HomeMy WebLinkAboutRanco Huntington Investments, LLC - 2009-03-02 Council/Agency Meeting Held:
Deferred/Continued to:
�Uved ❑ Condition I y Ap ®ved LJ aDe, ied Cit ler 's Signat4 e
Council Meeting Date: 3/2/2009 Department ID Number: PL-05
CITY OF HUNTINGTON BEACH
REQUEST FOR CITY COUNCIL ACTION
SUBMITTED TO: HONORABLE MAYOR AND CITY COV NCIL MEMBERS
SUBMITTED BY: FRED A. WILSON, CITY ADMINIST R
PREPARED BY: SCOTT HESS, DIRECTOR OF PLAN IN
SUBJECT: APPROVAL OF REIMBURSEMENT AGREEMENT FOR THE FORMER
LAMB SCHOOL SITE
-11 Statement of Issue,Funding Source,Recommended Action,Alternative Action(s),Analysis,Environmental Status,Attachment(s)
Statement of Issue:
Transmitted for City Council approval is a reimbursement agreement for the former Lamb
School site. The Reimbursement Agreement will help defray the costs of professional
planning services associated with the environmental documentation for the former Lamb
School Site.
Funding Source:
Not Applicable
Recommended Action: Motion to:
"Approve the Reimbursement Agreement with Ranco Huntington Investments, LLC as
prepared by the City Attorney."
Alternative Action(s):
"Continue the Reimbursement Agreement and direct staff accordingly."
REQUEST FOR CITY COUNCIL ACTION
MEETING DATE: 3/2/2009 DEPARTMENT ID NUMBER: PE-06
Analysis:
Applicant: Ranco Huntington Investments, LLC, 1300 Quail Street, Suite 110, Newport
Beach, CA 92660
Project Location: 10251 Yorktown Avenue (North side of Yorktown Ave., east of Brookhurst
Street)
The project proponent, Ranco Huntington Investments, LLC, proposes to develop 61 single-
family units on a 14.25-acre site located at 10251 Yorktown Avenue (North side of Yorktown
Ave., east of Brookhurst Street). The City owns 2.6 acres of the site that will be used for
open space purposes. The site is surrounded by single family residences on the west, east
and north and fronts Yorktown Ave. on the south. The project requires the processing of a
General Plan Amendment, Zoning Map Amendment, Conditional Use Permit and Tentative
Tract Map. Pursuant to the California Environmental Quality Act (CEQA), the City must
prepare the requisite environmental documentation before this project can proceed.
The Planning Department selected Michael Brandman Associates to prepare the
environmental documentation required. The cost of the contract with Michael Brandman
Associates is $70,812. These costs will be reimbursed to the City by Ranco Huntington
Investments LLC. There have been many reimbursement agreements requested by staff
and the development community. This is an acceptable method to give developers greater
assurance of timely entitlement processing in the City of Huntington Beach. Staff
recommends the City Council approve the reimbursement agreement.
Strategic Plan Goal:
L-5 Improve the efficiency of the development review process. Using an outside
consultant facilitates processing of the environmental documentation.
Environmental Status:
Projects over which public agencies exercise ministerial authority, such as this agreement
contracting for preparation of environmental documentation, are categorically exempt from
the California Environmental Quality Act pursuant to Section 15300.1.
Attachment(s):
PagelNumber ® - •
1. Reimbursement Agreement with Ranco Huntington Investments LLC
-2- 2/12/2009 2:03 PM
ATTACHMENT # 1
}
REIMBURSEMENT-PLANNING - AGREEMENT BETWEEN THE
CITY OF HUNTINGTON BEACH AND
Ranco Huntington Investments, LLC
FOR COSTS INCURRED FOR
Former Lamb School CEQA Documentation
THIS AGREEMENT ("Agreement") is made and entered into by and between the City of
Huntington Beach, a municipal corporation of the State of California, hereinafter referred to as
"CITY," and Ran co Huntington ngton Tnvestments a Limitpd T.i nbi 1 i ty Company
hereinafter referred to as "DEVELOPER."
WHEREAS, DEVELOPER is proposing to develop an area within the City of Huntington
Beach known as the former Lamb .School site
; and
DEVELOPER is required to submit applications to CITY for approval of various
discretionary matters, such as entitlements, zone changes, land use approvals and environmental
assessments; and
DEVELOPER desires that all entitlements, zone changes, land use approvals and
environmental assessments be processed as soon as possible; and
DEVELOPER desires to have CITY commit sufficient resources to enable the expeditious
processing of applications and other necessary documentation; and
Pursuant to California Government Code Section 87103.6, DEVELOPER is allowed to
defray the cost of processing development applications and entitlements by reimbursing CITY for
such costs,
NOW, THEREFORE, in consideration of the promises and agreements hereinafter made and
exchanged,the parties agree as follows:
g/agree/citywide/surfnet/reimburs3-07 1
1. PAYMENT
DEVELOPER agrees to reimburse CITY for its professional services as follows:
A. Within ten (10) days following execution of this Agreement by CITY,
DEVELOPER will make an initial payment to CITY in the amount of
Nineteen thousand nine hundred Dollars ($ 19,953.00 ) (hereinafter
fifty three
the "Amount of Deposit"). Thereafter, on the first day of each third month, DEVELOPER
shall replenish the Amount of Deposit by paying to CITY an amount equal to the amount
paid by CITY for professional services funded by this Agreement (the "Quarterly
Payment"). The parties acknowledge that the Amount of Deposit will be used to pay the
professional planning services funded by this Agreement, and if, prior to the payment of any
Quarterly Payment, the Amount of Deposit is less than One Thousand Dollars ($1,000),
DEVELOPER shall make the next Quarterly Payment within ten (10) days' notice from
CITY. DEVELOPER acknowledges that the amount referenced in this Agreement is the
CITY's best estimate of the costs for the services described herein, and that the actual cost of
said services may be higher. In the event that the actual cost of said services exceeds the
estimated costs, DEVELOPER agrees to pay the actual cost within ten (10) days after
receiving CITY's invoice for same. In the event the actual costs of Reimbursement Services
are less than the estimated costs, CITY will refund the difference between the actual and
estimated costs.
B. The estimated cost to cover twelve (12) months of professional services is
Seventy Thousand eight hundred Dollars ($ 70,812.00 )
we ve
C. A late payment fee of ten percent (10%) will be assessed if CITY receives
any payment later than the thirtieth (30th) day after that payment is due but unpaid. In
g/agree/citywide/surfnet/reimburs3-07 2
1
addition, one and one-half percent(I'/z) interest per month shall be added for each month the
payment hereunder is due but unpaid.
2. STATEMENT OF INTENT
The amounts reimbursed to CITY pursuant to this Agreement will help defray
CITY's cost of the professional planning services required to process DEVELOPER's various
development applications and entitlements as set forth herein.
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 CITY to approve any plan, proposal, suggestion,
application or request submitted by DEVELOPER.
B. Shall be deemed to limit, in any respect whatsoever, CITY's sole authority to
direct and control the planner(s) assigned to DEVELOPER's various development projects.
C. Shall be deemed to impose any liability on CITY different from any liability
as may otherwise be established by law.
4. CITY EMPLOYEES AND OFFICIALS
DEVELOPER shall employ no CITY official nor any regular CITY employee in the
work performed pursuant to this Agreement. No officer or employee of CITY shall have any direct
financial interest in this Agreement.
5. TIME IS OF THE ESSENCE
CITY agrees that time is of the essence for the performance of the work to be funded
pursuant to this Agreement and therefore, thirty (30) days prior to each quarterly invoice,
DEVELOPER shall submit a list of proposed activities to be performed by the CITY for approval
by the Planning Director.
g/agree/citywide/surfnet/reimburs3-07 3
0
6. 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 parry. DEVELOPER shall be responsible for all
costs incurred prior to termination, including any and all costs incurred after notice of termination
has been given.
7. TERM
This Agreement shall be effective on the date of its approval by the City Council of
CITY. This Agreement shall expire when terminated as provided herein.
8. NOTICES
Any notices, certificates, or other communications hereunder shall be given either by
personal delivery to DEVELOPER's agent or to CITY as the situation shall warrant, or by enclosing
the same in a sealed envelope, postage prepaid, and depositing the same in the United States Postal
Service, to the addresses specified below; provided that CITY and DEVELOPER, by notice given
hereunder, may designate different addresses to which subsequent notices, certificates or other
communications will be sent:
TO CITY: TO DEVELOPER:
City of Huntington Beach Ranrn Himtingtnn Tnvactmantg T T C
ATTN:Chris Davis 1300 Quail Street, suite 110
2000 Main Street Newport Beach, CA 92660
Huntington Beach, CA 92648
ATTN: Tom Williams
9. MODIFICATION
No waiver or modification of any language in this Agreement shall be valid unless in
writing and duly executed by both parties.
g/agree/citywide/surfnet/reimburs3-07 4
10. SECTION HEADINGS
The titles, captions, section, paragraph and subject headings, and descriptive phrases
at the beginning of the various sections in this Agreement are merely descriptive and are included
solely for convenience of reference only and are not representative of matters included.or excluded
from such provisions, and do not interpret, define, limit or describe, or construe the intent of the
parties or affect the construction or interpretation of any provision of this Agreement.
11. INTERPRETATION OF THIS AGREEMENT
The language of all parts of this Agreement shall in all cases be construed as a
whole, according to its fair meaning, and not strictly for or against any of the parties. If any
provision of this Agreement is held by an arbitrator or court of competent jurisdiction to be
unenforceable, void, illegal or invalid, such holding shall not invalidate or affect the remaining
covenants and provisions of this Agreement. No covenant or provision shall be deemed dependent
upon any other unless so expressly provided here. As used in this Agreement, the masculine or
neuter gender and singular or plural number shall be deemed to include the other whenever the
context so indicates or requires. Nothing contained herein shall be construed so as to require the
commission of any act contrary to law, and wherever there is any conflict between any provision
contained herein and any present or future statute, law, ordinance or regulation contrary to which
the parties have no right to contract, then the latter shall prevail, and the provision of this
Agreement which is hereby affected shall be curtailed and limited only to the extent necessary to
bring it within the requirements of the law.
12. DUPLICATE ORIGINAL
The original of this Agreement and one or more copies hereto have been prepared
and signed in counterparts as duplicate originals, each of which so executed shall, irrespective of the
g/agree/citywide/surfnet/reimburs3-07 5
date of its execution and delivery, be deemed an original. Each duplicate original shall be deemed
an original instrument as against any party who has signed it.
13. IMMIGRATION
DEVELOPER shall be responsible for full compliance with the immigration and
naturalization laws of the United States and shall, in particular, comply with the provisions of the
United States Code regarding employment verification.
14. LEGAL SERVICES SUBCONTRACTING PROHIBITED
DEVELOPER and CITY agree that CITY is not liable for payment of any
subcontractor work involving legal services, and that such legal services are expressly outside the
scope of services contemplated hereunder. DEVELOPER understands that pursuant to Huntington
Beach City Charter Section 309, the City Attorney is the exclusive legal counsel for CITY; and
CITY shall not be liable for payment of any legal services expenses incurred by DEVELOPER.
15. ATTORNEY'S FEES
In the event suit is brought by either party to construe, interpret and/or enforce the
terms and/or provisions of this Agreement or to secure the performance hereof, each party shall bear
its own attorney's fees.
16. GOVERNING LAW
This Agreement shall be governed and construed in accordance with the laws of the
State of California.
17. SIGNATORIES
Each undersigned represents and warrants that its signature hereinbelow has the
power, authority and right to bind their respective parties to each of the terms of this Agreement,
and shall indemnify CITY fully for any injuries or damages to CITY in the event that such authority
or power is not, in fact, held by the signatory or is withdrawn.
g/agree/citywide/surfnet/reimburs3-07 6
18. ENTIRETY
This Agreement, and the attached exhibits, contains the entire agreement between the
parties respecting the subject matter of this Agreement and supersedes all prior understanding and
agreements whether oral or in writing between the parties respecting the subject matter hereof.
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by
and through their authorized officers on /1�,Q O a, 20O.
DEVELOPER,
fi/�/�o�C.� /�(��"�NG jU/� CITY OF HUNTINGTON BEACH, a
municipal corporation of the State of
/UU r S M n/jS LL-C_ aliforma
m
By' ayor
,�4 �� 1,�, c��✓U��i/�j
print name Ciy Clerk 3 b W°R
ITS: (circle one) e� President
AND o o INITIATED
D o
BY o Director ofl� �[
print name REVIEWED D APPROVED AS TO
ITS: (circle one) Secret financial Officer/Asst. CONTENT:
Secretary—Treasurer (W4^J/CC i M7
CitybUmlnistrator
APPROVED AS TO FORM:
--Nt�1 > z 9
(`,City Attorney
g/agree/citywide/surfnet/reimburs3-07 7
RCA ROUTING SHEET
INITIATING DEPARTMENT: Planning
SUBJECT: Reimbursement Agreement for the former Lamb School
Site to prepare Environmental Documentation
COUNCIL MEETING DATE: March 2, 2009
RCA ATTACHMENTS STATUS
Ordinance (w/exhibits & legislative draft if applicable) Attached ❑
Not Applicable
Resolution (w/exhibits & legislative draft if applicable) Attached ❑
Not Applicable
Tract Map, Location Map and/or other Exhibits Attached ❑
Not Applicable
Contract/Agreement (w/exhibits if applicable) Attached
(Signed in full by the City Attorney) Not Applicable ❑
Subleases, Third Party Agreements, etc. Attached ❑
(Approved as to form by City Attorney Not Applicable
Certificates of Insurance (Approved by the City Attomey) Attached ❑
Not Applicable
Fiscal Impact Statement (Unbudgeted, over $5,000) Attached ❑
Not Applicable
Bonds (If applicable) Attached ❑
Not Applicable
Staff Report (If applicable) Notached
t Applicable
Commission, Board or Committee Report (If applicable) Attached ❑
Not Applicable
Findings/Conditions for Approval and/or Denial Attached ❑
Not Applicable
EXPLANATION FOR vi ISSIING ATTACHMENTS
REVIEWED RETURNED FOR A DED
Administrative Staff ( ) )
Deputy City Administrator (Initial) ( )
City Administrator (Initial) ( ) ( )
City Clerk ( )
EXPLANATION FOR RETURN OF ITEM:
® o . . -
RCA Author: C. Davis
City of Huntington Beach
._° 2000 Main Street • Huntington Beach, CA 92648
OFFICE OF THE CITY CLERK
JOAN L. FLYNN
o CITY CLERK
March 9, 2009
Ranco Huntington Investments, LLC
Attn: Tom Williams
1300 Quail Street, Suite 110
Newport Beach, CA 92660
Dear Mr. Williams
Enclosed for your records a copy of the Reimbursement— Planning —Agreement Between
the City of Huntington Beach and Ranco Huntington Investments, LLC for Costs Incurred
for Former Lamb School CEQA Documentation.
Sincerely,
Jo n L. Flynn,qCMC
City Clerk
JF-pe
Enclosure
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