23935-5 Desert View/Topaz 95CITY OF LA QUINTA
SUBDIVISION IMPROVEMENT AGREEMENT
HIS SUBDIVISION IMPROVE NT AG EE ENT (the "Agreement") is made and entered into this
day of , 19 , by and between Topaz
Associates, Limited Partnerstiip, a California Limited Partnership, a Calif rnia Corporation hereinafter referred
to as "Subdivider," and the City of La Quinta, a municipal corporation of the State of California, hereinafter
referred to as "City."
RECITALS:
A. Subdivider has prepared and filed a final map (the "Tract Map") of a tract of land in the City of La
Quinta, County of Riverside, which tract is known as Tract No. 23935-5 (the "Tract") pursuant to the
provisions of Section 66410, et sec. of the California Government Code (the "Subdivision Map Act").
B. Prior to approval of the Tract Map, Subdivider is required to install or agree to install certain public
and private improvements (the "Improvements")
C. The requisite improvements have not been installed and accepted at this time.
D. It is therefore necessary that Subdivider and City enter into an agreement for the installation of
the improvements as provided in Section 66462 of the Subdivision Map Act.
NOW, THEREFORE, it is agreed by and between the parties hereto as follows:
1. Revision of Plans. Subdivider shall, within thirty (30) days of City Council approval of the Tract
Map, complete final corrections and revisions to improvement plans and submit for approval original plans
meeting the requirements of the City Engineer.
2. Improvements. Subdivider shall construct the public and private street, drainage, utility,
landscaping, and other improvements required to be constructed or agreed to be constructed under this
Agreement as listed and described in the List of Improvements attached hereto as Exhibit "A" and
incorporated herein (the "Improvements"), and shall bear the full cost thereof. The methods, standards,
specifications, sequence, and scheduling of construction shall be as approved by the City Engineer.
3. Improvement Security.
A. As a condition of City Council approval of the Tract Map, Subdi der shall have furnished
performance and payment securities to City as a guarantee of the completion o the Improvements, as set
forth in Government Code Section 66499 et sec. One class of security to be provided by Subdivider,
hereinafter referred to as "performance security," shall assure the faithful performance of this Agreement
including payment of associated plan check and permit fees. A second class of security to be provided by
Subdivider, hereinafter referred to as "payment security," shall assure the payment of the cost of labor,
equipment and materials supplied to construct the Improvements. A third class of security to be provided
by Subdivider, hereinafter referred to as "guarantee security," shall serve as a guarantee and warranty of
the Improvements for a period of one year following the completion and acceptance of the Improvements.
B. Subject to the approval of the City Engineer, security may be furnished in the form of (1) a
deposit of cash or negotiable bonds, of the kind approved for securing deposits of public moneys with City
or in favor of City, with a responsible escrow agent or trust company, (2) bonds which are of the form
specified in Section 66499.2 of the Subdivision Map Act and satisfactory in form and substance to the City
Attorney and are executed by a corporation authorized to transact surety business in the State of California,
(3) an instrument of credit from an agency of the state, (3) an instrument of credit from an agency of the
state, federal, or local government when any agency of the state, federal, or local government provides at
least twenty percent (20%) of the financing for the Improvements to be completed, or from one or more
financial institutions subject to regulation by the state or federal government and pledging that the funds
necessary to carry out the completion of the Improvements are on deposit and guaranteed for payment, or
a letter of credit issued by such a financial institution, (4) a lien upon the Tract, created by contract between
City and Subdivider, if City finds that it would not be in the public interest to require the installation of the
Improvements sooner that two (2) years after the recordation of the Tract Map, (5) an irrevocable
instrument of credit from one or more financial institutions subject to regulation by the state or federal
government pledging that the funds necessary to carry out the agreements are on deposit, guaranteed for
payment, and constitute a trust fund which is not subject to levy or attachment by any creditor of the
depositor until released by the City, and/or (6) an irrevocable instrument of credit issued by a financial
institution subject to regulation by the state or federal government guaranteeing that all or any portion of
the funds available pursuant to the letter of credit will be paid upon the written demand of the City Engineer,
and that such written demand need not present documentation of any type as a condition of payment,
including proof of loss. Irrevocable instruments of credit specified in (5) and (6) hereinabove shall be issued
by financial institutions having a Moody's Financial Service rating of "A" or better and evidence of such
rating shall accompany the instruments when submitted to the City for approval. The duration of any such
bond or letter of credit shall be for a period of not less than one year from the execution of the Agreement
Subdivision Improvement Agreement - Tract 23935-5 Page 1 of 4
or such longer period for completion of the (Improvements, whichever is greater; further provided that the
duration of such bond or letter of credit shall be extended to provide the performance security holdback
provided in Section 13 hereof.
C. All securities shall be furnished in accordance with the provisions of Exhibit A. Separate
security shall be furnished for performance security and payment security. The amount of the performance
security shall equal One Hundred Percent (100%) of the estimated cost of constructing the Improvements,
including payment of plan check and permit fees, as estimated by the City Engineer or a duly authorized
representative of the City Engineer. Payment security shall equal Fifty Percent (50%) of the amount of
performance security except as otherwise set forth in Exhibit A. City shall retain Ten Percent (10%) of the
performance security for one (1) year following acceptance or approval of the Improvements to support the
guarantee of the Improvements pursuant to Section 12 hereof. As part of the obligation secured by each
of the performance security, payment security and guarantee security, and in addition to the face amount
of each such security, each such security shall include and assure the payment of costs and reasonable
expenses and fees, including reasonable attorney's fees, incurred by the City in successfully enforcing the
obligations thereby secured.
D. Certain Improvements required herein may be deferred for construction by others at a later
date. Deferred improvements, if any, are identified in Exhibit A. Security furnished for deferred
improvements shall remain in place until the deferred improvements are constructed and costs are known
and shall guarantee the reimbursement by Developer of Developer's share of the cost of the deferred
improvements.
Upon written demand from City, Developer shall deposit cash with City in lieu of or in replacement of
securities guaranteeing deferred improvements.
4. Permits Reauired. Prior to commencing any phase of work, Subdivider shall obtain all permits
required for that phase of work and pay all required fees. Work performed under a permit or permits shall
comply with all provisions of the required permits.
5. Off -site Improvements. When the construction of one or more of the Improvements required or
necessitates the acquisition of real property not owned by Subdivider or City, Subdivider shall use its best
efforts to purchase such real property at a reasonable price. In the event that Subdivider is unsuccessful,
despite its best efforts, to acquire such real property at a reasonable price, Subdivider may request in
writing that City attempt to acquire such real property. City may, but is not required to, agree to attempt
to acquire such real property on behalf of Subdivider. If City so agrees, City and Subdivider shall enter a
separate written agreement therefor in a form acceptable to the City Attorney. Such agreement shall
provide that Subdivider will advance City One Hundred Fifty Percent (150%) of the appraised fair market
value of the real property, with any unexpended funds refunded to Subdivider and any additional funds
required for City's acquisition paid by Subdivider upon the conveyance of such real property to Subdivider.
In no event shall the failure of Subdivider or City to acquire such real property excuse, waive, or otherwise
terminate Subdivider's obligation to construct the applicable Improvement pursuant to this Agreement or
the conditions to approval of the Tract Map.
6. Completion of Improvements. Subdivider shall begin construction of the Improvements within
ninety (90) days and shall complete construction within twelve (12) months after the approval of this
Agreement. Portions of the Improvements may be completed at a later date, as determined by the City
Engineer as set forth in Exhibit A.
7. Force MaLeure. In the event that Subdivider is unable to perform within the time limits herein due
to strikes, act of God, or other events beyond Subdivider's control, the time limits for obligations affected
by such events will be extended by the period of such events.
8. Time Extension. Subdivider may make application in writing to the City Council for an extension
of time for completion of the Improvements. The City Council, in its sole and absolute discretion, may
approve or deny the request or conditionally approve the extension with additions or revisions to the terms
and conditions of this Agreement.
As a condition of the time extension, Subdivider shall furnish to City securities, similar in form and
substance to those required in Article 3 hereinabove, to cover the period of extension. The value of the
securities shall be sufficient to insure the performance of and payment for improvement work that remains
incomplete at the time of the extension, and to provide guarantee security on completed improvements.
9. Survey Monuments. Before final approval of street improvements, Subdivider shall place survey
monuments in accordance with the provisions of Sections 66495, et sec. of the Subdivision Map Act and
Section 13.20.100 of the City Subdivision Ordinance. Subdivider shall provide the City Engineer written
proof that the monuments have been set and evidence of payment and receipt thereof by the engineer or
surveyor setting of the monuments.
10. Approval of Improvements. At the completion of construction and prior to acceptance of the
improvements by the city, Subdivider shall submit a request for final approval by the city. The request shall
be accompanied by any required certifications from Subdivider's engineers or surveyors and any required
construction quality documentation not previously submitted.
Subdivision Improvement Agreement - Tract 23935-5 Page 2 of 4
Upon receipt of said request, the City Engineer or a duly authorized representative will review the
construction quality documentation and will inspect the Improvements. If the Improvements are determined
to be in accordance with applicable city standards and specifications, and as provided herein, the City
Engineer shall recommend approval of private improvements and acceptance of public improvements by the
City Council.
11. Revisions to Plans. When the Improvements have been inspected and approved by the City
Engineer, Subdivider shall make any necessary revisions to the original plans held by City so the plans depict
the actual Improvements constructed. When necessary revisions have been made, each separate sheet of
the plans shall be clearly marked with the words "As -Built" or "As -Constructed," the marking shall be
stamped by an engineer or surveyor, as appropriate for the improvements thereon, who is licensed to
practice in California, and the plans resubmitted to the City Engineer.
12. Improvement Guarantee. Subdivider hereby guarantees the improvements to City for a period of
one (1) year, beginning on the date of final acceptance of all tract Improvements by the City Council,
against any defective work or labor done, or defective materials furnished, and shall repair or replace such
defective work or materials.
13. Release of Security. City shall retain and release securities in accordance with the provisions of
Section 66499.7 of the Subdivision Map Act and of Section 3 of this agreement. Prior to the release of
payment security, the City Engineer may require Subdivider to provide a title report or other evidence
sufficient to show claims of lien, if any, that may affect the amount of payment security released.
14. City Right to Cure. If Subdivider fails to perform any obligation hereunder and such obligation has
not been performed within sixty (60) days after written notice of default from City, then City may perform
the obligation, and Subdivider shall pay the entire cost of such performance by City including costs of suit
and reasonable attorney's fees incurred by City in enforcing such obligation. In cases of emergency or
compelling public interest, as determined by the City Engineer, the requirement for written notice of default
and/or the passage of sixty (60) days shall be deemed waived and all other provisions of this Article shall
remain in effect.
15. Indemnification. Subdivider hereby binds itself, its officers, employees, agents, representatives,
executors, administrators, guarantors, heirs, and assigns, and agrees to indemnify, defend and hold City
and its officers, employees, agents, representatives, and assigns harmless from and against any losses,
claims, demands, actions, or causes of action of any nature whatsoever, arising out of or in any way
connected with Subdivider's performance hereinunder, including costs of suit and reasonable attorneys'
fees.
16. No Modification of Conditions. This Agreement shall in no respect act to modify or amend any
provision of the Tentative Tract Map Conditions of Approval for the Tract. In the event that any
requirement or condition of this Agreement is inconsistent with or fails to include conditions of the Tentative
Tract Map Conditions of Approval for the Tract, which document is incorporated herein by reference, the
provisions in the Tentative Tract Map Conditions of Approval shall remain in effect and shall control.
17. Severability. In the event that any provision or provisions of this Agreement are held
unenforceable, all provisions not so held shall remain in full force and effect.
18. General Provisions
A. All notices pursuant to this Agreement shall be in writing and shall be personally delivered
or sent by registered or certified mail, return receipt requested, to the parties at their respective addresses
indicated below their respective signatures. Notices personally delivered shall be effective upon delivery.
Notices mailed as provided herein and sent postage prepaid shall be effective upon the date of delivery or
refusal indicated on the return receipt. Either party may change its address for notices hereunder by notice
to the other given in the manner provided in this subparagraph.
B. The terms, conditions, covenants, and agreements set forth herein shall apply to and bind
the heirs, executors, administrators, assigns, and successors of the parties hereto.
C. Neither party to this Agreement relies upon any warranty or representation not contained in
this Agreement.
D. This Agreement shall be governed by and interpreted with respect to the laws of the State
of California.
E. In the event of any dispute between the parties with respect to this Agreement, the prevailing
party shall be entitled to prompt payment of its reasonable attorneys' fees from the non -prevailing party.
F. Any failure or delay by either party in asserting any of its rights and remedies as to any
default shall not operate as a waiver of any default or of any such rights or remedies provided for hereunder.
Subdivision Improvement Agreement - Tract 23935-5 Page 3 of 4
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the day and year first
written above.
CITY OF LA QUINTA:
ATET:
City Clerk
SUBDIVIDER:
By: Y&A,4W
Title: T:�Rf �s IDori n
By: A ,
Title: f- Cut e- s .
Approved as to Form:
Reviewed and Approve
om Genovese
City Manager
ADDRESS:
//,3 1g �:-
.--
Date
/2122/94
Date
Subdivision Improvement Agreement - Tract 23935-5 Page 4 of 4
STATE OF CALIFORNIA
SS.
COUNTY OF SAN BERNARDINO ►
On November 22, 1994 , before me, Patricia Anne Si korski , Notary Publ i c ,
Name, Title, e.g., "Jane Doe, Notary Public"
personally appeared John Pavelak and David A.
Names) of Signer(s)
FX-1 personally known to me -- OR -- ❑ proved to me on the basis of satisfactory evidence to be the
person(s) whose name(s) is/0 cry subscribed to the within
instrument and acknowledged to me that he/she he
executed the same in his/her/ (hei authorized capacity(ies),
and that by his/her/ ei signature(s) on the instrument the
person(s), or the entity upon behalf of which the person(s)
PATRICIA ANNE SIKORSKI
U) Comm. No. 997102 acted, executed the instrument.
Y NOTARY PUBLIC - CALIFORNIA
• SAN BERNARDINO COUNTY N
L1 oMy Comm. Exp. June 13, 1997 ~
Witness my hand and official seal.
Signature of Notary
OPTIONAL
Though the data below are not required by law, the information may prove valuable to persons relying on the
document and could prevent fraudulent reattachment of this form.
CAPACITY CLAIMED BY SIGNER:
❑ Individual
❑ Corporate Officer:
Title(s)
❑ Partner(s): ❑ Limited
❑ General
❑ Attorney -in -Fact
❑ Trustee(s)
❑ Guardian/Conservator
❑ Other:
SIGNER IS REPRESENTING
Name of Person(s) or Entity(ies)
DESCRIPTION OF ATTACHED DOCUMENT
Title or Type of Document
Number of Pages
Date of Document
Signer(s) Other than Named Above
Exhibit A
LIST OF IMPROVEMENTS AND SECURITY AMOUNTS - TRACT 23935-5
Except as otherwise provided herein, Subdivider shall furnish performance security and payment
security prior to City Council approval of the final map.
Improvements designated as "deferred" will be constructed by others at a later date as determined by
City. Security shall remain in place until such later date to guarantee Subdivider's payment for the cost
of the deferred improvements.
As elements of the work are completed, Subdivider may request a maximum of three partial releases
of performance security. Requested releases will be evaluated and may be granted, in whole or in part,
by the City Engineer. Requests for partial releases, setting forth in detail the amount of work
completed and the value thereof, shall be made in writing to the City Engineer.
Improvement Description Performance Payment
Grading $80,000 ✓ $40,000
Domestic Water 53,400 v 26,700 11
Sanitary Sewer 47,6004 23,800
Off -site retention basin 37,800 18,900
Underground Electric 50,000 ✓ 25,000
Streets 153,000 7 6, 5 00
Survey Monumentation 3,400 J 0
Totals: $425,200 $210,900
This amount represents the pro rata share of 15 of this tract's 31 lots plus 16 of
Tract 23935-4's lots which are among the 315 lots proposed to drain into a
$384,000 shared basin to be constructed on Tract 25363.
�Q
ins 1C0
C�iG�30O Mp
BOND NO:
172659S
INITIAL PREMIUM: $ 1, 120.00
SUBJECT TO RENEWAL.
SUBDIVISION IMPROVEMENTS
PERFORMANCE BOND
GRADING IMPROVEMENTS
KNOW ALL MEN BY THESE PRESENTS:
That we, TOPAZ ASSOCIATES, L.P. , A CALIFORNIA LIMITED PARTNERSHIP , as Principal,
and DEVELOPERS INSURANCE COMPANY, a corporation organized and doing business under and by virtue of the laws of the State
of California and duly licensed to conduct a general surety business in the State of California as Surety, are held and firmly bound unto
CITY OF LA QUINTA
as Obligee, in the sum of EIGHTY THOUSAND
($ 80,000.00 ) Dollars, for which payment, well and truly to be made, we bind ourselves, our heirs, executors and
successors, jointly and severally firmly by these presents.
THE CONDITION OF THE OBLIGATION IS SUCH THAT:
WHEREAS, the above named Principal, as a condition of the filing of the final subdivision map of (Tract/Parcel) Map No. 23935-5,
entered into an agreement or agreements with said Obligee to complete the improvements specified in
said agreement or agreements.
NOW THEREFORE, the condition of this obligation is such, that if the above Principal shall well and truly perform said agreement or
agreements during the original term thereof or of any extension of said term that may be granted by the Obligee with or without notice
to the Surety, this obligation shall be void, otherwise it shall remain in full force and effect.
IN WITNESS WHEREOF, the seal and signature of said Principal is hereto affixed and the corporate seal and the name of the said
Surety is hereto affixed and attested by its duly authorized Attorney -in -Fact at
California, this
23RD
"PRINCIPAL"
day of
TOPAZ ASSOCIATES, L.P., A
CALIFORNIA LIMITED PARTNERSHIP
By: CENTURY HOMES COMMUNITIES, A
CALIFORNIA CURPURAT UN9 AS GENERAL PARTNER
BY:
(j�ly ei ntraub, Assi s t-an t Secretary
NOVEMBER
UPLAND
"SURETY"
DEVELOPERS INSURANCE COMPANY
19 94
r
BY: z4d
MIC EL J .. ENSEL J Attorney -in -Fact
17780 Fitch
Irvine, California 92714
(714) 263-3300
DI 113 Rev. 2/91
,a 10, ,
LJ 11"LJ�
�nsc
ICO
BOND NO:
172660S
INITIAL PREMIUM: $2,142.00 ,
SUBJECT TO RENEWAL.
SUBDIVISION IMPROVEMENTS
PERFORMANCE BOND
STREET IMPROVEMENTS
KNOW ALL MEN BY THESE PRESENTS:
That we, TOPAZ ASSOCIATES, L.P. , A CALIFORNIA LIMITED PARTNERSHIP , as Principal,
and DEVELOPERS INSURANCE COMPANY, a corporation organized and doing business under and by virtue of the laws of the State
of California and duly licensed to conduct a general surety business in the State of California as Surety, are held and firmly bound unto
CITY OF LA QUINTA
as Obligee, in the sum of ONE HUNDRED FIFTY—THREE THOUSAND
($ 153, 000.00 ) Dollars, for which payment, well and truly to be made, we bind ourselves, our heirs, executors and
successors, jointly and severally firmly by these presents.
THE CONDITION OF THE OBLIGATION IS SUCH THAT:
WHEREAS, the above named Principal, as a condition of the filing of the final subdivision map of (Tract/ Parcel) Map No. 23935-5,
entered into an agreement or agreements with said Obligee to complete the improvements specified in
said agreement or agreements.
NOW THEREFORE, the condition of this obligation is such, that if the above Principal shall well and truly perform said agreement or
agreements during the original term thereof or of any extension of said term that may be granted by the Obligee with or without notice
to the Surety, this obligation shall be void, otherwise it shall remain in full force and effect.
IN WITNESS WHEREOF, the seal and signature of said Principal is hereto affixed and the corporate seal and the name of the said
Surety is hereto affixed and attested by its duly authorized Attorney -in -Fact at
California, this
23RD
"PRINCIPAL"
day of
TOPAZ ASSOCIATES, L.P., A
CALIFORNIA LIMITED PARTNERSHIP
By: CENTURY HuMES CUMMUNITIES, A
CALIFORNIA CuRPURATiuw, AS GENERAL PARTNER
41,
B
��rpoorWeintraw, Assistant Secretary
NOVEMBER
UPLAND
"SURETY"
, 19 94
DEVELOPERS INSURANCE COMP NY
BY:-
MICHA L J . ENSEL Attorney -in -Fact
17780 Fitch
Irvine, California 92714
(714) 263-3300
DI 113 Rev. 2191
RIDER
BOND NUMBER
1
DATE OF NOTICE
BOND NUMBER
TYPE OF BOND
11-29-94
172663S
SUBDIVISION IMPROV. STORM DRAIN IMPROV.
Nothing herein contained shall be held to vary, waive, alter, or extend any of the terms, conditions, agreements, or
warranties of the above mentioned bond, other than stated as below.
TRACT NO. 23935-5
O
B CITY OF LA QUINTA
L 78-495 CALLE TAMPICO
I
G LA QUINTA CA 92253
E
E
Gentlemen:
This Rider is to be attached to and form a part of the above captioned bond effective 11-23-94
This Rider is on behalf of
TOPAZ ASSOCIATES, L.P., A
CALIFORNIA LIMITED PARTNERSHIP
and in favor of the Obligee stated above.
In consideration of the premium charged, it is understood and agreed, effective from above date, that:
INCREASE BOND AMOUNT ON PERFORMANCE BOND FROM: $18,285 TO: $37,800
INCREASE BOND AMOUNT ON LABOR/MATERIAL BOND FROM: $9,143 TO: $18,900
P
R
O
D BALANCE INSURANCE AGENCY UP
C 17780 FITCH STE #150
E IRVINE CA 92714
R
411ropo oeucee coPv
California, this
23RD
"PRINCIPAL"
TOPAZ ASSOCIATES, L.P., A
day of
CALIFORNIA LIMITED PARTNERSHIP
By: CENTURY HUMES C'WMUNiTiES, A
CALIFURNiA CURPURATIUN, AS GENERAL PARTNER
BY:
uar trauu, Assl scan c Secretary
NOVEMBER
Provided, however, that the liability of the
company under the attached bond as changed
by this order shall not be cumulative.
Signed this day of
29NOVEMBER 1994
BvAttorne -in-Fact
DW
"SURETY"
19 94
DEVELOPERS INSURANCE COMPANY
41 BY: C/
MIC EL J . HENSEL Attorney -in -Fact
17780 Fitch
Irvine, California 92714
(714) 263-3300
DI 113 Rev. 2/91