HomeMy WebLinkAboutMAYER FINANCIAL LTD. - 2000-04-03CITY OF HUNTINGTON BEACH
2000 MAIN STREET CALIFORNIA 92648
OFFICE.OF THE CITY CLERK
CONNIE BROCKWAY
CITY CLERK
LETTER OF TRANSMITTAL OF ITEM APPROVED BY THE CITY COUNCIL/
REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH
DATE: 04-10-00
TO: Mayer Financial, Ltd. ATTENTION: Stephen K. Bone
Name
660 Newport Center Drive, #1050 DEPARTMENT:
Street
Newport Beach, CA 92660 REGARDING: Reimbursement
City, State, zip Agreement
See Attached Action Agenda Item E I o Date of Approval 4 - 3 - a*
Enclosed For Your Records Is An Executed Copy Of The Above Referenced Agenda Item.
Remarks:
Connie Brockway
City Clerk
Attachments: Action Agenda Page Agreement is Bonds
RCA Deed
CC:—
N me Department RCA Agreement
Name Department RCA Agreement
Name Department RCA Agreement
Insurance
Other
Insurance Other
Insurance Other
Insurance
Name Department RCA Agreement Insurance
Risk Management Dept.
Insurance
Other
Other
G: Follow up/Letters/coveritr
( Telephone: 714536-5227 )
M . Iot.1 "
Council/Agency Meeting Held: y-3- 4, om, o
Deferred/Continued to:
Wpproved ❑ Conditionally Approved ❑ Denied —
pep. City k's Signature
Council Meeting Date: April 3, 2000 Department ID Number: BD 2000-1
CITY OF HUNTINGTON BEACH
REQUEST FOR COUNCIL ACTION
SUBMITTED TO: HONORABLE MAYOR AND CITY COUNCIL MEMBERS
SUBMITTED BY: RAY SILVER, City AdministratorX4?te.00. Guoolovow
PREPARED BY: Ross Cranmer, Building and SAfet Directory 1=
Michael Dolder, Fire Chie
SUBJECT: APPROVE A REIMBURSEMENT AGREEMENT WITH MAYOR -r
FINANCIAL, LTD FOR PROFESSIONAL INSPECTION AN11PLAi
REVIEW SERVICES IN CONNECTION WITH THE NEW HIL�ON
HOTEL PROJECT
Statement of Issue, Funding Source, Recommended Action, Alternative Action(s), Analysis, Environmental Status, Attachment(s)
Statement of Issue: Transmitted for City Council's consideration is a Reimbursement
Agreement between the City and Mayer Financial, LTD. The agreement will offset the cost of
providing expedited inspection and plan review services for the new Hilton Hotel project.
Fundina Source: The proposed agreement allows the developer to pay for expedited plan
review and inspection services by depositing funds totaling $95,000 in four equal payments
starting with June 1, 2000.
Recommended Action: Motion to:
1. "Approve the Reimbursement Agreement, as prepared by the City Attorney, between the
City and Mayer Financial, LTD and authorize the Mayor and City Clerk to sign."
2. "Appropriate funds that total ninety five thousand dollars ($95,000) in connection with the
Reimbursement Agreement between the City and Mayer Financial, LTD., to be utilized by
the Departments of Building and Safety and Fire in both the 99/00 and 00/01 fiscal years."
Alternative Action(s): The City Council may elect not to approve the Reimbursement
Agreement between the City and the Mayer Financial, LTD. If the agreement is not approved
the developer will not help defray the cost of providing expedited inspection and plan review
services. As a consequence, the City will not be able to provide the proposed expanded
services in order to meet the developer's construction schedule.
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REQUEST FOR COUNCIL ACTION
MEETING DATE: April 3, 2000
DEPARTMENT ID NUMBER: BD 2000-1
Analysis: Mayer Financial LTD has started the construction of the new Hilton Hotel project.
In order to help expedite the project, the developer has requested that both the Building and
Safety and Fire Departments commit sufficient resources to provide expanded inspection and
plan review services. The expanded services are to include a full time Building Inspector
assigned to the project for up to 16 months, a Fire Inspector available to assist the project on
a priority basis, and a Building Engineer to process modifications to the plans during
construction.
In order to provide for the expanded services, it will be necestary for the City to hire contract
inspectors. To pay for these services, City and Mayer Financial, LTD. will have to enter into
a Reimbursement Agreement in the amount of $95,000. Mayer Financial, LTD. has agreed
to enter into a $95,000 Reimbursement Agreement with the City in order to finance the
delivery of expedited inspection and plan review services. The agreement provides for
$80,000 to the Building and Safety Department and $15,000 to the Fire Department. The
payments have been divided into four equal payments, the first due on June 1, 2000 and
followed by September 1, 2000, January 1, 2001, and March 1, 2001.
Staff recommends City Council approve the Reimbursement Agreement and the
appropriation of funds to both the Building and Safety and Fire Departments to finance the
expanded services.
COUNCIL POLICY REGARDING REQUESTS FOR AN APPROPRIATION OF FUNDS:
As adopted by the City Council in March 1998, all requests for appropriation of funds must
meet one of the following criteria; 1) The request is for an unanticipated emergency, 2) The
request is required to implement labor negotiations, or 3) The request will be offset by related
new revenues.
The new appropriations being requested will be offset by related new revenues from the
Reimbursement Agreement between the City and Mayer Financial, LTD.
Environmental Status: N/A
Attachment(s):
RCA Author: Ross Cranmer
BD 2000-1 -2- 03/13/00 3:44 PM
ATTACHMENT:1
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REIMBURSEMENT AGREEMENT
• BETWEEN THE CITY OF HUNTINGTON BEACH
AND MAYER FINANCIAL, LTD.
FOR PROFESSIONAL INSPECTION & PLAN REVIEW SERVICES
This Agreement is made and entered into this 3rd day of April , 2000, by
and between the City of Huntington Beach, a municipal corporation of the State of California,
hereinafter referred to as "City" and Mayer Financial Ltd., a California limited partnership,
hereinafter referred to as "Developer".
WHEREAS, Developer is developing an area within the City of Huntington Beach; and
Developer is required to submit to the City for inspection and plan approvals; and
Developer is required to pay normal building inspection fees, for which Developer shall
receive normal building inspection and plan review services; and
Developer desires to have the City commit sufficient resources to enable the expeditious
is delivery of inspection and plan review services above and beyond the normal services provided
by City for its normal inspection and plan review fees; and
Pursuant to California Government Code Section 87103.6, Developer is allowed to
defray the cost of all development approvals by reimbursing the City for such costs,
NOW, THEREFORE, in consideration of the promises and agreements hereinafter made
and exchanged, the parties agree as follows:
PAYMENT
Developer agrees to reimburse the City for its expeditious delivery of professional
inspection and plan review services in the total amount of Ninety-five Thousand Dollars
($95,000.00), which represents the estimated cost of such expeditious delivery of professional
services as follows:
• 4/s:4-2000 Agree: Mayer Financial
RLS 99-906
1/12/2000
• .0
A. Developer shall pay to City four equal payments of Twenty-three
• Thousand, Seven Hundred and Fifty Dollars ($23,750.00). The first payment shall be made on
or before June 1, 2000; the second payment shall be made on or before September 1, 2000; the
third payment shall be made on or before January 1, 2001; and the fourth payment shall be made
on or before March 1, 2001.
B. Each of the four payments of Twenty-three Thousand, Seven Hundred and
Fifty Dollars ($23,750.00) will be allocated by the City as follows: Twenty Thousand Dollars
($20,000) for Building and Safety Inspection and Plan Review Services, and Three Thousand
Seven Hundred Fifty Dollars ($3,750.00) for Fire Inspection Services. Developer acknowledges
that the amounts referenced in this Agreement are City's best estimate of the cost for the
Reimbursement Services described herein, and that the actual costs of said services may be
higher. In the event that the actual costs of said services exceeds the estimated costs set forth
Wherein, Developer agrees to pay the actual cost within ten (10) days after receiving the City's
•
invoice for same. In the event that the actual cost of the Reimbursement Services are less than
the estimated costs, City will refund the difference between the actual and estimated costs.
2. STATEMENT OF WORK TO BE PERFORMED
The amounts reimbursed to the City pursuant to this agreement will help defray the cost
of delivery of expedited professional inspection services required for the Developer's project and
plan check services that may be required to review and permit changes to the construction
documents of the Developer's project as follows:
A. To provide expedited delivery of the professional Building and Safety
Inspection Services, City agrees to provide a full time on -site inspector for a continuous period
of approximately sixteen (16) months, to -be mutually established by the City and Developer
4/s:4-2000 Agree: Mayer Financial
RLS 99-906
1/12/2000
2
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based on the actual start date of building improvements and schedule of construction of
• Developer's Project. Such full time inspector shall be qualified to provide multi -disciplinary
inspection services associated with the Developer's project including Building, Mechanical,
Electrical and Plumbing inspections. In the event such inspector is not qualified to provide some
of the services, City may in its sole discretion, provide an additional qualified, inspector to assist
the full time inspector in a timely manner on an "as needed" basis.
B. To provide for expedited delivery of the professional Fire Inspection
Services, City agrees to assign the responsibility for the Fire Inspection Services of Developer's
Project to City's Senior Fire Protection Analyst on a priority basis, and allocate other fire
personnel as needed to other Fire Inspection Service requirements within the City to allow the
Senior Fire Protection Analyst to provide such priority services.
C. City and Developer recognize that as construction of Developer's Project
• occurs, certain technical changes to the construction documents will be required as a result of
is
needed correction, clarification or revisions. City shall with the mutual cooperation of
Developer, Developer's Architect, City's full time on -site inspector, and.City's plan review staff,
endeavor to provide expeditious. review and approval of such changes as they occur.
3. EXCLUSIVE CONTROL BY CITY
City will maintain exclusive control over the work described herein. Nothing in this
Agreement:
A. Shall be deemed to require the City to approve any plan, proposal,
suggestion, application or request submitted by Developer.
4/s:4-2000 Agree: Mayer Financial
RLS 99-906
1/12/2000
3
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B. Shall be deemed to limit, in any respect whatsoever, City's sole authority
to direct and control the inspectors and plan check personnel assigned to the Developer's various
development projects.
C. Shall be deemed to impose any liability on the City different from any
liability as may otherwise be established by law.
4. TIME IS OF THE ESSENCE
City and Developer agree that time is of the essence for the professional
inspection and plan check services to be funded pursuant to this Agreement.
5. TERMINATION OF AGREEMENT
Either party may terminate this Agreement at any time with or without cause,
upon ten (10) days prior written notice to the other party. Developer shall be responsible for all
costs incurred prior to termination, including any and all costs incurred after notice of
termination has been given.
6. NOTICES
Any notices or special instructions required to be given in writing under this
Agreement shall.be given either by personal delivery to Developer's agent, Mr. Brett W.
Anderson of the Robert Mayer Corporation or to City's Director of Building & Safety, as the
situation shall warrant, or by enclosing the same in a sealed envelope, postage prepaid, and
deposition the same in the United States Postal Services, addressed as follows:
To City:
Mr. Ross Cranmer
Director of Building & Safety
City of Huntington Beach
2000 Main Street
Huntington Beach, CA 92648
4/s:4-2000 Agree: Mayer Financial
RLS 99-906
1/12/2000
To Developer:
MAYER FINANCIAL, LTD.
c/o The Robert L. Mayer Corporation
660 Newport Center Drive
Suite 1050
Newport Beach, CA 92660
Attn: Stephen K. Bone
4
7. TERM
• This Agreement shall be effective on the date of its adoption by the City Council
•
of City. This Agreement shall expire when terminated as provided herein.
ENTIRETY
This document sets forth the entire Agreement between the parties concerning the
subject matter hereof.
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed by and through their authorized offices the day, month and year first above written.
MAYER FINANTICAL, LTD.
A California limited partnership
By:
RLM Manageme c.
A California co ration
Its General Partner
By: /&�
Robert L. Mayer
Chief Executive Officer
By:
Robert L. r.
Secretary
REVIEWED AND APPROVED:
City Ad mistrator
4/s:4-2000 Agree: Mayer Financial
RLS 99-906
1/12/2000
CITY OF HUNTINGTON BEACH
a municipal corporation of the
Stat of Califo is
Mayor Pro Tem
fl
�Cit Mhorney
ATTEST:
City Clerk,
INITIATED AND APPROVED:
i Z.�. 0
Director of Building & Safety
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ATTACHMENT 2
CITY OF HUNTINGTON BEACH
' INTERDEPARTMENTAL COMMUNICATION
To: Ray Silver, City Administrator
From: John Reekstin, Director of Administrative Services
Subject: FIS 2000-08 Reimbursement Agreement
Date: January 5, 2000
As required by Resolution 4832, this Fiscal Impact Statement has
been prepared for "Approve a Reimbursement Agreement. With
Mayer Financial LTD for Professional Inspection and Plan Review
Services in Connection with the new Hilton Hotel Project."
If the City Council approves this request (total appropriation $95,000)
there will be no effect on the City's unappropriated, undesignated
General Fund Balance since the amount is funded by a
reimbursement from the developer.
- -iAl
Jdhn Reekstin,
Director of Administrative Services