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HomeMy WebLinkAboutOrd 1985-2102 9'38 . . ., Plea::.... p...eturn to: ,. '.1 - - JentÙe M. FuIasi. ~ fJd ORDINANCE NO. 2102 P. O. Box 1087 Ch..-'- Vista, California 92012 AN ORDINANCE OF THE CITY OF CHULA VISTA ADOPTING THE DEVELOPMENT AGREEMENT FOR THE EASTLAKE PLANNED COMMUNITY WHEREAS, the development of the EastLake Planned Community will require substantial public improvements phased over a period of time, and WHEREAS, the Government Code provides authority for cities to enter into development agreements. NOW, THEREFORE, the City Council of the City of Chula Vista ordains as follows: SECTION I: Development Agreement for EastLake Planned Community In accordance with Section 65867.5 of the Government Code, the City Council of the City of Chula Vista has approved that certain document entitled "Development Agreement" for the EastLake Planned Community (attached hereto as Exhibit "A"). Said development agreement establishes certain rights and obligations for the City of Chula Vista and the EastLake Development Company. SECTION II: This ordinance shall take effect and be in full force on the thirty-first day from and after its passage. Presented by Approved as to form by ~ ' Ge~t4~ctor of ~ ¡::.d'ft Charles R. Gill, Assistant Planning City Attorney 0O21a 85-198858 ¡S85 JUN -5 M 8: 3h ~VU'i\l : , 1: ¡ COLIN: T' i. UiIH~J ~_.- NO FEE ) ;'~¡r: ~ .....----.----.--..--.. ! . 939 ' . ' .\ '.' - ; FIRST READ AT A REGULAR MEETING OF THE CITY COUNCIL OF THE CTry OF CHULA VISTA) CALIFORNIA) HELD February 19 , 19~) AND FINALLY PASSED AND ADOPTED AT A REGULAR MEETING THEREOF HELD Fphrll~ry 26, 19 85 ) BY THE FOLLOWING VOTE) TO-WIT: AYES: Councilmen Cox, Malcolm, McCandliss, Scott, Moore NAYES: Councilmen None ABSTAI N: Councilmen None ABSENT: Councilmen None llJ(!, II' . '¡I.øt" , . , "> ",..//)' (2 . . - .' M~::'J. City of Chula Visto ATTEST ~</ ~l &j'.u~ V City erk S E. OF CALIFORNIA ) COUNTY OF SAN DIEGO ) ss. CITY OF: CHULA VISTA ) " JENNIE M. FULASZ, CMC, CITY CLERK of the City of Chula Vista, California, DO HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of ORDINANCE NO. 2102 ,and that the same has not been amended or repealed. DATED May 29, 1985 ~,:~~ ~(~~ (sea ) City Clerk CC-660 -'-"-"""'-- .----- T - ORDINANCE NO. 2102 .0. AN ORDINANCE OF THE CITY OF CHULA VISTA ADOPTING THE DEVELOPMENT AGREEMENT FOR THE EASTLAKE PLANNED COMMUNITY WHEREAS, the development of the EastLake Planned Community will require substantial public improvements phased over a period of time, and WHEREAS, the Government Code provides authority for cities to enter into development agreements. NOW, THEREFORE, the City Council of the City of Chula Vista ordains as follows: SECTION I: Development Agreement for EastLake Planned Community In accordance with Section 65867.5 of the Government Code, the City Council of the City of Chula Vista has approved that certain document entitled "Development Agreement" for the EastLake Planned Community (attached hereto as Exhibit "A"). Said development agreement establishes certain rights and obligations for the City of Chula Vista and the EastLake Development Company. SECTION II: This ordinance shall take effect and be in full force on the thirty-first day from and after its passage. Presented by Approved as to form by ~ ' Ge~~r~~ctor of ~ ¡::.d'ft Charles R. Gill, Assistant Planning City Attorney 0O2la - --...., -- T I - , . FIRST READ AT A REGULAR MEETING OF THE CITY COUNCIL OF THE CIT~ OF CHULA VISTA) CALIFORNIA) HELD February 19 , 19~) AND FI~ALLY PASSED AND ADOPTED AT A REGULAR MEETING THEREOF HELD Fphrll~ry (,6, 19 85 ) BY THE FOLLOWING VOTE) TO-WIT: AYES: Councilmen Cox, Malcolm, McCandliss, Scott. Moore NAYES: Councilmen None ABSTAI N: Cot.r1cilmen None ABSENT: Councilmen None !~ I! f1 /~l Mayo' f e City of Chula Vista ATTEST '<~PU;é ~l <Þ ~ t/ City erk 51. .:. OF CALIFORNIA ) COUNTY OF SAN DIEGO ) ss. CITY OF CHULA VISTA ) " JENNIE M. FULASZ, CMC, CITY CLERK of the City of Chula Vista, California, DO HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of ORDINANCE NO. 2102 ,and that the same has not been amended or repealed. DATED {sear> City Clerk CC-660 - ~._, -..--..----------."'..--, ~ I . 9¿1 0 DEVELOPMENT AGREEMENT California Government Code Sections 65864-65869.5 This Development Agreement ("this Agreement") is entered into on February 26 , 19 85 , between EASTLAKE DEVELOPMENT COMPANY, a California general partnership ("Developer"), and the CITY OF CHULA VISTA, a municipal corporation having charter powers ("City"), with reference to the recitals set forth below. 1. Recitals. 1.l City's Author i ty to Enter into Development Agreement. City, as a charter city, is authorized under California Government Code Sections 65864 through 65869.5, Resolution No. 11933, its Charter, and its self-rule powers to enter into binding development agreements with persons having legal or equitable interests in real property for the purposes of assuring, among other things, ( i ) certainty as to permitted land uses J.n the development of such property, and (ii) construction of adequate public facilities to service such property. 1.2 The Property; Developer's Interest. Developer holds an enforceable right to acquire the property known as EastLake I described in Exhibit A ("the Property"). The Property is the subject of this Agreement. Developer is master planning the Property as the initial phase of the EastLake Planned Community. Developer represents that it has a legal interest in the Property and that all other persons holding legal or equitable interest in the Property will be bound by this Agreement. 1.3 Benefit to City. The achievement of the goals of the SPA and the Financing Plan (defined in Paragraphs 2.8 and 2.4, respectively) requires the cooperation of various landowners, Developer and City. City, by virtue of the development of the EastLake Planned Community, will receive sales tax revenues, increase in the property tax base, residential housing, sewer, water, and street facilities, and contribution toward public facilities. 1.4 Intentions of Parties in Enterin into this A reement. Developer and City intend to enter into this Agreement to: i) assure Developer's participation in the construction and financing of public facilities pursuant to the Financing Plan, (ii) provide certainty in the land use regulations and policies applicable to the development of the Property, (iii) provide Developer with a vesting of rights to proceed in accordance with various permits issued authorizing the development of the Property, (iv) provide that the improvements required by the EastLake SPA shall be completed when necessary to service the needs created by Developer's project. ð ' ,J. I IJ.;L. -1- - -"- ----- 941 ' " '.' 1.5 Planning Commission Hearings. As required by California Government Code Section 65867, on February l3, 1985, City's Planning Commission, after giving notice pursuant to California Government Code Sections 65854, 65854.5 and 65856, held a publi c hearing on this Agreement. 1.6 City Council Hearing. As further required by California Government Code Section 65867, City Council, after providing public notice pursuant to California Government Code Sections 65854, 65854.5 and 65856, held public hearings on this Agreement on January 29 and February 19, 1985. 1.7 Findings of City Council. City Council has found that this Agreement is consistent with City's General Plan and all applicable mandatory and optional elements of, the General Development Plan for EastLake I, the Sectional Planning Area Plan, as well as all other applicable policies and regulations of City. 1.8 Adoption of Ordinance Approving Agreement. On February 19, 1985, City Council adopted Ordinance No. 2102 approving this Agreement: the Ordinance took effect on March 22 , 1985. 2. Definitions. In this Agreement, unless the context otherwise requires: 2.l "Builder" or "Merchant Builder" means a developer to whom EastLake Development Company has sold or conveyed property within the Eastlake SPA for purposes of its improvement for residential, commercial or industrial use. 2.2 "City Council" means the City Council of the City of Chula Vista. 2.3 "Developer" means EastLake Development Company and the legal persons to which or whom it may assign all or any portion of its rights under this Agreement. 2.4 "Financing Plan" means the Public Facilities and Financing Plan adopted by City on February 19, 1985, pursuant to Resolution No. 11934 and any modification thereto agreed upon by the parties to this Agreement. The Financing Plan is, by this reference, made a part of this Agreement as though fully set forth herein. 2.5 "Planning Commission" means the Planning Commission of the City of Chula Vista. 2.6 "Project" means the development of the Property as represented by the SPA (defined below) and the Tentative Maps. 2.7 "Property" means the real property described in Exhibit "A". -2- - ,...--.-..'" -...--------- . _.~--~------_.._- 942 ' ' , 2.8 "SPA" means the Sectional Planning Area Plan for the EastLake Planned Community approved by City on February 19, 1985 and any modifications thereto agreed upon by the parties to this Agreement. The SPA is, by this reference, made a part of this Agreement. 2.9 "Substantial Compliance" for the purposes of this Agreement and periodic review hereunder, shall mean that the party has sufficiently followed the terms of this Agreement so as to carry out the intent of the parties in entering into this Agreement. 2.10 "Planned Community District Regulations" means the regulations approved by the City on February 19, 1985, pursuant to ordinance No. 2l03. 2.11 "Tentative Map(s)" or "Tentative Subdivision Map(s) " shall refer to the Tentative Subdivision Maps for the EastLake SPA. The term "Final Subdivision Map(s)" shall refer to any Final Map approved pursuant to such Tentative Subdivision Map(s). 3. Description of Property. The Property subject to this Agreement consists of approximately 892 acres ln area and is located approximately 7.5 miles east of downtown Chula Vista and 7 miles north of the United States/Mexican border, and is more particularly described in Exhibit "A". 4. Vested Right. In consideration of Developer's participation in the construction and financing of Public Facilities, all as more particularly described in Paragraph 6, Developer, by this Agreement, is vested with the right to develop and maintain the Property pursuant to the provisions set forth in this Paragraph 4. 4.l Permitted Uses. The Property will be developed as the first phase of a planned community consisting of residential neighborhoods, community recreational facilities, school sites, a commercial center, and industrial parks, all as more particularly authorized by the SPA, and for such other uses that may be mutually agreed upon by the parties pursuant to an amendment to the SPA. 4.2 Permitted Density of Development. The Property may be developed to the densities indicated in the SPA, subject to the limitations contained therein and any allowable density transfers within the SPA pursuant to the Planned Community District Regulations for EastLake SPA. 4.3 Maximum Height and Size of Structures. The maximum height and size of structures to be constructed on the Property will be governed by City ordinance. -3- I -"-, 943 ' . 4.4 Controlling Plans, Laws, Ordinances, Rules, Regulations, Official Policies. The development of the Property will be governed by this Agreement, the SPA, the Financing Plan, the Tentative Map, and the rules, regulations, ordinances, laws, general plans, and official policies of City which govern density, use, growth management, environmental consideration, and design criteria which are (i) in force upon the commencement of the term of this Agreement, or subsequently amended pursuant to 4.4.l, and ( i i) not in conflict with any provision of this Agreement, the SPA or the Financing Plan. 4.4.l Application of Subsequently Enacted Laws, Rules, Regulations, Fees, etc. City may, during the term of this Agreement, apply to the development or use of the Property only such newer City-enacted or modi tied laws, regulations, ordinances, fees, standards or policies, and official policies which are (i) applicable to all private projects in City, (ii) to be applied to the Project only as to applications for building and other development permits or approvals of tentative subdivision maps not yet approved as of the date of such enactment or modification, and (Hi) application of which would not prevent development of the Property pursuant to this Agreement or, without limitation, prevent the development of the Property to the uses, density, or intensity of development specified in this Agreement. This paragraph will not preclude the application to the Property of changes in City laws, regulations, ordinances, standards, or policies speci fically mandated by changes in State or Federal law or regulations made applicable to this Agreement pursuant to Paragraph lO.3. 4.5 Modification of Agreement. Nothing in the foregoing provisions of this Paragraph 4 will prevent the parties from modifying this Agreement pursuant to Paragraph lo.l to permit Developer to respond to changing market factors in the development of the Property. Developer may also apply to City for a modification or replacement of the Tentative Map(s) or SPA. Any Developer-requested modification or replacement of the Tentative Map(s), SPA or Facili ty Financing Plan will not require a modification to this Agreement, and from the date such modification or replacement is approved by City, Developer will automatically have a vested right pursuant to this Paragraph 4 to the development and use of the Property pursuant to the modified or replaced Tentative Map(s) or SPA. 4.6 Benefit of Earlier Vesting. Nothing in this Agreement will be construed as affecting Developer's earlier vested right, if any, to the development and use of the Property in the manner specified in this Paragraph 4 pursuant to the provisions of California's Constitutional, statutory, and decisional law. Developer, however, recognizes that the Financing Plan establishes limi ts beyond which project may not proceed unless speci tied facilities are constructed. The limitations on such construction may be enforced by withholding the issuance of building permits. -4- .... --.---- , 944 5. Development Program. 5.l Processing of Applications and Permits. City will accept the processing and review of all development applications and permits or other entitlements with respect to the development and use of the Property in accordance with this Agreement. It is understood by the parties to this Agreement that, pursuant to existing law, tentative subdivision maps shall not remain valid for the same length of time as the term of this Agreement. Accordingly, Developer shall have the right to file new tentative subdivision maps on portions of the project where a previously- approved tentative map or maps have expired. Any new tentative subdivision map filed by Developer shall be reviewed and approved where it is consistent with the SPA and the terms of this Development Agreement. 5.1.1 Costs which are attributable to work related to the Project, including hiring of additional personnel, will be I reimbursed to City by Developer. This may include the hir ing of professionals, including but not limited to engineers for a period up to six years to meet the City's responsibility to create assessment or reimbursement districts. 5.2 Final Map(s). Prior to conveying any portion of the Property to a builder, Developer will process with City a Final Subdivision Map(s) prepared substantially in compliance with the Tentative Map for such portion of the Property. Developer may finalize the Tentative Map(s) through as many final maps and in such locations as Developer and City deem appropriate, upon compliance with the conditions of approval. 5.2.l Recordation of Final Subdivision Map in Name of Builder or Third Party. Developer may, if it so elects with respect to any portion of the Property, convey such portion of the Property to a builder or third party by a grant deed to be recorded in the Official Records of San Diego County as one document number preceding that of the Final Map for the portion of the Property so conveyed. In such case, the builder or third party will (i) sign the Final Subdivision Map for the portion of the Property so conveyed as record owner, (i i) enter into a subdivision improvement agreement with City for the improvements required as a condition of the Final Map and (iii) provide security and insurance satisfactory to City for the completion of the subdivision improvements. 5.2.2 Recordation of Final Subdivision Map in Developer's Name; Transfer of Obli ations Under Subdivision 1m rovement Agreement s). If Developer so elects, it may defer the conveyance of any portion of the Property to a builder or third party until after the Final Subdivision Map(s) of such portion of the Property is recorded. If Developer elects to proceed in this manner, it will enter into subdivision improvement agreement(s) with City for the improvements required as a condition to the recordation of such Final Subdivision Map(s) and provide security and insurance for the -5- d I'~ - I (./ -'-----" 945 completion of such improvements. However, Developer may assign all or any part of its obligations under any such subdivision improvement agreement(s) to a builder or third party to which Developer conveys such portion of the Property. In such case, city will permit the security and insurance obtained by Developer with respect to such subdivision improvement agreement(s) to be exonerated and cancelled in return for the procurement of bonds and insurance by the merchant builder or third party to secure the completion of the respective improvements. 5.3 Pre-Final Map Development. If Developer desires to do certain work on the. Property (including without limitation, grading) prior to the recordation of a Final Map for such portion of the Property, it may do so by obtaining a grading or other permit from the Director of Public Works of City. The Director of Publi c Works will issue such permit to Developer or its contractor upon Developer's application for the same if Developer posts a bond or other reasonably adequate security required by City in an amount to assure the rehabilitation of the land if the Final Maps do not record. 6. Urban Infrastructure. 6.l Dedications and Reservations of Land for Public Purposes. The portions of the Property to be reserved or dedicated for public purposes are designated in the SPA and the Tentative Subdivision Map(s). Such dedications and reservations will be imposed in accordance with the provisions of the California Government Code and the Chula Vista Municipal Code in effect as of the commencement date of this Agreement. 6.l.l Parks. Developer will construct parks provided in the SPA and provide the City with an open space easement over portions of the parks to be fixed at the time of approval of Final Map(s). City agrees to waive all park fees and Residential Construction Tax (RCT) fees. 6.2 Public Facilities; Financing Plan. The Financing Plan sets forth a description of "public facilities" (Project Reference Nos. 1-52, inclusive) needed to serve the eastern areas of the City as a result of the cumulative effect of the development of the EastLake SPA and other adjacent developments. Some of the Public Facilities needed will be situated within the EastLake SPA, and others will be situated outside of the EastLake SPA, pursuant to the terms of Sections VIII, IX and X of the Financing Plan. Subject to the provisions below, the Financing Plan sets forth an itemization of the required Public Facilities, the developer bearing the responsibility for the construction of each Publi c Facility, the means by which such facili ty shall be financed, and whether or not the facili ty is to be assured when needed pursuant to the terms of the Subdivision Map Act, Government Code Sections 66410, et seq., and any tentative subdivision map(s) adopted with respect to the EastLake SPA or other projects and/or assured pursuant to the terms of this Development Agreement. -6- - --~_. , 946 The text of the Financing Plan not specifically referenced to by this Agreement, shall constitute a statement of the parties' intent and shall be used to interpret the express requirements for the development of the project. 6.2.l Improvements Required by Subdivision Map. Pursuant to the terms of any approved Tentative Subdivision Map, it shall be the responsibility of Developer or Developer's builders to construct, as provided for in the conditions affixed to Tentative Subdivision Map(s), for any of the areas encompassed by the EastLake SPA, the public and private improvements as are more particularly described in Sections VIII, IX and X of the Financing Plan. 6.2.2 Improvements Conditioned And Required By This Agreement. Pursuant to Sections VIII, IX and X of the Financing Plan, Developer agrees that the development of the EastLake SPA shall not proceed beyond, and building permi ts may be withheld where, the improvements described in the Financing Plan and required for a particular stage have not been financed and either constructed or under construction at the time that such improvements are scheduled for completion in accordance with the methods set forth in the Financing Plan. City acknowledges and agrees, however, that where the issuance of building permits to Developer is suspended pursuant to this provision and the provisions of the Financing Plan, such suspension shall remain in effect only so long as the facilities needed at any phase or stage of development have not been provided. Thereafter, City shall continue, upon request of Developer, to issue building permits. In the event the issuance of building permits is suspended pursuant to the provisions herein, such suspension shall not constitute a breach of the terms of this Agreement by Developer, so long as development does not proceed beyond the identified stages or phases at which various improvements are determined to be necessary pursuant to the terms of Sections VIII, IX and X of the Financing Plan. 6.2.3 Requirements Upon Developer to Provide Facilities of Excess Size, Capacit , Len th or Number. Developer may be required to advance monIes and or to construct public facilities which are of a larger size, greater length or greater capacity than that reasonably necessary to meet the public need arising as a result of Developer's project. Ci ty, where requesting such construction or funding, including construction pursuant to the requirements of Section 6.2.1 shall agree to the formation of a reimbursement district, assessment district, facility benefit assessment district, or some other means identified and provided for in the Facili ty Financing Plan, for equitable reimbursement of Developer to the extent that the facilities provided are of excessive size, length, capacity, or in some other manner larger than needed to serve the cumulative needs created by Developer's project. 6.2.4 Improvements Required of other Developers. Pursuant to the Financing Plan, various public improvements listed in -7- ---'-'---- ,.".. 947 Section X of the Financing Plan are or shall be conditions upon the development of other projects by other developers. Nothing contained herein is intended to be construed as a waiver by City of the requirements, conditions or exactions requiring the construction of public facilities reasonably necessary to serve the public need created by such projects. Pursuant to this Agreement, however, Developer shall have the option, but not the obligation, to install or "pioneer" the facilities mandated upon other development projects where such facilities are required for Developer to proceed in accordance with the staging or phasing schedule contained in Sections VIII and IX of the Financing Plan. City will coordinate the imposition of such conditions upon other developers so that the referenced Project Numbers and the publi c facilities needed by Developer and other adjacent projects can be bu il t out in accordance with the phasing and staging plans set forth in Sections VIII and IX of the Financing Plan. In the event Developer wishes to "pioneer" any facility mandated upon another, Developer and City shall enter into a separate agreement acknowledging Developer's right of reimbursement to the extent that the "pioneered" facility is not reasonably necessary to serve the public need created by Developer's project. 6.3 City Obligations Under Facili ty Financing Plan. As generally described in the Public Facility Financing Plan, the City shall, except where limited by law, meet the obligations set forth below. 6.3.l City shall periodically review the Financing Plan and, upon request, take testimony or evidence from persons affected by such Plan with respect to the need for the facilities currently required under the Facili ty Financing Plan, the phasing or staging at which such facilities are deemed to be necessary for the development in the general area to proceed, the allocation of responsibili ty between various developers in the area for the installation of the contemplated facilities and the funding mechanisms which may be utilized to fund the public improvements. 6.3.2 City shall use its best efforts to establish, in the case of the construction extensions and/or widening or reconstruction of major thoroughfares and other area-wide public facilities, the need for which is created in part by other developments, one or more financing mechanisms of the general type described in the Facility Financing Plan to assist Developer in financing, in concert with other developers, the facilities listed in Section X of the Facility Financing Plan which are mandated by the City of Chula Vista including those for which procedures are not currently in existence including, without limitation, assessment districts, Mello-Roos Community Facili ties Districts, Facili ty Benefit Assessment Districts, nonprofit corporations and such other mechanisms as may be deemed advisable to finance the facili ties discussed. Said mechanisms shall be established where necessary through the cooperative efforts of the City, in concert with other agencies of local government including the Otay Water -8- ----- .-'-' V""'U District, Chula Vista City School District, Sweetwater Union High School District and the County of San Diego, as the case may be, through contractual understandings or the formation of a Joint Powers Agency. 6.3.3 City shall use its best efforts to establish reimbursement mechanisms to reimburse Developer for facilities required of Developer but not reasonably necessary to meet the public needs arising from Developer's project including, without limitation, consideration of the establishment of a reimbursement district pursuant to local ordinance, a reimbursement district and procedure pursuant to the provisions of the Subdivision Map Act, and reimbursement mechanisms pursuant to the terms and conditions of any Facility Benefit Assessment District which may be established. 6.3.4 City shall, pursuant to Section 53077 of the Government Code, establish and maintain a separate Capital Facility Fund and account for the purpose of depositing any and all fees generated as a result of, without limitation, any assessment district, Facility Benefi t Assessment District, Mello-Roos Community Facilities District, et cetera, which is enacted for the purpose of providing capital funding for all of the Projects listed in Section X of the Facili ty Financing Plan. Said fund shall be held in an interest-bearing account and shall be expended only for such purposes as may be established in opening said account. 6.4 Maintenance of Community Facilities. All park and recreation facili ties constructed by Developer or Builders and I shown in the SPA will be maintained by one or more master community I associations having jurisdiction over all or a major part of the I I EastLake SPA or a neighborhood owners association formed by a builder. 6.5 Schools. Developer shall satisfy all of City's requirements for the provision of school facilities pursuant to Chapter 17.11 of Chula Vista Municipal Code prior to the issuance of any residential building permits for the project. 6.6 Route l25. The Developer shall irrevocably offer to dedicate right of way for future SR-125 to accommodate an 8-lane freeway, except within the Village Center portion of the SPA Plan. 6.7 Wa ter. Water to the Property shall be provided by Otay Water District. 6.8 Hold Harmless. It is understood and agreed that City, as indemnitee, or any officer or employee thereof, shall not be liable for any injury to person or property occasioned by reason of the acts or omissions of Developer (including any assignee of Developer, but only to the extent of specific improvements, acts or omissions of said assignee), its agents or employees, related -9- ! () ,;;L l ----,-- 949 to this Agreement. Developer further agrees to protect and hold harmless City, its officers and employees, from any and all claims, demands, causes of action, liability or loss of any sort, because of or arising out of acts or omlSSlons of Developer, including any assignee of Developer (but only to the extent of sped fic improvements, acts or omissions of said assignee), its agents or employees, related to this Agreement. Said indemnification and agreement to hold harmless shall extend to damages or taking of property resulting from the construction of said project and the public improvements as provided herein, to adjacent property owners as a consequence of the diversion of waters in the construction and maintenance of drainage systems and shall not constitute the assumption by City of any responsibility for such damage or taking, nor shall City, by said approval, be an insurer or surety for the construction of the project pursuant to said approved improvement plans. The provisions of this paragraph shall become effective upon the execution of this Agreement and sha 11 remain in full force and effect for three years following the acceptance by the City of each improvement; such acceptance shall not be unreasonably withheld. This section is not intended, nor shall it be construed, to require Developer or city to indemnify or hold the other harmless from their own negligent acts or omissions. 6.8.1 Indemnification. Developer shall indemnify and defend City in any lawsuit or claim which challenges the City's approval of the Project, the approval of this Agreement or the participation by the City in this Agreement. 6.9 Insurance. Developer shall name City as additional insured for all insurance policies obtained by Developer for this project. 7. Binding Effect; Encumbrance of Property; Releases. 7.l Binding Effect. The provisions of this Agreement will be binding upon and inure to the benefit of the parties' successors in interest. 7.2 Any lender will receive written noti fication from City of any default by Developer under this Agreement which is not cured within thirty (30) days, if such lender requests in writing such notification; provided however, failure of the City to provide such notification shall not limit City's rights under this Agreement. 7.3 Discretion to Encumber. Nothing in this Agreement will prevent or limi t Developer, in any manner, at Developer's sole discretion, from encumbering all or any portion of Property or improvement thereon by any deed of trust or other security device. -lO- !() l - -----,- 950 7.4 Releases. City shall, from time to time, within 30 days after Developer's written request, release portions of the property including, but not limited to, individual builder parcels and/or units of individual home ownership or commercial or industrial lots from any and all obligations established by this Agreement, upon the payment by Developer of all fees and construction of all Public Facilities required at various stages of the development pursuant to the provisions of Sections VIII, IX and X of the Financing Plan. City will effect each such release by executing, acknowledging and delivering to Developer as release of further obligations of Developer and/or builder under this Agreement, in a form and substance acceptable to the County Recorder and a title insurer, particularly describing the portion of the property to be so released. No such release to any portion of the property will affect (i) Developer's vested right to develop such portion of the property pursuant to Paragraph 4, unless a Notice of Default is pending pursuant to Section 9, or (ii) City's other rights or obligations under this Agreement. 8. Annual Review; Notice. City will, once every l2 months during the term of this Agreement, pursuant to California Government Code Section 65865.1 and Chula Vista City Council Resolution No. ll933, undertake a periodic review of the parties' compliance with the terms of this Agreement pursuant to the procedures set forth below. Developer shall present information with respect to Developer's good-faith compliance with Section 8.1. In addition to the information provided by Developer in accord with Section 8.l, City may request Developer address addi tional issues with respect to Developer's good-faith compliance with the terms of this Agreement. City shall deliver no less than 30 days' written notice to Developer prior to any hearing of any requirement City desires to be addressed, and applicable staff reports, in a manner sufficient for Developer to respond. Either party may address any requirement of this Agreement during the review period. If at any time of review, an issue not previously iden ti tied in wr i ting pursuant to Section 8, is required to be addressed by the City, the review at the request of either party may be continued to afford sufficient time for analysis and preparation. 8.1 Information to be Provided Developer. Pursuant to Government Code Section 65865.1, Developer shall have the duty to demonstrate its good-faith compliance with the terms of this Agreement at each periodic review. Developer's duty to demonstrate may be satisfied (except for additional issues raised by City pursuant to Paragraph 8) by the presentation to the City of: (1) a written report identi fying Developer's performance or the reasons for its nonperformance or excused performance pursuant to Section 12.l of the requirements of this Agreement, or (2) oral or written evidence submitted at the time of review. -11- _.._--_. ~ 951 8.Ll The parties recognize that this Agreement and the documents incorporated herein could be deemed to contain thousands of requirements (i.e., construction standards, landscaping standards, et al.), and that, evidence of each and every requirement would be a wasteful exercise of the parties' resources. Accordingly, Developer shall be deemed to have satisfied its duty of demonstration when it presents evidence of its good faith and substantial compliance with any issues requested to be addressed by City in accordance with Section 8, and substantial compliance with the major provisions of the EastLake Public Facility Financing Plan, the EastLake SPA, and compliance with the restrictions on the uses, number, type, lots and sizes of structures completed, and any required reservations and dedications to the City. Generalized evidence or statements shall be accepted in the absence of any evidence that such evidence is untrue. 8.2 Finding by City During Annual Review Period that Developer is in Default. If, during any annual review period, City, on the basis of substantial evidence, finds Developer has not in good faith complied with this Agreement, it will give Developer 30 days' notice of default pursuant to Paragraph 9. 9. Default. If either party defaults under this Agreement, the party alleging such default will give the breaching party not less than 30 days' Notice of Default in writing. The Notice of Default will specify the nature of the alleged default, and, where appropriate, the manner and period of time in which said default may be satisfactorily cured. During any period of cure, the party charged will not be considered in default for the purposes of termination or institution of legal proceedings. If the default is cured, then no default will exist and the noticing party will take no further action. 9.l Option to Set Matter for Hearing or Institute Legal Proceedings. After proper notice and the expiration or the cure period, the noticing party to this Agreement, at its option, may (i) institute legal proceedings pursuant to Paragraph 12.2 or (ii) schedule hearings before the Planning Commission and the City Council for a determination as to whether this Agreement should be modified, suspended, or terminated as a result of each default. 9.2 Waiver. Except as otherwise expressly provided in this Agreement, any failure or delay by a party in asserting any of its rights or remedies as to any default by the other party will not operate as a waiver of any default or of any such rights or remedies or deprive such party of its right to institute and maintain any actions or proceedings which it may deem necessary to protect, assert, or enforce any such rights or remedies. -l2- /Û L ,.,.. --"-' ~;), 9.3 Remedies Upon Default. In the event of a default by either party to this Agreement, the parties shall have such legal rights and equitable remedies as may be provided to parties to a contract pursuant to the provisions of California law. In addition thereto, the parties to this Agreement shall have such rights and remedies as may be provided by Article 2.5 of Chapter 4 of Division 1 of Title VII of the California Government Code, commencing with Sections 65864, et seq., as amended. 10. Modification; Suspension; Termination. 10.1 Modification by Mutual Consent. This Agreement may be modified, from time to time, by the mutual consent of the parties only in the same manner as its adoption by an ordinance as set forth in California Government Code Sections 65867, 65867.5 and 65868, and Resolution 11933 of the City of Chula Vi sta. The term "this Agreement" as used in this Agreement will include any such modification properly approved and executed. lo.1. 1 The parties to this Agreement contemplate the periodic review and modification of the EastLake SPA and provisions of the Facility Financing Plan. Such agreed-upon modifications by the parties hereto are anticipated and shall not constitute an amendment to this Agreement or a modification pursuant to this Section lo. L lO.2 Unforeseen Circumstances. If as a result of facts, events, or circumstances presently unknown, unforeseeable, and wh i ch could not have been known to the parties prior to the commencement of this Agreement, City finds that the health, safety, and general welfare of City requlre the modification, suspension, or termination of this Agreement, City will: 10.2.l Notification of Unforeseen Circumstances. Notify Developer of (i) Ci ty' s determination and (ii) the reasons for City's determination and all facts upon which such reasons are based; 10.2.2 Notice of Hearing. Notify Developer in writing at least l4 days prior to the date, of the date, time, and place of the hearing and forward to Developer, a minimum of 10 days prior to the hearing described in Paragraph 10.2.3, all documents related to such determination and reasons therefor; and 10.2.3 Hearing. Hold a hearing on the determination at which hearing Developer will have the right to address the City Council. At the conclusion of said hearing, City Council may take action to suspend this Agreement. The City Council may suspend this Agreement if, at the conclusion of said hearing, based upon the evidence presented by the parties, the City finds that as a result of facts, events or circumstances which were unknown and unforeseeable to the parties hereto, the health, safety and general welfare of the community require the suspension of the Agreement. -l3- ,Ý~ 953 lo.3 Change in State or Federal Law or Regulations. If any State or Federal law or regulation enacted during the term of this Agreement or the action or inaction of any other affected governmental jurisdiction precludes compliance with one or more provisions of this Agreement, or requires changes in plans, maps, or permits approved by City, the parties will act pursuant to Paragraphs lO.3.1 and 10.3.2. 10.3.1 Notice; Meeting. The party first becoming aware of such enactment or action or inaction will provide the other party with written notice of such State or Federal law or regulation and provide a copy of such law or regulation and a statement regarding its conflict with the provisions of this Agreement. The parties will promptly meet and confer in a good-faith and reasonable attempt to modify or suspend this Agreement to comply with such Federal or State law or regulation. lO.3.2 Hearing on Supersession of Development Agreement. Thereafter, regardless of whether the parties reach agreement on the effect of such Federal or State law or regulation, the matter will be scheduled for hearing before the City Council no sooner than 10 days following written notice of such hearing to Developer. City Council, at such hearing, will determine the exact modification, suspension or termination which is required by such Federal or State law or regulation, if any. Developer, at the hearing, will have the right to offer oral and written testimony regarding any proposed action by City. Any modification, suspension or termination of the Agreement must be authorized by the affirmative vote of not less than a majority of the authorized voting members of the City Council in order to be effective. Any modifications, suspension, or termination may be subject to judicial review under Paragraph 12.2 of this Agreement. 11. Equity Participation; Sewer Fees; Joint Power Agreements; Assessment Distr:cts, Public Financing Mechanism and Reserve Fund. l1.l Equity Participation. Developer shall offer the City an equity participation opportunity in cable television franchise. City will take steps to preserve Developer's options for a new cable franchise to the extent permi t ted by law and any existing franchise agreements to which City is a party. Said participation shall be pursuant to separate agreements between the Developer and the City. 11.2 Sewer Fee. Notwithstanding any provision of this Agreement to the contrary, Developer acknowledges that a sewer fee may be adopted by the City applicable to all properties during the term of this Agreement and that said fee may be applied to Developer's project. 11.3 Joint Powers. City acknowledges that a Joint Powers Authority (JPA) with one or more other public entities may be necessary -l4- n-- 954 for the efficient and successful completion of public facil i ties required by this Agreement. City will actively seek the creation of JPA' s when needed. * l1.4 Assessment Districts or Public Financing Mechanisms. This Agreement and the Public Facilities Financing Plan recognize that assessment districts or other public financing mechanisms may be necessary to equitably distribute the cost of public improvements. Said costs shall include the engineering and legal fees associated with the formation of said districts. 11.5 Reserve Fund. A reserve fund, as more particularly described in Section XII of the Public Facilities Financing Plan, shall be established for the project. 12. General Provisions. l2.l Enforced Delay; Extension of Time of Performance. Failure to perform or delay in performance by either party will not constitute a default for purposes of Section 9 where such delay or failure in performance is due to war, insurrection, strikes, walkouts, riots, floods, earthquakes, fires, casualties, acts of God, litigation, or other occurrence beyond the party's reasonable control. If written notice of such delay is given by the delayed party to the other party within 30 days of the commencement of such delay, an extension of time for such cause will be granted in writing for the period of the enforced delay, or a longer period as may be mutually agreed upon. 12.2 Institution of Legal Proceedings. In addition to any other rights or remedies, either party may institute legal action to cure, correct, or remedy any default, to enforce any covenants or agreements herein, or to enjoin any threatened or attempted violation thereof; to recover damages for any default; or to obtain any remedies consistent with the purpose of this Agreement. Such legal actions must be instituted in the Superior Court of the County of San Diego, State of California, or in the Federal District Court in the Southern District of California. l2.3 Rules of Construction. 12.3.1 Number; Gender. The singular includes the plural and the neuter gender includes the masculine and the feminine wherever the context so requires. l2.3.2 Will and ShalL The words "will" and "shall" are mandatory except as expressly provided otherwise in this Agreement. 12.4 Notices. All notices required by or provided for under this Agreement shall be in writing and delivered in person or sent by certified mail, postage prepaid, return receipt requested, to the pr incipal offices of the City and EastLake Development -l5- 9:)5 .' Company. Notice shall be effective on the date delivered in person, or the date when the postal authorities indicate that the mailing was delivered to the address of the receiving party indicated below: Notice to EastLake Development Company: EastLake Development Company 7ol "B" Street, Suite 730 San Diego, California 92lo1 Notice to City: City Manager City of Chula Vista 276 Fourth Avenue Chula Vista, California 92010 Such written notices may be sent in the same manner to such other persons and addresses as either party may from time to time designate by mail. l2.5 Joint and Several Liability. If either party consists of more than one legal person, their obligations are joint and several. 12.6 Severability. If any material provision of this Agreement is held invalid, this Agreement will be automatically terminated unless within l5 days after such provision is held invalid the party holding rights under the invalidated provision affirms the balance of this Agreement in writing. This provision will not affect the right of the parties to modify or suspend this Agreement by mutual consent pursuant to Paragraph lo.l. l2.7 Recordation of Agreement; Amendments. All amendments hereto must be in wri ting signed by the appropriate agents of City and Developer, in a form suitable for recording in the Office of the Recorder, County of San Diego. Within 10 days of the date of this Agreement, a copy w ill be recorded in the Official Records of San Diego County, California. Upon the completion of performance of this Agreement or its earlier termination, a statement evidencing said completion or termination signed by the appropriate agents of Developer and City will be recorded in the Official Records of San Diego County, California. 12.8 Covenant of Good Faith and Fair Dealing. Neither party shall do anything which shall have the effect of harming or injuring the r i gh t of the other party to receive the benefits of this Agreement; each party shall refrain from doing anything which would render its performance under this Agreement impossible; and each party shall do everything which this Agreement contemplates -16- - ~------------ '.' 956 that such party shall do in order to accomplish the objectives and purposes of this Agreement. l2.9 Attorneys' Fees and Costs. If either party commences li tigation or other proceedings (including without limitation arbitration) for the interpretation, reformation, enforcement, or rescission of this Agreement, the prevailing party will be entitled to its reasonable attorneys' fees and costs. l2 .lO Applicable Law. This Agreement will be construed and enforced in accordance with the laws of the State of California. 12.1l Assignment. Developer may transfer its rights and obligations under this Agreement if such transfer or assignment is made as part of a transfer, assignment, sale, or lease of all or a portion of the Property and the City consents to said transfer. Said consent shall not be unreasonably withheld. -l7- () L ~ ,-,.---.. , 957 IN WITNESS WHEREOF, the parties have executed this Agreement on the date first above written. CITY: DEVELOPER: CHULA VISTA, a EASTLAKE DEVELOPMENT COMPANY, 1 corporation a California general partnership comprised of corporations By: DANIEL V., INC., a California corporation, General Partner Its: Mayor By: -18- íò I ----,--. cyS3 I hereby approve the form and legality of the foregoing Agreement this ~ day of ¡4.;r ItfI ' 19 ~,;;;;-- L~/~ £. c.J12 k CIty Attorney // STATE OF CALIFORNIA) COUNTY OF SAN DIEGO ) ss. CITY OF CHULA VISTA) 19 ¡- 6 -- On , in the year before me, of the City of Chula Vista, perso peared rego Cox, known to me to be the person who executed this instrument as Mayor of the City of Chula Vista, a political subdivision of the State of California, and acknowledged to me that the City of Chula Vista executed it. WITNESS my hand and official seal. j1»z~~~ STATE OF CALIFORNIA) COUNTY OF ~ ) ss. ) On this ~ day of ~ ' in the year 19 f 5 before me, the undersigned, a Notar Public in and for said State, personally appeared Daniel D. Lane, personally known to me or proved to me on the basis of satisfactory evidence to be the person who executed the within instrument as the President of the corporation that executed the within instrument on behalf of EastLake Development Company, the partnership that executed the within instrument, and acknowledged to me that such corporation executed the same as such partner and that such partnership executed the same. TNESS my hand and official seal. OF?ICIAL SEAL 7l7~);;. 6~ ' MARY E BLACKARD NOTARY PUBLIC - CALIFORNIA OR1\NGE COUNTY My comm. expires APR 5. 1989 STATE OF CALIFORNIA) ~ss. COUNTY OF / ) On this ~ day of ~ ,in the year 19P5 be fore me, the undersigned, a Notar Public in and for said State, personally appeared David B. Kuhn, Jr., personally known to me or proved to me on the basis of satisfactory evidence to be the person who executed the within instrument as the President of the corporation that executed the within instrument on behalf -19- ),1 -,~_._.._-- . -" 959 of EastLake Development Company, the partnership that executed the within instrument, and acknowledged to me that such corpora- tion executed the same as such partner and that such partnership executed the same. WITNESS my hand and official seal. OF?ICIAL SEAL ~ ß. ~~~ / MARY E BLACKARD NOTARY PUBLIC - CALIFORNIA OI1'ANGECüUNTY My comm. expires APR 5, 1989 o2l7a -20- /0 - --------- - 960 .' , '.. I - ,'. LEGAL DESCRIPTION THOSE PORTIONS OF SECTIONS 27, 28, 33, 34, AND 35 ALL BEING IN TOvlliSHIP 17 SOUTH, RANGE 1 WEST, ALL OF SAN BERNARDINO MERIDAN, IN THE COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO UNITED STATES GOVERNMENT SURVEY, TOGETHER WITH THAT PORTION OF RANCHO JANAL, ACCORDING TO THE MAP THEREOF RECORD, IN BOOK 1 PAGE 89 OF PATENTS, RECORDS OF SAN DIEGO COUNTY ALL BEING DESCRIBED HERZING: THE TRUE POINT OF BEGINNING BEING THE SOUTWNEST CORNER OF THE NORTHEAST QUARTER OF FRACTIONAL SECTION 33; 1. THENCE NORTH 170 52' 14" WEST, 4207.74 FEET; 2. THENCE SOUTH 89040' 56" EAST, 3326.91 FEET; 3. THENCE NORTH 530 17' 52" EAST, 663.88 FEET; 4. THENCE NORTH 010 49' 21" NEST, 920.54 FEET; 5. THENCE SOUTH 88057' 38" EAST, 2729. 84 FEET; 6. THENCE SOUTH 00004' 42" EAST, 874.80 FEET; 7. THENCE SOUTH 67047' 42" EAST, 416.80 FEET; 8. THENCE SOUTH 470 42' 18" EAST, 446.13 FEET; 9. THENCE NORTH 880 57' 13" WEST, 71 5 . 40 FEET; 10. THENCE SOUTH 000 04' 42" EAST, 1312.61 FEET; 11. THENCE SOUTH 880 47' 50" EAST, 2633.41 FEET; 12. THENCE SOUTH 880 27' 08" EAST, 820.00 FEET; 13. THENCE SOUTH 010 23' 02" WEST, 1125.63 FEET; 14. THENCE SOUTH 110 19' 49" WEST, 1615.01 FEET; 15. THENCE SOUTH 760 ) l' 54" WEST, 14 9 . 29 FEET; 16. THENCE NORTH 15006' 57" WEST, 180.00 FEET TO A POINT ON A NON-TANGENT 4936.00 FOOT RADIUS CURVE CONCAVE SOUTHEASTERLY, THE RADIAL TO SAID CURVE BEARS NORTH 15° 06' 57" WEST; 17. THENCE SOUTm~ESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE 090 04' 59" A DISTANCE OF 782.50 FEET TO A LINE TANGENT TO SAID CURVE; 18. THENCE SOUTH 650 48' 04" í'lEST, 1411. 59 FEET; 19. THENCE SOUTH 64031' 41" í'lEST, 450 . 11 FEET; 20. THENCE SOUTH 650 48' 04" WEST, 574.21 FEET; 21. THENCE NORTH 000 OS' 47" EAST, 1215.80 FEET; 22. THENCE NORTH 880 53' 15" ívEST, 2680.31 FEET; 23. THENCE NORTH 890 21' 14" í~EST, 2554.31 FEET; TO THE TRUE POINT OF BEGINNING. 388.0102 EXHIBIT A ~.._..._.._. , '.' "', - 961 :¡f--- 0 Nor ro .sCAlE ' , " L\~ 28 27 33 34 BEING .d PORT/ON OF S€C770NS 13 ~ .., ¿7. ?ð. .33. .:J'I 4A1f) 35 4tl 8E/N6 4 IN TOJVN.s#/P /7 .sOUTH R.¿v6ê ' ~ 1 JV~J~ J \ 875. 7~ 4CRES T.P.O.8. \ , \ , ANNEXATION OF EASTLAKE I TO IMPROVEMENT DISTRICT NO. 22 /' EXHIBIT A ORDINANCE NO. 2102 AN ORDINANCE OF THE CITY OF CHULA VISTA ADOPTING THE DEVELOPMENT AGREEMENT FOR THE EASTLAKE PLANNED COMMUNITY By a unanimous vote on February 26, 1985, the City Council placed the ordinance on second reading and adoption. The development agreement, as permitted by California law, helps a public agency and a large scale development identify the rules before large sums of public and/or private money are invested in a project. The development agreement sets forth the commitments the developer will do and the commitments the City will do. EastLake Development Company agrees to provide the public and private improve- ments identified in the SPA Plan and the Public Facilities and Financing Plan and the City agrees not to change the planning and zoning approvals applicable to EastLake I during a specified period of time. The development agreement specifies the time during which the Ci ty agrees not to change its regulations, the per- mitted uses of the property, the density or intensity of uses and provisions for dedication or reservation of land for public purposes. Copies of the development agreement (Ordinance No. 2102) are available at the office of the City Clerk, City Hall, 276 Fourth Avenue, Chula vista, CA. Dated: 2/28/85 .~~/~ M. Fulas, C, 'City e~k - -.-.,. -."------.'--_.._0"'. -