HomeMy WebLinkAboutAccept 15 foot water well easement - McDonnell Douglas - Boe `-
J, City of Huntington Beach
P.O. Box 190 - 2000 Main Street
Ceg Huntington Beach, California 92648
HUNTINGTON BEACH www.ci.huntington-beach.ca.us
From the desk of: Connie Brockway, CMC
City Clerk
Telephone: (714) 536-5404
Fax: (714) 374-1557
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CALIFORNIA LAND TITLE ASSOCIATION N
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CHICAGO TITLE INSURANCE COMPANY
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SUBJECT TO THE EXCLUSIONS FROM COVERAGE, THE EXCEPTIONS FROM COVERAGE `',
O CONTAINED IN SCHEDULE B AND THE CONDITIONS AND STIPULATIONS, CHICAGO TITLE
INSURANCE COMPANY,a Missouri corporation,herein called the Company,insures,as of Date of Policy shown i
r in Schedule A, against loss or damage, not exceedingthe Amount of Insurance stated in Schedule A, sustained or
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k2 incurred by the insured by reason of: '�:.1
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1. Title to the estate or interest described in Schedule A being vested other than as stated therein; 1 >
e 2. Any defect in or lien or encumbrance on the title; t
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C 3. Unmarketability of the title;
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1 4. Lack of a right of access to and from the land; 13
and in addition, as to an insured lender only: j..::
k 5. The invalidity or unenforceability of the lien of the insured mortgage upon the title; I"
6. The priority of any lien or encumbrance over the lien of the insured mortgage, said mortgage being s
shown in Schedule B in the order of its priority;
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7. The invalidity or unenforceability of any assignment of the insured mortgage,provided the assignment 1
' is shown in Schedule B,or the failure of the assignment shown in Schedule B to vest title to the insured
it
t mortgage in the named insured'assignee free and clear of all liens. i>
The Company will also pay the costs,attorneys'fees and expenses incurred in defense of the title or the lien of the
insured mortgage, as insured, but only to the extent provided in the Conditions and Stipulations. �-
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In Witness Whereof,CHICAGO TITLE INSURANCE COMPANY has caused this policy to be signed and sealed as �
'. of Date of Policy shown in Schedule A,the policy to become valid when countersigned by an authorized signatory. IF 1
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CHICAGO TITLE COMPANY 1
16969 Von Karman Avenue CHICAGO TITLE INSURANCE COMPANY !€-'(y..,)B • .
Suite 200
Irvine CA 92606 �'i`s'Ns�.N.F
(949) 263-0123 0•,o�posaT _oo Z.,.`
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800 845-9266 �`"
( ) o IOC n President j_:
t) SEAL
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Secretary f',
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A
EXCLUSIONS FROM COVERAGE
The following matters are expressly excluded from the coverage of this policy and the Company will not pay loss or damage,costs,attorneys'fees
or expenses which arise by reason of:
1. (a) Any law,ordinance or governmental regulation(including but not limited to building and zoning laws,ordinances,or regulations)restrict-
ing,regulating,prohibiting or relating to(i)the occupancy,use,or enjoyment of the land;(ii)the character,dimensions or location of any
improvement now or hereafter erected on the land;(iii)a separation in ownership or a change in the dimensions or area of the land or any
parcel of which the land is or was a part; or(iv) environmental protection, or the effect of any violation of these laws, ordinances or
governmental regulations,except to the extent that a notice of the enforcement thereof or a notice of a defect,lien or encumbrance resulting
from a violation or alleged violation affecting the land has been recorded in the public records at Date of Policy.
(b) Any governmental police power not excluded by(a)above,except to the extent that a notice of the exercise thereof or a notice of a defect,
lien or encumbrance resulting from a violation or alleged violation affecting the land has been recorded in the public records at Date of
Policy.
2. Rights of eminent domain unless notice of the exercise thereof has been recorded in the public records at Date of Policy,but not excluding from
coverage any taking which has occurred prior to Date of Policy which would be binding on the rights of a purchaser for value without knowledge.
3. Defects,liens,encumbrances,adverse claims oraother matters:
(a) whether or not recorded in the public records at Date of Policy, but created,suffered,assumed or agreed to by the insured claimant;
(b) not known to the Company,not recorded in the public records at Date of Policy, but known to the insured claimant and not disclosed in
writing to the Company by the insured claimant prior to the date the insured claimant became an insured under this policy;
(c) resulting in no loss or damage to the insured claimant;
(d) attaching or created subsequent to Date of Policy;or
(e) resulting in loss or damage which would not have been sustained if the insured claimant had paid value for the insured mortgage or the
estate or interest insured by this policy.
4. Unenforceability of the lien of the insured mortgage because of the inability or failure of the insured at Date of Policy,or the inability or failure of
any subsequent owner of the indebtedness,to comply with applicable doing business laws of the state in which the land is situated.
5. Invalidity or unenforceability of the lien of the insured mortgage,or claim thereof,which arises out of the transaction evidenced by the insured
mortgage and is based upon usury or any consumer credit protection or truth in lending law.
6. Any claim,which arises out of the transaction vesting in the insured the estate or interest insured by this policy or the transaction creating the
interest of the insured lender,by reason of the operation of federal bankruptcy,state insolvency,or similar creditors'rights laws.
CONDITIONS AND STIPULATIONS
1. DEFINITION OF TERMS mortgage to be released from the obligation to purchase by virtue of a contrac-
The following terms when used in this policy mean: tual condition requiring the delivery of marketable title.
(a) "insured":the insured named in Schedule A,and,subject to any rights 2. CONTINUATION OF INSURANCE
or defenses the Company would have had against the named insured,those (a)After Acquisition of Title by Insured Lender.If this policy insures the
who succeed to the interest of the named insured by operation of law as owner of the indebtedness secured by the insured mortgage,the coverage of
distinguished from purchase including,but not limited to,heirs,distributees, this policy shall continue in force as of Date of Policy in favor of(i)such insured
devisees, survivors, personal representatives, next of kin, or corporate or who acquires all or any part of the estate or interest in the land by foreclosure,
fiduciary successors.The term"insured"also includes trustee's sale,conveyance in lieu of foreclosure,or other legal manner which
(i)the owner of the indebtedness secured by the insured mortgage and discharges the lien of the insured mortgage;(ii)a transferee of the estate or
each successor in ownership of the indebtedness except a successor who is interest so acquired from an insured corporation, provided the transferee is
an obligor under the provisions of Section 12(c) of these Conditions and the parent or wholly-owned subsidiary of the insured corporation,and their
Stipulations(reserving,however,all rights and defenses as to any successor corporate successors by operation of law and not by purchase,subject to any
that the Company would have had against any predecessor insured, unless rights or defenses the Company may have against any predecessor insureds;
the successor acquired the indebtedness as a purchaser for value without and (iii) any governmental agency or governmental instrumentality which
knowledge of the asserted defect,lien,encumbrance,adverse claim or other acquires all or any part of the estate or interest pursuant to a contract of
matter insured against by this policy as affecting title to the estate or interest in insurance or guaranty insuring or guaranteeing the indebtedness secured by
the land); the insured mortgage.
(ii)any governmental agency or governmental instrumentality which is an (b)After Conveyance of Title by an Insured.The coverage of this policy
insurer or guarantor under an insurance contract or guaranty insuring or shall continue in force as of Date of Policy in favor of an insured only so long as
guaranteeing the indebtedness secured by the insured mortgage,or any part the insured retains an estate or interest in the land,or holds an indebtedness
thereof,whether named as an insured herein or not; secured by a purchase money mortgage given by a purchaser from the
(iii)the parties designated in Section 2(a)of these Conditions and Stipula- insured,or only so long as the insured shall have liability by reason of cove-
tions. nants of warranty made by the insured in any transfer or conveyance of the
(b)"insured claimant":an insured claiming loss or damage. estate or interest.This policy shall not continue in force in favor of any pur-
(c)"insured lender":the owner of an insured mortgage. chaser from an insured of either(i)an estate or interest in the land,or(ii)an
(d)"insured mortgage". a mortgage shown in Schedule 13, the owner of indebtedness secured by a purchase money mortgage given to an insured.
which is named as an insured in Schedule A. (c)Amount of Insurance.The amount of insurance after the acquisition or
(e)"knowledge" or "known". actual knowledge, not constructive knowl- after the conveyance by an insured lender shall in neither event exceed the
edge or notice which may be imputed to an insured by reason of the public least of:
records as defined in this policy or any other records which impart construc- (i)the amount of insurance stated in Schedule A,
five notice of matters affecting the land. (ii)the amount of the principal of the indebtedness secured by the insured
(f)"land":the land described or referred to in Schedule A, and:improve- mortgage as of Date of Policy, interest thereon, expenses of foreclosure,
ments affixed thereto which by law constitute real property.The term"land" amounts advanced pursuant to the insured mortgage to assure compliance
does not include any property beyond the lines of the area described or with laws or to protect the lien of the insured mortgage prior to the time of
referred to in Schedule A,nor any right,title,interest,estate or easement in acquisition of the estate or interest in the land and secured thereby and
abutting streets,roads,avenues,alleys,lanes,ways or waterways,but noth- reasonable amounts expended to prevent deterioration of improvements,but
ing herein shall modify or limit the extent to which a right of access to and from reduced by the amount of all payments made;or
the land is insured by this policy. (iii)the amount paid by any governmental agency or governmental instru-
(g)"mortgage": mortgage, deed of trust, trust deed, or other security mentality,if the agency or instrumentality is the insured claimant,in the sition of the estate or interest in satisfaction of its insurance contract or guar-
instrument. ant
(h)"public records": records established under state statutes at Date of y
Policy for the purpose of imparting constructive notice of matters relating to 3. NOTICE OF CLAIM TO BE GIVEN BY INSURED CLAIMANT
real property to purchasers for value and without knowledge. An insured shall notify the Company promptly in writing(I)in case of any
(i)"unmarketability of the title".an alleged or apparent matter affecting the litigation as set forth in Section 4(a)below,(ii)in case knowledge shall come to
title to the land,not excluded or excepted from coverage,which would entitle a an insured hereunder of any claim of title or interest which is adverse to the
purchaser of the estate or interest described in Schedule A or the insured title to the estate or interest or the lien of the insured mortgage,as insured,and
California Land Title Association Owner's Policy
SCHEDULE A
Amountoflnsurance: $75,000.00 Policy No. 23808084 MO8
Date of Policy: June 27, 2002 at 11:47 PM Premium: $420.00
1. Name of Insured:
CITY OF HUNTINGTON BEACH, A MUNICIPAL CORPORATION
2. The estate or interest in the land which is covered by this policy is:
A FEE
3. Title to the estate or interest in the land is vested in:
CITY OF HUNTINGTON BEACH, A MUNICIPAL CORPORATION
4. The land referred to in this policy is described as follows:
SEE ATTACHED DESCRIPTION
This Policy valid only if Schedule B is attached.
CLTA°Aaa—'°/,a/ssaa CHICAGO TITLE INSURANCE COMPANY
DESCRIPTION
Page 1
Policy No. 23808084 M08
A PORTION OF PARCEL 6, IN THE CITY OF HUNTINGTON BEACH, COUNTY OF ORANGE, STATE OF
CALIFORNIA, AS SHOWN ON A MAP FILED IN BOOK 1, PAGES 3 THROUGH 5, INCLUSIVE OF PARCEL
MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, DESCRIBED AS FOLLOWS:
BEGINNING AT THE MOST NORTHERLY CORNER OF SAID PARCEL 6; THENCE ALONG THE
NORTHEASTERLY LINE OF SAID PARCEL.6, SOUTH 40° 2.4' 05" EAST, 232.77 FEET; THENCE
SOUTH 49° 35' 55" WEST, 40.19 FEET; THENCE NORTH 82° 26' 28" WEST, 62.44 FEET; THENCE
NORTH 40° 24' 05" WEST, 64.13 FEET; THENCE NORTH 49° 35' 55" EAST, 37.86 FEET; THENCE
NORTH 04° 35' 55" EAST, 20.00 FEET; THENCE NORTH 40° 24' 05" WEST, 108.12 FEET TO A
POINT ON THE NORTHWESTERLY LINE OF SAID PARCEL 6;. THENCE ALONG SAID NORTHWESTERLY
LINE, NORTH 49° 34' 06" EAST, 30.00 FEET TO SAID POINT OF BEGINNING.
EXCEPT THEREFROM ONE-HALF OF ALL OIL, GAS, CASINGHEAD GAS, AND OTHER HYDROCARBON OR
MINERAL SUBSTANCES (ALL THEREOF HEREINAFTER REFERRED TO AS "RESERVED SUBSTANCES") ,
IN, UNDER OR THAT MAY BE PRODUCED FROM SAID LAND, TOGETHER WITH ALL RIGHTS INCIDENT
THERETO, INCLUDING THE EXCLUSIVE RIGHT OF INGRESS AND EGRESS AT ALL TIMES FOR THE
PURPOSE OF MINING, DRILLING AND EXPLORING SAID LAND FOR SAID RESERVED SUBSTANCES AND
FOR THE PURPOSE OF REMOVING SUCH RESERVED SUBSTANCES THEREFROM, PARTICULARLY
INCLUDING THE RIGHT OF ENTRY AT ANY AND ALL TIMES UPON AND INTO ANY AND ALL PARTS OF
THE SAID LAND, BELOW A DEPTH OF 500 FEET FROM ITS SURFACE, BY SLANT OR DIRECTIONAL
DRILLING FROM OTHER LAND INTO AND PENETRATING THE SAID LAND BELOW SUCH DEPTH OF 500
FEET FROM THE. SURFACE THEREOF, BUT NOT INCLUDING ANY RIGHT (AND THERE SHALL BE NO
RIGHT UNDER SUCH EXCEPTION AND RESERVATION) OF ENTRY UPON OR USE OF THE SURFACE, OR
OF THE SUBSURFACE ABOVE A DEPTH OF 500 FEET BELOW THE SURFACE OF ANY PART OF SAID
LAND, AS CONTAINED IN DEED FROM DOROTHY T. PECK, ET AL. , RECORDED SEPTEMBER 22, 1967
IN BOOK 8381, PAGE 144, OFFICIAL RECORDS.
DESCPOL-02/26/92-Irc
California Land Title Association Owner's Policy
SCHEDULE B
Policy No. 23808084 M08
EXCEPTIONS FROM COVERAGE
This policy does not insure against loss or damage (and the Company will not pay costs, attorneys' fees or expenses)
which arise by reason of:
PARTI
1. Taxes or assessments which are not shown as existing liens by the records of any taxing authority that levies taxes
or assessments on real property or by the public records.
Proceedings by a public agency which may result in taxes or assessments, or notices of such proceedings,
whetheror not shown by the records of such agency or by the public records.
2. Any facts, rights,interests or claims which are not shown by the public records but which could be ascertained by
an inspection of the land or which may be asserted by persons in possession thereof.
3. Easements,liens or encumbrances,or claims thereof,which are not shown by the public records.
4. Discrepancies, conflicts in boundary lines, shortage in area, encroachments, or any other facts which a correct
survey would disclose,and which are not shown by the public records.
5. (a) Unpatented mining claims; (b) reservations or exceptions in patents or in Acts authorizing the issuance
thereof; (c) water rights, claims or title to water, whether or not the matters excepted under (a), (b), or (c) are
shown by the public records.
PART II
A 1. PROPERTY TAXES, INCLUDING ANY ASSESSMENTS COLLECTED WITH TAXES, TO BE LEVIED
FOR THE FISCAL YEAR 2002-2003 THAT ARE A LIEN NOT YET DUE.
c 2. THE LIEN OF SUPPLEMENTAL OR ESCAPED ASSESSMENTS OF PROPERTY TAXES, IF ANY,
MADE PURSUANT TO THE PROVISIONS OF PART 0.5, CHAPTER 3.5 OR PART 2, CHAPTER
3, ARTICLES 3 AND 4 RESPECTIVELY (COMMENCING WITH SECTION 75) OF THE REVENUE
AND TAXATION CODE OF THE STATE OF CALIFORNIA AS A RESULT OF THE TRANSFER OF
TITLE TO THE VESTEE NAMED IN SCHEDULE A; OR AS A RESULT OF CHANGES IN
OWNERSHIP OR NEW CONSTRUCTION OCCURRING PRIOR TO DATE OF POLICY.
z 3. A NOTICE OF SPECIAL TAX LIEN PURSUANT TO SECTIONS 3114.5 OF THE STREETS AND
HIGHWAY CODE AND SECTION 53328.3 OF THE GOVERNMENT CODE IMPOSING A CONTINUING
LIEN.
EXECUTED BY: CITY CLERK, CITY OF HUNTINGTON BEACH
AMOUNT: NO AMOUNT IS SHOWN IN SAID NOTICE
DATED: JUNE 17, 2002
PURPOSE: IMPROVEMENT AREA A OF THE CITY OF HUNTINGTON BEACH
COMMUNITY FACILITIES DISTRICT NO. 2002-1 (MC DONNELL
CENTRE BUSINESS PARK)
RECORDED: JUNE 18, 2002 AS INSTRUMENT NO. 20020509640, OFFICIAL
RECORDS
AA 4. A NOTICE OF SPECIAL TAX LIEN PURSUANT TO SECTIONS 3114.5 OF THE STREETS AND
CLTA0B88-10/13/95AA CHICAGO TITLE INSURANCE COMPANY
Policy No. 23808084 -MO8
Page 1
SCHEDULE B (CONT.)
Part II
HIGHWAY CODE AND SECTION 53328.3 OF THE GOVERNMENT CODE IMPOSING A
CONTINUING LIEN.
EXECUTED BY: CITY CLERK, CITY OF HUNTINGTON BEACH
AMOUNT: NO AMOUNT IS SHOWN IN SAID NOTICE
DATED: JUNE 17, 2002
PURPOSE: IMPROVEMENT AREA A OF THE CITY OF HUNTINGTON BEACH
COMMUNITY FACILITIES DISTRICT NO. 2002-1 (MC DONNELL
CENTRE BUSINESS PARK)
RECORDED: JUNE 18, 2002 AS INSTRUMENT NO. 20020509641, OFFICIAL
RECORDS
D 5. THE USE AND CONTROL OF CIENEGAS AND NATURAL STREAMS OF WATER, IF ANY,
NATURALLY UPON, FLOWING ACROSS, INTO OR BY THE HEREIN DESCRIBED LAND, AND
THE RIGHT OF WAY FOR AND TO CONSTRUCT IRRIGATION OR DRAINAGE DITCHES
THROUGH SAID LAND TO IRRIGATE OR DRAIN ADJACENT LANDS, AS RESERVED IN THE
DEED RECORDED APRIL 18, 1902 IN BOOK 30, PAGE 327 OF DEEDS.
E 6. AN AGREEMENT DATED JULY 25, 1962 BY AND BETWEEN DOROTHY THAYER PECK AND
TITLE INSURANCE AND TRUST COMPANY, A CALIFORNIA CORPORATION, AS TRUSTEES OF
THE TRUST UNDER WRITTEN DECLARATION THEREOF BY CARRIE A. PECK, DATED
DECEMBER 18, 1936, DOROTHY T. PECK, ALSO KNOWN AS DOROTHY THAYER PECK,
INDIVIDUALLY AND DOROTHY T. PECK, ALSO KNOWN AS DOROTHY THAYER PECK, AS
TRUSTEES OF THE TRUST UNDER THE WILL OF ALDRICH R. PECK, DECEASED, AND THE
DECREE OF DISTRIBUTION OF HIS ESTATE, AS FIRST PARTIES, AND DOUGLAS
AIRCRAFT COMPANY, INC. , A DELAWARE CORPORATION, AS SECOND PARTY, RELATING
TO THE OFFER TO DEDICATE CERTAIN HIGHWAY EASEMENTS AND A SITE FOR A FIRE
STATION AND WATER RESERVOIR, TO THE IMPROVEMENT OF PORTIONS OF BOLSA AVENUE
AND TO THE OPTION OF PURCHASING THE LAND AS DESCRIBED THEREIN, RECORDED
JULY 27, 1962 IN BOOK 6192, PAGE 682 OF OFFICIAL RECORDS, AND MAY 12, 1965
IN BOOK 7517, PAGE 527 OF OFFICIAL RECORDS, REFERENCE THEREBY MADE TO SAID
INSTRUMENT FOR FULL PARTICULARS.
1 7. AN UNRECORDED AGREEMENT DATED FEBRUARY 1, 1963, EXECUTED BY AND BETWEEN
DOUGLAS AIRCRAFT COMPANY, INC. , A CORPORATION, AS LESSOR, AND UNI-PLANT
CORPORATION, A CORPORATION, AS LESSEE, RELATING TO, AMONG OTHER THINGS,
NECESSARY EASEMENTS AND OTHER PROPERTY INTERESTS IN AND OVER THE HEREIN
DESCRIBED AND OTHER LAND APPURTENANT TO A PARCEL OF LAND LYING NORTHERLY OF
SAID LAND, AS DISCLOSED IN AN INSTRUMENT ENTITLED "LEASE AND GRANT OF
EASEMENT", AND EXECUTED BY THE AFOREMENTIONED CORPORATIONS, RECORDED
NOVEMBER 12, 1963 IN BOOK 6800, PAGE 656 OF OFFICIAL RECORDS AS INSTRUMENT
NO. 9187, REFERENCE BEING HEREBY MADE TO THE RECORD THEREOF FOR FURTHER
PARTICULARS.
x 8. THE EFFECT OF A MAP PURPORTING TO SHOW THE HEREIN DESCRIBED AND OTHER LAND
FILED IN BOOK 1, PAGES 3, 4 AND 5 OF PARCEL MAPS.
r 9. AN EASEMENT FOR THE PURPOSE SHOWN BELOW AND RIGHTS INCIDENTAL THERETO AS
SET FORTH IN A DOCUMENT
CLTA88C-12/16/88
Policy No. 23808084 -M08
Page 2
SCHEDULE B (CONT.)
Part II
GRANTED TO: SOUTHERN CALIFORNIA EDISON COMPANY, A CORPORATION
PURPOSE: ELECTRIC LINES CONSISTING OF POLES, NECESSARY GUYS AND
ANCHORS; GUY STUB POLES, CROSSARMS, WIRES AND OTHER
FIXTURES AND APPLIANCES FOR CONVEYING ELECTRIC ENERGY
TO BE USED FOR LIGHT, HEAT, POWER, TELEPHONE AND/OR
OTHER PURPOSES
RECORDED: MAY 27, 1968 IN BOOK 8612, PAGE 741, OFFICIAL RECORDS
AFFECTS: THAT PORTION OF SAID LAND MORE PARTICULARLY DESCRIBED
THEREIN
A PORTION OF SAID EASEMENT WAS QUITCLAIMED TO THE OWNERS OF RECORD BY
INSTRUMENT RECORDED MARCH 7, 1990 AS INSTRUMENT NO. 90-119698, OFFICIAL
RECORDS.
j 10. AN EASEMENT FOR THE PURPOSE SHOWN BELOW AND RIGHTS INCIDENTAL THERETO AS
SET FORTH IN A DOCUMENT
GRANTED TO: SOUTHERN CALIFORNIA EDISON COMPANY, A CORPORATION
PURPOSE: STUB POLES, GUY WIRES, ANCHORS AND OTHER APPURTENANT
FIXTURES AND./OR .EQUIPMENT NEEDED FOR ANCHORAGE
RECORDED: JULY 2, 1982 AS INSTRUMENT NO. 82-230068, OFFICIAL
RECORDS
AFFECTS: THAT PORTION OF SAID LAND MORE PARTICULARLY DESCRIBED
THEREIN
THE EXACT LOCATION AND EXTENT OF SAID EASEMENT IS NOT DISCLOSED OF RECORD.
x 11. AN EASEMENT FOR THE PURPOSE SHOWN BELOW AND RIGHTS INCIDENTAL THERETO AS
SET FORTH IN A DOCUMENT
GRANTED TO: SOUTHERN CALIFORNIA EDISON COMPANY, A CORPORATION
PURPOSE: PUBLIC UTILITIES
RECORDED: MARCH 7, 1990 AS INSTRUMENT NO. 90-119697, OFFICIAL
RECORDS
AFFECTS: THAT PORTION OF SAID LAND MORE PARTICULARLY DESCRIBED
THEREIN
u 12. A DOCUMENT ENTITLED "UTILITY EASEMENT AGREEMENT", DATED MARCH 18, 1997
EXECUTED BY MCDONNELL DOUGLAS CORPORATION, A MARYLAND CORPORATION AND CITY
OF HUNTINGTON BEACH, A MUNICIPAL CORPORATION, SUBJECT TO ALL THE TERMS,
PROVISIONS AND CONDITIONS THEREIN CONTAINED, RECORDED AUGUST 4, 1997 AS
INSTRUMENT NO. 19970371743, OFFICIAL RECORDS.
AFFECTS PORTION OF THE NORTHEASTERLY 20 FEET OF SAID LAND
REFERENCE IS MADE TO SAID DOCUMENT FOR FULL PARTICULARS.
CLTA88C-- 12/16/88
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Description: Orange,CA Document-Year.DocID 2002.540927 Page: 4 of 8
Order: br Comment:
which might cause loss or damage for which the C- .--,any may be liable by from third parties as requin '`-,this paragraph, unless prohibited by law or
virtue of this policy, or(iii) if title to the estate or st or the lien of the governmental regulation,st irminate any liability of the Company under
' insured mortgage,as insured,is rejected as unma..._._ble. If prompt notice this policy as to that insures.,„. .hat claim.
shall not be given to the Company,then as to that insured all liability of the 6. OPTIONS TO PAY OR OTHERWISE SETTLE CLAIMS;TERMINATION
Company shall terminate with regard to the matter or matters for which prompt OF LIABILITY
notice is required;provided,however,that failure to notify the Company shall
in no case prejudice the rights of any insured under this policy unless the In case of a claim under this policy,the Company shall have the following
Company shall be prejudiced by the failure and then only to the extent of the additional options:
prejudice. (a)To Pay or Tender Payment of the Amount of Insurance or to
Purchase the Indebtedness.
4. DEFENSE AND PROSECUTION OF ACTIONS; DUTY OF INSURED (i)to pay or tender payment of the amount of insurance under this policy
CLAIMANT TO COOPERATE together with any costs,attorneys'fees and expenses incurred by the insured
(a)Upon written request by an insured and subject to the options contained claimant,which were authorized by the Company,up to the time of payment or
in Section 6 of these Conditions and Stipulations,the Company,at its own tender of payment and which the Company is obligated to pay;or
cost and without unreasonable delay, shall provide for the defense of such (ii)in case loss or damage is claimed under this policy by the owner of the
insured in litigation in which any third party asserts a claim adverse to the title indebtedness secured by the insured mortgage, to purchase the indebted-
or interest as insured,but only as to those stated causes of action alleging a ness secured by the insured mortgage for the amount owing thereon together
defect,lien or encumbrance or other matter insured against by this policy.The with any costs,attorneys'fees and expenses incurred by the insured claimant
Company shall have the right to select counsel of its choice(subject to the which were authorized by the Company up to the time of purchase and which
right of such insured to object for reasonable cause)to represent the insured the Company is obligated to pay.
as to those stated causes of action and shall not be liable for and will not pay If the Company offers to purchase the indebtedness as herein provided,the
the fees of any other counsel.The Company will not pay any fees,costs or owner of the indebtedness shall transfer, assign, and convey the indebted-
expenses incurred by the insured in the defense of those causes of action ness and the insured mortgage,together with any collateral security,to the
which allege matters not insured against by this policy. Company upon payment therefor.
(b)The Company shall have the right, at its own cost, to institute and Upon the exercise by the Company of the option provided for in paragraph
prosecute any action or proceeding or to do any other act which in its opinion a(i),all liability and obligations to the insured under this policy,other than to
may be necessary or desirable to establish the title to the estate or interest or make the payment required in that paragraph,shall terminate,including any
the lien of the insured mortgage,as insured,or to prevent or reduce loss or liability or obligation to defend,prosecute,or continue any litigation,and the
damage to the insured.The Company may take any appropriate action under policy shall be surrendered to the Company for cancellation.
the terms of this policy,whether or not it shall be liable hereunder,and shall not Upon the exercise by the Company of the option provided for in paragraph
thereby concede liability or waive any provision of this policy If the Company a(ii)the Company's obligation to an insured lender under this policy for the
shall exercise its rights under this paragraph,it shall do so diligently. claimed loss or damage,other than the payment required to be made,shall'
(c)Whenever the Company shall have brought an action or interposed a terminate,including any liability or obligation to defend,prosecute or continue
defense as required or permitted by the provisions of this policy,the Company any litigation.
may pursue any litigation to final determination by a court of competent juris- (b)To Pay or Otherwise Settle With Parties Other than the Insured or
diction and expressly reserves the right,in its sole discretion,to appeal from With the Insured Claimant.
any adverse judgment or order. (i)to pay or otherwise settle with other parties for or in the name of an
(d)In all cases where this policy permits or requires the Company to prose- insured claimant any claim insured against under this policy,together with any
cute or provide for the defense of any action or proceeding,an insured shall costs,attorneys'fees and expenses incurred by the insured claimant which
secure to the Company the right to so prosecute or provide defense in the were authorized by the Company up to the time of payment and which the
action or proceeding,and all appeals therein,and permit the Company to use, Company is obligated to pay;or
at its option,the name of such insured for this purpose.Whenever requested (ii)to pay or otherwise settle with the insured claimant the loss or damage
by the Company,an insured,at the Company's expense,shall give the Corn- provided for under this policy,together with any costs, attorneys' fees and
party all reasonable aid(i)in any action or proceeding, securing evidence, expenses incurred by the insured claimant which were authorized by the
obtaining witnesses, prosecuting or defending the action or proceeding, or Company up to the time of payment and which the Company is obligated to
effecting settlement,and(ii)in any other lawful act which in the opinion of the pay
Company may be necessary or desirable to establish the title to the estate or Upon the exercise by the Company of either of the options provided for in
interest or the lien of the insured mortgage, as insured. If the Company is paragraphs(b)(i)or b(ii),the Company's obligations to the insured under this
prejudiced by the failure of an insured to furnish the required cooperation,the policy for the claimed loss or damage,other than the payments required to be
Company's obligations to the insured under the policy shall terminate,includ- made,shall terminate, including any liability or obligation to defend, prose-
ing any liability or obligation to defend,prosecute,or continue any litigation, cute or continue any litigation.
with regard to the matter or matters requiring such cooperation.
5. PROOF OF LOSS OR DAMAGE 7. DETERMINATION AND EXTENT OF LIABILITY
PaROOF
toF andOafter the notices required under Section 3 of these Condi- This policy is a contract of indemnity against actual monetary loss or dam-
Inr
tions and Stipulations have been provided the Company, a proof of loss or age asgetain reasone o incurred by the insured claimant who has suffered losso e
damage signed and sworn to by the insured claimant shall be furnished to the damage h hereinby dsc of matters insured against by this policy and only to the
Company within 90 days after the insured claimant shall ascertain the facts extent described.
giving rise to the loss or damage.The proof of loss or damage shall describe (a)The liability of the Company under this policy to an insured lender shall
the defect in, or lien or encumbrance on the title, or other matter insured not exceed the least of:
against by this policy which constitutes the basis of loss or damage and shall (u the Amount of Insurance stated in Schedule A, or, if applicable, the
state,to the extent possible,the basis of calculating the amount of the loss or amount of insurance as defined in Section 2 (c) of these Conditions and
damage.If the Company is prejudiced by the failure of an insured claimant to Stipulations;
provide the required proof of loss or damage,the Company's obligations to (ii)the amount of the unpaid principal indebtedness secured by the
such insured under the policy shall terminate,including any liability or obliga- insured mortgage as limited or provided under Section 8 of these Conditions
tion to defend,prosecute,or continue any litigation,with regard to the matter and Stipulations or as reduced under Section 9 of these Conditions and
or matters requiring such proof of loss or damage. Stipulations, at the time the loss or damage insured against by this policy
In addition,an insured claimant may reasonably be required to submit to occurs,together with interest thereon;or
examination under oath by any authorized representative of the Company (iii)the difference between the value of the insured estate or interest as
and shall produce for examination,inspection and copying,at such reason- insured and the value of the insured estate or interest subject to the defect,
able times and places as may be designated by any authorized representative lien or encumbrance insured against by this policy
of the Company, all records, books, ledgers, checks, correspondence and (b)In the event the insured lender has acquired the estate or interest in the
memoranda, whether bearing a date before or after Date of Policy, which manner described in Section 2(a)of these Conditions and Stipulations or has
reasonably pertain to the loss or damage.Further,if requested by any author- conveyed the title,then the liability of the Company shall continue as set forth
ized representative of the Company,the insured claimant shall grant its per- in Section 7(a)of these Conditions and Stipulations.
mission,in writing,for any authorized representative of the Company to exam- (c)The liability of the Company under this policy to an insured owner of the
ire, inspect and copy all records, books, ledgers, checks, correspondence estate or interest in the land described in Schedule A shall not exceed the
and memoranda in the custody or control of a third party,which reasonably least of:
pertain to the loss or damage.All information designated as confidential by an (i)the Amount of Insurance stated in Schedule A;or,
insured claimant provided to the Company pursuant to this Section shall not (ii)the difference between the value of the insured estate or interest as
be disclosed to others unless,in the reasonable judgment of the Company,it insured and the value of the insured estate or interest subject to the defect,
is necessary in the administration of the claim.Failure of an insured claimant lien or encumbrance insured against by this policy
to submit for examination under oath, produce other reasonably requested (d)The Company will pay only those costs,attorneys'fees and expenses
information or grant permission to secure reasonably necessary information incurred in accordance with Section 4 of these Conditions and Stipulations.
u iaui CU,,rau uanl,1.11C l.UI i!pal iy ai ian ua auuruyareu ti)ab LU an insurea owner,
(a)If the Company establishes the title,or removes the alleged defect,lien to all rights and remedies in the proportion which the Company's payment
or encumbrance,or cures the lack of a right of ai - to or from the land,or bears to the whole amour ss;and(ii)as to an insured lender,to all rights
• cures the claim of unmarketability of title,or othe establishes the lien of and remedies of the insu laimant after the insured claimant shall have
the insured mortgage,all as insured,in a reasonaury diligent manner by any recovered its principal,interest,and costs of collection.
method,including litigation and the completion of any appeals therefrom, it If loss should result from any act of the insured claimant,as stated above,
shall have fully performed its obligations with respect to that matter and shall that act shall not void this policy, but the Company, in that event, shall be
not be liable for any loss or damage caused thereby. required to pay only that part of any losses insured against by this policy which
(b)In the event of any litigation,including litigation by the Company or with shall exceed the amount,if any,lost to the Company by reason of the impair-
the Company's consent,the Company shall have no liability for loss or dam- ment by the insured claimant of the Company's right of subrogation.
age until there has been a final determination by a court of competent jurisdic- (b)The Insured's Rights and Limitations.
tion,and disposition of all appeals therefrom,adverse to the title or,if applica- Notwithstanding the foregoing,the owner of the indebtedness secured by
ble,to the lien of the insured mortgage,as insured. an insured mortgage,provided the priority of the lien of the insured mortgage
(c)The Company shall not be liable for loss or damage to any insured for or its enforceability is not affected, may release or substitute the personal
liability voluntarily assumed by the insured in settling any claim or suit without liability of any debtor or guarantor,or extend or otherwise modify the terms of
the prior written consent of the Company. payment, or release a portion of the estate or interest from the lien of the
(d)The Company shall not be liable to an insured lender for:(i)any indebt- insured mortgage,or release any collateral security for the indebtedness.
edness created subsequent to Date of Policy except for advances made to When the permitted acts of the insured claimant occur and the insured has
protect the lien of the insured mortgage and secured thereby and reasonable knowledge of any claim of title or interest adverse to the title to the estate or
amounts expended to prevent deterioration of improvements;or(ii)construc- interest or the priority or enforceability of the lien of the insured mortgage,as
tion loan advances made subsequent to Date of Policy,except construction insured,the Company shall be required to pay only that part of any losses
loan advances made subsequent to Date of Policy for the purpose of financing insured against by this policy which shall exceed the amount,if any,lost to the
in whole or in part the construction of an improvement to the land which at Company by reason of the impairment by the insured claimant of the Compa-
Date.of Policy were secured by the insured mortgage and which the insured ny's right of subrogation.
was and continued to be obligated to advance at and after Date of Policy.
(c)The Company's Rights Against Non-insured Obligors.
9. REDUCTION OF INSURANCE; REDUCTION OR TERMINATION OF The Company's right of subrogation against non-insured obligors shall
LIABILITY exist and shall include,without limitation,the rights of the insured to indem-
(a)All payments under this policy,except payments made for costs,attor- nities,guaranties,other policies of insurance or bonds,notwithstanding any
neys'fees and expenses,shall reduce the amount of the insurance pro tanto terms or conditions contained in those instruments which provide for subroga-
However,as to an insured lender,any payments made prior to the acquisition tion rights by reason of this policy.
of title to the estate or interest as provided in Section 2(a)of these Conditions The Company's right of subrogation shall not be avoided by acquisition of
and Stipulations shall not reduce pro tanto the amount of the insurance an insured mortgage by an obligor(except an obligor described in Section
afforded under this policy as to any such insured except to the extent that the 1(a)(ii)of these Conditions and Stipulations)who acquires the insured mort-
payments reduce the amount of the indebtedness secured by the insured gage as a result of an indemnity,guarantee,other policy of insurance,or bond
mortgage. and the obligor will not be an insured under this policy,notwithstanding Sec-
(b)Payment in part by any person of the principal of the indebtedness,or tion 1(a)(i)of these Conditions and Stipulations.
any other obligation secured by the insured mortgage,or any voluntary partial
satisfaction or release of the insured mortgage,to the extent of the payment, 13. ARBITRATION
satisfaction or release,shall reduce the amount of insurance pro tanto.The Unless prohibited by applicable law,either the Company or the insured may
amount of insurance may thereafter be increased by accruing interest and demand arbitration pursuant to the Title Insurance Arbitration Rules of the
advances made to protect the lien of the insured mortgage and secured American Arbitration Association.Arbitrable matters may include,but are not
thereby,with interest thereon,provided in no event shall the amount of insur- limited to,any controversy or claim between the Company and the insured
ance be greater than the Amount of Insurance stated in Schedule A. arising out of or relating to-this policy,any service of the Company in connec
(c)Payment in full by any person or the voluntary satisfaction or release of tion with its issuance or the breach of a policy provision or other obligation.All
the insured mortgage shall terminate all liability of the Company to an insured arbitrable matters when the Amount of Insurance is S1,000,000 or less shall
lender except as provided in Section 2(a)of these Conditions and Stipula- be arbitrated at the option of either the Company or the insured.All arbitrable
tions. matters when the Amount of Insurance is in excess of$1,000,000 shall be
10. LIABILITY NONCUMULATIVE arbitrated only when agreed to by both the Company and the insured.Arbitra-
It is expressly understood that the amount of insurance under this policy tion pursuant to this policy and under the Rules in effect on the date the
shall be s any amount thatthe Company y may pay under any policy demand for arbitration is made or,at the option of the insured,the Rules in
insuring a mortgage to which exception is taken in Schedule B or to which the includeeffect at Date ofs Policyfee shallbe binding o g upon the which the The award islocated may
insured has agreed, assumed, or taken subject, or which is hereafter exe- attorneys'was only ifthe laws of the statein which party. land etup
permit a court to award attorneys'fees to a prevailing Judgment upon
cuted by an insured and which is a charge or lien on the estate or interest the award rendered by the Arbitrator(s)may be entered in any court having
described or referred to in Schedule A, and the amount so paid shall be jurisdiction thereof.
deemed a payment under this policy to the insured owner. The law of the situs of the land shall apply to an arbitration under the Title
The provisions of this Section shall not apply to an insured lender, unless Insurance Arbitration Rules.
such insured acquires title to said estate or interest in satisfaction of the
indebtedness secured by an insured mortgage. A copy of the Rules may be obtained from the Company upon request.
11. PAYMENT OF LOSS 14. LIABILITY LIMITED TO THIS POLICY;POLICY ENTIRE CONTRACT
(a)No payment shall be made without producing this policy for endorse- (a)This policy together with all endorsements,if any,attached hereto by the
ment of the payment unless the policy has been lost or destroyed, in which Company is the entire policy and contract between the insured and the Com-
case proof of loss or destruction shall be furnished to the satisfaction of the pany.In interpreting any provision of this policy,this policy shall be construed
Company. - as a whole.
(b)When liability and the extent of loss or damage has been definitely fixed (b)Any claim of loss or damage,whether or not based on negligence,and
in accordance with these Conditions and Stipulations, the loss or damage which arises out of the status of the lien of the insured mortgage,or of the title
shall be payable within 30 days thereafter. to the estate or interest covered hereby,or by any action asserting such claim
12. SUBROGATION UPON PAYMENT OR SETTLEMENT shall be restricted to this policy.
(a)The Company's Right of Subrogation. (c)No amendment of or endorsement to this policy can be made except by
Whenever the Company shall have settled and paid a claim under this a writing endorsed hereon or attached hereto signed by either the President,a
policy,all right of subrogation shall vest in the Company unaffected by any act Vice President,the Secretary,an Assistant Secretary,or validating officer or
of the insured claimant. authorized signatory of the Company.
The Company shall be subrogated to and be entitled to all rights and
remedies which the insured claimant would have had against any person or 15. SEVERABILITY
property in respect to the claim had this policy not been issued.If requested by In the event any provision of this policy is held invalid or unenforceable
the Company,the insured claimant shall transfer to the Company all rights under applicable law,the policy shall be deemed not to include that provision
and remedies against any person or property necessary in order to perfect and all other provisions shall remain in full force and effect.
this right of subrogation.The insured claimant shall permit the Company to
sue,compromise or settle in the name of the insured claimant and to use the 16. NOTICES,WHERE SENT
name of the insured claimant in any transaction or litigation involving these All notices required to be given the Company and any statement in writing
rights or remedies. required to be furnished the Company shall include the number of this policy
If a payment on account of a claim does not fully cover the loss of the and shall be addressed to the Company at the issuing office or to:
CHICAGO TITLE INSURANCE COMPANY
Claims Department
171 North Clark Street
Reorder Form No.8223 Chicago, IL 60601-3294
%, CITY OF HUNTINGTON BEACH
INTERDEPARTMENTAL COMMUNICATION
c
TO: Connie Brockway, City Clerk v `_
FROM: Tom Rulla, Principal Civil Engineer
m
I'
DATE: May 16, 2002 i' -
r
SUBJECT: ESCROW INSTRUCTIONS REGARDING 2ND AMENDMENT TO WATER
FACILITIES AGREEMENT ENTERED INTO AS OF APRIL 1 , 2002, WITH
MCDONNELL DOUGLAS CORPORATION (MDC), BOEING REALTY
CORPORATION f/k/a MCDONNELL DOUGLAS REALTY COMPANY, A
CALIFORNIA CORPORATION (BRC), AND CITY OF HUNTINGTON
BEACH (CITY)
The following information and instructions are provided to assist you in your role
as the escrow agent per the terms and conditions of the Agreement.
Escrow is deemed open upon full execution of this Agreement.
The following requirements per Section 4 of Agreement shall be completed and
returned to you in writing:
1 . Approval by City of the PTR for the New Water Well Site
2. City shall conduct a physical inspection of the New Water Well Site.
3. Approval by MDC of the PTR for the Old Well Site
4. MDC shall approve its physical inspection of the Old Well Site.
5. Chicago Title shall be ready to issue to City for the New Well Site its
standard form ALTA Owner's Policy of Title Insurance in the amount of
$75,000.
6. Chicago Title shall be ready to issue to MDC for the Old Well Site its
standard form ALTA Owner's Policy of Title Insurance in the amount of
$75,000.
An additional statement by MDC is their acceptance of the substitution of the
legal description and map attached as exhibits to the Grant Deed for the
property to be reconveyed from the City to MDC (Exhibit A).
Connie Brockway
5/16/02
Page two
The following documents shall be completed, signed and recorded:
• Grant Deed for the Old Well Site as per Agreement attachment
Exhibit A.
• Quit Claim Deed for the Utility Easement as per Agreement
attachment Exhibit B.
• Quit Claim Deed for the Access Easement as per Agreement
attachment Exhibit C.
The following document shall be signed and notarized by the City:
• Grant Deed for the New Well Site as per Agreement attachment
Exhibit D.
When all of the above are in your possession, you may record the four deeds.
Upon closing, ALTA title insurance shall be issued as follows with the cost of the
policies shared equally by the City and MDC:
• At the Closing Date, Chicago Title shall be ready, willing and able to issue
to City for the New Well Site its standard form ALTA Owner's Policy of Title
Insurance in the amount of $75,000.
• At the Closing Date, Chicago Title shall be ready, willing and able to issue
to MDC for the Old Well Site its standard form ALTA Owner's Policy of Title
Insurance in the amount of $75,000.
A sample form is attached for the City's approvals as required by Section 4 of
the Agreement. MDC shall provide similar statements, but shall also approve the
"legals" to Exhibit D.
If you have any questions, please call me at extension 5524.
TAR:jm
Attachment
c: Scott Field, Deputy City Attorney
Dave Webb, City Engineer
Mike Heineke, Real Property Agent
Amy Bodek, Manager Real Estate Services
Liz Ehring, Deputy City Clerk
in CITY OF HUNTINGTON BEACH
INTERDEPARTMENTAL COMMUNICATION
To: Connie Brockway, City Clerk
From: Michael L. Heineke, Real Property Agent
Date: June 12, 2002
Subject: BOEING ESCROW(Water Well#12)
t'tetAirt-
pi
Connie, A
Kann scheduled us to meet on June 21st at 11lam for the closing of escrow for the BOEING Water Well#12.
I have prepared a detailed process for the closing and have attached it to this memo for your review.
I will sit with you and we will make sure the closing goes smoothly. If you have any questions regarding our
activities you can contact me today, Thursday and Friday this week.
I will be out of town through next Thursday(June 2oth).
A5
I
A. Verification of parties(authorized signers)
B. MDC shall provide the FIRPTA affidavit V
C. MDC and City approve and initial deletion of paragraph 4 on MDC/BRC acknowledgement
letter.
D. City to approve the Preliminary Title Report for New Water Well Site.
E. City to conduct and approve a Physical Inspection of the New Water Well Site./
F. MDC to approve the Preliminary Title Report for Old Water Well Site.c�
G. MDC to conduct and approve a Physical Inspection of the Old Water Well Site and .
easements.
IL City shall reconvey by Grant Deed(in form of Exhibit"A")Old Well Site ✓'
L City shall terminate by Quit Claim Deed(in form of Exhibit"B")Utility Easement
J. City shall terminate by Quit Claim Deed(in form of Exhibit"C")Access Easement
K. MDC shall convey by Grant Deed(in form of Exhibit"D")New Water Well Site '✓
L. Attach City Acceptance Form to Grant Deed for New Water Well Site
M. Affix"Tax Exemption"statement to Grant Deed for New Water Well Site N/
N. Real Estate Services to verify Chicago Title status to issue the Policies of Title Insurance
O. Record in the following sequence with two(2)conformed copies each:
1) Grant Deed Old Well Site -
2) Quit Claim Deed Utility Easement _ -
3) Quit Claim Deed Access Easement
4) Grant Deed New Water Well Site
P. Provide a conformed copy of each recorded document to Real Estate Services for issuance of
the Owner's Policy of Title Insurance by Chicago Title.
Q. Real Estate Services to complete Tax Cancellation Form and attach to conformed copy of
Grant Deed for New Water Well Site and notify County Tax Collector.
R. Real Estate Services to contact Chicago Title,after recordation of documents,for issuance to
City a Standard Form ALTA Owner's Policy of Title Insurance in the amount of$75,000,
evidencing good and marketable title to the New Water Well Site.
S. Real Estate Services to contact Chicago Title,after recordation of documents,for issuance to
MDC a Standard Form ALTA Owner's Policy of Title Insurance in the amount of$75,000,
evidencing good and marketable title to the Old Water Well Site.
T. Provide parties with copies of all items A through S.
ege
4�l1 �-�,� ,DPI� 5
CITY OF HUNTINGTON BEACH
MEETING DATE: June 15, 1998 DEPARTMENT ID NUMBER: CA-98-14
Council/Agency Meeting Held: la /is-1/8
Deferred/Continued to: � / Cst cSa��
'Approve '
d ❑ Conditionally Approved ❑ Denied os^- City Clerk's Signature
Council Meeting Date: June 15, 1998 Department ID Number: CA-98-14
CITY OF HUNTINGTON BEACH
REQUEST FOR COUNCIL ACTION
SUBMITTED TO: HONORABLE MAYOR AND CITY COUNCIL MEMB RS
SUBMITTED BY: RAY SILVER, City AdministratoraW _^
PREPARED BY: DARYL SMITH, Acting Director of Public Works, and
GAIL HUTTON, City Attorney1.-11,441
SUBJECT: WELL NO. 12 WATERLINE IDENTIFICATION AND FUNDING OF
WORK NECESSARY TO DESIGN PIPELINE
Statement of Issue,Funding Source,Recommended Action,Alternative Action(s),Analysis,Environmental Status,Attachment(s)
Statement of Issue: On July 21, 1997, the City Council approved Amendment No. 1 to
Water Facilities Agreement between McDonnell Douglas Co. ("MDC"), McDonnell Douglas
Realty Co. ("MDRC"), and the City, wherein a certain 15-foot easement was to be dedicated
to the City by MDC and MDRC.
The deadline to exercise the right to the easement is June 30, 1998. MDC and MDRC have
been unwilling to extend such date and therefore there is a need to exercise the City's rights
to the easement this month.
The Agreement requires the dedication of the easement "...no later than when the
Huntington Beach City Council identifies and funds the work necessary to design the
pipeline...." (Please see attached Amendment to Water Facilities Agreement.)
Therefore, this action is intended to satisfy such requirement.
If this action is not taken, MDC and MDRC may take the position that we are no longer
entitled to the easement under the express terms of the Agreement.
Funding Source: E-EW-PW-961-390-00, MDC Pipeline Design Services.
98-14 -2- 06/12/98 2:51 PM
REQUEST FOR COUNCIL ACTION
MEETING DATE: June 15, 1998 DEPARTMENT ID NUMBER: CA-98-14
Recommended Action: That the City Council authorize the City Public Works Director to
proceed with the work described in Attachment No. 2 and appropriate the sum of $50,000 to
design the pipeline described therein.
Alternative Action(s): Do not approve recommended action and advise staff on how to
proceed.
Analysis: Please see attached memo from Deputy City Attorney Art DeLaLoza to Scott
Field and Paul D'Alessandro.
Environmental Status: N/A
Attachment(s):
City Clerk's - - - -
Page Number -�No, __. _ Description
1 Amendment No. 1 to Water Facilities Agreement between
MDC, MDRC, and City of H.B.
2 Description.
3 Inter-Department Memorandum from Deputy City Attorney
Art DeLaLoza to Scott Field and Paul D'Alessandro, dated
June 11, 1998.
RCA Author: Art DeLaLoza
98-14 -3- 06/12/98 2:51 PM
ATTACHMENT 1
Recording requested by, and ' )
when r corded,mail to: )
City"Clerk )
City of Huntington Beach )
20.00:Main Street )
'Huntington Beach, CA 92648 )
•
•
AMENDMENT TO
WATER FACILITIES AGREEMENT
+j
WHEREAS,McDONNELL DOUGLAS CORPORATION,a Maryland corporation
("MDC"),McDONNELL DOUGLAS REALTY COMPANY,INC., a California corporation
("MDRC"), and the CITY OF HUNTINGTON BEACH, a municipal corporation and charter city of
the State of California("City")previously entered into a Water Facilities Agreement("Agreement")
as of March 18, 1997; and
The parties desire to enter into this Amendment to the Water Services Agreement(the
"Amendment");and
MDC is the fee owner of certain real property located within the City depicted on Exhibit A
attached hereto and incorporated herein by this reference(the"MDC Property"),and MDRC is the
fee owner of certain real property located within the City also depicted on Exhibit A(the"MDRC
Property"); and
1
SF/s:PCD:Agree:W FAAmend
(SF-Douglas)
6/11/97-#2
AMENDMENT
NOW,THEREFORE,in consideration of the covenants and agreements contained herein
and other valuable consideration,the sufficiency and receipt of which is hereby acknowledged by
the parties hereto, the parties covenant and agree to amend the Water Facilities Agreement as
follows:
Section I. Section 4 of the Water Facilities Agreement is amended to read as follows:
Section 4. Water Transmission Line. Upon execution of this Agreement, or
within a reasonable time thereafter,MDC and/or MDRC will make an irrevocable
offer of dedication, and the City will accept a 15 foot wide easement to be used to
•transport well water running from the well site to Peck Reservoir. The pipeline
easement shall be dedicated to the City no later than when the Huntington Beach
ea City Council identifies and funds the work necessary to design the pipeline,provided
that the City shall not accept the offer of dedication it if decides to transport well
water from the well site to Peck Reservoir via the Navy Railroad Right-of-Way.
The pipeline easement shall be located within a vehicular travelway (no parking).
The surface of the easement shall be paved with an all-weather road, of which MDC
and/or MDRC shall be responsible for the construction and maintenance thereof,
until such time as it may be dedicated as a public road to the City. The easement
shall be generally located in Astronautics Drive and Skylab Road and extend in a
reasonably direct route northerly to abut the well site, and southerly and easterly to
the proposed 20-foot wide Reservoir Easement on the western side of Parcel 2 of
Parcel Map 93-202 as shown on Exhibit A as provided in Section 6 of this
Agreement. The easement shall be in the form of Exhibit E. In addition, subject to
obtaining all land use entitlements for the property adjacent thereto, it is agreed that
MDRC shall have the option to widen said Water Transmission Line easement to 20
feet to accommodate a potable water line to serve MDRC's future development..
M,,,,� AA--s4-.2k-e- - r
The City shall be responsible for building the well water line at a me of its choosing
and shall make suitable arrangements to route traffic during con ction and restore
the base and the surface of the street. The City shall slurry seal"to the full street �'�
width any street that it excavates. MDC and/or MDRC shall be responsible for ��/�'
construction of any potable water line to serve the MDC and/or MDRC Property. c`‘VI
The City may extend the potable water line to serve the Vegas Tract(City of
Huntington Beach Tract Map No.4370). 4/74
•
S F/s:PCD:Agree:W FAAmend
(SF-Douglas) ,
6/l l/97-#2 .
Section II. Section 5 of the Water Facilities Agreement is amended to read as follows:
Section 5. Navy Railroad Right-of-Way. City shall use its best good faith efforts
to negotiate an easement to construct the well-water line within the Navy railroad
right-of-way. The City at its sole discretion may decide to build the pipeline within
the Navy right-of-way in which case MDC's and MDRC's obligation under Section
4 of this Agreement shall cease. Further, in such event where the City constructs the
w 1 pipelinq in the Navy railroad right-of-way,MDRC agrees to dedicate an easement for
a Peck Reservoir gravity flow drain line to connect to the storm water drain located
in Skylab Road. Notwithstanding the above,the City's obligation to obtain an
alignment within the Navy right-of-way and MDRC's offer to dedicate an easement
1 shall expire on June 30, 1998.1
Section III. Section 6 of the Water Facilities Agreement is amended to read as follows:
•
-Section 6. Reservoir Easement. In the event the City does not acquire an
(, easement from the Navy as is provided in Section 5 of this Agreement,MDRC shall
sell to the City for Sixty-two Thousand Five Hundred Dollars ($62,500.00) a 20-foot
easement for construction, operation and maintenance by the City of a 24-inch drain
line and a 16-inch well water line from Skylab Road to Peck Reservoir. The
easement shall be 20 feet wide and located within Parcel 2 of Parcel Map 93-202.
The easement shall be used and maintained by the owner of Parcel 2 as a driveway or
vehicular travelway and no parking,landscaping or structures shall be placed upon it.
The roadway will not be used to provide access to Peck Reservoir. MDRC's offer to
sell the easement shall expire on June 30, 1998. The easement shall be in the form of
Exhibit F.
Section IV. Authority. Each signatory hereto warrants to the other party its authority
to sign on behalf of the party for whom it purports to sign.
Section V. Entire Amendment. This Amendment sets forth the entire agreement of the
parties with respect to the subject matter hereof and supersedes all prior discussions,negotiations,
undertakings or agreements relating thereto.
Section VI. No Oral Modification. It is mutually understood and agreed that no
alteration or variation of this Amendment shall be valid or binding unless made in writing and
signed by the parties hereto.
3
SF/s:PCD:Agree:W FAAmend
(SF-Douglas)
6/11/97-#2
Section VII. Counterparts. This Amendment may be executed in any number of
counterparts each of which shall be deemed an original and all of which when executed shall
constitute one and the same instrument.
Section VIII. Notices. Any notices shall be in writing and shall be sent postage
prepaid,by a nationally recognized overnight courier service or by fiist-class or registered or
certified mail,return receipt requested,or by facsimile,addressed as follows:
To City: City of Huntington Beach
2000 Main Street
• P.O. Box 190
Huntington Beach, California 92648
_.1 Attn: Les M. Jones, II
To MDRC: To MDC:
do McDonnell MDRC Company McDonnell Douglas Corporation
4060 Lakewood Boulevard, 6th Floor 5301 Bolsa Avenue,Dept.700,Bldg.28
Long Beach, California 90808 Huntington Beach,California 92647
Attn: Stephen J. Barker Attn: Cody Burton/Tom Atkins
or to such other address as City or MDRC may from time to time designate by written notice to the
other. Notice shall be deemed given upon delivery or refusal to accept delivery as indicated by
return receipt or, in the case of a nationally recognized overnight courier service,by such similar
document, or in the case of delivery by facsimile,upon confirmation of receipt by the stated
addressee.
Section IV. Successors and Assigns. This Amendment shall be binding upon and
inure to the benefit of the parties hereto and their respective heirs,personal representatives,
successors and assigns,including,without limitation,subsequent owners.
4
S F/s:PCD:Agree:W FAAmcnd
(SF-Douglas)
6/11/97-#2
Section X. Attorneys' Fees. In the event suit is brought by either party to enforce
the terms and provisions of this Amendment or to secure the performance hereof,the prevailing
party shall bear awarded its attomey's fees.
Section XL Governing Law. This Amendment shall be construed in accordance
with and governed by the laws of the State of California.
Section XII. Recordation. This Amendment shall be recorded against the following
property, legally described in Exhibit A.
Balance of page intentionally left blank
•
5
SF/s:PCD:Agree:WFAAmend
(SF-Douglas)
6/11/97-#2
IN WITNESS WHEREOF,this Agreement has been executed by the parties hereto as of the
date first written above.
"CITY"
CITY OF HUNTINGTON BEACH,
a municipal corporation of the
State of California
-#4Cr"""t"i
By
Mayor
ATTEST: APPROVED AS TO FORM:
641A4tieur
v 4-yr w
City Clerk • City Attorney 7��
REVIE APPROVED: INIT D PROVED:
lam.
City Administrator Director of P bl Works
6
S F/s:PCD:Agree:WFAAmend
(SF-Douglas)
6/11/97-#2
"MDRC" "MD C" •
McDONNELL DOUGLAS REALTY McDONNELL DOUGLAS CORPORATION
COMPANY, INC., a Ma land corporation
a California corporati '
BY• �h B
Y.
STEPHEN 1.BARKER P ILIP W.CYBU
(print name) (print name)
Its:(circle one)Chairman/President/Vice President Its:(circle one)Chairman/President/Vice President
By: • By:
(print name) (print name)
Its:(circle one)Secretary/Chief Financial Officer/ Its:(circle one)Secretary/Chief Financial Officer/
Asst.Secretary-Treasurer Asst.Secretary-Treasurer
•
SF/s:PCD:Agree:W FAAmend
(SF-Douglas)
6/11/97-#2
EXHIBIT A
HUNTINGTON REACH . •
PLOT PLAN
• WATER WELL SITE UTILITY EASEMENT
WATER WELL SITE
ACCESS EASEMENT WATER WELL SITE 1i12
`�
• ,
.
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•
/ �� [�5T—I �.14 ASTRONAUTICS •
•�� • ~ DRIVE PARCEL 2 OF
°� °`c '.• °a•r PARCEL MAP 93-202
. �.F.,,...•`‘
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MDC PROPERTY MDRC
PROPERTY
State of California
County of Los Angeles
On July 11, 1997 before me,Dely De Leon,Notary Public,personally appeared Philip W. Cyburt
personally known to me to be the person whose name is subscribed to the within instrument and
acknowledged to me that he executed the same in his authorized capacity, and that by his
signature on the instrument the person or the entity upon behalf of which the person acted,
executed the instrument.
DEW DE1t WITNESS my hand and official seal
! ` Carrimisrkin•1107178
Gdtoa�ta
My Cam%Expires Jt131.MO
•
Document: Amendment to Water Facilities Agreement-City of Huntington Beach
State of California
County of Los Angeles
On July 11, 1997 before me,Dely De Leon,Notary Public,personally appeared Stephen J.
Barker personally known to me to be the person whose name is subscribed to the within
instrument and acknowledged to me that he executed the same in his authorized capacity, and
that by his signature on the instrument the person or the entity upon behalf of which the person
acted, executed the instrument.
t�v16411
Cor WITNESS my hand and official seal
"i. - •. ,} svrton 1107178
DE LEON
Notary Pubic—CdifaNa
� t'7l Los Angeles caunN
.,i,., My Comm Fire$Jul 31'2"
• 6"(-1074_,
Document: Amendment to Water Facilities Agreement- City of Huntington Beach
ATTACHMENT Z. ... .
RCA Subject: Well No. 12 Waterline Identification and Funding of Work Necessary to
Design Pipeline
City Council Meeting: June 15, 1998
ATTACHMENT 2
Design of a water pipeline connecting Well No. 12 to the Peck Reservoir through an
easement in Astronautics Drive and Skylab Road, and the easement on Parcel 2 of Parcel
Map 93-202. See Exhibit A.
ad1V 8misc\RCA-atch
EXIIIIIIT A
HUNTINGTON REACH . •
PLOT PLAN
•
• WATER WELL SITE UTILITY EASEMENT
WATER WELL SITE WATER WELL SITE 1112 •
ACCESS EASEMENT `� •
9
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GG 1° 5'ST1 ASTRONAUTICS •
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b \ DRIVE PARCEL 2 OF
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CITY OF HUNTINGTON BEACH
Appropriation Revision
FUNDS TRANSFERRED FROM:
TRAN FUND DEPT DIV Standard Chart of Accounts AMOUNT
E EX PW 961 6 29 00 $50,000.00
00
00
00
00
$50,000.00
FUNDS TRANSFERRED TO:
TRAN FUND DEPT DIV Standard Chart of Accounts AMOUNT
E EX PW 961 3 90 00 $50,000.00
00
00
00
00
$50,000.00
JUSTIFICATION FOR TRANSFER
Transfer funds in the amount of$50,000.00 for the design of a new water pipeline that will extend from H.B.Well No.
12 located at 5401 Astronotics to Peck Reservoir located at 14561 Springdale Street.
AUTHORIZATIONS
98
rtment Head /4/12 _
2 � 4,t 4/L46:
`� Director o Fina a Date
3
City Administrator Date
SPECIAL INSTRUCTIONS
▪ All revisions require Approval of#1 and#2 above.
• All changes to capital outlay budgets and all changes between personal services and operating
accounts require approval of#1 through#3.
Changes to the total budget of any department or fund requires the approval of#1 and #2 and City
Council action. Please attach the approved RCA to the transfer.
APPRCRCV.XLT Date Requested. 6/12/98
. ATTACHMENT 3
•
CITY OF HUNTINGTON BEACH
INTER-DEPARTMENT COMMUNICATION
HUNTINGTON BEACH
To: SCOTT FIELD and PAUL D'ALESSANDRO
From: ARTHUR DELALOZA, Deputy City Attorney
Date: June 11, 1998
Subject: Water Transmission/Distribution Easement Over Parcel 2 of Parcel
Map 93-202
Attached is"Exhibit 'C' Reservoir Easement"to the legal description of the Peck Reservoir
Expansion.
Section 4 of the Amendment to Water Facilities Agreement between the City and McDonnell
Douglas Corp. ("MDC") and McDonnell Douglas Realty Co. ("MDRC") (attached) provides that:
"...MDC and/or MDRC will make an irrevocable offer of dedication and City will accept a 15-foot-
wide easement to be used to transport well water running from the well site to Peck Reservoir."
The Agreement also provides"the pipeline easement shall be dedicated to the City no later than
when the Huntington Beach City Council identifies and funds the work necessary to
design the pipeline, provided that the City shall not accept the offer of dedication if it decides to
transport well water from the well site to Peck Reservoir via the Navy railroad right of way."
Section 5 provides that "the City...may decide to build the pipeline within the Navy right of way,
in which case MDC's and MDRC's obligation under Section 4 of this Agreement shall cease."
(Emphasis added.)
This language suggests that, if the City"decides"to build the pipeline on the Navy right of way,
we will no longer be able to rely on the entire 15-foot-wide easement for the well site to Peck
Reservoir along Astronautics and Skylab Road to, and including,the 20-foot easement in parcel
2 of Map 93-202. See attached "Exhibit A" and 15-foot easement therein.
Section 5 provides that:
"Further, in such event where the City constructs the pipeline in the Navy railroad right
of way, MDRC agrees to dedicate an easement for a Peck Reservoir gravity flow drain
line to connect to the storm water drain located in Skylab Road."
This language would seem to require actual construction on the City's part to trigger the duty on
the part of MDRC to "dedicate"the water drain easement.
Thus, there is a gap between the "decide" part in Section 4 and the "construct" part in Section 5
of the Agreement.
If we decide and then can't construct,we run the risk of losing rights to the entire 15-foot
easement and the dedication of the drain line.
Moreover, Section 5 provides that"MDRC's offer to dedicate an easement shall expire on June
30. 1998." It is not clear which "easement"is intended. Is it the 15-foot easement to service the
well along Astronautics and Skylab and/or the drain line easement?
Finally, Section 6 provides"In the event the City does not acquire an easement from the Navy as
provided in Section 5 of this Agreement, MDRC shall sell to the City...a 20-foot easement for
construction and maintenance of a 24-inch drain line and a 16-inch well water line from Skylab to
Peck Reservoir."
•
ad1/98memo%asement
Scott Field/Paul D'Aless b Memo June 11, 1998
This suggests that we may purchase the easement to Skylab after losing the 15-foot easement to
the well site reflected in Exhibit"A."
Section 5 also provides that"MDRC's offer to sell the easement shall expire on June 30, 1998."
Gary Dysart states that staff has tentatively decided to go with the Navy right of way, but this will
take 12 months to complete.
Meanwhile: The seller(Boeing) has been unwilling to grant a 60-day extension on the June 30,
1998, deadline unless we accept the risk of a dirty site.
Paul Larken, Gary Dysart, Paul D'Alessandro, and I are not willing to recommend that risk.
Gary Dysart also advised me that the requirement that the City"identifies and funds the work
necessary to design the pipeline"which triggers the pipeline dedication, has not yet been done.
Therefore, I recommend the following:
1. The City Council should formally make the determination on June 15, 1998, to go or not
go with the Navy right of way with the understanding that the City then may lose its rights
to the 15-foot easement along Astronautics and Skylab if the Navy right of way option is
selected.
2. If the Navy option is selected,the City Council should officially authorize the City
Administrator to communicate its decision so as to secure the free-of-charge dedication
relative to the drain line easement along Parcel 2 of Parcel Map 93-202. Otherwise,we
pay$43,000 for the easement on Parcel 2, Map 93-202 if Navy option is not selected.
3. This should be done in open session, perhaps at the Monday Council Meeting.
Since the information relative to the Navy decision only occurred today, we could post it by
Friday if necessary.
ARTHUR DELALOZA
Deputy City Attorney
ADUab
Attachments: 1. Exhibit"C" Reservoir Easement
2._ Amendment to Water Facilities Agreement
cc: Ray Silver, City Administrator
Daryl Smith,Acting Dir. Public Works
Robert Franz, Deputy City Administrator
Gary Dysart, Public Works
Jeff Renna,Water Operations Manager
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CITY OF HUNTINGTON BEACH 54' w
DEPARTMENT OF PUBLIC WORKS
EXHIBIT A r •
HUNTINGTON BEACH
PLOT PLAN •
• • WATER WELL SITE UTILITY EASEMENT
WATER WELL SITE WATER WELL SITE (I12 •
ACCESS EASEMENT \�
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COVER PAGE
REQUEST FOR LATE SUBMITTAL
(To accompany RCA)
Department: City Attorney/Public Works Subject Well No. 12 Waterline *.D. & Funding
Council Meeting Date: June 15, 1998 Date of This Request: June 12, 1998
REASON(Why is this RCA being submitted late?): Notice of Navy decision was just
received yesterday (June 11) .
EXPLANATION(Why is this RCA necessary to this agenda?): City Council needs to act
by June 30 , 1998 .
CONSEQUENCES (How shall delay of this RCA adversely impact the City?): We may lose easement
for well waterline. See memo to Scott Field and Paul D'Alessandro,
dated June 11, 1998 .
. Signature: Cal-Approved O Denied
((the
Department Head Ray Silver
City Administrator