorney\Chance Hawkins\ChulaVistaGamingPlan.Revised.Final.doc 18-31 (i) When the patron cashes out his chips, the amount owing is collected first from any money going to the patron; (k) The patron shall be provided a receipt or statement recording each transaction; (I) The Owner-operator shall maintain a written record of all outstanding credits issued pursuant to this policy. Such record shall include the full name and address of each borrower the amount of credit advanced, the date the credit was issued, the collateral posted (if any), a listing of all payments made and the amount of any unpaid balance. The Owner-operator shall produce a copy of the record to the Chula Vista Police Department upon request; (m) As a safeguard for responsible gambling, once the advances to a patron equal the credit limit, the patron shall not increase the limit until the amount owing is paid in full; (n) All credit extended under this policy shall be reported appropriately for state licensing purposes; and (o) No credit will be extended to cardroom employees or temporary license holders. 3.9.8 Employee Proposition Players. 3.9.8.1 A licensee shall use only employees as proposition players. 3.9.8.2 A licensee shall not allow, permit, or suffer more than two (2) proposition players to play at a card table at any given time, subject to modification by the chief of police in his/her sole discretion. The chief of police's decision shall be final. 3.9.8.3 The licensee shall not provide any compensation, reward, credit, chips, or any other thing of value or representation of value to an employee who acts as a proposition player other than salary or wages earned for the time the employee works as a proposition player. This prohibition does not prohibit a proposition player from receiving the same employment benefits as apply to all other employees of the licensee; provided however that no employee or independent contractor shall be paid in chips. 3.9.$x.4 A proposition player shall prominently display an identification badge pursuant to Section 3.9.3 at all times while present on the cardroom premises. 3.10 Intoxicating Beverages. 3.10.1 Intoxicating Beverages Permitted. Upon application to and approval by the chief of police, in his/her sole discretion and control and J:1Attorney\Chance Hawkins\ChulaVistaGamingPlan.Revised.Final.doc 18-32 pursuant to a procedure to be implemented and administered by the chief, alcoholic beverages may be served and consumed in a cardroom from the hours of X9912:00 PM to 2:00 AM. At all times that alcoholic beverages are served, food must also be made available and the cardroom shall comply with its ABC On-Site General Sale (Type 47) Eating Place license, where 50 percent or more of all sales must be food. The chief of police's decision concerning the consumption and service of intoxicating beverages shall be final. Additionally, licensee shall comply with all applicable state and local laws, rules and regulations, including the city's land use regulations, pertaining to the sale and service of intoxicating beverages. 3.10.2 Key Employee/employee Consumption Prohibited. The drinking of any intoxicating beverage by anyd key employee, independent contractor or employee of a card room while on duty is prohibited. The licensee of a cardroom shall take all necessary and appropriate steps to assure compliance with this section. 3.10.3 Permitting Intoxicated Persons to Play in Games Prohibited. No licensee, key employee, independent contractor or employee shall permit any Person to play in any game or at any time which such Person is under the influence of an intoxicating beverage, narcotic, or drug. 3.10.4 Permitting Intoxicated Persons on Premises Prohibited. No licensee, key employee, independent contractor or employee shall permit any Person to enter a gambling establishment at any time when such Person appears to be under the influence of an intoxicating beverage, narcotic or drug. 3.11 Minors Prohibited from patronage or Employment. No person under twenty-one years of age shall be employed at a cardroom, allowed to play games at a cardroom, or permitted in a cardroom area where games are being played. Minors may be allowed in non-gaming areas but only subject to the approval of the chief of police in his/her sole discretion whose decision shall be final. 3.12 Signs to be Posted. Licensee shall comply at all times with the sign requirements set forth in this Gaming Plan including, without limitation, Sections 3.2.3, 3.3.2, and 3.8.3 hereof, and any and all other signage or posting requirements contained in applicable federal, state or local laws, rules and regulations. J:\Attorney\Chance Hawkins\ChulaVistaGamingPlan.Revised.Final.doc 18-33 3.154 Licensee Responsible for Compliance and Supervision of Operations. The licensee of a cardroom shall be responsible for assuring that any cardroom operated under such license is operated in strict compliance with the terms of this Gaming Plan, the provisions of the Penal Code of the State of California and any and all other applicable federal, state, and local laws, rules, regulations, or permits. All cardrooms and/or card tables shall be supervised by the operator or an employee of the operator of the cardroom, to assure such compliance. Any violation of the cardroom operating limitations and conditions in this Section 3, or elsewhere in the Gaming Plan, whether or not caused by the licensee or any employee thereof, shall be considered a violation by the licensee of the terms and conditions of its license, and therefore subject to the City's enforcement rights and policies set forth in Section 4 hereof. 3.165 Patron Safety and Security. 3.165.1 Each licensee shall submit a written patron safety and security plan, designed to protect patrons and other persons who are lawfully on the premises of the permitted cardroom, to the chief of police for his/her approval prior to opening for operations. 3.165.2 The chief of police, in his/her sole discretion and control, shall have the right to require amendments to the patron safety and security plan that are, in his or her judgment, reasonably necessary to protect the public peace, health, safety, and general welfare. 3.165.3 Licensee shall be responsible for payment to the City of all actual administrative costs incurred by the City including the cost of staff time, at the City's full cost recovery rate, associated with the oversight of the patron safety and security plans required by this section, including the administrative costs associated with the review and approval of a patron safety and security plan or any amendments thereto which may be mandated by the chief of police. The chief of police shall estimate the cost of City staff and other administrative costs in connection with oversight of the patron safety and security plans and the licensee shall deposit such amount at the time of submitting the patron safety and security plan to the chief of police. If actual costs incurred exceed the initial J:\Attorney\Chance Hawkins\ChulaVistaGamingPlan.Revised.Final.doc 18-34 deposit the chief of police may require the applicant to make additional deposits to offset costs incurred or to be incurred by the City. If the amount estimated is in excess of the cost incurred, the difference will be refunded to the applicant at the end of the City's review. 3.176 Crime Reporting Requirement. 3.176.1 Every licensee, key employee, employee, or independent contractor of a cardroom shall immediately report to the Chula Vista Police Department any crime committed on the cardroom premises. 3.176.2 Each licensee shall maintain a chronological criminal activity log and such other reports as the chief of police may determine are needed in order to effectively assist the Chula Vista Police Department to carry out its law enforcement function and protect the public health, safety, and welfare. 3.176.3 It shall be unlawful for a licensee, manager, employee or independent contractor of a cardroom to disable any 911 access on any public telephone on the cardroom premises. J:\Attomey\Chance Hawkins\ChulaVistaGamingPlan.Revised.Final.doc 18-35 3.18 Licenses or Key Employee on Premises. A cardroom shall have on the premises, at all times the cardroom is open to the public, the licensee or a key employee. A "key employee" for purposes of this section is defined as an employee who shall have access to all cardroom premises for purposes of inspection or for purposes of compliance with any provision of this Gaming Plan and who shall have the responsibility and authority to ensure immediate compliance with the Gaming Plan and all state laws and regulations pertaining to gaming. Further each cardroom licensee shall identify in writing the name, address, and telephone number of each key employee, and each key employee shall wear an identification badge designating the employee as a key employee. 4. Enforcement. 4.1 In General. It is unlawful and a violation of this Gaming Plan to obtain, transfer or consolidate a cardroom license, or to operate a cardroom in violation of any of the regulations and rules set forth in the Gaming Code, this Gaming Plan, and any and all other applicable federal, state and local laws, rules, regulations or permits. 4.2 Monetary Fines. 4.2.1 Amounts of Fines. For any violation of the terms of this Gaming Plan, the city shall have the right to impose a penalty of up to $1,000 per day for each day the licensee is in violation. In the event that a licensee is cited for a violation (not necessarily the same violation) more than three (3) times within a six month period, upon the fourth such citation, and with respect to any occurrence thereafter, the city shall have the right to impose a penalty of up to $5,000 per day the licensee is in violation. 4.2.2 Imposition of Fine Not Election of Remedies. The pursuit of monetary fines against a licensee or the receipt of payment therefore shall not constitute an election of remedies on the part of the city and thus shall not preclude any other course of action such as may be available including, without limitation, the revocation of the cardroom license held or issued hereunder, the revocation of any and all permits or approvals permitting the operating of the cardroom, and any and all other remedies available to the city at law or in equity.. 4.3 Revocation and Suspension. 4.3.1 City Right to Revoke or Suspend. Any cardroom license issued or held hereunder may be revoked or suspended by the city, after a public J:Wttorney\Chance Hawkins\ChulaVistaGamingPlan.Revised.Final.doc 18-36 hearing, upon the determination by the city council and the chief of police that with respect to the license and/or cardroom operated thereunder, there has been a material violation, or repeated violations of this Gaming Plan or any or all other applicable federal, state or local laws, rules, regulations or permits. 4.3.2 Material Violation. The city shall determine, in its sole discretion, what shall constitute a material violation for purposes of revocation or suspension under this Section 4.3. Material violations may include, without limitation, the following: (a) A misrepresentation or exclusion on any application for approval, report or statement of revenues required to be submitted under this Gaming Plan or under any other applicable federal, state or local law, rule, regulation or permit. (b) Anon-complying purported transfer of a cardroom license held or issued hereunder. ( c) Allowing persons other than those named in the application on file with the city to own an interest in, or have direct management of a cardroom. (d) Maintaining a greater number of tables than the number permitted by the license. (e) Failure to strictly comply with any and all federal, state and local laws, rules, regulations and permits applicable to the holding of a license or the operation of a cardroom hereunder, including, without limitation local land use and other code provisions. (f) Failure to pay, when due, the amount of license tax owed pursuant to Section 2.7 hereof. (g) Citation of five (5) or more minor violations of this Gaming Plan within any twelve (12) consecutive months. (h) The conduct of criminal or dangerous activities at or attributable to the licensed cardroom. (i) Failure to pay, when due, the amount of any monetary fine imposed pursuant to Section 4.2.1 hereof. Q) Refusal to permit city access to a cardroom for purposes of auditing or inspecting same. 4.4 Inspection Rights. J:Wttorney\Chance Hawkins\ChulaVistaGamingPlan.Revised.Final.doc 18-37 The City shall have the right, at any time, without notice, to enter into any cardroom operating within the city and to conduct a reasonable inspection of all areas of such cardroom, and /or any or all fixtures, equipment, accounting materials or documents contained therein, in order to determine whether or not such cardroom is being operated in accordance with this Gaming Plan. This inspection right is in addition to the audit rights enumerated in Section 2.7.4 herein. 5. General Provisions. 5.1 Definitions. Except as otherwise expressly defined herein, capitalized terms, and terms otherwise requiring definitions for proper interpretation, shall have the meanings ascribed thereto by the Gaming Code. 5.2 Section Headings. Section headings contained herein are for reference purposes only and shall not be deemed to govern, limit, modify or in any manner affect the scope, meaning or intent of the provisions of any section hereof. 5.3 Gaming Plan Amendments. 5.3.1 City Council Approval Required. This Gaming Plan may be revoked or amended, in whole or in part, at any time, after a public hearing, by approval of the city council. 5.3.2 Full Cost Recovery for Administrative Costs Associated with modifications to gaming Plan. Any Person requesting any modification to the Gaming Plan shall be responsible for payment to the City of all actual administrative costs incurred by the City including the cost of staff time, at the City's full cost recovery rate, associated with the request for modification of the Gaming Plan. The chief of police shall estimate the cost of City staff and other administrative costs in connection with the requested modification and the Person shall deposit such amount at the time of submitting his/her request for modification to the Gaming Plan. If actual costs incurred exceed the initial deposit the chief of police may require the applicant to make additional deposits to offset costs incurred or to be incurred by the City. If the amount estimated is in excess of the cost incurred, the difference will be refunded to the applicant at the end of the City's review. 5.4 Integrated Plan. J:Wttorney\Chance Hawkins\ChulaVistaGamingPlan.Revised.Final.doc 18-38 All provisions of this Gaming Plan are intended to be integral parts of a comprehensive regulatory scheme. In the event that any material provision hereof is finally determined to be invalid, then, as of the date of such determination (a) the entire Gaming Plan shall, AB initio, become void and of no effect, and (b) the Gaming Code provisions otherwise implemented or superseded hereby shall become effective. 5.5 Agreement of Licensee to Accept Validity and Abide by all Provisions. Each license which holds or is issued a license hereunder, in order to legally operate a cardroom within the city must first enter into a written agreement with the city whereby such licensee agrees, on behalf of itself, any successors or assigns thereof, and any and all parties with a financial interest in the license or the cardroom operated thereunder, that such Persons (a) shall abide by any and all provisions of the Gaming Plan; (b) acknowledge that all provisions of the Gaming Plan are valid and enforceable by the city against such Persons; and (c) waive and agree not to pursue any and all claims or other action against the city that any or all provisions of the Gaming Plan were not legally adopted, valid or enforceable with respect thereto. J:\Attorney\Chance Hawkins\ChulaVistaGamingPlan.Revised.Final.doc 18-39 !TY COUNCIL STATEMENT ~`~~ CtTY OF CHUtAVISTA OCTOBER 6, 2009, Item ~`~ ITEM TITLE: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING NETWORK LICENSE AND ENCROACHMENT PERMIT AGREEMENT WITH NEXTG NETWORKS, INC., FOR THE INSTALLATION AND OPERATION OF AS MANY AS 100 WIRELESS MICRO TELECOMMUNICATIONS FACILITIES OR SUBSTANTIALLY SIMILAR FACILITIES ON CITY- OWNED AND CONTROLLED PROPERTY, SUBJECT TO ALL NECESSARY APPROVALS, FOR A PERIOD OF 10 YEARS WITH AN OPTION TO RENEW FOR TWO ADDITIONAL FIVE YEAR TERMS SUBMITTED BY: DIRECTO ONS NATION & ENVIRONMENTAL SERVIC CITY MANAGER REVIEWED BY: ASSISTANT CIT NAGER ~~ 4/STNS VOTE: YES ~ NO ^X SUMMARY Conservation & Environmental Services Department (CES) is submitting a Telecommunications Network License and Encroachment Permit Agreement with NextG Networks Inc. of California, a Delaware Corporation (NextG) for the City Council's review and consideration. Adoption of the proposed resolution would establish an Agreement between the City and NextG for the installation of up to 100 total wireless telecommunication facilities (WTF) on property owned or controlled by the City substantially as documented in Exhibit A. The City anticipates that NextG may seek up to 20 additional sites on private property. The proposed Agreement includes mutually beneficial and agreed upon terms including timely and cost effective processing options for a number of substantially similar facilities within the City, $300 per site initial fee, $500 per site annual fee, a 3% per year CPI adjustment for facilities on property owned or controlled by the City, 5% of gross revenue for all facilities on public or private property within the City, use of fiber for City 19-1 OCTOBER 6, 2009, Item Page2of5 communications, and an increased. performance and security bond level and related provisions that protect the condition of the Right of Way. The NextG facilities establish a wireless network that addresses two of the Council's historical objectives: provision of co-location at each site that will support at least two carriers, and extension of the quality and availability of coverage for emerging wireless telecommunication services to commercial, residential, and educational customers in a competitive manner. The Agreement establishes an initial ten-year term with options for two additional five- year terms that are subject to the City's review and approval. The City retains its preferred technical conditions and language that supports the collection of related Franchise Fees and Utility User's Tax from the ultimate carrier. ENVIRONMENTAL REVIEW The Environmental Review Coordinator has reviewed the proposed activity, approval of a Master Licensing Agreement, 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. Although environmental review is not necessary at this time, each individual wireless telecommunication facility will have environmental review once the projects are further defined and a CEQA determination will be completed prior to installation of any new facilities. RECOMMENDATION That Council adopt the resolution. BOARDS/COMMISSION RECOMMENDATION Staff has submitted the proposal to the Technology Sub-committee and will be prepared to verbally present their comments and recommendation at the Council meeting if requested. DISCUSSION The City Council approved Resolution 18601 on March 18, 1997, conceptually approving the marketing of City properties for use by telecommunications companies. On September 16, 1999, the City Council approved Master License Agreements (MLA) with AT&T and Cox PCS, Assets, LLC, for installation and operation of as many as 50 wireless communication sites on property owned or controlled by the City. The City also approved an MLA with Pacific Bell Wireless, LLC for as many as 25 sites in November 2002, with Cricket for as many as 35 sites in February 2006, and with the New Cingular (AT&T) for as many as 25 sites in July 2007. In December 2007 the City completed an MLA with T-mobile for up to 25 sites. There are approximately 2~ sites on property owned or controlled by the City under those leases generating approximately $400,000 in annual lease revenue with approximately another 13 sites currently in consideration. NextG is applying for a license agreement that would cover up to 100 ``micro" sites on City owned or controlled property and additional sites on private property that serve to 19-2 OCTOBER 6, 2009, Item Page 3 of 5 fill in the areas of poor signal coverage or high volume for existing carriers. The proposed facilities are similar in nature and substantially as depicted in Exhibit A. In 1998, when the City began negotiations, Council originally directed staff to negotiate rates that would provide wireless carriers an incentive to come to Chula Vista. It was Council's desire at that time to see Chula Vista commercial and residential consumers have the opportunity to be early adopters of the technology and benef t from the competition of multiple carriers. Staff reached out to the industry, held workshops and invited them to the City to structure "master'' agreements that would provide prompt entry at below-market rates. Eleven years later; now that the technology is readily available and provides competitive options, Council has asked staff to ensure that the City is receiving market rates for its sites. Additionally, over a relatively short period of time, the technology has evolved from a unique business tool, used by a few people, primarily in commercial areas, to a common business and household convenience used .almost everywhere. That has .put tremendous demand on sites in predominantly residential areas with few site options. The increase in sites to cover the varied topography of a grov~~ing city increases exponentially by: 1) the limitations that each site can carry during peak periods, 2) the increased intensity of bandwidth use for items such as music, video and Internet uses versus the original voice functions, and 3) the desire to accommodate more carriers with the expectation of fostering greater consumer choice, competition for price and service quality. The public demand for these services continues to grow and all of these issues place a greater demand on sites, particularly in residential neighborhoods. Federal and state law does not allow cities to deny permits based on health or solely on aesthetics issues, or to deny permits for which there are no reasonable alternatives. The Council and staff have worked with industry for many years on a "master license agreement" approach to reduce the pressure on siting these facilities in less appropriate areas. The MLAs or in this case the Network License provides the City with an opportunity to work cooperatively with the carriers to expedite their projects, provide adequate volume and coverage needed to meet public demand, provide incentives to pursue sites that have the least impact to residents, and meet the aesthetic and safety goals of the community while capturing revenue that helps the City fund public services at no additional cost to the ratepayer. Above all, the wireless industry values rapid deployment, and works with the City to accommodate the community's objectives based predominantly on our ability to demonstrate a record of timely zoning and construction approvals that support that goal. The City Attorney's Office, Finance, Planning, and Risk Management have provided critical assistance to CES in developing and securing the terms needed to protect the public interest while meeting the objectives of the communications industry and consumers. NextG is an existing network provider operating in San Diego, Carlsbad, Poway and other cities that is seeking to expand and improve its coverage in a region where it is not a direct service provider. Staff is recommending that the City execute an Agreement between the City and NextG Networks Inc, (Attachment 1) which outlines mutually 19-3 OCTOBER 6, 2009, Item Page4of5 beneficial terms based predominantly on the terms and conditions currently in place with other City wireless communication partners. NETWORK LICENSE AND ENCROACHMENT PERMIT AGREEMENT: The proposed Agreement allows NextG to install as many as 100 total WTF's on property owned and/or controlled by the City, and to operate within the scope of this Agreement for a period often years. The Agreement allows for as many as two additional five-year terms, at the City's discretion. NextG has completed that negotiation on what staff considers to be mutually beneficial terms. IMPACTS oN CITY PROPERTY: As depicted in Exhibit A, the sites are micro sites that are typically attached to City street light standards. NextG has also submitted preliminary plans for traffic signals standards and the Public Works Department has denied that request for safety reasons and committed to assisting NextG with installation on adjacent street light standards or other appropriate locations in the Right-of--Way that appear to be readily available. NextG has obtained a secondary non-metered energy rate from SDG&E that does not require a separate meter further reducing the physical and visual impacts to the right of way (ROW) from an additional meter pedestal. There is no cost to the City for energy or other utilities related to NextG's installations. NextG is required to comply with all local, state and federal applicable Iav~~s. The permits shall be administratively approved for each site and shall contain specific conditions that must be satisfied and maintained in order to use the wireless facility. The Schedule of Premises will be submitted to the Zoning Administrator and circulated to the Director of Conservation & Environmental Services (CES} and all other appropriate departments. NextG shall continue to pay the apprapriate full staff costs for processing each submittal. All of NextG's construction, installation, maintenance and removal of the WTF facilities will be at their sole responsibility and cost. If NextG causes any damage to the public right of way or City property, they are required to repair it promptly at their sole cost. NextG will not be allowed to activate their site until the City signs off on final construction. The original Agreement, the Schedule of Premises for each site, and City Municipal Code provide for a number of risk mitigation measures for the City including: indemnity; insurance requirements; limitation on remedies available to Next G in the event of a City breach; and reservation of the City's emergency and police powers. All installations will be required to receive all applicable permits, and NextG will work closely with Development Services; Public Works and CES to assure that they do not interfere with City operations or facility maintenance. NextG equipment installations v~Till require some trenching and cabling which employs amicro-trenching system of approximately one inch and is very similar to the traffic signal control loop installations commonly seen in City intersections. NextG will fill and seal their trenches to the satisfaction of the City Engineer. The installations will require maintenance and administration on a limited basis. All proposed facilities would be required to secure all necessary land use, building, and engineering permits. NextG will also establish their own network trunk lines and whenever possible they will lease space and place them in 19-4 OCTOBER 6, 2009, Item ~~ Page 5 of 5 existing conduit, on existing utility poles or when necessary place their own conduit in the Right-of--Way. FINANCIAL BENEFITS: NextG will make aone-time Administrative Fee payment to the City of $300 for each site and will also pay the City 5% of gross revenue from all sites on property owned or controlled by the City and private property sites within the City boundary. The annual lease fee for each approved WTF site on property owned or controlled by the City is $500 per year and is subject to a 3% annual increase. Annual Fees are due January 1 of each year. DECISION MAKER CONFLICT Staff has reviewed the decision contemplated by this action and has determined that it is not site specific and consequently the X04-foot rule found in California Code of Regulations section 18704.2(a)(1) is not applicable to this decision. CURRENT YEAR FISCAL IMPACT Staff anticipates that NextG will install up to 20 sites on City property this fiscal year generating approximately $16,000 in annual lease and Administrative Fee payments. NextG will also make a deposit of approximately $3,500 for development review per site to pay the cost of staff processing for each site, which would generate another $70,000 in potential staff reimbursement costs. Staff estimates the gross revenue fee to be approximately $10,000 per year in the first years until the 104-site network is built out. ONGOING FISCAL IMPACT Staff projects that a minimum of 8~ of the 100 potential sites would be installed on property owned or controlled by the City generating approximately $24,000 in additional Administrative Fees, $42,500 in annual lease fees, and 5% in gross revenue or at least an additional $42,500. The co-location and micro site approach is very beneficial for managing the aesthetic and physical impacts to the City; however, it is possible that the network could reduce the growth in new WTF applications, which currently generate an estimated $28,000 per year per site for the City's general fund and they could eliminate the need for two carriers to renew their leases for existing sites. Additionally, the City is reimbursed for staff time spent on review and approval of each site application submitted for the planning process. The staff time reimbursements for the remaining 80 sites would be approximately $300,000. There will be some staff time associated with monitoring and ensuring compliance with the MLA, which is budgeted as part of the CES Department annual responsibility. The Finance Department also plays a key role in assisting CES in estimating, tracking and collecting revenues. ATTACHMENTS 1. Proposed License Agreement Prepared b~~: Michael Meacham, Director, Conse~wation & Environmental Services 19-5 RESOLUTION NO. 2009- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING NETWORK LICENSE AND ENCROACHMENT PERMIT AGREEMENT WITH NEXTG NETWORKS, INC., FOR THE INSTALLATION AND OPERATION OF AS MANY AS 100 WIRELESS MICRO TELECOMMUNICATIONS FACILITIES OR SUBSTANTIALLY SIMILAR FACILITIES ON CITY-OWNED OR CONTROLLED PROPERTY, SUBJECT TO ALL NECESSARY APPROVALS, FOR A PERIOD OF 10 YEARS WITH AN OPTION TO RENEW FOR TWO ADDITIONAL FIVE YEAR TERMS WHEREAS, the City Council approved Resolution 18601 on March 18, 1997, conceptually approving the marketing of City properties for use by telecommunications companies; and WHEREAS, on September 16, 1999, the City Council approved Master License Agreements (MLA) with AT&T and Cox PCS, Assets, LLC for installation and operation of as many as 50 wireless communication sires on property owned or controlled by the City; and WHEREAS, the City also approved an MLA with Pacific Bell Wireless, LLC for as many as 25 sites in November 2002, with Cricket for as many as 35 sites in February 2006, and with the New Cingular (AT&T) for as many as 25 sites in July 2007; and WHEREAS, in December 2007, the City completed an MLA with T-mobile for up to 25 sites; and WHEREAS, there are approximately 25 sites on property owned or controlled by the City under those leases generating approximately $400,000 in annual lease revenue with approximately another 13 sites currently in consideration; and WHEREAS, NextG is applying for a license agreement that would cover up to 100 "micro" sites on City owned or controlled property that serve to fill in the areas of poor signal coverage or high volume for existing carriers; and WHEREAS, in 1998, when the City began negotiations, Council originally directed staff to negotiate rates that would provide wireless carriers an incentive to come to Chula Vista; and WHEREAS, it was Council's desire at that time to see that Chula Vista commercial and residential consumers have the opportunity to be early adopters of the technology and benefit from the competition of multiple carriers; and C:\Documents and Settings\joycem\Local Settings\Temporary Internet Files\OLK12\NextG Reso for 9-01-09 Agenda Item.doc 19-6 Resolution No. 2009- Page 2 WHEREAS, staff reached out to the industry, held workshops and invited them to the City to structure "master" agreements that would provide prompt entry at below-market rates; and WHEREAS, eleven years later, now that the technology is readily available and provides competitive options, Council has asked staff to ensure that the City is receiving market rates for its sites; and WHEREAS, over a relatively short period of time, the technology has evolved from a unique business tool, used by a few people, primarily in commercial areas, to a common business and household convenience used almost everywhere; and WHEREAS, the increase in usage has put tremendous demand on sites in predominantly residential areas with few site options; and WHEREAS, the increase in sites to cover the varied topography of a growing city increases exponentially by: 1) the limitations that each site can carry during peak periods, 2) the increased intensity of bandwidth use for items such as music, video, and Internet uses versus the original voice functions, and 3) the desire to accommodate more carriers with the expectation of fostering greater consumer choice, competition for price and service quality; and WHEREAS, the public demand for these services continues to grow and all of these issues place a greater demand on sites, particularly in residential neighborhoods; and WHEREAS, Federal and state law does not allow cities to deny permits based on health or solely on aesthetics issues, or to deny permits for which there are no reasonable alternatives; and WHEREAS, the Council and staff have worked with industry for many years on "master license agreement" approach to reduce the pressure on siting these facilities in less appropriate areas; and WHEREAS, the MLAs or in this case the Network License provides the City with an opportunity to work cooperatively with the carriers to expedite their projects, provide adequate volume and coverage needed to meet public demand, provide incentives to pursue sites that have the least impact to residents, and meet the aesthetic and safety goals of the community while capturing revenue that helps the City fund public services at no additional costs to the ratepayer; and WHEREAS, above all, the wireless industry values rapid deployment and works with the City to accommodate the community's objectives based predominantly on our ability to demonstrate a record of timely zoning and construction approvals that support that goal; and WHEREAS, NextG is an existing network provider operating in San Diego, Carlsbad, Poway and other cities that is seeking to expand and improve its coverage in a region where it is not a direct service provider; and G\Documents and Settings\j oycemV.ocal Settings\Temporary Internet Eles\OLK12\NextG Reso for 9-O1-09 Agenda Item.doc 19-7 Resolution No. 2009- Page 3 WHEREAS, staff is recommending that the City execute an Agreement between the City and NextG Networks, Inc. that outlines mutually beneficial terms and conditions currently in place with other City wireless communication partners; and WHEREAS, the proposed Agreement allows NextG to install as many as 100 total WTF's on property owned or controlled by the City and to operate within the scope of this Agreement for a period often years; and WHEREAS, the Agreement allows for the original ten year term to be extended for two additional five-year terms, subject to the written approval of both Parties; and WHEREAS, NextG and the City have completed negotiations on what staff considers to be mutually beneficial terms; and WHEREAS, the sites are micro sites that are typically attached to City street light standards; and WHEREAS, NextG has obtained a secondary non-metered energy rate from SDG&E that does not require a separate meter further reducing the physical and visual impacts to the right-of- way (ROW) from an additional meter pedestal; and WHEREAS, there is no cost to the City for energy or other utilities related to NextG's installations; and WHEREAS, NextG is required to comply with all applicable local, state and federal laws; and WHEREAS, the permits shall be administratively approved for each site and shall contain specific conditions that must be satisfied and maintained in order to use the wireless facility; and WHEREAS, the Schedule of Premises will be submitted to the Zoning Administrator and circulated to the Director of Conservation & Environmental Services (CES) and all other appropriate departments; and WHEREAS, NextG shall continue to pay the appropriate full staff costs for processing each submittal; and WHEREAS, all of NextG's construction, installation, maintenance and removal of the WTF facilities will be at their sole responsibility and cost; and WHEREAS, if NextG causes any damage to the public right-of--way or City property, they are required to repair it promptly at their sole cost; and WHEREAS, NextG will not be allowed to activate their site until the City signs off on final construction; and J'\Attomey\FINAL RESOS\2009U0 06 09WextG Reso.doc 19-8 Resolution No. 2009- Page 4 WHEREAS, the original Agreement, the Schedule of Premises for each site, and City Municipal Code provide for a number of risk mitigation measures for the City including: indemnity, insurance, assumption of risk, and security in the form of a performance bond; and Wt-IEREAS, all installations will be required to receive all applicable permits, and NextG will work closely with Development Services, Public Works, and CES to assure that they do not interfere with City operations or facility maintenance; and WHEREAS, NextG equipment installations will require some trenching and cabling which employs amicro-trenching system of approximately one inch and is very similar to the traffic signal control loop installations commonly seen in City intersections; and WHEREAS, NextG will fill and seal their trenches to the satisfaction of the City Engineer; and WHEREAS, the installations will require maintenance and administration on a limited basis; and WHEREAS, all proposed facilities would be required to secure all necessary land use, building, and engineering permits. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby: 1. Approve a Telecommunications Network License and Encroachment Permit Agreement with NextG Networks, Inc., for the installation and operation of as many as 100 wireless micro telecommunications facilities or substantially similar facilities on City-owned or controlled property, subject to all necessary approvals, for a period of 10 years with the option to extend the contract for two additional five year term; Presented by Michael Meacham Director of Conservation and Environmental Services C:\Documents and Settings\j oycem\Local Settings\Temporary Internet Files\OLKI2\NextG Reso for 9-01-09 Agenda Item.doc 19-9 City Attorney THE ATTACHED AGREEMENT HAS BEEN REVIEWED AND APPROVED AS TO FORM BY THE CITY ATTORNEY' S OFFICE AND WILL BE FORMALLY SIGNED UPON APPROVAT, BY THE CITY C(7~L~ATC Bart C. Miesfeld City Attorney Dated: ~ j NETWORK LICENSE AND ENCROACHMENT PERMIT AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND NEXTG NETWORKS, INC. 19-10 TELECOMMUNICATION NETWORK LICENSE AND ENCROAC~IMENT AGREEMENT This License and. Encroaclunent Agreement ("Agreement) is entered into this day of October, ?009, by and between the City of Chula Vista, a California. municipal corporation, hereinafter referred to as the ("City") and NextG Networks of California, Inc. hereinafter referred to as ("NextG" or "Licensee") (collectively, the "Parties"). The effective date shall be the date this Agreement is approved by the Chula Vista City Council, as evidenced by the date indicated hereinabove (the "Effective Date"). RECITALS WHEREAS, City is responsible for management of the public right of way and performs a wide range of vital tasks necessary to preserve the physical integrity of public streets and ways, to control the orderly flow of vehicles, to promote the safe movement of pedestrians, and to manage a number of Qas, water, sewer, electric, cable television, telephone and telecommunications facilities that are located in, under and over the streets and public right of ways; and WHEREAS, Licensee builds, owns, and leases fiber optic distributed antenna systems to improve wireless coverage and capacity for telecommunications carriers; and WHEREAS, Licensee balances the needs of communities and consumers vTith the needs of wireless service providers by using apatented i ber-optic architecture, low-impact, low- emission equipment without the need for tall cellular towers; and WHEREAS, Licensee's networks are protocol and frequency agnostic. they can camp cellular, PCS, WiFi, or any combination of wireless frequencies and standards; and WHEREAS, Licensee's networks can serve a variety of wireless. service providers . thereby promoting collocation with aesthetic pleasing designs; and WHEREAS, Licensee does not own or manage Federal Communications Commission regulated and licensed frequencies but owns, maintains, operates and controls, in accordance with regulations promulgated by the Federal Communications Commission and the California Public Utilities Commission, a telecommunications Network or Networks (as defined below) serving Licensee's established wireless carrier customers and utilizing microcellular optical repeater equipment (referred to herein as "Licensee's Facilities" or ``Nodes''} certified by the Federal Communications Commission; and WHEREAS, for purpose of operating the Network, Licensee wishes to locate. place. attach, install, operate, control. and maintain Licensee's Facilities in the Public Rights-of--Way, on facilities owned by the City, as well as on facilities owned by third parties therein; and NEXTG AGREEMENT 07!30/2009 19-11 WHEREAS, in addition to normal published right-of--way and/or encroachment-related permitting fees, Licensee is willing to compensate the City for (1) processing fees on a per Node basis, (2) a grant of location and the right to use and physically occupy portions of the Public Rights-of--Way, and (3) access to Municipal Facilities located in the rights-of--way owned by the City; and WHEREAS, Licensee has submitted a request to enter into an Agreement with the City to encroach upon and occupy portions of the public right of way in certain streets, easements, and upon certain public improvements for the purposes of installing Licensee's facilities; and WHEREAS, in consideration of Licensee's request, City is willing to approve Licensee's use and occupation of certain public right of way and certain public improvements upon the terms, conditions and other considerations set forth herein. AGREEMENT NOW THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree to the following covenants, terms, and conditions: Section 1. Definitions. The following definitions shall apply generally to the provisions of this Agreement: - - - 'City. "City" means the City of Chula Vista. ~ ' Decorative Streetlight Pole. "Decorative Streetlight Pole" shall mean any streetlight pole that incorporates artistic design elements not typically found in standard steel or aluminum streetlight poles and does not have a mast arm for electrolier support. Decorative Streetlight Poles may not be used for the Network without prior written approval by City. The term Decorative Streetlight Pole includes any historically or architecturally significant or designated light poles ov~~~ed by the City located on Public Rights-of--Way. Fee. "Fee" means any assessment, license, charge; fee, imposition, tax, or levy of general application to entities doing business in the City lawfully imposed by any governmental body (excluding utility users' tax, franchise fees, communications tax, or similar tax or fee}. Grc-ss Revenue Fee. "Gross Revenue Fee" shall mean and include any and all income and other consideration collected, received, or in any manner gained or derived by Licensee from or in connection with, the provision of Services, either directly by Licensee or indirectly through a reseller, if any, to customers of such services within the City of Chula Vista, including any imputed revenue derived from commercial trades and barters equivalent to the full retail value of services provided by Licensee. Gross Revenue shall not include: (a) sales, ad valorem, or other types of "add-on'' taxes, levies. or fees calculated by gross receipts or gross revenues which might have to be paid to or collected for federal, state, or Iocal government (exclusive of the Municipal Facilities Annual Fee paid to the City provided herein); (b) retail discounts or other promotions; (c) non-collectable amounts due Licensee or its customers; (d) refunds or rebates; and (e) non-operating revenues such as interest income or gain from the sale of an asset. NEXTG AGREEMENT 07!30/2009 19-12 Installatio~z Date. "Installation Date" shall mean the date that the first Licensee Facility is installed by Licensee pursuant to this Agreement. Laws. "Laws" meads any and all statutes. constitutions, ordinances, resolutions, regulations, judicial decisions, rules, tariffs, administrative orders, certificates, orders, or other requirements of the City or other governmental agency having joint or several jurisdictions over the parties to this Agreement. Licensee's Facilities. "Licensee's Facilities" or "Node(s)" means the optical repeaters, D«JDM and CWDM multiplexers, antennae, fiber optic cables, wires, and related equipment, v~~hether referred to singly or collectively, to be installed and operated by Licensee hereunder. Only the installation design configurations of Licensee's Facilities that are shown in the drawings and photographs, attached hereto as Exhibit A and incorporated herein by reference, may be used on City Municipal Facilities. Any Licensee Facility installation or configuration not contained within Exhibit A or as the parties shall agree is not substantially similar thereto must receive written City approval before it may be used on any City Municipal Facility or placed on or in the Public Rights-of--Way. Mu~ri.eipal Facilities. `'Municipal Facilities" means City-awned Streetlight Poles, Decorative Streetlight Poles, lighting fixtures, electroliers, or comparable facility located within the Public Way and may refer to such facilities in the singular or plural, as appropriate to the context in which used. Network. '`Network" or collectively "Networks" means one or more of the neutral-host, protocol-agnostic, fiber-based optical repeater. networks operated by Licensee to serve its wireless carrier customers in the City. Node. "Node" is the portion of NextG Networks facilities that are attached to street lights and/or utility poles including the remote electronics box, antenna and associated coax, and fiber and power cables connecting this equipment. Notice of Reduction. "Notice of Reduction" shall mean a written notice delivered to the City in the manner required under Section 3, herein, which contains the reason for removal of the Node(s), documentation supporting the justification for removal that meets one of the categories identified in Section 6(e), and an approximate timeframe for removal of the Node(s). Public Way, Right-of--Way, or Public Rights-of--Way. "Public Way," "Right-af--Way, or "Public Rights-of--Way" means the space in, upon, above, along, across, and over the public streets, roads, lanes, courts, ways, alleys, boulevards, and places, including all public utility easements and public service easements as the same now or may hereafter exist, that are under the jurisdiction of the City. This term shall not include any other property owned by the City or any property owned by any person or entity (e.g. county, state, or federal rights-of--way) other than the City, except as provided by applicable Laws or pursuant to an agreement between the City and any such person or entity. PUC. "PUC" means the California Public Utilities Commission. Reduction Date. "Reduction Date" shall mean the date on which the later of the receipt by the City of a valid Notice of Reduction or the removal of the Node(s) from the City right-of--way and/or facilities occurs. NEXTG AGREEMENT 3 07/30/2009 19-13 Services. "Services" means the services provided through the Network by Licensee to its wireless carrier customers pursuant to one or more tariffs filed with and regulated by the PUC. Str^eetlight Pole. "Streetlight Pole" shall mean any non-Decorative, standard-design concrete, fiberglass, or metal pole that has a mast arm for electrolier support and is used for streetlighting purposes. Ti~affrc Ligl2t Pole. "Traffic Light Pole" means the pole and mast arm, which supports the signal head. Section 2. Authorization. Subject to the terms and conditions contained herein, City hereby authorizes Licensee to encroach upon and occupy a portion of the Public Rights-of- Way for the limited purpose of constructing, installing, operating and maintaining Licensee's Facilities upon Municipal Facilities, more particularly described in Exhibit A, to provide service to wireless carriers. Licensee may have the right to draw compatible electricit}% for the operation of the Licensee's Facilities from the power source associated with the Municipal Facility so long as Licensee's Facilities are installed to all applicable codes and standards, do not interfere in the operation of the host Municipal Facility, and/or do not damage the host Municipal Facility. City shall not be responsible to provide any specified voltage or wattage. of electricity that is compatible with any Licensee's Facilities. Licensee shall be solely responsible for the payment of all electrical utility charges to the applicable utility compan}~ based upon the Licensee's Facilities usage of electricity and applicable tariffs. Licensee's Facilities shall not draw compatibles electricity from Municipal Facility until such time as Licensee has secured all required electrical approvals and the electricity charging/payment agreement with the electrical utility company is in place. In addition to authorization to attach to Municipal Facilities, subject to obtaining the written permission of the owner(s) of the affected property. the City hereby authorizes and permits Licensee, to enter upon the Public Rights-of--Way and to attach, install, operate, maintain, remove, reattach; reinstall, relocate, and replace such number of Licensee's Facilities in or on poles or other third-party structures o~med by public utility companies or other property owners located within the Public Way as may be permitted by the public utility company or property owner, as the case may be. At City's request, Licensee shall furnish to the City documentation of such permission from the individual utility or property owner responsible. Exhibit A represents agood-faith description of Licensee's Facilities, and a denial of an application for the attachment of Licensee's Facilities equipment to third-party-owned poles or structures in the Public Way shall not be based upon the size. quantity, shape. color, weight. configuration, or other physical properties of Licensee's Facilities equipment if the Licensee's Facilities equipment proposed for such application substantially conforms to one of the design configurations and Node specifications set fortl-i in Exhibit A. Ln the event that the Parties disagree as to whether the proposed Licensee's Facilities equipment or Node substantially conforms to one of the design configurations and Node specifications set forth in Exhibit A, the parties shall meet in good faith in an effort to resolve this dispute with the City Engineer, whose decision shall be final. NEXTG AGREEfv1ENT 07/30/2009 19-14 Section 3. Term. The commencement date ("Commencement Date") shall be the I st day of the month following the Effective Date. This Agreement shall be effective for a period often (10} years starting on the Commencement Date. , a. Extension of Term. The term of this Agreement may be extended for two additional five-year terms (for a maximum often additional years) upon the mutual written consent of the Parties. Section 4. Permitting and Location of Nodes. City agrees to permit Licensee to place up to one hundred (100) telecommunications Nodes in the City's Right-of--Way. NextG shall apply for encroachment permits and pay any standard and customary permit fees. City shall use its best efforts to respond to NextG's requests for permits within 30 days and shall otherwise cooperate with NextG in facilitating the deployment of the Network in the Public Rights-of--Way in a reasonable and timely manner. The Parties agree that Exhibit A represents a good-faith representation of the equipment that Licensee plans to attach to Municipal Facilities, thatauch design configurations and Node specifications may be attached to Municipal Facilities and to third-party facilities. Licensee shall present any deviation to the design configurations and Node specifications described in Exhibit A to the City, which shall use its best efforts to review and either approve or deny within thirty (30) days. Any change to the design configurations and Node specifications in Exhibit A may be approved by the City so long as the equipment is substantially similar in size, weight. shape; color; configuration or other physical properties. In the event that the Parties disagree as to whether the proposed Licensee's Facilities equipment or Node.-substantially conforms to one of the design configurations and Node specifications set-forth in~Exhibit A, the Parties shall meet in good faith in an effort to resolve this dispute with the City Engineer, whose determination shall be final. Node antenna. and supporting Node equipment at its lowest point, on the Streetlight pole or comparable facility located in the Public VJay, must be placed at a minimum height of eight feet (8') above the ground. In addition to the City permitting process, Licensee agrees to seek any and all additional local, state and federal approvals that may be required fo-r its deployments, such as approvals that might be required from the California Coastal Corrunission (to the extent that the City does not have California Coastal Commission permitting authority). For Licensee's initial deployment. City shall make available to Licensee approximately 9,027 streetlight poles or comparable facility located within the City's Right-of--Way for the placement of Licensee's Nodes, substantially in the locations described in the Network Plan provided to the City, attached hereto as Exhibit B. Notwithstanding, the use of any particular Municipal Facility Right-of--Way structure, comparable facility, or pole shall be subject to the City Engineer's sole discretion and approval in advance of the placement of the Licensee's telecommunications infrastructure. Section ~. ScoAe of Agreement. To the extent permitted by law and with respect to fees established and the manner calculated pursuant to this Agreement, the Licensee, by entering into this Agreement; waives any current or future rights reserved under California Government Code Section 50030, California Public Utility Code or the Telecommunications Act of 1996 (the NEXTG AGREEMENT 07(30/2009 19-15 "Act") including, but not limited to, those rights set forth in Section 253 (c}.. In the event a court finds the Licensee may not waive such rights, the Licensee agrees that the amount of all such fees reflect the reasonable cost of providing all services. Furthermore, Licensee ~~aives any and all claims or actions it may have against the City with respect to the amount of such fees. In the event that any action by the Court or otherwise reduces the amount of consideration provided by Licensee to the City under this Agreement, the parties shall modify this Agreement in a manner that will keep the City whole regarding the amount of the consideration flowing to the City under this Agreement. Licensee hereby acknowledges, agrees and covenants that this Agreement only allows for the occupation of the Right of Way and Municipal Facilities by Licensee's Facilities identified in Exhibit A and does not authorize or bestow any interest in real property including any fee, leasehold interest or easement. a. Limitations on Licence. Nothing in this Agreement is intended to create an interest or .estate of any-kind or extent in the property or premises. Licensee further acknowledges and agrees that this Agreement does not create alandlord-tenant relationship and Licensee is not entitled to avail itself of any rights afforded to tenants under the laws of the State of California. b. Preference for Municipal Facilities. In any situation where Licensee has a choice of attaching its Equipment to either Municipal Facilities. Licensee's own vertical element, or third-party-ov<med property in the Public Way; Licensee shall attach.its Equipment to the City Municipal Facilities, provided that (i) the City requests such a~tachirent ~`~ithin thirty (30) days of Licensee's written notice to City of an intent to use facilities other than City Municipal Facilities, (ii) such City Municipal Facilities are at least equally suitable functionally for the operation of the Network, (iii) the fee and installation costs associated with such attachment over the length of the term are equal to or less than the fee or cost to Licensee of attaching to the alternative third-party-owned property. If the Lessee Facility is to be placed on a utility pole with a street light, the Licensee shall submit an alternative design to establish a new light pole adjacent to the utility pole and place its Facilities on that element which shall be selected at the City's discretion. c. No Warranty. City makes no warranty, express or implied, or representation that the premises are suitable for Licensee's use. Licensee has inspected the premises and accepts the same "AS IS". City is under no obligation to perform any work or provide any materials to prepare the Premises for Licensee. NEXTG AGREEMENT 07!30/2009 19-16 Section 6. Compensation. a. Administration Fee. In addition to normal published encroachment-related- permitting fees and as additional consideration for the processing of Licensee's permit applications, Licensee shall pay an additional one-time fee ("Processing Fee") for each deployment of Three Hundred Dollars ($300) per Node prior to the Effective Date of this Agreement and/or prior to the Effective Date of any amendment. b. Compensation for Use of City Infrastructure. Licensee will compensate City for the use of City infrastructure a fee of Five Hundred Dollars ($500.00) per year (the "Infrastructure Use Fee") for each streetlight pole or comparable facility located within the City's Right-of--Way used by Licensee. c. Gross Revenue Payments. In addition to the Infrastrucrare Use Fee, Licensee waives any .claim that it is_not obligated. to pay for the use of the Right-of--Way and shall compensate City for such use by providing the City a five percent (5%) of Gross Revenue Fee or Five Hundred Dollars ($500.00) per Node per year, whichever is greater ("Right-of--Way Use Fee"). In the event a court determines that Licensee is not obligated to pay for use of the Public Right-of--Way, the Parties agree that the Infrastructure Use Fee shall be automatically amended to be equal to Five Hundred Dollars ($500.00) per year for each streetlight pole or comparable facility plus five percent (5%) of the Gross Revenue Fee or Five Hundred Dollars ($500.00) per -.Node psr_year, whichever is greater and agree that such fee does not exceed the reasonable costs of providing such services. .. .. 1. Identify Sources and Amounts. With each Gross Revenue Payment, Licensee shall provide City with a detailed written report containing the following: i. Categories/components of the sources of Gross Revenue Fees. ii. Total dollar amounts associated with each category/component of Gross Revenue Fees. iii. Reconciliation of Gross Revenue Payment and the sum of the dollar amounts associated with each category/component of Gross Revenue Fees. d. Payment Terms and Audit. Licensee shall pre-pay the fees specified in subsections (a) and (b), above, for the period from issuance of necessary permits through the end of 2009; subsequent payments in connection with subsections (a) and (b) shall be made annually in advance commencing on January 1, 2010. The Right-of--Way Use Fee specified in subsection (c), above, shall be computed and paid annually in arrears ("Annual Payment"). Each Amiual Payment shall be calculated for the calendar year, and such Annual Payment shall be due and payable no later than February 1St of each year. For the period from issuance of necessary permits tluough the end of 2009, any additional funds owing based upon the "whichever is greater" provision is subsection (c} above, shall be paid with the first Annual Payment. In the event that a court of competent jurisdiction determines that the Licensee is not obligated to pay for use of the Public Right-of--Way and if the amendment to the Infrastructure Use Fee referred to in Section 6(c), above, results in the use of the Gross Revenue Fee for the NEXTG AGREEMENT 07/30!2009 19-17 calculation of the amendment to the Infrastructure Use Fee, then that portion of the amended Infrastructure Use Fee shall be computed, paid annually, and due no later than February lst of each year. Any annual fees shall be pro-rated for the calendar year. Licensee shall keep accurate books of account at its principal office in San Jose or such other location of its choosing for the purpose of determining the amounts due to the City hereunder. The City may inspect Licensee's books of account, at a mutually convenient location of all relevant books and records, relative to the City at any time during regular business hours on thirty (30) days' prior written notice and may audit the books from time to time at the City's sole expense, but in each case only to the extent necessary to confirm the accuracy of payments due under this Agreement. In the event that the City discovers that Licensee's payments are in error in an amount greater than two percent (2%); all costs, including travel related to the audit shall be borne and reimbursed by Licensee. The dollar amount of such error shall be treated as a delinquent payment in accordance with the provisions of Section 6(g). No acceptance of any payment to the City shall be construed as a release or as an accord and satisfaction of any claim the City may have for further or additional sums payable or for the performance of any other obligation under this Agreement. The City agrees to hold in confidence any non-public information it learns from Licensee to the fullest extent permitted by Law. e. Reduction in Number of Nodes. If the number of Nodes is reduced based on (i) the cancellation, expiration, lapse, v~~ithdraw~l, or_terminaxion of any required certificate, permit, license, easement, approval or agreement at no fault of Licensee or (ii) the discovery or location of any Hazardous Materials on the Public Rights-of--Way and Municipal Facilities, other than as direct result of Licensee's activities, then the compensation under this Section 6 shall be reduced in the amount directly associated with the removal of the Node(s) from the City right-v~~ay and/or facilities in the manner provided in Section 6(e)(3) and following the required actions in Sections 6(e)(a) and (2). Notice of Reduction. Licensee delivers the Notice of Reduction to the City. 2. Removal of Node(s). Licensee removes the Node(s) from the city Public Rights- of-Way and Municipal Facilities by that time. 3. Method of Calculating Reduction. Compensation shall be reduced by an amount equal to the remainder of the then current one-year term divided twelve (12) months. If the Reduction Date falls on a day whereby the dividend in the equation is not a whole number, the dividend shall be reduced to the next whole number. f. Minimum Annual Fee Adjustment Date. The Infrastructure Use Fee will be adjusted annually on the anniversary of the Commencement Date by the percentage increase in the most recently published Consumer Price Index -All Urban Consumers for the San Diego Metropolitan Statistical Area -- over the rate in effect on the Commencement Date of the prior year. This increase shall not be less than the three percent (3%). NEXTG AGREEMENT 07!30/2009 19-18 g. Delinquent Payment. Payments not received within five days of the due dates as specified above shall accrue interest at a rate of 7% per annum from the due date. In addition, a late fee in the amount often percent (10%} of the amount due shall be imposed in the event a payment is not received within 30 days of the due date. Notwithstandinj tine provisions of this subparagraph, failure to make payments when they are due is considered a default of the terms of the Agreement, subject to the terms stated in Section 33, "Termination." Licensee assumes all risk of loss and responsibility for delinquent payments. h. Services to City. Licensee agrees that at all times during the term of this Use Agreement it shall reserve one (1) strand of fiber owned or operated by Licensee in the City for the City's exclusive use in operating a noncommercial, City-owned Wi-Fi network or for any other noncommercial, City-operated data network or communications function. NextG shall provide access to the fiber strand at manhole Iocations with a splice box. NextG will work with city to determine the exact location of access during the permit process. i. Payment Location.. Licensee agrees to make checks payable to the City of Chula Vista and to deliver them to: City of Chula Vista Finance Department, 276 Fourth Avenue, Chula Vista, CA 91910. The City reserves the right to change the place and time of payment at any time upon 60 days u,~ritten notice pursuant to Section 32. j. Most Favored Jurisdiction. The parties anticipate that, following the effective date of this Agreement, NextG will enter into similar right-of--way use agreements with other jurisdictions. If NextG enters into a similar agreement with another jurisdiction within San.._ Diego County, then the parties will modify this Agreement if the following conditions are rnet: The right-of--way use agreement confers financial, service, or inkind benefits upon the jurisdiction that, taken as a whole and balanced with other terms of that agreement, are deemed by the City to be more beneficial than the benefits provided for in this Agreement; and City notifies NextG of its desire to modify this Agreement to substitute the same or substantially similar benefits and/or related terms and conditions of that right- of-way use agreement in order to achieve parity. Upon request by the City, NextG shall provide a copy of such License from any San Diego County jurisdiction so that the City may determine the parity of the agreements. To the extent practicable, such modification will be retroactive to the effective date of the similar right-of--way use agreement with the other San Diego County jurisdiction. Section 7. Assignment or Transfer of Authorization. This Agreement shall not be assigned by Licensee without the express written consent of the City; which consent shall not be uiu-easonably withheld, conditioned, or delayed. A determination by the City that the assignee is not financially sound or does not have the experience or technical qualifications to perform the obligations of this Agreement in a manner satisfactory to the City; shall be a valid reason to withhold consent, except that a determination by the PUC of these items with regard to any assignee shall be binding to City, unless such potential assignee has not faithfully performed local financial or service obligations. Notwithstanding the foregoing, the transfer of the rights NEXTG AGREEMENT 07/30/2009 19-19 and obligations of Licensee to a parent; subsidiary, or other affiliate of Licensee or to any successor in interest or entity acquiring fifty-one percent (51%) or more of Licensee's stock or assets (collectively ``Exempted Transfers") shall not be deemed an assignment for the purposes of this Agreement and therefore shall not require the consent of the City, provided that Licensee reasonably demonstrates to the City's lawfully empowered designee the following criteria (collectively the "Exempted Transfer Criteria"): (i) such transferee will have a financial strength after the proposed transfer at least equal to that of Licensee immediate)}~ prior to the transfer; (ii) any such transferee assumes all of Licensee's obligations hereunder; (iii) the corporate parent of the transferee guarantees the performance obligations of the transferee; and (iv) the experience and technical qualifications of the proposed transferee, either alone or together with Licensee's management team, in the provision of telecommunications or similar services., evidences an ability to operate the Licensee Network. Licensee shall give at least sixty (60) days' prior written notice (the "Exempted Transfer Notice") to the City of any such proposed Exempted Transfer and shall set forth with specificity in such Exempted Transfer Notice the reasons why Licensee believes the Exempted Transfer Criteria have been satisfied. The -City shall have a period of sixty (60) days (the "Exempted Transfer Evaluation Period") from the date that Licensee gives the City its Exempted Transfer Notice to object in writing to the adequacy of the evidence contained therein. Notwithstanding the foregoing, the Exempted Transfer Evaluation Period shall not be deemed to have commenced until the City has received from Licensee any and all additional information the City may reasonably require in connection with its evaluation of the Exempted Transfer Criteria as set forth in the Exempted Transfer Notice; so long as the City gives Licensee notice in ~~riting of the additional information the City requires within thirty (30) days after the City''s. receipt of the original Exempted Transfer Notice. If the City fails to act upon Licensee's Exempted Transfer Notice within the Exempted Transfer Evaluation Period (as the same may be extended in accordance with the foregoing provisions}, such failure shall be deemed an affirmation by the City that Licensee has in fact established compliance with the Exempted Transfer Criteria to the City's satisfaction. Section 8. Responsibility of Licensee/Maintenance. The Licensee, on the Licensee's own behalf and on behalf of any successor or assign, hereby acknowledges and assumes all responsibility, financial or otherwise, for the permitted use of the Public Rights-of- Way property and City Municipal Facilities and the planning, design, installation, construction. maintenance, repair, operation and removal of the Licensee`s Facilities, which shall be undertaken without risk or liability on the part of the City. All of Licensee's constructions, installation, removal, repair and maintenance work shall be performed at Licensee's sole cost and expense in accordance with applicable law, using generally accepted construction standards. Licensee shall ensure that Licensee's Facilities are maintained in a clean and safe condition, in good repair and free of any defects. Licensee shall employ reasonable care at all times in installing and maintaining Licensee's Facilities and will install and maintain in use commonly accepted methods and/or devices to reduce the likelihood of damage, injury or nuisance to the public. The construction, operation; and maintenance of Licensee's Facilities shall be performed by experienced and properly trained. and if required, licensed maintenance and construction persomlel. Removal, repair, and maintenance shall not require a permit if there is no change in equipment size, volume color, or projected weight of the final co-located Facility from the originally permitted Licensee Facility. NEXTG AGREEMENT 16 07/30!2009 19-20 Section 9. Relocation/Removal. Licensee shall, at its sole expense, protect, support, temporarily disconnect, relocate, modify or remove all or any portion of Licensee's Facilities at the time and in the mamler required by the City for any governmental purpose. Except in an emergency, the City shall give written notice pursuant to Section 32 describing where the work is to be performed at least thirty (30) days before the date the work is to be commenced. Should the public health, safety or welfare require that the City undertake immediate maintenance, repair or other action, Licensee shall take the measures required under this Section 9 within 72 hours of receiving notice from the City. If Licensee does not protect, temporarily disconnect, relocate, or remove Licensee' s Facilities ~~ithin the time period specified above, City may remove the equipment, facilities, anal property and charge Licensee for the cost of removal and storage. Alternatively, upon Licensee's request. City may approve the abandonment of Licensee's Facilities in place. Upon approval, Licensee shall execute, acknowledge and deliver any necessary documents to transfer ownership of the Licensee's Facilities to City. In an emergency, where there is an imminent danger to the public health, safety or property, the City may take the measures required by Licensee under this Section 9 without prior notice to Licensee: however, the City will make reasonable efforts to provide prior notice. In situations where other utilities are being undergrounded as part of a Public Utilities Commission Rule 20(a) program, Licensee shall have the opportunity to request the relocation of its facilities into the joint trench and benefit from the costs savings associated. with using a joint trench. Costs associated with the relocation of Licensee's facilities into-the joint trench shall be, to the extent required by Rule 20(a}, paid for in accordance with the formula established under a joint trench offer. Any failure on the part of Licensee to request relocation of their facilities prior to initiating the associated undergrounding project or any delays by Licensee, which increase the cost of the project, shall. be the obligation of and paid for by Licensee. Any subsequent relocation required by the City, not part of a Rule 20(a) program, shall be the obligation of and paid for by the Licensee. Section 10. Chance in Equipment. If Licensee proposes to install Equipment, which is different in any material way from the specifications or design configurations attached hereto as Exhibit A, then Licensee shall first obtain the approval for the use and installation of the equipment from the City. In addition to any other submittal requirements, at City's request, Licensee shall provide "load" calculations for all Streetlight Poles it intends to install in the Public Rights-of--Way. The City shall use its best efforts to approve or disapprove of the use of the different equipment from the specifications set forth in Exhibit A within 30 days and such approval shall not be unreasonably withheld. Section 11. Repair of Facility. Licensee shall repair or refinish, to the satisfaction of the City Engineer, at Licensee's sole cost and expense, any surface or other portion of the Public Rights-of-VVay property or City Municipal Facilities that are disturbed or damaged during the construction, installation, maintenance, or operation of Licensee Facilities. Without limiting any other available remedies, if Licensee fails to repair or refinish such damage, City may, in its sole discretion, but without any obligation to do so, repair or refinish the disturbance or damage and Licensee shall reimburse City all costs and expenses incurred in the repair or refinishing. NEXTG AGREEMENT 11 07/30/2009 19-21 Section 12. Relocation of Facilities. Licensee understands and acknowledges that City may require Licensee to relocate one or more of its Node installations. Licensee shall at City's direction relocate such Node equipment at Licensee's sole cost and expense, whenever City reasonably determines that the relocation is needed for any of the following purposes: (a) if required for the construction, completion, repair, relocation, or maintenance of a City project; (b) because the Node equipment is interfering with or adversely affecting proper operation of City owned streetlight poles, communications, or other Municipal Facilities; or (c) to protect or preserve the public health or safety. h~ any such case, City shall use its best efforts to afford Licensee a reasonably equivalent alternate location. If Licensee shall fail to relocate any Node equipment as requested by the City within a reasonable time under the circumstances in accordance with the foregoing provision, City shall be entitled to relocate the Node equipment at Licensee's sole cost and expense, without further notice to Licensee. To the extent the City has actual knowledge thereof, the City will attempt promptly to inform Licensee of the displacement or removal of any streetlight pole or other Municipal Facility on which any Node equipment is located. Section 13. Licensee to Bear Alt Costs. The Licensee, or any successor or authorized assign, shall bear all costs incurred in connection with the planning, design, installation, construction, maintenance, repair, operation, modification, disconnection, relocation and removal of the Licensee Facilities. The Licensee shall be responsible and must bear all cost of any movement to, damage to or repair of Licensee's Facilities due to repair, maintenance and/or -failure/callaps.e of any existing gas, water and sewer lines or any other improvements or woks ap~rroximat~ to Licensee's Facilities. Licensee agrees to bear this cost regardless of whether or not such damage may be directly or indirectly attributable to the installation, operation, maintenance, repair or upgrade. work on the Licensee's Facilities, unless the damage results from the active negligence or willful misconduct of the City; its officers, agents or employees. These costs include electrical utility charges to the applicable utilit}~ company based upon the Licensee Facilities usage of electricity and applicable tariffs. Section 14. Under6rounding. Licensee has been advised and understands that the utilities in the area of Licensee's planned facilities are subject to future under-grounding requirements. In the event of an under-grounding project. Licensee and City agree to cooperate with each other in order to relocate or replace Licensee's facilities in such a way so that Licensee may continue to operate its network for the Term of this Agreement. Section 15. Future Rules or Orders. The Licensee, or any successor or authorized assign, shall abide by any agreements, rules, regulations, orders, or directives governing the use of the Public Rights-of--Way property or City Municipal Facilities as the City may find necessary and appropriate in executing its responsibilities for public right-of--way management and wireless site regulation. Section 16. Licensee to Submit Acceptable Plans. Prior to the Commencement Date and prior to construction and installation of Licensee's Facilities, Licensee shall, at its sole cost and expense, prepare and submit, together with payment of all related fees, any and all reasonable plans and specifications required by the City Engineer, which shall include detailed maps showing the planned construction, the size and the location and number, and any other NEXTG AGREEMENT 12 07/30/2009 19-22 details regarding the placement of appurtenant above-ground equipment to be located in the Public Rights-of--Way and on City Municipal Facilities or existing third-party infrastructure. The City Engineer shall be authorized to review the plans and specifications and to impose such requirements as are necessary to protect the public health and safety and to minimize any negative impact on aesthetics in the case of the above-ground improvements. The City Engineer shall be authorized to require an alternate location for the Licensee's Facilities on Streetlight Poles or comparable facilities to avoid conflict with public safety as v~~ell as other permitted uses in or future public needs of the Public Rights-of--Way identified in this Agreement. Licensee shall, at its sole cost and expense, submit traffic control plans for approval by City Engineer. The City reserves the right to inspect the installation and maintenance of Licensee's Facilities at any time. Licensee shall pay all plan check, inspection and other related fees prior to the issuance of any permit for the installation and construction of Licensee's Facilities. All work within the Public Rights-of--Way and Municipal Facilities or existing third-party infrastructure shall be performed in strict compliance with plans and permits approved by the City Engineer. Section 17. Licensee to Seeure AUproval and Permits. In addition to obtaining and maintaining the permits, Licensee understands and agrees that Licensee's ability to use the Public Rights-of--Way and Municipal Facilities and any third-party infrastructure for the purposes contemplated by this Agreement is dependent upon Licensee obtaining and maintaining all of the certificates, permits and other approvals v~~hich may be required from other federal, state or local authorities, and any easements which are required from any third parties. City shall cooperate with Licensee in its efforts to obtain such approvals and/or easements, as may be required for Licensee's Facilities as approved ir. the permits..., .... _ ,-..... Section 18. As Built Drawings to be Provided. The Licensee shall provide as-built drawings, in any format acceptable to the City Engineer, detailing the location of Licensee's Facilities installed pursuant to this Agreement within sixty (60) days after facilities are installed. Section 19. Liability Insurance. Licensee shall obtain and maintain for the duration of this Agreement and any amendments hereto, adequate insurance against claims for injuries to persons or damage to property which in any way relate to, arise out of or are connected to the use of the Public Rights-of--Way and Municipal Facilities by Licensee or to the construction, operation or repair of Licensee's Facilities by Licensee or Licensee's agents, representatives, employees or contractors. The insurance ~Ti11 be obtained from an insurance carrier admitted and authorized to do business in the State of California. The insurance carrier is required to have a current Best's Key Rating of not less than "A-:V". a. T3rpes of Insurance. Licensee shall maintain the types of coverage's and minimum limits indicated below, unless the City Attorney or City Manager approves a lower amount. The City, its officers, agents and employees make no representation that the limits of the insurance specified to be carried by Licensee pursuant to this Agreement are adequate to protect Licensee. If Licensee believes that any required insurance coverage is inadequate, Licensee will obtain such additional insurance coverage, as Licensee deems adequate; at Licensee's sole expense. Commercial General Liability 117surance. $1.000,000 combined single-limit per occurrence for bodily injury, personal injury and property damage. If the NEXTG AGREEMENT 13 07/30/2009 19-23 submitted policies contain aggregate limits, the general aggregate will be twice the required per occurrence limit. 2. Automobile Liability. $1,000,000 combined single-limit per accident for bodily injury and property damage. 3. Workers Compensation and Employer's Liability. Worker's Compensation limits as required by the California Labor Code and Employer's Liability limits of $1,000,000 per accident for bodily injury. b. Endorsements. The general liability, automobile liability, and where appropriate, the worker's compensation policies are to contain, or are endorsed to contain, the following provisions: Additional Insureds. The City of Chula Vista, its officers, officials, employees, agents, and volunteers are to be named as additional insureds with respect all policies of insurance, including those with respect to liability arising out of automobiles owned, leased, hired or borrowed by or on behalf of the Licensee, where applicable, and, with respect to liability arising out of work, installation, repair, replacement, operations or placement of Licensee's Facilities with the Rights-of--Way. __._...._... __ 2. Claims Made. Licensee will obtain occurrence covera e excludin Professional g , g ._ -- - - ~ Liability, which will be written as claims-made coverage. Cancellation. This insurance will be in force during the life of the Agreement and any extensions of it and will not be canceled without thirty (30) day's prior written notice to City sent by certified mail pursuant to the Notice endorsements to City. 4. Primary Insurance. The insurance coverage provided under this agreement 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 shall be excess, not contributing, wholly separate from the insurance of the Licensee and in no way relieves the Licensee from its responsibility to provide insurance. 5. Waiver of Subrogation. Licensee's insurer will provide a Waiver of Subrogation in favor of the City for each required policy providing coverage for the term required by this Agreement. c. Prior to City's execution of this Agreement and annually thereafter, Licensee will furnish certificates of insurance and endorsements to City. d. Failure to maintain any of these insurance coverage's, shall be deemed a material default for purposes of Section 33. NEXTG AGREEMENT 14 07/30/2009 19-24 e. City reserves the right to require at anytime, complete and certified copies of any or all required insurance policies and endorsements. f. All insurance companies affording coverage to the Licensee shall be required to add the City of Chula Vista as "additional insured" under the insurance policy(s) required in accordance with this Agreement. Insurance coverage provided to the City as an additional insured shall be primary insurance and other insurance maintained by the City, its officers, agents and employees shall be excess only and not contributing with the insurance provided pursuant to this Agreement. g. All insurance companies affording coverage to the Licensee shall be insurance organizations authorized by the Insurance Commissioner of the State Department of Insurance to transact business of insurance in the State of California and are required to have a current Best's Ke.y Rating of not less than "A-:V" h. City may require the. revision of amounts and coverage at any time during the term of this Agreement by giving Licensee 60 day's prior written notice. City's requirements shall be designed to assure protection from and against the kind and extent of risk existing on the Public Rights-of--Way and Municipal Facilities. Licensee also agrees to obtain any additional insurance required by City for new improvements, in order to meet the requirements of this Agreement. i. Insurance provisions under_this ~~ction shall not be construed to limit the Licensee's obligations under this Agreement;-including Indemnity. Section Z0. Performance Bond. Prior to construction of Licensee's Facilities. Licensee shall post a bond with the City (in the form of a Letter of Credit issued by a reputable institution) in the amount of Fifty Thousand Dollars ($50,000) ("Performance Bond") in a form acceptable to the City Attorney. This Performance Bond shall remain in place for the term of the Agreement, and shall cover the first Fifty (50) Nodes installed in the City. Any additional Nodes beyond 50 shall require increasing the amount of the Performance Bond at rate of Ten Thousand Dollars ($10,000) per ten (10) Nodes attached to a Municipal Facility or Licensee owned vertical element in the Right-of--Way. Section 21. Accident Reports. Licensee shall, within 48 hours after occurrence, report to City any accident causing property damage or any serious injury to persons resulting .from any of Licensee's activities under this Agreement. This report shall contain the names and addresses of the parties involved, a statement of the circumstances, the date and hour, the names and addresses of any witnesses, and other pertinent information. Section 22. Indemnification of City. a. Licensee shall waive all claims against City for any damages to the personal property and equipment of Licensee or City in, upon or about the Public Rights-of--Way and Municipal Facilities and for injuries to any employees of Licensee or their agents in, upon, or about the Public Rights-of--Way and Municipal Facilities from any cause arising at any time, unless the damages and/or injuries arise out of the City's gross negligence or sole willful misconduct. In NEXTG AGREEMENT ~ 5 07/30/2009 19-25 addition, Licensee will fully indemnify, hold harmless; and faithfully defend, the City, including its elected and appointed officials, officers, employees, contractors and agents ("Indemnified Parties"), from any damage or injury to any person, or any property, arising from the use of the Public Rights-of--Way and Municipal Facilities by Licensee or Licensee's officers, employees, contractors, or agents, or from the failure of Licensee to keep Licensee's Facilities and equipment in good condition and repair, as provided for in this Agreement, unless the damages and/or injuries arise out of the City's gross negligence or sole willful misconduct. b. Costs of Defense and Award. Included in the obligations in Section 22(a} is the Licensee's obligation to defend, at Licensee's own cost, expense and risk, any and all aforesaid suits, actions or other legal proceedings of every kind that may be brought or instituted against the City, its directors, officials, officers, employees, agents and/or volunteers, regardless of whether a judgment is rendered in such suit, legal proceeding, or other action. Licensee shall pay and satisfy any judgment, award or decree that may be rendered against City or its directors, officials, officers, employees, agents and/or volunteers, for any and all legal expense and cost incurred by -each of them in .connection therewith. c. Insurance Proceeds. Licensee's obligation to indemnify shall not be restricted to insurance proceeds, if any, received by the City, its directors, officials, officers, employees, agents, and/or volunteers. d. Enforcement Costs. Licensee agrees to pay any and all costs City incurs enforcing the indemnity and defense provisions set forth herein. _ _~. __ e. Survival. Licensee's obligations under Section 22 shall survive the termination of this Agreement. f. Conflicts. Should a conflict of interest arise, Licensee shall bear the cost of retaining independent counsel to represent the City, which counsel shall be chosen by the City and Licensee. g. Risk of Loss. Licensee acknowledges and agrees that Licensee bears all risks of loss or damage of its Nodes and materials installed in the Public.Rights-of--Way and on Municipal Facilities pursuant to this Agreement from any cause, and the City shall not be liable for any cost of repair to damaged Node(s), including, without limitation, damage caused by the City's removal of the Node(s), except to the extent that such loss or damage was solely caused by the willful misconduct or sole negligence of the City, including, without limitation, each of its elected officials, department directors, managers, officers, agents, employees, and contractors. Section 23. Revocation of Authorization. If the Licensee fails to comply with any of the material terms and conditions of this Agreement and/or any applicable law, the City may revoke the authorization granted herein, subject to the terms and conditions stated in Section 33, "Termination". Section 24. Terms and Conditions Specific to this Agreement. The terms and conditions of this Agreement shall apply solely to the Licensee's Facilities and the Public Rights- of-Way and Municipal Facilities described in Exhibit A, and shall not apply to, nor establish any NEXTG AGREEMENT 16 07/30/2009 19-26 precedent for, the conditions the City may impose upon Licensee in the event Licensee seeks to provide other telecommunications services or cable services to the public for hire within the City. Section 25 Reservation of Rights. The rights granted by this Agreement are granted based upon representations by Licensee that its federal and state grants or certificates authorize construction and operation of activities in relation to this Agreement. Section 26. Governing Law; Jurisdiction. This Agreement shall be governed and construed by and in accordance with the laws of the United States and the State of California without reference to general conflicts of law principles. If suit is brought by a party to this Agreement, the parties agree that trial of such action shall be vested exclusively in the State courts of San Diego County, California or in the United States District Court, Southern District of California. Nothing in this section shall be interpreted to preclude either party's right to seek redress from the Federal Communications Commission. Section 27. Amendment of Agreement. This Agreement shall not be modified or amended except by a writing signed by authorized representatives of the parties. Section 28. Entire Agreement. This Agreement contains the entire understanding between the parties with respect to the subject matter herein. There are no representations, agreements, or understandings, whether, oral or written, between or among the parties relating to the subject matter of this Agreement, which are not fully expressed herein. Each party has relied on advice from. its own attorneys, and the warranties, representations, and covenants expressly contained in this Agreement. Section 29. Severability. If any part of any provision of this Agreement or any other agreement, document, or writing given pursuant to or in connection with this Agreement is finally determined to be invalid or unenforceable under applicable law, that part or provision shall be ineffective to the extent of such invalidity only, and the remaining terms and condition shall be interpreted so as to give the greatest effect to them. Section 30. Taxes. Licensee shall pay, before delinquency, all taxes, assessments, and fees assessed or levied upon Licensee or the Licensee's Facilities, including, any buildings, structures, machines, equipment, appliances, or other improvements or property of any nature whatsoever erected, installed, or maintained by Licensee or levied by reason of the business or other Licensee activities related to this Agreement, including any licenses or permits. Licensee specifically acknowledges that the grant of this license may subject Licensee to certain taxes under California Revenue and Taxation Code Section 107.6 and agrees it is solely responsible for the payment of these taxes. Licensee shall be responsible for all utilities and any property taxes imposed as a result of the use of the Property by Licensee. Licensee specifically acknowledges that the grant of this license may subject Licensee to certain taxes under California Revenue and Taxation Code section 107.6 and agrees it is solely responsible for the payment of these taxes. The Licensee recognizes that the carriers they contract with may be subject to certain taxes under the NEXTG AGREEMENT 17 07/30/2009 19-27 California Revenue and Taxation Code and the Chula Vista Municipal Code and their failure to pay those taxes or fees may exclude them from utilizing City property. Section 31. Non-exclusivity. Neither this Agreement nor the permit granted hereunder is exclusive. The City reserves the right to enter into co-location agreements with other parties, including but not limited to telecommunications and information services providers (hereinafter "Carriers"), for use of the Public Rights-of--Way or Municipal Facilities. Section 32. Notices. AlI notices under this Permit Agreement shall be in writing and, unless otherwise provided in this Agreement, shall be deemed validly given if sent by certified mail, return receipt requested, or via recognized overnight courier service, addressed as follows (or to any other mailing address which the party to be notified may designate to the other party by such notice). Should City or Licensee have a change of address, the other party shall immediately be notified as provided in this section of such change.. LISENSEE: CITY: NextG Networks of California, Inc. CITY OF CHLTI_A VISTA 2216 O'Toole Ave. 276 Fourth Avenue San Jose, CA 95131 Chula Vista, CA 91910 Attn: Contracts Administration Attn: City Manager Either party may change its address by notice to the other party`as5prowided herein. Communications shall be deemed to have been given and received on the first to occur of (i) actual receipt at the offices of the party to whom the communication is to be sent, as designated above, or (ii) three working days following the deposit in the United States Mail of registered or certified mail, postage prepaid, return receipt requested, addressed to the offices of the party to whom the communication is to be sent, as designated above. Section 33. Termination. a. Termination for Cause. The Parties to this Agreement shall have the right, but not the obligation to terminate this Agreement for breach by other Party ("Breaching Party") of a material covenant, term, or condition ("Material Breach") if the breaching party fails to cure such breach within the timeframe provided for cure. A Material Breach shall include the use of Licensee's Facilities for a purpose that requires additional City approvals that have not been obtained. Opportunity to Cure. Prior to terminating this Agreement, The Party not in breach shall provide the Breaching Party with a written notice of the breach ("Notice to Cure"). Breaching Party shall cure such breach within forty-five (45) days of receipt of the Notice to Cure (or if such breach cannot be cured within forty-five (45) days, Breaching Party shall commence such cure within forty-five (45) days and diligently prosecute such cure to completion). Notwithstanding the foregoing, with respect to a monetary default, Licensee shall remit payment within ten (10) days from receipit of the Notice to Cure. NEXTG AGREEMENT ~$ 07/30!2009 19-28 Section 34. Other Regulations. All Licensee's use of the Public Rights-of--Way and Municipal Facilities under this Agreement shall be in accordance with the laws of the United States of America, the State of California and in accordance with all applicable rules and regulations and ordinances of the City of Chula Vista now in force, or hereinafter prescribed or promulgated by resolution or ordinance or by State or Federal law. Section 35. Related Actions. By the granting of this Agreement, neither City nor the Council of the City is obligating itself to any other governmental agent, board, commission, or agency with regard to any other discretionary action relating to the use of the Public Rights-of- Way and Municipal Facilities. Discretionary action includes, but is not limited to, permits, environmental clearances or any other governmental agency approvals, which may be required for the development and operation of the Licensee's Facilities within the Public Rights-of--Way and Municipal Facilities. Section 36. Use of the Public Rights-of--Way. Licensee acknowledges that the paramount use of Public Rights-of--Way Property or Municipal Facilities is for the public. Licensee agrees to coordinate use of the Public Rights-of--Way Property or Municipal Facilities with City so as not to conflict with City's programs and activities. Section 37. Headings. All article headings are for convenience only and shall not affect the-interpretation of this Agreement. Section 38. Gender & Number. Whenever the context requires, the use herein of (i) the neuter gender includes the masculine and the feminine genders and (ii) the singular number includes the plural number. Section 39. Reference to Paragraphs. Each reference in this Agreement to a section refers, unless otherwise stated, to a section this Agreement. Section 40 Incorporation of Recitals and Exhibits. All recitals herein and exhibits attached hereto are incorporated into this Agreement and are made a part hereof. Section 41. Administrative Claims Requirements and Procedures. No suit or arbitration shall be brought arising out of this agreement, against the City unless a claim has first been presented in writing and filed with the City and acted upon by the City in accordance with the procedures set forth in Chapter 1.34 of the Chula Vista Municipal. Code, as same may from time to time be amended, the provisions of which are incorporated by this reference as if fully set forth herein, and such policies and procedures used by the City in the implementation of same. Upon request by City. Licensee shall meet and confer in good faith with City for the purpose of resolving any dispute over the terms of this Agreement. Section 42. No Waiver. No failure of either Party to insist upon the strict performance by the other Party of any covenant, term or condition of this Agreement; nor any failure to exercise airy right or remedy consequent upon a breach of any covenant, term, or condition of this Agreement, shall constitute a waiver of any such breach of such covenant, term NEXTG AGREEMENT 19 07!3012009 19-29 or condition. No waiver of any default hereunder shall be implied from any omission to take any action on account of such default. The consent or approval to or of any act requiring consent or approval shall not be deemed to waive or render unnecessary future consent or approval for any subsequent similar acts. No waiver of any breach shall affect or alter this Agreement, and each and every covenant, condition, and term hereof shall continue in full force and effect to any existing or subsequent breach. Section 43. Cumulative Remedies. A11 rights, options, and remedies of City contained in this Agreement shall be construed and held to be cumulative, and no one of them shall be exclusive of the other, and City shall have the right to pursue any one or all of such remedies or to seek damages or specific performance in the event of any breach of the terms hereof or to pursue any other remedy or relief which may be provided by law or equity, whether or not stated in this Agreement. Section 44. Powers to Enter into Agreement. The individuals executing this Agreement represent and warrant that they have the right, power, legal capacity ..and authority to enter into and to execute this Agreement on behalf of the respective legal entities of the Licensee and the City. [NEXT PAGE IS SIGNATURE PAGE] NEXTG AGREEMENT 20 07(30/2009 19-30 IN WITNESS WHEREOF the parties hereto for themselves; their heirs, executors, administrators, successors, and assigns do hereby agree to the full performance of the covenants herein contained and have caused this Agreement to be executed by setting hereunto their signatures on the day and year respectively written herein below. CITY: DATE: LICENSEE: DATE: Septeti~Ler ~0, 2009 TAE CITY OF CAULA VISTA By: Jim Sandoval, City Manager NEXTG NETWORKS OF CALIFORNIA, INC. ,Y ~. ~... By:~~ Robert Delsman, General Counsel Notary Acknowledgement of Licensee signatures must be attached Exhibits: Exhibit A: Equipment Configurations Exhibit B: Application Forms APPROVED AS TO FORM: BART MIESFELD, City Attorney By: Title: NEXTG AGREEMENT 21 07/30/2009 19-31 CCVJUR' t'r E.F. TED)~TRDF 7--C\\1 VllR IlP3e:AS~N ~a A~Tl~tii. ENGA51- PDVNt''F"ELD FROM PRUPE6ED SEC-DYUtI' AkTUAI,. DtD;. n tt)"JYR IEfFJL , RFD ~MiER 28'6' Lit PitOP08E0 N%6 F711FR 26'8' tY PR-I JiT @'-6' C~2 PPG t0'-0' GR 6ED SEU[DlDFYY 3 Pa._ ci»l4T tNCAS'i PUER OI"f!C CABLE!FEED FRDMIAEpUALJIBEft LE TD. _~UI: CAYGiLT.. 'Mi7T) F :ICRfh'Nf _ _ _ FNCCOSURE~ _ _ _ ct-a i rN srr > > a-n _ _ - _ 126IBS ~- m i~'EATFA CaLJe~a0 vt•••rx METCE: - Iur ~c. ro~rea cwt..sw N: rcwc 9"-_ WOOD UTILITY POLE LAYOUT N,extG Networks NEXTG NETWORKS EQUIPMENT. CONFIGURATIONS EXHIBIT "A" NextG. ':Proprietary 8 Confidential A»~ .dl.p WODEN DISTRIBlR70N POLE LARGE ADC DUAL BAND f.AB7NET NOti-t,1EfERED UNff ~b\FIGUR;1':70N: L~IIRFLT in, DNFf. ptAVM. ND INTE D1U1VN ON-11-20U9 SCId.E~ AS SIRNlN ROT 8117E ~ Yi-K-P~W 19-32 CTT2FFT TJC;T~"T T 4TviP PAST T.AY(~TTT IvCnw rtuNuc,.cly tx ~.~.III,.,=„ual scwi.evv >< ~~Jo- SITE NNpIESL NEXTG NETWORKS nTLB STANOARO STEEL LAMP POST H7KOH HHR9It9 NEMOTE UNIT 'EQUIPMENT CONFIGURATIONS """"'"'~"~' ""'`~ "~'''N~"~°""~' rnxcvNCr NW SHEET pRNVPL ND 'Aj ANTE QlNVW 66-11-2009 2 NtactG Networks EXH 1 B IT "A" ;~ ~. ~, 19-33 OMNI . OR PANEL AN1fENNA 24"-48" :HEIGHT "EMO? M1~ LIME ...~~r~:r:; NEW POLE INSTALLTION LAYOUT ~~ NEXTG NETWORKS VFW l1SIG11'Y~SlTtk'.F3'LIG1l1'. 1'(1LF EQUIPMENT CONFIGURATIONS °""L `°" `"""`" `""`^`` m"„~ ~ ~, »~ MTE RMUp Ob-I1-2009 NextG Networks EX H I B i T "A" ~'~ ~ ~' ~ PLOT DATE ~ C6-Ob-~'d 19-34 Gh9Nl DlRELTIGNAL ANTEWNA TOTAL W(= 35 lBS ANi ENNA ,~ ~r 24,.4R'?i IU. S' TOTAL 7~1 = 55 LBS ~ J ANTFNNA~ MTiY.ILY01~ ~,~~~ CtL~1 S MM Cxf L' N^ulCn N' -18' i ~ C 5 m l _==-111 ~ i8' MU~EL ` I '. I fmun Y'tlOOEi. 1 ?4' 40D[I. L~SUPPORT BRAG POLE TOP YOVNT CROSS ARN EXTENSION SIDE MOUNT DIRECTIONAL OMNI ANTENNA DUAL BANG OMNI ANTENNA i a ..,. TGTAL Wr = 55 L?5 ANTEnnn-..~ ~ l i ~i_ i j E78ERGLA,S POLE TOP EXTENSION ar - rr ' o e e ~ ~, At~taa Mour~rlraG 9RAL T {~~ KE 1 x f . TYPICAL '~~y . WOOq, POLE \ti,. .. ... S~PNASE PRIMARY TOP MOUNT DUAL SEGTOR OMNI ANTENNA POLE TOP EXTENSION NT1NG BRACf~T .~ CROSS ARMEX7ENSION PANEL. ANTENNA ~~ 24-ABYix B`Wx6D ^.~l1PPORT BRACKET u waa~-.~ TCTAL WC = SD' LBS PANEL ANTENNA ~ L NEXfG ~ _AO,- GROUNOkiG 2a';aa^xa'zs" i i 1. POLE 51DE M OUN TED PANEL ANTENNA StDc MOUNT ON CP,OSS AP.M NEXTG NETWORKS 9TE AC77ES9~ nnc~ urrcNNa. cu+erGVSanws EQUIPMENT CONFIGURATIONS °~I "`~ r~s ~,>~ ~. ~, ~~ ~ n09 ~ ~ ~~ AAA NextG Networks CY~ XH I' '1 11 B1T A 0.S SNWN S CR tE {` a,E. 19-35 SPECFICATIONS RENCT E EvUIPIv 1ENT SPECIFICATIONS ::i2?" -H DE TAIL%E-I;I as.o°-H 6.1" -W 17.0".W ~- a. -{ ~s 60- 'Lbs 0 125 -Lbs ~ ~ ' I~ ~t NEne EouIrMENr ENCLOGURE - - - - - - - " ~. 3Z7' I ~ t t ~~ ~ olscOre+Eer OWr*c t Y•efl'a5' uEIT~ a sc"~ I' ~ pr nrYWRlw •ruNLmT sMN; b'ffy ~: IIF ViEY ~~ ,+reNR4. / REMOTE EQUI PMENT SPE C E-7 A" ~~ WITH pl$CONNECT A NO WETER (IE- REOUIREO EY 100A1 UTILITY E~U(PMENT 7YPE _A-I_41 I SPECIFICATIONS .. i 48,0"-H i SPECIFICATIONS.. ~~ 1J.5' - W 17.0"-W 1 I I ~ t ~~rr , '~, mss ll~ -- ~ _ 1so:Lbs j I ~ NENTGLOUNR~EM ENCLC!NlRF . ~ _ T - ~. .. - i J!-. i 480: .;I. ~ I II t T ~ L . pII ~+ ~ ~~ Cl~99 DpSIR ~• ~ I - __ il/ ~ ~~~ ~y ~" ' I Irnr ~ 4 ~ : ~ ' - . I P.EMOT E Et'~UIPMENT SPEC E-~ EQUIPMENT_7YPE_AOC_Ot WITH SHROUD SPECIFCATIONS, 21.0"-H SPECIFICATIONS 48:0" H 30:0' -W 18.0"~ W 24:0"- - U no°- o i 80 Lbs 5 0' -~'~ 30" ~ 48' X 3D' X 24" tzv-1 r= n ,-- -, ~ - ~ T ~ ~~ P E ' ~ ~ OL 0 48 I ~ I ~ ~ o f I: I co ~; j ii i Ij ,: - =--- UNDERGROUND CONDUIT :x: ~ ~ J NEXTG CONFIGURATION: ! - GROUND PEDESTAL! APPLICFTON ~ IF P E MOUNTED EOVIFMENT 'NO PPPROVEO EQUIP#tENT_TYPE_PW_Oi OL NEXTG NETWORKS STTE nO11RESS TITLE .EQUIPMENT CONFIGURATIONS. EgUII'MENT ®N£LGUMTiONS CDtTAM1CT ra 'sYFF.Ti nreav>w No- MTE tAnv1Y 00-i1-Z 009 " " ~~ ~~'~' NextG Networks EXHIBIT A rLar wTE . ass-EUm 19-36 Exhibit B ~~~~~ ~r Gm' OF CtiUCA VISTA Wireless Telecommunication Facilities Permit (WTF) on Public Property Policies & Procedures Submittal Requirements Applicant/Agent shall submit the following to Engineering Staff at the Counter in the Public Services Building, located at 276 Fourth Avenue. Chula Vista, CA 91910. The form will be processed administratively and routed to other affected City Departments and services by Conservation & Environmental Services: WTF Public Propert}- Permit Application ^ A letter. on the. Wireless Telecommunication Company stationary from an authorized person authorizing the agent and its company to represent the Wireless Telecommunication Company in the WTF process. The letter may establish authorization for up to one year so that it can be re-used for multiple sites for the same carrier during that time frame. An initial permit processing deposit of $x,000.00 Completed Project Description & 3ustification Sheet (APPENDIX A) Development Permit Processing Agreement .(APPENDIX B) Proof of approved Master License Agreement-with City (established for the duration of the agreement) ~ 10 sets of Site Plan 11 "X 1 %" minimum; and 24"X36" maximum '~ If, at the City's discretion. it determines that this particular site warrants notice, the Applicant shall prepare the following items and submit to the City: • Fill in the blank notice form. (Obtain CitS~ prior approval each site may be slightly different) • Self addressed and stamped envelopes for all private properties within 300 feet of the site • Data list of recipients • An 8-1/2" x 11"plat clearly showing the subject project relative to adjacent streets • One elevation, depicting the vertical element(s) from its most prominent view (Will be part of Appendix A) The Applicant or its authorized Agent shall provide a Surety Bond or alternative acceptable to the City to cover the faithful performance pursuant to Section 4.2 of the MLA 1 Prior to the commencement of any work and pursuant to Section 4.4 of the MLA, the Wireless Telecommunication Company shall file with the City the required original Certificate of Insurance. 19-37 (WTF on Public Prroper~l}~ Policies c~: Procedures) Conditions and Requirements Exhibit B Page 2 of 6 1. WTFs shall be stealth facilities 2. WTFs shall be co-located and/or developed for future co-location to the extent practicable. 3. Equipment facilities should be the smallest dimensions that technology allows. 4. WTFs on City Property are subject to the height limitation and required setbacks stipulated in CVMC Title 19 for the applicable zone, unless the additional height and/or encroachment into the required building setbacks is approved by the Zoning Administrator. 5. When allowed, freestanding facilities shall be designed to the minimum functional height and width. 6. Colors and materials shall be chosen to minimize visibility from the surrounding areas. 7. The location, design and required screening shall be compatible with the character of the surrounding neighborhood and shall be compatible with potential/planned future improvements by the City for the specific area per applicable City planning documents and/or current Cit}r standards. 8. Graffiti resistant surfaces shall be used. ,411 graffiti noted by or reported to a responsible .Carrier must be removed in accordance with the City's Property DefacementJGraffiti Ordinance. 9. Sidewalks, pavements, landscaping, irrigation. drainage and other improvements damaged or disturbed during installation, maintenance or removal of a ~.'TF shoal .be restored to original condition or new standard established by the City Engineer ~fiy the - responsible Carrier. 10. At no time shall WTFs affect, impede nor negatively impact the normal functions or duties of City Property, City employees or the public's routine enjoyment of parks, libraries or other public spaces, which may host a WTF. A. Determination of Applicability and Feasibility Determination of applicability and feasibility is at the sole discretion of the City. When reviewing WTFs on City Property, City staff shall determine whether the proposed WTF would: (i) Be detrimental to the City's property interest; (ii) Preclude other appropriate uses; (iii) Change or interfere with the use or purpose of the property, park or open space; or (iv) Violate any deed restrictions related to City Property, map requirements or other land-use regulations. City determinations may only be overturned on appeal. All environmental determinations shall be done on aproject-by-project basis. B. Placement of WTFs All proposals shall be evaluated on a case-by-case basis and are not necessarily limited to the general criteria listed below. The WTF should relate to the natural and/or existing surroundings in design, scale, form, color and materials. 19-38 (T~TF on Public Property Policies & Pr•ocedur-es) Exhibii B Page 3 of 6 The requirements and process for placement of WTFs vary by the type of location (Category 1 or Category 2) as described below. When questions arise, the appropriate City departments, have the authority to determine appropriateness of a location and what category a particular location falls in. C. Categories: CateQory 1 Applicants are strongly encouraged to site a WTF in one of these locations before pursuing a Category 2 Location. 1. City Buildings, such as the Civic Center. Fire Stations, Libraries, Public Works Facilities (excluding park facilities), in any event so long as the WTF does not interfere with City operations. 2. City parks and other properties not adjacent to an elementary school site. 3. Public ROW contiguous and/or immediately adjacent (on the same side of the street) to non-residential uses. Category Z Applications for sites in Category 2 Locations should include documentation from the Applicant substantiating ~~hy a Category 1 Location was not utilized. Documentation must include but may not be limited to: a narrative justification and search ring map(s), showing how the, facility addresses dropped calls or other service issues and will fill coverage gaps vei=siis ~altei-native locations. 1. Public ROW adjacent to or in City parks or Open Space. 2. Open Space areas 3. ublic ROW contiguous and immediately adjacent to residential use. 4. City properties (including parks) adjacent to an elementary school site or child care facility. D The following are general criteria for placement of WTFs on City Property (not including ROW) 1. WTFs shall be integrated into existing structures if at all possible. 2. Colors and materials of the WTF shall match the existing structures on the site. 3. The architecture of the WTF and/or associated equipment buildings shall be compatible with the rest of the site and surrounding area. All structures should be harmonious in style, form, and size. E The following are eeneral criteria for placement of WTFs within the Right of Wav Sites Locations: 1. All equipment associated with a Public ROW VJTF should be placed underground, or flush mounted, (including vents) unless a small above ground service connection box is 19-39 (1%VTF on Public Property Policies & Procedures) Exhibit B Page 4 of 6 required by the utilit~~ provider (maximum of 3 feet high by 3 feet wide) Whenever possible the meter should be connected to any existing or required vertical element. 2. Where space permits, equipment or components of a Public ROW WTF shall be located behind the edge of the sidewalk. In no case shall any location or placement of any component or associated equipment of a WTF located ~~ithin the public ROW obstruct or impede access, travel or the normal use of the public ROW subject to approval by the City Engineer. Vaults or associated equipment must be in compliance with all ADA requirements. Vaults or associated equipment that encroach into the sidewalk must be set flush with the sidewalk or a four foot wide clear sidewalk path must be accommodated from the edge of the vault/equipment to the back of the curb. 3. When it is technologically infeasible for the equipment associated with an antenna located within the public ROW to fit into the public ROW, the equipment may be placed above ground on adjacent private or other non-City property subject to Cite review/approval (pursuant to the Chapter 19.89) and provided that: 1) the applicant has obtained permission from the property owner; 2) the placement of the equipment is consistent with existing laws and regulations. including sight distance requirements and all that all applicable discretionary approvals are acquired subject to Chula Vista Municipal Code 19.89 for Wireless Facilities on private property (3) the equipment enclosure is integrated into the architecture or surrounding environment through architectural enhancement (scale, texture, color. and style), unique design solutions, enhanced landscape architecture; and complementary siting .,,solutions to minimize visual and pedestrian impacts. - ~ ~• -~~ - - 4. Panel Antennas shall be vertically mounted to the structure in compliance with any applicable separation requirements and shall not exceed six-inches in distance from the structure. 5. No more than four panel Antennas, or two omni-directional Antennas, shall be mounted on any City Street Light Standard by any one provider. 6. Antennas shall be colored and textured to match the support structure (pole; building, etc.) on which they are attached. City will consider similar stealth options proposed by the applicant at its sole discretion. 7. At the City's discretion, when necessary, equipment attached to the pole shall be located to minimize pedestrian impacts and shall match the color of the pole, the City may approve other stealth and aesthetically appropriate applications at its discretion. 8. The applicant is responsible for minimizing any potential damage to hard and soft landscapes and is sole responsible for the, restoration and/or replacement of landscape material shall be provided by the applicant, subject to the appropriate City approval(s) prior to operating the WTF. In addition, the City shall require a maintenance plan and/or agreement sufficient to allow plant material to reach self-sustaining status pursuant to the City landscape architect (approximately 1 year for shrubs and 3 years for trees).. 19-40 (GT~'TF on Public Property Policies & Procedures) Exhibit B Page .i of 6 9. When screening is proposed the plants shall be ''water smart'' and self-sustaining (i.e. not require irrigation systems where there are none) 10. If a street light supporting an Antenna is damaged or becomes non-functional, the City shall have the right to erect a temporary light in the licensed area. The applicant shall be responsible for permanent replacement and/or repair of the light within a reasonable amount of time pursuant to Section 2.4 of the Master Communications Site License Agreement. 11. Functional appurtenances shall be pursued 12. Non-functional light standards and/or poles are discouraged subject to the discretion of the City. 13. Replacement Light standards or new light standards must be designed to match the existing lights in the area. 14. All above-ground structures must be constructed in break-away design to ensure traffic safety. 15. Proper visual sight distance must be maintained in accordance with all City standards at X11 intersections and driveways. 16. All energy costs for new light standards must be paid for by the applicant. F. The following are general criteria for placement of WTF's within City Parks(City staff shall determine whether the proposed WTF is consistent with the context and setting of the Park Site 1. The proposed WTF shall be integrated with existing park facilities or open space, shall not disturb the environmental integrity of the park or open space, and shall be distruised such that it does not significantly detract from the recreational or natural character of the site. 2, Whenever possible, Antennas shall be concealed within existing appurtenances such as: sports field light poles, security light poles, scoreboards, buildings and other similar posts/structures within the park site, with no aesthetic/functional impact to the intended effect. No WTF or Equipment Facilities shall be placed on existing or proposed active recreational areas, or in a location identified by Park staff that will hinder or interfere with the future development of the park. 19-41 Exhibit B (WTF on Public Property Page 6 of 6 0 Policies & Procedures) 4. Above-ground equipment enclosures, when allowed, shall be designed similarly to existing park structures, shall be the smallest size that technology allows, and shall be integrated into the existing architecture of surrounding enviromnent through architectural enhancement. All equipment shall be located inside the equipment enclosure and the building shall be enclosed on all four sides and above. Landscaping, which complements the existing park landscaping, shall be used to screen and enhance the WTF enclosure. 5. The City reserves the option to require the applicant to incorporate complementary uses on the exterior of enclosures such as; storage, drinking fountains, concrete pads and .electrical outlets for vending machines, clocks, score boards or other features that may allow the structure to blend into and complement park uses. 6. An applicant may be limited to one WTF Facility and/or Equipment Facility in any park. Exceptions may be made for WTF Facilities in large regional parks or at the discretion of the City. J: IengineerlpERMITShvireless FaciZitiesLSubmittal Requirements3-17-08.doc 19-42 Exhibit B ~~~(~ ENGINEERING & CONSERVATION ANQ ENVIRONMENTAL SERVICES ~~ APPLICATION ^ WTF PUBLIC PROPERTY PERMIT Cm' of Wireless Telecommunication Facilities ^ CHULA VISTA Applicant Information Applicant/Carrier Name: Applicant/Carrier Address: Contact: Fax: ~ Agent (Company Name) Agent Address: Phone No.: l Phone No.: (Person Name), (Person Title) Fax: ( ) General Proiect Description Project Name: Carrier Ref #.: General Description of Proposed Project. See attached APPENDIX A Subject Property Information ' Location/Street Address (Closest intersection): . -,,..: , ,. , Assessor's Parcel #: _. - - Total Acreage: Redevelopment Area (if applicable) General Plan Designation: Zone Designation: Are there any WTFs existing or proposed on this site? (If yes, please describe.) If so is this proposed as a co-location? ^ Yes ^ No Proiect Details Will antenna go on ^ new (OR) ^ existing structure? Height of structure where the antenna will be placed Dimensions of the antennas: Will there be other devices (i.e. EPS or microwave antenna)? Square footage of the equipment area/shelter: Will any of the facilities be underground? ^ YeS ^ NO How often will the site require maintenance visits? _ Print Applicant's Name: Applicant Signature: _ Date: 276 Fourth Avenue ~ Chula Vista i ~al~~rnia ~ 91910 ~ (619) 691-5024 `l` // Exhibit B ~~~ Engineering & Conservation and Environmental Services ,___._-_ _._._._ _._.__ CITY OF CHUtA VISTA APPLICATION APPENDIX A Proiect Description & Justification Project Name: Applicant Name: 1) Please fully describe the proposed project, any and all construction that may be accomplished as a result of approval of this project, and the project's benefits to you, the property, the neighborhood, and the City of Chula Vista. 2) Provide a brief narrative about why is this being pursued, new system, additional topographical coverage, additional demand based on x number of reported dropped calls etc over the past time period. 3) Include a basic preliminary plot plan showing closest cross streets and elevations for pre-application site visit. (Sample attached} 4) Provide Search ring(s) and alternate locations reviewed within that search rings} for pre-application site visit. 5) Demonstrate how you are addressing the MLA and issues summarized in Property Policies and Procedures; Conditions and Requirements. Include any details necessary to adequately explain the scope and/or operation of the proposed project. You may include any background information and supporting statements regarding the reasons for, or appropriateness of, the application. Use an addendum sheet if necessary 19-44 Page No. 2 of 5 ~~~ ~~ r:Arr: ___._-_ _._.__ CriY OF CHUTA VISTA Exhibit B Engineering & Conservation and Environmental Services APPLICATION APPENDIX B Permit Applicant: Applicant's Address: Type of Permit: Agreement Date: Deposit Amount: This Agreement ("Agreement") between the City of Chula Vista, a chartered municipal corporation ("City") and the forenamed applicant for a development permit ("Applicant"), effective as of the Agreement Date set forth above, is made with reference to the following facts: Whereas, Applicant has applied to the City for a Wireless Telecommunications Facility Public Property permit of the type afore-referenced ("Permit") which the City has required to be obtained as a condition to permitting Applicant to develop a parcel of property; and,, Whereas, the City will incur expenses in order to process said permit through the various departments of the City ("Processing Services"); and, Whereas the purpose of this agreement is to reimburse the City for all expenses it will incur in connection with providing the Processing Services; Now, therefore, the parties do hereby agree, in exchange for the mutual promises herein contained, aS fdllows: 1. Applicant's Duty to Pay. Applicant shall pay all of City's expenses incurred in providing Processing Services related to Applicant's Permit, including all of City's direct and overhead costs related thereto. This duty of Applicant shall be referred to herein as "Applicant's Duty to Pay." 1.1. Applicant's Deposit Duty. As partial performance of Applicant's Duty to Pay, Applicant shall deposit the amount afore-referenced ("Deposit"). 1.1.1. City shall charge its lawful expenses incurred in providing Processing Services against Applicant's Deposit. If, after the final inspection as outlined in section 15 and 18 of the WTF Public Property Permif and conclusion of processing Applicant's Permit and, any portion of the Deposit remains, and the Carrier/Applicant has no other outstanding processing debts for WTF public property permits within the City, the City shall return said balance to Applicant within 60 days without interest thereon. If, during the processing of Applicant's Permit, the amount of the Deposit becomes exhausted, or is imminently likely to become exhausted in the opinion of the e City, upon notice of same by City, Applicant shall forthwith provide such additional deposit as City shall calculate as reasonably necessary to continue Processing Services. The duty of Applicant to initially deposit and to supplement said deposit as herein required shall be known as "Applicant's Deposit Duty". 2. City's Duty. City shall, upon the condition that Applicant is no in breach of Applicant's Duty to Pay or Applicant's Deposit Duty, use good faith to provide processing services in relation to Applicant's Permit application. 2.1. City shall have no liability hereunder to Applicant for the failure to process Applicant's Permit application, or for failure to process Applicant's Permit within the time frame requested by Applicant or estimated by City. 19-45 Page No. 3 of 5 `\r // Exhibit B ~_... Engineering & Conservation and Environmental Services crrv of CHUtA VISTA 2.2. By execution of this agreement Applicant shall have no right to the Permit for which Applicant has applied. City shall use its discretion in valuating Applicant's Permit Application without regard to Applicant's promise to pay for the Processing Services, or the execution of the Agreement. 2.3. By execution of this agreement Applicant shall have no right to the Permit for which Applicant has applied. City shall use its discretion in valuating Applicant's Permit Application without regard to Applicant's promise to pay for the Processing Services, or the execution of the Agreement. 3. Remedies 3.1. Suspension of Processing In addition to all other rights and remedies which the City shall otherwise have at law or equity, the City has the right to suspend and/or withhold the processing of the Permit which is the subject matter of this Agreement, as well as the Permit which may be the subject matter of any other Permit which Applicant has before the City. 3.2. Civil Collection In addition to all other rights and remedies which the City shall otherwise have at law or equity, the City has the right to collect all sums which are or may become due hereunder by civil action, and upon instituting litigation to collect same, the prevailing party shall be entitled to reasonable attorney's fees and costs. 4. Miscellaneous. 4.1 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,[equesfed et the addresses identified adjacent to the signatures of the parties represented. 4.2 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. 4.3. Multiple Signatories. If there are multiple signatories to this agreement on behalf of Applicant, each of such signatories shall be jointly and severally liable for the performance of Applicant's duties herein set forth. 4.4. Signatory Authority. This signatory to this agreement hereby warrants and represents that he is the duly designated agent for the Applicant and has been duly authorized by the Applicant to execute this Agreement on behalf of the Applicant. Signatory shall be personally liable for Applicant's Duty to Pay and Applicant's Duty to Deposit in the event he has not been authorized to execute this Agreement by Applicant. 4.5 Hold Harmless. Applicant shall defend, indemnify and hold harmless the City, its elected and appointed officers and employees, from and against any claims, suits, actions or proceedings, judicial or administrative, for writs, orders, injunction or other relief, damages, liability, cost and expense (including without limitation attorneys' fees) arising out of City's actions in processing or issuing Applicant's Permit, or in exercising any discretion related thereto including but not limited to the giving of proper environmental review, the holding of public hearings, the extension of due process rights, except only for those claims, suits, actions or proceedings arising from the sole negligence or sole willful conduct of the City, its officers, or employees known to, but not objected to, by the Applicant. Applicant's indemnification shall include any and all costs, expenses, attorney's fees and liability incurred by the City, its officers, agents, or employees in defending against such claims, whether the same proceed to judgment or not. Further, Applicant, at its own expense, shall, upon written request by the City, defend any such suit or action brought against the City, its officers, agents, or employees. Applicant's indemnification of City shall not be limited by any prior or subsequent declaration by the Applicant. At its sole discretion, the City may participate at its own expense in the defense of any such action, but such participation shall not relieve the applicant of any obligation imposed by this condition. 19-4 6 Page No. 4 of 5 ~`~ ~~ Exhibit B ~~` Engineering & Conservation and Environmental Services ,....~. ~~__._ CITY OF CHULA VISTA 4.6 Administrative Claims Requirements and Procedures. No suit or arbitration shall be brought arising out of this agreement against the City unless a claim has first been presented in writing and filed with the City of Chula Vista and acted upon by the City of Chula Vista in accordance with the procedures set forth in Chapter 1.34 of the Chula Vista Municipal Code, 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. Now therefore, the parties hereto, having read and understood the terms and conditions of this agreement, do hereby express their consent to the terms hereof by setting their hand hereto on the date set forth adjacent thereto. Dated City of Chula Vista 276 Fourth Avenue Chula Vista. CA 91910 By Dated By: 19-47 Page No. 5 of 5 Exhibit B PROPOSED (PN6} 90V NRIJ SITE CV CABLE rye RR(` COX ~ =, } .~ } { ~ 20' OF CAN ~ 15' 0~ TRENCH SDG&E TRAnNS 1 ~ J ~ TRENCH TO SDG&E ~ ~ i•-- I---~ 6' SIDEWALK 8'/z `PARKWAY ~ socae ~ SDG&E H.H. vau~r °~ T i 2 iz . o O I 40' BUILD PAD 18" FROM ` a-~ ? ~ ~ BACK OF SIDEWALK EVENING STAR 8 %2 'PARKWAY 2401 EVENING STAR STREET PHASE 25 NnnF~ 93F ~~ 128' OSTOP SIGN 6' SIDEWALK SITE# 4344 T.G. 1311- J7 ~i'li'll~! ~; ;~r~'lll~il~~ify ~1~; ~l~~li N CD I .P t>D (This simulation can be a simple elevation for the Preliminary Site Visit) Preliminary Plot Plan (App Item 3) Evening Star St. SANTA ROSA DRNE GEYSERVILLE ST. OTAY LAKES ROAD N -;, OLYMPIr PARKWAY m ~ D ~' ~ v = -~ Z ~ ~ z O y m D D ~ ~ ~ ~ ~ :'~ ~ D Evening Star St. >•_, ~~ ~~ . ~ ~ ~ ~ f ~ ~ Exhibit B s m n rn --i v m Exhibit B ~\ 1 I~ ~~. C[lY OF CHUlA V[STA SCHEDULE OF PREMISES/ WIRELESS TELECOMMUNICATIONS FACILITY SITE LICENSE /PERMIT FOR <Carrier name> PERMIT NUMBER WTF- <Catz•ier initial> -## SITE NUMBER: (will be pro~~ided by carrier for each site} DECISION DATE: <.gpprc>val Date> LOCATION: The site i located at <address>, APN xxx-xxa-xx ANNUAL FEE: $ beginning (provided by hlicha.et 1~~leacham for each site.) INITIAL FEE: covers prorated annual fee from 1St month following approval date to December 31St of that year (completed SOP shall not be provided until the initial fee is paid). Subject to the City receiving the Initial Fee, Permission is hereby granted pursuant to the Master .License' '' Agreement, dated ,between the City of Chula Vista (hereinafter "City") and <Carrier nazne> (hereinafter "Permittee") whose mailing address is <carrier address> to do work within a portion of City's Right-of--Way, Open Space, and Public Utilities area ("City Property") adjacent to and for the direct benefit of the following described property: Legal Description: See Exhibits "A" and "B", attached hereto and by reference made a part hereof. Description of Installation: See Exhibit "C", Site Plan, attached hereto and by reference made a part hereof. (The E~-lzibit shall include detailed location & description of equip~nerrts, condzait, antennas, etc.) (Legal Description and Description of Installation, hereinafter-Wireless Telecommunications Facilities, "WTF") Now, therefore, in consideration of their mutual promises, and other good and valuable consideration, the parties hereto agree as follows: Permission is hereby granted to Permittee by City to install WTF on the City Property at the location specified in accordance with the following terms and conditions: All terms and conditions of this permit as to the Permittee shall be a burden upon Permittee. All conditions apply to Permittee and all their heirs. assigns, successors or transferees. WTF shall be installed and maintained in a safe and sanitary manner by Permittee as determined by City Engineer and Public Worts Director. 3. Submit WTF plans for Building Permit from the Chula Vista Building Division and comply with the all regulations to the satisfaction of the City Building Official prior to the issuance of Building Permits. WTF-<insert carrier initials> -xx Page 1 of 3 19-50 Exhibit B 4. Any concrete pads or vault cover doors in or adjacent to side~~~alks must be flush with and back a minimum of 18 inches from sidewalk. 5. Disruption of existing site improvements and facilities, including site landscaping improvements, resulting from the installation of the WTF shall be replaced and/or repaired in kind, subject to the appropriate City approval(s). 6. Electrical power to the WTF shall not be enabled prior to issuance of a certificate of occupancy, unless such power is needed to test the WTF's operation during construction and installation. If enabled for testing purposes, electrical power shall be disabled once testing is complete. 7. Before using the WTF, a final inspection shall be scheduled and conducted by the City and the Public Works department to ensure that all conditions of approval have been met and all necessary permits have been obtained. You may contact Don Brown, Building Project Manager, in Engineering at (619} 397-6074 for assistance. 8. Permittee shall be responsible for maintaining the project area in a safe and secure condition to the public and shall also provide a temporary chain lint: fence to be installed around the perimeter of the project area during construction of the WTF. 9. In addition, construction of the WTF shall be scheduled in advance and coordinated with the City to minimize the potential for conflicts with vehicle traffic and City operations occurring on or near the WTF site. Contact Don Brown in Engineering for coordination. Permittee agrees that the site will not be activated until the City, Public Works and the Building Inspector has signed off on final construction. 10. <Add any additional Project~s~ev%f~c coridi;~tions> IMPORTANT NOTE: Pursuant to the Master License Agreement between the City and <insert name of Carrier>, violations of these conditions may result in the termination of the right to use this site. Furthermore, the City may add to, delete, or modify this permit's Conditions at any time during the term of the Master License Agreement to advance a legitimate governmental interest. (End of page. Next page is signature page.) WTF-<insert carrier initials> -xx Page 2 of 3 19-51 Exhibit B APPROVALS: City Engineer SIGNATURE PAGE FOR SCHEDULE OF PREMISES/ WIRELESS FACILITI' SITE LICENSE /PERMIT FOR <Carrier name> Host Department if different IE library, fire, etc Michael Meacham Director of Conservation and Environmental Services ACCEPTANCE By signature below, the Wireless Carrier acknowledges they have read, understood and agreed to the conditions contained herein, the Public Property Policies & Procedures and the Master Communications Site License Agreement, and will implement same. , Authorized Signature of Wireless Carrier Date Print Name and Title WTF-<insert carrier initials> -xx Page 3 of 3 19-52 TY COUNCIL STATEMENT ~`~~ CI7Y OF CHULAVISTA OCTOBER 6, 2009, Item ~~ ITEM TITLE: RESOLUTION OF THE CITY COUNCIL ESTABLISHING A STAKEHOLDER COMMITTEE TO RECOMMEND CHANGES TO THE CITY'S MOBILEHOME CLOSURE ORDINANCE AND APPROPRIATING FUNDS FOR THE FACILITATION OF SUCH COMMITTEE SUBMITTED BI': DEPUTY I Y MANAGER, DEVELOPMENT SERVICES DIRECTO REVIEWED BY: CITY MANAGER 4/STHS VOTE: YES ^X NO SUMMARY The City enforces a variety of regulations for mobilehome parks, including the closure of mobilehome parks (Chula Vista Municipal Code Section 9.40}. In 2007, City staff engaged in a public participation process to update the existing local ordinance regulating mobilehome park closures. This report serves to update you on the process to revise the Cit<~'s Mobilehome and Trailer Park Conversion Ordinance and to request the establishment of a stakeholder committee to provide final recommendations. 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 of the State CEQA Guidelines because the proposed action consists of an administrative activity that will not result in direct or indirect physical changes to the environment. Therefore, pursuant to Section 15060 (c)(3) of the State CEQA Guidelines the activity is not subject to CEQA. Thus, no environmental review is necessary. RECOMMENDATION Staff recommends that the City Council adopt the resolution authorizing staff to proceed with the committee review of the ordinance update and approve the appropriation of $15,000 from the Housing Authority to pursue this process. 20-1 OCTOBER 6, 2009, Item' Page 2 of 7 BOARDS/COMMISSION RECOMMENDATION Not Applicable DISCUSSION Mobilehome and Trailer Park Conversion Ordinance Chula Vista has more than 3,600 mobilehome spaces, which make up approximately 5% of the City's housing stock. Mobilehomes provide a unique housing arrangement, as many residents own their own coach, but rent the land space. This distinct situation puts mobilehome owners in a rare position as both homeowner and tenant. To address concerns this relationship presents, there are a number of State and local regulations that govern mobilehome parks, tenancy and closure. Specific to mobilehome and trailer park closures, state laws govern the closure procedure for mobilehome and trailer parks, and the City of Chula Vista's Municipal Code (CVMC) Chapter 9.40 implements State requirements and provides supplemental requirements. These procedures include noticing requirements, a relocation plan and relocation assistance.. The relocation assistance identified in CVMC Chapter 9.40 (Attachment 1) includes assistance to low- and moderate- income mobilehome occupants in the form of payment by the park owner of 75 percent, up to a maximum of $3,000, of the cost of relocating the mobilehome or trailer to another mobilehome or trailer park within 100 miles. Alternatively, if the coach is determined to be not relocatable due to age and/or condition, the park owner must purchase those homes of low- and moderate-income mobilehome or trailer owner/occupants using "standard insurance replacement criteria". Chapter 9.40 outlines the specific criteria that must be contained within a required relocation plan for residents of the existing mobilehome park. Such a plan would typically be approved prior to consideration of closure of the park and subsequent rezoning of the property. A Mobile Home Park Overlay District (MHPOD) described in Section 7.17 of the Land Use and Transportation Element was established in October 2006, and is provided as Attachment 2. The objective of this newly added Section was to ensure sufficient evaluation and response to the effects of any change of use or urban redevelopment of existing mobilehome park developments. The MHPOD further refines and updates the procedural requirements for mobilehome park closure and resident relocation contained in Chapter 9.40, raises the required review and approval level for the relocation plan to the City Council and contains additional findings which must be met regarding the closure of the existing mobile home park. The adopted policies relied heavily on compliance with Chapter 9.40 of the Municipal Code with its own established sets of procedures to follow. Closure Via Bankruptcy The only recent mobilehome park closure in Chula Vista was Jade Bay Mobile Home Park, which filed bankruptcy in 2006. The mobilehome park was not obligated to follow the City's local closure ordinance as State of California Government Code 65863.7(f) states "if the closure or cessation of use of a mobilehome park results from an adjudication of bankruptcy, the provisions of this section shall not be applicable." The Bankruptcy Court exercised its jurisdiction to effect park closure. Since the site of the former park is 20-2 OCTOBER 6, 2009, Item ~ Page 3 of 7 currently vacant and the former residents executed Federal Court approved stipulations formally accepting the relocation benefits offered to them by Jade Bay as satisfying their relocation claims, any additional provisions of Chapter 9.40 are not applicable in this particular instance (i.e., notification procedures etc). The City retained special bankruptcy counsel to attend the bankruptcy proceedings and (to the extent possible) to help ensure that the residents' relocation needs were met. City staff has explored options to address closure via bankruptcy and has determined there are no additional options within the City's control to effect closure and/or relocation plans in the instance of bankruptcy. Although City codes and policies do not have a role in the instance of bankruptcy, the City has other tools that provide low income residents with affordable housing options and available affordable housing assistance, as were exercised during the Jade Bay closure: (1} Affordable rental opportunities throughout the City -City staff is always working on creating new affordable housing developments throughout the city. Chula Vista has a very productive history of increasing the supply of affordable units, averaging approximately 90 new units each year. All projects within the last 5 years have been required projects to offer a priority to displaced residents. With the Jade Bay Mobile Lodge closure, staff worked with several affordable complexes to hold vacancies for a two to three month period to provide priority to displaced Jade Bay residents. Surplus affordable units became available because some people turned down units based on individual preferences. (2) Section 8 rental assistance -Staff encourages all eligible residents to apply for Section 8 assistance through the County of San Diego, even if their mobilehome park is not being closed. Many mobilehome parks will accept Section 8 assistance for space rent. Section 8 assistance is called "portable'' assistance, meaning that it can follow the resident to another residence. This assistance can be used as a renter or a mobilehome owner. (3} HOME Investment Partnership (HOME) Program funds to assist very low and low-income residents with rent and security deposits -Council approved a Tenant Based Rental Assistance (TBRA) Program on January 23, 2007. With this program, displaced residents receive priority assistance. (4) Relocation information -The City created a '`Relocation Brochure" with helpful information and referrals for displaced residents. Background of Previous Update Process As mentioned above, the City Council approved the establishment of a Mobilehome Overlay District in 2006. This action resulted from concerns that proposed rezoning of mobilehome and trailer parks in the Urban Core and some other areas of the City to conform to the recently updated General Plan could increase changes in land use, and thus increase the number of park closures and displaced park residents. It was also acknowledged that the City's Mobilehome and Trailer Park Conversion Ordinance was in need of updating. The update was intended to ensure that when a change of use is 20-3 OCTOBER 6, 2009, Item Page 4 of 7 contemplated for an existing mobilehome or trailer park, the relocation impacts on displaced residents are properly addressed. The process was guided by a City technical team consisting of staff from Housing, Planning & Building (Code Enforcement) and the City Attorney's office. A public outreach component was conducted for approximately 8 months to engage the general public and both owner and resident stakeholder groups in discussion about potential ordinance changes. The City mailed every mobilehome resident a postcard informing them about the process. A total of 12 meetings were held, which .included some in Spanish. In addition, staff presented the draft ordinance and preliminary staff recommendations to several City advisory commissions (Planning Commission; Housing Advisory Commission; and Mobilehome Rent Review Commission). A schedule of meetings and list of participants in the process is included as Attachment 3. During the first round of workshops, five major topic areas were identified for updating. A summary of the current_ ordinance and associated issues relating to each topic are provided below. Right of First Refusal to Purchase Park CVMC 9.60: Provides that any resident organization entitled to notice of a listing of a mobilehome park for sale or notice of any offer to sell the park to any party pursuant to Civil Code section 798.80 shall have the right to purchase the mobilehome park, provided that the resident organization meets the price and terms and conditions of a purchase offer acceptable to the mobilehome park owner. Issue: Residents want the right to purchase the mobilehome park after being notified of a listing of a mobilehome park for sale or notice of any offer to sell the park, even if there is no resident organization. A charter city may not require a mobilehome park owner to grant park residents a right of first refusal before the owner accepts an offer to sell the park.. Notification of Intent to Close CVMC 9.40: Does not currently identify an amount of time that residents must be notified of an intent to close. • If the change of use of the mobilehome park does not require a local governmental permit, State law requires notice to be given 12 months or more prior to the management's determination that a change of use will occur. • If the change of use requires a governmental permit, management must give at least 15 days' written notice that management will be appearing before the local governmental board to request permits for a change of use. Then, after all required permits for the change of use have been approved; management must give at least six months' notice of termination of tenancy. Issue: Residents and owners have expressed interest in having a determined amount of time in which notice must be given prior to park closure. 20-4 OCTOBER 6, 2009, Item `,~~~' !? Page 5 of 7 Relocation Assistance to Tenants (Renters) CVMC 9.40: Requires the applicant to identify relocation assistance for mobilehome owners and does not provide assistance for occupants renting mobilehomes. Issue: Residents and owners have expressed that finatlcial assistance should only be required for mobilehome owners, not renters. Mobilehome Relocation CVMC 9.40: Identifies relocation assistance for low- and moderate-income mobilehome or trailer owner/occupants in the form of payment by the park owner of 75 percent, up to a maximum of $3,000, of the cost of relocating the mobilehome or trailer to another mobilehome or trailer park within 100 miles. Issue: The cost to relocate mobilehomes often exceeds this amount. Only income eligible residents are provided this benefit. Mobilehome Value CVMC 9.40: When a coach is unable to be moved, the City's code requires compensation based on standard insurance replacement criteria. Issue: The owners and residents disagree on how to determine the value of the mobilehome; the fair market "on site" value or the "pull-off' value, which is the coach value excluding the value of the coach being in that mobilehome park. After the first round of workshops, staff drafted three options for presentation to the public and stakeholders at a second round of workshops. Public comments were incorporated into staff research of other jurisdictional ordinances and a final staff recommendation was drafted and presented at a third and final round of public and stakeholder workshops. Attachments 4 and 5 provide summaries of comments received during the public outreach process and staff s proposed recommendations. Status of Update Process Although potential compromise solutions to a number of major issues identified during the ordinance update process were accepted by both the residents and owners, many mobilehome residents still expressed serious concern over one particular issue: mobilehome replacement value in cases where they cannot be relocated due to age, condition or lack of available space. Both the Housing Advisory Commission and Mobilehome Rent Review Commission suggested that the City may want to monitor precedent setting litigation throughout the State before adopting any changes to our local ordinance . In addition, both park owners and residents have voiced concerns over the need to look further into affordable housing opportunities and creative mobilehome financing solutions for the relocation impacts of closures, such as: a sales transfer tax, park registry fees, or other mechanisms in order to develop a Relocation Fund. Further efforts are needed to come to mutual agreement over the identified issues and staff recommends a committee, as further discussed below, of 20-5 OCTOBER 6, 2009, Item '7E7 Page 6 of 7 equally represented park owners and mobilehome residents to address these issues and work with staff to develop a draft ordinance for City Council consideration. Committee Structure Staff recommends that the City accept applications for the appointment of committee representatives. Staff will identify 5 mobilehome park owners and 5 residents to assure an equal voice on the issues. City staff will ensure representation from a variety of parks to encourage a mix of park type and geography. City staff can schedule and host the meetings, and bring forward for City Council consideration any proposed recommendations that result from committee consensus. Committee recommendations would be reviewed by the City Attorney to verify consistency with State law. It is anticipated that the entire process including committee selection. committee deliberations, and staff review and preparation for a City Council meeting could take approximately six months. Staff intends to work with the National Conflict Resolution Center (NCRC) on the facilitation of meetings. NCRC is the leading non-profit provider of facilitation, training and conflict resolution services in the San Diego region. NCRC also works with the City of San Diego and the County of San Diego on their respective mobilehome issues committees, so they are familiar with mobilehome park issues. For these reasons, staff would look to enter into a sole source agreement for consultant services. Costs for this are included in the estimated $30,000 needed to facilitate the process. 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 18704.2(a)(l) is not applicable to this decision. CURRENT YEAR FISCAL IMPACT City staff budgeted in the Housing Authority mostly rely on revenues from other activities, non-general fund sources, to offset their costs. Funding for these proposed activities are not eligible under existing grant funds. The Housing Authority has limited reserves of approximately $253,000 to cover bond unit monitoring costs, and other costs not eligible under other revenue sources. Staff and consultant time for facilitation of meetings is an unanticipated cost and therefore a request for appropriations from the Housing Authority available reserves of $15,000 is requested with a resulting impact including unreimbursed staff time on the Housing Authority of approximately $30,000. There will also be costs for City Staff outside the Housing Authority working on this activity. As those staff costs are already budgeted in the General Fund, there is no additional budgetary impact to the General Fund. ONGOING FISCAL IMPACT As the committee process should be complete during the current fiscal year, there are no anticipated ongoing impacts. 20-6 OCTOBER 6, 2009, Item ~ Page 7 of 7 ATTACHMENTS 1. Current Mobilehome Closure Ordinance CVMC Chapter 9.40 2. Section 7.17 of the Land Use and Transportation Element -Mobile Home Park Overlay District 3. Schedule of previous meetings and the attendance 4. Comments received during the public outreach process 5. Staff s proposed recommendations Prepared by: Amanda Mills, Housing Manager, Development Sep°vices Depa~°tment J:U:\Iiousing (0670)\Housing Homeroom\Mobilehome Parks\MH ORDINANCE\Cit,~ Council Asenda Statement MH Ordinance Update 10_6.docCOMMDEV\STAFF.REP`,2006\1-6-07\CVMC 9.40 Update STAFF REPORT.doc V 20-~ Attachment 1 Chapter 9.40 HOUSING ASSISTANCE Sections: 9.40.010 Mobilehome park and trailer park conversions -Purpose and intent. 9.40.020 Definitions. 9.40.030 Application for conversion or discontinuance of mobilehome or trailer park. 9.40.010 Mobilehome park and trailer park conversions -Purpose and intent. It is the purpose of the city council in accordance with the provisions of Sections 65863.7 and 66427.4 of the Government Code of the state to mitigate any adverse impact of the conversion of mobilehome and trailer parks to other uses or the discontinuance of use of mobilehome or trailer parks on the ability of displaced mobilehome or trailer owner/occupants to find adequate spaces in other such parks. It is the intent of the council to impose upon park owners. choosing to convert or discontinue their mobilehome or trailer park operations, whether located in exclusive mobilehome park zones or in other commercial or residential zones, the obligation to provide financial assistance or some satisfactory alternative thereto for those mobilehome or trailer owner/occupants who would be dislocated by the decision to convert such mobilehome or trailer parks to uses other than that designated in the zone, or than that to which they have been utilized, or to discontinue use. It is the intent of this chapter to carry out and supplement the requirements of the state law in regard to notification and to establish relocation assistance programs for low- and moderate-income mobilehome or trailer owner/occupants placed in the position of being dislocated as a result of either conversion of mobilehome parks to other uses or discontinuance of use. This section does not apply to mobilehome or trailer owner/occupants who move into mobilehome or trailer parks where the park owner has provided said mobilehome or trailer owner/occupant with written notification at the time they move in of intention to discontinue the mobilehome or trailer park on a specific date within three years of that written notification. (Ord. 2299 § 1, 1989; Ord. 1982 § 1, 1982). 9.40.020 Definitions. A. "Mobilehome" is a structure designed for human habitation and for being moved on a street or highway under permit pursuant to Section 35790 of the California Vehicle Code. "Mobilehome" includes a manufactured home, as defined in Section 18007 of the Health and Safety Code, and a mobilehome, as defined in Section 18008 of the Health and Safety Code, but does not include a recreational vehicle, as defined in Section 799.24 of the California Civil Code and Section 18010 of the California Health and Safety Code. B. "Mobilehome park" is an area of land where two or more mobilehome sites are rented, or held out for rent, to accommodate mobilehomes used for human habitation, and where the predominant number of sites are occupied for nine or more consecutive months. C. "Trailer," for the purpose of this chapter only, is a structure designed for human habitation and for being moved on a street or highway without need for a permit pursuant to Section 35790 of the California Vehicle Code. "Trailer," for the 20-8 purpose of this chapter only, does not include the following recreational vehicles as defined in Section 799.24 of the California Civil Code: motor homes, slide-in campers, truck campers, and camping trailers. "Trailer," for the purpose of this chapter only, does include the following recreational vehicles, as 'defined in Section 799.24 of the California Civil Code: travel trailers. D. "Trailer park," for the purpose of this chapter only, is an area of land where two or more trailer sites are rented, or held out for rent, to accommodate trailers used for human habitation, and where the predominant number of sites are occupied for nine or more consecutive months. E. "Mobilehome or trailer owner/occupants" are persons owning and occupying a mobilehome or trailer as their principal residence for six months or more during a year. (Ord. 2368 § 1, 1990; Ord. 2299 § 1, 1989). 9.40.030 Application for conversion or discontinuance of mobilehome or trailer park. A. Application -for Conversion or Discontinuance. Prior to the approval of any rezoning, subdivision map, or the issuance of any permit, including _a building permit, which would allow the use of any properties presently or hereinafter utilized for mobilehome or trailer parks to be used for any purpose other than a mobilehome or trailer park, or prior to the cessation of use of all or any part of a mobilehome or trailer park, an application to convert from such use or to discontinue must be filed with the community development department. The requirements of this section shall be applicable whether or not the mobilehome or trailer park is: 1. Located within an exclusive mobilehome park zone; 2. Located within a zone subject to conditional use permit; or 3. Entitled to be used as a mobilehome or trailer park based on nonconforming rights. . B. Application Requirements. The following information or documentation shall constitute application for conversion or discontinuance of an existing mobilehome or trailer park. 1. A relocation plan which shall make adequate provision for the relocation of the mobilehome or trailer owner/occupant who will be displaced by the discontinuance of the use of the property for a mobilehome or trailer park; 2. A profile of the existing park, including: a. Number of spaces, b. Names and addresses of all mobilehome or trailer owner/occupants, c. Date of manufacture of each home, d. Replacement value of each home, e. Estimated cost of relocation of each home, f. Length of tenancy of each mobilehome or trailer owner/occupant, g. Estimated income and age of each mobilehome or trailer owner/occupant; 3. A timetable for vacating the existing park; 4. Evidence satisfactory to the community development director that agreements satisfying the relocation assistance requirements of this chapter have been offered to eligible mobilehome or trailer owner/occupants. Such evidence may include, but is not limited to, the following: a. Written agreements to relocate mobilehomes or trailers owned by low- and moderate-income mobilehome or trailer owner/occupants, 20-9 b. Assistance for low- and moderate-income mobilehome or trailer owner/occupants in the form of payment by the park owner of 75 percent, up to a maximum of $3,000, of the cost of relocating the mobilehome or trailer to another mobilehome or trailer park within 100 miles; 5. Evidence that the park owner has informed all mobilehome or trailer owner/occupants in writing of alternative sites available to them; 6. Evidence that the park owner has agreed to purchase those homes of low- and moderate-income mobilehome or trailer owner/occupants which are determined to be not relocatable due to age and/or condition. Such purchases shall be based on standard insurance replacement criteria; 7. Evidence that the displaced residents have been provided right of first refusal to purchase, lease or rent any dwelling units or mobilehome or trailer spaces which may be built on the subject property; 8. A narrative summary of planned new use of property to be converted or reason for non-use; 9. As an alternative to subsection (B)(4)(b) of this section, evidence that the park owner has given the mobilehome or trailer owner/occupants athree-year notice to vacate, said- notice being pursuant to Section 798.56(f) of the Civil Code. If such athree-year notice is given, the applicant must assist all low- and moderate-income displaced mobilehome or trailer owner/occupants in accordance with the following schedule: If Mobilehome or Trailer Owner/ Portion of Occupant Vacates Expenses Paid Up to a Before End of by Owner Maximum of First year 75% $3,000 Second year 50% $2,000 Third year 25% $1,000 C. Submittal to and Decision of the Community Development Director. All of the above application information shall be submitted to the community development director. The community development director shall make his decision in the following manner: 1. If the community development director determines that the application is complete and conforms with all regulations, policies and guidelines, and that the relocation plan or other commitments by the park owner mitigate the impact of conversion or discontinuance on the health, safety and general welfare of persons residing in the mobilehome or trailer park, he shall grant the application for conversion. 2. If the community development director determines that the application is not complete or it does not conform with all regulations, policies and guidelines, or that the relocation plan or other commitments by the park owner do not mitigate the impact of conversion or discontinuance on the health, safety or general welfare of persons residing in the mobilehome or trailer park, he shall deny the application for conversion. 3. The community development director may establish the date on which the resolution of conversion or discontinuance will become effective. Such date shall not be more than three years from the date of decision of the community development director, or such earlier date as the applicant has complied with the provisions of an approved relocation plan and submifted evidence thereof to the community development director. 20-10 4. In granting or denying the application for conversion or discontinuance of the mobilehome or trailer park, the community development director shall make a written finding in rendering the decision and shall fully set forth wherein the facts and circumstances fulfill or fail to fulfill the requirements set forth herein. 5. A copy of this written finding of facts shall be filed with the city clerk and the director of planning and building, and shall be mailed to the applicant and to the mobilehome or trailer owner/occupants of the mobilehome or trailer park. 6. The decision of the community development director shall be final on the fifteenth day following the mailing of the decision to the applicant and the mobilehome or trailer owner/occupants required in subsection (C)(5) of this section, except when appeal is taken to the city council as provided in subsection (D) of this section. D. Appeal from the Decision from the Community Development Director. 1. An appeal from the decision of the community development director on an application for conversion or discontinuance of a mobilehome or trailer park may be taken to the city council within 15 days following the decision of the community development director. The appeal may be taken by the applicant, any governmental body or agency, any owner of real property located within the- city or any resident of the city. The appeal shall be in writing on a prescribed form and filed with the city clerk. The appeal shall specify wherein there was an error in the decision of the community development director. If an appeal is filed within the time specified, it shall automatically stay proceedings in the matter until a determination is made by the city council. 2. Upon the filing of the appeal, the community development director shall set the matter for public hearing before the city council at the earliest practicable date. The public hearing shall be noticed and held in accordance with the provisions of this code. Notice of time and place and purpose of such hearing shall be given as follows: a. By at least one publication in the official newspaper of the city, not less than 10 days .prior to the date of the hearing; b. By mailing notices at least 10 days prior to the date of such hearing to the mobilehome or trailer park owner and to all mobilehome or trailer owner/occupants of the mobilehome or trailer park. 3. Upon the hearing of the appeal, the city council may by resolution affirm, reverse or modify in whole or in part any determination of the community development director, subject to the same limitations as are placed upon the community development director by law and the provisions of this code. The resolution must contain a finding of fact showing wherein the proposed development meets or fails to meet the requirements herein. 4. The decision of the city council shall be final unless appealed to a court of competent jurisdiction. E. Waiver. The community development director may recommend to the city council the acceptance of other mitigating actions by the park owner in lieu of the specific provisions herein if extreme economic hardship would result for the park owner, or if other proposed mitigating actions have recommending benefit. F. Notification Requirements. In addition to any notification requirements under the California Civil Code, the following notification requirements shall apply to any application for conversion or discontinuance of mobilehome or trailer park use: 1. A minimum of 10 calendar days prior to an applicant filing an application for conversion or discontinuance of the mobilehome or trailer park, the applicant 20-11 shall give written notice to each mobilehome or trailer owner/occupant of the mobilehome or trailer park of the proposed change. Such notice shall be subject to the prior approval of the community development director. 2. No public hearing required hereunder to consider an application for conversion or discontinuance of a mobilehome or trailer park use shall be held unless and until the applicant submits to the community development director an affidavit approved as to form by the city attorney declaring that the applicant has given the notice required by this provision. G. Penalty. Violation of any provision of this chapter by the owners of mobilehome or trailer parks shall be deemed to be a misdemeanor subject to the penalties as established by state law for misdemeanors. In addition thereto, any mobilehome or trailer owner/occupant in a mobilehome or trailer park where conversion to other uses or discontinuance has been sought or accomplished, and in which violations of the terms and provisions of this chapter have occurred, may seek civil remedies for damages in accordance with the relocation provisions contained herein, no later than one year from the date of lease cancellation or eviction from the mobilehome or trailer park. (Ord. 2790, 1999; Ord. 2368 § 2, 1990; Ord. 2299 § 1, 1989). 20-12 Attachment 2 RESOLUTION NO. 2006-322 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AN AMENDMENT TO THE CITY'S GENERAL PLAN TO ESTABLISH A MOBILEHOME OVERLAY DISTRICT WHEREAS, the City of Chula Vista's current General Plan was last comprehensively updated on December 13, 2005; and WHEREAS, identified among the many goals and objectives of the General Plan is the need to maintain an adequate supply of land designated and zoned at appropriate densities to support a variety of residential housing types in order to ensure sufficient diversity and balance to meet the needs of existing and future residents; and WHEREAS, mobilehome developments have historically been a part of that supply in Chula Vista, and have effectively provided an affordable housing source; and WHEREAS, many of the households residing in mobilehome developments are in need of lower-income affordable housing, and housing costs for mobilehome living are often lower than market rates for similar sized rental or other housing units in the local market; and WHEREAS, these circumstances can present added challenges in f nding suitable replacement housing options for mobilehome residents in the event of potential closure of one or more of these developments; and WHEREAS, increasing housing demands and rising land costs throughout the region are creating increasing market pressures on the potential closure of some mobilehome developments over time; and WHEREAS, in order to address the often unique needs of mobilehome residents and the challenges and potential hardships in locating suitable replacement housing in the instance of a proposed mobilehome park closure, further analysis and plans regarding relocation are needed prior to the City's consideration of any requested change in use and/or rezoning affecting existing mobilehome park properties; and WHEREAS, the City is proposing the subject General Plan Amendment to establish a Mobilehome Overlay District to require such further analysis and planning to ensure due evaluation of the affects of closure on existing mobilehome residents, and that the property owner and/or project proponent has prepared and carried out a plan to address those affects; and 20-13 Resolution No. 2006-322 Page 2 WHEREAS, the areas of land for inclusion in the subject Mobilehome Overlay District contain all land parcels within the boundaries of the existing 32 mobilehome parks citywide as presented on proposed new General Plan Figure 5-18(A) of the Land Use and Transportation Element attached hereto as Exhibit 1; and WHEREAS, in addition to the above noted Figure, the General Plan amendment includes a new Section 7.17 -Evaluation of Mobilehome Developments -Mobilehome Overlay District, within the Land Use and Transportation Element to establish the basis and intent for the District along with an Objective and Policies stating the requirements established for properties within the District, as presented in Exhibit 2 attached hereto; and WHEREAS, pursuant to California Government Code section 65090, the Planning Commission held a duly noticed public hearing on October 18, 2006, and recommended that the City Council adopt the Resolution approving the proposed General Plan amendment; and WHEREAS, the proceedings and all evidence introduce before the Planning Commission at the public hearing on this proposal held on October 18, 2006, and the minutes and resolution resulting there from, are hereby incorporated into the record of these proceedings; and WHEREAS, the City Clerk set the time and place for the hearing on the General Plan amendment and notice of said hearing, together with its purposes given by its publication in a newspaper of general circulation in the City, at least ten days prior to the hearing pursuant to California Government Code section 65090, and the City Council held a duly noticed public hearing on October 24, 2006, on the subject General Plan Amendment; and, WHEREAS, the City's Environmental Review Coordinator has reviewed the proposed General Plan amendment for compliance with the California Environmental Quality Act (CEQA), and has determined that that there is no possibility that the project will have a significant effect on the environment and therefore is not subject to CEQA pursuant to Section 15061(b)(3) of the State CEQA Guidelines. NOW, THEREFORE BE IT RESOLVED, that the City Council of the City of Chula Vista hereby finds, determines and resolves as follovv~s: I. PLANNING COMMISSION RECORD The proceedings and all evidence introduced before the Planning Commission at their public hearing held on October 18, 2006, and the minutes and resolution resulting there from are hereby incorporated into the record of this proceeding. II. GENERAL PLAN INTERNAL CONSISTENCY 20-14 Resolution No. 2006-322 Page 3 The City Council hereby finds that the General Plan is internally consistent and shall remain internally consistent following the adoption of amendments by this Resolution. 20-15 Resolution No. 2006-322 Page 4 III. SEVERABILITY The City Council declares that, should any provision, section, paragraph, sentence or word of this resolution be rendered or declared invalid by any final court action in a court of competent jurisdiction or by reason of any preemptive lebislation, the remaining provisions, sections, paragraphs, sentences or words of this ordinance as hereby adopted shall remain in full force and effect. The City Council further declares that should any provision, section, paragraph, sentence or word of this resolution be found by a court of competent jurisdiction to conflict with the City's General Plan the City's General Plan as adopted on December 13, 2005 shall control and remain in full force and effect. IV. APPROVAL OF GENERAL PLAN AMENDMENT The City Council hereby approves and adopts the subject General Plan amendment ~~hich consists of the documents presented in Exhibits 1 and 2 attached hereto, and on file-in the City Clerk's Office: Presented by James D. Sandoval Planning and Building Director Approved as to form by Arm Moore City Attorney 20-16 Resolution No. 2006-322 Page 5 PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista, California, this 24th day of October 2006 by the following vote: AYES: Councilmembers: Castaneda, Chavez, McCann, Rindone, and Padilla NAYS: Councilmembers: None ABSENT: Councilmembers: None Stephen C. Padilla, Mayor ATTEST: Susan Bigelow, MMC, City Clerk STATE OF CALIFORNIA ) COUNTY OF SAN DIEGO ) CITY OF CHULA VISTA ) I, Susan Bigelow, City Clerk of Chula Vista, California, do hereby certify that the foregoing Resolution No. 2006-322 vvas duly passed, approved, and adopted by the City Council at a regular meeting of the Chula Vista City Council held on the 24th day of October 2006. Executed this 24th day of October 2006. Susan Bigelow, MMC, City Clerk 20-17 Resolution No. 2006-322 Page 6 EXHIBIT 1 PROPOSED GENERAL PLAN AMENDMENTS REGARDING MOBILEHOME PARK PROTECTIONS AND PROP 90- • Addition of new Figure 5-18(A) in the LUT Element: (Note: Figure 5-18(A) is a citywide graphic with numbers 1-32 on it depicting the location of existing mobilehome developments citywide, along with a list of all park names by number)(New Figure ~-18(A) would be inserted after pg. LUT-130). See attached. Addition of new LUT Section 7.17 to describe background and purpose for the Mobilehome Overlay District, and policy requiring study and Council discretionary review. 7.17 -Evaluations for Mobilehome Developments; Mobilehome Overlay District As noted in LUT Section 7.1 and in Housing Element Part 1 Section 3.0 maintaining an adequate supply of land designated and zoned at appropriate densities to support a variety of residential housing types is an important component of ensuring sufficient diversity and balance to meet the needs of existing and future residents. In Chula Vista. mobilehome developments have historically been a part of that supply and have effectively provided a unique and affordable housing source. Housing costs for mobilehome living are often lower than market rates for other types of housing such as comparable sized rental apartments. As such, it is not uncommon to find that many of the households residing in mobilehome developments are living on fixed incomes or are otherwise in need of lower-income affordable housing. Additionally. many residents own their own coach, but rent or lease the land space, leaving them vulnerable to changes in land use. These circumstances can present added challenges in finding suitable replacement housing options for mobilehome residents in the event of potential closure of one or more of these developments. As shown on Figure 5-18(A}, there are currently 32 mobilehome developments within the City in a variety of settings ranging from well organized and maintained parks with exclusive Mobile Home Park (MHP) zoning, to less formal and often smaller trailer parks in areas zoned for commercial or other development. Within the Urban Core Subarea several mobilehome developments fall within the Interstate ~ Corridor District where higher density housing and transit-focused mixed uses are envisioned to occur. With increasing housing demands and rising land costs throughout the region, the likelihood for potential closure of some mobilehome developments over time is real. 20-18 Resolution No. 2006-322 Page 7 In recognition of these circumstances. and in order to better balance the often unique needs of mobilehome residents with the challenges in locating suitable replacement housing it is important that analysis and planning be undertaken in accordance with the principles of the Housing Element objectives prior to the City's consideration of any requested change in use and/or rezoning affecting any of the existing mobilehome sites. In order to accomplish this the Mobilehome Overlay District is established to ensure that the appropriate evaluation and consideration of the affects of potential changes in use and/or urban redevelopment on this unique form of housing from the standpoints of housing op op rtunity affordability and displacement, replacement and/or relocation assistance is conducted in accordance ~~ith the principles et forth in the Housing Element and the Municipal Code. As stated in the following Objective and Policies. the Mobilehome Overlay District ensures that the analysis and planning on the affects of closure on existing mobilehome residents is conducted and that the property owner and/or project proponent has prepared and carried out a plan to address those affects as required by the Municipal Code. Objective -LUT 34.A Ensure sufficient evaluation and response to the effects of any change of use or urban redevelopment of existing mobilehome developments. Policies LUT 34.A.1 Prior to the City's consideration of any proposed change of use and/or rezoning pursuant to Municipal Code Chapter 9.40 of any mobilehome development properties within the City as identified on Figure ~-18(A~, the property owner and/or project proponent shall prepare a plan in conformance with applicable State and City regulations including Municipal Code Chapter 9.40. and to the satisfaction of the Director of Planning and Building and the Director of Community Development, that provides steps and provisions to mitigate any adverse impacts of the conversion on the affected residents. LUT 34.A.2 At the time of consideration of any change of use and/or rezoning of any of the mobilehome properties noted above, the Citv Council shall review the plan prepared under Policy 34.A.1, and prior to taking action on said change of use and/or rezoning in accordance with the requirements of Municipal Code Chapter 19.06 and section 19.12.020, shall make the following findings: • That the proposed change of use and/or rezoning will not adversely affect attainment of the City's goal to provide a variety of housing options within the Cin~. (Housing Element Objective 3) • That the proposed change of use and/or rezonin is supported by sound planning principles, and higher density, affordable replacement housing ~~ithin the City will remain in sufficient supply. (Housing Element Objective 3j 20-19 Resolution No. 2006-322 Page 8 • That the property owner and/or project proponent plan does ensure sufficient evaluation and response to the effects of the change of use and/or rezoninQ_ of the existing mobilehome development. Housing Element Objective 4~ • That the proposed change of use and/or rezoning will not result in severe or undue hardship on affected mobilehome residents. (Housing Element Objective 4) • That the property owner and/or project proponent plan complies with applicable City and State mobilehome conversion and relocation regulations. (Housing Element Objective 4) • That prior to the commencement of any closure of the mobilehome development that the property owner(s) will prepare and ensure performance of a detailed closure and relocation plan consistent with the requirements of CVMC Section 9.40 and applicable State regulations. and to the satisfaction of Directors of Planning and Building and Community Development. 20-20 N O N Mobile Hame overlay Qistrict ,. Existing Mobile Fbme Parks to Overlay District 1 Ghula Visha h9obile Horne Perk 2 Jade Bay Mobile Lodge 3 E3ayscene h9obile Home Pads d Fogerty Brothers Trailar Park 5 Caravan Trailer Park 8 Trailar Ulla 7 Terry's Mobile Home Park 8 Mohaevk Trailer Park g Tony's Broadway Trailer Park 70 Rose Arbor h9obile Home Park 11 Cabrillo Mobile Lodge 12 Flamingo "t"railer Park 13 Bison Mobile Home Park 1A Sharon's 7`railer Park 15 Brnntwootl Mobile Home Park iS PAountain View Mobile Lodge 17 Georganrza Trailer Park 18 Bayside Trailer Parh 19 Rancho Bonita hvlobile Home Park 29 EI Mirador Trailer Court 21 Orange Tree F.9obife Home park 22 Continental Country Club 23 Hacierxfa Mobile Estates 2d Lynwood South h9obile Name Park 25 Farmhouse'(railer Park 2S Granada Mobile Estates 27 Thunderbird Mobile htome Park 28 Fabubus Caliente Mobile Nome Park 2y Palm h9obile Estates 3D Palace Gan9ens Mobile Homt: Park 31 Don Luis Estates 32 Otay Lakes Lodge `l(fj '~1qe LIJT-13C1D c:Rt~u m x y N b ~ Uo ~ ~o ~~ o~ z 0 N O O O~ W N N Attachment 3 ~~4tf ~_ s QTY OF CHULA VISTA MOBILEHOME PARK CLOSURE ORDINANCE UPDATE X2107-8/07) SUMMAttY OF MEETINGS 8t PARTICIPANTS Owner Stakeholder Group March 1, 2007 May 10, 2007 July 11, 2007 Participants: Bayscene Mobilehome Park Bayside Trailer Park Bison Mobilehome Park Bison Mobilehome Park Brentwood Park Brentwood Park Chula Vista Mobilehome Park Flamingo Mobile Park Granada Mobile Estates Hacienda Mobile Estates Otay Lakes Lodge Otay Lakes Lodge Terry's Mobilehome Park Trailer Villa Manufactured Building Association Resident Stakeholder Group February 27, 2007 May 10, 2007 July 11, 2007 Participants: Bayscene Mobilehome Park Bison Mobilehome Park Brentwood Park Broadway Trailer Park Broadway Trailer Park Cabrillo Mobile Lodge Cabrillo Mobile Lodge Cabrillo Mobile Lodge Chula Vista Mobilehome Park Patricia Lopez Jess Rodriguez Norma Runyon Ben Torres Ruth Gasca Ronald Beeles Geraldine Hickman Mary Lee Dennis Chaffee Chip Crandall Carlos Gomez Louise Wilson Evelyn Torres Greg Johnloz Deborah Hyde Pat O'Neil John Sherritt Dolly & Len Newstrom Jeanne & Dennis Kyle Mark Leekley Linda Lasher Virginia Jensen Zachary Dimenstein Bruce Matthias 20-22 Continental Country Club Don Vanderpool Don Luis Estates Judith Suchek Farm House Trailer Park Steven Luecht Flamingo Mobile Park Marcia Armijo Fogerty Brothers Trailer Park Edmundo Leon Georgeanna Mobilehome Park Rodolfo Nunez Granada Mobile Estates Sheldon Goldie Granada Mobile Estates Dolly & Len Newstrom Granada Mobile Estates Nancy Jansen Granada Mobile Estates Dolores Dempsey Hacienda Mobile Estates Karen Ratliff Mohawk Trailer Park Jacquelyn Jones Mountain View Mobile Lodge Ismael Portillo Mountain View Mobile Lodge Esequiel Lopez Otay Lakes Lodge Fred Dufresne Palace Garden Mobilehome Park Maggie Comans Rose Arbor Mobilehome Park Ismael Gomez Terry's Mobilehome Park Steve Molski Trailer Villa Imelda Levya Trailer Villa Juana Morales Trailer Villa Rosa Carillo Trailer Villa Lorena Lopez Trailer Villa Ramona Ocampo Public Meetings March 6, 2007 May 8, 2007 (Spanish) May 10, 2007 July 9, 2007 July 11, 2007 (Spanish) Participants: Bayscene Mobilehome Park Arora Maria Bayscene Mobilehome Park Avelar Carlos Bayscene Mobilehome Park Camacho Bayscene Mobilehome Park Comans Lui Antoni Bayscene Mobilehome Park Cruz Maricela Bayscene Mobilehome Park deJesus Rodriguez Maria Bayscene Mobilehome Park Huertz Angel Bayscene Mobilehome Park Jiminez Robert Bayscene Mobilehome Park Lopez Patricia K. Bayscene Mobilehome Park Moreno Juan Bayscene Mobilehome Park Nava Fidel Bayscene Mobilehome Park Perez Emilia Bayscene Mobilehome Park Picazo Juan Bayscene Mobilehome Park Rodriguez Jose Bayscene Mobilehome Park Ruiz Kimi Bayscene Mobilehome Park Stinneh Darcelle Bayscene Mobilehome Park Gustavo 20-23 Bison Mobilehome Park Dutz Milagros Bison Mobilehome Park Flores Dan Bison Mobilehome Park Livingston Jim Bison Mobilehome Park Micholski Stanley Bison Mobilehome Park Ortiz Yolanda Bison Mobilehome Park Padillo Vella Bison Mobilehome Park Sanfilippo Matthew Bison Mobilehome Park Telep Lynda Brentwood Park Knight Jennifer Broadway Trailer Park Dorado Pascual Cabrillo Mobile Lodge Beeles Ronald Cabrillo Mobile Lodge Hickman Geraldine Cabrillo Mobile Lodge Lee Mary Chula Vista Mobilehome Park Mero Marie Chula Vista Mobilehome Park O'Neil Pat Farm House Trailer Park Luecht Steven Flamingo Mobile Park Campo Esequral Flamingo Trailer Park Morales Henry Flamingo Trailer Park Prieto Florencio Flamingo Trailer Park Purdy Ruth Flamingo Trailer Park Sparks Rebecca Fogerty Brothers Trailer Park Leon Edmundo Fogerty Brothers Trailer Park Parker Alberto Georgeanna Mobilehome Park Nunez Rodolfo Granada Mobile Estates Newstrom Dolly & Lew Granada Mobile Estates Phillips Margaret Granada Mobile Estates Ratliff Karen Granada Mobile Estates Turner Charlene Mohawk Trailer Park Jones Jacquelyn Mt. View Mobile Lodge Aguilar Aocadin Mt. View Mobile Lodge Catano Antonio Mt. View Mobile Lodge Garcia Gregorio R. Mt. View Mobile Lodge Garcia Rosario Mt. View Mobile Lodge Gonzalez Jose Mt. View Mobile Lodge Isles Ofelia Mt. View Mobile Lodge Meador Howe Mt. View Mobile Lodge Medina Eelia Mt. View Mobile Lodge Portillo Ismael Mt. View Mobile Lodge Romo Rodolfo Otay Lakes Lodge Holland Evelyn Otay Lakes Lodge LaPierre Pat Otay Lakes Lodge Lasher Linda Otay Lakes Lodge McGinnis Alicia Palace Garden Mobilehome Park Comans Maggie Palace Garden Mobilehome Park Nurhan Roy Terry's Mobile Park Butterworth Marcelle Terry's Mobile Park Byrd Jean Terry's Mobile Park Campbell Charles & Irene Terry's Mobile Park Caskinette Richard & Ann Terry's Mobile Park Castro Frank & Myrna 20-24 Terry's Mobile Park Connelly Mr/Mrs R.W. Terry's Mobile Park Graham Barbara Terry's Mobile Park Kamins Sybil Terry's Mobile Park Langlois Blanche K. Terry's Mobile Park Radovosky Kathryn Trailer Villa Carrillo Leonel Trailer Villa Lucero Monica Trailer Villa Ocampo Nasciso Trailer Villa Parillo Rosario Trailer Villa Torres Narciso Trailer Villa RoseAnn & Lisa Acerro Theresa Barrs Homer Bartels Patricia Garymartin Frank Gomez Jaime Morgan Robert Nunnelee Barbara Pierson Ralph Watry Susan Housing Advisory Commission July 25, 2007 Mobiiehome Rent Review Commission August 16, 2007 20-25 z W u s iii u i ~ i ~i ~ ~~ ~i ~ li ~i ii u• - Many small, old trailers are not 7~% of relocation costs, up to The actual costs of physically The actual costs of physically - Cover relocation 100% plus moveable $3,000, to relocate coach to a moving (i.e. dismantling, moving (i.e. dismantling, downpayment for new space - Not just park owner's maximum distance of one moving, reassembling, moving, reassembling, - Actual cost/time responsibility -City shares in as hundred (100) miles. rebuilding, including skirting rebuilding, including skirting - Owner should pay full cost well and tiedowns) the coach and and tiedowns) the coach and - Nieals should be included in per - Assistance should be based on movable improvements (i.e. movable improvements (i.e. diem i patios, carports, and porches), patios, carports, and porches), 'r Subsidize increased rent over the ncome - Should not include subsidy for to a maximum distance of tifty and packing and unpacking annual permissive increased rent (~0) miles. personal property to a - Alternatives should be comparable Moving costs differ by size maximum distance of one - If too many restrictions are placed, IRS mileage rate (for up to ~0 hundred (100) miles. may devalue property miles - current rate rotals X34.35). Plus. if move cannot be AcRtal costs for in-transit gas, completed in one day, IRS per meals and lodging, if move diems for meals and lodging cannot be completed in one (fot up to 3 days -current rate day. totals $444). Payment of a lump sum for: Payment of a lump sum for: • First and last month's rent .First month's rent and anv and any security deposit. security deposit (up to a .Any differential between maximum value of ~? 000). rental rates during the first • Any differential between year of tenancy. rental rates during the trst year of tenancy (up to a maximum value of $x.000). All maximum amounts will be adjusted annually for inflation. CD N I O N SUMMARY OF COMiVIENTS & OPTIONS FINANCIAL ASSISTANCE - Nlobilehome Relocation i Many small, old trailers are not If coach cannot be relocated due If coach cannot be relocated If coach cannot be relocated due ~ Need on-site or pre-closure fair worth much and/or are not to condition or lack of available due to condition or lack of to condition or lack of available market value using factors such as: habitable space, standard insurance available space, value of space, 8~% of "On-Site" Fair condition, length of residency, i Notjust park owner's replacement value shall be coach/trailer as determined by Market Value of coach as improvements, park responsibility -City shares in as determined by a qualified, a qualified, independent determined by a qualified, condition/quality, original cost well independent appraiser, appraiser, approved by the independent appraiser, % Land owner making out -they ~ Assistance should be based on approved by the City. Ciry, based on the following approved by the City, assuming should be responsible, not City income factors: age, size, condition, continuance of park in a safe. ~ Residents receive short end of i Value of MH/trailer - use an and fixed improvements. sanitary and well maintained stick objective factor, such as: structure, condition and considering ~ By appraisal; City track sales for age, condition, useful life Payment of a lump sum for: variables, such as: age, size, compazables - Should not use value of being in • first month's rent and any condition, proximity, and filed i Do not use insurance or blue book park, pull off value security deposit (up to a improvements. value Should not be insurance driven maximum value of $3,000). > Look at it as a home (real (type and coverage amount differ) • any differential between property) not personal property, > Can't give them the same value in rental rates during the first consider length of residency and housing costs as they have today year of tenancy (up to a improvements maximum value of `5,000). Non-occupant owners (reside in mobilehome for less than 6 months per year) shall be eligible for value of coach/trailer only. All maximum amounts will be adjusted annually for inflation. r N I O N FINANCIAL ASSISTANCE - Mobilehome Value Assistance should be based on No benefits shall be provided to Payment of a lump sum to Expense of assuming tenancy in i Subsidize new rent and any income any person who is renting a compensate for payment of the comparable housing, including: required downpayments mobilehome from the owner of first month's rent and any first month's rent and security ~ Alternatives should be comparable the mobilehome park where an security deposit at new deposit, and differential executed written agreement housing (up to a maximum of between rental rate at converted waives rights to such benefit. 2 months existing rent). park or replacement housing during the first year of tenancy. All eligible tenants of eligible mobilehome owners shall be provided with the services of one or more housing experts to assist in relocating to available and appropriate housing, including: financial advice, description of housing alternatives, and transportation if unable to operate a motor vehicle. 00 N I 0 N FINANCIAL ASSISTANCE -Relocation Assistance for Tenants (Renters) NOTIFICATION ~ Mirror/comply with state law Any resident of the mobilehome Two years from date of Two years from date of ~ Minimum ?years noticing Before or after plan approved? park shall not be required to application to close/convert to approval of closttre to terminate ~ Assistance should be tied to Don't want to start uproar & vacate less than six (6) months terminate tenancy. IVlay be tenancy. Niay be reduced to no notification period doesn't happen from the date of notice of reduced to no less than six (6) less than sis months (6) or ~ The lower income still can't afford termination of tenancy and not months or extended beyond extended beyond two years a move less than thirty-five (35) days two years upon written upon written agreement of from payment of any relocation asreement of owner and two- ~ owner and residents. benefits. thirds of coach owners. N I 0 N i State and case law restrict this > Should offer to residents issue regardless of association status or > Property owner should have option type of sale i Difficult to determine acceptable ~ Allow additional time to secure offer -often cash plus percent of financing and make offers future profit > Disclosure to incoming tenants. Can't make park owner's sell O M I 0 N RIGHT OF FIRST REFUSAL TO PURCHASE PARK c m E t Q SUMMARY OF PROPOSED CHANGES TO CVMC 9.40_ BY TOPIC (as of 7/9/07) Notification of Closure and Tenant Relocation Assistance • Not currently addressed Minimum of one (1) year "Intent to Close" • Default to State Civil Code 798.56 - Can coincide with application to the City for closure Notification of - If Change of Use Permits Minimum of six (6) months notice of "Termination of Tenancy" Closure are required, must from approval of Relocation Impact Report (RIR)~ provide 6 months from Shall not be required to vacate less than thirty-five (35) days from local approval payment of any relocation benefits • Not currently addressed Services of housing expert (paid by park owner and approved by Tenant Relocation the City) Assistance - Referrals for housing alternatives & programs, M I O N Mobilehome Relocation Assistance for low- and moderate-income 75% of relocation costs, up to $3,000 Maximum distance of one hundred (100) miles Mobile Home Relocation THE LESSER OF: - Actual costs of physically moving*: • Coach (dismantling, moving, reassembling, rebuilding, including skirting and tiedowns) • Moveable permitted improvements (i.e. patios, carports and porches) • Maximum distance of 100 miles OR - Lump sum payment based on the following schedule: - - .. railers, R.V.'s & Motorhomes - $ 2,000 No movin ermit re uired Single Wide - $ 5,000 10', 12', 14' & 16' wide Double Wide - ' $11 000 ' 20', 24', 26', 28 wide riple Wide - ~ $15,000 oined to ether More than a double wide *Very low- and low- income residents shall receive additional compensation in the form of a lump sum payment as follows: Trailer/ verage monthly space rent for Singlewide railer/Singlewide in SD County- C monthly maximum affordable re (Very low) _. er low subsid x 12 Doublewide/ verage monthly space rent for Triplewide Double/Triplewide in SD County- C monthly maximum affordable re (Very low) _ erv low subsidv x 12 verage monthly space rent for railer/Singlewide in SD Counfi V monthly maximum afforda~ ant (Low) _ ow subsidv x 12 verage monthly space rent for ~ouble/Triplewide in SD Counfi V monthly maximum affordat ant (Low) _ ow subsidv x 12 N M I 0 N Mohilehome/Trailer Value MobileHome/Trailer Value • Assistance for low- and moderate- income • Own and occupy as principal residence for 6 months or more • Based on standard insurance replacement criteria - Not tested - No way to define Mobilehome Value THE GREATER OF: - Depreciated Replacement Cost plus Additions for site improvements* determined by a qualified independent appraiser OR - Lump sum payment based on the following schedule: Single Wide - ' ' ' ' ., 500 $ 6 10 , 14 & 16 wide , 12 , Double Wide - ' ' ' ' 500 $11 , 2$ wide 20 , 24 , 26 , riple Wide - $15 500 More than a double wide joined together , Trailer Val~~e THE GREATER OF: - The Kelley BlUebook/Yellowbook plus Adjustments for permitted site improvements* as determined by a qualified independent appraiser OR - Lump sum payment based on the following schedule: railers, R.V.'s & Motorhomes - I $ 2,500 No moving permit required *Very low- and low- income residents shall receive additional compensation in the form of a lump sum payment as follows: M M I 0 N Trailer/ Singlewide verage 1 bedroom month ant in CV - CV month iaximum affordable rent = ery low subsidy x 12 rerage 1 bedroom month nt in CV - CV month aximum affordable rent = iw subsidy x 12 Doublewide/ Triplewide verage 2 bedroom month ant in CV - CV month iaximum affordable rent = ery low subsidy x 12 verage 2 bedroom month ant in CV - CV month iaximum affordable rent = ow subsidy x 12 M I 0 N RESOLUTION NO. 2009- RESOLUTION OF THE CITY COUNCIL ESTABLISHING A STAKEHOLDER COMMITTEE TO RECOMMEND CHANGES TO THE CITY'S MOBILEHOME CLOSURE ORDINANCE; AND APPROPRIATING FUNDS FOR THE FACILITATION OF SUCH COMMITTEE WHEREAS, the City of Chula Vista enforces a variety of regulations for mobilehome parks, including the closure of mobilehome parks (Chula Vista Municipal Code Section 9.40).; and WHEREAS, in 2007 City staff engaged in a public participation process to update the existing local ordinance regulating mobilehome park closures; and. WHEREAS, efforts to come to mutual agreement reached an impasse and staff recommends a committee of equally represented park owners and mobilehome residents negotiate the final terms of the draft ordinance for City Council consideration; and WHEREAS, City staff will identify 5 mobilehome park owners and 5 residents interested in collaborative decision-making; and WHEREAS, funding for Housing Authority staff or outside facilitation of these activities is not eligible under existing grant revenues, resulting in an impact to the Housing Authority. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista approves the establishment of a Mobilehome Stakeholder Committee and the appropriation of funds for the facilitation of the committee. Presented by Gary Halbert, AICP, PE Deputy City Manager/Director of Development Services 20-35 McV..~l)~\ ~~ \ ,0/6/"0,\ PROPOSED PROCESS FOR COUNCIL-INTERVIEWED ApPOINTMENTS OTHER THAN EMPLOYMENT The following appointnlent process is reCOll1111cnded for use by the City Council regarding openings on the City's Plan1llng ComlnisslOll, P:lrks & Recreation CUlnnl1ssion, Chub Vista Redeyclopment Corpuration (C\lRq, Purt CumnllSslUn, and when apphcablc, to fill a scat on thl' City C(Juncil: 1. The Cit)' Clerk or designee will advise regarding opening and c1oS111g dates for applications. 2. Applications will be available online at www.chubvistac:t.gov and at the CIt)' Clt~rk's office. i\pplic<lnts ll1L1St be residents of Chula Vista. 3. Each applicant tnusr submit to the City Clerk or designee a cOlnplcted applicatlun no later than 5pll1 UIl the closing cbtc for :l.pplicatlOl1s. 4. After the closing date, all applications will be forwarded to the Mayor and Cit.)' Council alung With the deadline for subtnissinn of mtervicw referrals. 5. 'f'he rdayor and CIty Council will submit to the City Clerk's or designee's office by the st'ated deadlint', rhe n;llnc/s of applicants tl1f.~Y wish to ltltcrvicw. 6. In[onnanon n:garding the nat11eS subnlitted and who submItted thenl will be available at the Cltv Clerk's ()ffice after the deadline. 7. Applicants receiVIng two or more n0111inations will be scheduled for l11tetV1eWS, although the City Council may chuose to interview all applIcants. o. '1'he j\'laYOl: and CIty Council will ask sinlilar questions uf each applicant for sinlibr openIngs. 9. Applicants will be intervIewed by the Cny Council in a lneenng open to the public on a date selected by the Citv Council. 1 n. \X/hen Interviews have ended, the City! Council will deliberate in it public llleeting until an applICant receives at least three votes and the City Council has lnade its selection. Ac\'\\-\\~~\ \ <;\ ~ \0/-'- I""D,,\ The Climale Change sub cllmmillee is re<jllesling alllhorizolion 10 reqllesl donotions/i-om Sempro ond olher profil and non-pro/il agencies andj(J//ndalions that slIpport Climale Change Adaptation work and related Irade missiun opporl1milies. !I'lr. 'rho mas Brill Director, Corporate Rcgllhtor~r Policy Scmpra Energy 101 Ash Street, '-1(20tiD San Diego, Ca. nl01-3017 Dear [vir. Brill: On behalf of the City of Chub Vista I would like to thank vou for your offer to contInue to partiClparc and become an actIve menlbcr 111 the C1il11<ltC Change j\daptatiun CunflTcncc in Andalucia, The llwitation by the Spanish government for the State of Cahfmnia, City of Chula Vista, San Diego ano SC111pra to participate in the lkvc.lupnlcllt of:l Clinlatc Adaptation I1nplcnlClltatioll Pbn and strategy IS both an honor and signIficant opportunity for onr region. \Vc belIeve that the sl111ibritics betwcen uur regIons and the lC:ldership of Califorllla~ Spam and the European Uniun will assist Chub Vista and the regIon's effort to take the tnast cost effectlve and environmentally apprupriate steps in preparing for the affect.s of Clin1ate Change and invest 111 those steps in a 111anner that will stilllubte increased trade and generate quality lncal Jobs. The Declaration of Intent signed by the partiCipants at the upening conference addressed a range of AdaptatlOn challenges that our regions share. Chub Vista has asked to lead a techl1lcal group that will focus on the Adaptation challenges facll1g ,nterconnectivity of natural resource corridors and the species that inhabIt then1. Our unique geography and cumll1itments to the National \X/ildlife Refuge, Nature Center, l\'lulriple Species Conservation Plan, Oray Valley lZegional Park and green belt arc exan1ples of the applicatIon and potenttallmpacts to (Jur C0111111unlty and the South Hay. \,(Ie.:- will create an educational exchange of curriculum for elelTICntary and 111iddle schools. I-Iowever, the City like other agenCies will be engaged 111 each of the tcchlllcal COll1111Ittees that address the adaptive challenges facll1g our water quality and supply, transportation, wetlanus, energy and socio-econolnlc Infrastructure :lnd serVICes. The Spanish governn1ent's spunsorship of the Chula Vista delegation to the opening conference in rvl:1y 2009 nude our Illltlal participation financi:1l1y possible. Chub Vista is requesting that Sell1pra help the City lIlitiate the funding effort by making the primal')' contribution to fund the CalIfornia delegation's participation in the upcoming process includlllg the wurkshop planned for February of 20-1 o. Your generous and early assistance will help the delegation seek additional support: from non- Eor profit foundations and other agencies that support the ilnportant work that our region's 11Ulst dn to cost-effccti\'ely avoid the future Impacts of Clill1atc Change. Slllccrcly Pamela Bensf1ussan, C<>unciln1ember Clinute Change Rep~Tscl1t-ative Rudy Ra111U:cz, COllnciltnell1bcr Clirnate Change Rcpresl'ntati\T DECLARATION OF INTENT Alter three days of meetings and conversations within the framework of the International Conference on Adaptation to Climate Change, held in Seville, Spain in May 2009, the undersigned, aware of the territorial similarities between the regions and cities of Andalucia and California, relating to potential future impacts of climate change, determined that it would be of interest to all parties to ensure an ongoing exchange of experiences and information on the complex issue of adaptation to climate change. For lhis reason we have determined and will convey to our respective administrations the following: . We wish to undertake the necessary administrative steps In our institutions, i.e. the Junta de Andalucia, Government of California and cities of Chula Vista, Jerez de la Frontera, San Diego and Seville, to formalize a cooperation commitment based on the following lines of action: . To coordinate and optimize the work to be defined hereinafter, the undersigned recommend the creation of a high level working group which will meet once a year to take stock of progress on work underway, as well as to define new areas of cooperation. This working group will be chaired by the Government of California and the Junta de Andalucia. The first of these meetings will take place in November 2009 in Andalucia, at which time a definitive version of the Declaration of Seville will be finalized. A draft of this Declaration is attached as.an annex to this document. . That possible initial areas of cooperation includes the following: The organization of an international conference on desalinization, analyzing the results and difficulties encountered in existing plants in Spain (November 2009) Tile organization of a meeting of experts to discuss issues relating to high speed rail transportation, with a special emphasis on the Madrid-Seville line. The organization of a meeting in cooperation with the wine producing associations of California and Andalucia to discuss the challenges of ciimate change in their sector The organization of technical meetings between the cities in relation to tile incorporation of electric vehicles in city centers. Special emphasis on the case of Seville and San Diego. The organization of technical meetings between the cities on the use of city owned and leased bicycles for public use. Special emphasis on the case of Jerez de la Frontera, Chula Vista and San D[ego. The organization of a technical visit to Andalucia to analyze different irrigation systems, with a special emphasis on water saving schemes and optimization of water resources. The organization of a technical meeting to be held in Cllula Vista, with a view to explore and analyze the possibilities of creating interconnected natural resource conservation and open space corridors between specific protected areas. The creation of a working group to facilitate and research the' most operational tools and methodologies ava[lable to assess environmental and socioeconomic climate change impacts and vulnerabilit[es, as well as the cost effectiveness of adaptation measures to be considered. Tile organization of a technical meeting, to be held in California, on assessment of threats to wetlands in both territories. The creation of a working group that will facilitate an information exchange on citizen participation in decision making in the area of adaptation to climate change. The creation of and educational exchange of curriculum for elementary and middle schools. ~j)' - K~ar~ Junta de Andalucia ~QJ/~ Kevin Hunting Government of Califo ~ia ~~(J~v>>~(~:::J Pamela Bensoussan Chula Vista City Council x;;~ Jacques Chirazi City of San Diego Cristina Vega Ayuntamiento de Sevilla ..-----. ~~~ ~ ~~~~ -""""--"""'- ~.........~"""" ellY OF CHUlA VISfA DATE: Octobcr 6, 2009 TO: Councilmember Castaneda VIA: Simon Silva, Deputy City Attorney--IJ Bart Miesfeld, City Attorney ;ftfiIL- SUBJECT: Neighborhood Stabilization Program - FPPC Advice FROM: As you may rccall, in September 2008, the Department of Housing and Urban Development ("HUD") notified the City that it was eligible to receive approximately $2.8 million in one-time Community Development Block Grant funds through its new Neighborhood Stabilization Program CNSP"). The purpose of the funds was to assist buyers in identi fying and purchasing properties that were in foreclosure. In order to obtain the funds, the City had to amend its Annual Action Plan and identify target neighborhoods where the funds would be used. Accordingly, the City Council authorized an amendment to the City's Annual Action Plan and City staff identified several target neighborhoods. In doing so, staff also detennined that your residence was within 500 feet of the Northwest neighborhood. Due to the identified conflicts, this of lice sought the advice of the Fair Political Practices Commission CFPPC") on your bchalf regarding your participation in the action to appropriate the NSP funds. Attached, please find the response from the FPPC regarding your ability to participate in this item. While the current action now involves approving a developer to implement the NSP program, the FPPC detennination remains applicable because there still is no "material financial effect reasonably foreseeable." The FPPC in its opinion explained, "One factor, relevant to this 'inquiry, is the extent to which the occurrence of the material financial effect is "continl{ent upon other intervening events." The FPPC then discussed relevant contingencies, ineluding the fact that no specific area had yet been chosen to receive any NSP funds, no evidence that abandoned or foreclosed properties subject to purchase were in proximity to councilmembers' properties, and that there was no evidence that councilmembers had residences or properties which qualified as "abandoned or foreclosed upon" subject to purchase. These contingencies still remain and the FPPC determination that you may participate in the governmental action remains applicable. If you have any questions, please contact me at (619) 585-5656. HAl? 05 2009 ~ F AIR POLITICAL PRACTICES COMMISSION 42X J Sired . SHire 62() . SaCramCl11ll. CA 9SS14-2J19 (9J6) 322-5600 . Fax (9J6) 322-0Sg6 March 2, 2009 Jill D.S. Maland Deputy City Attomey Cily of Chub Vista 276 FOUlth A venue Chula Vista, CA 91910 Re: Your Request for Advice Our File No. A-09-027 Dear Ms. Maland: This letter responds to your request for advice on behalf of Chula Vista City Councilmembers Steve Castaneda and John McCann regarding the connict-of-intcrest provisions of the Political Reform Act (the "Act").' 111is letter is based on the facts presented; the Fair Political Practices Commission (the "CoJllmission") does not act as the fincler of fact when it renders advice. (Ill re Ogleshy (1975) I FPPC Ops. 71.) Also. please note that our advice is hased solely on the provisions of the Act. We thercfore offer no opinion on the application, if any, of other conJ1ict-of-interest laws such as common law connict of interest or Government Code Section 1090. Finally, please note that the Commission cloes not advise with respect 10 past conduct. (Regulation IR329(b)(8)(A).) Therefore, nothing in this letter should be construed to evaluate any conduct that may have already taken place, and any conclusions contained in this letter apply only to prospcctive actions. QUESTION May Councilmembers Caslaneda and McCann participate in a govcrnmental decision to appropriate an additional $2.8 million in HUD funds to the city's Neighhorhood Stabilization Program? I The Political Reform Act if; contained in Government Code Sections ~lOOO through 91014. All ~latulOry refclcllcCS are to the Government Cude, unless otht:rwisc indic<.lted. The regulations of the Fair Political Practil'e-s Commission are contained in Seclions I X I ] 0 through 18997 (If Tille luf the California Code of Regulations. All regulatory references <Ire 10 Title], Division 6nfthe California Code of Regul<ltions. unless otherwise indicated. ~;:::..~ Our File No. A-09-027 Page 2 CONCLUSION The coullcil members may participate in the governmental decision. FACTS The City of Chula Vista is a charter eity governed by a city council consisting of four council members and a mayor, elected from the city at-large. The city charter provides for the approval of resolutions and ordinances by the affirmativc votes of at least three members unless another provision of the chal1er provides otherwise. The charter provides that appropriations made after the adoption of the budget require the affirmative votes of at least Four members. On May 6, 2008, the city council approved the Fiscal Year 2008/2009 Annual Action Plan for three Federal Grant Programs and authorized its submittal to the Department of Housing and Urban Development (HUD). The plan is developed annually and describes the city's spending priorities. It serves as the local guide for three of HUD's grant programs that support activities to bencfit lower income houscholds (Community Development Block Grant (CDBG), HOME Investment Partnership, and Emergency ShelIer Grant). In September 2008, HUD notified the city that in addition to the annual CDBG entitlement, the city is eligible to receive approximately $2.8 million in one-time CDBO funds through the new Neighborhood Stabilization Program (NSP). The purpose of the NSP program is to assist cities dealing with the negative effects of abandoned and foreclosed properties. The NSP funds may be used to purchase foreclosed or abandoned homes/properties, rehabilitate, redevelop, resell, and/or rent these homes to help stabilize neighboring homes and neighhorhoods. The city applied for this additional HUD funding, and based on current Geographic Information Systems information and estimates by the San Diego Association of Govemments, the city's housing staff identified three neighborhoods as neighborhoods having the greatest need for the NSP funds. These areas are: . Northwest Target Neighhorhood (encompassing approximately 3,945 propcl1y owners) . Southwest Target Neighborhood (encompassing approximatcly 4,843 propcny owners) . Eastem Target Neighborhood (encompa"ing approximately 8,492 propeny owners) HUD approved the amendment and city staff must now seek city council approval to appropriate the $2.8 million in additional HUD funds to the city's NSP. At this timc, the city will not determine specifically where the funds will be spent. You stated that once the money is appropriated it may be used to providc assistance to all threc neighborhoods. any two of the ncighborhoods, or it could all go to one of the three neighborhoods. Our File No. A-09-027 Page 3 The vote to appropriate the funds will require four votes. Council member Castaneda owns his primary residence that is located within 500 feet of the Northwest Target Neighborhood, and Councilmember McCann owns a residential rental property that is located in the Southwest Target Neighborhood. You stated, in response to a request for additional information. that it could not be determined at this time if any properties near the council mcmbers' properties was abandoncd or in the process of foreclosure and would be eligible for the NSP funds. ANALYSIS The Act's conlliet-of-interest provisiom ensure that public officials "perform their duties in an impartial manner, free from bias causcd by their own financial interests or the financial interests of persons who have supported them." (Section 81001(b).) Specifically, Section 87100 prohibits any public official from making, participating in making, or otherwise using his or her official position to inlluence a govemmental decision in which the official has a financial interest. The Commission has adopted an eight-step standard analysis to decide whether an official has a disqualifying conflict of interest. (Regulation 18700(b)(l)-(8).) The general rule, however; is that a conflict of interest exists whenever a public official makes a governmental decision that has a reasonably foreseeable material financial effect on one or more of his or her financial interests. (Section H7103.) Steps One and Two: Are the council members public officials, who will be making, participating in making, or influencing a governmental decision? City council members are public officials under the Act. (See Section 84048(a).) The council members will be voting on appropriating HUD funds to the city's Neighborhood Stabilization Program and will therefore be making govemmental decisions.2 (Regulation 18702.I(a).) Step Three: Do the council memhers have an economic interest in the decision at issue? A public official has a "financial interest" in a govemmental decision within the meaning of the Act if it is reasonably foreseeable that the govemmental decision will have a material financial effect. distinguishable from its effect on the public generally, on the official, a member 2 When a public official who holds an office .spet'ified In Section 87200 ha~ a conflict of inlert::sl in a decision noticed at a public mt::ding. then he or she must (I) immediately prior 10 the discussion of rhL: ilem, orally identify each type of economic interest involved in the decision as well as details of the L'cnnomic imerest, as discussed in regulation IS702.5{b), on the record of the rilceting; (2) reCllse himself Of herself: ;10<1 (3) leave the room for the duration of the discussion and/or vote 011 the item, Our File No. A-09-027 Page 4 of his or her immediate family, or on anyone of five enumerated economic intere,t,. (Section 87103; Regulation 18700(a).) The applicable economic interests include: 1. An intercst in a business entity in which a public official has a direct or indirect investment of $2,000 or more. (Section 87103(a), Regulation 18703. I (a).) An interest in any bl/silless entity in which a public official is a director, officer, partner, trustec, employee, or holds any position of managcment. (Section 87103(d). Regulation 18703.1 (b).) For purposes of Section 87103, "indirect investment or interest means any investment or interest owned by the spouse or dependent child of a public official, by an agent on behalf of a public official. or by a busines> entity or trust in which the official, the official's agents, spouse, and dependent children own directly, indirectly. or beneficially a 10-percent interest or greater." A public otficial's "immediate family" includes only the official's spouse and dependcut children. (Section 82029.) 2. An intcrcst in real property in which a public official has a direct or indirect interest of $2,000 or more. (Section 87103(b), Regulation 18703.2.) 3. Any source of income, including promised income, to the public official that aggrcgates to $500 or more within 12 months prior to the decision. (Section 87103(c). Regulation 18703.3.) 4. Any ,ource of gifts to the public official if the gifts aggregate to $420 or more within 12 months prior to the decision. (Section 87103(e), Regulation 18703.4.) 5. A public official also has an economic interest in his or hcr personal expenses, income, assets, or liabilities, as well as those of his or her immediate family. This is also known as the "personal financial effects" rule." (Section 87103, Regulation 18703.5.) You have indicated that both councilmembcrs have an economic interest in real property. While you have not statcd the value of their respective intercsts, for purposes of our analysis we will assume that each has an interest worth $2,000 or more. In additiun, Councilmember McCmm's real property that is in question is a rcntal property and wc assume that he has a source of incomc that rents the property. Howcver, you have not provided information about Council member McCann's source of income so we do not flllther analyze this economic interest and, therefore, do not offer conflict-of-interest advice in relation to that economic interest. Step Four: Are the council members' economic interests directly or indirectly involved in the decision? In order to determine if a governmental decision's reasonably foreseeable, financial effect on :1 given economic interest is material, it must first t,c determined if the official's economic interest is directly involved or indirectly involvcd in the governmental decision. (Regulation 18704(a).) For a governmcntal decision that affects real property interests, Regulation J 8704.2 applies. Our File No. A-09-027 Pnge 5 Real property in which a public otficial hns nn economic interest is directly involved in a govemmenta] decision when (among other circumstances) the renl property in which the official has an interest, or any part of that renl property, is located within 500 feet of the boundaries (or the proposed boundaries) of the property which is the subject of the govel11l1lental decision. Each council member owns property either in, or within 500 feet of. the neighborhoods for which the HUD funding is being sought. Consequently, the prope11ies are directly involved in the decisions. Step Five: What is the applicable materiality standard'? For real property directly involved in a govel11mental decision, any financial effect on the property, even "one penny," is presumed to be material. (Regulatiun 18705.2(a)(1).) This presumption may be rebutted by proof that it is not reasonably foreseeable that the govel11mentnl decision will have any financial effect on the real property. (Ibid.) Step Six: Is a materiallinancial effect reasonably foreseeable? A material financial effect on an economic interest is "reasonably foreseeable" if it is substantially likely that one or more of the materiality standmds will be met as a result of th" governmental decision. (Regulation 18706(a).) An effect need not be certain to be considcred "reasonably foreseeable," but it must be more than a mere possibility. (1/1 re Thorner, Sllpra, 1 FPPC aI's. 198.) On the other hand, if an effect is only a mere possibility, it is not reasonably foresecable, Consequently, the question before us becomes whether it is substantially likely that the city's decision to approve the HUD funding will have any financial effect on the fair market value of the officials' respective propertics, Regulation I 8706(b) provides factors that should be considered in determining whether a governmental decision will have a reasonably foreseeable material financial effect on an economic interest3 One factor, relevant to thi.s inquiry, is the extent to which the occurrence of the material financial effect is conringent IIpon other intervening events. In this case you noted that there are a variety of contingencies, (1) The city has designated three neighborhoods that may benefit from the funds. However, none of the thrce specific neighborhoods is guaranteed to receive funds. You noted that the city could still decide at a later time which of the areas will benefit from the funds. (2) You also noted that, unlike the funding of the redevelopment of an area, where the result will be to increase the property values and improve the business climate within the project area (See e.g., [" re Ogelsby (1975) 1 FPPC aI's. 71). the use of the funds in this case is to purchase a limited number of foreclosed or abandoned homes/properties, rehabilitate, redevelop, resell. and/or rent these homes to help stabilize neighboring homes and neighborhoods. We ., These factors are nol intended to be un exclusive list of the relevant f<lets that mllY be t.:onsidcred in determining whether a financial effect is reasonably fOl'esecable, bm are included as general guidelines Our File No, A-09-027 Page 6 assume that neither council members' properly would fall into this category, Moreover, you have provided no facts to suggest that any abandoned or foreclosed propel1ies are located in proximity to the officials' properties, Thus, at this preliminary stage, it does not appcar foreseeable that the decision to appropriate the HUD funds will have a material financial effect on either council member. Please note that this conclusion is Iimitcd to appropriating the HUD funds to the NSP program, Any future decisions on how to use the funds would have to be reanalyzed as a new advice request. Steps Seven and Eight: Exceptions Since il appears the decisions will not have a material financial effect on the council members' property, we have not gone on to discuss the exceptions 10 the conflicl of interest ru Ie" If you have other questions on this matter, please contaCt me al (916) 322-5660, Sincerely, Scott Hallabrin ~ General Counsel ./ "\{VJ\jJ' / ,\ By:1 \ John W, Wallace \, 1 Assistant General Counsel '- Legal DIVISIOn MEMO ~\{?- ---.- ,.~~ --- -- CITY OF (HULA VISTA Department of Public Works File: 0735-1 0-STL280 DATE: October G, 2009 FROM: The Honorable Mayor and City Council Jim Sandoval, City Manag~ <..,.~ Scott Tulloch, Assistant C;~~anager " R. A. Hopkins, Director of Public Works \ . TO: VIA: SUB.JECT: Road Closure: Industnal Boulevard li'om Dorothy Street to Palomar Street from October 12, 2009 through October I G, 2009 for the Palomar Gateway Construction Project On September 30, 2009, Davc DelaCruz of Hillcrest Contracting, a contractor working for the City of Chula Vista, submitted a written request for the future closure of Industrial Boulevard from Dorothy Street to Palomar Street for the purpose of constructing intersection improvements rclatlllg to the City's Palomar Gateway Project. The work involves installation of crosswalk safety iighting Ilear the new lraffic cirCle, placing the tln;;tl cap or asphalt 011 Illdustr"ial Blvd. allu performing the new road striping within the traffic circle and the transition areas leading to the lI'affic circle. There will not be adequate space to accommodate thru vehicular traffic during this construction phase, thus the strect will need to be closed. In order to expedite the construction of these improvements and minimize the overall inconvcnience to motorists and residents, while still providing safety for the public as well as the contractor, City staff and the contracting company propose to close Industrial Boulevard between Dorothy Street and Palomar Street between the dates of October 12, 2009 and October I G, 2009 to all thru traffic. The contractor will maintain roadway access for emergency vehicles and residcnts living at 1258 to 1262 Industrial Blvd. at all times. The intersection will be closed only as necessary to complete this project. Signs will be erected notifying the public of the upcoming closure in advance of clOSing the street. The City's Public Works Engineering and Inspection Divisions have revicwed and approved the proposed road closure plan. Dunng the closure period, traffic will be detoured as follows: Industrial Boulevard: Southbound trat1ic will he detoured cast along Palomar Strect to Broadway in order to bypass the road closure. Northbound traffic wIll be detoured west along Main Street to the 1-5 north freeway in order to bypass the road closure, however, residences and busll1esses will stIli have vehicular access to their properties within this area. The apartment complex and rcsidcntialunits along Industrial Boulevard in the vicinity of Ada Street will remain accessible throughout thiS construction phase. The Honorable Mayor and City Council October 6, 2009 Page 2 Ada Street: All traffic will be detoured through Frontage Road for ingress and egress. All residences along Ada Strect will be accessiblc throughout this construction phase. Chula Vista Transit will not bc affected. accommodated dunng the closure periocl. All emergency services will be adequately This mad way closure will have minimal impact on the neighborhood due to the presence of Frontage Road to the west. Although, Fmnlage Road was considered as a detour route, it was agreed to utilize Broaclway due to Fmntage Road's narrow roadway width and close pmximlty to the 1-5 freeway ramps. The proposed dctour mute will have the least impact of all alternatives analyzed. The volume of traffic affected by the detour along Industrial Boulevard in this area is approximately 7,900 vehicles per day. The puqJose of this memorandulll is to advise the City Council of said closure in accordance with Council Policy No. 576- 15, which requires that Council be notified in advance of a request to close a street for major construction work. cc: Communications Police Chief Firc Chief TranSit Coordinator Police and Fire Dispatch Amy Partosan, Engineenng Admin Analyst Lindscy Walters, Public Works Spccialist M :\l:::ngillcer\A G EN Of\ \In formation I lClllS\PW -Opera t ions\lndlISlri:l1 BOll levardrJosurcNo2 pem.doc -ft Mint-~ CenCRrt ]FORA MOST liNTlBRlESTJrNG CrryI >C~~ '\ Q} CrTY BALLET ORCHESTRA & PRINCIPLE DANCERS PERFORMING EXCERPTS FROM GISELLE & THE NUTCRACKER FRIDAY: OCTOBER 23RD 7:30p.M. NEW HOPE COMMUNITY CHURCH 2720 OLYMPIC PARKWAY CHULA VISTA, CA 9 I 91 5 NEXT TO THE OLYMPIC TRAINING CENTER A. FULLY-STAGED poPS CONCERT WITH ORCHESTRA, SINGERS AND DANCERS, FEATURING UNIQUE ARRANGEMENTS OF MODERN CLASSICS, SHOW TUNES & CLASSIC ROCK. OTY BALLET OF SAt'\! DIEGO ~ifj ('~a' . \. :r-: --"'~r ~~ 1./ "S,\N DII:(;o's MOST 1'llnFF~<;Sl()N/\L TROlII'E" SAN DIH-;O UNIO;-J TRIBUNE THE BUNNELLSTRlNGS RISINr; STARS OF REGIONAL CONCERT 5>lNiES AND TELEVISION EVENlS Jail N NEITLES r? ~" ,4 At"" . J8'& _ '" Ii .- t .. ..' ". 1!".. ~', O:\lE OF SAN 011:(;0'5 MOST VERSATILE PERf'o!tMEnSI PRODUCERS: OPERATIC TENOR AC10R IJANCER CONDUCTOR C()MPo.<;m~ ADMISSION IS FREE - DONATIONS ACCEPTED. ALL PROCEEDS BENEFIT THE CITY BALLET MUSIC PROGRAM AND THE SCHOLARS MUSIC PROJECT. A NEW PROGRAM THAT WI LL !lIUNG CLASSICAL MUSIC INSTRUCTION TO SOUTH BAY ELEMENTARY SCHOOLS. lH's CONCERT MADE POSSiBLE THROUGH THE GENEROSITY OF MOUNTAINWEST [UOAL ESTATE. "SUCCESS BUILT ON COMMITMENT" ",",. MOUNTAINWEST ~. REAL ESTATE .. Media Advisory Contact Information: Ron Bolles 619-997-9818 directoron@gmail.com FOR IMMEDIATE RELEASE: (October 6, 2009) A Most Interesting Concert. . . For a Most Interesting City! Chula Vista - Forbes magazine last year named Chula Vista "America's Most Boring City," but a host of local professional performers are out to prove Forbes wrong. A concert dispelling that unfavorable image will be presented Oct 23'd at 7:30 in the evening at New Hope Community Church. The evening will feature the City Ballet Orchestra under the direction of John Nettles. After intermission a pops concert will drive the point home as professional orchestra, singers and dancers, featuring unique arrangements of modern classics, show tunes & classic rock take the stage. City Ballet has been heralded as "San Diego's most professional troupe" by the San Diego Union-Tribune. Principal dancers from that respected company will perform excerpts from Giselle, and The Nutcracker. Also featured in the concert will be the Bunnell Strings. This family act is Chula Vista's answer to Austria's famous Von Trapp family. Aged 14-21, the Bunnells are rising stars of regional concert stages and television events whose musical talent is inspiring and impressive. John Nettles, the producer and conductor, is one of San Diego's most versatile artists with considerable experience as a producer, operatic tenor, actor, dancer, conductor, composer and arranger. The promoters believe the arts are essential to the wellbeing of a community. "The culture of a city is enriched by arts organizations, events, and activities", said Ron Bolles, longtime Chula Vista resident and arts consultant "Both sports and arts bring life to a community and make it vibrant" By calling attention to the city's vibrant arts community, Bolles believes the Oct 23 concert will put to rest any notion that Chula Vista is other than stellar and is anything but boring. "Look at the 'lift' that Parkview Little League provided Chula Vista a month ago when they went all the way in winning the Little League World Series," he said. .. Nettles, who is an outreach representative for the Sweetwater Union High School District's "7th Grade Arts Experience," credits the community for housing venues and programs for the performing arts; but he believes they create a net benefit for the city. "The arts are an economic stimulus for a community," he said. 'They do require funding, but that comes back tenfold in ancillary bencfits to the community. We want to expose as many people as possible and inspire them to participate." Pastor Steve Duff credits his church's New Hope Arts Academy for bringing the concert to their new venue, located adjacent to the Olympic Training Center. "We're thrilled to host this concert," he said "Since Ron and Reina Bolles created the arts academy six months ago, more than 200 children have participated in weekly classes in music, dance, and art." This will be City Ballet's fifth appearance in the South Bay during the past twelve months. Admission to the concert is free, but donations will be accepted. All proceeds benefit the City Ballet Music Program and the Scholars Music Project. The ballet program brings classical music instruction to under served elementary school students; and the music project, which will be launched next year in South Bay elementary schools, endeavors to create social change through sustainable music education. Funding for the professional orchestra and dancers in "A Most Interesting Concert For A Most Interesting City" comes from Mountain West Real Estate in Chula Vista. For additional information about "A Most Interesting Concert For A Most Interesting City'; or to make a charitable donation, contact Ron Bolles at 619-997-9818. ###