29052 BLP Desert 99Taf 4 4 aukra,
� SA / HA / FA MEETING DATE: November 20, 2012
ITEM TITLE: Adoption of a Resolution to Extend the Time
for Completion of the Off -Site and On -Site
Improvements for Parcel Map No. 29052, Lundin
Development, BILP Desert, LP
RECOMMENDED ACTION:
AGENDA CATEGORY:
BUSINESS SESSION:
CONSENT CALENDAR: -7
STUDY SESSION:
PUBLIC HEARING:
Adopt a resolution to extend * the time for completion of the off -site and on -site
improvements as specified in the approved Subdivision Improvement Agreement to
November 20, 2013 with the exception of the improvements associated with the
widening of Avenue 50, and authorize the Public Works Director and/or the City
Attorney to take the steps necessary to compel completion of the improvements
relating to the widening of Avenue 50.
EXECUTIVE SUMMARY:
This proposed Subdivision Improvement Agreement (SIA) extension is for the
northwest corner of the intersection of Jefferson Street and Avenue 50 as
shown in Attachment 1.
Currently the road narrows to one westbound lane along the property frontage
which backs up traffic during peak hours of operation.
The developer has requested a time extension of the SIA to explore other
development concepts and has provided staff with no construction schedule
thus far.
It 0 7 7
FISCAL IMPACT:
If the developer were to construct the street improvements, the City would be required
,to augment the lighting and landscape district for any additional median landscape
maintenance, as well as for any additional street sweeping and road maintenance that
would be required for the additional pavement and curb line. These costs are
estimated to be $3,300 per year. Legal costs for pursuing the bonds in order to have
the street improvements completed for Avenue 50 could be as much as $20,000.
BACKGROUND/ANALYSIS:
The City Council has previously granted an SIA extension from September 20, 2011 to
September 20, 2012.
In a letter dated August 29, 2012 (Attachment 2), the developer requested a time
extension. The developer wrote that the original project had been aborted and
requested time to explore alternative development concepts and complete the off -site
improvements sometime in the future. The required off -site street improvements
include the widening of Avenue 50 along the southern boundary of the site, installing a
six-foot sidewalk on the north side, installing storm drain, water, sewer, perimeter and
median landscaping, undergrounding the power lines and pole relocation, and
monumentation improvements.
Staff responded with a request for a construction schedule of the Avenue 50 street
widening and six-foot sidewalk improvements (Attachment 3). In his letter dated
October 24, 2012 (Attachment 4), the developer discussed preliminary development
concepts but did not provide a construction schedule of the Avenue 50 street widening
and six-foot sidewalk.
Due to increased traffic and pedestrian traffic on Avenue 50, the City Traffic Engineer
recommends widening Avenue 50 along this development's frontage for the following
reasons:
1) The single westbound through lane is nearing capacity at peak hours of
operation.
2) The heavy westbound to southbound right turn movement, which occupies the
same lane as the westbound through lane, reduces the capacity of the single
westbound through lane. This lane could be restriped into two lanes if there
were two westbound lanes on the west side of the intersection adjacent to this
development.
3) Widening the westbound lanes on Avenue 50 would allow dual left turns from
northbound Jefferson Street to match the dual left turns on southbound
1P 0 7 8
Jefferson Street resulting in greater signal efficiency.
4) Widening the street would allow better traffic signal synchronization on
Jefferson Street in general and much higher intersection capacity during special
events.
ALTERNATIVES:
Approve the requested SIA time extension to November 20, 2013 for all improvements
or provide staff with alternative direction.
Respectfully submitted,
4 othyl son �PE
J
Pub Ic orks 4 rectoriCity Engineer
Attachments: 1 . Vicinity Map
2. Letter from Lundin Development dated August 29, 2012
3. Letter from Tim Jonasson dated October 18, 2012
4. Letter from Lundin Development dated October 24, 2012
t�. 079
r
COUNCIL/RDA MEETING DATE: September 20, 2011
ITEM TITLE: Adoption of a Resolution to Extend the
Time for Completion of the Off -Site and On -Site
Improvements for Parcel Map No. 29052, Lundin
Development, BLP Desert, LP
RECOMMENDATION:
AGENDA CATEGORY:
BUSINESS SESSION:
CONSENT CALENDAR:
STUDY SESSION:
PUBLIC HEARING:
Adopt a resolution to extend the time, for completion of the off -site and on -site
improvements as specified in the approved Subdivision Improvement Agreement (SIA)
to September 20, 2012 for Parcel Map No. 29052, Lundin Development, BLP Desert,
LP.
FISCAL IMPLICATIONS:
None.
CHARTER CITY IMPLICATIONS:
None.
BACKGROUND AND OVERVIEW:
Parcel Map No. 29052, Lundin Development, is located on the northwest corner of
Jefferson Street and Avenue 50 (Attachment 1).
On August 24, 1999, the City and BLP Desert, LP entered into an SIA for Parcel Map
No. 29052. Section 6 of the SIA requires: "that the subdivision improvements shall be
complete within twelve months after the approval of the SIA. Failure by Subdivider to
begin or complete construction of the improvements within the specified time periods
shall constitute cause for City, in its sole discretion and when it deems necessary, to
declare Subdivider in default of this SIA, to revise improvement security requirements
as necessary to ensure completion of the improvements, and/or to require
?114
modifications in the standards or sequencing of the improvements in response to
changes in standards or conditions affecting or affected by the improvements. "
In a letter dated May 12, 2011 (Attachment 2), the developer requested a time
extension to complete the off -site and on -site improvements. The developer has
previously indicated that it obtained a prior extension of the deadline in exchange for
its cooperation with the City regarding the construction of the main line sewer
improvements on the property in 2002.
The developer has recently provided proof that the bonds for the improvements are in
full force and effect and that it has made its premium payments.
The outstanding off -site street improvements include the widening of Avenue 50 on
the north side. Other required improvements include storm drain, water, sewer,
perimeter and median landscaping, undergrounding the power lines and pole relocation,
and monumentation improvements.
Staff recommends that the off -site and on -site improvements completion date be
extended one year to September 20, 2012. Staff has prepared the attached resolution
which provides for approval of the time extension of the SIA for the off -site and on -
site improvements.
FINDINGS AND ALTERNATIVES:
The alternatives available to the City Council include:
1. Adopt a Resolution of the City Council to extend the time for completion of the
off -site and on -site improvements as specified in the approved SIA to
September 20, 2012 for Parcel Map No. 29052, Lundin Development, BLP
Desert, LP; or
2. Do not adopt a Resolution of the City Council to extend the time for completion
of the off -site and on -site improvements as specified in the approved SIA to
September 20, 2012 for Parcel Map No. 29052, Lundin Development, BLP
Desert, LP; or
3. Provide staff with alternative direction.
205
Respectfully submitted,
4othytRJoas of�, P.E.
Public Wit ' r/City Engineer
Approved for submission by:
Thomas P. Genovese, City Manager
Attachments: 1. Vicinity Map
2. Letter from BLP Desert, LP dated May 12, 2011
206
TW�p 4 4 Q"
AGENDA CATEGORY:
BUSINESS SESSION:
COUNCIL/RDA MEETING DATE: June 4, 2002 CONSENT CALENDAR:
ITEM TITLE: Consideration of a Request to Extend the STUDY SESSION:
Time for Completion of Improvements for Parcel Map
29052, Lundin Development PUBLIC HEARING:
Deny a request to extend the time for the completion of improvements as specified in
the approved Subdivision Improvement Agreement (SIA) for Parcel Map 29052, Lundin
Development.
None.
None.
Parcel Map 29052, Lundin Development, is located at the northwest corner of Jefferson
Street and Avenue 50 (Attachment 1).
Lundin Development is the developer of Parcel Map 29052. On December 7, 1999, the
City Council approved the Final Parcel Map and SIA. Subsequent to the recordation of
this map, Lundin Development sold Parcel 4 of this map to American Stores
(Albertsons). Albertsons is not aggressively moving forward with their commercial
development, and as a consequence, Lundin Development is not in a position to move
forward with their master improvements for this Parcel Map.
Under the terms of the SIA, the subdivider shall begin work within ninety (90) days and
complete the work within twelve (12) months from the date the SIA was approved.
Failure by the subdivider to begin or complete construction of the improvements within
the specified time period shall constitute cause for the City, in its sole discretion and
when it deems necessary, to declare the subdivider in default of the agreement. In this
case, the failure to complete certain sewer line improvements may impact the orderly
development of Tract 29053 (La Quinta Jefferson Fifty) and Rancho La Quinta
(immediately north of Parcel Map 29052). The sewer line extension through Parcel Map
29052 is the downstream segment of a master planned sewer line which will ultimately
14.E
T:\PWDEPT\COUNCIL\2002\020604b.wpd
provide service to a larger master planned area.
Both the La Quinta Jefferson Fifty and T.D. Desert -Rancho La Quinta developers have
expressed a concern that the failure to complete the downstream sewer line
improvements will delay their respective projects. They feel that this sewer line
extension is required under the terms of Lundin Development's SIA and conditions of
approval.
On April 4, 2002 and on May 1, 2002, City staff conducted meetings with the
respective developers in an attempt to resolve the issues in a mutually agreeable
manner. At the May 1, 2002 meeting, staff indicated that if an agreement was not
reached in a timely manner, it would be the City's responsibility to consider other
actions to facilitate the construction of the sewer line. To date, a formal agreement
between the parties has not been reached.
On May 8, 2002, in accordance with Section 14 of the SIA, City Staff issued a sixty
(60) day notice of default to Lundin Development (Attachment 2). Under the provisions
of Section 14, if the Subdivider fails to perform any obligation under the SIA and such
obligation has not been performed within sixty (60) days after the written notice of
default, the City may perform the obligation and the subdivider shall pay the entire cost
of such performance by the City, including costs of suit and reasonable attorney's fees
incurred by the City in enforcing such obligation. If the terms of the SIA and Conditions
of Approval are not fulfilled within the 60 days, the City could find Lundin Development
in default and proceed with the necessary steps to complete the obligation to construct
the improvements.
On May 15, 2002, the City received a letter from the applicant requesting that the
period for the completion of the improvements be extended for an unspecified period of
time (Attachment 3). Under the terms of the SIA, the City, in its sole discretion, may
approve or deny the request, or conditionally approve the extension with additions or
revisions to the terms and conditions of this Agreement. Should the time period for the
completion of the sewer line be extended, the La Quinta Jefferson Fifty and Rancho La
Quinta projects could be adversely impacted and delayed. Accordingly, staff does not
support the time extension request.
The alternatives available to the City Council include:
1 . Deny the request to extend the time for the completion of improvements as
specified in the approved Subdivision Improvement Agreement for Parcel Map
29052, Lundin Development, or;
145
002
T:\PWDEPT\COUNCIL\2002\020604b.wpd
2. Approve the applicant's request to extend the time for the completion of
improvements as specified in the approved Subdivision Improvement Agreement
and define a specified extension time for Parcel Map 29052, Lundin
Development, or;
3. Provide staff with alternative direction.
Respectfu bmitted,
oy teph nson, P.E.
Interim Public Works Director/City Engineer
Approved for submission by:
Thomas P. Genovese, City Manager
Attachments: 1. Parcel Map 29052
2. Staff Letter dated May 8, 2002
3. Letter from the Applicant dated May 15, 2002
148
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PAGE 01
05/15/20e2 09:31 5625926050 LUKO ATTACHMENT 2
Lundin
Development Co.
May 15, 2002
Mr. Roy Stephenson
public Works Director
City of La Quinta
78-495 CAe Tampico
La Qui ta, CA 92253-1504
Subject: Parcel Map 29052
Dear Mr. Stephenson:
in
for out
This letter is our Inquest to extend the tirrle-frameendar U5 fore next Improvementvision C Ccil meeting to
(SI,A) for the referenced Parcel Map. Please cal
consider our request.
Thank you for your assistance -
Yours very truly,
�� geo�
Greg Bever
4erb Lundin
cc: Mayor Jolm Pena -- City of La Quints
Mike Smith -Warner Engineering
149
16400 Paoifi0 Coast Highway, Suite 207 • Huntington Beach, California 92649 • (562) 592-6020 • FAX (562) 592-6050
007
rr ran. ,n Tci �cra_���_71�4 KIOMG-1 0 niITNTA PIIPI TC lJml -.., P. 1
ATTACHMENT 3
Sh\ni�g Brighter Than
P.O. Box 1504
78-495 CALLE TAMPICO
LA QUINTA, CALIFORNIA 92253
BLP Desert
Mr. Leorard H. Lundin
Pacific Coast Highway, Suite 207
Huntington Beach, CA 92649
RE: Parcel Map 29052 - 60 Day Notice of Default
Dear Mr. Lundin:
May 8, 2002
(760) 777-7000
FAX (760) 777-7101
Please be advised that this letter serves as your notice of default for failure to begin or complete
construction of the required improvements in accordance.with the approved Subdivision Improvement
Agreement (SIA). The SIA was approved by the City Council on December 7, 1999.
Section 6., Completion of Improvements, of the approved SU requires that the subdivider begin
construction of the improvements within ninety (90) days and complete the improvements within twelve
(12) months after the approval of the agreement. Failure by the Subdivider to begin or complete
construction of the improvements within the specified time periods shall constitute cause for the City, in its
sole discretion and when it deems necessary, to declare the Subdivider in default of the agreement.
In accordance with Section 14., City Right to Cure, of the SIA, if the Subdivider fails to perform any
obligation under the SIA and such obligation has not been performed within sixty (60) days after this
written notice of default, the City may perform the obligation and the subdivider shall pay the entire cost of
such performance by the City, including costs of suit and reasonable attorney's fees incurred by the City in
enforcing such obligation.
If the terms of the SIA and Conditions of Approval are not fulfilled within the 60 days, the City may find
you in default and proceed with the necessary steps to complete your obligation to construct the
improvements.
Please call me at 760-777-7042 should you have any questions regarding this notice.
Sincerely,
oy F: Stephenson, P.E.
Interim City Engineer/Public Works Director
C.C. Tom Genovese, City Manger
Katherine Jenson, City Attorney
Lou Jones and Associates (American Motorists Insurance Company)
T:\PWDEMSTAFF\Schulze\Special Projects\PM29052\02-05-08 Notice of Default.wpd
8 '
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_ -C1TY of LA QUINPA
SUBDIVISION IMPROVEMENT AGREEMENT
pARcEL MAP 29052
IS SUBDIVISION IMPR VEMENT AGREEMENT (the "Agreement'] is made and entered into this
THIS a ¢ � day of � 9
b and between BLP Desert, a California Limited Partnership reinafter referred to o " ubdivider, " and the City
Y
of La Quinta, a municipal corporation of the State of California, hereinafter referred
RECITALS:
" of a unit of land in the City of La
A. Subdivider has prepared and filed a final map or na as Imap t ParcelNo. 29052 (the "Parcel") pursuant to the
Quinta, County of Riverside, which unit of land is known
provisions of Section 66410, et sec. of the California Government Code (the "Subdivision Map Act").
S. Prior to approval of the Map, Subdivider is required to install or agree to install certain public and private
improvements (the "Improvements").
C. The 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. Improvement Plans. Prior to issuance of a construction permit, Subdivider shall furnish original
improvement plans meeting the requirements of the City Engineer.
a utility, landscaping, and
2. improvements. Subdivider shall construct the public and private street, drainage,
ments re uired to be constructed or agreed to be constructed under this Ag rice and scheduli
eement as listein
other improve qng
Exhibit "A", and shall bear the full cost thereof. The methods, standards, specifications, seque ,
of construction shall be as approved by the City Engineer.
3. Improvement Security.
ferred to as ,performance security,"
A. One Bass of security to be provided by Subdivider, hereinafter on of the improvements, payment of
shall assure the faithful performance of this Agreement including construct others ("Participatory
Subdivider's fair share of Improvements which have been or will bonC°nstructed by class of security to be provided by
Improvements"), and payment of plan c�ieck a�Pe shad assure the payment of the cost o1 labor, equipment
Subdivider, hereinafter referred to as payments security,"
and materials supplied to construct the Improvements. A third class of security to be provimedoe ements for
hereinafter referred to as "Warranty security," shall serve as a guarantee and improvewarranty ments. Subdivider shall furnish
period of one year following the completion and acceptance
of City the i p approval .the Map. Subdivider shall
performance and payment security prior to and as a co �Y
after Improvements are complete and accepted by the City Council rlbe required for
provide warranty security Warranty security shall
concurrently with the final release of performance security.. However the City may utilize Monumentation Security for
Monumen#ation or Participatoryoe work n aeccordance with the Subdivision Map Act.
performance of or payment f .
As part of the obligation secured by each of the performance security, payment security and warranty
uch security all include and assure the
security,and in addition to the face amount of each such security, each noble attorneys fees, incurred by City inpayment of costs and reasonable expenses and fees: including reaso
successfully enforcing the obligations thereby secured.
shall conform with Section 66499 of the California Government Code and one
B. improvement security
or more of the following:
1 A cash deposit with City or a responsible escrow agent or trust company, at City's option.
Page 1 of 6
T:\PWDEPT\STAFF\GUZMAN\TRACTS\AGREEME,,: S\29052.wpd
2) Surety bonds, of the form specified in subsection 66499.2 of the California Government Code,
issued by a surety or sureties listed in the U.S. Department of Treasury Circular 570 (latest version). -
3) Certificates of deposit, in City's name, from one or more financial institutions subject to
regulation by the state or federal government and having a financial quality rating of "A" or better and a commitment
reliability rating of "R-2" or better on the Investment Data Exchange (of the Los Angeles County Treasurers office).
4) Irrevocable letters of credit, issued by one or more financial institutions meeting the requirements
of Paragraph (3), pledging that the funds necessary to carry out the completion of the Improvements 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 City. Letters of credit shall guarantee that all or any portion of the funds available
pursuant to the letters of credit will be paid upon the written demand of City and that such written demand need not
present documentation of any type as a condition of payment, including proof of loss. The duration of any such
letter of credit shall be for a period of not less than one year from the execution of the agreement with which it is
provided and shall state, on its face, that the letter of credit will be automatically renewed until such time that City
authorizes its expiration or until sixty (60) days after City receives notice from the financial institution of intent to
allow expiration of the letter of credit.
5) A lien upon the subdivided property, if City finds that it would not be in the public interest to
require the installation of the Improvements sooner than two (2) years after recordation of the final map or parcel
map for which the Improvements are required. The lien shall provide a collateral value of three (3) times the
estimated cost of the Improvements and shall include the power of sale of the real property, all buildings and
improvements thereon, or that may be erected upon or made thereto, together with all hereditaments and
appurtenances thereunto belonging, or in any wise appertaining, and the reservations, remainders, rents, issues,
and profits thereof. The collateral value of the property shall be established at Subdivider's expense through an
appraisal approved by City.
6) 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.
7) When Subdivider is a non-profit organization, security may be negotiable bonds, of the kind
approved for securing deposits of public moneys with City or in favor of City, as specified in Section 16430 of the
California Government Code, deposited, at City's option, with City or a responsible escrow agent or trust company.
_ C. All securities shall be furnished in accordance with the provisions of Exhibit A. 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. The amount of Payment security shall equal the amount of the
amount of performance security, except as otherwise Set forth in Exhibit A, and shall be furnished as a separate
security. Warranty security shall equal Ten Percent (10%) of the amount of performance security except as
otherMse set forth in Exhibit A.
D. At the time of submittal of security, Subdivider shall pay to City administrative fees applicable to the
form of security provided. Administrative fees shall apply to the subdivision (final map, parcel map or waiver of
parcel map) rather than to individual security instruments. The fees shall be paid separately for each different form -
and/or source (surety or financial institution) of security initially submitted and for substitution of securities but shall
not be required for submittal of warranty security if the warranty security is of the same form and from the same
source as the performance security it replaces. Administrative fees for security shall be as follows:
1) For certificates of deposit, bonds and letters of credit as described in Paragraphs 2), 3) and 4)
of SECTION 3.B., which require the establishment of evidence of the reliability of the surety or financial institution,
the administrative fee shall be One Hundred Fifty Dollars ($150.00).
2) For liens on real property as described in Paragraph 5) of SECTION 3.B., for which City will
prepare lien agreements and subordination agreements, administer valuation of the real. property and administer
the agreements over the life of the lien, all of which require legal assistance and financial advice, Subdivider shall
pay to City an administration fee of One Half of One Percent (0.50)o) of the estimated cost of thC!w4xoveTrents
secured but not less than Five Hundred Dollars ($500.00) nor more than Five Thousand Doll4frs ($5,000-.M.
T:\PWDEPT\STAFF\GUZMAN\TRACTS\AGREEMEN.TS\29052.wpd Page 2 of 6
• ?'::,,• Tom.. - ;ft ,.
3) For other forms of security listed in Section 3 B, above, there will be no administrative fee.
E. Participatory Improvements, if any, are identified in Exhibit A. Security for Participatory Improvements
shall remain in place until the Participatory Improvements are constructed and actual costs are known and paid
by Subdivider, or until Subdivider pays to City the estimated cost of the Participatory Improvements, and shall
guarantee the reimbursement by Subdivider of Subdivider's share of the cost of the Participatory Improvements.
Payment security and warranty security shall not be required for Participatory Improvements.
Upon written demand from City, Subdivider shall deposit cash with City in lieu of or in replacement of security
guaranteeing Participatory Improvements. If Subdivider fails to deposit said cash within 30 days of the date of the
written demand from City, City may present a written demand to Subdividers Surety for payment of said cash and
Subdividers Surety shall pay to City the lesser of: 1) the amount demanded, or 2) the amount of the security.
F. Security shall not expire, be reduced or become wholly or partially invalid for any reason, including
non-payment of premiums, modifications of this Agreement and/or expiration of the time for performance stated
in this Agreement, without express authorization from City unless the surety provides City with sixty (60) days
written notice by registered or certified mail, return receipt requested,
G. Security shall be released in the following manner:
1) Performance security shall be released upon the final completion and acceptance or approval,
by the City Council of the Improvements subject to the provisions of paragraph B.
2) The City Engineer may authorize partial reduction of performance security as work progresses,
upon application by Subdivider. However, no such reduction shall be for an amount less than Ten Percent (10%)
of the total performance security provided for the faithful performance of the act or work. In no event shall security
be reduced below that required to guarantee the completion of the act or work or obligation secured, plus Ten
Percent (10%). The City Engineer shall not allow more than two partial reductions of security fumished for any
improvement agreement.
3) Participatory Improvement security shall be released upon payment by Subdivider of
Subdividers share of the cost or estimated cost of the Participatory Improvements.
4) If City receives no notice of recorded claims of lien, labor and materials security shall be
released in full 90 days after final acceptance and/or approval by the City Council, of the Improvements. If City
receives notice of any recorded lien, the provisions of the Subdivision Map Act shall apply.
5) Warranty security not utilized during the warranty period shall be released one year after final
acceptance or approval by the City Council of all Tract Improvements. However, if at the end of the one-year
warranty period, there are one or=more outstanding requests by City for performance of work or provision of
materials under the terms of the warranty, warranty security shall be retained until the outstanding requests are
satisfied or until Subdivider has made other arrangements satisfactory to the City Engineer.
4. Permits Rgguired. 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 requires or
necessitates the acquisition of real property not owned by Subdivider or City, Subdivider shall use its best efforts
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 in a form acceptable
to the City Attorney. Said separate agreement shall provide that Subdivider advance to City One Hundred Fifty
Percent (150%J of the appraised fair market value of the real property. Any unexpended portion of said advance
shall be refunded to Subdivider. Any additional funds required for acquisition of the real property shall be paid by
Subdivider to City upon the conveyance of said real property to Subdivider. In no event shall the failure of
Subdivider or City to acquire such real property excuse, waive, or otherwise terminate Subdividees obligation to
construct the applicable improvement pursuant to this Agreement or the Conditions of Approval.
T:\PWDEPT\STAFF\GUZMAN\TRACTS\AGREEMEN. .9052.wpd , Page 3 of 6
6. omaletion of Im.�grovements. 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 or as set forth in Exhibit
A. Failure by Subdivider to begin or complete construction of the Improvements within the specified time periods
shall constitute cause for City, in its sole discretion and when it deems necessary, to declare Subdivider in default
of this agreement, to revise improvement security requirements as necessary to ensure completion of the
improvements, and/or to require modifications in the standards or sequencing of the Improvements in response
to changes in standards or conditions affecting or affected by the Improvements. Said failure shall not otherwise
affect the validity of this agreement or Subdivider's obligations hereunder.
7. Force Majeure. 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 securities, similar in form and substance to those
required in SECTION 3 hereinabove, to cover the period of extension. The value of the securities shall be sufficient
to ensure the performance of and payment for Improvements that remain incomplete at the time of the extension,
and to provide warranty 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 of the La
Quinta Municipal Code. Subdivider shall provide the City Engineer written proof that the monuments have been
set, evidence of payment and receipt thereof by the engineer or surveyor setting the monuments, and intersection
monument tie -outs for monuments set in public streets.
10. Final Acceptance of Improvements. At the completion of construction and prior to acceptance of the
Improvements by City, Subdivider shall submit a request for final approval by City. The request shall be
accompanied by any required certifications from Subdivider's engineers or surveyors, approval letters from other
agencies having jurisdiction over and approval authority for improvements required by this Agreement or the
Conditions of Approval, and any required construction quality documentation not previously submitted.
Upon receipt of said request, the City Engineer or a duly -authorized representative will review the required
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, obligations required by the Conditions of
Approval and this Agreement have been satisfied, and Subdivider has provided revised plans as required in
Paragraph 11, hereinafter, the City Engineer shall recommend acceptance of the Improvements by the City Council.
11. Revisions 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 dearly marked with the words "As -Built," As -Constructed, or Record Drawing, 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 plan
s shall be resubmitted to the City Engineer.
v W n . Subdivider he eby guarantees the Improvements to City for a period of one (1)
12. jmorment arra �o e_tv year, beginning on the date of final acceptance of the Improvements by the City Council, against any defective work
or labor done, or defective materials fumished, .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
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,
Page 4 of 6
T:\PWDEPT\STAFF\GUZMAN\TRACTS\AGRESMEN.TS\29052.wpd
.and Subdivider shall pay the entire cost of such performance by City including costs of suit and reasonable
attomey'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, aris ng out of or in any way connected with Subdivider's performance
herein under, including cos
ts 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 Conditions of Approval. In the event that any requirement or condition of this Agreement is inconsistent with
or fails to include one or more provisions of the Conditions of Approval, which document(s) is (are) incorporated
herein by reference, the provisions in the 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 Agreeifnent 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 indicate
hereon. Notices personally delivered shall be effective upon delivery' . Notices mailed as provided herein and sent
postage prepaid shall be effective upon the date bf 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, land 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 t1he non -prevailing party.
F. Any failure or delay by either party in asserting any of its rights and remedies astoany default shall
not operate as a waiver of any default or of any such rights or remedies provided for hereunder.
Page 5 of 6
MEN.TS\29052.wpd
T:\PWDEPT\STAFF\GUZMAN\TRACTS\AGREE
N WITNESS WHEREOF, the parties hereto havo executed this Agreement as of the day and year first written
above.
CITY: City of La Quinta
78-495 Calle Tampico
La Quinta, CA 92253
760/777-7075
Thomas P. Genovese, City Manager Date
ATTEST:
SUBDIVIDER: BLP Desert
16400 Pacific Coast Hwy, STE 207
Huntington Beach, CA 92649
(562) 592-6020
By: Date
�'v-e or -P ,ems i+v��a k
Title: (`(�/�'/�)/�
w
By // /A�e Date
Title: 00
/' a�.�� 7-
Reviewed and Approved: Date
City Engineer
Approved as to Form:4 0pp City Attorney
P9
DatAee Z
TAPW DEPT\STAFF\GUZMAN\TRACTS\AGRE=MEN.TS\29052.wpd
Page 6 of 6
08/23/1999 13:32 7607777155 CITY OF LA QUIyTA
PAGE 02
Exhibit A
SECURITY • PARCEL MAP 29052
EX ae Gjh!lfM39 provided herein, Subdivider shall furnish perforrnarnce security and'labor & materials security
b City prior to Mgendlzation of the Map for approval Y tha Council.
Mormint*Jon security shad guarantee peftrrnance of or payment for the work and shall be utilized or released
u
as specl!W in Chapter 4, Article 9 of the Subdivision Map Act.
As elements of the worts are completed, Subdivides may request a maximum Of two partial releases Cf
A
erfor' oMe security. Partial releases shall be for not less than; ten percent (10%) of the total performance
security forthi trAGt and shall not reduce total pe;-forrnance security below the amount necessary
to complete
the
Me
improvsments plus ten percent (10%) of the original amount. Partial releases p
r
b• • the C:ty Engineer. Requests for partial releases, setting
evaluated and may be granted, inwhole or in �s��, 9
forth in detail th• amount of work completed and the value thereof, shall be made ir, writing to the City Engineer,
Labor & rn eis sett shag ; ernain in place until 90 days alter all required tract improvements are complete
"accvpWd'by the City Council.
t Dar�ti4t1 Pertormance L r Q--- ryted
20H,952
strse* & Storm Drainage 206,952
water
306,020 306,020
Sewer
i10,000 ��a:oa�
peer and Median Landscape
385,000 38�;000
UndeMmund Electric and Pole Relocation 1E0,000
� 18DC0 ,
Tr*ffh Signal 32,500
pion DesigiNContingency 593,988
MOnlln'tet:?atlOt', 6.t�4 �'
Total$. $1,820,458 g1,487.972
ALL-PURPOSE ACKNOWLEDGEMUN1'
State of California
CAPACITY CLAIMED BY
SIGNER:
County of Orange
Individual(s)
On September 14, 1999, before me, Flavia L. Prattali, personally appeared
Corporate Officer
Notary Public
Leonard H. Lundin and Gregory W. Bever,
Title(s)
Name(s) of Sigaer(s)
X personally known to me to be the person(s)I whose name(s) are subscribed to the
Partner(s)
within instrument and acknowledged to me that they executed the same in their
ct
authorized capacity(ies), and that by their signaWre(s) on the instrument the
TrustAttnye(s)
GuardTrustee(s)
an/Conservator
person(s), or the entity upon behalf of which the Iperson(s) acted, executed the
Other
Other
instrument.
Witness my hand and official seal.
r� SIGNER IS
J
REPRESENTING:
FLAVIA �4iTTALI
signature o�Notwy •�+
Comm. # 142 Names of Person(s) or
N NOTARY PUBLIC • CALIFORNtA ,. Entity(ies)
.� Orange County
My Comm. Expires Oct. 20, 2000
BLP Desert
Title or Type of Document
Subdivision Improvement Agreement — La Quinita.
Number of Pages Date of Document
other
A4tierican Motorists Insurance Company nMPeR.
FIRST TERM PREMIUM FULLY EARNED
Bond Number : 3SM 958 753 00
Premium (Two Years) : $27,307.00
SUBDIVISION BOND
FAITHFUL PERFORMANCE -PUBLIC WORK
KNOW ALL MEN BY THESE PRESENTS: That, BLP Desert, a Calif. Limited Partnership, as Principal,
and the AMERICAN MOTORISTS INSURANCE COMPANY, a corporation organized and existing under the
laws of the State of Illinois and authorized to, transact 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 Million Eight 'Hundred Twenty
Thousand Four Hundred Fifty -Eight & NO/100thsDOLLARS' ($1,820458.00), for which the payment
whereof, well and truly to be made, said 'Principal and Surety bind themselves, their heirs, administrators,
successors, and assigns, jointly and severally, firmly by these presents.
THE Condition of the foregoing obligation is such that, whereas the 'above bounden Principal has entered into a
contract/agreement, dated August 1999, with the Obligee to do and perform the following work; to wit:
SUBDIVISOIN IMPROVEMENTS: STREETS & STORM DRAINAGE, WATER, SEWER,
PERIMETER & MEDIAN LANDSCAPE, UNDERGROUND ELECTRIC & POLE
RELOCATION, TRAFFIC SIGNAL, PLAN DESIGN/CONTINGENCY & MONUMENTATION
FOR PARCEL MAP #29052
NOW, THEREFORE, if the above bounden Principal shall well and truly perform the work contracted to be
performed under said contract, then this obligation shall be void; otherwise to remain in full force and effect.
SIGNED, SEALED, DATED: August 25, 1999
BLP Desert, a Calif. Limited Partnership
(Principal)
By:
By:
Motorists Insurance Company
(Surety)
illiam J. Shupper, Attorney In Fact
DIRECT CORRESPONDENCE TO:
0 LOU JONES & ASSOCIATES, PO BOX 41375, 7470 N. FIGUEROA ST., LOS ANGELES, CA 90041
PHONE (323) 257-8291 • FAX (323) 256-7218
Subdivision Performance Bond - 11-02-98.dot
can Motorists Insurance Company
nmrew
Bond Number : 3SM 958 753 00
SUBDIVISION BOND
LABOR & MATERIALTAYMENT
KNOW ALL MEN BY THESE PRESENTS: That we, BLP Desert, a Calif. Limited Partnership as
Principal, and AMERICAN MOTORISTS INSURANCE COMPANY, as Surety, are held and firmly bound
unto City of La Ouinta as Obligee, in the sum of One Million One Hundred Eighty -Seven Thousand Nine
Hundred Seventy -Two & NO/100ths DOLLARS ($1,187,972.00) lawful money of the United States of
America, for the payment of which sum well and truly to be made, We bind ourselves jointly and severally,
firmly by these presents.
THE CONDITION OF THIS OBLIGATION IS SUCH, That, Whereas, said Principal has entered into a
Subdivision Agreement with the Obligee, dated August 1999 , in which said Principal agrees to construct
designated public improvements, as follows:
SUBDIVISION IMPROVEMENTS: STREETS & STORM DRAINAGE, WATER, SEWER,
PERIMETER & MEDIAN LANDSCAPE, UNDERGROUND ELECTRIC & POLE RELOCATION
FOR PARCEL MAP #29052
and, as a condition of approving said Subdivision, the Principal is required to give Labor and Material Payment
Bond as herein provided.
NOW, THEREFORE, if said Principal and/or contractor or subcontractor fails to pay for any materials,
provisions, or rented equipment used in, upon, or for or about the construction of the public improvements for
performance of the work to be done, or any work or labor done of any kind, in or on such improvements, said
surety will pay the same in an amount not exceeding the sum set forth above.
This bond shall insure to the benefit of the contractor, his subcontractors, and to persons renting equipment or
furnishing labor and materials to them for the improvements.
SIGNED, SEALED, DATED: August 25, 1999
BLP Desert, a Calif. Limited Partnership
(Principal)
By:
American Motorists Insurance Company
(Surety)
By: _ HA/
Jkjliam J. Shupper, Attorney In Fact
DIRECT CORRESPONDENCE TO:
In LOU JONES & ASSOCIATES, PO BOX 41375, 7470 N. FIGUEROA ST., LOS ANGELES, CA 90041
PHONE (323) 257-8291 • FAX (323) 256-7218
Subdivision Payment Bond - 11-02-98.dot
OUTSTANDING BOND REPORT
Name: BLP Desert
Parcel Map No. 29052
Date of Contract: August 24, 1999
Required Bond Amounts:
Streets/Drainage
$ 206,952
Water
$ 306,020
Sewer
$110,000
Perimeter/Median landscape
$385,000
Underground Electric/Poles
$180,000
Traffic Signal
$ 32,500
Plan Design/Contingency
$ 593,986
Monumentation
$ 6,000
Dates of Bond Reductions:
Outstanding Bonds:
Amount:
$1,820,458
$1,187,972
3SM95875300
same
performance/labor materials
same
same
same
same
performance only
performance only
performance only
Date Cancelled/Released: