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AGENDA
JOINT REGULAR MEETING
OF THE SAN JACINTO CITY COUNCIL AND THE SUCCESSOR AGENCY TO
THE CITY OF SAN JACINTO REDEVELOPMENT AGENCY
December 16, 2014, 6:30 p.m.
625 South Pico Avenue
San Jacinto Community Center, San Jacinto, CA 92583
1. ORGANIZATION
1.1 Call to Order
1.2 Roll Call
1.3 Invocation
1.4 Pledge of Allegiance
1.5 Special Presentations
1.6 Late Items
2. PUBLIC COMMENTS
Now is the time for the public to address the Council on any subject within the jurisdiction of the City
Council not listed on the agenda. A limitation of three (3) minutes shall be set for each person desiring
to address the City Council.
3. JOINT CONSENT CALENDARS (SECTIONS 3A AND 3B)
The matters listed under Consent Calendars are considered routine and will be enacted by one motion
by City Council Members in the form listed. There will be no separate discussion on these items prior to
the motion unless members of the City Council, staff or the public requests a specified item be removed
and/or discussed. If an item is pulled, it will be heard after the balance of the Consent Calendar has
been voted on.
3A CONSENT CALENDAR - CITY COUNCIL
3A.1 Waiver of Full Reading of Ordinance(s), and Reading by Title Only /
Approve / City Clerk, City Attorney
3A.2 Approve Second Amendment to Subdivision Improvement Agreement
(Tract 30878). / Approve / City Manager, City Attorney
3A.3 Warrants and Disbursements - November 2014 / Approve / Finance
Director
City Council Agenda
December 16, 2014
Page 2 of 4
3A.4 Minutes of December 2, 2014 - Regular Meeting / Approve / City Clerk
3B CONSENT CALENDAR - SUCCESSOR AGENCY TO THE
REDEVELOPMENT AGENCY OF THE CITY OF SAN JACINTO
4. PUBLIC HEARING
4.1 Workout Agreement with Tower Investments, Inc.; Settlement Agreement with
Tower Investments, Inc.; and Ordinance No. 14-13 Adopting Development
Agreement No. 2-14 between the City of San Jacinto and Tower Investments
LLC / Approve / Consultant, City Attorney
5. STAFF REPORTS
At the end of the scheduled City Department items, anyone wishing to discuss a consent calendar item
should come forward upon invitation of the Mayor; state their name, address, and the consent calendar
item number pulled. Speakers should limit comments to three (3) minutes.
5.1 Local Appointments List / Agency / Committee / Subcommittee / Appointments
/ Approve / City Clerk
5.2 Adoption of Resolution Approving a change to the frequency and location of
Regular Meetings of the City Council / Approve / City Attorney
5.3 Renewal of Police Services Agreement with Riverside County Sheriff's
Department. / Approve / City Manager
5.4 Acceptance of Department of Transportation Active Transportation Program
Grant Funds / Approve / Development Director
5.5 Acceptance of State of California Department of Conservation / Strategic
Growth Council Sustainable Communities Planning Grant and Incentives
Program (Downtown Specific Plan) / Approve / Development Director
5.6 Adoption of Fiscal Year 2014-15 Budget / Approve / Finance Director
5.7 Adoption of Fiscal Year 2014-15 Budget / Approve / Finance Director
6. MAYOR/COUNCIL MEMBER REPORTS/DISCUSSIONS
7. CLOSED SESSION
7A CLOSED SESSION - CITY COUNCIL
7A.1 CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION
City Council Agenda
December 16, 2014
Page 3 of 4
(Paragraph (1) of subdivision (d) of Section 54956.9)
Name of Case: San Jacinto v. Verizon
7A.2 CONFERENCE WITH REAL PROPERTY NEGOTIATORS
Property: APN 435-260-006
Agency negotiator: Tim Hults, City Manager
Negotiating parties: Victor Coombes
Under negotiation: Price and terms of payment
7B CLOSED SESSION - SUCCESSOR AGENCY TO THE REDEVELOPMENT
AGENCY OF THE CITY OF SAN JACINTO
8. ADJOURNMENT
If you challenge any action of the City Council in court, you may be limited to raising only those issues you or
someone else raised at the public hearing described in this notice, or in written correspondence delivered to
the City Council (c/o the City Clerk) at, or prior to, the public hearing.
CHALLENGE TO LAND USE DECISIONS: Any person seeking to challenge a decision regarding land use
made by the City Council as a result of a proceeding in which by law a hearing is required to be given, shall
be required to commence that action 90 days following the date on which the decision of the City Council
becomes final as provided in Code of Civil Procedure Section 1094.6. Please refer to Code of Civil Procedure
Section 1094.6 to determine how to calculate when a decision becomes final.
It is the intention of the City of San Jacinto to comply with the Americans with Disabilities Act (ADA) in all
respects. If, as an attendee or a participant at this meeting, or in meetings on a regular basis, you will need
special assistance beyond what is normally provided, the City will attempt to accommodate you in every
reasonable manner. Please contact City Hall at (951) 537-6358, at least 48 hours prior to the meeting to
inform us of your particular needs and to determine if accommodation is feasible.
Any writing related to an agenda item for an open session of a regular meeting of the City Council that is
distributed less than 72 hours prior to the meeting will be made available for public inspection at the City
Clerk's office, located at 595 South San Jacinto Avenue, San Jacinto, California, and at the regular meeting
location - City of San Jacinto Community Center, 625 South Pico Avenue, San Jacinto, California - at the time
the writing is distributed to a majority of the City Council
DOCUMENTS RELATED TO OPEN SESSION AGENDAS (SB 343) -- Any public record,
relating to an open session agenda item, that is distributed within 72 hours prior to the
meeting is available for public inspection at the public counter located in the Administration
Building of City Hall, 595 S San Jacinto Avenue, San Jacinto, CA 92583
I, Richard Miller, City Clerk of the City of San Jacinto, do hereby certify that I caused to be posted the foregoing
agenda this 11th Day of December, 2014, as required by law.
Richard Miller, City Clerk
City Council Agenda
December 16, 2014
Page 4 of 4
December 16, 2014
TO: The Honorable Mayor and Members of the City Council
FROM: Rick Miller, City Clerk
Jeff Ballinger, City Attorney
SUBJECT: Waiver of Full Reading of Ordinance(s), and Reading by Title Only
RECOMMENDATION:
Staff recommends that the City Council, by motion, waive the full reading of any and all
ordinances on this meeting’s agenda, and authorize their reading by title only.
BACKGROUND:
Government Code Section 36934 requires that all ordinances shall be read in full either
at the time of their introduction or their passage. However, Government Code Section
36934 allows the waiver of this requirement by regular motion adopted by majority vote
if the title of the ordinance is read.
This waiver can be accomplished at the time of each ordinance action, or as a standing
waiver, accomplished as a consent calendar motion. In order to stream-line the process
for the passage of ordinances, the City Attorney and staff propose the second option,
which is the waiver of any and all ordinances on this agenda.
ALTERNATIVES:
Approval: Approve the addition of the attached language to all future agendas of the
City Council, thus waiving the full reading of all future ordinances.
Denial: Do not approve the agenda language and, instead, before the passage of any
ordinance and after the reading of its title, make a motion that must be adopted by
majority vote that allows a waiver of the full reading.
FISCAL IMPACT:
None
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AGENDA ITEM 3A.1
December 16, 2014
TO: The Honorable Mayor and Members of the City Council
FROM: Tim Hults, City Manager
SUBJECT: Approve Second Amendment to Subdivision Improvement Agreement (Tract
30878).
RECOMMENDATION:
Staff recommends that the City Council, by motion, approve the Second Amendment to the
Subdivision Improvement Agreement for Park Meadows 171, LLC, Tract 30878. Located at
Seventh St. and Lyon Ave.
DISCUSSION:
In September of 2011, the First Amendment to the Subdivision Improvement Agreement for
Subdivision 30878 the “Immediate Improvements” and “Deferred Improvements” were listed and
mutually agreed upon between the City and Park Meadows 171, LLC. In that Agreement the
Immediate Improvements were to be completed thirty (30) calendar days following signing of the
Agreement. All the Immediate Improvements were completed and accepted by the City and the
bonds were reduced as stated in the Agreement. Per the Agreement the Deferred
Improvements were to be completed no later than two (2) years following the Effective Date. As
a result of the severe economic downturn, especially in the housing market, Park Meadows 171,
LLC, a California Limited Liability Company has not completed the Deferred Improvements and
is requesting a two (2) year extension at this time.
FISCAL IMPACT:
None
ATTACHMENTS:
First Amendment to the Subdivision Improvement Agreement
Second Amendment to the Subdivision Improvement Agreement
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24438.H0000\9368955.1
SECOND AMENDMENT TO SUBDIVISION IMPROVEMENT AGREEMENT
FOR SUBDIVISION 30878
This Second Amendment to the Subdivision Improvement Agreement for Subdivision
30878 (“Second Amendment”) is made as of the _____ day of ______________ 2014,
(“Effective Date”) by and between the City of San Jacinto, a California municipal corporation
(“City”) and Park Meadows 171, LLC, a California Limited Liability Company (“Developer”).
City and Developer are sometimes individually referred to as “Party” and collectively as
“Parties”.
RECITALS
A. On November 18, 2004, the City and Developer entered into a Subdivision
Improvement Agreement for Subdivision 30878 for the installation of certain public
improvements (“Original Agreement”) on real property located within the City, a legal
description of which is attached hereto as Exhibit “A” (“Property”).
B. Pursuant to the Agreement, Developer obtained a performance bond # 213 4469
in the amount of Eight Hundred Forty Five Thousand Six Hundred Forty Two Dollars and One
Cent ($845,642.01) and a payment/labor & materials bond in the same amount (collectively
“Bonds”), to guarantee the faithful performance of the public improvements and all provisions
of the Original Agreement and to secure payment to the contractors, subcontractors, laborers,
material men, and other persons furnishing labor, materials, or equipment for performance of
the public improvements and the Original Agreement, respectively.
C. On or about September 20, 2011, the Parties entered into that certain First
Amendment to the Subdivision Improvement Agreement, dated September 20, 2011 (“First
Amendment”), pursuant to which Developer was required to complete certain improvements
(“Immediate Improvements”) within thirty (30) days following the First Amendment and
certain other improvements (“Deferred Improvements”) within two (2) years following the First
Amendment. Developer has completed the Immediate Improvements, but not the Deferred
Improvements. Due to current economic conditions, the Parties agree that the Developer shall
complete the Deferred Improvements as specified in section 1 below.
NOW, THEREFORE, IN CONSIDERATION OF THE MUTUAL PROMISES SET
FORTH IN THIS AMENDMENT AND OTHER VALUABLE CONSIDERATION, THE CITY
AND DEVELOPER AGREE AS FOLLOWS:
1. Extension of Time to Complete Public Improvements. Section 4.3 of the Original
Agreement, as amended by the First Amendment, is hereby amended to read as follows:
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AGENDA ITEM 3A.2
24438.H0000\9368955.1
“The time to complete the Public Improvements is extended as hereby
specified. No later than two (2) years following the Effective Date of this
Second Amendment, Developer shall complete the Public Improvements
specifically described in Exhibit “B”, which is attached hereto and
incorporated herein by reference (“Deferred Improvements”). The City
Manager and Developer may mutually agree, in writing, to further
extension of the time to complete the Deferred Improvements pursuant to
Section 4.1 of the Agreement. Unless and until the Deferred
Improvements are completed by Developer and accepted by the City, the
City shall be under no obligation to issue any permits or entitlements
(whether discretionary or ministerial) related to the undeveloped lots on
the Property; provided however, that this Agreement shall not prevent the
City from issuing such permits or entitlements for the development of the
undeveloped portion of the Property so long as the Public Improvements
are constructed and installed in conjunction with such development (based
on a schedule of performance that is mutually agreed to, in writing, by the
City Engineer and Developer).”
2. No Other Amendments. Except as set forth in this Second Amendment to the
Agreement, the Agreement remains in full force and effect according to its terms.
3. Incorporation of Amendment. From and after the Effective Date of this Second
Amendment, wherever the term “Agreement” appears in the Agreement, it shall be read and
understood to mean the Agreement as amended by the First Amendment and this Second
Amendment.
4. Acknowledgement of Consideration. The Parties hereby agree and acknowledge
the receipt, adequacy and sufficiency of consideration provided by the Parties.
IN WITNESS WHEREOF, the City and Developer have executed this Second
Amendment as of the date first written above.
(signatures on following page)
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AGENDA ITEM 3A.2
24438.H0000\9368955.1
SIGNATURE PAGE
TO
SECOND AMENDMENT TO SUBDIVISION IMPROVEMENT AGREEMENT
FOR SUBDIVISION 30878
CITY OF SAN JACINTO DEVELOPER
Park Meadows, 171, LLC
By: Griffin Communities,
a California Corporation
Its: Managing Member
________________________ ___________________________
Crystal Ruiz, Mayor Ian Griffin, Vice President
Date: __________________ Date: __________________
ATTEST:
________________________
Rick Miller, City Clerk
APPROVED AS TO FORM:
________________________
Jeffrey S. Ballinger, City Attorney
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AGENDA ITEM 3A.2
24438.H0000\9368955.1
EXHIBIT “A”
TO
SECOND AMENDMENT TO SUBDIVISION IMPROVEMENT AGREEMENT
FOR SUBDIVISION 30878
(Legal Description of Property)
BEING A DIVISION OF PORTIONS OF THE SOUTHEAST QUARTER AND THE
SOUTH HALF OF THE NORTHEAST QUARTER OF FARM LOT 152 OF THE LANDS
OF THE SAN JACINTO LAND ASSOCIATION, AS SHOWN ON MAP RECORDED IN
BOOK 8, PAGE 357. SAN DIEGO COUNTY RECORDS, IN SECTION 33, TOWNSHIP
4 SOUTH, RANGE 1 WEST, S.B.B.M.
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AGENDA ITEM 3A.2
24438.H0000\9368955.1
EXHIBIT “B”
TO
SECOND AMENDMENT TO SUBDIVISION IMPROVEMENT AGREEMENT
FOR SUBDIVISION 30878
(List of Deferred Improvements)
All street improvements within the cul-de-sac of Sunny Ridge Drive including:
· Sewer
· Water
· Storm Drain
· Dry Utilities
· Curb and Gutter
· City Sidewalk
· A/C Pave and Cap
· Blue Dots (fire hydrants)
Complete the portion of park site which is currently a temporary detention basin
including:
· Filling the basin
· Soil compaction
· Grading
· Landscaping
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AGENDA ITEM 3A.2
December 16, 2014
TO: The Honorable Mayor and Members of the City Council
FROM: Thomas Prill, Finance Director
SUBJECT: Warrants and Disbursements – November 2014
RECOMMENDATION:
Staff recommends that the City Council review and approve Warrants and Disbursements for
the period of November 1 through November 30, 2014 in the amount of $4,989,232.34.
DISCUSSION:
The City Council in its oversight role formally reviews disbursements of City funds made by
Accounts Payable warrants, bi-weekly payrolls and electronic funds (wire) transfers. The
following information is provided for such review and approval:
Warrants/Wire Pay Date Amount
Accounts Payable: # 110525-110756 Various $ 4,668,761.53
Payroll: Pay Period # 23 # 22101-22122 11/13/2014 $ 111,869.34
Includes Warrants, Direct Deposits, Taxes, Garnishments
Payroll: Pay Period # 24 # 22123-22142 11/26/2014 $ 206,601.47
Includes Warrants, Direct Deposits, Taxes, Garnishments
Electronic Funds Various $ 2,000.00
Total Disbursements – Period of November 1-30, 2014 $ 4,989,232.34
Prepared by: Judy Kelley, Account Clerk II
Known Councilmember Conflicts: Check #’s 110544, 110625, 110711.
FISCAL IMPACT:
Expenditures by warrant, payroll direct deposit and electronic funds (wire) transfers have been
appropriated.
ATTACHMENTS:
Accounts Payable Warrant Register – November 1-30, 2014
Electronic Funds Transfer Report – November 1-30, 2014
Note: Payroll information is on file in the Finance Department.
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December 16, 2014
TO: The Honorable Mayor and Members of the City Council
FROM: Rick Miller, City Clerk
SUBJECT: Minutes of December 2, 2014 - Regular Meeting
RECOMMENDATION:
Staff recommends that the City Council, by motion, approve the minutes of the Regular
Meeting held December 2, 2014.
ATTACHMENTS
· Draft Minutes of the December 2, 2014 – Regular Meeting
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AGENDA ITEM 3A.4
ACTION MINUTES
JOINT REGULAR MEETING
OF THE SAN JACINTO CITY COUNCIL AND THE SUCCESSOR AGENCY TO
THE CITY OF SAN JACINTO REDEVELOPMENT AGENCY
December 2, 2014, 6:30 p.m.
625 S. Pico Ave
San Jacinto Community Center, San Jacinto, CA 92583
1. ORGANIZATION
1.1 Call to Order
Mayor Alonso Ledezma called the Regular Meeting of the San Jacinto City
Council and the Successor Agency to the City of San Jacinto Redevelopment
Agency to order at 6:30 p.m.
1.2 Roll Call
Present – Bartel, Kotyuk, Miller, Ruiz, Ledezma
Absent - None
1.3 Invocation
Councilman Scott Miller gave the invocation.
1.4 Pledge of Allegiance
Bruce Malone led the Pledge of Allegiance
1.5 Special Presentations
None
1.6 MAYOR / COUNCIL MEMBER REPORTS / COMMENTS
Councilmember’s gave their reports
2. CONSENT CALENDAR
2.1 CONSENT CALENDAR - CITY COUNCIL
2.1.1 Waiver of Full Reading of Ordinance(s), and Reading by Title Only
/ Approve / City Clerk, City Attorney
2.1.2 Special Tax Annual Reporting / Approve / Finance Director
PACKET PAGE: 57
AGENDA ITEM 3A.4
Action Minutes
December 2, 2014
_______________________________________________________________________________________Page 2 of 4
2.1.3 Minutes of the Regular Meeting held on November 18, 2014 /
Approve / City Clerk
2.1.4 Resolution No. 3544 / A Resolution Certifying the results of the
November 4, 2014 Consolidated Regular Municipal Election /
Approve / City Clerk
2.1.5 Treasurer's Report at October 31, 2014 / Approve / City Treasurer
2.1.6 Resolution of Intention to Annex Territory Known as Circle K into
Community Facilities District No. 2003-1 and to Authorize the
Levy of Special Taxes Therein / Approve / City Manager, City
Attorney
2.2 CONSENT CALENDAR - SUCCESSOR AGENCY TO THE
REDEVELOPMENT AGENCY OF THE CITY OF SAN JACINTO
M/S/C (Kotyuk / Ruiz) moved to approve of the Consent Calendar. Motion carried 5/0.
Ayes: Bartel, Kotyuk, Miller, Ruiz, Ledezma
Nays: None
Absent: None
Abstain: None
3. OATH OF OFFICE FOR SCOTT MILLER AND ALONSO LEDEZMA FOR CITY
COUNCIL
City Clerk Rick Miller gave the Oath of Office to Councilmember’s Scott Miller and
Alonso Ledezma
4. CITY COUNCIL REORGANIZTION
City Clerk Rick Miller conducted the election of the Mayor.
Councilmember Alonzo Ledezma nominated Councilmember Crystal Ruiz for the
office of Mayor.
M/S/C (Bartel/Miller) moved to close the nominations. Motion carried 5/0.
Ayes: Bartel, Kotyuk, Ledezma, Miller, Ruiz
Nays: None
Absent: None
Abstain: None
Councilmember Ruiz was selected as Mayor for 2015
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AGENDA ITEM 3A.4
Action Minutes
December 2, 2014
_______________________________________________________________________________________Page 3 of 4
Mayor Ruiz requested City Clerk Miller conduct the selection of Mayor Pro-Tem.
City Clerk Rick Miller conducted the election of the Mayor Pro-Tem.
Councilmember Andrew Kotyuk nominated Councilmember Scott Miller for the office
of Mayor Pro-Tem.
M/S/C (Bartel/Ruiz) moved to close the nominations. Motion carried 5/0.
Ayes: Bartel, Kotyuk, Ledezma, Miller, Ruiz
Nays: None
Absent: None
Abstain: None
Councilmember Miller was selected as Mayor Pro-Tem for 2015.
Mayor Crystal Ruiz called for a five minute break.
5. PUBLIC COMMENTS:
Public Comments:
· Rudy Mares
· Gloria Avalos
· Damien Avalos
· Jana Joos
· Ray Navarro
· Linda Nunez
· Lori Van Arsdale
· Letter from Carol Griese – read into record by City Clerk Rick Miller
6. PUBLIC HEARING
6.1 First Reading of Ordinance No. 14-13 Adopting Development Agreement
No. 2-14 between the City of San Jacinto and TOWER INVESTMENTS
LLC., a Delaware Limited Liability Company
M/S/C (Miller/Kotyuk) moved to continue Item 6.1 to the next regular scheduled
meeting on December 16, 2014. Motion carried 5/0.
Ayes: Bartel, Kotyuk, Ledezma, Miller, Ruiz
Nays: None
Absent: None
Abstain: None
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AGENDA ITEM 3A.4
Action Minutes
December 2, 2014
_______________________________________________________________________________________Page 4 of 4
7. STAFF REPORTS
7A Lease Agreement with Family Services Association of Western Riverside
County
Assistant City Manager Mike Emberton presented the Staff Report.
Public Comments:
· Tom Donahue
M/S/C (Bartel/Miller) moved to approve Item 7A with negotiations. Motion carried 5/0.
Ayes: Bartel, Kotyuk, Ledezma, Miller, Ruiz
Nays: None
Absent: None
Abstain: None
8. CLOSED SESSION – NO CLOSED SESSION
6.1 CLOSED SESSION - CITY COUNCIL
6.2 CLOSED SESSION - SUCCESSOR AGENCY TO THE REDEVELOPMENT
AGENCY OF THE CITY OF SAN JACINTO
9. ADJOURNMENT
With no further business before the City Council, Mayor Ruiz adjourned the Regular
Meeting of the City Council at 7:49 p.m.
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AGENDA ITEM 3A.4
December 16, 2014
TO: The Honorable Mayor and Members of the City Council
FROM: Mary Lanier, Consultant
Jeff Ballinger, City Attorney
SUBJECT: Workout Agreement with Tower Investments, Inc.; Settlement Agreement
with Tower Investments, Inc.; and Ordinance No. 14-13 Adopting
Development Agreement No. 2-14 between the City of San Jacinto and
Tower Investments LLC
RECOMMENDATION:
Staff recommends that the City Council, by motion:
1) Approve Workout Agreement between the City of San Jacinto and Tower
Investments, Inc.;
2) Approve Settlement Agreement between the City of San Jacinto and Tower
Investments, Inc.; and
3) Introduce by title only and waive full reading for consideration of Ordinance No.
14-13, approving Development Agreement No. 2-14 between the City of San Jacinto
and Tower Investments, LLC.
BACKGROUND/PROJECT DESCRIPTION:
The City of San Jacinto formed Assessment District (AD 87-1) in 1987 for the purpose
of providing funds for infrastructure improvements in the Soboba Improvement Area.
AD 87-1, consisting of nine lots, is located southwesterly of Main Street and Ramona
Expressway, with Seventh Street bordering to the south. Bonds in the amount of
$1,415,000 were issued to pay for improvements including: streets, curb, gutter,
sidewalk, sewer line, and street lights. Those Bonds were secured by assessments
levied by the City on the properties. Improvements to Ramona Expressway Seventh
Street were completed, along with the installation of a new street, Donna Way. The
improvements were completed. However, only one parcel was developed.
The intent of an Assessment District is for property owners to repay the bonds through
an annual levy on the property, until paid in full. The bond debt is not a debt of the City
of San Jacinto, but a debt of the assessment district itself. Property owners stopped
paying the assessments, which resulted in a Bond default. The City then initiated a
judicial foreclosure and obtained a Judgment in Judicial Foreclosure in 1993 and Order
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AGENDA ITEM 4.1
for Sale against the property. Due to the age of the Assessment District, there are
delinquent payments as well as penalties and interest due on the property. Although
the City attempted to execute on its judgment in foreclosure, there were no buyers.
Time has elapsed and the delinquencies now exceed the value of the property. As a
result, it is unlikely that the property could be sold and developed.
The Planning Commission, during their November 6, 2014 meeting adopted Resolution
14-13, recommending that the City Council approve by ordinance Development
Agreement 2-14.
ENVIRONMENTAL ANALYSIS:
Pursuant to the California Environmental Quality Act, the Development Agreement
could not result in a direct or reasonably indirect physical change in the environment
and the project is not subject to CEQA in accordance with Section 15060(c)(2) of the
California Environmental Quality Act.
DISCUSSION:
Pursuant to Section 65864, et. seq., of the California Government Code, the City of San
Jacinto is authorized to enter into development agreements with persons having legal or
equitable interests in real property for the development of such property.
Tower Investments purchased the Bonds and has requested the City enter into a
transaction to ultimately convey the properties to Tower. The City insisted on being
repaid funds that had previously been fronted by the City in order to prevent, or at least
delay, the bonds from becoming delinquent.
Ultimately, Tower brought a lawsuit against the City, alleging that the City was required
to do more than attempt to sell the properties at the tax sale. The City staff and City
Attorney’s office have negotiated the attached Workout Agreement, to enable the City to
convey the properties to Tower, which would allow the properties to ultimately be
developed. The accompanying Settlement Agreement would resolve the pending
lawsuit.
Finally, the development agreement would enable the City to be repaid from funds that
the City paid. The Development Agreement provides the mechanism for repayment, but
does not vest land use regulations, such as zoning and subdivision standards. The
zoning and subdivision standards that will be applicable to the development of the
property will be the zoning and subdivision standards that are in effect at the time of
development. The Development Agreement does lock in the current development
impact fees. The properties to be included in the Development Agreement are known
as Lots 1, 2, 6, 8, and 9, as shown on Exhibit B to the Development Agreement. The
terms are as follows:
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AGENDA ITEM 4.1
· Development Agreement Fee of $291,000 to be allocated equally among Lots 1,
2, 6, 8, and 9, to be paid to the City prior to issuance of each Certificate of
Occupancy.
· Development Fees applicable to the project are included in Exhibit E of the
Agreement and reflect the fees in effect the date of the Agreement.
The benefit of the Development Agreement is facilitate and encourage development of
the property, as well as to re-pay the City for funds that the City paid many years ago.
The Development Agreement will only be effective should the Workout Agreement be
approved.
CONCLUSION:
Development Agreement 2-14 has been prepared in accordance with the rules and
regulations for the review and processing of development agreement requests in the
City. The proposed Development Agreement is consistent with the objectives, policies,
general land uses and programs specified in the City's General Plan. The Development
Agreement will enable the property to be put to beneficial use by removing the financial
barriers that currently exist based on the defaulted Assessments.
The Workout Agreement and the Settlement Agreement have been negotiated with
Tower, pursuant to direction given by City Council previously.
ATTACHMENTS:
Ordinance No. 14-13
Development Agreement No. 2-14
Conditions of Approval
Location Map
Planning Commission Resolution No. 14-13
Workout Agreement
Settlement Agreement
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STATE OF CALIFORNIA) ORDINANCE NO. 14-13
COUNTY OF RIVERSIDE)ss
CITY OF SAN JACINTO )
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SAN JACINTO,
CALIFORNIA APPROVING A DEVELOPMENT AGREEMENT BY AND BETWEEN
THE CITY OF SAN JACINTO AND TOWER INVESTMENTS, LLC
WHEREAS, the San Jacinto Municipal Code, and Resolution No. 2358 (as amended)
of the City Council (“City Council”) of the City of San Jacinto (“City”) provide for the
consideration of development agreements as permitted by Government Code Sections
65864, et. seq.; and
WHEREAS, Tower Investments, LLC (“Tower”) has requested the City's approval of a
statutory development agreement pursuant to the rules and regulations set forth above; and
WHEREAS, the Development Agreement pertains to certain real property (the
“Property”) that is located within Assessment District 87-1 (“AD 87-1”); and
WHEREAS, in connection with the City’s formation of AD 87-1, the City issued Limited
Obligation Improvement Bonds on March 19, 1987, in the original principal amount of
$1,415,000.00 (the “AD 87-1 Bonds”), which bonds are secured by assessments levied by
the City on property located within the boundaries of AD 87-1 (the “Assessments”); and
WHEREAS, one or more Assessment installments levied against the Property
became delinquent and remain delinquent; and
WHEREAS, the City previously paid approximately Two Hundred Ninety One
Thousand Dollars ($291,000) (the “City Payment”) to AD 87-1 in order to attempt to avoid the
Assessments from becoming delinquent; and
WHEREAS, in connection with the recovery of delinquent Assessment installment(s)
levied against the Property, the City initiated a judicial foreclosure action in the Superior
Court of the County of Riverside entitled City of San Jacinto vs. Property Mortgage Co., Inc.,
et al., Case No. RIC 220860 and on December 3, 1993, obtained a Judgment in Judicial
Foreclosure and Order of Sale against the Property (“Judgment”); and
WHEREAS, the City has attempted to execute on the Judgment, by way of a judicial
foreclosure sale, but such sale was unsuccessful, since no buyers were willing to purchase
the Property because of the delinquencies, including penalties and interest; and
WHEREAS, concurrently with the consideration of the Development Agreement,
Tower and the City intend to enter into a settlement agreement and workout/acquisition
agreement (collectively, the “Workout Agreement”), in order to provide for (i) Tower to tender
the Bonds that it owns; (ii) Tower to tender cash to the City in payment of the costs of sale
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and the City costs attributable to the Property; (iii) the City to acquire the Property at a
foreclosure sale by credit bid; (iv) the City to convey the Property to Tower, subject to the
terms of said Workout Agreement; and (v) the parties to resolve the case entitled Tower
Investments, LLC vs. City of San Jacinto, Case No. RIC 1206023; and
WHEREAS, City staff have prepared and Tower has reviewed and has concurred with
the terms and conditions of the development agreement as set forth in Exhibit “A”, and
incorporated herein by this reference (the "Development Agreement"); and
WHEREAS, on December 2, 2014, the City Council conducted a duly noticed public
hearing on the Development Agreement at which time all persons wishing to testify in
connection with the Development Agreement were heard and the Application was fully
examined; and at said public hearing, the City Council found that:
A. The Development Agreement is consistent with the objectives, policies,
general land uses and programs specified in the City’s General Plan.
B. The Development Agreement is compatible with the uses authorized in,
and the regulations prescribed for, the land use district in which the real property is located
because the Development Agreement does not change the allowed use for the area.
C. The Development Agreement is in conformity with public convenience,
general welfare and good land use practice because approval of the Development
Agreement will enable the Property to be put to beneficial and productive use by removing
the financial barriers that currently exist based on the defaulted Assessments.
D. The Development Agreement will be beneficial to the health, safety and
general welfare because it enables the Property to be developed to its highest and best use
and because the Development Agreement provides for the repayment to the City of the City
Payment as the Property is developed; and
WHEREAS, all of the procedures of the California Environmental Quality Act (Cal.
Pub. Resources Code, §§ 21000 et seq.) (“CEQA”) have been met with respect to the
Development Agreement; and
WHEREAS, all other legal prerequisites to the adoption of this Ordinance have
occurred.
THE CITY COUNCIL OF THE CITY OF SAN JACINTO DOES ORDAIN AS
FOLLOWS:
Section 1. Based on the findings contained in this Ordinance, the City Council hereby
adopts the Development Agreement attached hereto as Exhibit "A" and
incorporated by reference herein.
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Section 2. This Ordinance shall take effect 30 days after its final passage.
Notwithstanding the foregoing, the Development Agreement shall not be
effective unless and until both of the following have occurred: (i) the Workout
Agreement is fully signed by both Tower; and (ii) the Workout Agreement is
fully performed by both parties.
Section 3. The City Council hereby finds that adoption of the Development Agreement will
not have a significant effect on the environment because the Development
Agreement is exempt from the California Environmental Quality Act for the
following reasons:
Pursuant to 14 Cal. Code Regs §15060(c)(2), CEQA applies only to projects
that have the potential for causing significant effect on the environment. The
Development Agreement does not have any potential for causing a significant
effect on the environment because it only deals with financial matters related to
the repayment to the City of the City Payment, defined above.
Section 4. The City Clerk shall certify the adoption of this ordinance and cause the same
to be published in the County of Riverside, State of California.
Introduced at a regular meeting of the City Council on the 2nd day of December, 2014
by the following vote:
AYES:
NAYS:
ABSENT:
ABSTAIN:
City of San Jacinto
___________________
Mayor
ATTEST:
______________________
Rick Miller, City Clerk
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AGENDA ITEM 4.1
Exhibit A
24438.10071\9391053.1
EXHIBIT “A”
DEVELOPMENT AGREEMENT
[attached behind this page]
PACKET PAGE: 68
AGENDA ITEM 4.1
24438.10071\9253889.5
Recorded at request of: )
Clerk, City Council )
City of San Jacinto )
)
When recorded return to: )
City of San Jacinto )
595 S. San Jacinto Ave. )
San Jacinto, CA 92583 )
Attention: City Clerk )
)
Exempt from Filing Fees, Government Code Section 6103
DEVELOPMENT AGREEMENT NO. 2-14
A DEVELOPMENT AGREEMENT BETWEEN
CITY OF SAN JACINTO, a California municipal corporation
and
TOWER INVESTMENTS, LLC, a Delaware limited liability company
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DEVELOPMENT AGREEMENT NO. 2-14
This Development Agreement (hereinafter “Agreement”) is entered into, as of this ___
day of ________________, 2014 for reference purposes only, by and among the City of San
Jacinto, a California municipal corporation (hereinafter “CITY”), and Tower Investments, LLC,
a Delaware limited liability company (hereinafter “DEVELOPER”):
RECITALS
WHEREAS, CITY is authorized to enter into binding development agreements with
persons having legal or equitable interests in real property for the development of such property,
pursuant to Section 65864 et seq. of the Government Code; and
WHEREAS, DEVELOPER and CITY have entered into that certain Acquisition
Agreement dated concurrently herewith, whereby the CITY has agreed, subject to the terms and
conditions of such Acquisition Agreement, to pursue foreclosure of and quitclaim to
DEVELOPER certain real property consisting of Lots 1, 2, 6, 8 and 9 of Map 20795 (the
“Property”); and
WHEREAS, DEVELOPER has requested CITY to enter into a development agreement
and proceedings have been taken in accordance with the rules and regulations of CITY; and
WHEREAS, by electing to enter into this Agreement, CITY shall bind future City
Councils of CITY by the obligations specified herein and limit the future exercise of certain
governmental and proprietary powers of CITY in certain defined areas; and
WHEREAS, the terms and conditions of this Agreement have undergone extensive
review by CITY and the City Council and have been found to be fair, just and reasonable; and
WHEREAS, the best interests of the citizens of the CITY and the public health, safety
and welfare will be served by entering into this Agreement; and
WHEREAS, all of the procedures of the California Environmental Quality Act have been
met with respect to the Project and the Agreement in that CITY has determined that the approval
of this Agreement is exempt from further review pursuant to the California Environmental
Quality Act; and
WHEREAS, this Agreement and the Project are consistent with the CITY’s
Comprehensive General Plan; and
WHEREAS, all actions taken and approvals given by CITY have been duly taken or
approved in accordance with all applicable legal requirements for notice, public hearings,
findings, votes, and other procedural matters; and
WHEREAS, development of the Property in accordance with this Agreement will
provide substantial benefits to CITY and will further important policies and goals of CITY; and
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WHEREAS, this Agreement will eliminate uncertainty in planning and provide for the
orderly development of the Property, ensure progressive installation of necessary improvements,
provide for public services appropriate to the development of the Project, and generally serve the
purposes for which development agreements under Sections 65864 et seq of the Government
Code are intended; and
WHEREAS, DEVELOPER has incurred and will in the future incur substantial costs in
order to assure development of the Property in accordance with this Agreement; and
WHEREAS, DEVELOPER has incurred and will in the future incur substantial costs in
excess of the generally applicable requirements in order to assure the legal rights set forth in this
Agreement.
COVENANTS
NOW, THEREFORE, in consideration of the above recitals and of the mutual covenants
hereinafter contained and for other good and valuable consideration, the receipt and sufficiency
of which is hereby acknowledged, the parties agree as follows:
1. DEFINITIONS AND EXHIBITS.
1.1 Definitions. The following terms when used in this Agreement shall be defined as
follows:
1.1.1 “Agreement” means this Development Agreement.
1.1.2 “CITY” means the City of San Jacinto, a municipal corporation, organized and
existing pursuant to the laws of the State of California.
1.1.3 “Development” means the improvement of the Property for the purposes of
completing the structures, improvements and facilities comprising the Project including, but not
limited to: grading; the construction of infrastructure and public facilities related to the Project
whether located within or outside the Property; the construction of buildings and structures; and
the installation of landscaping. “Development” does not include the maintenance, repair,
reconstruction or redevelopment of any building, structure, improvement or facility after the
construction and completion thereof.
1.1.4 “Development Agreement Policies” means those certain development agreement
policies approved by CITY pursuant to Resolution No. 2358, adopted on July 18, 2002, as
amended.
1.1.5 “Development Approvals” means all permits and other entitlements for use
subject to approval or issuance by CITY in connection with development of the Property
including, but not limited to:
(a) specific plans and specific plan amendments;
(b) tentative and final subdivision and parcel maps;
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(c) conditional use permits, public use permits and plot plans;
(d) zoning;
(e) grading and building permits. -
1.1.6 “Development Exaction” means any requirement of CITY in connection with or
pursuant to any Land Use Regulation or Development Approval for the dedication of land, the
construction of improvements or public facilities, or the payment of fees in order to lessen,
offset, mitigate or compensate for the impacts of development on the environment or other
public interests.
1.1.7 “Development Impact Fee” means a monetary exaction other than a tax or special
assessment, whether established for a broad class of projects by legislation of general
applicability or imposed on a specific project on an ad hoc basis, that is charged by a local
agency to the applicant in connection with approval of a development project for the purpose of
defraying all or a portion of the cost of public facilities related to the development project, but
does not include park “in lieu” fees specified in Government Code Section 66477, fees for
processing applications for governmental regulatory actions or approvals, or fees collected under
development agreements adopted pursuant to Article 2.5 of the Government Code (commencing
with Section 65864) of Chapter 4. The term “Development Impact Fee” expressly includes any
impact, public facilities or impact fee as set forth in Section 202 of the Development Agreement
Policies.
1.1.8 “Development Plan” means the Existing Development Approvals and the
Existing Land Use Regulations applicable to development of the Property.
1.1.9 “Effective Date” means the date the ordinance approving this Agreement becomes
effective.
1.1.10 “Existing Development Approvals” means all Development Approvals approved
or issued prior to the Effective Date. Existing Development Approvals includes the Approvals
incorporated herein as Exhibit “C” and all other Approvals which are a matter of public record
on the Effective Date.
1.1.11 “Existing Land Use Regulations” means all Land Use Regulations in effect on the
Effective Date. Existing Land Use Regulations includes the Regulations incorporated herein as
Exhibit “D” and all other Regulations which are a matter of public record on the Effective Date.
1.1.12 “Land Use Regulations” means all ordinances, resolutions, codes, rules,
regulations and official policies of CITY governing the development and use of land, including,
without limitation, the permitted use of land, the density or intensity of use, subdivision
requirements, the maximum height and size of proposed buildings, the provisions for reservation
or dedication of land for public purposes, and the design, improvement and construction
standards and specifications applicable to the development of the property. “Land Use
Regulations” does not include any CITY ordinance, resolution, code, rule, regulation or official
policy, governing:
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(a) the conduct of businesses, professions, and occupations;
(b) taxes and assessments;
(c) the control and abatement of nuisances;
(d) the granting of encroachment permits and the conveyance of rights and
interests which provide for the use of or the entry upon public property;
(e) the exercise of the power of eminent domain.
1.1.13 “DEVELOPER” means the persons and entities listed as DEVELOPER on page 1
of this Agreement and their permitted successors in interest to all or any part of the Property.
1.1.14 “Mortgagee” means a mortgagee of a mortgage, a beneficiary under a deed of
trust or any other security-device lender, and their successors and assigns.
1.1.15 “Project” means the development of the Property contemplated by the
Development Plan as such Plan may be further defined, enhanced or modified pursuant to the
provisions of this Agreement.
1.1.16 “Property” means the real property legally described on Exhibit “A” and shown
on Exhibit “B” to this Agreement.
1.1.17 “Reservations of Authority” means the rights and authority excepted from the
assurances and rights provided to DEVELOPER under this Agreement and reserved to CITY
under Section 3.6 of this Agreement.
1.1.18 “Subsequent Development Approvals” means all Development Approvals
required subsequent to the Effective Date in connection with development of the Property.
1.1.19 “Subsequent Land Use Regulations” means any Land Use Regulations adopted
and effective after the Effective Date of this Agreement.
1.2 Exhibits. The following documents are attached to, and by this reference made a
part of, this Agreement:
Exhibit “A” — Legal Description of the Property.
Exhibit “B” — Map showing Property and its location.
Exhibit “C” — Existing Development Approvals.
Exhibit “D” — Existing Land Use Regulations.
Exhibit “E” — Development Impact Fees.
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2. GENERAL PROVISIONS.
2.1 Binding Effect of Agreement. The Property is hereby made subject to this
Agreement. Development of the Property is hereby authorized and shall be carried out only in
accordance with the terms of this Agreement.
2.2 Interest in Property. DEVELOPER represents and covenants that, as of a result of
the Acquisition Agreement, it possesses a legal or equitable interest in the Property.
2.3 Term. The term of this Agreement shall commence on the Effective Date, and
shall continue for a period of ten (10) years thereafter unless this term is modified or extended
pursuant to the provisions of this Agreement.
2.4 Assignment.
2.4.1 Right to Assign. DEVELOPER shall have the right to sell, transfer or
assign the Property in whole or in part (provided that no such partial transfer shall violate the
Subdivision Map Act, Government Code Section 66410 et seq., to any person, partnership, joint
venture, firm or corporation at any time during the term of this Agreement; provided, however,
that any such sale, transfer or assignment shall include the assignment and assumption of the
rights, duties and obligations arising under or from this Agreement and be made in strict
compliance with the following conditions precedent:
(a) No sale, transfer or assignment of any right or interest under this
Agreement shall be made unless made together with the sale, transfer or assignment of all or a
part of the Property.
(b) Concurrent with any such sale, transfer or assignment, or within fifteen
(15) business days thereafter, DEVELOPER shall notify CITY, in writing, of such sale, transfer
or assignment and shall provide CITY with an executed agreement, in a form reasonably
acceptable to CITY, by the purchaser, transferee or assignee and providing therein that the
purchaser, transferee or assignee expressly and unconditionally assumes all the duties and
obligations of DEVELOPER under this Agreement.
Any sale, transfer or assignment not made in strict compliance with the foregoing
conditions shall constitute a default by DEVELOPER under this Agreement. Notwithstanding
the failure of any purchaser, transferee or assignee to execute the agreement required by
Paragraph (b) of this Subsection 2.4.1, the burdens of this Agreement shall be binding upon such
purchaser, transferee or assignee, but the benefits of this Agreement shall not inure to such
purchaser, transferee or assignee until and unless such agreement is executed.
2.4.2 Release of Transferring Owner. Notwithstanding any sale, transfer or assignment,
a transferring DEVELOPER shall continue to be obligated under this Agreement unless such
transferring DEVELOPER is given a release in writing by CITY, which release shall be provided
by CITY upon the full satisfaction by such transferring DEVELOPER of the following
conditions:
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(a) DEVELOPER no longer has a legal or equitable interest in all or any part
of the Property.
(b) DEVELOPER is not then in default under this Agreement.
(c) DEVELOPER has provided CITY with the notice and executed agreement
required under Paragraph (b) of Subsection 2.4.1 above.
(d) The purchaser, transferee or assignee provides CITY with security
equivalent to any security previously provided by DEVELOPER to secure performance of its
obligations hereunder.
2.4.3 Subsequent Assignment. Any subsequent sale, transfer or assignment after an
initial sale, transfer or assignment shall be made only in accordance with and subject to the terms
and conditions of this Section.
2.4.4 Partial Release of Purchaser, Transferee or Assignee of Industrial or Commercial
Lot. A purchaser, transferee or assignee of a lot, which has been finally subdivided as provided
for in the Development Plan and for which a commercial or industrial plot plan for development
of the lot has been finally approved pursuant to the Development Plan, may submit a request, in
writing, to CITY to release said lot from the obligations under this Agreement relating to all
other portions of the property. Within thirty (30) days of such request, CITY shall review, and if
the above conditions are satisfied shall approve the request for release and notify the purchaser,
transferee or assignee in writing thereof. No such release approved pursuant to this Subsection
2.4.4 shall cause, or otherwise affect, a release of DEVELOPER from its duties and obligations
under this Agreement.
2.4.5 Termination of Agreement With Respect to Individual Lots Upon Sale to Public
and Completion of Construction. The provisions of Subsection 2.4.1 shall not apply to the sale or
lease (for a period longer than one year) of any lot which has been finally subdivided and is
individually (and not in “bulk”) sold or leased to a member of the public or other ultimate user.
Notwithstanding any other provisions of this Agreement, this Agreement shall terminate with
respect to any lot and such lot shall be released and no longer be subject to this Agreement
without the execution or recordation of any further document upon satisfaction of both of the
following conditions:
(a) The lot has been finally subdivided and individually (and not in “bulk”)
sold or leased (for a period longer than one year) to a member of the public or other ultimate
user; and,
(b) A Certificate of occupancy has been issued for a building on the lot, and
the fees set forth under Section 4 of this Agreement have been paid.
2.5 Amendment or Cancellation of Agreement. This Agreement may be amended or
canceled in whole or in part only by written consent of all parties in the manner provided for in
Government Code Section 65868 and Article 5 of the Development Agreement Policies. This
provision shall not limit any remedy of CITY or DEVELOPER as provided by this Agreement.
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2.6 Termination. This Agreement shall be deemed terminated and of no further effect
upon the occurrence of any of the following events:
(a) Expiration of the stated term of this Agreement as set forth in Section 2.3.
(b) Entry of a final judgment setting aside, voiding or annulling the adoption
of the ordinance approving this Agreement.
(c) The adoption of a referendum measure overriding or repealing the
ordinance approving this Agreement.
(d) Completion of the Project in accordance with the terms of this Agreement
including issuance of all required occupancy permits and acceptance by CITY or applicable
public agency of all required dedications.
(e) Termination of this Agreement based on any default of DEVELOPER and
following the termination proceedings required by Articles 7 and 8 of the Development
Agreement Policies.
Termination of this Agreement shall not constitute termination of any other land
use entitlements approved for the Property. Upon the termination of this Agreement, no party
shall have any further right or obligation hereunder except with respect to any obligation to have
been performed prior to such termination or with respect to any default in the performance of the
provisions of this Agreement which has occurred prior to such termination or with respect to any
obligations which are specifically set forth as surviving this Agreement. Upon such termination,
any public facilities and services mitigation fees paid pursuant to Section 4.2 of this Agreement
by DEVELOPER to CITY for residential units on which construction has not yet begun shall be
refunded to DEVELOPER by CITY.
2.7 Notices.
(a) As used in this Agreement, “notice” includes, but is not limited to, the
communication of notice, request, demand, approval, statement, report, acceptance, consent,
waiver, appointment or other communication required or permitted hereunder.
(b) All notices shall be in writing and shall be considered given either: (i) when
delivered in person to the recipient named below; or (ii) on the date of delivery shown on the
return receipt, after deposit in the United States mail in a sealed envelope as either registered or
certified mail with return receipt requested, and postage and postal charges prepaid, and
addressed to the recipient named below; or (iii) on the date of delivery shown in the records of
the telegraph company after transmission by telegraph to the recipient named below. All notices
shall be addressed as follows:
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If to CITY:
City of San Jacinto
595 S. San Jacinto Ave.
San Jacinto, CA 92583
Attn: City Manager
Telephone: (951) 487-7342
Facsimile: (951) 654-3728
If to DEVELOPER:
Tower Investments, LLC
250 West Main St., Suite 101
Woodland CA 95695
Attn: Stephen Marks, Sr.
Telephone: (530) 668-1000
Facsimile: (530) 666-5574
Copy to:
Best, Best & Krieger, LLP
3390 University Avenue, Fifth Floor
Riverside, CA 92502
Attn: San Jacinto City Attorney
Telephone: (951) 686-1450
Facsimile: (951) 686-3083
Copy to:
The Weiss Group, LLP
One BetterWorld Circle, Suite 200
Temecula, CA 92590
Attn: Martin A. Weiss, Esq.
Telephone: (951) 308-2006
Facsimile: (951) 239-3147
(c) Either party may, by notice given at any time, require subsequent notices to be
given to another person or entity, whether a party or an officer or representative of a party, or to
a different address, or both. Notices given before actual receipt of notice of change shall not be
invalidated by the change.
3. DEVELOPMENT OF THE PROPERTY.
3.1 Rights to Develop. Subject to the terms of this Agreement including the
Reservation of Rights, DEVELOPER shall have a right to develop the Property in accordance
with, and only to the extent set forth in, this Agreement. Except as expressly provided otherwise
herein, the Project shall remain subject to all Land Use Regulations and Development Approvals,
whether in effect on the Effective Date or subsequently adopted or amended, that are required to
complete the Project. Except as otherwise provided in this Agreement, and notwithstanding the
authority of the CITY to bind future City Councils regarding Land Use Regulations and/or
Development Approvals pursuant to Government Code section 65866, the permitted uses of the
Property, the density and intensity of use, the maximum height and size of proposed buildings,
and provisions for reservation and dedication of land for public purposes shall be those set forth
in the Land Use Regulations and Development Approvals, whether in effect on the Effective
Date or subsequently adopted or amended.
3.2 Effect of Agreement on Land Use Regulations. Except as otherwise provided
under the express terms of this Agreement, including the Reservation of Rights, the rules,
regulations and official policies governing permitted uses of the Property, the density and
intensity of use of the Property, the maximum height and size of proposed buildings, and the
design, improvement and construction standards and specifications applicable to development of
the Property shall be the Land Use Regulations and Development Approvals, whether in effect
on the Effective Date or subsequently adopted. In connection with any subsequently imposed
Development Approvals, and except as specifically provided otherwise herein, CITY may
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exercise its discretion in accordance with the Land Use Regulations then in effect, as provided by
this Agreement, including, but not limited to, the Reservation of Rights. CITY shall accept for
processing, review and action all applications for subsequent development approvals, and such
applications shall be processed in the same manner and the CITY shall exercise its discretion,
when required or authorized to do so, to the same extent it would otherwise be entitled in the
absence of this Agreement.
3.2 Reservations of Authority.
3.6.1 Limitations, Reservations an Exceptions. Notwithstanding any other
provision of this Agreement, the following regulations shall apply-to the development of the
Property.
(a) Processing fees and charges of every kind and nature imposed by CITY to
cover the estimated actual costs to CITY of processing applications for Development Approvals
or for monitoring compliance with any Development Approvals granted or issued.
(b) Procedural regulations relating to hearing bodies, petitions, applications,
notices, findings, records, hearings, reports, recommendations, appeals and any other matter of
procedure.
(c) Regulations governing construction standards and specifications
including, without limitation, the CITY’s Building Code, Plumbing Code, Mechanical Code,
Electrical Code, Fire Code and Grading Code.
(d) Regulations imposing Development Exactions; provided, however, that
the categories and amounts of Development Impact Fees applicable to the Project during the
Term of this Agreement shall be as set forth in Exhibit E. Such Development Impact Fees shall
be paid to CITY at the time set forth in then-existing City ordinance, resolution or policy.
(e) Regulations that are not in conflict with the Development Plan. Any
regulation, whether adopted by initiative or otherwise, limiting the rate or timing of development
of the Property shall be deemed to conflict with the Development Plan and shall therefore not be
applicable to the development of the Property.
(f) Regulations that are in conflict with the Development Plan provided
DEVELOPER has given written consent to the application of such regulations to development of
the Property.
(g) Regulations that impose, levy, alter or amend fees, charges, or Land Use
Regulations relating to consumers or end users, including, without limitation, trash can
placement, service charges and limitations on vehicle parking.
(h) Regulations of other public agencies, including Development Impact Fees
adopted or imposed by such other public agencies, although collected by CITY.
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(i) Ordinances, resolutions, regulations or policies regarding the permitted
uses of the Property, density and intensity of use, maximum height and size of proposed
buildings, and provisions for reservation and dedication of land for public purposes.
(j) In addition to the above-referenced reserved authority, the CITY may
modify or suspend the provisions of this Agreement if the CITY determines that the failure of the
CITY to do so would place the residents of the Property, or the residents of the CITY, or both, in
a condition dangerous to their health or safety, or both.
3.6.2 Subsequent Development Approvals. This Agreement shall not prevent
CITY, in acting on subsequent development approvals and to the same extent it would otherwise
be authorized to do so absent this Agreement, from applying subsequently adopted or amended
Land Use Regulations.
3.6.3 Modification or Suspension by State or Federal Law. In the event that
State or Federal laws or regulations, enacted after the Effective Date of this Agreement, prevent
or preclude compliance with one or more of the provisions of this Agreement, such provisions of
this Agreement shall be modified or suspended as may be necessary to comply with such State or
Federal laws or regulations, provided, however, that this Agreement shall remain in full force
and effect to the extent it is not inconsistent with such laws or regulations and to the extent such
laws or regulations do not render such remaining provisions impractical to enforce.
3.6.4 Intent. The parties acknowledge and agree that CITY is restricted in its
authority to limit its police power by contract and that the foregoing limitations, reservations and
exceptions are intended to reserve to CITY all of its police power that cannot be so limited. This
Agreement shall be construed, contrary to its stated terms if necessary, to reserve to CITY all
such power and authority which cannot be restricted by contract.
3.7 Public Works. If DEVELOPER is required by this Agreement to construct any
public works facilities which will be dedicated to CITY or any other public agency upon
completion, and if required by applicable laws to do so, DEVELOPER shall perform such work
in the same manner and subject to the same requirements as would be applicable to CITY or
such other public agency should it have undertaken such construction.
3.8 Provision of Real Property Interests by CITY. In any instance where
DEVELOPER is required to construct any public improvement on land not owned by
DEVELOPER, DEVELOPER shall at its sole cost and expense provide or cause to be provided,
the real property interests necessary for the construction of such public improvements. In the
event DEVELOPER is unable, after exercising reasonable efforts, including, but not limited to,
the rights under Sections 1001 and 1002 of the Civil Code, to acquire the real property interests
necessary for the construction of such public improvements, and if so instructed by
DEVELOPER and upon DEVELOPER’S provision of adequate security for costs CITY may
reasonably incur, CITY shall negotiate the purchase of the necessary real property interests to
allow DEVELOPER to construct the public improvements as required by this Agreement and, if
necessary, in accordance with the procedures established by law, use its power of eminent
domain to acquire such required real property interests. DEVELOPER shall pay all costs
associated with such acquisition or condemnation proceedings. This section 3.8 is not intended
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by the parties to impose upon the DEVELOPER an enforceable duty to acquire land or construct
any public improvements on land not owned by DEVELOPER, except to the extent that the
DEVELOPER elects to proceed with the development of the Project, and then only in
accordance with valid conditions imposed by the CITY upon the development of the Project
under the Subdivision Map Act or other legal authority.
3.9 Regulation by Other Public Agencies. It is acknowledged by the parties that other
public agencies not within the control of CITY possess authority to regulate aspects of the
development of the Property separately from or jointly with CITY and this Agreement does not
limit the authority of such other public agencies.
3.10 Utilities. In accordance with Section 201(h) of the CITY’s Development
Agreement Policies, the Project shall be connected to all utilities necessary to provide adequate
water, sewer, gas, electric, and other utility service to the Project. DEVELOPER shall contract
with the CITY for CITY-owned or operated utilities serving the Project.
3.11 Senate Bill 221. To the extent the Project includes one or more tentative maps for
a subdivision as the term “subdivision” is defined in Government Code Section 66473.7(a) and
to the extent the Project, or any part thereof, is not exempt under Government Code Section
66473.7(i), each such tentative map shall comply with the provisions of Government Code
Section 66473.7.
4. PUBLIC BENEFITS.
4.1 Intent. The parties acknowledge and agree that development of the Property will
result in substantial public needs which will not be fully met by the Development Plan and
further acknowledge and agree that this Agreement confers substantial private benefits on
DEVELOPER which should be balanced by commensurate public benefits. Accordingly, the
parties intend to provide consideration to the public to balance the private benefits conferred on
DEVELOPER by providing more fully for the satisfaction of the public needs resulting from the
Project.
4.2 Development Fees.
4.2.1 Development Agreement Fee. In consideration of City’s approval of this
Agreement, DEVELOPER shall pay a “Development Agreement Fee” in the amount of Two
Hundred Ninety One Thousand Dollars ($291,000). Such Development Agreement Fee shall be
allocated equally among Lots 1, 2, 6, 8 and 9 ($58,200 each), so as to most fairly achieve an
equitable allocation of such Development Agreement Fee throughout the Project. Such pro-rated
amounts shall be paid prior to, and as a condition precedent to, the issuance of the first certificate
of occupancy for each Lot.
4.2.2 Development Impact Fees. The categories and amounts of Development
Impact Fees applicable to the Project during the Term of this Agreement shall be as set forth in
Exhibit E. Such Development Impact Fees shall be paid to CITY at the time set forth in then-
existing City ordinance, resolution or policy. CITY’s reserved authority to enact and apply
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Development Exactions in accordance with Section 3.6.1(d) shall not apply to new or increased
Development Impact Fees while this Agreement is in effect.
5. INTENTIONALLY LEFT BLANK
6. REVIEW FOR COMPLIANCE.
6.1 Periodic Review. The Planning Director shall review this Agreement annually, on
or before the anniversary of the Effective Date, in order to ascertain the good faith compliance
by DEVELOPER with the terms or conditions of the Agreement. DEVELOPER shall submit an
Annual Monitoring Report, in a form acceptable to the Planning Director, within 30 days after
written notice from the Planning Director. The Annual Monitoring Report shall be accompanied
by an annual review and administration fee sufficient to defray the estimated costs of review and
administration of the Agreement during the succeeding year. The amount of the annual review
and administration fee may be set and adjusted from time to time by the City Council.
6.2 Special Review. The City Council or Planning Commission may order a special
review of compliance with this Agreement at any time, in one or more of the following ways:
(a) Affirmative vote of at least three members of the Commission; or
(b) Affirmative vote of at least three members of the Council.
The Planning Director shall conduct such special reviews.
6.3 Procedure.
(a) DEVELOPER shall initiate the periodic review proceeding by making
application to the Director in compliance with this Section. Upon receipt of a complete
application, the Director shall begin the review proceeding by giving notice that the CITY
intends to undertake a periodic review of this Agreement to the DEVELOPER, and any person
who has filed a written request for notice with the Director and has paid the required fee for the
notice. The Director shall give the notice at least 15 days in advance of the time when the matter
will be considered by the Commission in compliance with Subsection 17.610.030.D of the
Development Code. During either a periodic review or a special review, DEVELOPER shall be
required to demonstrate good faith compliance with the terms or conditions of this Agreement.
The burden of proof shall be on the DEVELOPER to demonstrate compliance, to the full
satisfaction of, and in a manner prescribed by, the City.
(b) Upon completion of a periodic review or a special review, the Planning
Director shall determine, upon the basis of substantial evidence, whether or not DEVELOPER
has, for the period under review, complied in good faith with the terms and conditions of this
Agreement.
(i) If the Commission finds and determines, on the basis of substantial
evidence, that the DEVELOPER has complied in good faith with the terms and conditions of this
Agreement during the period under review, the review for that period is concluded, and a notice
of that determination shall be sent to the Council and the DEVELOPER. The Council shall
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review the Commission’s action. If the Council so desires, it can schedule a public hearing for
further review.
(ii) If the Commission finds and determines, on the basis of substantial
evidence, that the DEVELOPER has not complied in good faith with the terms and conditions of
this Agreement, the Commission shall forward its recommendation to the Council and the
Council may modify or terminate this Agreement.
(c) If the City Council finds on the basis of substantial evidence that
DEVELOPER has complied in good faith with the terms and conditions of this Agreement, the
review shall be concluded.
(d) If the City Council makes a preliminary finding that DEVELOPER has
not complied in good faith with the terms and conditions of this Agreement, the Council may
modify or terminate this Agreement as provided in Section 6.4 and Section 6.5. Notice of
default as provided under Section 7.4 of this Agreement shall be given to DEVELOPER prior to
or concurrent with, proceedings under Section 6.4 and Section 6.5.
6.4 Proceedings Upon Modification or Termination. If, upon a finding under
Subsection 6.3, above, the CITY determines to proceed with modification or termination of this
Agreement, the CITY shall give notice to the DEVELOPER of its intention to do so. The notice
shall contain all of the following:
(a) The time and place of the hearing, which shall be conducted by the
Council;
(b) A statement as to whether or not the City proposes to terminate or to
modify the development agreement; and
(c) Other information that the City considers necessary to inform the
DEVELOPER of the nature of the proceedings .
6.5 Hearing on Modification or Termination. At the time and place set for the hearing
on modification or termination, DEVELOPER shall be given an opportunity to be heard.
DEVELOPER shall be required to demonstrate good faith compliance with the terms and
conditions of this Agreement. The burden of proof on this issue shall be on DEVELOPER. The
Council may affirm, modify, or reject the determination of the Commission. The Council may
refer the matter back to the Commission for further proceedings or for report and
recommendation. If the City Council finds, based upon substantial evidence, that DEVELOPER
has not complied in good faith with the terms or conditions of the Agreement, the City Council
may terminate this Agreement or modify this Agreement and impose such conditions as are
reasonably necessary to protect the interests of the CITY. The decision of the City Council shall
be final, subject only to judicial review pursuant to Section 1094.5 of the Code of Civil
Procedure.
6.6 Certificate of Agreement Compliance. If, at the conclusion of a Periodic or
Special Review, DEVELOPER is found to be in compliance with this Agreement, CITY shall,
upon request by DEVELOPER, issue a Certificate of Agreement Compliance (“Certificate”) to
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DEVELOPER stating that after the most recent Periodic or Special Review and based
upon the information known or made known to the Planning Director and City Council that (1)
this Agreement remains in effect and (2) DEVELOPER is not in default. The Certificate shall be
in recordable form, shall contain information necessary to communicate constructive record
notice of the finding of compliance, shall state whether the Certificate is issued after a Periodic
or Special Review and shall state the anticipated date of commencement of the next Periodic
Review. DEVELOPER may record the Certificate with the County Recorder.
Whether or not the Certificate is relied upon by assignees or other transferees or
DEVELOPER, CITY shall not be bound by a Certificate if a default existed at the time of the
Periodic or Special Review, but was concealed from or otherwise not known to the Planning
Director or City Council.
7. DEFAULT AND REMEDIES.
7.1 Remedies in General. It is acknowledged by the parties that CITY would not have
entered into this Agreement if it were to be liable in damages under this Agreement, or with
respect to this Agreement or the application thereof.
In general, each of the parties hereto may pursue any remedy at law or equity available
for the breach of any provision of this Agreement, except that CITY shall not be liable in
damages to DEVELOPER, or to any successor in interest of DEVELOPER, or to any other
person, and DEVELOPER covenants not to sue for damages or claim any damages:
(a) For any breach of this Agreement or for any cause of action which arises
out of this Agreement; or
(b) For the taking, impairment or restriction of any right or interest conveyed
or provided under or pursuant to this Agreement; or
(c) Arising out of or connected with any dispute, controversy or issue
regarding the application or interpretation or effect of the provisions of this Agreement.
7.2 Specific Performance. The parties acknowledge that money damages and
remedies at law generally are inadequate and specific performance and other non-monetary relief
are particularly appropriate remedies for the enforcement of this Agreement and should be
available to all parties for the following reasons:
(a) Money damages are unavailable against CITY as provided in Section 7.1
above.
(b) Due to the size, nature and scope of the project, it may not be practical or
possible to restore the Property to its natural condition once implementation of this Agreement
has begun. After such implementation, DEVELOPER may be foreclosed from other choices it
may have had to utilize the Property or portions thereof. DEVELOPER has invested significant
time and resources and performed extensive planning and processing of the Project in agreeing to
the terms of this Agreement and will be investing even more significant time and resources in
implementing the Project in reliance upon the terms of this Agreement, and it is not possible to
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determine the sum of money which would adequately compensate DEVELOPER for such
efforts.
7.3 Release. Except for nondamage remedies, including the remedy of specific
performance and judicial review as provided for in Section 6.5, DEVELOPER, for itself, its
successors and assignees, hereby releases the CITY, its officers, agents and employees from any
and all claims, demands, actions, or suits of any kind or nature arising out of any liability, known
or unknown, present or future, including, but not limited to, any claim or liability, based or
asserted, pursuant to Article I, Section 19 of the California Constitution, the Fifth Amendment of
the United States Constitution, or any other law or ordinance which seeks to impose any other
liability or damage, whatsoever, upon the CITY because it entered into this Agreement or
because of the terms of this Agreement.
7.4 Termination or Modification of Agreement for Default of DEVELOPER. Subject
to the provisions contained in Subsection 6.5 herein, CITY may terminate or modify this
Agreement for any failure of DEVELOPER to perform any material duty or obligation of
DEVELOPER under this Agreement, or to comply in good faith with the terms of this
Agreement (hereinafter referred to as “default”); provided, however, CITY may terminate or
modify this Agreement pursuant to this Section only after providing written notice to
DEVELOPER of default setting forth the nature of the default and the actions, if any, required by
DEVELOPER to cure such default and, where the default can be cured, DEVELOPER has failed
to take such actions and cure such default within 60 days after the effective date of such notice
or, in the event that such default cannot be cured within such 60 day period but can be cured
within a longer time, has failed to commence the actions necessary to cure such default within
such 60 day period and to diligently proceed to complete such actions and cure such default.
7.5 Termination of Agreement for Default of CITY. DEVELOPER may terminate
this Agreement only in the event of a default by CITY in the performance of a material term of
this Agreement and only after providing written notice to CITY of default setting forth the nature
of the default and the actions, if any, required by CITY to cure such default and, where the
default can be cured, CITY has failed to take such actions and cure such default within 60 days
after the effective date of such notice or, in the event that such default cannot be cured within
such 60 day period but can be cured within a longer time, has failed to commence the actions
necessary to cure such default within such 60 day period and to diligently proceed to complete
such actions and cure such default.
8. THIRD PARTY LITIGATION.
8.1 General Plan Litigation. CITY has determined that this Agreement is consistent
with its Comprehensive General Plan, herein called General Plan, and that the General Plan
meets all requirements of law. DEVELOPER has reviewed the General Plan and concurs with
CITY’s determination. CITY shall have no liability in damages under this Agreement for any
failure of CITY to perform under this Agreement or the inability of DEVELOPER to develop the
Property as contemplated by the Development Plan of this Agreement as the result of a judicial
determination that on the Effective Date, or at any time thereafter, the General Plan, or portions
thereof, are invalid or inadequate or not in compliance with law.
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8.2 Third Party Litigation Concerning Agreement. DEVELOPER shall defend, at its
expense, including attorneys’ fees, indemnify, and hold harmless CITY, its agents, officers and
employees from any claim, action or proceeding against CITY, its agents, officers, or employees
to attack, set aside, void, or annul the approval of this Agreement or the approval of any permit
granted pursuant to this Agreement. CITY shall promptly notify DEVELOPER of any such
claim, action or proceeding, and CITY shall cooperate in the defense. If CITY fails to promptly
notify DEVELOPER of any such claim, action or proceeding, or if CITY fails to cooperate in the
defense, DEVELOPER shall not thereafter be responsible to defend, indemnify, or hold harmless
CITY. CITY may in its discretion participate in the defense of any such claim, action or
proceeding.
8.3 Indemnity. In addition to the provisions of 8.2 above, DEVELOPER shall
indemnify and hold CITY, its officers, agents, employees and independent contractors free and
harmless from any liability whatsoever, based or asserted upon any act or omission of
DEVELOPER, its officers, agents, employees, subcontractors and independent contractors, for
property damage, bodily injury, or death (DEVELOPER’s employees included) or any other
element of damage of any kind or nature, relating to or in any way connected with or arising
from the activities contemplated hereunder, including, but not limited to, the study, design,
engineering, construction, completion, failure and conveyance of the public improvements, save
and except claims for damages arising through the sole active negligence or sole willful
misconduct of CITY. DEVELOPER shall defend, at its expense, including attorneys’ fees,
CITY, its officers, agents, employees and independent contractors in any legal action based upon
such alleged acts or omissions. CITY may in its discretion participate in the defense of any such
legal action.
8.4 Environment Assurances. DEVELOPER shall indemnify and hold CITY, its
officers, agents, and employees free and harmless from any liability, based or asserted, upon any
act or omission of DEVELOPER, its officers, agents, employees, subcontractors, successors,
assigns and independent contractors (but not predecessors in interest) for any violation of any
federal, state or local law, ordinance or regulation relating to industrial hygiene or to
environmental conditions on, under or about the Property, including, but not limited to, soil and
groundwater conditions, and DEVELOPER shall defend, at its expense, including attorneys’
fees, CITY, its officers, agents and employees in any action based or asserted upon any such
alleged act or omission. CITY may in its discretion participate in the defense of any such action.
8.5 Reservation of Rights. With respect to Sections 8.2, 8.3 and 8.4 herein, CITY
reserves the right to either (1) approve the attorney(s) which DEVELOPER selects, hires or
otherwise engages to defend CITY hereunder, which approval shall not be unreasonably
withheld, or (2) conduct its own defense, provided, however, that DEVELOPER shall reimburse
CITY forthwith for any and all reasonable expenses incurred for such defense, including
attorneys’ fees, upon billing and accounting therefor.
8.6 Survival. The provisions of this Sections 8.1 through 8.6, inclusive, shall survive
the termination of this Agreement.
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9. MORTGAGEE PROTECTION.
The parties hereto agree that this Agreement shall not prevent or limit DEVELOPER, in
any manner, at DEVELOPER’s sole discretion, from encumbering the Property or any portion
thereof or any improvement thereon by any mortgage, deed of trust or other security device
securing financing with respect to the Property. CITY acknowledges that the lenders providing
such financing may require certain Agreement interpretations and modifications and agrees upon
request, from time to time, to meet with DEVELOPER and representatives of such lenders to
negotiate in good faith any such request for interpretation or modification. CITY will not
unreasonably withhold its consent to any such requested interpretation or modification provided
such interpretation or modification is consistent with the intent and purposes of this Agreement.
Any Mortgagee of the Property shall be entitled to the following rights and privileges:
(a) Neither entering into this Agreement nor a breach of this Agreement shall defeat,
render invalid, diminish or impair the lien of any mortgage on the Property made in good faith
and for value, unless otherwise required by law.
(b) The Mortgagee of any mortgage or deed of trust encumbering the Property, or any
part thereof, which Mortgagee, has submitted a request in writing to the CITY in the manner
specified herein for giving notices, shall be entitled to receive written notification from CITY of
any default by DEVELOPER in the performance of DEVELOPER’s obligations under this
Agreement.
(c) If CITY timely receives a request from a mortgagee requesting a copy of any
notice of default given to DEVELOPER under the terms of this Agreement, CITY shall provide
a copy of that notice to the Mortgagee within ten (10) days of sending the notice of default to
DEVELOPER. The Mortgagee shall have the right, but not the obligation, to cure the default
during the remaining cure period allowed such party under this Agreement.
(d) Any Mortgagee who comes into possession of the Property, or any part thereof,
pursuant to foreclosure of the mortgage or deed of trust, or deed in lieu of such foreclosure, shall
take the Property, or part thereof, subject to the terms of this Agreement. Notwithstanding any
other provision of this Agreement to the contrary, no Mortgagee shall have an obligation or duty
under this Agreement to perform any of DEVELOPER’s obligations or other affirmative
covenants of DEVELOPER hereunder, or to guarantee such performance; provided, however,
that to the extent that any covenant to be performed by DEVELOPER is a condition precedent to
the performance of a covenant by CITY, the performance thereof shall continue to be a condition
precedent to CITY’s performance hereunder, and further provided that any sale, transfer or
assignment by any Mortgagee in possession shall be subject to the provisions of Section 2.4 of
this Agreement.
10. MISCELLANEOUS PROVISIONS.
10.1 Recordation of Agreement. This Agreement and any amendment or cancellation
thereof shall be recorded with the County Recorder by the City Clerk within the period required
by Section 65868.5 of the Government Code.
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10.2 Entire Agreement. This Agreement sets forth and contains the entire
understanding and agreement of the parties, and there are no oral or written representations,
understandings or ancillary covenants, undertakings or agreements which are not contained or
expressly referred to herein. No testimony or evidence of any such representations,
understandings or covenants shall be admissible in any proceeding of any kind or nature to
interpret or determine the terms or conditions of this Agreement.
10.3 Severability. If any term, provision, covenant or condition of this Agreement shall
be determined invalid, void or unenforceable, the remainder of this Agreement shall not be
affected thereby to the extent such remaining provisions are not rendered impractical to perform
taking into consideration the purposes of this Agreement. Notwithstanding the foregoing, the
provision of the Public Benefits set forth in Section 4 of this Agreement, including the payment
of the fees set forth therein, are essential elements of this Agreement and CITY would not have
entered into this Agreement but for such provisions, and therefore in the event such provisions
are determined to be invalid, void or unenforceable, this entire Agreement shall be null and void
and of no force and effect whatsoever.
10.4 Interpretation and Governing Law. This Agreement and any dispute arising
hereunder shall be governed and interpreted in accordance with the laws of the State of
California. This Agreement shall be construed as a whole according to its fair language and
common meaning to achieve the objectives and purposes of the parties hereto, and the rule of
construction to the effect that ambiguities are to be resolved against the drafting party shall not
be employed in interpreting this Agreement, all parties having been represented by counsel in the
negotiation and preparation hereof.
10.5 Section Headings. All section headings and subheadings are inserted for
convenience only and shall not affect any construction or interpretation of this Agreement.
10.6 Singular and Plural. As used herein, the singular of any word includes the plural.
10.7 Joint and Several Obligations. If at any time during the term of this Agreement
the Property is owned, in whole or in part, by more than one DEVELOPER, all obligations of
such DEVELOPERS under this Agreement shall be joint and several, and the default of any such
DEVELOPER shall be the default of all such DEVELOPERS. Notwithstanding the foregoing, no
DEVELOPER of a single lot which has been finally subdivided and sold to such DEVELOPER
as a member of the general public or otherwise as an ultimate user shall have any obligation
under this Agreement except as provided under Section 4 hereof.
10.8 Time of Essence. Time is of the essence in the performance of .the provisions of
this Agreement as to which time is an element.
10.9 Waiver. Failure by a party to insist upon the strict performance of any of the
provisions of this Agreement by the other party, or the failure by a party to exercise its rights
upon the default of the other party, shall not constitute a waiver of such party’s right to insist and
demand strict compliance by the other party with the terms of this Agreement thereafter.
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10.10 No Third Party Beneficiaries. This Agreement is made and entered into for the
sole protection and benefit of the parties and their successors and assigns. No other person shall
have any right of action based upon any provision of this Agreement.
10.11 Force Majeure. Neither party shall be deemed to be in default where failure or
delay in performance of any of its obligations under this Agreement is caused by floods,
earthquakes, other Acts of God, fires, wars, riots or similar hostilities, strikes and other labor
difficulties beyond the party’s control, (including the party’s employment force), government
regulations, court actions (such as restraining orders or injunctions), or other causes beyond the
party’s control. If any such events shall occur, the term of this Agreement and the time for
performance by either party of any of its obligations hereunder may be extended by the written
agreement of the parties for the period of time that such events prevented such performance,
provided that the term of this Agreement shall not be extended under any circumstances for more
than five (5) years.
10.12 Mutual Covenants. The covenants contained herein are mutual covenants and also
constitute conditions to the concurrent or subsequent performance by the party benefited thereby
of the covenants to be performed hereunder by such benefited party.
10.13 Successors in Interest. The burdens of this Agreement shall be binding upon, and
the benefits of this Agreement shall inure to, all successors in interest to the parties to this
Agreement. All provisions of this Agreement shall be enforceable as equitable servitudes and
constitute covenants running with the land. Each covenant to do or refrain from doing some act
hereunder with regard to development of the Property: (a) is for the benefit of and is a burden
upon every portion of the Property; (b) runs with the Property and each portion thereof; and, (c)
is binding upon each party and each successor in interest during ownership of the Property or any
portion thereof.
10.14 Counterparts. This Agreement may be executed by the parties in counterparts,
which counterparts shall be construed together and have the same effect as if all of the parties
had executed the same instrument.
10.15 Jurisdiction and Venue. Any action at law or in equity arising under this
Agreement or brought by a party hereto for the purpose of enforcing, construing or determining
the validity of any provision of this Agreement shall be filed and tried in the Superior Court of
the County of Riverside, State of California, and the parties hereto waive all provisions of law
providing for the filing, removal or change of venue to any other court.
10.16 Project as a Private Undertaking. It is specifically understood and agreed by and
between the parties hereto that the development of the Project is a private development, that
neither party is acting as the agent of the other in any respect hereunder, and that each party is an
independent contracting entity with respect to the terms, covenants and conditions contained in
this Agreement. No partnership, joint venture or other association of any kind is formed by this
Agreement. The only relationship between CITY and DEVELOPER is that of a government
entity regulating the development of private property and the owner of such property.
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10.17 Further Actions and Instruments. Each of the parties shall cooperate with and
provide reasonable assistance to the other to the extent contemplated hereunder in the
performance of all obligations under this Agreement and the satisfaction of the conditions of this
Agreement. Upon the request of either party at any time, the other party shall promptly execute,
with acknowledgment or affidavit if reasonably required, and file or record such required
instruments and writings and take any actions as may be reasonably necessary under the terms of
this Agreement to carry out the intent and to fulfill the provisions of this Agreement or to
evidence or consummate the transactions contemplated by this Agreement.
10.18 Eminent Domain. No provision of this Agreement shall be construed to limit or
restrict the exercise by CITY of its power of eminent domain.
10.19 Agent for Service of Process. In the event DEVELOPER is not a resident of the
State of California or it is an association, partnership or joint venture without a member, partner
or joint venturer resident of the State of California, or it is a foreign corporation, then in any such
event, DEVELOPER shall file with the Planning Director, upon its execution of this Agreement,
a designation of a natural person residing in the State of California, giving his or her name,
residence and business addresses, as its agent for the purpose of service of process in any court
action arising out of or based upon this Agreement, and the delivery to such agent of a copy of
any process in any such action shall constitute valid service upon DEVELOPER. If for any
reason service of such process upon such agent is not feasible, then in such event DEVELOPER
may be personally served with such process out of this County and such service shall constitute
valid service upon DEVELOPER. DEVELOPER is amenable to the process so served, submits
to the jurisdiction of the Court so obtained and waives any and all objections and protests
thereto. DEVELOPER for itself, assigns and successors hereby waives the provisions of the
Hague Convention (Convention on the Service Abroad of Judicial and Extra Judicial Documents
in Civil or Commercial Matters, 20 U.S.T. 361, T.I.A.S. No. 6638).
10.20 Authority to Execute. The person or persons executing this Agreement on behalf
of DEVELOPER warrants and represents that he or she/they have the authority to execute this
Agreement on behalf of his or her/their corporation, partnership or business entity and warrants
and represents that he or she/they has/have the authority to bind DEVELOPER to the
performance of its obligations hereunder.
(SIGNATURES CONTAINED ON FOLLOWING PAGE)
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IN WITNESS WHEREOF, the parties hereto have executed this Development
Agreement 2-14 as of the date first written above.
“CITY”
CITY OF SAN JACINTO, a California
municipal corporation
By: ______________________________
Alonso Ledezma
Mayor
Date: _____________________________
“DEVELOPER”
TOWER INVESTMENTS, LLC, a
Delaware limited liability company
By: ______________________________
Its: ______________________________
Date: _____________________________
ATTEST:
By: ______________________________
Rick Miller
City Clerk
Date: _____________________________
By: ______________________________
Its: ______________________________
Date: _____________________________
APPROVED AS TO FORM:
BEST BEST & KRIEGER LLP
__________________________________
Jeffrey S. Ballinger, City Attorney
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EXHIBIT A
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EXHIBIT A
TO
DEVELOPMENT AGREEMENT NO. 2-14
LEGAL DESCRIPTION OF PROPERTY
All that certain real property in the City of San Jacinto, County of Riverside, State of
California, described as follows:
PARCELS 1, 2, 6, 8 AND 9 OF PARCEL MAP 20795 AS RECORDED IN BOOK 131,
PAGES 60 THROUGH 63, INCLUSIVE, IN THE OFFICIAL RECORDS OF
RIVERSIDE COUNTY, CALIFORNIA.
APNS: 433-160-024, 433-160-027, 433-160-028, 433-160-029, 433-160-032, 433-160-033,
433-160-034 and 433-160-039
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EXHIBIT B
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EXHIBIT B
TO
DEVELOPMENT AGREEMENT NO. 2-14
MAP OF PROPERTY
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AGENDA ITEM 4.1
EXHIBIT C
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EXHIBIT C
TO
DEVELOPMENT AGREEMENT NO. 2-14
EXISTING DEVELOPMENT APPROVALS
None
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AGENDA ITEM 4.1
EXHIBIT D
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EXHIBIT D
TO
DEVELOPMENT AGREEMENT NO. 2-14
EXISTING LAND USE REGULATIONS
City of San Jacinto General Plan, as of the Effective Date
City of San Jacinto General Plan Land Use Map, as of the Effective Date
City of San Jacinto Zoning/Development Code, as of the Effective Date
City of San Jacinto Zoning Map, as of the Effective Date
City of San Jacinto Municipal Code, as of the Effective Date
City of San Jacinto Landscape Design Guidelines, as of the Effective Date
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EXHIBIT E
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EXHIBIT E
TO
DEVELOPMENT AGREEMENT NO. 2-14
DEVELOPMENT IMPACT FEES
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AGENDA ITEM 4.1
Page 1 of 1
COMMUNITY DEVELOPMENT DEPARTMENT
PLANNING DIVISION
CONDITIONS OF APPROVAL
December 2, 2014
Development Agreement No. 2-14
Applicant: Tower Investments, LLC, a Delaware limited liability company
General Conditions
1. The applicant agrees to indemnify, hold harmless, and defend the City, its
officials, officers, agents and employees, from any and all liability, claims,
actions or proceedings that may be brought arising out of its approval of
this permit, and any approvals associated with the project, including,
without limitation, any CEQA review or approval, except to the extent
caused by the negligence of the City.
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LOCATION MAP
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WORKOUT AGREEMENT
This Workout Agreement dated as of December 16, 2014 (“Agreement”), is made and
entered into by and between the City of San Jacinto, a municipal corporation organized and
existing under the laws of the State of California (the “City”) and Tower Investments, Inc. (the
“Buyer”).
RECITALS
A. The City has formed Assessment District No. 87-1 (“AD 87-1”), and, in
connection therewith, issued Limited Obligation Improvement Bonds on March 19, 1987, in the
original principal amount of $1,415,000.00 (the “AD 87-1 Bonds”).
B. The AD 87-1 Bonds are secured by assessments levied by the City on property
located within the boundaries of AD 87-1 (the “Assessments”).
C. One or more installments of Assessments levied against Riverside County
Assessor Parcel Nos. (“APN”) 433-160-024, 433-160-027, 433-160-028, 433-160-029, 433-160-
032, 433-160-033, 433-160-034, and 433-160-039 (“Parcels”) are delinquent. Buyer wishes to
acquire the Parcels.
D. In connection with the recovery of delinquent installments of Assessments levied
against Parcels, the City initiated a judicial foreclosure action in the Superior Court of the
County of Riverside entitled City of San Jacinto vs. Property Mortgage Co., Inc., et al., Case No.
RIC 220860 and on December 3, 1993, obtained a Judgment in Judicial Foreclosure and Order of
Sale against the Parcels (“Judgment”). On October 6, 1994, an Order was entered Nunc Pro
Tunc, to correct a clerical error in the Judgment. On November 23, 2003, and October 24, 2013,
the Judgment was renewed (RIC 408190).
E. Prior to the execution of this Agreement the City will amend the Judgment to
include all delinquent installments, penalties, statutory interest, administrative fees, attorneys’
fees and costs. Following City Council approval and execution of this Agreement, the City will
file a motion with the court seeking an order in the above referenced foreclosure action allowing
the City to foreclose on the Parcels for less than the statutory minimum bid. Notwithstanding
any other provision of this Agreement, if the court denies the motion, this Agreement shall be of
no further force or effect. Pursuant to the Judgment, the Sheriff will be instructed to conduct a
foreclosure sale pursuant to which the Parcels shall be offered for sale (the “Foreclosure Sale”),
which shall be conducted by the appropriate office of the Riverside County Sheriff at a date, time
and place chosen by the Sheriff in accordance with law (the “Sale Date”).
F. The City has adopted a Procedure for Accepting Tender of Bonds in Payment
Following a Foreclosure Sale For Improvement Bonds Issued Pursuant to the Improvement Bond
Act of 1915 (the “Procedure”).
G. The City and Buyer wish to enter into this Agreement with respect to the Parcels
to provide for (i) Buyer to tender Bonds with a Tender Value of not less than the reduced
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minimum price set forth in the Judgment (excluding the Costs of Sale and the City Costs which
must be paid by Buyer in Cash), less any cash deposited pursuant to Section 3(C); (ii) Buyer to
tender Cash in payment of the Costs of Sale and the City Costs attributable to the Parcels; (iii)
the City to acquire the Parcels at the Foreclosure Sale by credit bid in the absence of a competing
qualified cash or credit bid (offered pursuant to the Code of Civil Procedure) by a third party or
termination of this Agreement pursuant to Section 5; and (iv) the City to convey the Parcels to
Buyer or its designee subject to termination of this Agreement pursuant to Section 5.
NOW THEREFORE, IN CONSIDERATION of the above recitals, the covenants and
agreements made herein and other good and valuable consideration, the receipt and sufficiency
of which are hereby acknowledged, the parties agree as follows:
Section 1. Definitions. Unless the context otherwise requires or unless otherwise
defined in the Recitals hereof, the capitalized terms used in this Agreement shall have the
meanings specified in this Section 1. All references herein to “Articles,” “Sections” and other
subdivisions are to the corresponding Articles, Sections or subdivisions of this Agreement and
the words “herein,” “hereof,” “hereunder” and other words of similar import refer to this
Agreement as a whole and not to any particular Article, Section or subdivision hereof.
“Agreement” means this Agreement and all Exhibits attached hereto and incorporated
herein.
“Bond Law” means the Improvement Bond Act of 1915, Division 10 of the California
Streets and Highways Code.
“Bonds” means the AD 87-1 Bonds.
“Business Day” means a day on which the City administrative offices are open for
business.
“Cash” means (i) currency of the United States of America, (ii) cashier’s check(s)
currently dated and payable to the City, drawn and paid through a banking or savings and loan
institution with offices in the State of California, or (iii) an amount credited by wire transfer into
the Escrow.
“City Costs” means the pro rata share of the costs incurred by the City for the
administrative expenses, attorneys’ fees and litigation costs associated with the Foreclosure
Action and set forth in the Judgment and including any additional costs incurred, or anticipated
to be incurred, by the City through the Sale Date and not included in the Judgment.
“City Fee” means for each agreement to tender bonds a minimum of $500 for the first
three (3) parcels and $200 for each parcel thereafter.
“Costs of Sale” means those costs that must be paid in cash by the City to the levying
officer pursuant to Section 8832(c) of the Bond Law and Code of Civil Procedure Section
701.590(b) in the event that City acquires the Parcels by credit bid.
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“Escrow” means an escrow account opened by Buyer with a bank (including any bank
acting as trustee or fiscal agent) or institution satisfactory to the City.
“Tender Value” means with respect to any AD 87-1 Bonds deposited into Escrow
pursuant to this Agreement, an amount equal to the sum of the unpaid principal face amount
thereof together with unpaid interest accrued through the Sale Date. The Tender Value of the
Bond(s) tendered pursuant to this Agreement is set forth in Exhibit “A” attached hereto and
incorporated herein.
“Treasurer” means the Treasurer of the City.
Section 2. Opening of Escrow. For purposes of implementing this Agreement, Buyer
shall open an escrow account with a bank or institution acceptable to the Treasurer no later than
seven (7) Business Days prior to the Sale Date. Buyer shall pay all costs of the Escrow, any title
insurance premiums, all recording fees and any applicable transfer taxes. No interest will be
paid on any amounts deposited into Escrow.
Section 3. Payment to Treasurer; Deposits to Escrow by Buyer
A. No later than seven (7) Business Days prior to the Sale Date, Buyer shall pay to
the Treasurer the non-refundable City Fee in the sum of $1,500.00 in Cash for the cost of
administering the tender of the Bonds pursuant to this Agreement.
B. No later than seven (7) Business Days prior to the Sale Date, Buyer shall deposit
into Escrow the following:
(i) A Bond or Bonds with a Tender Value at least equal to the reduced minimum
price set forth in the Judgment for the Parcels (not including the Costs of Sale and the City Costs
which must be paid by Buyer in Cash), and the Additional Delinquencies, if any, less any cash
deposited pursuant to Section 3(C). The reduced minimum price set forth in the Judgment for
the Parcels (excluding Costs of Sale and City Costs), and the amount of Additional
Delinquencies, are set forth in Exhibit A attached hereto and incorporated herein.
(ii) Cash in an amount of $89,552.00 for payment of City Costs.
(iii) Cash in the amount of $70,312.00 for payment of Costs of Sale.
iv) Signed Escrow instructions substantially in the form attached hereto as Exhibit
“B” and incorporated herein.
C. With respect to the Tender Value of the Bond(s) which must be deposited
pursuant to Section 3(B)(i), Buyer may elect to deposit Cash in lieu of any portion of the Tender
Value due, provided, however, this Agreement will be of no further force and effect if no Bond is
to be applied toward the satisfaction of the Judgment.
D. No later than seven (7) Business Days prior to the Sale Date, Buyer shall deliver
signed instructions to the Treasurer directing the Treasurer how to apply the Tender Value of the
Bond(s) and Cash, if any, deposited into Escrow pursuant to Sections 3(B)(ii) and 3(C), upon the
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release of such Bond(s) and Cash to the City pursuant to Section 7, which instructions shall be
substantially in the form attached hereto as Exhibit “C” and incorporated herein. Provided, all
Cash deposited into Escrow pursuant to Section 3(C), if any, must be applied toward the
satisfaction of the Judgment. Provided further, any excess Tender Value of the Bond deposited
into Escrow pursuant to Section 3(B)(i) must be applied in satisfaction of the Judgment (meaning
that Buyer desires the City to bid an amount for the Parcels at the Foreclosure Sale in excess of
the minimum price set forth in the Judgment).
E. AD 87-1 Bonds may only be tendered in payment of AD 87-1 Assessment
delinquencies, penalties, and interest.
F. If the Tender Value of the Bond(s) deposited into Escrow pursuant to Section
3(B)(i) exceeds the sums required to be deposited pursuant to Section 3(B)(i) after application of
any Cash in accordance with Section 3(D), no refund will be provided to Buyer on account of
any such excess. Any such excess will be applied by the Treasurer in accordance with the
written instructions deposited into Escrow pursuant to Section 3(D) and as set forth in Paragraph
D above.
Section 4. Deposit of Quitclaim Deed by City; Escrow Instructions.
A. Provided that Buyer has made the deposits required by Section 3 hereof and
subject to termination of this Agreement pursuant to Section 5 hereof, the City shall, prior to the
Sale Date, deposit into Escrow a quitclaim deed for each Parcel acquired by the City by credit
bid substantially in the form attached hereto as Exhibit “D” and incorporated herein.
B. Provided the escrow instructions signed by Buyer pursuant to Section 3 hereof are
substantially in the form attached hereto as Exhibit “B”, the Treasurer, or the Treasurer’s
designee, will sign such escrow instructions on behalf of the City.
Section 5. Termination of Agreement.
A. If Buyer fails to comply with any of the provisions of Section 3 within the time
required the Agreement shall be deemed terminated.
B. If a third party purchases any of the Parcels at the Foreclosure Sale by a cash or
credit bid, then this Agreement shall be terminated with respect to that Parcel.
C. If a third party opens an Escrow with respect to any of the Parcels and makes
deposits thereto in compliance with the same procedure set forth herein no later than the close of
business on the seventh day prior to the Sale Date and the amount of the Tender Value of the
Bonds and Cash such third party instructs the Treasurer to apply in satisfaction of the Judgment
is greater than the Tender Value of the Bonds and Cash deposited by Buyer into Escrow pursuant
to Sections 3(B)(i) and 3(C), and which Buyer has instructed the Treasurer to apply in
satisfaction of the Judgment pursuant to the written instructions executed pursuant to Section
3(D) hereof, then this Agreement shall be terminated with respect to that Parcel.
D. If the Foreclosure Sale is stayed by operation of law for more than 60 days, then
this Agreement shall be terminated.
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E. If this Agreement is terminated for the reasons stated in Section 5(A), 5(B), 5(C),
or 5(D), within seven (7) days the Cash and Bond(s) deposited into Escrow pursuant to Section 3
shall be returned to Buyer, and the quitclaim deed deposited into Escrow pursuant to Section 3
shall be returned to the City. Provided, if the Agreement is terminated for the reasons stated in
Section 5(A) or 5(D), an amount equal to the levying officer’s cost of preparing for sale shall be
deducted from Cash deposited into Escrow, and paid to the levying officer.
Section 6. City Credit Bid. Provided that Buyer has made the deposits into Escrow
required by Section 3 and provided further that this Agreement has not been terminated, a
representative of the City shall attend the Foreclosure Sale on the Sale Date and shall credit bid
an amount equal to the amount which Buyer has instructed the Treasurer to apply in partial
satisfaction the Judgment pursuant to the written instructions executed pursuant to Section 3(D)
hereof. In such case, the City shall give the levying officer a written receipt crediting the amount
bid, and shall pay to the levying officer the Costs of Sale in Cash. For purposes of the credit bid,
subject to the levying officer’s authority to determine the method of sale pursuant to Code of
Civil Procedure section 701.570(d), the City shall instruct the levying officer to offer all of the
Parcels described in Exhibit ”A” together, in bulk.
Section 7. Distribution of Bonds and Cash; Closing of Escrow.
A. Provided that the City has purchased the Parcel by credit bid on behalf of Buyer
pursuant to Section 6 hereof, the parties agree that the following transfers shall be made:
(i) The Bonds and Cash, if any, deposited into Escrow by Buyer will be delivered
from Escrow to the Treasurer.
(ii) The quitclaim deed will be delivered from Escrow to Buyer.
(iii) A copy of the deed of sale that is executed by the levying officer with respect
to the Parcels and delivered to the City pursuant to Code of Civil Procedure Section 701.660 will
be promptly delivered to Buyer when available.
B. The Treasurer will cancel the Bond(s) delivered to the Treasurer.
C. The Treasurer will apply the Tender Value of the Bond(s), and Cash, if any,
deposited into Escrow pursuant to Sections 3(B)(i) and 3(C) in accordance with the written
instructions executed pursuant to Section 3(D) hereof.
D. The City will apply the Cash deposited into Escrow pursuant to Section 3(B)(ii) in
payment of the City Costs and Section 3(B)(iii) in payment of the Costs of Sale. Any Cash
remaining in excess of the actual Costs of Sale shall be returned to Buyer. In the event the Cash
deposited into Escrow pursuant to Section 3(B)(iii) is insufficient to pay the Costs of Sale in full,
Buyer shall immediately pay, in Cash, the shortfall to the Treasurer and the City may withhold
delivery of the deed of sale to Buyer until such amounts are paid.
E. The City shall deliver to Buyer a partial satisfaction of judgment, in recordable
form, with respect to the Parcels purchased by the City on behalf of Buyer.
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Section 8. Hold Harmless. Buyer, on behalf of itself and its officers, employees,
shareholders, members, agents, representatives, consultants, parents, subsidiaries, affiliates,
successors, executors, administrators, and assigns, (collectively, the “Releasing Parties”) hereby
fully and irrevocably releases, waives, acquits and discharges the City and its elective or
appointive boards, council members, officers, employees, agents, representatives, successors,
executors, attorneys, administrators, and assigns, jointly and severally (collectively, the
“Released Parties”), of and from any and all claims, rights, grievances, demands and causes of
action of every kind whatsoever for damages, loss, or injury of every kind, nature or description
whether known or unknown, existing or potential, anticipated or unanticipated, or which may
hereafter be sustained, which the Releasing Parties (or any one of them alone) has or asserts, or
may hereafter have or assert, including, without limitation, any liabilities, losses, demands,
claims, and causes of action, by reason of any liability, matter, cause, fact, thing or act or
omission based upon, arising out of, related to, or having any connection with this Agreement.
To this end, the Releasing Parties, jointly and severally, expressly waive and relinquish all rights
and benefits under California Civil Code Section 1542, which states as follows:
A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS
WHICH THE CREDITOR DOES NOT KNOW OR SUSPECT
TO EXIST IN HIS OR HER FAVOR AT THE TIME OF
EXECUTING THE RELEASE, WHICH IF KNOWN BY HIM
OR HER MUST HAVE MATERIALLY AFFECTED HIS OR
HER SETTLEMENT WITH THE DEBTOR.
Section 9. Indemnification. The Releasing Parties further agree, jointly and severally,
to indemnify, protect, defend with counsel acceptable to the Released Parties, and hold harmless
the Released Parties, from any and all claims, demands, damages, debt, liabilities, obligations,
costs, expenses, causes of action, or damages of any nature, including attorneys’ fees, by reason
of any liability, matter, cause, fact, thing or act or omission based upon, arising out of, related to,
or having any connection with this Agreement.
Section 10. Cooperation; Additional. Buyer and City also acknowledge that it may be
necessary to execute documents other than those specifically referred to herein in order to
complete the transactions contemplated by this Agreement. Therefore, each party hereto hereby
agrees to cooperate with each other by executing such other documents or taking such other
action as may be reasonably necessary to complete the transactions contemplated by this
Agreement in accordance with the intent of the parties as evidenced in this Agreement.
Section 11. Amendment. This Agreement may be amended only by a written
instrument executed by the parties hereto or their successors in interest.
Section 12. Waiver. All waivers of this Agreement must be in writing and signed by the
appropriate authorities of the parties hereto.
Section 13. Severability. If any provision of this Agreement shall be held to be invalid,
illegal or unenforceable, the validity, legality or enforceability of the remaining portions hereof
shall not, in any way, be affected or impaired thereby.
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Section 14. Integration. This Agreement constitutes the entire agreement between the
parties hereto pertaining to the subject matter hereof and all prior and contemporaneous
agreements, representations, negotiations and understandings of the parties hereto, oral or
written, are hereby superseded and merged herein.
Section 15. Notices, Demands and Communication. Formal notices, demands and
communications between Buyer and City hereunder shall be sufficiently given if personally
served, delivered by Federal Express or other nationally recognized overnight delivery service or
mailed by registered or certified mail, postage prepaid, return receipt requested, to the principal
offices of Buyer or City, as set forth below. Such written notices, demands and communications
may be sent in the same manner to such other address as a party may from time to time designate
for such party by notice given as provided in this Section. Such notices, etc., shall be deemed
received upon delivery if personally served, three (3) business days after sending by registered or
certified mail, return receipt requested or one (1) business day after sending by Federal Express
or other nationally recognized overnight delivery service.
If to City: City of San Jacinto
595 S. San Jacinto Ave., Suite A East Main Street
San Jacinto, CA 92583
Attn: Tom Prill
With a copy to: Victor L. Wolf, Esq.
Best Best & Krieger LLP
3390 University Avenue, 4th Floor
Riverside, CA 92501-1028
If to Buyer: Tower Investments, Inc.
Steven Marks, Jr.
250 W. Main Street
Woodland, CA 95695
With a copy to: [Tower’s counsel]
Section 16. Interpretation. The rule of construction to the effect that any ambiguities
are to be resolved against the drafting party shall not be employed in the interpretation of this
Agreement or any amendments or exhibits hereto. The Section headings are for purposes of
convenience only, and shall not be construed to limit or extend the meaning of this Agreement.
Section 17. Counterparts. This Agreement may be executed in counterparts, each of
which shall be deemed an original.
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Section 18. County’s Waiver of Tax Delinquencies. The City shall use its best efforts
to obtain from the County of Riverside, prior to the opening of Escrow, an agreement to waive
all or a portion of any delinquent ad valorem taxes assessed against the Parcels pursuant to the
provisions of Revenue & Taxation Code section 4896.3. However, Buyer’s performance under
this Agreement shall not be conditioned upon the County’s agreement to waive such
delinquencies or the actual removal of such delinquencies from the tax rolls.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date
and year first above written.
TOWER INVESTMENTS, INC.
By:
CITY OF SAN JACINTO
By:
ATTEST:
City Clerk
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EXHIBIT A
Parcel No: 433-160-024
Case No.: RIC 408190
Sale Date: TBD
Tender Value of Bonds: Not less than $110,008.16 (less any cash deposited pursuant to Section
3(C))
Cash Deposited pursuant to Section 3(C): TBD
Cash deposited pursuant to Section 3(B)(ii): $11,194.00
Cash deposited pursuant to Section 3(B) (iii): $8,789.00
Total Reduced Minimum Bid: $129,991.16
Parcel No: 433-160-027
Case No.: RIC 408190
Sale Date: TBD
Tender Value of Bonds: Not less than $140,639.60 (less any cash deposited pursuant to Section
3(C))
Cash Deposited pursuant to Section 3(C): TBD
Cash deposited pursuant to Section 3(B)(ii): $11,194.00
Cash deposited pursuant to Section 3(B) (iii): $8,789.00
Total Reduced Minimum Bid: $160,622.60
Parcel No: 433-160-028
Case No.: RIC 408190
Sale Date: TBD
Tender Value of Bonds: Not less than $110,432.46 (less any cash deposited pursuant to Section
3(C))
Cash Deposited pursuant to Section 3(C): TBD
Cash deposited pursuant to Section 3(B)(ii): $11,194.00
Cash deposited pursuant to Section 3(B) (iii): $8,789.00
Total Reduced Minimum Bid: $130,415.46
Parcel No: 433-160-029
Case No.: RIC 408190
Sale Date: TBD
Tender Value of Bonds: Not less than $112,894.28 (less any cash deposited pursuant to Section
3(C))
Cash Deposited pursuant to Section 3(C): TBD
Cash deposited pursuant to Section 3(B)(ii): $11,194.00
Cash deposited pursuant to Section 3(B) (iii): $8,789.00
Total Reduced Minimum Bid: $132,877.28
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Parcel No: 433-160-032
Case No.: RIC 408190
Sale Date: TBD
Tender Value of Bonds: Not less than $141,178.68 (less any cash deposited pursuant to Section
3(C))
Cash Deposited pursuant to Section 3(C): TBD
Cash deposited pursuant to Section 3(B)(ii): $11,194.00
Cash deposited pursuant to Section 3(B) (iii): $8,789.00
Total Reduced Minimum Bid: $161,161.68
Parcel No: 433-160-033
Case No.: RIC 408190
Sale Date: TBD
Tender Value of Bonds: Not less than $320,165.78 (less any cash deposited pursuant to Section
3(C))
Cash Deposited pursuant to Section 3(C): TBD
Cash deposited pursuant to Section 3(B)(ii): $11,194.00
Cash deposited pursuant to Section 3(B) (iii): $8,789.00
Total Reduced Minimum Bid: $340,148.78
Parcel No: 433-160-034
Case No.: RIC 408190
Sale Date: TBD
Tender Value of Bonds: Not less than $112,763.98 (less any cash deposited pursuant to Section
3(C))
Cash Deposited pursuant to Section 3(C): TBD
Cash deposited pursuant to Section 3(B)(ii): $11,194.00
Cash deposited pursuant to Section 3(B) (iii): $8,789.00
Total Reduced Minimum Bid: $132,746.98
Parcel No: 433-160-039
Case No.: RIC 408190
Sale Date: TBD
Tender Value of Bonds: Not less than $447,304.96 (less any cash deposited pursuant to Section
3(C))
Cash Deposited pursuant to Section 3(C): TBD
Cash deposited pursuant to Section 3(B)(ii): $11,194.00
Cash deposited pursuant to Section 3(B) (iii): $8,789.00
Total Reduced Minimum Bid: $467,287.96
Minimum Total Bond Tender: $1,495,387.90 (less the amount of any cash deposited pursuant
to Section 3(C))
Minimum Total Cash Deposit: $159,864.00 (plus the amount of any cash deposited pursuant to
Section 3(C))
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EXHIBIT B
[insert date]
Instructions to Escrow Depository
To:
Reference: Your Escrow No.
(APN )
Escrow Officer:
All capitalized terms used herein shall have the meanings ascribed thereto in the attached
Workout Agreement (the “Agreement”) dated as of _____________, by and between the City of
San Jacinto, a municipal corporation organized and existing under the laws of the State of
California (the “City”) and _______________ (“Buyer”). Pursuant to the Agreement, under
separate cover, you will be receiving the following from Buyer:
(i) ___________ principal amount of _____ Bonds; and
(ii) Cash in the amount of $____________.
In addition, subject to termination of the Agreement and cancellation of this Escrow,
under separate cover, you will be receiving the following from the City:
(i) A quitclaim deed of the City for County of Riverside Assessor’s Parcel No. _______
(“APN _______”).
Upon notification, in writing, by the Treasurer that the Agreement is terminated pursuant
to Section 5 of the Agreement, you are authorized and instructed to promptly return the Cash and
Bonds deposited into Escrow by Buyer to Buyer, subject to Section 5 E, and to promptly return
the quitclaim deed deposited into Escrow by the City to the City.
Upon notification, in writing, by the Treasurer that the City has purchased APN
___________ on behalf of the Buyer, you are authorized and instructed to deliver the Bonds and
Cash deposited by Buyer into Escrow to the City and to deliver the quitclaim deed to Buyer.
Buyer shall be responsible for paying all costs of the escrow, any title insurance
premiums, all recording fees and any applicable transfer taxes.
Please acknowledge your acceptance and agreement to comply with these instructions by
signing the enclosed copy of this letter and returning a copy to me by facsimile and return the
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hard copy original to me by U.S. Mail. Notwithstanding the foregoing, your taking of any of the
actions described in these instructions shall constitute evidence of your agreement to comply
with all of the instructions contained in this letter.
Thank you for your cooperation and assistance in this transaction.
CITY OF SAN JACINTO
By:
Title:
BUYER
By:
Title:
ACCEPTED AND AGREED to this
_____ day of __________________.
By:
Title:
“Escrow Holder”
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EXHIBIT C
[insert date]
City Treasurer
City of San Jacinto
595 S. San Jacinto Ave., Suite A
San Jacinto, CA 92583
Dear City Treasurer:
All capitalized terms used herein shall have the meanings ascribed thereto in the Workout
Agreement (the “Agreement”) dated as of _____________, by and between the City of San
Jacinto, a municipal corporation organized and existing under the laws of the State of California
(the “City”) and ____________________, a _________________ (“Buyer”).
Pursuant to Section 3(B)(i) of the Agreement, Buyer has deposited into Escrow the
following:
A. ____ Bonds with a Tender Value of $___________; and
B. Cash in the amount of $___________.
The Treasurer is hereby directed to apply $_____________ of the Tender Value of the
_____ Bonds in satisfaction of the Judgment.
The Treasurer is hereby directed to apply $__________ of the Tender Value of the _____
Bonds in payment of AD _____ Additional Delinquencies.
The Treasurer is hereby directed to apply $____________ of the Tender Value of the
_____ Bonds as a credit against the next installment or installments of the AD _____ Assessment
due on Assessment Parcel No. ______ to be posted to the tax roll in subsequent fiscal years.
The Treasurer is hereby directed to apply $__________ of the Cash in satisfaction of the
Judgment.
The Treasurer is hereby directed to apply $___________ of the Cash in payment of
AD _____ Additional Delinquencies.
By:
Title:
ACCEPTED AND AGREED to this
_____ day of __________________
City Treasurer
City of San Jacinto
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AGENDA ITEM 4.1
D-1
24438.10071\9406664.4
EXHIBIT D
Recording Requested by
and when recorded return to:
APN:
QUITCLAIM DEED
The undersigned grantor(s) declare(s):
Documentary transfer tax is $0.00. This conveyance is made without consideration.
FOR A VALUABLE CONSIDERATION, receipt of which is hereby acknowledged, the
undersigned, hereby quitclaims, releases and remises to ,
all of the undersigned’s right, title and interest in and to the following described real property:
IN WITNESS WHEREOF, the undersigned has executed this Quitclaim Deed as of the
day and year first above written.
Dated:
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AGENDA ITEM 4.1
24438.10071 \9406664.4
ALL-PURPOSE ACKNOWLEDGMENT
State of California )
) ss.
County of ______________ )
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) on the instrument the person(s), or the entity upon behalf of which the
person(s) acted, executed the instrument.
Witness my hand and official seal.
Notary
CAPACITY CLAIMED
BY SIGNER
[ ] INDIVIDUAL(S)
[ ] OFFICER(S) (TITLE[S]):
[ ] PARTNER(S)
[ ] ATTORNEY-IN-FACT
[ ] TRUSTEE(S)
[ ] CHAIRPERSON/MAYOR
[ ] OTHER
SIGNER IS REPRESENTING:
PACKET PAGE: 119
AGENDA ITEM 4.1
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24438.10071\9459700.1
SETTLEMENT AND MUTUAL RELEASE AGREEMENT
This Settlement and Mutual Release Agreement (“Settlement Agreement”) is entered into
by and between the City of San Jacinto (“City”) and Tower Investments, Inc. (“Tower”). City
and Tower shall be referred to herein individually as “Party” and collectively as the “Parties.”
RECITALS
A. On April 20, 2012, Tower filed a complaint in the Riverside County Superior
Court entitled Tower Investments, LLC vs. City of San Jacinto, Case No. RIC 1206023
(“Action”.) In the action, Tower seeks to hold the City liable for the full amount of principal and
interest claimed due on improvement bonds issued in connection with Assessment District 87-1
(“AD 87-1”) based on the City’s alleged failure to perform statutory and contractual obligations
relating to the recovery of delinquent assessments. Following demurrers by the City, Tower filed
its Second Amended Complaint on September 24, 2012. On December 17, 2012, the City filed
an answer to the Second Amended Complaint denying the allegations and asserting a number of
affirmative defenses. Pursuant to stipulation, Tower filed a Third Amended Complaint on May
5, 2014, and the Parties agreed that the City’s answer to the Second Amended Complaint would
be deemed the City’s answer to the Third Amended Complaint.
B. The Parties now desire to fully and finally settle and resolve any and all rights,
claims, disputes, causes of action and alleged claims which currently exist in favor of the Parties,
including, but not limited to, all claims arising out of the Action. The Parties expressly intend
that this settlement shall further pertain to any claims for attorneys’ fees, witness fees, and/or
other costs or expenses.
NOW, THEREFORE, inconsideration of the terms, conditions and promises set forth
herein, it is agreed as follows:
TERMS AND CONDITIONS
1. Recitals. The Recitals are incorporated into and are a part of this Agreement.
2. Settlement. In consideration of this Settlement Agreement and the promises set
forth herein, the Parties shall enter into an agreement, attached and incorporated hereto as
Exhibit “A” (“Workout Agreement”), providing Tower or its designee with an opportunity to
acquire certain delinquent parcels located within AD 87-1 from the City.
3. Execution of Agreements/Dismissal. Counsel for the City shall deliver to counsel
for Tower an electronic copy of this Settlement Agreement and the Workout Agreement
executed by the City. Within fourteen (14) calendar days after receipt of the executed Settlement
Agreement and Workout Agreement, counsel for Tower shall deliver to counsel for the City an
electronic copy of the Settlement Agreement and Workout Agreement counter-signed by Tower,
PACKET PAGE: 121
AGENDA ITEM 4.1
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along with an electronic copy of a conformed request for dismissal evidencing that the request
for dismissal has been filed with the court dismissing the Action with prejudice and in its
entirety. If Tower fails or refuses to execute both the Settlement Agreement and the Workout
Agreement, this Settlement Agreement shall be rendered void and of no further force or effect.
3. Mutual Releases. Except as otherwise set forth in this Settlement Agreement, and
in consideration of the mutual promises and covenants set forth herein, and the full and timely
performance of all terms and conditions of this Settlement Agreement in the manner prescribed
herein, each Party, on behalf of itself and its respective predecessors in interest, successors in
interest, parents, subsidiaries, affiliates, related entities, members, agents, servants,
administrators, employees, officers, board members, attorneys, and assigns, hereby completely
releases and forever discharges all of the other Parties and their respective predecessors in
interest, successors in interest, parents, subsidiaries, affiliates, related entities, members, agents,
servants, administrators, employees, officers, board members, attorneys, and assigns, who are or
might ever become liable to them, of and from any and all claims, demands, obligations, actions,
liens, rights, damages, costs, losses, attorney’s fees and legal costs, expenses, and compensation
of any nature whatsoever, whether based on a tort, statutory, contract, common-law, or other
theory of recovery which the Parties now have or may hereafter acquire against each other
arising out of or related to the Action.
4. Intent of the Parties. In entering into this Settlement Agreement, it is the intent of
the Parties to resolve all past, present, or future disputes between them arising out of or relating
to the Action, by way of certain payments, releases, and dismissals, which will be made by the
Parties. The Parties believe it is in their mutual interests to reach an amicable resolution by way
of compromise and accord without admission, waiver or further adjudication of any issues of fact
or law. The Parties believe that the settlement reflected by this Settlement Agreement is fair,
reasonable, equitable, and in their respective best interests.
5. Waiver of Civil Code § 1542. The Parties agree that all rights under section 1542
of the California Civil Code are hereby mutually expressly waived with respect to the Action and
the Project. The section reads as follows:
A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS
WHICH THE CREDITOR DOES NOT KNOW OR SUSPECT
TO EXIST IN HIS OR HER FAVOR AT THE TIME OF
EXECUTING THE RELEASE, WHICH IF KNOWN BY HIM
OR HER MUST HAVE MATERIALLY AFFECTED HIS OR
HER SETTLEMENT WITH THE DEBTOR.
All Parties understand and acknowledge that the significance and consequence of this
waiver of California Civil Code Section 1542 is that, even if they have suffered or should
eventually suffer injury arising out of or related to the Action, they will not be able to make any
claim for those injuries. Furthermore, all Parties acknowledge that they consciously intend these
consequences even as to claims for injuries that may exist as of the date of the Settlement
Agreement but which they do not know exist and which, if known, would materially affect their
decision to execute this Settlement Agreement, regardless of whether their lack of knowledge is
the result of ignorance, oversight, error, negligence, or any other cause.
PACKET PAGE: 122
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6. Negotiated Settlement/No Admission of Liability. This Settlement Agreement is
a negotiated settlement of disputed claims and shall be deemed to fall within the protection
afforded compromises and offers to compromise by California Evidence Code section 1152. The
Parties agree and mutually acknowledge that this Settlement Agreement is for settlement
purposes only. The Parties have denied, and continue to deny, any wrongdoing in connection
with the facts alleged in the Action. Neither this Settlement Agreement nor any action taken
pursuant to this Settlement Agreement shall constitute any admission of any wrongdoing, fault,
violation of law, or liability of any kind on the part of the Parties, or any admission by and of the
Parties of any claim or allegations made in any action against such Party. This Settlement
Agreement is entered into, in substantial part, to avoid the fees and expenses attended with
continued litigation of the claims and defenses asserted in the Action.
7. Severability. In the event any of the provisions of this Settlement Agreement are
determined to be illegal, invalid or unenforceable, those provisions shall be severable from the
remainder of the Settlement Agreement, and shall not cause the invalidity or unenforceability of
the balance of this Settlement Agreement.
8. Waiver and Modification of Agreement. The failure of a Party to insist upon
strict observance of, or compliance with, all of the terms of this Settlement Agreement in one or
more instances, shall not be deemed to be a waiver of that Party’s right to insist upon such
observance of compliance with the other terms of this Settlement Agreement. No breach of any
provision hereof can be waived unless it is done in writing and signed by the Party waiving such
breach. Waiver of any one breach shall not be deemed to be a waiver of any other breach of the
same or other provisions hereof. This Settlement Agreement may be amended only by written
agreement executed by the Parties. The Parties shall not be bound by any representation,
warranty, promise, statement or information, unless it is specifically set forth in this Settlement
Agreement.
9. Captions. All paragraph captions are for reference only and shall not be
considered in construing this Settlement Agreement.
10. Recitals. The Recitals set forth in this Settlement Agreement are hereby
incorporated by this reference.
11. No Assignment. The Parties represent and warrant that they have not sold,
assigned or transferred, or purported to sell, assign or transfer, and shall not hereafter sell, assign
or transfer, any obligations, liabilities, demands, claims, costs, expenses, debts, controversies,
damages, rights, actions, or causes of action released pursuant to this Settlement Agreement.
The Parties recognize that this warranty of ownership and non-assignment of claims is additional
consideration for this Settlement Agreement. The Parties also agree to defend, indemnity and
hold one another harmless against any obligation, liability, demand, claim, cost, expense
(including but not limited to attorneys’ fees incurred), debt, controversy, damage, action or cause
of action based on, arising out of or in connection with any such sale, transfer or assignment or
purported sale, transfer or assignment.
12. Succession and Survival. This Settlement Agreement shall be binding upon the
Parties, their agents, representatives, successors, and assignees. Except as otherwise provided in
PACKET PAGE: 123
AGENDA ITEM 4.1
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24438.10071\9459700.1
this Settlement Agreement, all representations, warranties and covenants set forth in this
Agreement shall be deemed continuing and shall survive the execution date of this Settlement
Agreement.
13. Attorneys’ Fees and Costs. Each Party to this Settlement Agreement shall bear its
own attorneys’ fees and costs (including costs of experts or other consultants) incurred or arising
from the Action, including but not limited to the fees and costs incurred in negotiating and
preparing this Settlement Agreement. If either Party institutes any action or proceeding in court
to enforce or interpret any provision(s) hereof, or any action for damages by reason of any
alleged breach of any of the provisions hereof, then the prevailing party in any such action or
proceeding shall be entitled to receive from the losing party such amount as the court may
adjudge to be reasonable attorneys’ fees for the services rendered to the prevailing party,
together with its other reasonable litigation costs and expenses.
14. Authority of Signatories. All individuals signing below on behalf of any entity
hereby warrant and represent that they have full authority to execute this Settlement Agreement
on behalf of the entities for which they have signed.
15. Counterparts. The Parties may execute this Settlement Agreement in counterparts
which shall, in the aggregate, be signed by all the Parties. This Settlement Agreement and the
may be executed in faxed or digital (“pdf”) e-mail counterparts and when so executed by the
Parties, this Settlement Agreement will be binding upon them and each counterpart will
constitute an original document.
16. Governing Law. This Settlement Agreement is entered into and shall in all
respects be interpreted, enforced and governed by and under the laws of the State of California.
Any action or proceeding to enforce or interpret the terms of this Settlement Agreement shall be
brought in Riverside County, California.
17. Entire Agreement. This Settlement Agreement contains the entire understanding
and agreement of the Parties with respect to the subject matter hereof. The Parties have made no
representation, covenant, or undertaking other than those expressly set forth in this Settlement
Agreement. The Parties hereby acknowledge and represent that in releasing, discharging and
settling certain claims and in executing and entering into this Settlement Agreement, no other
Party, nor any agent, attorney or other representative of any Party has made any promise,
representation, warranty, covenant, warning or inducement whatsoever, express or implied,
except as contained in this Settlement Agreement, concerning all or any part of the subject matter
hereof, to induce them to execute this Settlement Agreement. The Parties hereby acknowledge
and represent that they have read and understand this Agreement, and each and every provision
or term of this Settlement Agreement, and have reviewed the same with legal counsel. This
Settlement Agreement cannot be modified except by a written document signed by all of the
Parties. This is a fully integrated agreement.
18. Further Assurances. The Parties agree to take any action or execute any
document as may be reasonably necessary to finalize and perform this Settlement Agreement to
the extent permitted by law.
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AGENDA ITEM 4.1
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24438.10071\9459700.1
19. Construction. The language of this Settlement Agreement shall be construed as a
whole according to its fair meaning, and not strictly for or against any of the Parties. It is
acknowledged that all of the Parties have had an opportunity to consult with their attorneys
concerning the terms and conditions of this Settlement Agreement. This Settlement Agreement
shall be deemed to have been drafted by all of the Parties jointly, and no Party shall urge
otherwise.
20. Effective Date. This Settlement Agreement shall be effective as of the date of its
complete execution by the last signing party.
21. Continuing Jurisdiction of the Court. The Parties stipulate and agree that the
Court shall continue to have jurisdiction over this matter to enforce the terms of this Settlement
Agreement pursuant to Code of Civil Procedure section 664.6.
IN WITNESS WHEREOF, the Parties have executed this Settlement Agreement by
their duly authorized representatives as of the day set forth below.
EACH OF THE UNDERSIGNED HEREBY DECLARES THAT THE TERMS OF
THIS SETTLEMENT AGREEMENT AND GENERAL RELEASE HAVE BEEN
COMPLETELY AND ARE FULLY UNDERSTOOD, AND BY EXECUTION HEREOF
VOLUNTARILY ACCEPTS THE TERMS WITH THE INTENT TO BE LEGALLY BOUND
THEREBY.
TOWER INVESTMENTS, INC.
By: ______________________________
Name:
Title:
Dated: ______________, 2014
CITY OF SAN JACINTO
By: ______________________________
Crystal Ruiz, Mayor
Dated: ______________, 2014
ATTEST APPROVED AS TO FORM:
By: ______________________________ By: ______________________________
Rick Miller, City Clerk Jeffrey S. Ballinger, City Attorney
PACKET PAGE: 125
AGENDA ITEM 4.1
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PACKET PAGE: 126
AGENDA ITEM 4.1
December 16, 2014
TO: The Honorable Mayor and Members of the City Council
FROM: Rick Miller, City Clerk
SUBJECT: Local Appointments List / Agency / Committee / Subcommittee /
Appointments
RECOMMENDATION:
Staff recommends that the City Council, review and approve the local appointments list
for local agency and city subcommittee’s for 2015.
BACKGROUND:
Subcommittee and agency representatives’ appointments are made annually.
Historically, at the second meeting in December the mayoral appointments are made for
1) representatives to other agencies; and 2) city council subcommittees.
DISCUSSION:
In the “City of San Jacinto City Council Orientation Handbook” the Council Committees
are San Jacinto Levees, Economic Development, Historic Preservation, Public Safety,
Groundwater Association, RCTC, RTA, Riverside County/City Selection, Riverside
County Disaster Committee, San Jacinto Disaster, Franchises, WRCOG, Water Issues,
4th of July Parade, Festival of Families, Library Advisory, Landscape LLMD, City
Beautification, Drainage, Homeless, Land Use, Selection, Special Events,
Transportation, Tribal Issues, SCAG and Gateway subcommittee. The Accessibility
Appeals Board and the Cultural Advisory Commission have not been active for several
years.
The subcommittees’ appointments are made annually, unless a vacancy occurs. It is
not unusual for the subcommittees to change on an annual basis, as needs arise.
ALTERNATIVES:
None
PACKET PAGE: 127
AGENDA ITEM 5.1
FISCAL IMPACT:
None.
ATTACHMENTS:
¨ Proposed Local Appointments List for 2015
PACKET PAGE: 128
AGENDA ITEM 5.1
Page 1 of 2
LOCAL APPOINTMENTS LIST 2015
Committee Name Included Titles/Subjects 2014 Assignments (where
Applicable 1st name is
primary and 2nd name is
alternate)
2015 Assignments (where
Applicable 1st name is
primary and 2nd name is
alternate)
City Beautification Neighborhood Cleanup: Code
Enforcement; Operation
Clean Sweep
Bartel, Ruiz Bartel, Ruiz
Community
Outreach
Ledezma, Ruiz Ruiz, Ledezma
Drainage Flood Control; Levee;
Drainage infrastructure &
facilities
Ledezma, Bartel Miller, Bartel
Economic
Development
CDBG, Chamber Liaison Kotyuk, Ruiz Kotyuk, Ruiz
Facility Naming
Committee
Ledezma, Ruiz Ledezma, Ruiz
Franchises CR&R; Cable (Time
Warner); Electric (SCE); Gas
Bartel, Ruiz Bartel, Ruiz
Historic
Preservation
Estudillo Mansion
Committee(s); Library;
Ramona Pageant Committee
Kotyuk, Ledezma Kotyuk, Ledezma
Homeless Blue Ribbon Committee for
Homeless Shelter Location
Ledezma, Ruiz Miller, Ruiz
Land Use Predevelopment Committee;
General Plan, Annexations &
LAFCO
Kotyuk, Ledezma Kotyuk, Ledezma
Public Safety Police; Fire; Riverside
County Disaster Committee;
San Jacinto Disaster
Response Committee
Ledezma, Miller Ruiz, Miller
Selection Interview committee for
Planning Commissioners &
Estudillo Mansion
Committee, etc
Ledezma, Ruiz Ledezma, Ruiz
Special Events 4th of July Parade; Christmas
Tree Lighting; Dedications;
Groundbreakings, Ribbon
Cuttings; Teen Gov’t Day;
Veterans’ Day; etc
Bartel, Ledezma Ruiz, Bartel
Transportation RCTC Kotyuk, Miller Kotyuk, Miller
RTA Kotyuk, Miller Kotyuk, Miller
Tribal Issues Kotyuk, Miller Kotyuk, Miller
Water EMWD Task Force, Ground
Water; City Wells
Bartel, Miller Miller, Bartel
Western Riverside
Council of
Government &
Western Riverside
County Regional
Conservation
Authority (WRCOG
– RCA)
Miller, Kotyuk Miller, Kotyuk
PACKET PAGE: 129
AGENDA ITEM 5.1
Page 2 of 2
The City Council will review the proposed committee assignments provided for 2015 by
Mayor Crystal Ruiz.
Southern California
Association of
Governments
(SCAG)
Bartel, Ledezma Ruiz, Ledezma
Strategic Planning &
Goal Setting
Kotyuk, Ruiz Ruiz, Kotyuk
Finance Budget Kotyuk, Ruiz Ruiz, Kotyuk
Cultural Advisory
Commission
Performing Arts / Cultural
Events
Kotyuk, Ledezma Kotyuk, Ledezma
AD-Hoc Committee
BIA Fee to Trust Miller, Bartel Miller, Bartel
Ad-Hoc Committee Gateway Specific Plan Kotyuk, Ledezma Kotyuk, Ledezma
Ad-Hoc Committee Revenue Enhancement Kotyuk, Miller Kotyuk, Miller
Ad-Hoc Committee Film Ruiz, Miller Ruiz, Miller
PACKET PAGE: 130
AGENDA ITEM 5.1
December 16, 2014
TO: The Honorable Mayor and Members of the City Council
FROM: Jeff Ballinger, City Attorney
SUBJECT: Adoption of Resolution Approving a change to the frequency and location
of Regular Meetings of the City Council
RECOMMENDATION:
Staff recommends that the City Council, by motion, approve and adopt Resolution No. ___
electing to change the City Council’s regular meeting time to 6:30 p.m. of the first Tuesday of
every month and moving the location of the meetings to the San Jacinto Unified School District
Board Room located at 2045 S San Jacinto Ave.
DISCUSSION:
Pursuant to the Brown Act, legislative bodies must establish their regular meeting dates and
times. Recently, the City Council elected, due to budget constraints, to close down the
Community Center. As a result, the City Council should change their meeting location and
frequency of meetings by resolution. The resolution will change the City Council’s regular
meeting time to 6:30 p.m. of the first Tuesday of every month while also moving the meeting
location to the San Jacinto Unified School District Board Room.
FISCAL IMPACT
No funds are involved with the election to change the frequency of the City Council’s regular
meetings, and location.
ATTACHMENTS:
1. Resolution No. ___
PACKET PAGE: 131
AGENDA ITEM 5.2
STATE OF CALIFORNIA ) RESOLUTION NO. ____
COUNTY OF RIVERSIDE)ss
CITY OF SAN JACINTO )
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF SAN JACINTO APPROVING A CHANGE
TO THE FREQUENCY AND LOCATION OF
REGULAR MEETINGS OF THE CITY COUNCIL
WHEREAS, the City of San Jacinto is a municipal corporation duly organized
and existing pursuant to the laws of the State of California; and
WHEREAS, the City Council is authorized under section 2.04.010 of the City’s
municipal code to establish the regular meetings of the City Council by resolution; and
WHEREAS, the City Council wishes to change the frequency and location of the
regular meetings of the City Council.
NOW, THEREFORE, BE IT RESOLVED determined and ordered by the City
Council of the City of San Jacinto:
SECTION 1. Recitals. The Recitals preceding this Resolution are true and
correct and are incorporated into this Resolution.
SECTION 2. Meeting Frequency. In accordance with San Jacinto Municipal
Code section 2.04.010, the City Council hereby elects to change the frequency of the
regular meetings of the City Council to the first Tuesday of every month. Additional
special meetings may be called, as provided by law, as needed. Regular and special
meetings may, from time to time, be adjourned to another date.
SECTION 3. Location of Meetings. Regular meetings of the City Council shall
be held at the San Jacinto Unified School District Board Room, 2045 South San Jacinto
Avenue, San Jacinto, California 92583. Special meetings of the City Council shall be
held at the San Jacinto Unified School District Board Room, 2045 South San Jacinto
Avenue, San Jacinto, California 92583, unless the call of the special meetings indicates
another location. Regular and special meetings may, from time to time, be adjourned
to another location.
SECTION 4. Implementation. The City Council hereby authorizes and directs
the City Manager to take any action and execute any documents necessary to carry out
the purposes of this Resolution.
SECTION 5. Severability. If any provision of this Resolution or the application of
any such provision to any person or circumstance is held invalid, such invalidity shall
not affect other provisions or applications of this Resolution that can be given effect
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AGENDA ITEM 5.2
without the invalid provision or application, and to this end the provisions of this
Resolution are severable. The City Council declares that the City Council would have
adopted this Resolution irrespective of the invalidity of any particular portion of this
Resolution.
SECTION 6. Certification. The City Clerk shall certify to the adoption of this
Resolution.
SECTION 7. Effective Date. This Resolution shall become effective immediately
upon its adoption.
MOVED, PASSED and ADOPTED, at a regular meeting of the City Council on
the 16th day of December, 2014, by the following vote:
Vote:
Ayes:
Nays:
Abstain:
__________________________________
Crystal Ruiz, Mayor
ATTEST:
__________________________
Rick Miller, City Clerk
APPROVED AS TO FORM:
Best, Best, and Krieger, LLP
____________________________
Jeffrey S. Ballinger, City Attorney
PACKET PAGE: 134
AGENDA ITEM 5.2
December 16, 2014
TO: The Honorable Mayor and Members of the City Council
FROM: Tim Hults, City Manager
SUBJECT: Renewal of Police Services Agreement with Riverside County Sheriff’s
Department.
RECOMMENDATION:
Staff recommends that the City Council, by motion, approve the new five year agreement for
police services with the Riverside County Sheriff’s Department.
DISCUSSION:
The Riverside County Sheriff’s Department has been under contract with the city of San Jacinto
for the past ten years. Within the Sheriff’s contract agreement, the Sheriff provides many
services to the city which are incorporated into this agreement. For instance, within the patrol
contract rate and base line rate are services from Sheriff’s Account and Finance, Central
Homicide Unit, Dispatch, Sheriff’s Personnel Unit, Information System Bureau, Technical
Services Bureau, Ben Clark Training Center, Aviation, and the Special Enforcement Bureau
(S.W.A.T.).
As a result of the City’s ongoing financial difficulties, the proposed contract provides a reduction
of 9.9 percent from the previous contract cost. The decrease in services began on December 1
and involves the elimination of one Sergeant, the three Problem Oriented Policing Deputies, the
Gang Task Force Deputy and the conversion of the Narcotics Task Force Deputy to K-9 Officer.
The contract also provides for an increase in the patrol hours from 90 hours per day to 97 hours
per day. Even with the increased patrol hours, the City’s overall law enforcement deployment
has been reduced and the annual decrease in cost is about $900,500.
ALTERNATIVES:
1. By motion approve and authorize the five year contract renewal.
2. Deny and provide staff with further direction.
FISCAL IMPACT:
This five-year contract renewal for police services with the Riverside County Sheriff’s
Department will save the City approximately $490,358.65 for the fiscal year 2014-2015.
PACKET PAGE: 135
AGENDA ITEM 5.3
ATTACHMENTS:
A. – Five year contract renewal for police services with Riverside County Sheriff’s Department.
PACKET PAGE: 136
AGENDA ITEM 5.3
1
AGREEMENT FOR LAW ENFORCEMENT SERVICES
BETWEEN THE CITY OF SAN JACINTO
AND THE COUNTY OF RIVERSIDE
THIS AGREEMENT is made and entered into by and between the CITY OF SAN
JACINTO, a General Law City, hereinafter “City,” and the COUNTY OF RIVERSIDE, a
political subdivision of the State of California, on behalf of the Riverside County Sheriff’s
Department, hereinafter “County.”
IT IS THEREFORE AGREED AS FOLLOWS:
1. TERM
1.1 Effective Dates. This Agreement shall be effective from July 1, 2014 through
June 30, 2019.
1.2 Renewal. In the event City desires to terminate this Agreement at the end of any
current five (5) year period, the City Council, not later than twelve (12) months preceding the
expiration date of the current term of this Agreement, shall notify the Sheriff and the Board of
Supervisors that it wishes to terminate the same; otherwise, this Agreement shall be
automatically renewed for an additional five (5) year period at the level of service then currently
in effect. As a matter of convenience to the parties hereto, and in order to facilitate continuity of
the law enforcement services provided to City, the parties may mutually approve and ratify any
automatic renewal of this Agreement retroactively to the effective date of such automatic
renewal.
1.3 Termination. Notwithstanding the provisions of Paragraphs 1.1 and 1.2 herein,
either party may terminate this Agreement upon notice in writing to the other party of not less
than twelve (12) months prior to the effective termination date.
2. SCOPE OF SERVICE
2.1 Services. The County agrees, through Sheriff thereof, to provide municipal police
protection within the corporate limits of City to the extent and in the manner hereinafter set forth.
It is understood that the Sheriff’s Department shall be the sole provider of general and
specialized law enforcement services within the corporate limits of City. City shall not hire any
other persons or company to provide general and specialized law enforcement services within the
corporate limits of City. However, City is not precluded by any language in this section from
hiring an unarmed code enforcement unit. The Sheriff’s services shall encompass duties and
functions of the type falling under the jurisdiction of and customarily rendered by a police
department of the City under State statutes. Such services shall include the enforcement of State
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AGENDA ITEM 5.3
2
Criminal Codes and all pertinent City criminal codes and ordinances. Services shall also include
traffic enforcement and related services to the extent possible given the size of the force provided
for in this Agreement. County agrees to provide all investigative support necessary to complete
criminal investigations conducted hereunder. However, all investigator overtime will be charged
City at the Board of Supervisors approved hourly overtime rate.
2.2 California Identification System (CAL-ID) and Records Management System.
(RMS) City agrees as a condition of receiving services hereunder to participate in CAL-ID
and RMS under the terms and conditions set forth in this Section and to pay for these services
under separate billings.
2.2A Definitions. For purposes of this agreement the following are some of the more
common definitions which shall apply, but shall not be limited by this reference:
a) Records Management System (RMS) Functions shall mean the software
functions provided to City by County, which are supplied by the RMS. These
functions shall include inquiry and case entry into the RMS, access to the Master
Name Index, Warrant and Master Location Index and Jail Locator databases.
b) The California Law Enforcement Telecommunications System Access
(CLETS) shall mean that access to the Department of Justice computers provided
by County to City.
c) Work Station shall mean those County devices and software, which are used by
City to access RMS functions and the CLETS.
d) LAWNET shall mean the County’s law enforcement telecommunications
network consisting of County provided data circuits, digital service units, routers,
hubs and other County provided hardware and software that is used by City to
connect work stations to RMS services as defined below.
e) County Services shall mean the collective hardware and software, work
LAWNET, stations, RMS functions and CLETS.
2.2B Scope of RMS Services. County agrees to provide to City full access to the RMS
and CLETS systems. CLETS access will be provided within the scope of CLETS access
rules and regulations as established by the California State Department of Justice.
2.2C Provision of RMS Supervision, Labor and Equipment. Supervision over the
provision of County Services, the standards of performance and other matters incident to
the performance of such services, shall remain with County. Security of the host system
and control of LAWNET shall remain with County. The County shall furnish all labor
and equipment for the host system necessary to maintain the level of service rendered
hereunder. In the event City chooses to provide PC-based equipment for services defined
herein, the equipment must be configured in accordance with County specifications.
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Further, City shall not alter the configuration of any PC-based equipment used to provide
services herein without the permission of Sheriff's Information Technology Officer.
2.2D Establishment of RMS Rates and Payment of Costs. Establishment of RMS rates
and payments for provided services shall be as specified in Sections 7.2 and 7.4 of this
Agreement.
3. LEVEL OF SERVICE
3.1 Level of Service Specified. County shall provide all enforcement services at the
level specified in Attachment A, attached hereto and incorporated herein by this reference.
3.2 Variation in Level of Service. Variations in the level of service shall be made by
amendment, as provided for in Section 11 of this Agreement, and under the following terms:
If City requests an increase in the level of service to be provided under this Agreement,
County agrees to provide such increased level of service as soon as is practicable, consistent with
the ability of the Sheriff to hire and train recruits.
If City elects to reduce the level of service provided herein by ten percent (10%) or
greater, City must give notice in writing to County not less than twelve (12) calendar months
prior to the effective date of such reduction. If City elects to reduce the level of service provided
herein by less than ten percent (10%), County agrees to reduce the level of service accordingly as
soon as it is practicable. The level of service, however, may not be reduced to below the
minimum level, as determined by County, required to ensure public and officer safety.
4. CHIEF OF POLICE
The Sheriff will, to the extent practical, coordinate appointment of a Police Chief with
City and consult with City on final selection for the position.
5. PROVISION OF SUPERVISION, LABOR, AND EQUIPMENT
5.1 Supervision. Supervision over the rendition of law enforcement services, the
standards of performance, the discipline of officers, and other matters incident to the
performance of such services and the control of personnel so employed, shall remain with
County. The Sheriff or a designated representative will meet and confer with the City Manager
or a designated representative on questions related to the provision of services.
5.2 Labor and Equipment. For the purpose of performing said services, County shall
furnish and supply all labor, supervision, equipment, communication services, and supplies
necessary to maintain the level of service to be rendered hereunder. Location of the above will
not necessarily be within City limits. Notwithstanding anything herein contained, it is agreed
that in all instances where specific equipment used solely to support specialized enforcement
activities within the City not normally provided by the Sheriff is to be used, or where special
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supplies, stationery, notices, forms, and the like related to law enforcement are to be issued in the
name of City, such equipment and materials shall be supplied by City at its own cost and
expense. Any such special equipment or materials so purchased by City shall meet with the
Sheriff's specifications; shall remain within the City limits, and ownership title thereto shall
remain with City.
However, under no circumstances shall City purchase or otherwise provide general patrol
vehicles for services provided pursuant to this agreement without permission of Sheriff. The
County shall provide all marked general Patrol vehicles to City and shall charge City for their
use on a per mile basis.
5.3 City-Owned Motorcycles and Specialized Support Vehicles. In the event City
chooses to provide motorcycles or specialized support vehicles for use in providing services
hereunder, the motorcycles or specialized support vehicles shall meet minimum specifications
furnished by County, shall be adequately equipped and ready for use, and shall be registered in
the name of City. It is further understood that City is providing motorcycles or specialized
support vehicles to Sheriff expressly for law enforcement services and shall only be operated by
Sheriff’s personnel, or persons authorized by the Sheriff.
City shall bear the cost of maintenance, fuel, licensing, and any and all expenses
associated with use of the motorcycles and specialized support vehicles for the provision of
services hereunder, which is inclusive of responsibility for any and all cost for physical damage
to the City-owned motorcycles or specialized support vehicles. However, County shall be
responsible for the cost of all third party liability caused by the operation of the City-owned
motorcycles or specialized support vehicles, including the property damage caused by the
negligence or wrongful acts of County officers and employees while operating City-owned
motorcycles and specialized support vehicles. Motorcycles and specialized support vehicles
shall be used only for city-approved functions.
5.4 Vehicle Insurance. City shall maintain insurance for any physical damage to the
City-owned vehicles in an amount equal to the replacement value of all vehicles provided to the
County under this agreement. Policy shall, by endorsement, name the County of Riverside, its
Departments, Districts, Agencies and Special Districts, their respective directors, officers, Board
of Supervisors, elected and appointed officials, employees, agents, or representatives as
Additional Insureds. Such insurance may be provided through a program of self-insurance.
General Insurance Provisions - All lines:
a. Any insurance carrier providing insurance coverage hereunder shall be admitted
to the State of California and have an A.M. BEST rating of not less than an A: VIII
(A: 8) unless such requirements are waived, in writing, by the County Risk Manager.
If the County's Risk Manager waives a requirement for a particular insurer such
waiver is only valid for that specific insurer and only for one policy term.
b. The City shall cause their insurance carrier(s) to furnish the County of Riverside
with 1) a properly executed original Certificate(s) of Insurance and certified original
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copies of Endorsements effecting coverage as required herein; or, 2) if requested to
do so orally or in writing by the County Risk Manager, provide original certified
copies of policies including all Endorsements and all attachments thereto, showing
such insurance is in full force and effect. Further, said Certificate(s) and policies of
insurance shall contain the covenant of the insurance carrier(s) that shall provide no
less than thirty (30) days written notice be given to the County of Riverside prior to
any material modification or cancellation of such insurance. In the event of a
material modification or cancellation of coverage, this Agreement shall terminate
forthwith, unless the County of Riverside receives, prior to such effective date,
another properly executed original Certificate of Insurance and original copies of
endorsements or certified original policies, including all endorsements and
attachments thereto evidencing coverages and the insurance required herein are in
full force and effect. Individual(s) authorized by the insurance carrier to do so on its
behalf shall sign the original endorsements for each policy and the Certificate of
Insurance. If County is utilizing City-owned vehicles, operations shall not
commence until the County of Riverside has been furnished original Certificate (s)
of Insurance and certified original copies of endorsements or policies of insurance
including all endorsements and any and all other attachments as required in this
Section.
c. It is understood and agreed by the parties hereto and the City's insurance
company(s), that the Certificate(s) of Insurance and policies shall so covenant and
shall be construed as primary insurance, and the County's insurance and/or
deductibles and/or self-insured retentions or self-insured programs shall not be
construed as contributory.
6. EMPLOYMENT STATUS OF PERSONNEL
6.1 Employment Status. Any persons employed by County for the performance of
services and functions pursuant to this Agreement shall remain employees of County on special
assignment to City for the purposes of this Agreement, and shall not be considered employees of
City. No such County employee shall have any entitlement to compensation, workers’
compensation coverage, pension, or civil service benefits from City.
6.2 Labor Shortage. In the event of a work slow-down, strike, or any other form of
job action by those individuals assigned to City, County agrees to provide only that level of
service which may be available through mutual aid, pursuant to Government Code Section 8615,
et seq. City shall be billed only for the actual hours of service received.
7. COMPENSATION
7.1 Payment Basis. City shall reimburse County the cost of rendering services hereunder
at rates established by the County Board of Supervisors, which rates shall include all items of
cost and expense to the Sheriff for providing the services hereunder. Such cost of services shall
be established by the County Board of Supervisors in the form of hourly rates for Sheriff’s
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Department personnel, vehicle mileage rates, facility use rates, RMS transaction fees and CAL-
ID fees. "Cost" as used herein shall not include items of expense attributable to services normally
provided or available to all territory within the County as part of County's obligation to enforce
State law. In addition to any other fees or costs set forth herein, County may impose on City,
and City shall pay upon receipt of an invoice from County, a criminal justice administrative fee
consistent with Government Code Section 29550 with respect to arrests made by County
employees pursuant to this Agreement just as if such arrests had been made by City employees.
Pursuant to Government Code Section 51350, County shall not charge City for services it would
provide to any city in the County free of charge. These services, which are provided at the
discretion of County, could typically include the services of the Sheriff's Special Investigations
Bureau, Emergency Services Team, Canine Unit and Aviation Unit.
7.2 Establishment of Costs. The rates to be charged City shall be adjusted periodically,
but not more than once each fiscal year, to reflect any changes in the cost to County for
providing services hereunder. City shall be notified of any change in the rates to be charged City
prior to submittal of the proposed change to the County Board of Supervisors for adoption, and
City shall be given the opportunity to review the proposed change with County personnel. City
shall, thereafter, be notified of adoption by County of the rates to be charged City, and said new
rates shall take effect on the same date as County incurs the associated costs. Should City,
subsequent to a rate adjustment, choose not to appropriate or expend any additional monies
needed to support the level of service theretofore supplied, County reserves the right to reduce
the level of service in accordance with the amount City is willing to expend.
7.3 Facility Rate Charges. City shall reimburse County for the costs incurred by the
Sheriff’s Department at County-owned or leased facilities. Costs are prorated according to the
facility’s square footage occupied by a Sheriff’s Department Bureau or Unit.
Calculation of Facility Rates. The total of the facility’s cost components is divided by the
appropriate variable number of positions (number of station funded, sworn department funded or
total Department funded employees depending on the facility in question and the Department
population served). This cost per funded position is then applied to the number of positions
chargeable to the contract city to arrive at each contract city’s share of the facility cost.
The County agrees that Facility Rate Station charges to City will not be increased due to
the Sheriff’s decision to move Contract or unincorporated County Patrol positions from the
Station.
7.4 Payment of Costs. County, through the Sheriff’s Department, shall provide to
City within 30 days of the conclusion of each billing period, an itemized statement of the costs
for services being charged for said billing period. Billing statements for RMS services will be
provided quarterly for services being charged for said quarter. City shall remit payment to the
invoicing department within 30 days after receipt of such statements. If such payment is not
received by the County within thirty (30) days after presentation of billing, County may satisfy
such indebtedness from any funds of the City on deposit with County as provided by law
pursuant to Government Code Section 907.
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7.5 Field Training Costs. Should City elect to add additional Deputy Sheriff positions to
the level of service described herein, there will be an associated field training cost for each
additional position. City will be billed, on a separate invoice, up to a maximum of sixteen (16)
weeks of training on a one-time basis for each additional Deputy position. Said cost will be
charged at the Unsupported Deputy hourly rate as approved by the County Board of Supervisors.
Billing will be provided for field training costs in conjunction with the rate adjustment billing.
Field training costs will not apply to supervisory or classified positions added to the level of
service.
7.6 Miscellaneous Costs. There are a number of other service costs that City shall be
responsible for paying as they are incurred. These costs are not included as the support or
service and materials cost components in the fully supported Deputy hourly rate, nor any other
such rates established by the County Board of Supervisors. These service costs may include, but
are not limited to, charges from vendors for: crime scene clean-up, blood draws, rape exams,
polygraph exams, specialized printing jobs exclusive to City and training for personnel requested
by City for specialized law enforcement.
8. INDEMNIFICATION AND HOLD HARMLESS
8.1 Indemnification by City. City shall indemnify and hold harmless the County, its
Agencies, Districts, Special Districts and Departments, their respective directors, officers, Board
of Supervisors, elected and appointed officials, employees, agents and representatives from any
liability, claim, damage or action whatsoever, based or asserted upon any act or omission of City,
its officers, employees, contractors, agents or representatives arising out of or in any way relating
to this Agreement, including but not limited to property damage, bodily injury, or death. City
shall defend, at its sole cost and expense, including but not limited to attorney fees, cost of
investigation, defense and settlements or awards, the County, its Agencies, Districts, Special
Districts and Departments, their respective directors, officers, Board of Supervisors, elected and
appointed officials, employees, agents and representatives in any such action or claim. With
respect to any action or claim subject to indemnification herein by City, City shall, at its sole
cost, have the right to use counsel of its own choice and shall have the right to adjust, settle, or
compromise any such action or claim without the prior consent of County; provided, however,
that any such adjustment, settlement or compromise in no manner whatsoever limits or
circumscribes City's indemnification of County. City's obligations hereunder shall be satisfied
when City has provided to County the appropriate form of dismissal (or similar document)
relieving the County from any liability for the action or claim involved. Any insurance coverage
shall in no way limit or circumscribe City's obligations to indemnify and hold harmless the
County.
8.2 Indemnification by County. County shall indemnify and hold harmless the City, its
Agencies, Districts, Special Districts and Departments, their respective directors, officers,
elected and appointed officials, employees, agents and representatives from any liability, claim,
damage or action whatsoever, based or asserted upon any act or omission of County, its officers,
employees, contractors, agents or representatives arising out of or in any way relating to this
Agreement, including but not limited to property damage, bodily injury, or death. County shall
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AGENDA ITEM 5.3
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defend, at its sole cost and expense, including but not limited to attorney fees, cost of
investigation, defense and settlements or awards, the City, its Agencies, Districts, Special
Districts and Departments, their respective directors, officers, elected and appointed officials,
employees, agents and representatives in any such action or claim. With respect to any action or
claim subject to indemnification herein by County, County shall, at its sole cost, have the right to
use counsel of its own choice and shall have the right to adjust, settle, or compromise any such
action or claim without the prior consent of City; provided, however, that any such adjustment,
settlement or compromise in no manner whatsoever limits or circumscribes County's
indemnification of City. County's obligations hereunder shall be satisfied when County has
provided to City the appropriate form of dismissal (or similar document) relieving the City from
any liability for the action or claim involved. Any insurance coverage shall in no way limit or
circumscribe County's obligations to indemnify and hold harmless the City.
9. ADMINISTRATION
The City Manager of City shall administer this Agreement on behalf of City, and the
Sheriff shall administer this Agreement on behalf of County.
10. RECORDS
County shall maintain adequate records to discharge its responsibilities under this
Agreement, and shall permit inspection of County’s appropriate records that relate to City
services under this Agreement, as allowed by law. County shall provide City access to
appropriate records pertaining to City services for approval, funding or auditing services, upon
reasonable notice. County shall maintain such records for periods of time as provided by law or
records retention schedules duly adopted by the appropriate legislative body. Covenants under
this Section shall survive the termination of this Agreement.
11. ALTERATION OF TERMS
No addition to, or alteration of, the terms of this Agreement, whether by written or verbal
understanding of the parties, their officers, agents, or employees, shall be valid unless made in
the form of a written amendment to this Agreement which is formally approved and executed by
both parties. No waiver of any term or condition of this Agreement by either party shall be a
continuing waiver thereof.
12. NOTICES
Any notices required or desired to be served by either party upon the other shall be
addressed to the respective parties as set forth below:
County City
Stanley L. Sniff Jr., Sheriff City of San Jacinto
Riverside County Sheriff’s Department 595 S. San Jacinto Avenue, Building A
Post Office Box 512 San Jacinto, CA 92583
Riverside, California 92502 Attn: City Manager
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or to such other addresses as from time to time may be designated by the respective parties. An
information copy of any notice to County shall also be sent to:
Clerk of the Board of Supervisors
County of Riverside
4080 Lemon Street, 1st Floor
Riverside, California 92501
Notice shall be deemed given when in writing and delivered personally or mailed with
confirming delivery receipt addressed as set out above.
13. SEVERABILITY
If any provision of this Agreement is held by a court of competent jurisdiction to be
invalid, void, or unenforceable, the remaining provisions shall continue in full force and effect.
14. STANDARD OF CARE
In performing the police services required by this Agreement, County agrees to use that
degree of care and skill ordinarily exercised under similar circumstances by law enforcement
officers in performance of the duties required by this Agreement. All Sheriff’s personnel who
provide general and specialized law enforcement services to City pursuant to this Agreement
shall have met the minimum qualifications designated for their specific classification, including a
background investigation.
15. JURISDICTION AND VENUE
This Agreement shall be construed under the laws of the State of California. In the event
any action or proceeding is filed to interpret, enforce, challenge, or invalidate any term of this
Agreement, venue shall lie only in the state or federal courts in or nearest to Riverside County.
16. ENTIRE AGREEMENT
This Agreement is intended by the parties hereto as a final expression of their
understanding with respect to the subject matter hereof and as a complete and exclusive
statement of the terms and conditions thereof and supersedes any and all prior and
contemporaneous agreements and understandings, oral or written, in connection therewith.
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AGENDA ITEM 5.3
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IN WITNESS WHEREOF, the City of SAN JACINTO, by minute order or resolution
duly adopted by its City Council, has caused this Agreement to be signed by its Mayor and
attested and sealed by its Clerk, and the County of Riverside, by order of its Board of
Supervisors, has caused this Agreement to be subscribed by the Chair of said Board and sealed
and attested by the Clerk of said Board, all on the dates indicated below.
CITY OF SAN JACINTO
Dated:_________________ By:________________________
Crystal Ruiz, Mayor
ATTEST:
Name:
Title:
By:___________________
COUNTY OF RIVERSIDE
Dated:_________________ By:_________________________
Marion Ashley, Chair
Riverside County Board of Supervisors
ATTEST:
Kecia Harper-Ihem
Clerk of the Board
By:____________________
Deputy
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AGENDA ITEM 5.3
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ATTACHMENT A
CITY OF SAN JACINTO
LEVEL OF SERVICE
Average Patrol Services
97 hours per day. (Equivalent of 19.9 Deputy Sheriff positions @ 1780 annual productive
hours per position.)
Dedicated Positions
One (1) Sheriff’s Sergeant position
Three (3) Deputy Sheriff (fully supported) positions – Motorcycle Officers
One (1) Deputy Sheriff (fully supported) position – K-9 Officer
One (1) Deputy Sheriff (fully supported) position – Traffic Enforcement Officer
Two (2) Deputy Sheriff (unsupported) positions – School Resource Officers
.50 of a Crime Analyst position
Four (4) Community Service Officer II positions
One (1) Supervising Office Assistant II position
One (1) Office Assistant III position
One (1) Office Assistant II position
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AGENDA ITEM 5.3
December 16, 2014
TO: The Honorable Mayor and Members of the City Council
FROM: Sharon Paisley, Development Director
SUBJECT: Acceptance of Department of Transportation Active Transportation
Program Grant Funds
RECOMMENDATION:
Staff Recommends that the City Council by motion:
1) Accept the Department of Transportation Active Transportation Program grant
funds in the amount of $989,000.00; and
2) Direct the City Manager and/or Development Director to execute documentation
required to implement the Safe & Active San Jacinto-Safe Routes to School
project.
DISCUSSION:
The Active Transportation Program (ATP) was created in 2013 by Senate Bill 99 and
Assembly Bill 101 to promote the increased use of active modes of transportation, such
as biking and walking. The ATP consolidates funding from the federal Transportation
Alternatives Program, TAP, and the federal Safe Routes to School (SRTS) program, the
state Safe Routes to School (SR2S) program, and the state Bicycle Transportation
Account (BTA).
The goals of the Active Transportation Program are to:
● Increase the proportion of biking and walking trips.
● Increase safety for motorized users.
● Increase mobility for non-motorized users.
● Advance the efforts of regional agencies to achieve greenhouse gas
reduction goals.
● Enhance public health, including the reduction of childhood obesity through the
use of projects eligible for Safe Routes to School Program funding.
● Ensure disadvantaged communities fully share in program benefits.
● Provide a broad spectrum of projects to benefit many types of active
transportation users.
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AGENDA ITEM 5.4
Examples of projects considered generally eligible for Active Transportation Program
funding:
● Development of new bikeways and walkways that improve mobility,
access, or safety for non-motorized users.
● Installation of traffic control devices to improve the safety of pedestrians and
bicyclists.
● Safe Routes to School projects that improve the safety of children walking and
bicycling to school.
● Safe routes to transit projects, which will encourage transit by improving biking
and walking to mass transportation facilities and school bus stops.
● Development of bike pedestrian, safe routes to schools, or active
transportation plans in a disadvantaged community.
A Safe-Routes to School Workshop was held at North Mountain Middle School on
Tuesday, April 29, 2014 to solicit community input. There were 62 participants, with 9 of
12 schools represented. Parents and school administrators suggested a variety of
infrastructure improvements.
Projects must include at least 11.47% in matching funds except for projects
predominantly benefitting a disadvantaged community, stand-alone non-infrastructure
projects and safe routes to school projects. Because San Jacinto is considered a
disadvantaged community, no matching funds were required.
On May 21, an application was submitted to the California Department of
Transportation. On August 8, 2014, the California Transportation Commission allocated
$115.2 million to 68 projects within the five-county boundary of the Southern California
Association of Governments, encompassing Imperial, Los Angeles, Orange, San
Bernardino Counties as well as 191 cities covering 38,000 square miles.
San Jacinto was awarded $989,000 dollars to implement the Safe & Active San Jacinto
project, which is a comprehensive, strategic approach addressing pedestrian and
bicycle safety, as well as infrastructure improvements including the installation of 33,275
square feet of new sidewalk, curb and gutter, 52,800 feet of bike trails, restoration of
5,215 square feet of deteriorated sidewalk at over 200 locations, and installation of ADA
ramps. Non-infrastructure activities will include the development of Safe Routes to
School Plan for each school in the San Jacinto Unified School District. Capacity
building efforts will also be realized through the formation of a Safe & Active Coalition.
The goal of the coalition is to educate and facilitate community mobilization efforts to
promote and support short and long range active transportation planning efforts.
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AGENDA ITEM 5.4
FISCAL IMPACT:
The acceptance of the Active Transportation Program funds will increase the funds
available and permit the transfer of the funds to the appropriate receiving accounts.
ALTERNATIVES:
1) Accept the State of California Department of Transportation/California
Transportation Commission Active Transportation Program funds.
2) Do not accept the Active Transportation grant funds and return the funds to the State
of California Department of Transportation/California Transportation Commission for
re-distribution.
ATTACHMENTS:
● None
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AGENDA ITEM 5.4
December 16, 2014
TO: The Honorable Mayor and Members of the City Council
FROM: Sharon Paisley, Development Director
SUBJECT: Acceptance of State of California Department of Conservation / Strategic
Growth Council Sustainable Communities Planning Grant and Incentives
Program (Downtown Specific Plan)
RECOMMENDATION:
Staff Recommends that the City Council by motion:
1) Accept the Department of Conservation / Strategic Growth Council Sustainable
Communities Planning Grant and Incentives Program funds in the amount of
$491,000; and
2) Allocate matching funds in the amount of $188,833 (non-General Fund); and
3) Direct the City Manager and/or Development Director to execute documentation
required to implement the City of San Jacinto Downtown Specific Plan project.
DISCUSSION:
The State of California Department of Conservation, on behalf of the Strategic Growth
Council (SGC), solicited proposals under the Sustainable Communities Planning Grant
and Incentive Program. The Sustainable Communities Planning Grant is funded by
Proposition 84, the Safe Drinking Water, Water Quality and Supply, Flood Control, River
and Coastal Protection Bond Act of 2006.
The intent of Proposition 84 is to foster the development of sustainable communities
throughout California. It is designed to help local governments meet the challenges of
adopting land use plans and integrating strategies in order to transform communities
and create long term prosperity.
The primary goal of this grant program is to develop and implement plans which
significantly reduce greenhouse gas emissions consistent with AB32 and SB375, and
achieve the following program objectives: Improve air and water quality, promote public
health, promote equity, increase housing affordability, increase infill and compact
development, revitalize urban and community centers, protect natural resources and
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AGENDA ITEM 5.5
agriculture lands, reduce automobile usage and fuel consumption, improve
infrastructure systems, promote water conservation, promote energy efficiency and
conservation and strengthen the economy.
The grant program complements the Downtown/Historic Specific Plan which was
included in the Fiscal Year Budget 2013-14 Capital Improvement Budget (Project 14-
008).
On October 15, 2013, the City Council authorized staff to apply for an SGC Sustainable
Planning Grant and Incentives Program grant in order to develop a comprehensive
Specific Plan for the City’s Downtown that would revitalize the project area with
businesses and amenities to serve the residents and patrons. Through a Specific Plan
process, the City of San Jacinto can create a guide to transform the area into a thriving,
sustainable business district and neighborhood. Planning will include the reintroduction
of the train station to serve as a transit center connecting both rail and bus services.
At the time the Council authorized staff to submit the application, the maximum amount
that could be applied for was $500,000. The grant required a 10% local match, with at
least a 5% cash match, and the balance was to be borne by the City. Environmental
studies, estimated at $200,000 for the Downtown Specific Plan, would be borne by the
City. It was anticipated that said costs, along with the cash match, were to be borne by
the General Fund, for a total of $250,000.
Prior to submittal of the application, staff was informed that the grant rules had been
modified such that the cost of the environmental studies would be covered by the SGC
grant. The grant application was therefore modified to reflect a match of $188,833 in
cash and in-kind services.
Out of the $40.2 million available through Proposition 84, $16 million was allocated
through the Sustainable Communities Planning Grant and Incentives Program.
Moreover, out of 88 applications submitted, 33 proposals received awards through this
program.
On June 6, 2014, the Strategic Growth Council notified the City that the project was
selected and grant funds in the amount of $491,000 had been awarded for the
Downtown Specific Plan project. It should be noted that San Jacinto was the only City
in Riverside County to receive an allocation from this pool of funds.
Because General Fund dollars were anticipated to provide the matching funds, Capital
Improvement Project 14-008 was removed from the budget and arbitrarily fell through
the cracks while addressing cuts to the overall budget. However, since the project will
include historic and transit-related components, staff recommends matching funds be
provided instead by the Community Amenities and Carpool Mitigation funds.
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AGENDA ITEM 5.5
FISCAL IMPACT:
The acceptance of the $491,000 of Strategic Growth Council funds will increase the
funds available and permit the transfer of the funds to the appropriate receiving
accounts.
Matching funds will be provided in the amount of $168,833 from the DIF: Community
Amenities Fund and $20,000 from the Carpool Mitigation Fund.
ALTERNATIVES:
1) Accept the State of California Department of Conservation / Strategic Growth
Council funds.
2) Do not accept the grant funds and return the funds to the State of California
Department of Conservation / Strategic Growth Council for re-distribution.
ATTACHMENTS:
● None
PACKET PAGE: 155
AGENDA ITEM 5.5
December 16, 2014
TO: The Honorable Mayor and Members of the City Council
FROM: Thomas Prill, Finance Director
SUBJECT: Adoption of Fiscal Year 2014-15 Budget
RECOMMENDATION:
Staff recommends that the City Council, by motion, adopt Resolution No. _____
adopting Fiscal Year Budget 2014-15 for the General Fund and all other funds, except
the Successor Agency, which is adopted by separate action.
BACKGROUND:
For each fiscal year, which begins on July 1, the City Manager and staff prepare a
proposed budget for the operations and improvements of the city for the City Council’s
review, deliberation and adoption. The budget is adopted by resolution, which provides
for appropriations and expenditures to operate the city government for the ensuing fiscal
year.
A detailed summary of the budget is presented to City Council here in the form of the
Proposed Budget. This document summarizes the recommended expenditures in all
budget funds and programs as well as any recommended service level enhancements
and reserves.
DISCUSSION:
At the June 17, 2014 meeting, the City Council approved Resolution No. 3517 providing
for an Interim Budget Appropriation, until a formal Budget could be approved.
The Proposed Budget includes a summary of the expenditure recommendations by fund
and by General Fund department. Further material will be presented at the meeting,
and a Budget Message will be prepared for the Approved Budget.
The General Fund Budget estimated revenues of $13,988,175, and recommended total
expenditures of $16,842,068 are balanced by the use of fund balance. Total
expenditures include capital projects, development services, and other transfers, but do
not include the Public Safety CFD subsidy. All other funds, with the exception of the
Public Safety CFD, are balanced by adequate revenues or fund balances, and in the
case of capital projects, by the transfer of funds from the capital projects reserve and by
new capital funding scheduled to be received.
PACKET PAGE: 157
AGENDA ITEM 5.6
The proposed total budget is categorized as:
General Fund $16,235,657
Non-general Fund 20,575,889
Capital Projects 20,756,719
Total Budget $57,568,265
The proposed General Fund operating budget is distributed as follows:
General Government $ 4,684,737
Development Services 857,034
Public Safety 10,693,886
Sub-total $16,235,657
Public Safety CFD Subsidy 54,590
Total GF Operating Budget $16,290,247
Reserves
At June 30, 2015, after proposed transfers, the General Fund Contingency Reserve is
projected to be $2,450,000, the Capital Projects Reserve is projected to be $4,182,838.
The Unreserved funds are projected at $500,000.
ALTERNATIVES:
1. Adopt the budget as presented.
2. Amend and adopt the budget.
3. Continue the budget for further review and discussion.
FISCAL IMPACT:
Fiscal impacts of recommended expenditures are balanced by estimated revenues, and
in some funds, the use of available fund balances. The Public Safety CFD is balanced
with a transfer from the General Fund of roughly $55,000. This amount is a receivable
when the CFD has a positive fund balance at some future time.
ATTACHMENTS:
1. Proposed Budget
2. Resolution No. ______
PACKET PAGE: 158
AGENDA ITEM 5.6
Fiscal Year 2014-2015 Budget
Fiscal Year 2014-2015
Projected Fund Balances
All Fund Balances
2012/2013 2013/2014 2014/2015
Audited Projected Projected Projected Projected Proposed Proposed Proposed Projected
Fund # Fund Description Fund Balance Revenues Expenditures Adjustments Fund Balance Revenues Expenditures Adjustments Fund Balance
GENERAL FUND
RESERVED - Prior Year Encumbrances - - - -
RESERVED - Advances to Other Funds (unavailable) 291,129 - 291,129 291,129
RESERVED - Advances to CFD #2003-1 (unavailable) 3,240,405 1,293,394 4,533,799 54,590 4,588,389
RESERVED - Capital Projects 10,468,826 (3,045,850) 7,422,976 (3,240,138) 4,182,838
RESERVED - Contingency 3,355,635 (1,293,394) 2,062,241 387,759 2,450,000
UNRESERVED - Operations 500,000 15,508,750 (17,938,912) 2,719,586 13,120,175 (15,378,623) 2,273,755
Capital Projects - (289,424) 500,000 535,000 (550,307) 500,000
TOTAL GENERAL FUND & GF RESERVES 17,855,995 15,508,750 (18,228,336) (326,264) 14,810,145 13,655,175 (15,928,930) (524,034) 12,012,356
011 DEVELOPMENT SERVICES FUND - 549,290 (875,554) 326,264 - 333,000 (857,034) 524,034 -
GENERAL FUND AS REPORTED 17,855,995 16,058,040 (19,103,890) - 14,810,145 13,988,175 (16,785,964) - 12,012,356
017 INFORMATION TECHNOLOGY 19 197,008 (177,130) 19,897 165,137 (164,937) 20,097
018 WORKERS' COMP INSURANCE 500,187 121,396 (103,800) 517,783 122,800 (103,800) 536,783
019 UNEMPLOYMENT INSURANCE 28,571 14,813 (5,000) 38,384 14,800 (15,000) 38,184
020 LIABILITY INSURANCE 20,922 243,036 (92,500) 171,458 243,035 (255,020) 159,473
021 GAS TAX 832,372 1,250,133 (1,256,122) 826,383 1,303,691 (1,757,133) 372,941
022 MEASURE "A" 2,944,741 740,175 (316,340) 3,368,576 726,740 (3,599,809) 495,507
024 TRAFFIC SAFETY 280,081 93,564 (85,633) 288,012 317,500 (510,814) 94,698
025 LLPD #1 - 659,606 (658,002) 1,604 658,000 (654,230) 5,374
029 CDBG (20,869) 406,358 (385,489) - - - -
031 VANDALISM/GRAFFITI REWARD FUND 26,434 2,764 - 29,198 2,250 (1,500) 29,948
032 PARKWAY DEVELOPMENT 76,721 775 - 77,496 750 (32,702) 45,544
034 CFD 2003-1 POLICE/FIRE (owed to General Fund) (3,691,784) 1,800,531 (2,642,546) (4,533,799) 1,801,500 (1,856,090) (4,588,389)
038 UNDERGROUND UTILITY 968,050 9,167 - 977,217 9,000 - 986,217
039 FLOOD CONTROL 2,906,074 362,066 (1,424,970) 1,843,170 598,500 (2,639,409) (197,739)
041 TRAFFIC SIGNALIZATION 301,168 11,669 (3,552) 309,285 11,300 (181,588) 138,997
042 AD 87-1 DEBT (owed to General Fund & RDA) (443,007) - (1,475) (444,482) - (1,550) (446,032)
045 CFD #2002-01 DEBT 794,150 1,280,099 (1,428,385) 645,864 1,303,906 (1,523,855) 425,915
046 CFD #2 DEBT 2,503,041 619,754 (1,100,124) 2,022,671 3,500 (1,137,150) 889,021
047 SJFA HOLDING CFD#2 BONDS 24,180 1,347,893 (1,311,770) 60,303 1,453,360 (1,453,355) 60,308
056 CSA 152 (66,692) 180,382 (113,690) - 78,033 (78,033) -
057 BUS SHELTERS - 36,264 (36,264) - 26,162 (25,040) 1,122
061 ASSET FORFEITURE 231,560 - (68,000) 163,560 - (25,000) 138,560
062 PROP 172 FUND 17,221 237,905 (255,126) - 255,200 (255,200) -
063 AIR QUALITY IMPROVEMENT 161,253 59,274 (117,464) 103,063 56,400 (6,000) 153,463
064 COPS 199,986 126,668 (200,500) 126,154 101,600 (100,279) 127,475
067 FIRE MITIGATION 569,649 11,416 - 581,065 10,250 - 591,315
068 SB 621 GAMING IMPACT (34,247) 410,395 (351,781) 24,367 - (30,100) (5,733)
072 HIGHWAY 79 RELINQUISHMENT 552,420 5,168 (161,558) 396,030 4,000 (196,771) 203,259
074 CAR POOL MITIGATION 491,894 8,066 (407) 499,553 7,500 (487,570) 19,483
075 LOCAL TRANSPORTATION 11 4,632 - 4,643 4,125 (2,251) 6,517
076 REGIONAL TRANSPORTATION - 7,416 (3,500) 3,916 6,515 (11,716) (1,285)
077 PUBLIC BUILDING 341 555 - 896 505 - 1,401
083 TUMF ROAD PROJECTS (1,005,927) 9,000,000 (8,660,647) (666,574) 10,000,000 (9,992,079) (658,653)
084 AMR COMPLIANCE FINES FUND 27,127 9,264 - 36,391 9,250 (27,000) 18,641
102 SPECIAL DISTRICT ADMIN 152,231 269,853 (264,106) 157,978 251,400 (327,037) 82,341
103 DIF: ADMINISTRATION - 200 - 200 216 (416) -
111 DIF: POLICE FACILITIES (907) 2,005 - 1,098 2,005 - 3,103
116 DIF: FIRE FACILITIES 293,133 5,790 - 298,923 5,700 - 304,623
122 DIF: PARK FACILITIES 163,929 13,598 - 177,527 13,500 - 191,027
125 DIF: PARK LAND ACQUISITION 1,140 25,108 - 26,248 25,100 - 51,348
128 DIF: PARK LAND IMPROVEMENTS 347,625 38,403 - 386,028 38,200 - 424,228
131 DIF: COMMUNITY AMENITIES 669,276 13,272 (55,257) 627,291 13,000 (101,477) 538,814
135 DIF: GOVERNMENT SERVICES FACILITIES (695) 5,019 - 4,324 5,018 - 9,342
141 DIF: STREETS 1,291,984 25,311 - 1,317,295 24,500 (1,165,115) 176,680
146 DIF: BIKEWAYS 45,895 937 - 46,832 900 (45,000) 2,732
149 DIF: TRAFFIC SIGNALS 34,737 3,343 - 38,080 3,325 (102,425) (61,020)
179 HOUSING AUTHORITY FUND 292,859 25,057 (10,000) 307,916 10,055 (10,000) 307,971
195 EQUIPMENT REPLACEMENT FUND 2,380,885 20,530 (51,600) 2,349,815 20,380 (46,000) 2,324,195
199 CAPITAL PROJECTS - 11,599,522 (11,599,522) - 20,756,719 (20,756,719) -
201 CFD 2003-2 SEWER LIFT STN 164 18,035 (18,035) 164 18,035 (18,199) -
3XX LLPD #2 ZONES 7,662,755 2,337,014 (2,461,099) 7,538,670 2,675,116 (4,562,337) 5,651,449
7XX AD 2003-1 ZONES 2,276,650 563,773 (28,622) 2,811,801 729,985 (931,089) 2,610,697
FUND BALANCES - NON-ENTERPRISE FUNDS 42,663,303 50,283,022 (54,553,906) - 38,392,419 57,876,638 (71,976,759) - 24,292,298
050 WATER ENTERPRISE 5,971,226 3,409,474 (3,379,522) 6,001,178 4,409,000 (4,258,917) 6,151,261
051 WATER CAPITAL FUND 211,921 11,983 (64,484) 159,420 11,900 (311,526) (140,206)
053 SEWER CAPITAL IMPROVEMENTS 184,793 12,903 (61,729) 135,967 12,500 (196,519) (48,052)
055 SEWER ENTERPRISE 4,523,390 829,245 (904,871) 4,447,764 832,000 (875,645) 4,404,119
059 SOLID WASTE ENTERPRISE - 95,022 (52,545) 42,477 - - 42,477
REVISED FY 14-15 Fund Bal 1PACKET PAGE: 159
AGENDA ITEM 5.6
Fiscal Year 2014-2015 Budget
Fiscal Year 2014-2015
Projected Fund Balances
All Fund Balances
2012/2013 2013/2014 2014/2015
Audited Projected Projected Projected Projected Proposed Proposed Proposed Projected
Fund # Fund Description Fund Balance Revenues Expenditures Adjustments Fund Balance Revenues Expenditures Adjustments Fund Balance
FUND BALANCES - ENTERPRISE FUNDS 10,891,330 4,358,627 (4,463,151) - 10,786,806 5,265,400 (5,642,607) - 10,409,599
182 SA - SOBOBA DEBT (600,000) - - (600,000) - - (600,000)
186 SA - SJ PROJECT 1,198,487 - (136,858) 1,061,629 - (64,115) 997,514
187 SA - SJ DEBT (106,494) 840,919 (604,623) 129,802 700,003 (600,098) 229,707
189 SA - SJ LOW-MOD 41,408 391 - 41,799 375 (41,405) 769
FUND BALANCES - SUCCESSOR AGENCY FUNDS 533,401 841,310 (741,481) - 633,230 700,378 (705,618) - 627,990
REVISED FY 14-15 Fund Bal 2PACKET PAGE: 160
AGENDA ITEM 5.6
Fiscal Year 2014-2015 Budget
Changes from Original Proposed
FY 2014-2015 Budget
Original 2014/2015 New 2014/2015 Favorable (Unfavorable)
Proposed Proposed Proposed Proposed Changes in Changes in
Fund # Fund Description Revenues Expenditures Revenues Expenditures Revenues Expenditures
GENERAL FUND
UNRESERVED - Operations 13,470,898 (16,554,561) 13,120,175 (15,378,623) (350,723) 1,175,938
Capital Projects 535,000 (550,307) 535,000 (550,307) - -
011 DEVELOPMENT SERVICES FUND 333,000 (909,864) 333,000 (857,034) - 52,830
GENERAL FUND AS REPORTED 14,338,898 (18,014,732) 13,988,175 (16,785,964) (350,723) 1,228,768
017 INFORMATION TECHNOLOGY 165,137 (164,937) 165,137 (164,937) - -
018 WORKERS' COMP INSURANCE 122,800 (103,800) 122,800 (103,800) - -
019 UNEMPLOYMENT INSURANCE 14,800 (15,000) 14,800 (15,000) - -
020 LIABILITY INSURANCE 243,035 (255,020) 243,035 (255,020) - -
021 GAS TAX 1,303,691 (1,779,222) 1,303,691 (1,757,133) - 22,089
022 MEASURE "A" 726,740 (3,604,149) 726,740 (3,599,809) - 4,340
024 TRAFFIC SAFETY 317,500 (512,016) 317,500 (510,814) - 1,202
025 LLPD #1 658,000 (657,841) 658,000 (654,230) - 3,611
029 CDBG - - - - - -
031 VANDALISM/GRAFFITI REWARD FUND 2,250 (1,500) 2,250 (1,500) - -
032 PARKWAY DEVELOPMENT 750 (33,240) 750 (32,702) - 538
034 CFD 2003-1 POLICE/FIRE (owed to General Fund) 1,801,500 (2,988,990) 1,801,500 (1,856,090) - 1,132,900
038 UNDERGROUND UTILITY 9,000 - 9,000 - - -
039 FLOOD CONTROL 598,500 (2,648,895) 598,500 (2,639,409) - 9,486
041 TRAFFIC SIGNALIZATION 11,300 (181,671) 11,300 (181,588) - 83
042 AD 87-1 DEBT (owed to General Fund & RDA) - (1,550) - (1,550) - -
045 CFD #2002-01 DEBT 1,303,906 (1,528,855) 1,303,906 (1,523,855) - 5,000
046 CFD #2 DEBT 3,500 (1,137,150) 3,500 (1,137,150) - -
047 SJFA HOLDING CFD#2 BONDS 1,453,360 (1,453,355) 1,453,360 (1,453,355) - -
056 CSA 152 134,137 (134,137) 78,033 (78,033) (56,104) 56,104
057 BUS SHELTERS 26,162 (26,162) 26,162 (25,040) - 1,122
061 ASSET FORFEITURE - (25,000) - (25,000) - -
062 PROP 172 FUND 255,200 (255,200) 255,200 (255,200) - -
063 AIR QUALITY IMPROVEMENT 56,400 (6,000) 56,400 (6,000) - -
064 COPS 101,600 (100,320) 101,600 (100,279) - 41
067 FIRE MITIGATION 10,250 - 10,250 - - -
068 SB 621 GAMING IMPACT - (30,100) - (30,100) - -
072 HIGHWAY 79 RELINQUISHMENT 4,000 (196,771) 4,000 (196,771) - -
074 CAR POOL MITIGATION 7,500 (487,570) 7,500 (487,570) - -
075 LOCAL TRANSPORTATION 4,125 (2,541) 4,125 (2,251) - 290
076 REGIONAL TRANSPORTATION 6,515 (13,246) 6,515 (11,716) - 1,530
077 PUBLIC BUILDING 505 - 505 - - -
083 TUMF ROAD PROJECTS 10,000,000 (9,992,079) 10,000,000 (9,992,079) - -
084 AMR COMPLIANCE FINES FUND 9,250 (27,000) 9,250 (27,000) - -
102 SPECIAL DISTRICT ADMIN 251,400 (341,648) 251,400 (327,037) - 14,611
103 DIF: ADMINISTRATION 216 (416) 216 (416) - -
111 DIF: POLICE FACILITIES 2,005 - 2,005 - - -
116 DIF: FIRE FACILITIES 5,700 - 5,700 - - -
122 DIF: PARK FACILITIES 13,500 - 13,500 - - -
125 DIF: PARK LAND ACQUISITION 25,100 - 25,100 - - -
128 DIF: PARK LAND IMPROVEMENTS 38,200 - 38,200 - - -
131 DIF: COMMUNITY AMENITIES 13,000 (101,933) 13,000 (101,477) - 456
135 DIF: GOVERNMENT SERVICES FACILITIES 5,018 - 5,018 - - -
141 DIF: STREETS 24,500 (1,165,861) 24,500 (1,165,115) - 746
146 DIF: BIKEWAYS 900 (45,000) 900 (45,000) - -
149 DIF: TRAFFIC SIGNALS 3,325 (107,893) 3,325 (102,425) - 5,468
179 HOUSING AUTHORITY FUND 10,055 (10,000) 10,055 (10,000) - -
195 EQUIPMENT REPLACEMENT FUND 20,380 (46,000) 20,380 (46,000) - -
CHANGES IN REV+EXP 1PACKET PAGE: 161
AGENDA ITEM 5.6
Fiscal Year 2014-2015 Budget
Changes from Original Proposed
FY 2014-2015 Budget
Original 2014/2015 New 2014/2015 Favorable (Unfavorable)
Proposed Proposed Proposed Proposed Changes in Changes in
Fund # Fund Description Revenues Expenditures Revenues Expenditures Revenues Expenditures
199 CAPITAL PROJECTS 20,756,719 (20,756,719) 20,756,719 (20,756,719) - -
201 CFD 2003-2 SEWER LIFT STN 18,035 (18,199) 18,035 (18,199) - -
3XX LLPD #2 ZONES 2,675,116 (4,562,337) 2,675,116 (4,562,337) - -
7XX AD 2003-1 ZONES 729,985 (931,089) 729,985 (931,089) - -
FUND BALANCES - NON-ENTERPRISE FUNDS 58,283,465 (74,465,144) 57,876,638 (71,976,759) (406,827) 2,488,385
050 WATER ENTERPRISE 4,409,000 (4,377,143) 4,409,000 (4,258,917) - 118,226
051 WATER CAPITAL FUND 11,900 (311,691) 11,900 (311,526) - 165
053 SEWER CAPITAL IMPROVEMENTS 12,500 (196,851) 12,500 (196,519) - 332
055 SEWER ENTERPRISE 832,000 (864,924) 832,000 (875,645) - (10,721)
059 SOLID WASTE ENTERPRISE - - - - - -
FUND BALANCES - ENTERPRISE FUNDS 5,265,400 (5,750,609) 5,265,400 (5,642,607) - 108,002
182 SA - SOBOBA DEBT - - - - - -
186 SA - SJ PROJECT - (66,870) - (64,115) - 2,755
187 SA - SJ DEBT 700,003 (600,098) 700,003 (600,098) - -
189 SA - SJ LOW-MOD 375 (41,405) 375 (41,405) - -
FUND BALANCES - SUCCESSOR AGENCY FUNDS 700,378 (708,373) 700,378 (705,618) - 2,755
CHANGES IN REV+EXP 2PACKET PAGE: 162
AGENDA ITEM 5.6
CITY OF SAN JACINTO
CHANGES FROM ORIGINAL PROPOSED
FY 14/15 BUDGET - BY DEPARTMENT
ANNUAL
SAVINGS
ORIGINAL NEW CHANGE FROM ORIGINAL
GENERAL FUND
CITY COUNCIL 81,094 67,094 (14,000) (12,000)
CITY CLERK 320,159 302,988 (17,171) (63,176)
CITY ATTORNEY 500,000 500,000 - -
CITY MANAGER 665,770 458,693 (207,077) (337,375)
PERSONNEL 102,546 128,640 26,094 -
FINANCE 491,749 460,909 (30,840) (21,700)
TREASURER 1,447 1,447 - -
BUSINESS LICENSE 73,730 58,858 (14,872) (27,500)
KIOSK PROGRAM 20,000 20,000 - -
SPECIAL EVENTS 7,500 3,500 (4,000) (7,500)
POLICE ACTIVITIES LEAGUE - - - (70,000)
CITY EMERGENCY OPERATIONS 5,750 5,750 - -
CODE ENFORCEMENT 808,026 748,482 (59,544) (146,000)
GIS 60,714 30,249 (30,465) (55,200)
ENGINEERING 122,466 120,684 (1,782) -
STORM DRAINS 28,283 (24,092) (52,375) (50,000)
STREETS - - - -
PW ADMIN 297,416 360,143 62,727 131,605
MUSEUM 16,517 16,185 (332) -
ESTUDILLO MANSION 58,949 45,303 (13,646) (21,000)
PARKS 648,120 470,034 (178,086) (356,000)
GRAFITTI 55,563 54,817 (746) -
COMMUNITY CENTER 155,312 93,354 (61,958) (155,000)
SWIMMING POOL 21,699 35,736 14,037 (21,700)
ECONOMIC DEVELOPMENT 492,100 360,724 (131,376) (143,300)
HOUSING DEVELOPMENT 56,740 31,325 (25,415) (25,000)
PLANNING 447,278 430,698 (16,580) (17,800)
BUILDING 414,602 379,181 (35,421) (41,000)
NON-DEPARTMENTAL 422,274 348,874 (73,400) (127,050)
FIRE 1,743,345 1,728,269 (15,076) -
POLICE 9,256,977 8,965,617 (291,360) (499,474)
TOTAL 17,376,126 16,203,462 (1,172,664) (2,066,170)
CFD #2003-1
FIRE 1,757,930 997,562 (760,368) (1,824,883)
POLICE 1,193,460 820,928 (372,532) (638,626)
GENERAL 37,600 37,600 -
TOTAL 2,988,990 1,856,090 (1,132,900) (2,463,509)
TOTAL 20,365,116 18,059,552 (2,305,564) (4,529,679)
PACKET PAGE: 163
AGENDA ITEM 5.6
Fiscal Year 2014-2015 Budget
Fiscal Year 2014-2015
Projected Fund Balances
All Fund Balances
2013/2014 2014/2015
Projected Proposed Proposed Proposed Projected
Fund # Fund Description Fund Balance Revenues Expenditures Adjustments Fund Balance
GENERAL FUND
RESERVED - Prior Year Encumbrances - - -
RESERVED - Advances to Other Funds (unavailable) 291,129 - 291,129
RESERVED - Advances to CFD #2003-1 (unavailable) 4,533,799 54,590 4,588,389
RESERVED - Capital Projects 7,422,976 (3,240,138) 4,182,838
RESERVED - Contingency 2,062,241 387,759 2,450,000
UNRESERVED - Operations - 13,120,175 (15,378,623) 2,273,755
Capital Projects 500,000 535,000 (550,307) 500,000
TOTAL GENERAL FUND & GF RESERVES 14,810,145 13,655,175 (15,928,930) (524,034) 12,012,356
011 DEVELOPMENT SERVICES FUND - 333,000 (857,034) 524,034 -
GENERAL FUND AS REPORTED 14,810,145 13,988,175 (16,785,964) - 12,012,356
017 INFORMATION TECHNOLOGY 19,897 165,137 (164,937) 20,097
018 WORKERS' COMP INSURANCE 517,783 122,800 (103,800) 536,783
019 UNEMPLOYMENT INSURANCE 38,384 14,800 (15,000) 38,184
020 LIABILITY INSURANCE 171,458 243,035 (255,020) 159,473
021 GAS TAX 826,383 1,303,691 (1,757,133) 372,941
022 MEASURE "A" 3,368,576 726,740 (3,599,809) 495,507
024 TRAFFIC SAFETY 288,012 317,500 (510,814) 94,698
025 LLPD #1 1,604 658,000 (654,230) 5,374
031 VANDALISM/GRAFFITI REWARD FUND 29,198 2,250 (1,500) 29,948
032 PARKWAY DEVELOPMENT 77,496 750 (32,702) 45,544
034 CFD 2003-1 POLICE/FIRE (owed to General Fund) (4,533,799) 1,801,500 (1,856,090) (4,588,389)
038 UNDERGROUND UTILITY 977,217 9,000 - 986,217
039 FLOOD CONTROL 1,843,170 598,500 (2,639,409) (197,739)
041 TRAFFIC SIGNALIZATION 309,285 11,300 (181,588) 138,997
042 AD 87-1 DEBT (owed to General Fund & RDA) (444,482) - (1,550) (446,032)
045 CFD #2002-01 DEBT 645,864 1,303,906 (1,523,855) 425,915
046 CFD #2 DEBT 2,022,671 3,500 (1,137,150) 889,021
047 SJFA HOLDING CFD#2 BONDS 60,303 1,453,360 (1,453,355) 60,308
056 CSA 152 - 78,033 (78,033) -
057 BUS SHELTERS - 26,162 (25,040) 1,122
061 ASSET FORFEITURE 163,560 - (25,000) 138,560
062 PROP 172 FUND - 255,200 (255,200) -
063 AIR QUALITY IMPROVEMENT 103,063 56,400 (6,000) 153,463
064 COPS 126,154 101,600 (100,279) 127,475
067 FIRE MITIGATION 581,065 10,250 - 591,315
068 SB 621 GAMING IMPACT 24,367 - (30,100) (5,733)
072 HIGHWAY 79 RELINQUISHMENT 396,030 4,000 (196,771) 203,259
074 CAR POOL MITIGATION 499,553 7,500 (487,570) 19,483
075 LOCAL TRANSPORTATION 4,643 4,125 (2,251) 6,517
076 REGIONAL TRANSPORTATION 3,916 6,515 (11,716) (1,285)
077 PUBLIC BUILDING 896 505 - 1,401
083 TUMF ROAD PROJECTS (666,574) 10,000,000 (9,992,079) (658,653)
084 AMR COMPLIANCE FINES FUND 36,391 9,250 (27,000) 18,641
102 SPECIAL DISTRICT ADMIN 157,978 251,400 (327,037) 82,341
103 DIF: ADMINISTRATION 200 216 (416) -
111 DIF: POLICE FACILITIES 1,098 2,005 - 3,103
116 DIF: FIRE FACILITIES 298,923 5,700 - 304,623
122 DIF: PARK FACILITIES 177,527 13,500 - 191,027
125 DIF: PARK LAND ACQUISITION 26,248 25,100 - 51,348
FY 14-15 Prop Fund Bal 1PACKET PAGE: 164
AGENDA ITEM 5.6
Fiscal Year 2014-2015 Budget
Fiscal Year 2014-2015
Projected Fund Balances
All Fund Balances
2013/2014 2014/2015
Projected Proposed Proposed Proposed Projected
Fund # Fund Description Fund Balance Revenues Expenditures Adjustments Fund Balance
128 DIF: PARK LAND IMPROVEMENTS 386,028 38,200 - 424,228
131 DIF: COMMUNITY AMENITIES 627,291 13,000 (101,477) 538,814
135 DIF: GOVERNMENT SERVICES FACILITIES 4,324 5,018 - 9,342
141 DIF: STREETS 1,317,295 24,500 (1,165,115) 176,680
146 DIF: BIKEWAYS 46,832 900 (45,000) 2,732
149 DIF: TRAFFIC SIGNALS 38,080 3,325 (102,425) (61,020)
195 EQUIPMENT REPLACEMENT FUND 2,349,815 20,380 (46,000) 2,324,195
199 CAPITAL PROJECTS - 20,756,719 (20,756,719) -
201 CFD 2003-2 SEWER LIFT STN 164 18,035 (18,199) -
3XX LLPD #2 ZONES 7,538,670 2,675,116 (4,562,337) 5,651,449
7XX AD 2003-1 ZONES 2,811,801 729,985 (931,089) 2,610,697
FUND BALANCES - GENERAL GOVERNMENT FUNDS 38,084,503 57,866,583 (71,966,759) - 23,984,327
179 HOUSING AUTHORITY FUND 307,916 10,055 (10,000) 307,971
FUND BALANCES - HOUSING AUTHORITY FUNDS 307,916 10,055 (10,000) - 307,971
050 WATER ENTERPRISE 6,001,178 4,409,000 (4,258,917) 6,151,261
051 WATER CAPITAL FUND 159,420 11,900 (311,526) (140,206)
053 SEWER CAPITAL IMPROVEMENTS 135,967 12,500 (196,519) (48,052)
055 SEWER ENTERPRISE 4,447,764 832,000 (875,645) 4,404,119
059 SOLID WASTE ENTERPRISE 42,477 - - 42,477
FUND BALANCES - ENTERPRISE FUNDS 10,786,806 5,265,400 (5,642,607) - 10,409,599
FUND BALANCES - TOTAL CITY 49,179,225 63,142,038 (77,619,366) - 34,701,897
182 SA - SOBOBA DEBT (600,000) - - (600,000)
186 SA - SJ PROJECT 1,061,629 - (64,115) 997,514
187 SA - SJ DEBT 129,802 700,003 (600,098) 229,707
189 SA - SJ LOW-MOD 41,799 375 (41,405) 769
FUND BALANCES - SUCCESSOR AGENCY FUNDS 633,230 700,378 (705,618) - 627,990
FY 14-15 Prop Fund Bal 2PACKET PAGE: 165
AGENDA ITEM 5.6
STATE OF CALIFORNIA ) RESOLUTION NO. ____
COUNTY OF RIVERSIDE ) ss
CITY OF SAN JACINTO )
RESOLUTION OF THE CITY OF SAN JACINTO,
CALIFORNIA, ADOPTING A BUDGET FOR FISCAL YEAR
2014-2015
WHEREAS, the City of San Jacinto operates on a fiscal year calendar beginning
on July 1st of each year and ending on June 30th of the next year;
WHEREAS, the City of San Jacinto wishes to adopt a budget for the fiscal year
2014-2015 for expenditures based on estimated revenues and available fund balance
reserves; and
WHEREAS, City staff has presented an overall operating budget and capital
budget containing the General, Development Services, Special Revenue, Internal
Service, Debt Service, Capital Project, Enterprise, and Redevelopment Funds, to meet
the needs of the citizens of the City of San Jacinto; and
WHEREAS, the City Council has thoroughly examined and analyzed the
proposed budget in order to meet the needs of the citizens of the City of San Jacinto;
and
WHEREAS, on June 17, 2014, the City Council approved Resolution No. 3517
providing for an Interim Budget Appropriation, until a formal Budget could be approved;
and
NOW, THEREFORE, BE IT RESOLVED by the Mayor and City Council of the
City of San Jacinto as follows:
Section 1. The budget for Fiscal Year 2014-2015, a copy of which is on file in the
City Clerk’s Office, is hereby adopted with projected beginning (combined) fund
balances of $49,179,225, total expenditures (excluding capital transfers out) of
$56,862,647, including total capital expenditures of $20,756,719, to be funded by
revenues (excluding capital transfers in) of $42,385,319, and the use of available fund
balance of $14,477,328. (Reference “Exhibit A”)
Section 2. All funds are authorized as presented in the budget document.
Section 3. City Manager is hereby authorized to make budget adjustments to the
adopted budget to reallocate appropriations between departmental activities and
between City funds. Only the City Council, by motion and affirmative majority vote,
through minute action or resolution, may increase or decrease the total estimated
revenues and total adopted expenditures in the FY 2014-2015 Adopted Budget.
PACKET PAGE: 167
AGENDA ITEM 5.6
Section 4. Rescind any and all previous General Fund Reserve Designations
and designate General Fund Reserves as follows: Contingency Reserve set at a
minimum of 15% of General Fund Operating Expenditures or $2,450,000 (net of
projected $54,590 to fund an advance to the Public Safety CFD 2003-1 fund); and a
Capital Reserve of $4,182,838 (based on the estimated beginning fund balances,
original appropriations and estimated revenues).
Section 5. General Fund administrative overhead consisting of costs from City
Council, City Manager, City Clerk, Human Resources, Finance, and Non-departmental
services shall be allocated to program cost centers, charged on a prorated basis to cost
of funding. In all cases where a Capital Project is financed by debt, no overhead cost
allocation will be made to debt funds. In addition, overhead allocation will be limited in
the following funds:
A. Gas Tax Fund - Not to exceed 5% of revenues
B. Measure A Fund - Not to exceed 5% of revenues
C. Air Quality Improvement Fund - Not to exceed 5% of revenues
D. COPS Grant Fund - Not to exceed 0.5% of revenues
Section 6. Internal Service Funds for information technology, general liability,
worker’s compensation, and unemployment insurance will be allocated to funds based
on:
A. Information Technology – percentage of desktop computers
in each department or program
B. General Liability – percentage of department or program cost
C. Worker’s Compensation – percentage of payroll in each
department or program
D. Unemployment Insurance - percentage of payroll in each
department or program
Section 7. The Authorized Staffing Plan, which includes every approved position
in the City and the related salary range, is incorporated in the Approved Budget.
Section 8. Continuing appropriations are authorized for all unexpended purchase
orders, as well as Capital Project Funds from all previous fiscal years as presented in
the Construction in Progress (CIP) Schedule of the budget. The estimated carryover of
such project costs for all City funds is estimated for June 30, 2014 at $13,131,543.
APPROVED, SIGNED and ADOPTED this 16th day of December 2014 by the
following vote:
Ayes:
Nays:
Absent:
Abstain:
PACKET PAGE: 168
AGENDA ITEM 5.6
City of San Jacinto
By: _____________________________
Crystal Ruiz, Mayor
ATTEST:
___________________________________
Richard Miller, City Clerk
City of San Jacinto
APPROVED AS TO FORM:
___________________________________
City Attorney, City of San Jacinto
Best, Best & Krieger, LLP.
PACKET PAGE: 169
AGENDA ITEM 5.6
Fiscal Year 2014-2015 Budget
EXHIBIT A
Fiscal Year 2014-2015
Projected Fund Balances
2013/2014 2014/2015
Projected Proposed Proposed Proposed Projected
Fund # Fund Description Fund Balance Revenues Expenditures Adjustments Fund Balance
GENERAL FUND
RESERVED - Prior Year Encumbrances - - -
RESERVED - Advances to Other Funds 291,129 - 291,129
RESERVED - Advances to CFD #2003-1 4,533,799 54,590 4,588,389
RESERVED - Capital Projects 7,422,976 (3,240,138) 4,182,838
RESERVED - Contingency 2,062,241 387,759 2,450,000
UNRESERVED - Operations - 13,120,175 (15,378,623) 2,273,755
Capital Projects 500,000 535,000 (550,307) 500,000
TOTAL GENERAL FUND & GF RESERVES 14,810,145 13,655,175 (15,928,930) (524,034) 12,012,356
011 DEVELOPMENT SERVICES FUND - 333,000 (857,034) 524,034 -
GENERAL FUND AS REPORTED 14,810,145 13,988,175 (16,785,964) - 12,012,356
017 INFORMATION TECHNOLOGY 19,897 165,137 (164,937) 20,097
018 WORKERS' COMP INSURANCE 517,783 122,800 (103,800) 536,783
019 UNEMPLOYMENT INSURANCE 38,384 14,800 (15,000) 38,184
020 LIABILITY INSURANCE 171,458 243,035 (255,020) 159,473
021 GAS TAX 826,383 1,303,691 (1,757,133) 372,941
022 MEASURE "A" 3,368,576 726,740 (3,599,809) 495,507
024 TRAFFIC SAFETY 288,012 317,500 (510,814) 94,698
025 LLPD #1 1,604 658,000 (654,230) 5,374
031 VANDALISM/GRAFFITI REWARD FUND 29,198 2,250 (1,500) 29,948
032 PARKWAY DEVELOPMENT 77,496 750 (32,702) 45,544
034 CFD 2003-1 POLICE/FIRE (owed to General Fund) (4,533,799) 1,801,500 (1,856,090) (4,588,389)
038 UNDERGROUND UTILITY 977,217 9,000 - 986,217
039 FLOOD CONTROL 1,843,170 598,500 (2,639,409) (197,739)
041 TRAFFIC SIGNALIZATION 309,285 11,300 (181,588) 138,997
042 AD 87-1 DEBT (owed to General Fund & RDA) (444,482) - (1,550) (446,032)
045 CFD #2002-01 DEBT 645,864 1,303,906 (1,523,855) 425,915
046 CFD #2 DEBT 2,022,671 3,500 (1,137,150) 889,021
047 SJFA HOLDING CFD#2 BONDS 60,303 1,453,360 (1,453,355) 60,308
056 CSA 152 - 78,033 (78,033) -
057 BUS SHELTERS - 26,162 (25,040) 1,122
061 ASSET FORFEITURE 163,560 - (25,000) 138,560
062 PROP 172 FUND - 255,200 (255,200) -
063 AIR QUALITY IMPROVEMENT 103,063 56,400 (6,000) 153,463
064 COPS 126,154 101,600 (100,279) 127,475
067 FIRE MITIGATION 581,065 10,250 - 591,315
068 SB 621 GAMING IMPACT 24,367 - (30,100) (5,733)
072 HIGHWAY 79 RELINQUISHMENT 396,030 4,000 (196,771) 203,259
074 CAR POOL MITIGATION 499,553 7,500 (487,570) 19,483
075 LOCAL TRANSPORTATION 4,643 4,125 (2,251) 6,517
076 REGIONAL TRANSPORTATION 3,916 6,515 (11,716) (1,285)
077 PUBLIC BUILDING 896 505 - 1,401
083 TUMF ROAD PROJECTS (666,574) 10,000,000 (9,992,079) (658,653)
084 AMR COMPLIANCE FINES FUND 36,391 9,250 (27,000) 18,641
102 SPECIAL DISTRICT ADMIN 157,978 251,400 (327,037) 82,341
103 DIF: ADMINISTRATION 200 216 (416) -
111 DIF: POLICE FACILITIES 1,098 2,005 - 3,103
116 DIF: FIRE FACILITIES 298,923 5,700 - 304,623
122 DIF: PARK FACILITIES 177,527 13,500 - 191,027
125 DIF: PARK LAND ACQUISITION 26,248 25,100 - 51,348
128 DIF: PARK LAND IMPROVEMENTS 386,028 38,200 - 424,228
PACKET PAGE: 171
AGENDA ITEM 5.6
Fiscal Year 2014-2015 Budget
EXHIBIT A
Fiscal Year 2014-2015
Projected Fund Balances
2013/2014 2014/2015
Projected Proposed Proposed Proposed Projected
Fund # Fund Description Fund Balance Revenues Expenditures Adjustments Fund Balance
131 DIF: COMMUNITY AMENITIES 627,291 13,000 (101,477) 538,814
135 DIF: GOVERNMENT SERVICES FACILITIES 4,324 5,018 - 9,342
141 DIF: STREETS 1,317,295 24,500 (1,165,115) 176,680
146 DIF: BIKEWAYS 46,832 900 (45,000) 2,732
149 DIF: TRAFFIC SIGNALS 38,080 3,325 (102,425) (61,020)
195 EQUIPMENT REPLACEMENT FUND 2,349,815 20,380 (46,000) 2,324,195
199 CAPITAL PROJECTS - 20,756,719 (20,756,719) -
201 CFD 2003-2 SEWER LIFT STN 164 18,035 (18,199) -
3XX LLPD #2 ZONES 7,538,670 2,675,116 (4,562,337) 5,651,449
7XX AD 2003-1 ZONES 2,811,801 729,985 (931,089) 2,610,697
FUND BALANCES - GENERAL GOVERNMENT FUNDS 38,084,503 57,866,583 (71,966,759) - 23,984,327
179 HOUSING AUTHORITY FUND 307,916 10,055 (10,000) - 307,971
FUND BALANCES - HOUSING AUTHORITY FUNDS 307,916 10,055 (10,000) - 307,971
050 WATER ENTERPRISE 6,001,178 4,409,000 (4,258,917) 6,151,261
051 WATER CAPITAL FUND 159,420 11,900 (311,526) (140,206)
053 SEWER CAPITAL IMPROVEMENTS 135,967 12,500 (196,519) (48,052)
055 SEWER ENTERPRISE 4,447,764 832,000 (875,645) 4,404,119
059 SOLID WASTE ENTERPRISE 42,477 - - 42,477
FUND BALANCES - ENTERPRISE FUNDS 10,786,806 5,265,400 (5,642,607) - 10,409,599
FUND BALANCES - TOTAL CITY 49,179,225 63,142,038 (77,619,366) - 34,701,897
182 SA - SOBOBA DEBT (600,000) - - - (600,000)
186 SA - SJ PROJECT 1,061,629 - (64,115) - 997,514
187 SA - SJ DEBT 129,802 700,003 (600,098) - 229,707
189 SA - SJ LOW-MOD 41,799 375 (41,405) - 769
FUND BALANCES - SUCCESSOR AGENCY FUNDS 633,230 700,378 (705,618) - 627,990
PACKET PAGE: 172
AGENDA ITEM 5.6
December 16, 2014
TO: The Honorable Mayor and Members of the City Council
FROM: Thomas Prill, Finance Director
SUBJECT: Adoption of Fiscal Year 2014-15 Budget
RECOMMENDATION:
Staff recommends that the Successor Agency Board, by motion, adopt Resolution No.
SA ________ adopting the Fiscal Year 2014-15 Operating and Capital Budget for the
Successor Agency to the Redevelopment Agency of the City of San Jacinto (SA).
BACKGROUND:
The Executive Director and staff have prepared a proposed budget for the winding
down of activities of the dissolved Redevelopment Agency for the SA Board’s
discussion, deliberation and ultimate adoption. The budget is adopted by resolution,
which provides for appropriations to operate the SA for the ensuing fiscal year.
A detailed summary of the budget is presented to Agency Board here in the form of the
Proposed Budget. This document summarizes the recommended expenditures in all
budget funds and programs as well as any recommended service level enhancements
and reserves levels.
On June 17, 2014, continuing appropriations were adopted by the Agency Board,
intending to provide a provisional budget until an appropriate budget could be adopted
by December 31, 2014.
DISCUSSION:
Proposed revenues are $700,378 with recommended expenditures of $705,618,
balanced by use of available fund balances. The expenditures include all capital project
expenditures, even though all projects may not be completed within the next fiscal year.
The proposed total budget is categorized as:
Operations $ 64,115
Capital Projects 41,405
Debt Service 600,098
Total Budget $ 705,618
PACKET PAGE: 173
AGENDA ITEM 5.7
Operations and Projects
The SA funds staffing as professional services that provide support to the agency. In
addition, there is an anticipated $41,405 of carryover capital projects.
Debt Service
The SA funds the annual debt service for the 2005 San Jacinto RDA $9.4 million tax
allocation bonds, as well as the 1984 loan from Eastern Municipal Water District to be
paid by future tax increment.
ALTERNATIVES:
1. Adopt the proposed budget as presented.
2. Amend and adopt the proposed budget.
3. Continue the proposed budget for further review and discussion.
FISCAL IMPACT:
The fiscal impact is that of proposed expenditures of $705,618, proposed revenues of
$700,378, and the $5,240 use of available reserves.
ATTACHMENTS:
Resolution No. SA _________
PACKET PAGE: 174
AGENDA ITEM 5.7
STATE OF CALIFORNIA ) RESOLUTION NO. SA _____
COUNTY OF RIVERSIDE ) ss
CITY OF SAN JACINTO )
A RESOLUTION OF THE SUCCESSOR AGENCY TO THE
REDEVELOPMENT AGENCY OF THE CITY OF SAN
JACINTO, CALIFORNIA, ADOPTING THE BUDGET FOR
FISCAL YEAR 2014-2015
WHEREAS, the Successor Agency to the Redevelopment Agency of the City of
San Jacinto wishes to adopt a budget for the subsequent fiscal year for estimated
revenues and estimated expenditures; and
WHEREAS, Staff has presented an operating and capital budget containing the
Funds necessary to meet the needs of winding down the activities of the
Redevelopment Agency of the City of San Jacinto; and
WHEREAS, the Board has thoroughly examined and analyzed the proposed
budget in order to meet the needs of winding the activities of the Redevelopment
Agency of the City of San Jacinto; and
WHEREAS, the Successor Agency to the Redevelopment Agency of the City of
San Jacinto operates on a fiscal year beginning July 1st of each year; and
WHEREAS, on June 17, 2014, the Board approved continuing appropriations to
provide a provisional budget until an appropriate budget could be adopted by December
31, 2014; and
NOW, THEREFORE, BE IT RESOLVED by the Board of the Successor Agency
to the Redevelopment Agency of the City of San Jacinto (SA) as follows:
Section 1. The budget for Fiscal Year 2014-2015, a copy of which is on file in the
City Clerk’s office, is hereby adopted with projected beginning (combined) SA fund
balances of $633,230, total expenditures of $705,618, including total capital
expenditures of $41,405, to be funded by revenues of $700,378, and the use of
available fund balance of $5,240. (Reference “Exhibit A”)
Section 2. City Manager is hereby authorized to make budget adjustments to the
adopted budget to reallocate appropriations between departmental activities and
between SA Funds. Only the Agency Board, by motion and affirmative majority vote, by
minute action or resolution, may increase or decrease total SA revenues and total
expenditures in the FY 2014-2015 Adopted SA Budget.
Section 3. All funds are authorized as presented in the budget document.
Section 4. General Fund administrative overhead consisting of City Council, City
Manager, City Clerk, City Attorney, Human Resources, Finance, and Non-departmental
services is not to be allocated to SA funds.
PACKET PAGE: 175
AGENDA ITEM 5.7
Section 5. Internal Service Funds for information technology, general liability,
worker’s compensation and unemployment insurance are not to be allocated to SA
funds.
Section 6. Continuing appropriations are authorized for all unexpended and
unencumbered Capital Project funds from all previous fiscal years as presented in the
Construction in Progress (CIP) Schedule of the budget. The estimated carryover of
unexpended, unencumbered SA projects is estimated for June 30, 2014 at $41,405.
APPROVED, SIGNED and ADOPTED this 16th day of December 2014 by the
following vote:
Ayes:
Nays:
Absent:
Abstain:
Successor Agency to the Redevelopment
Agency of the City of San Jacinto
By: _____________________________
Crystal Ruiz, Chairman
ATTEST:
___________________________________
Richard Miller, Agency Secretary
APPROVED AS TO FORM:
___________________________________
City Attorney, City of San Jacinto
Best, Best & Krieger, LLP.
PACKET PAGE: 176
AGENDA ITEM 5.7
Fiscal Year 2014-2015 Budget
EXHIBIT A
Fiscal Year 2014-2015
Projected Fund Balances - Successor Agency
2013/2014 2014/2015
Projected Proposed Proposed Projected
Fund # Fund Description Fund Balance Revenues Expenditures Fund Balance
182 SA - SOBOBA DEBT (600,000) - - (600,000)
186 SA - SJ PROJECT 1,061,629 - (64,115) 997,514
187 SA - SJ DEBT 129,802 700,003 (600,098) 229,707
189 SA - SJ LOW-MOD 41,799 375 (41,405) 769
FUND BALANCES 633,230 700,378 (705,618) 627,990
PACKET PAGE: 177
AGENDA ITEM 5.7