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2008 06 02 CCea# 4 4 adja City Council agendas are available on the City's web page @ www.la-quinta.org CITY COUNCIL AGENDA CITY COUNCIL CHAMBERS 78-495 Calle Tampico La Quinta, California 92253 Adjourned Meeting MONDAY, JUNE 2, 2008 3:00 P.M. Closed Session / 4:00 P.M. Open Session Beginning Resolution No. 2008-038 Ordinance No. 458 CALL TO ORDER Roll Call: Council Members: Henderson, Kirk, Osborne, Sniff, and Mayor Adolph PUBLIC COMMENT At this time, members of the public may address the City Council on any matter not listed on the agenda. Please complete a "request to speak" form and limit your comments to three minutes. CLOSED SESSION — NONE RECESS TO CLOSED SESSION RECONVENE AT 4:00 P.M. City Council Agenda 1 June 2, 2008 0 0 1 4-no P_M_ PLEDGE OF ALLEGIANCE PUBLIC COMMENT At this time members of the public may address the City Council on any matter not listed on the agenda. Please complete a "request to speak" form and limit your comments to three minutes. CONFIRMATION OF AGENDA PRESENTATIONS — NONE WRITTEN COMMUNICATIONS — NONE APPROVAL OF MINUTES 1. APPROVAL OF MINUTES OF MAY 20, 2008. CONSENT CALENDAR NOTE: Consent Calendar items are considered to be routine in nature and will be approved by one motion. APPROVAL OF DEMAND REGISTER DATED JUNE 2, 2008. 2. ACCEPTANCE OF CAPITAL IMPROVEMENT PROJECT NO. 2000-10, LA QUINTA MUSEUM EXPANSION. 3. ACCEPTANCE OF CAPITAL IMPROVEMENT PROJECT NO. 2002-01, LA QUINTA CITY HALL EXPANSION, AND APPROPRIATION OF FUNDS. 4. APPROVAL TO ESTABLISH PETTY CASH ACCOUNTS FOR THE MUSEUM AND THE SENIOR CENTER. 5. APPROVAL OF CONTRACT CHANGE ORDER NO. 9 FOR PROJECT NO. LMC 2005-08, CITYWIDE LANDSCAPE MAINTENANCE SERVICES FOR FISCAL YEAR 2007/2008. City Council Agenda 2 June 2, 2008 J '1 6. ADOPTION OF A RESOLUTION CALLING AND GIVING NOTICE OF THE HOLDING OF A GENERAL MUNICIPAL ELECTION TO BE HELD ON TUESDAY, NOVEMBER 4, 2008, FOR THE ELECTION OF CERTAIN OFFICERS AS REQUIRED BY THE PROVISIONS OF THE LAW OF THE STATE OF CALIFORNIA. 7. ADOPTION OF A RESOLUTION REQUESTING THE BOARD OF SUPERVISORS OF THE COUNTY OF RIVERSIDE, CALIFORNIA, TO CONSOLIDATE A GENERAL MUNICIPAL ELECTION TO BE HELD ON TUESDAY, NOVEMBER 4, 2008, WITH THE STATEWIDE GENERAL ELECTION TO BE HELD ON THE DATE PURSUANT TO § 10403 OF THE ELECTIONS CODE. 8. APPROVAL OF SECOND READING OF ORDINANCE NO. 456 APPROVING A REVISION TO THE LA QUINTA ZONING MAP FOR CERTAIN REAL PROPERTY (EDEN ROCK AT PGA WEST) LOCATED WITHIN THE PGA WEST DEVELOPMENT - ZONE CHANGE 2006-127 - CROWNE POINTE PARTNERS, LLC. 9. APPROVAL OF SECOND READING OF ORDINANCE NO. 457 APPROVING DEVELOPMENT AGREEMENT 2006-011 FOR THE EDEN ROCK PROJECT LOCATED WITHIN THE PGA WEST DEVELOPMENT. APPLICANT: CROWNE POINTE PARTNERS, LLC. BUSINESS SESSION 1. CONSIDERATION TO APPOINT A REPRESENTATIVE TO THE TRAILS MANAGEMENT SUBCOMMITTEE FOR THE COACHELLA VALLEY MULTIPLE SPECIES HABITAT CONSERVATION PLAN. A. MINUTE ORDER ACTION 2. CONSIDERATION OF PROCESS AND GUIDELINES FOR EVALUATION OF MARKETING REQUESTS BY THE LA QUINTA MARKETING COMMITTEE. A. MINUTE ORDER ACTION City Council Agenda 3 June 2, 2008' 0 0 3 3. CONSIDERATION OF LICENSE AND INDEMNITY AGREEMENT WITH THE COUNTY OF RIVERSIDE FOR FRED WARING DRIVE, AND PROVIDE DIRECTION AND AUTHORIZATION TO STAFF REGARDING THE AGREEMENT. A. MINUTE ORDER ACTION STUDY SESSION 1. DISCUSSION OF OPTIONS FOR PLACEMENT OF STREET NAME SIGNAGE IN THE COVE AREA. REPORTS AND INFORMATIONAL ITEMS 1. ANIMAL CAMPUS COMMISSION (HENDERSON) 2. BOB HOPE CHRYSLER CLASSIC AD -HOC COMMITTEE 3. CITY COUNCIL AD HOC COMMITTEE REPORTS 4. CVAG COMMITTEE REPORTS 5. CHAMBER OF COMMERCE WORKSHOP/INFORMATION EXCHANGE COMMITTEE (SNIFF) 6. C.V. CONSERVATION COMMISSION (SNIFF) 7. C.V. MOSQUITO AND VECTOR CONTROL DISTRICT (TERRY HENDERSON) 8. C.V. MOUNTAINS CONSERVANCY (KIRK) 9. C.V.W.D. JOINT WATER POLICY COMMITTEE (ADOLPH) 10. FRIENDS OF DESERT MOUNTAINS (KIRK) 11. JACQUELINE COCHRAN REGIONAL AIRPORT AUTHORITY (OSBORNE) 12. LEAGUE OF CALIFORNIA CITIES (HENDERSON) 13. PALM SPRINGS DESERT RESORT COMMUNITIES CONVENTION & VISITORS AUTHORITY (HENDERSON) 14. PALM SPRINGS INTERNATIONAL AIRPORT COMMISSION (NANCY DORIA) 15. RIVERSIDE COUNTY DESERT LIBRARY ZONE ADVISORY BOARD (HENDERSON) 16. RIVERSIDE COUNTY TRANSPORTATION COMMISSION (HENDERSON) 17. SANTA ROSA/SAN JACINTO NATIONAL MONUMENT ADVISORY COMMITTEE (HENDERSON) 18. SUNLINE TRANSIT AGENCY/SUNLINE SERVICES GROUP (ADOLPH) 19. COMMUNITY SERVICES COMMISSION MINUTES DATED APRIL 14, 2008. 20. INVESTMENT ADVISORY BOARD MINUTES DATED APRIL 9, 2008. 004 City Council Agenda 4 June 2, 2008 DEPARTMENT REPORTS 1. CITY MANAGER A. RESPONSE TO PUBLIC COMMENT 2. CITY ATTORNEY 3. CITY CLERK - NONE 4. BUILDING & SAFETY DEPARTMENT REPORT — NONE 5. COMMUNITY SERVICES DEPARTMENT REPORT A. LA QUINTA LIBRARY QUARTERLY REPORT FOR JANUARY 2008 THROUGH MARCH 2O08 6. FINANCE DEPARTMENT REPORT — NONE 7. PLANNING DEPARTMENT REPORT — NONE 8. PUBLIC WORKS DEPARTMENT REPORT — NONE 9. POLICE DEPARTMENT REPORT — NONE 10. FIRE DEPARTMENT QUARTERLY REPORT — NONE MAYOR'S AND COUNCIL MEMBERS' ITEMS — NONE RECESS TO REDEVELOPMENT AGENCY MEETING RECESS TO 7:00 P.M. NO PUBLIC HEARINGS ARE SCHEDULED, THEREFORE, THE CITY COUNCIL WILL ADJOURN AND NOT RECONVENE AT 7:00 P.M. UNLESS THERE ARE ITEMS FROM THE AFTERNOON SESSION THAT HAVE NOT BEEN CONSIDERED. 7-00 P_M_ PUBLIC COMMENT At this time members of the public may address the City Council on any matter not listed on the agenda. Please complete a "request to speak" form and limit your comments to three minutes. PRESENTATIONS — NONE PUBLIC HEARINGS — NONE Ou5 City Council Agenda 5 June 2, 2008 ADJOURNMENT The next regular meeting of the City Council will be held on June 17, 2008, commencing with closed session at 3:00 p.m. and open session at 4:00 p.m. in the City Council Chambers, 78-495 Calle Tampico, La Quinta, CA 92253. DECLARATION OF POSTING I, Veronica Montecino, City Clerk of the City of La Quinta, do hereby declare that the foregoing agenda for the La Quinta City Council adjourned meeting of June 2, 2008, was posted on the outside entry to the Council Chamber at 78-495 Calle Tampico and on the bulletin boards at 51-321 Avenida Bermudas and 78-630 Highway 111, on May 29, 2008. DATED- May 29, 2�008 VERONICAC City of La Cluinta Public Notices VTECINO, City Clerk California The La Quinta City Council Chamber is handicapped accessible. If special equipment is needed for the hearing impaired, please call the City Clerk's Office at 777-7103, twenty- four (24) hours in advance of the meeting and accommodations will be made. If special electronic equipment is needed to make presentations to the City Council, arrangement should be made in advance by contacting the City Clerk's Office at 777- 7103. A one (1) week notice is required. If background material is to be presented to the City Council during a City Council meeting, please be advised that eight (8) copies of all documents, exhibits, etc., must be supplied to the City Clerk for distribution. It is requested that this take place prior to the beginning of the meeting. 006 City Council Agenda 6 June 2, 2008 COUNCIL/RDA MEETING DATE: June 02, 2008 ITEM TITLE: Demand Register Dated June 02, 2008 RECOMMENDATION: Approve Demand Register Dated June 02, 2008 BACKGROUND: Prepaid Warrants: 78161 - 78178) 78179 - 78199) Voids) Wire Transfers) P/R 35356 - 353661 P/R Tax Transfers) Payable Warrants: 78200 - 783341 FISCAL IMPLICATIONS: Demand of Cash - City Demand of Cash -RDA YVA(I John M. Falconer, Finance Director 34,050.61 16, 649.60 (653.57) 68,818.52 215,769.86 60,323.69 734,294.50 $1,129,253.21 $1,095,851.24 $33,401.97 AGENDA CATEGORY: BUSINESS SESSION CONSENT CALENDAR STUDY SESSION PUBLIC HEARING p01 CITY OF LA QUINTA BANK TRANSACTIONS 05/14/08 - 05/22/08 05/19/08 WIRE TRANSFER - PERS 05/19/08 WIRE TRANSFER - ICMA $58,184.25 $10,634.27 TOTAL WIRE TRANSFER OUT $68,818 52 008 t-m I I d n O N vl O O m O O O m I uQ 1 O I wr l c O m M m Yl m M O O O O I L O y W I Q m I I O P � O 2 I I 1 1 z r I 1 1 O I I 1 1 z w W I 1-1 NO: I Zw l 10 Q I M K it K K x x -Il it it xK r I O r l Z I £ W I 160: I �-MV •OVA �O .id Nm•DOOO �t �Yl 00 00 MM PPm 00 00 00 O O I \I dA� bnM NOMMNAOOO P�fM NO N� YI YI 00 MM mmA 00 00 00 O U I W U I u I V y 1 NAO NNm mma mm MIn mm ` 00 00 .. 00 O Q I Zw I �iPd �N�O MMmm O�Ommm mmwwomwww �OMO NMNm NMNW AA MM N� NNYI mm YI In NN m r I 1 rI v N O I wO I I wrl 1 W I Z I I v I 1 I I I I I I I N N O Vl Ill M M VI YI III III M n n A n A � �t �O Yl N O M M I I NN MM 00 000 M O O �� O O O � I I 1 1 I I 1 1 1 1 1 1 1 1 I I 1 1 1 I I I 1 1 I I I I I I NNNNNNNN dd Vll'Im K I 1 NVl w u dd dot �tdddd�t vl vl MMM m M Ill N dd �t O In M W I I m 1 r l ��e-��P PP L I Z I M n vl vl � N M In vl vl � � Yl Yl In N �O � vl vl M vl `D N J 1 0 1 � 2 1 O I I V I 11 I MM I I �Ovl I I 1 I I 1 I I � ldmm I I NN I I I �t Ltd I d I N I I I NN I 1 O I I O Y I V I O O Oct OM Oo O O O O 00 A A A O 0 O O N N O O O Z I Q I 00 act 0 0 0 0 0 0 0 0 0 0 A A n a O O O O A O O O Q I I An MM MM O m I I I I 1 1 1 1 1 1 1 1 1 1 I I I I I 1 1 I It I 1 I I } I I 00 O O O O O O O O O O O O 0 0 0 O O O 0 0 O O O I I K I I w I I r I 1 „ 1 I I I l w 1 I m m m m m m m m m m m m m m m m m m m m m m m m m m C I 1 00 O O o 0 0 0 0 0 0 0 00 000 O O O O O O O O O I I 00 CIO 0 0 0 0 0 0 0 0 act 000 O O O O O O O O O Y I I N N NM N N N N N N N N MN N N N N N N N N N N N N w I r I A n n n A A A n n A A A n A A A A n A A A A A A A A L 1 6 I N N N N N N N N N N N N N N N N N N N N MAN N N N N I I I M000 In N w I I Q O O 00 O O 0 0 0 0 0 0 0 0 oaao 0In O O aoo O O O O 0 O O 0VI O O 0 O 0 O 0 O O 0 J I I m I 1 Q I I Y 1 0 0 1 Q 1 •Z I 6 1 6 I I 1 N I I r Z I I mm nm A P m 0 1 w 1 n n M M N N N N N N N N A n N N N O n A n N A n m O I S O I 00 00 O O O O O O O u 1 0 1 00 0 0 O O o 0 0 0 0 0 00 000 O O O 00 O 0 O 4 10 I 00 00 0 0 0 0 0 0 0 0 00 O O O O O O O O O O O O > 1 I 1 6 U V Z S y 1 w W U W V 7 > y f w Z 2 O O I I V N Z Q r w W £ 6 > Q I I > r V' V Z w nVa z Z 0 LL w r W M 1 y U 2 Z N w 7 W y 1 1 p W 2 Z £ Ill0 w C Z 1 O W 1 Q w 6 u 6 r W V O V K 1 OL 1 3 O: O OY IZQI o O O y Z Z z Z Z r O LL Z 1 W Z I K U W 1' < ¢ O O ¢ y wQ I> I Q W V W U U U 1 y y w Q Jm I I 2 y Z U > w w w w U c 6 I I Q W W C K 1' C w w O 6 Vr 1 1 U p p J J £ £ L £ Z Z y ¢ ro .m 1 1 a a a a a a a a a a a a m o aa1 I o rLL1 I P N A N N M M M n M N d O J l 0 I NMpJ l 00 1 N a- M d �t M v d \L w I Z Z I W I VlUQ3I O J I > I C •• I I W£LLO 1 I O N M �t vl •O A m P O _ N a QOO 1 O O O O O O O O O O � QO: I Y I N N N N N N N N N N N N N 119YY l u I m m m m m m m m m m m m m worZIWOI n A n n A A A n A A A n A 00q ,i1J o:mw6l xZ I N - N I I �m I I O O O O O m M O O N M o \ I Y J I O O M O In M In O O m 1 V Q 1 0 1 W 1 O O O n r P 0 In O O d O 1 20 1 m O P 10 O n O r O N N 0Nm I uH l w- O M N N IO In e- P N N m W I a m I I o n r 0 O I I O Z I I I I W m 1 1 d O I I d I z I 1 HZ 1 zw I -I I O Q I H 1 O H I Z I £ W 1 O I Q m l O 00 Ca O O O O O O O NON O m m O O 00 "A 000 d �t O 1 11 O 00 MM OOOo00 ONONIn IAV P O1n Oo 00 PP PNm� anal O- V I W u I .. .. . . . . . . . . . . . .. . . . . . .. .. .. . . . . . . . .. 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FISCAL IMPLICATIONS: None associated with this action. Throughout the course of the project, retention was withheld from each progress payment. To date the City has withheld $260,385. CHARTER CITY IMPLICATIONS: The expansion was built as a non -prevailing wage project. BACKGROUND AND OVERVIEW: On April 3, 2007, the City awarded a contract to Davis Reed Inc. in the amount of $2,500,000 for construction of the City's museum expansion. City staff has determined that the project is complete and is in compliance with the plans and specifications. Prior to filing the Notice of Completion, the City must formally accept the project and authorize the City Clerk to file the Notice of Completion. 044 FINDINGS AND ALTERNATIVES: The alternatives available to the Council include: Accept Capital Improvement Project #2000-10, La Quinta Museum Expansion; and Authorize the City Clerk to file a Notice of Completion with the Office of the County Recorder; and Authorize the release of retention funds held by the City, 35 days after the Notioeol Completion is recorded; or 2. Do not accept the project as complete; or 3. Provide staff with alternative direction. Respectfully submitted, Tom Hartung Director of Building and Safety Approved for submission by: Thomas P. Genovese, City Manager 045 2 a •� Qum& OFrt�° COUNCIL/RDA MEETING DATE: June 2, 2008 ITEM TITLE: Acceptance of Capital Improvement Project No. 2002-01, La Quinta City Hall Expansion and Appropriation of Funds AGENDA CATEGORY: BUSINESS SESSION: _ CONSENT CALENDAR: STUDY SESSION: PUBLIC HEARING: Accept Capital Improvement Project No. 2002-01, La Quinta City Hall Expansion and appropriate $350,000 from the Equipment Replacement Fund for the project; and Authorize the City Clerk to file a Notice of Completion with the office of the County Recorder; and Authorize the release of retention funds held by the City 35 days after the Notice of Completion is recorded. FISCAL IMPLICATIONS: Throughout the course of the project, retention was withheld from each progress payment. To date the City has withheld $1,132,703.90. Staff is requesting that an additional $350,000 be appropriated from the Equipment Replacement Fund for costs associated with reconstructing the south parking lot and new furniture for the expansion. CHARTER CITY IMPLICATIONS: The expansion was built as a non -prevailing wage project. BACKGROUND AND OVERVIEW: On September 19, 2006 the City awarded a contract to GKK Works in the amount of $8,710,514 for construction of the City Hall expansion. 046 City staff has determined that the project is complete and is in compliance with the plans and specifications. Prior to filing the Notice of Completion, the City must formally accept the project and authorize the City Clerk to file the Notice of Completion. FINDINGS AND ALTERNATIVES: The alternatives available to the Council include: Accept Capital Improvement Project #2002-01, La Quinta City Hall Expansion; and appropriate $350,000 from the Equipment Replacement Fund for the project; and Authorize the City Clerk to file a Notice of Completion with the office of the County Recorder; and Authorize the release of retention funds held by the City, 35 days after the Noboeof Completion is recorded; or 2. Do not accept the project as complete; or 3. Provide staff with alternative direction. Respectfully submitted, a Tom Hartung , A Director of Building and Safety Approved for submission by: Thomas P. Genovese, City Manager 047 E COUNCIL/RDA MEETING DATE: .tune 2, 2008 AGENDA CATEGORY: ITEM TITLE: Approval to Establish Petty Cash BUSINESS SESSION: _ Accounts for the Museum and the Senior Center CONSENT CALENDAR: ly STUDY SESSION: PUBLIC HEARING: RECOMMENDATION: Establish a $100 Petty Cash Account for the Museum and a $150 Petty Cash Account for the Senior Center. FISCAL IMPLICATIONS: This action would increase the City's petty cash account balance from $1,000 to $1,250. The Finance Department maintains a $500 petty cash account and a $500 petty cash checking account at City Hall. CHARTER CITY IMPLICATIONS: None. BACKGROUND AND OVERVIEW: Due to opening of the Museum Store, it is necessary to establish a petty cash account in the amount of $100 to be kept in a cash drawer for the purpose of making change. In addition, it is also necessary to establish a petty cash account for the Senior Center in the amount of $150 to be kept in a cash drawer for the purpose of making change. 043 FINDINGS AND ALTERNATIVES: The alternatives available to the City Council include: 1. Establish Petty Cash Accounts for the Museum and Senior Center, or 2. Do not establish Petty Cash Accounts for the Museum and Senior Center, or 3. Provide Staff with alternative direction Respectfully submitted, / 1 John M. Falconer, Finance Director Approved for submission by: Thomas P. Genovese, City Manager 049 COUNCIL/RDA MEETING DATE: June 2, 2008 ITEM TITLE: Approval of Contract Change Order No. 9 for Project No. LMC 2005-08, Citywide Landscape Maintenance Services for Fiscal Year 2007/2008 RECOMMENDATION: AGENDA CATEGORY: BUSINESS SESSION: CONSENT CALENDAR: 611I11�1TWA-1.1cw, PUBLIC HEARING: Approve Contract Change Order No. 9, in the amount of $18,21 1 (Attachment 1) for Project No. LMC 2005-08, Citywide Landscape Maintenance Services for Fiscal Year 2007/2008, with Kirkpatrick Landscaping Services, Inc. FISCAL IMPLICATIONS: Adequate funds exist in Account No. 101-7004-431.34-04, Landscape Maintenance Contract Services, to cover the cost of this change order. CHARTER CITY IMPLICATIONS: This project is funded entirely with local funds. Therefore, under its Charter City status, the City is not required to pay prevailing wages. BACKGROUND AND OVERVIEW: On September 20, 2005, the City Council awarded a contract to Kirkpatrick Landscaping Services, Inc. for the Citywide Landscape Maintenance Contract, Project No. LMC 2005-08 in the amount of $612,000. Previous contract change order numbers 1-8 have increased the contract total to $766,534. This program provides for weekly maintenance of all landscape areas located within the City's medians and perimeter landscape. The Contract Specifications allowed for four (4) one-year extensions renewable at the beginning of each fiscal year through Fiscal Year 2009/2010, at the City's discretion. 0JU Attachment 1 is the proposed Contract Change Order No. 9 in the amount of $18,21 1. This Contract Change Order adds the following landscape improvements to the citywide landscape contract: Avenue 52 median from Washington Street to east of Jefferson Street - This is a former capital project which was under the contractor's maintenance until the project was recently accepted by the City Council; Washington Street at Highway 111 south east corner — This is the small median in front of the LG's Restaurant that contains decomposed granite that requires weed control; Avenue 50 median from Orchard Lane to Jefferson Street — This was a developer improvement that has been accepted by the city; Miles Avenue perimeter from Seeley Drive east to property line — This is the perimeter landscape installed with the CP Development project that has now been accepted by the City; Deletion of Avenue 54 median from Jefferson Street to Madison Street — These improvements will temporarily be removed from the citywide landscape contract while new landscape improvements are installed under a capital project. These additions and one deletion bring the total contract amount to $784,745. FINDINGS AND ALTERNATIVES: The alternatives available to the City Council include: 1 . Approve Contract Change Order No. 9 in the amount of $18,21 1 for Project No. LMC 2005-08, Citywide Landscape Maintenance Services for Fiscal Year 2007/2008, with Kirkpatrick Landscaping Services, Inc.; or 2. Do not approve Contract Change Order No. 9 in the amount of $18,211 for Project No. LMC 2005-08, Citywide Landscape Maintenance Services for Fiscal Year 2007/2008, with Kirkpatrick Landscaping Services, Inc.; or 3. Provide staff with alternative direction. 051 Respectfully submitted, othy R. na n, P.E. Public Works Dir ctor/City Engineer Approved for submission by: Thomas P. Genovese, City Manager Attachment: 1. Contract Change Order No. 9 Attachment 1 CONTRACT: L.M.C. 2007/2008 PROJECT NO. 2005-08 CONTRACTOR: Kirkpatrick Landscaping Services, Inc. 43-752 N. Jackson St. P.O. Box 1807 Indio, CA 92202 CONTRACT CHANGE ORDER NO. 9 Pursuant to the terms of the original Contract Agreement, you are hereby directed to make the herein described changes or do the following described work not included in the plans and specifications for this Contract. Unless otherwise stated all work shall conform to the terms, general conditions, and special provisions of the original Contract. **:r***x:r�*****x**,t,v**xx******x*x***:r******a*****:�******:��:r*�xx**:r***x,�,t*a•*t*t***x**�t**t:r* DESCRIPTION OF CHANGE: Addition of Landscape Maintenance as follows: Location: Turf @ Planter @ Irrigation @ Monthly Annual $0.11832/SF $0.16/SF $0.02693 SF Ave 52 median (Washington Street to 0 122,350 SF 122,350 SF $1,905.90 $22,870.90 Jefferson Street) (150 trees) _ $19,576.00 = $3,294.90 Ave 52 median (East of Jefferson St to 0 6,300SF 6,300SF $ 98.14 $ 1,177.66 Canal) (20Trees) =$1,008.00 =$169.66 Washington St at Hwy I I 1 0 1,400 SF 0 $ 18.66 $ 224.00 (south east comer, DG area) = $224.00 Ave 50 median (Orchard Ln to Jefferson ST 0 6,300 SF 6,300 SF $ 98.14 $ 1,177.66 (10Trees) =$1,008.00 =$169.66 Miles Ave perimeter S/S (Seeley Dr east to 0 3,600 SF 3,600 SF $ 56.08 $ 672.95 property line) = $ 576.00 = $ 96.95 Ave 54 median (Jefferson St. to Madison St.) 41,332 SF 10,213 SF 51,545 SF $( 659.38) $(7,912.58) ( 125 Trees) DELETE _ $ 4,890.40 = $ 1,634 08 = $1,388.10 TOTAL (rounded u) $18,211.00 All other requirements of the Landscape Maintenance Contract (LMC) 2007-2008 shall apply. Previous Contract Amount Through Change Order No. 8 $766,534.00 Add This Change Order $ 18,211.00 Revised Contract Total $784,745.00 Submitted By: Date: Approved By: Date: We, the undersigned Contractor, havegiven careful consideration to the ehangeproposed and hereby agree, if this proposal is approved, that we will provide all equipment, furnish all materials, perform all labor, except as maybe noted above, and perform all services necessary to complete the above spec fed work, and hereby accept as full payment the aniount shown above, which includes all direct and indirect overhead expenses far any delays. Accepted By: Title: Contractor: Date: 053 a T� 4 4aQu&rrv �FC�.`y OF pW COUNCIL/RDA MEETING DATE. June 2, 2008 ITEM TITLE: Adoption of A Resolution Calling and Giving Notice of the Holding of a General Municipal Election to be Held on Tuesday, November 4, 2008, for the Election of Certain Officers as Required by the Provisions of the Laws of the State of California RECOMMENDATION: AGENDA CATEGORY: BUSINESS SESSION: _ CONSENT CALENDAR: STUDY SESSION: PUBLIC HEARING: Adopt Resolution calling and giving notice of the holding of a General Municipal Election to be held on Tuesday, November 4, 2008, for the election of certain officers as required by the provisions of the law of the State of California. FISCAL IMPLICATIONS: The Riverside County Registrar of Voters has provided a cost estimate of $45,000 for this election which has been included in the Fiscal Year 2008-2009 budget for approval. CHARTER CITY IMPLICATIONS: None. BACKGROUND AND OVERVIEW: The proposed resolution is for the purpose of officially calling and giving notice of holding a municipal election on the first Tuesday after the first Monday in November of even -numbered year. Pursuant to the Elections Code, this resolution must be adopted and submitted to the Riverside County Registrar of Voters by June 27, 2008. On November 4, 2008, La Quinta voters will consider to elect a Mayor for a full term of 2 years and two members of the City Council for full terms of four years. The filing 054 period for candidate nomination papers to these offices will open on July 14 and close on November 8, 2008. In the event an incumbent does not file, the nomination period is extended to August 13, 2008. FINDINGS AND ALTERNATIVES: The alternatives available to the City Council include: Adopt a resolution calling and giving notice of the holding of a General Municipal Election to be held on Tuesday, November 4, 2008, for the election of certain officers as required by the provisions of the laws of the State of California; or Do not adopt the proposed resolution calling and giving notice of the holding of a General Municipal Election to be held on Tuesday, November 4, 2008, for the election of certain officers as required by the provisions of the laws of the State of California; or 3. Provide staff with alternative direction. Respectfully submitted, Approved for submission by: 11�- Thomas P. Genovese, City Manager 055 RESOLUTION NO. 2008- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA CALLING AND GIVING NOTICE OF THE HOLDING OF A GENERAL MUNICIPAL ELECTION TO BE HELD ON TUESDAY, NOVEMBER 4, 2008 FOR THE ELECTION OF CERTAIN OFFICERS AS REQUIRED BY THE PROVISIONS OF THE LAWS OF THE STATE OF CALIFORNIA WHEREAS, under the provisions of the laws of the State of California, a General Municipal Election shall be held on Tuesday, November 4, 2008, for the election of Municipal Officers; NOW THEREFORE BE IT RESOLVED, the City Council of the City of La Quinta, California hereby does declare, determine and order as follows: SECTION 1. That pursuant to the requirements of the State of California relating to General Law and Charter Cities there is called and ordered to be held in the City of La Quinta, California, on Tuesday, November 4, 2008, a General Municipal Election for the purpose of election one (1) Mayor for the full term of two years and two (2) Members of the City Council for the full term of four years. SECTION 2. That the ballots to be used at the election shall be in the form and content as required by law. SECTION 3. That the City Clerk is authorized, instructed and directed to procure and furnish any and all official ballots, notices, printed matter and all supplies, equipment and paraphernalia that may be necessary in order to properly and lawfully conduct the election SECTION 4. That the polls for the election shall be open at seven o'clock a.m. of the day of the election and shall remain open continuously from that time until eight o'clock p.m. of the same day when the polls shall be closed, except as provided in §14401 of the Elections Code of the State of California. SECTION 5. That in all particulars not recited in this resolution, the election shall be held and conducted as provided by law for holding municipal elections. 056 Resolution No. 2008 - Calling Election November 4, 2008 June 2, 2008 Page 2 SECTION 6. That notice of the time and place of holding the election is given and the City Clerk is authorized, instructed and directed to give further notice of the election, in time, form and manner as required by law. SECTION 7. That the City Clerk shall certify to the passage and adoption of this Resolution and enter it into the book of original resolutions. PASSED, APPROVED AND ADOPTED this 2ND day of June, 2008 by the following vote: AYES: NOES: ABSTAIN: ABSENT: DON ADOLPH, Mayor City of La Quinta, California ATTEST: Veronica J. Montecino, CMC, City Clerk City of La Quinta, California [SEAL] APPROVED AS TO FORM: M. Katherine Jenson, City Attorney City of La Quinta, California 057 ffi CF`kO TN4'p COUNCIL/RDA MEETING DATE: .tune 2, 2008 ITEM TITLE: Adoption of a Resolution Requesting the Board of Supervisors of the County of Riverside, California, to Consolidate a General Municipal Election to be Held on Tuesday, November 4, 2008, with the Statewide General Election to be Held on the Date Pursuant to § 10403 of the Elections Code RECOMMENDATION: AGENDA CATEGORY: BUSINESS SESSION: _ CONSENT CALENDAR: STUDY SESSION: PUBLIC HEARING: Adopt Resolution requesting the Board of Supervisors of the County of Riverside, California, to consolidate a General Municipal Election to be held on Tuesday, November 4, 2008, with the Statewide General Election to be held on the date pursuant to § 10403 of the Elections Code. FISCAL IMPLICATIONS: The Riverside County Registrar of Voters has provided a cost estimate of $45,000 for this election which has been included in the Fiscal Year 2008-2009 budget for approval. CHARTER CITY IMPLICATIONS: None. BACKGROUND AND OVERVIEW: Elections Code Section 10403 provides the City Council may request the county elections department to consolidate the General Municipal Election with the Statewide General Election. The City of La Quinta has consolidated General Municipal elections with the County since incorporation. The proposed resolution requests the services of the County Registrar of Voters for the election to be held on November 4, 2008. Pursuant to the Elections Code, this resolution must be adopted and submitted to the 058 Riverside County Registrar of Voters by June 27, 2008. FINDINGS AND ALTERNATIVES: The alternatives available to the City Council include: 1. Adopt a resolution requesting the Board of Supervisors of the County of Riverside, California, to consolidate a General Municipal Election to be held on Tuesday, November 4, 2008, with the Statewide General Election to be held on the date pursuant to § 10403 of the Elections Code; or 2. Do not adopt the proposed resolution requesting the consolidation with the Statewide General Election for the General Municipal Election to be held on November 4, 2008; or 3. Provide staff with alternative direction. Respectfully submitted, Approved for submission by: lee Thomas P. Genovese, City Manager . 1 059 RESOLUTION NO. 2008- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, REQUESTING THE BOARD OF SUPERVISORS OF THE COUNTY OF RIVERSIDE, CALIFORNIA TO CONSOLIDATE A GENERAL MUNICIPAL ELECTION TO BE HELD ON TUESDAY, NOVEMBER 4, 2008 WITH THE STATEWIDE GENERAL ELECTION TO BE HELD ON THE DATE PURSUANT TO §10403 OF THE ELECTIONS CODE WHEREAS, a Municipal Election is to be held in the City of La Quinta, California, on Tuesday, November 4, 2008, for the purpose of the election of a Mayor, and two Members of the City Council; and WHEREAS, it is desirable that the General municipal election be consolidated with the Statewide General election to be held on the same date and that within the city the precincts, polling places and election officers of the two elections be the same, and that the county election department of the County of Riverside canvass the returns of the General Municipal Election and that election be held in all respects as if there were only one election; NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF LA QUINTA DOES RESOLVE, DECLARE, DETERMINE AND ORDER AS FOLLOWS: SECTION 1. That pursuant to the requirements of § 10403 of the Election Code, the Board of Supervisors of the County of Riverside is hereby requested to consent and agree to the consolidation of a General Municipal Election with the Statewide General election on Tuesday, November 4, 2008, for the purpose of the election of a Mayor for a term of two (2) years, and two Members of the City Council for a term of four (4) years. SECTION 2. That the county election department is authorized to canvass the returns of the General Municipal Election. The election shall be held in all respects as if there were only one election, and only one form of ballot shall be used. SECTION 3. That the Board of Supervisors is requested to issue instructions to the county elections department to take any and all steps necessary for the holding of the consolidated election. OILA Resolution No. 2008- Requesting Consolidation of Election June 2, 2008 Page 2. SECTION 4. That the City of La Quinta recognizes that additional costs will be incurred by the County by reason of this consolidation and agrees to reimburse the County for any costs. SECTION 5. That the City Clerk is hereby directed to file a certified copy of this resolution with the Board of Supervisors and the county election department of the County of Riverside. SECTION 6. That the City Clerk shall certify to the passage and adoption of this resolution and enter it into the book of original resolutions. PASSED, APPROVED AND ADOPTED on this 2ntl day of June, 2008. DON ADOLPH, Mayor City of La Quinta, California ATTEST: Veronica J. Montecino, CIVIC, City Clerk City of La Quinta, California [CITY SEAL] APPROVED AS TO FORM: M. KATHERINE JENSON, City Attorney City of La Quinta, California 001 COUNCIL/RDA MEETING DATE: .tune 2, 2008 ITEM TITLE: Approval of Second Reading of Ordinance No. 456 Approving a Revision to the La Quinta Zoning Map for Certain Real Property (Eden Rock at PGA West) Located Within the PGA West Development — Zone Change 2006-127 - Crowne Pointe Partners, LLC RECOMMENDATION: AGENDA CATEGORY: BUSINESS SESSION: _ CONSENT CALENDAR: STUDY SESSION: PUBLIC HEARING: Adopt Ordinance No. 456 approving a revision to the La Quinta Zoning Map (Zone Change 2006-127), for certain real property generally located within the PGA West Development, bounded on the north and east by the PGA West Stadium Course and Clubhouse, and on the south and west by PGA Boulevard. FISCAL IMPLICATIONS: None directly, however as the associated project is developed, some loss of transient occupancy taxes could occur due to the conversion to residential from the original hotel/retail/conference center site. CHARTER CITY IMPLICATIONS: None. BACKGROUND AND OVERVIEW: Zone Change 2006-127 was initiated to change the underlying Tourist Commercial (CT) zoning district for the ±42 acre project area, to tourist Commercial/Residential Specific Plan (CT/RSP). The RSP overlay designation is intended to allow the use of flexible land use regulations in the Specific Plan areas to accommodate modern land planning and design techniques. 062 The motion to introduce Ordinance No. 456 carried by the following vote: AYES: Council Members Henderson, Kirk, Sniff, Mayor Pro Tern Osborne NOES: None ABSENT: Mayor Adolph ABSTAIN: None FINDINGS AND ALTERNATIVES: The alternatives available to the City Council include: Adopt Ordinance No. 456 on second reading approving Zone Change 2006-127 changing the Tourist Commercial (CT) zoning district to Tourist Commercial/Residential Specific Plan (CT/RSP) for the ±42 acre project area within the PGA West Development; or 2. Do not adopt Ordinance No. 456 on second reading approving Zone Change 2006-127 changing the Tourist Commercial (CT) zoning district to Tourist Commercial/Residential Specific Plan (CT/RSP) for the ±42 acre project area within the PGA West Development; or 3. Provide staff with alternative direction. Respectfully submitted, Veronica City Clerk Approved for submission by: 2x� Thomas P. Genovese, City Manager 'vim] ORDINANCE NO. 456 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, APPROVING A REVISION TO THE LA QUINTA ZONING MAP, FOR CERTAIN REAL PROPERTY GENERALLY LOCATED WITHIN THE PGA WEST DEVELOPMENT, BOUNDED ON THE NORTH AND EAST BY THE PGA WEST STADIUM COURSE AND CLUBHOUSE, AND ON THE SOUTH AND WEST BY PGA BOULEVARD CASE NO.: ZONE CHANGE 2006-127 APPLICANT: CROWNE POINTE PARTNERS, LLC WHEREAS, the Planning Commission of the City of La Quinta, California, did, on the 8`h day of January, 2008, hold a duly -noticed Public Hearing, to consider adoption of a recommendation on Zone Change 2006-127, and did in fact adopt Planning Commission Resolution 2008-002, recommending approval to the La Quinta City Council; and, WHEREAS, the City Council of the City of La Quinta, California, did on the 1" day of April, 2008, hold a duly -noticed Public Hearing to consider the recommendation of the Planning Commission on Zone Change 2006-127, to allow a 264-unit residential condominium/townhome project, including a guard gatehouse, two common area pools and other recreational amenities; and, WHEREAS, the La Quinta Planning Department has prepared a Subsequent Environmental Impact Report ("Draft SEIR", State Clearinghouse #2007061056) in compliance with the requirements of the California Environmental Quality Act (CEQA) of 1970, as amended. The Draft SEIR was presented to the La Quinta Planning Commission, which reviewed and considered the information contained in the Draft SEIR prior to its recommendations to the City Council on the project applications; and WHEREAS, the Planning Department did publish a City Council Public Hearing notice in The Desert Sun newspaper, on the 26`" day of January, 2008, as prescribed by the La Quinta Municipal Code, and, on February 13 and 14, 2008, did also send a notice of postponement of the scheduled February 19, 2008 City Council hearing, to April 1, 2008, with said hearing and postponement notices mailed to all property owners within 500 feet of the property in question, as well as to all other property owners within the boundaries of the PGA West Specific Plan area; and, 064 Ordinance No. 456 Zone Change 2006-127 Crowns Pointe Partners, LLC Adopted: June 2, 2008 Page 2 WHEREAS, at said Public Hearing held April 1, 2008, the City Council did continue said Public Hearing to the regular meeting of April 15, 2008, and upon hearing and considering all testimony and arguments of all interested persons desiring to be heard, the City Council voted to introduce this Ordinance; and WHEREAS, the City Council hereby makes the following mandatory findings to justify approval of Zone Change 2006-127: The zoning designation of Tourist Commercial/Residential Specific Plan Overlay (TC/RSP) is consistent with the goals, objectives and policies of the General Plan. The proposed General Plan land use designation of Resort Mixed Use is appropriate for the project site, as it requires a minimum 20-acre site, allows a full range of resort commercial and residential uses, and a broad range of housing types and choices for City residents, as set forth in the goals and policies of the La Quinta General Plan Land Use Element. The TC/RSP Overlay, in conjunction with Amendment No. 6 to the PGA West Specific Plan, serves to implement the principles identified in the La Quinta General Plan, for the Resort Mixed Use land use category. 2. The zoning designation of TC/RSP Overlay will not create conditions materially detrimental to the public health, safety and general welfare. Development of the site as a residential use, while at a higher density than the residential properties surrounding the site, will not significantly impact quality of life for area residents. The revised project application for a 264-unit residential condom inium/townhome development, consisting of one and two-story structures, is determined not to be a detriment to the community, based on the Subsequent Environmental Impact Report prepared for the proposed Project. 3. The zoning designation of TC/RSP Overlay is compatible with the designations on adjacent property. Under the Tourist Commercial zoning designation, combined with the Residential Specific Plan Overlay, residential mixed -use projects are permitted. The TC/RSP Overlay designation permits mixed -use developments that include single and multi -family residential, condominium development, as well as uses designated under the Tourist Commercial land use designation. The development density of 6.3 units per net acre is comparable to existing single and multi -family residential development within PGA West, which, when based on net density, averages approximately between four to seven units per net acre in certain areas of PGA West. 065 Ordinance No. 456 Zone Change 2006-127 Crowns Pointe Partners, LLC Adopted: June 2, 2008 Page 3 4. The zoning designation of TC/RSP Overlay is suitable and appropriate for the property involved, due to the resort character of the proposed development, the original design of the site, and PGA West in its entirety, for a planned hotel use on the proposed property. Land use approvals and marketing for PGA West have been planned for the project build -out since the original PGA West approval in 1984, and deemed consistent with the La Quinta General Plan. In the 20-plus years since approval of the hotel use, no physical development under that approval has occurred. The proposed Amendment is appropriate for the project site to develop with a land use more suitable to the current development climate and more in keeping with the overall PGA West project theme as a residential golf resort. 5. The zoning designation of TC/RSP Overlay is warranted because the situation and general conditions of the property have substantially changed since the existing designation of Tourist Commercial was imposed. The Tourist Commercial zoning designation was imposed for the Project site within PGA West in 1984, as a resort hotel. Market conditions, area development patterns, land costs, conversion of commercial land to residential use, and the general viability of the site as a hotel project have changed dramatically over the past 20-plus years. The TC/RSP Overlay zoning designation will provide a degree of land use flexibility in allowing both residential and commercial uses on the site, so as to respond to fluctuating marketing and economic conditions. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of La Quinta, California, that it does ordain as follows: SECTION 1. PURPOSE: To rezone a portion of real property, from Tourist Commercial to Tourist Commercial/Residential Specific Plan, for ±42 acres, located within the PGA West development, bounded on the north and east by the PGA West Stadium Course and clubhouse, and on the south and west by PGA Boulevard. Said property is illustrated in Exhibit "A" attached hereto, more particularly described as: LOT K AND PORTION OF LOT 1, TR 29421; PORTION OF PARCEL 7, PARCEL MAP 20426 066 Ordinance No. 456 Zone Change 2006-127 Crowns Pointe Partners, LLC Adopted: June 2, 2008 Page 4 SECTION 2. ENVIRONMENTAL: Zone Change 2006-127 has complied with the requirements of "The Rules to Implement the California Environmental Quality Act of 1970" (as amended; Resolution 83-68 adopted by the La Quinta City Council) in that the City Council has certified has a Subsequent Environmental Impact Report ("Draft SEIR", State Clearinghouse #2007061056) in compliance with the requirements of the California Environmental Quality Act (CEQA) of 1970, as amended. The Draft SEIR was previously presented to the La Quinta Planning Commission, which reviewed and considered the information contained in the Draft SEIR prior to its recommendations to the City Council on the project applications. SECTION 3. EFFECTIVE DATE: This Ordinance shall be in full force and effect thirty (30) days after its adoption. SECTION 4. POSTING: The City Clerk shall certify to the passage and adoption of this Ordinance, and shall cause the same to be posted in at least three public places designated by Resolution of the City Council, and shall cause this Ordinance and its certification, together with proof of posting, to be entered into the Book of Ordinances of this City. PASSED, APPROVED, and ADOPTED at an adjourned meeting of the La Quinta City Council, held on this 2nd day of June, 2008, by the following vote: AYES: NOES: ABSENT: ABSTAIN: LEE M. OSBORNE, Mayor Pro Tern City of La Quinta, California 11 067 Ordinance No. 456 Zone Change 2006-127 Crowns Pointe Partners, LLC Adopted: June 2, 2008 Page 5 VERONICA J. MONTECINO, CIVIC, City Clerk City of La Quinta, California (SEAL) APPROVED AS TO FORM: M. KATHERINE JENSON, City Attorney City of La Quinta, California OG3 Ordinance No. 456 Zone Change 2006-127 Crowns Pointe Partners, LLC Adopted: June 2, 2008 Page 6 STATE OF CALIFORNIA) COUNTY OF RIVERSIDE) ss. CITY OF LA QUINTA ) I, VERONICA MONTECINO, City Clerk of the City of La Quinta, California, do hereby certify the foregoing to be a full, true, and correct copy of Ordinance No. 456 which was introduced at a regular meeting on the 15`h day of April, 2008, and was adopted at an adjourned meeting held on the 2"d day of June, 2008, not being less than five days after the date of introduction thereof. I further certify that the foregoing Ordinance was posted in three places within the City of La Quinta as specified in City Council Resolution No. 2006-1 15. VERONICA MONTECINO, CIVIC, City Clerk City of La Quinta, California DECLARATION OF POSTING I, VERONICA MONTECINO, City Clerk of the City of La Quinta, California, do hereby certify that the foregoing ordinance was posted on pursuant to Council Resolution. VERONICA MONTECINO, CMC, City Clerk City of La Quinta, California 069 EXHIBIT "A" ORDINANCE NO. 456 EDEN ROCK AT PGA,WEST Tq "CT/RSP" ZONE CHANGE FROM "CT" TOURIST COMMERCIAL TO "CT/RSP" TOURIST COMMERCIAURESIDENTIAL SPECIFIC PLAN OVERLAY--- 41.95 ACRES ZC 2006-127 070 �y OF1� COUNCIL/RDA MEETING DATE: ,tune 2, 2008 ITEM TITLE: Approval of Second Reading of Ordinance No. 457 Approving Development Agreement 2006-011 for the Eden Rock Project Located within the PGA West Development — Applicant: Crowne Pointe Partners, LLC RECOMMENDATION: AGENDA CATEGORY: BUSINESS SESSION: _ CONSENT CALENDAR: STUDY SESSION: PUBLIC HEARING: Adopt Ordinance No. 457 approving Development Agreement 2006-011 for the Eden Rock Project located within the PGA West Development with the omission of the rental tracking system and rental management program requirements. FISCAL IMPLICATIONS: None directly, however as the associated project is developed, some loss of transient occupancy taxes could occur due to the conversion to residential from the original hotel/retail/conference center site. CHARTER CITY IMPLICATIONS: None. BACKGROUND AND OVERVIEW: The first public hearing to consider the Eden Rock Project was held April 1, 2008, and after hearing testimony from both the applicant and PGA West residents, the hearing was continued to April 15, 2008 to allow staff and the applicant additional time to reassess the payment methodology within the Development Agreement. 071 Following the April 15, 2008 Council meeting, the applicant questioned the inclusion of the rental tracking system and rental management program in the final Development Agreement, and during public comment at the May 6, 2008 Council meeting, requested the requirement be omitted from the Development Agreement and from the City's Declaration of Covenants, Conditions and Restrictions. At the May 20, 2008 meeting, the motion to re -introduce Ordinance No. 457 on first reading, approving Development Agreement 2006-01 1, with the omission of the rental tracking system and rental management program requirements, carried by the following vote: AYES: Council Members Henderson, Kirk, Sniff, Mayor Pro Tern Osborne NOES: None ABSENT: Mayor Adolph ABSTAIN: None The Eden Rock Developer recently provided the Title Report that the City Staff had requested. The Report shows that within the last few years, the Developer has obtained two loans secured by deeds of trust recorded against the property. City staff has requested the Developer to provide subornation documentation for these deeds of trust and and have requested the same as a precondition to the execution of the City's execution of the Development Agreement. To date, the Developer has not raised any issue with obtaining the subordination documents. FINDINGS AND ALTERNATIVES: The alternatives available to the City Council include: 1. Adopt Ordinance No. 457 on second reading approving Development Agreement 2006-011 for the Eden Rock Project with the omission of the rental tracking system and rental management program requirements; or 2. Do not adopt Ordinance No. 457 on second reading approving Development Agreement 2006-011 for the Eden Rock Project with the omission of the rental tracking system and rental management program requirements; or 3. Provide staff with alternative direction. � f � submitted, City Cler CMC Approved for submission by: Thomas P. Genovese, City Manager 073 ORDINANCE NO. 457 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, APPROVING A DEVELOPMENT AGREEMENT BY AND BETWEEN THE CITY OF LA QUINTA AND CROWNE POINTE PARTNERS, LLC. DEVELOPMENT AGREEMENT 2006-011 EDEN ROCK AT PGA WEST WHEREAS, California Government Code Section 65864 et seq. (the "Development Agreement Law") authorizes cities to enter into binding development agreements with persons having a legal or equitable interest in real property for the development of such property, all for the purpose of strengthening the public planning process, encouraging private participation and comprehensive planning, and identifying the economic costs of such development; and WHEREAS, the Planning Commission of the City of La Quinta did, on the 8`h day of January, 2008, hold a duly noticed Public Hearing to consider Development Agreement 2006-011, and did in fact adopt Planning Commission Resolution 2008-006, recommending its approval to the City Council; and, WHEREAS, the City Council of the City of La Quinta, California ("City Council"), did on the 1" day of April, 2008, hold a duly noticed public hearing to consider Development Agreement 2006-011; and, WHEREAS, at said City Council Public Hearing, (continued to April 15, 2008), said City Council heard and considered all testimony and arguments, if any, of all interested persons wanting to be heard; WHEREAS, on May 20, 2008, this Ordinance was reintroduced pursuant to the direction of the City Council, with Rental Tracking System and Rental Management Program requirements of the Development Agreement deleted; WHEREAS, the City Council makes the following mandatory findings to justify approving the Development Agreement: The proposed Development Agreement is consistent with the objectives, policies, general land uses and programs of the City of La Quinta General Plan, and the Conditions of Approval for the Eden Rock at PGA West project under Specific Plan Amendment 83-002, Amendment No. 6, Tentative Tract 33226; and Site Development Permit 2006-852, as approved and adopted under La Quinta Planning Commission Resolutions 2008-003, 2008-004 and 0i4 Ordinance No. 457 Development Agreement 2006-011 Crowns Pointe Partners, LLC Adopted: June 2, 2008 Page 2 2008-005, respectively. The applications to be implemented in conjunction with Development Agreement 2006-011, will not be developed in any manner inconsistent with the General Plan land use designation of Resort Mixed Use and other current City standards when considering the conditions as imposed, and the requirements of the Development Agreement. General Plan Amendment 2006-107, Zone Change 2006-127 and applicable Specific Plan 83-002, Amendment No. 6, designate the project site within the PGA West Specific Plan as Resort Mixed Use under the General Plan, and Tourist Commercial, with a Residential Specific Plan overlay under the Zoning Code. These designations permit the proposed 264-unit condominium/townhome project as a residential use with resort amenities. Use of this overlay is appropriate, in conjunction with the Specific Plan amendment, to facilitate the residential project proposed and the integration of a residential land use component into the existing Tourist Commercial zoning as set forth in the Specific Plan. Further, residential use of the site is permitted with approval of Development Agreement 2006-011, that ensures a funding mechanism to be in place, to financially offset the conversion of the original hotel/resort site to a residential use. 2. The land use authorized and regulations prescribed for the Development Agreement are compatible with the zoning and its related regulations now applicable to the property. The site is now zoned Tourist Commercial/Residential Specific Plan Overlay, and regulations as stipulated for said zoning ensures that residential use of the site will only be permitted with approval of a Development Agreement that ensures a funding mechanism to be in place, through certain mitigation payments, to financially offset the conversion of the original hotel/resort site to residential use. 3. The proposed Development Agreement is in conformity with the public necessity, convenience, general welfare and good land use practice. The Development Agreement will allow development of residential uses at varying residential densities, and ensure provision of a desirable and functional community environment and effective and efficient development of public facilities, infrastructure, and services appropriate for the development of the Project. It will also ensure compensation for costs of potential additional public services that the project will generate, and added wear and tear on the municipal infrastructure which will result from the project, which costs would have been recovered if the site were developed as currently entitled, for a 1,000-room resort hotel, conference center and Ordinance No. 457 Development Agreement 2006-011 Crowns Pointe Partners, LLC Adopted: June 2, 2008 Page 3 100,000 square feet of resort retail. The Development Agreement contains provisions to ensure this compensation through certain mitigation payments, which is intended to financially offset the conversion of the original hotel/resort site to residential. 4. Approval of this proposed Development Agreement will not be detrimental to the public health, safety and general welfare. All immediately surrounding property is zoned for residential or golf course use development. Development of the site as a residential use, while at a higher density than the residential properties surrounding the site, will not significantly impact quality of life for area residents. The project application for a 264-unit residential condominium/town home development of one and two-story structures, is determined not to be a detriment to the community, in light of the currently approved entitlements, which could allow for a 1,000-room hotel of six stories, conference center and 100,000 square feet of resort retail use for the site. 5. Approval of this proposed Development Agreement will not affect the orderly development of property or the preservation of property values. Development of the subject site, pursuant to project application and this Development Agreement, will enhance property values for other surrounding area properties, as it facilitates development of a high -quality residential complex with a resort emphasis, without the negative compound traffic and other impacts associated with the site as currently entitled, for a 1,000-room resort hotel, conference center and 100,000 square feet of resort retail. 6. Approval of this proposed Development Agreement will have a positive fiscal impact on the City, in that implementation of the Development Agreement will produce revenues through certain mitigation payments associated with the loss of transient occupancy taxes due to the proposed residential use of the site, in lieu of current land use entitlements as previously approved for a 1,000-room resort hotel, conference center and 100,000 square feet of resort retail. These mitigation payments will ensure compensation for costs of potential additional public services that the project will generate, and added wear and tear on the municipal infrastructure which will result from the project. 0f0 Ordinance No. 457 Development Agreement 2006-011 Crowns Pointe Partners, LLC Adopted: June 2, 2008 Page 4 7. Consideration of this Development Agreement has been accomplished pursuant to California Government Code Section 65864 et seq. and the City of La Quinta Municipal Code Section 9.250.030, which governs Development Agreements. WHEREAS, all actions required to be taken by the City precedent to the adoption of this Ordinance have been regularly and duly taken. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of La Quinta, California that it does ordain as follows: SECTION 1. APPROVAL. The City Council hereby approves and adopts the Development Agreement attached as Exhibit "A" in the form presented to the City Council concurrent with the approval and adoption of this Ordinance, and authorizes and directs the City Manager to sign the Development Agreement on behalf of the City, and the City Clerk to record the Development Agreement in the Official Records of Riverside County in accordance with applicable law. SECTION 2. ENVIRONMENTAL. The environmental determination for the Eden Rock Project at PGA West, as evidenced by City Council certification of a Subsequent Environmental Impact Report (SCH #2007061056) prepared pursuant to the California Environmental Quality Act, was confirmed and adopted by the City Council, on April 15, 2008. Said determination, along with the City Council approval of the Eden Rock at PGA West Project applications on April 15, 2008, extends to include this Development Agreement, based on its incorporation as part of the overall project, as defined under CEQA. SECTION 3. EFFECTIVE DATE. This Ordinance shall be in full force and effect thirty (30) days after its adoption. SECTION 4. POSTING. The City Clerk shall certify to the passage and adoption of this Ordinance, and shall cause the same to be posted in at least three public places designated by resolution of the City Council, and shall cause this Ordinance and its certification, together with proof of posting, to be entered into the Book of Ordinances of this City. PASSED, APPROVED, and ADOPTED at an adjourned meeting of the La Quinta City Council held on this 2rd day of June, 2008, by the following vote: iJf� Ordinance No. 457 Development Agreement 2006-011 Crowns Pointe Partners, LLC Adopted: June 2, 2008 Page 5 AYES: NOES: ABSENT: ABSTAIN: LEE M. OSBORNE, Mayor Pro Tem City of La Quinta, California ATTEST: VERONICA J. MONTECINO, CIVIC, City Clerk City of La Quinta, California APPROVED AS TO FORM: M. KATHERINE JENSON, City Attorney City of La Quinta, California 073 Ordinance No. 457 Development Agreement 2006-011 Crowns Pointe Partners, LLC Adopted: June 2, 2008 Page 6 STATE OF CALIFORNIA) COUNTY OF RIVERSIDE) ss. CITY OF LA QUINTA 1 I, VERONICA MONTECINO, City Clerk of the City of La Quinta, California, do hereby certify the foregoing to be a full, true, and correct copy of Ordinance No. 457 which was introduced at a regular meeting on the 15tn day of April, 2008, and reintroduced at the regular meeting of May 20, 2008, and was adopted at an adjourned meeting held on the 2rd day of June, 2008, not being less than five days after the date of introduction thereof. I further certify that the foregoing Ordinance was posted in three places within the City of La Quinta as specified in City Council Resolution No. 2006-1 15. VERONICA MONTECINO, CIVIC, City Clerk City of La Quinta, California DECLARATION OF POSTING I, VERONICA MONTECINO, City Clerk of the City of La Quinta, California, do hereby certify that the foregoing ordinance was posted on pursuant to Council Resolution. VERONICA MONTECINO, CMC, City Clerk City of La Quinta, California 073 EXHIBIT "A" RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO City of La Quints 78-495 Calle Tampico La Quinta, CA 92253 Attn: City Clerk ORDINANCE NO. 457 Space Above This Line for Recorder's Use (Exempt from Recording Fee per Gov't Code § 27383) DEVELOPMENT AGREEMENT BY AND BETWEEN CITY OF LA QUINTA ("CITY") AND CROWN POINTE PARTNERS, LLC ("DEVELOPER") 882/015610-0096 798896 12 a05/12/08 u TABLE OF CONTENTS Page 1.0 GENERAL........................................................................................................................3 1.1 Term......................................................................................................................3 1.2 Effective Date.......................................................................................................3 1.3 Amendment or Cancellation.................................................................................3 1.4 Termination...........................................................................................................3 2.0 DEVELOPER'S RIGHTS AND LIMITATIONS REGARDING CONSTRUCTION OF THE PROJECT...........................................................................3 2.1 Right to Develop...................................................................................................3 2.2 Project Components..............................................................................................5 2.3 Additional Applicable Codes and Regulations.....................................................5 2.4 Developer Impact Fees.........................................................................................6 2.5 Permitted Density, Height and Use Limitations...................................................6 2.6 Limitation on Future Development Restrictions...................................................6 2.7 Timing of Development........................................................................................6 3.0 DEVELOPER'S OBLIGATIONS....................................................................................7 3.1 Conditions of Approval.........................................................................................7 3.2 Covenants, Conditions and Restrictions...............................................................7 3.3 Payments to City by Developer............................................................................8 3.4 Dedications and Improvements.............................................................................9 3.5 Payment of Fair Share of Mitigation Measures....................................................9 3.6 Indemnification...................................................................................................10 4.0 CITY'S PROCESSING AND APPROVALS................................................................10 4.1 Scope of Subsequent Review/Confirmation of Compliance Process.................10 4.2 Project Approvals Independent...........................................................................10 4.3 Review for Compliance......................................................................................11 5.0 DEFAULT; REMEDIES; DISPUTE RESOLUTION....................................................11 5.1 Notice of Default.................................................................................................11 5.2 Cure of Default...................................................................................................11 5.3 City Remedies.....................................................................................................12 5.4 Developer's Exclusive Remedies.......................................................................12 6.0 MORTGAGEE PROTECTION; CERTAIN RIGHTS OF CURE.................................12 6.1 Encumbrances on the Project Site.......................................................................12 6.2 Mortgage Protection............................................................................................13 6.3 Mortgagee Not Obligated...................................................................................13 6.4 Notice of Default to Mortgagee; Right of Mortgagee to Cure ............................13 7.0 TRANSFERS OF INTEREST IN SITE OR AGREEMENT.........................................14 7.1 Successors and Assigns.......................................................................................14 7.2 Sales in Normal Course of Business...................................................................14 882/015610-0096 79889612 a05/1208 _1_ 0 ° 1 U. 7.3 Assignment by City... 8.0 MISCELLANEOUS.............................................................................. 8.1 Notices....................................................................................... 8.2 Force Majeure............................................................................ 8.3 Binding Effect............................................................................ 8.4 Independent Entity..................................................................... 8.5 Agreement Not to Benefit Third Parties .................................... 8.6 Covenants.................................................................................. d 1 8.7 Nonhabihty of City Officers an Emp ogees .................................... 8.8 Covenant Against Discrimination.................................................... 8.9 Amendment of Agreement............................................................... 8.10 No Waiver......................................................................................... 8.11 Severability....................................................................................... 8.12 Cooperation in Carrying Out Agreement ......................................... 8.13 Estoppel Certificate.......................................................................... 8.14 Construction- .................................................................. * ................ 8.15 Recordation....................................................................................... 8.16 Captions and References................................................................. 8.17 Time................................................................................................. 8.18 Recitals & Exhibits Incorporated; Entire Agreement ...................... 8.19 Exhibits............................................................................................ 8.20 Counterpart Signature Pages........................................................... 8.21 Authority to Execute; Representations and Warranties ................... 8.22 City Approvals and Actions............................................................ 8.23 Governing Law; Litigation Matters ................................................. 8.24 No Brokers....................................................................................... EXHIBITS A LEGAL DESCRIPTION OF SITE B MITIGATION MONITORING PROGRAM C CITY DECLARATION OF CC&RS D COMPLIANCE CERTIFICATE E ASSIGNMENT AND ASSUMPTION AGREEMENT Page 14 ..................17 ..................17 ..................18 ..................18 ..................18 ..................18 ..................18 .........I........18 ..................19 ...................19 ...................19 ...................19 ...................19 ...................19 ................... 20 882/0156IM096 . <) 798896 12 a05/12.08 -ll- DEVELOPMENT AGREEMENT This Development Agreement (the "Agreement") is entered into as of the _ day of 2008 ("Reference Date"), by and between the CITY OF LA QUINTA, a California municipal corporation and charter city organized and existing under the Constitution of the State of California (the "City"), and CROWN POINTE PARTNERS, LLC, an Oregon Limited liability company (the "Developer"), with reference to the following: RECITALS A. Government Code Sections 65864-65869.5 ("Development Agreement Act") authorize the City to enter into a binding development agreement for the development of real property within its jurisdiction with persons having legal or equitable interest in such real property- B. Pursuant to Section 65865 of the Government Code, the City has adopted its Development Agreement Ordinance (La Quinta Municipal Code Section 9.250.030) establishing procedures and requirements for such development agreements ("Development Agreement Ordinance"). C. Prior to or concurrently with the execution of this Agreement, the City Council (i) approved the PGA West Specific Plan, also known as Specific Plan 83-002, on May 15, 1984, by City Council Resolution No. 84-31, and all subsequent amendments thereto, including, without limitation, Specific Plan 83-002, Amendment #6, approved by City Council Resolution No. 2008-26, on April 15, 2008 (collectively, the "Specific Plan"); (ii) certified an Environmental Impact Report prepared for the Specific Plan, on May 1, 1984, by City Council Resolution No. 84-28, and all subsequent amendments thereto, including, without limitation, the Subsequent Environmental Impact Report (SCH No. 2007061056), certified by the City Council on April 15, 2008, by City Council Resolution No. 2008-24 (collectively, the "EIR"); (iii) approved General Plan Amendment 2006-107, on April 15, 2008, by City Council Resolution No. 2008-25 ("GPA Amendment 2006-107"); (iv) approved Zone Change 2006-127, on April 15, 2008, by Ordinance No. 456 ("Zone Change 2006-127"); (v) approved Tentative Map 33226, on April 15, 2008, by City Council Resolution No. 2008-27 ("TTM 33226"); and (vi) approved Site Development Permit 2006-852, on April 15, 2008, by City Council Resolution No. 2008-28 ("SDP 2006- 852"). D. Developer owns the 41.95 acre parcel ("Site") which is legally described in Exhibit "A" attached hereto, and on which Developer wishes to develop a resort consisting of approximately two hundred sixty-four (264) resort units, as further described herein (the "Project"). E. Consistent with Section 9.250.030 of the La Quinta Municipal Code, City and Developer desire to enter into a binding agreement for purposes of (i) setting forth a requirement that the Developer pay to the City a per -unit up front payment that the parties agree is designed to compensate the City for (A) the potential loss of anticipated general fund revenues as a result of the use of the Site for a residential resort use rather than as traditional tourist commercial use, 882/015610-0096 _ U 3 798896 12 a05/12 08 -1 such as a "hotel" as that term is defined in Section 9.280.030 of the La Quinta Municipal Code ("Hotel"); (B) the uncompensated costs of potential additional public services that the Project will generate, which costs would have been recovered if the Site were to be developed for a traditional tourist commercial use, such as a Hotel; (C) and the potential added wear and tear on the municipal infrastructure which will result from the Project, the costs of which would have been compensated if the Site were to be developed for a traditional tourist commercial use, such as a Hotel; (ii) obligating the Developer to enter into and record, against the Site, a "City Declaration of CC&Rs" (as that term is defined in Section 3.2.1 below) that sets forth certain requirements of the owners of the "Units" (as that term is defined in Section 2.2 below) to pay to the City a transfer payment upon the transfer of their Unit for purposes of compensating the City for loss of "Transient Occupancy Tax" (as that term is defined in Chapter 3.24 of the La Quinta Municipal Code; and (iii) granting Developer a vested right to develop the Site according to (a) the Specific Plan, (b) the EIR, (c) GPA Amendment 2006-107, (d) Zone Change 2006-127, (e) TTM 33226, (1) SDP 2006-852, (g) any future Site Development Permits issued for the Project, (h) any subsequent parcel or subdivision maps to be recorded on the Site, (i) any other approvals and permits issued for the Project, and 0) the conditions of approval associated with each and all of the foregoing approvals (collectively, the "Conditions of Approval"). The documents, permits, approvals, and conditions described in the foregoing clauses (a)-O) are collectively referred to herein as the "Development Plan," and are, or when approved or issued shall be, on file with the City Clerk. F. Among other purposes, this Agreement is intended to be, and shall be construed as, a development agreement within the meaning of the Development Agreement Act. This Agreement will eliminate uncertainty in planning for and secure the orderly development of the Project, ensure a desirable and functional community environment, provide effective and efficient development of public facilities, infrastructure, and services appropriate for the development of the Project, and assure attainment of the maximum effective utilization of resources within the City, by achieving the goals and purposes of the Development Agreement Act. In exchange for these benefits to City, Developer desires to receive the assurance that it may proceed with development of the Project in accordance with the terms and conditions of this Agreement and the Development Plan, all as more particularly set forth herein. G. The Planning Commission and the City Council have determined that the Project and this Agreement are consistent with the City's General Plan and the Specific Plan, including the goals and objectives thereof. H. All actions taken by City have been duly taken in accordance with all applicable legal requirements, including the California Environmental Quality Act (Public Resources Code Section 21000, et seq.) ("CEQA" ), and all other requirements for notice, public hearings, findings, votes and other procedural matters. I. On . approving this Agreement. the City Council adopted its Ordinance No. 882/015610-0096 , 798896 12 a05/12.08 _2 AGREEMENT NOW, THEREFORE, in consideration of the mutual covenants and agreements contained herein and other good and valuable consideration, the receipt and legal sufficiency of which is hereby acknowledged, the parties do hereby agree as follows: 1.0 GENERAL. 1.1 Term. The term of this Agreement (the "Term") shall commence on the Effective Date hereof and shall continue for fifty (50) years thereafter, unless said term is otherwise terminated, modified, or extended by circumstances set forth in this Agreement or by mutual consent of the parties hereto after the satisfaction of all applicable public hearing and related procedural requirements. 1.2 Effective Date. This Agreement shall be effective, and the obligations of the parties hereunder shall be effective, as of which is the date that Ordinance No. takes effect ("Effective Date"). 1.3 Amendment or Cancellation. Except as expressly stated to the contrary herein, this Agreement may be amended or canceled in whole or in part only by mutual consent of the parties and in the manner provided for in Government Code Section 65867-65868 and the City's Development Agreement Ordinance. 1.4 Termination. Unless terminated earlier, pursuant to the terms hereof, this Agreement shall automatically terminate and be of no further effect upon the expiration of the Term of this Agreement. Termination of this Agreement, for any reason, shall not, by itself, affect any right or duty arising from entitlements or approvals set forth under the Development Plan, as defined in Section 2.1, below, and shall have no effect on the obligations imposed under the City Declaration of CC&Rs. 2.0 DEVELOPER'S RIGHTS AND LIMITATIONS REGARDING CONSTRUCTION OF THE PROJECT. 2.1 Rip.,ht to Develop. Subject to the terms, conditions, and covenants of this Agreement, Developer's right to develop the Project in accordance with the Development Plan (and subject to the Conditions of Approval) shall be deemed vested upon the Effective Date of this Agreement, save and except that any additional rights that would be created by subsequent, implementing approvals, such as site development permits, would not vest until the approval of such implementing approvals, which vesting shall expire upon the earlier of the following occurrences: (a) termination of this 882/015610-0096 _ '1 798896]2 a05/1208 -3 U Agreement; (b) an uncured material default by Developer of this Agreement; or (c) as to a particular phase, parcel, or lot comprising a portion of the Site, the earlier of the final approved City inspection of the completed development on such phase, parcel, or lot, or the issuance by the City of a certificate of occupancy for such phase, parcel, or lot. Except for the expiration set forth in clause (a) of the preceding sentence, the expiration of the vesting right set forth in the preceding sentence shall not terminate the obligations of Developer under this Agreement. Notwithstanding anything in this Agreement to the contrary, the recorded City Declaration of CC&Rs shall survive the termination of this Agreement, and except to the extent expressly specified otherwise in this Agreement, the Project shall remain subject to the following, to the same extent it would without this Agreement: (i) all ordinances, regulations, rules, laws, plans, policies, and guidelines of the City and its City Council, Planning Commission, and all other City boards, commissions, and committees existing on the Effective Date of this Agreement, including, without limitation, Section 9.140.080 of the La Quinta Municipal Code (collectively, the "Existing Development Regulations"); (ii) all amendments or modifications to Existing Development Regulations after the Effective Date of this Agreement and all ordinances, regulations, rules, laws, plans, policies, and guidelines of the City and its City Council, Planning Commission, and all other City boards, commissions, and committees enacted or adopted after the Effective Date of this Agreement (collectively, "New Laws") that are enacted or adopted on a City-wide basis; provided, however, that the City may enact or adopt New Laws which are not enacted or adopted on a City-wide basis if such New Laws are required by a non -City entity to be adopted by or applied by the City (or, if adoption is optional, the failure to adopt or apply such non -City law or regulation would cause the City to sustain a loss of funds or loss of access to funding or other resources); (iii) all subsequent development approvals and the conditions of approval associated therewith, if any; (iv) the payment of all fees or exactions in the categories and in the amounts as required at the time such fees are due and payable, which may be at the time of issuance of building permits, or otherwise as specified by applicable law, as existing at the time such fees are due and payable; and (v) the reservation or dedication of land for public purposes or payment of fees in lieu thereof as required at the time such reservations or dedications or payments in lieu are required under applicable law to be made or paid. Notwithstanding anything herein to the contrary, the City may initiate and/or approve amendments to the Specific Plan without obtaining the consent of Developer, so long as they do not include any portion of the Site. 882/01561M096 v U 798896 12 a05/12.08 2.2 Proiect Components. 2.2.1 The Project shall consist of two hundred sixty-four (264) resort units (each, a "Unit" and collectively, the "Units") and related amenities. The Units shall be constructed as follows: (i) Approximately one Hundred Two (102) of the Units (the "Village Homes") shall be constructed in seventeen (17) structures containing six (6) Units each. Each of the Village Homes shall be condominiums. (ii) Approximately eighty-three (83) of the Units (the "Courtyard Homes") shall be constructed in thirty-five (35) one-story duplex structures and forty- eight (48) two-story duplex structures. (iii) Approximately seventy-nine (79) of the Units shall be constructed in twenty-five (25) two-story triplex structures, with each such structure containing two (2) ground floor Units and one (1) upper floor Unit; and two (2) one-story duplex structures. Each of the Manor Homes shall be condominiums. 2.2.2 Notwithstanding the mix of Units described in clauses (i), (ii) and (iii) above, and subject to the remainder of this paragraph, Developer shall be permitted to change the mix of Units, subject to (i) an administrative approval by the City Planning Director, which approval shall not be unreasonably withheld, conditioned or delayed, and (ii) if determined necessary by the City Planning Director, approval by the Planning Commission and City Council of amendments to SDP 2006-852 and TTM 33226. The decision of the City Planning Director shall be subject to appeal to the Planning Commission, and subsequently to the City Council, at the Developer's election. Notwithstanding any of the forgoing, nothing in this Section 2.2.2 shall be construed to permit Developer to exceed a total of two hundred sixty-four (264) Units without further environmental review under CEQA, as well as Planning Commission and City Council approval. 2.3 Additional Applicable Codes and Regulations. Notwithstanding any other provision of this Agreement, the City also reserves the right to apply the following to the development of the Project: 2.3.1 Building, Electrical, Mechanical, Fire and similar building codes based upon uniform codes adopted in, or incorporated by reference into, the La Quints Municipal Code, as existing on the Effective Date of this Agreement or as may be enacted or amended thereafter, so long as they are applied to the Project in a nondiscriminatory manner. 2.3.2 In the event of fire or other casualty requiring reconstruction of more than fifty (50%) percent of any building previously constructed hereunder, nothing herein shall prevent the City from applying to such reconstruction all requirements of the City's Building, Electrical, Mechanical, and similar building codes based upon uniform codes 882/015610-0096 _5_ , 1 U 798896.12 a05/12 08 V adopted in, or incorporated by reference into, the La Quinta Municipal Code, solely to the extent applicable to all development projects in the City. 2.3.3 This Agreement shall not prevent the City from establishing any new City fees, including new development impact fees, or increasing any existing City fees, including existing development impact fees, including, but not limited to the mitigation payments described in and required pursuant to the City Declaration of CC&Rs and to apply such new or increased fees to the Project or applicable portion thereof where such new or increased fees may be charged; provided, however, that nothing in this Agreement shall permit the City to increase the amount of the mitigation payments described in and required pursuant to the City Declaration of CC&Rs, except as expressly provided therein. 2.4 Developer Impact Fees. For purposes of calculating required Developer Impact Fees, all Units in the Project shall be deemed to be, and shall pay fees as, residential units. 2.5 Permitted Density, Height and Use Limitations. The permitted uses, density and intensity of use, location of uses, maximum height and size of proposed buildings, minimum setbacks, and other standards applicable to the Project shall be those set forth in the Development Plan and this Agreement, whichever is the strictest. 2.6 Limitation on Future Development Restrictions. Except as otherwise expressly permitted by the terms of this Agreement, City shall not impose on the Project (whether by action of the City Council, Planning Commission, or City Staff, or by initiative, referendum or other means), any change in the applicable zoning, land use designation, or permitted uses under the Development Plan that would reduce the density or intensity of development of the Project, or that would otherwise require any reduction in the total number of Units, square footage, floor area ratio, or height of buildings. 2.7 Timing of Development. Developer is not obligated by the terms of this Agreement to affirmatively act to develop all or any portion of the Site, dedicate any land, or to otherwise meet or perform any obligation with respect to the City, except and only as a condition of development of any portion of the Site. The development schedule for the buildout of the Project shall be that solely established by Developer, consistent with the terms of this Agreement and the Development Plan; provided, however, that the phasing plan for the Project shall be as established in TTM 33226 and SDP 2006-852. 882/015610-0096 -6G- • U 798896.12 a05/12 08 3.0 DEVELOPER'S OBLIGATIONS. 3.1 Conditions of Approval. The Developer shall comply with the Conditions of Approval, which include and incorporate the mitigation measures specified in the Subsequent Environmental Impact Report for the Project (the "SEIR") so that significant environmental effects will be mitigated or avoided. The Developer shall also comply with the mitigation monitoring program associated with the SEIR, as set forth in Exhibit `B" attached hereto (the "Mitigation Monitoring Program"). Developer acknowledges that additional conditions of approval beyond the Conditions of Approval may be applicable to the Project if and as associated with future Project approvals. 3.2 Covenants. Conditions and Restrictions. 3.2.1 Recordation of City Declaration of CC&Rs. Prior to, and as a condition of the City's issuance of any building permit for the Project, Developer shall have entered into with the City and recorded against the Site a Declaration of Covenants, Conditions and Restrictions in the form attached hereto and incorporated herein as Exhibit "C" (a "City Declaration of CC&Rs"), the covenants of which shall bind the Site and each and every Unit developed thereon in perpetuity and shall survive the termination of this Agreement. 3.2.2 Recordation of Developer's CC&Rs. Prior to, and as a condition of, the City's issuance of a fine grading permit for the first Unit in the Project, the Developer shall submit to the City, and shall, prior to, and as a condition of, the City's issuance of a temporary or final certificate of occupancy for the first Unit in the Project, obtain City's approval of, and record against the Site, a declaration of covenants, conditions, and restrictions (the "Developer CC&Rs") that (i) provides for the establishment of a homeowners' association (the "HOA"), (ii) is necessary to create a condominium regime for the Village Homes, Courtyard Homes, and Manor Homes, as described on the Condominium Plan to be recorded in accordance -with all applicable laws; and (iii) discloses to the owners of the Units the requirement in the City Declaration of CC&Rs that the owners pay to the City a transfer payment upon sale, transfer, or conveyance of their Unit. The Developer CC&Rs shall provide that the City is a third party beneficiary thereof with the right, but not the obligation, to enforce the terms thereof which are required hereby, and shall require the written approval of the City prior to any amendments thereto to any of the provisions which are required hereby, which approval shall not be unreasonably withheld or delayed. If the California Department of Real Estate ("DRE") refuses to approve the CCRs in the form approved by the City, and the Developer has used all reasonable efforts to obtain the approval, the City and the Developer shall negotiate in good faith to develop equivalent protection of the City's interests in this Agreement. Such equivalent protections shall be subject to the approval of both the City and the Developer. Agreement upon the equivalent protection shall be necessary in order for the issuance of any building permit for the residential units. 882/015610-0096 798896 12 a05/12 08 3.3 Payments to City by Developer. 3.3.1 General. During the Term of this Agreement, Developer shall make the payments to City described in this Section 3.3. The payments under this Section 3.3 are not the exclusive development impact fees for the Project, and nothing in this Section 3.3 shall be construed as a limitation on the right of the City to impose, levy, or assess the Site other development fees as permitted by applicable law and this Agreement. 3.3.2 Developer's Payments of One -Time Mitigation Payments. Developer shall pay to the City, for each Unit in the Project, with such payment due upon the first close of escrow for each such Unit, three quarters of one percent (.75%) of Developer's actual and full sales price for the Unit, inclusive of all Developer -installed options and upgrades, with the amount of such sales price verified by the City. At the time Developer submits any of the foregoing payments to the City, Developer shall include therewith a copy of the final HUD Settlement Statement prepared by the escrow officer handling the closing for such Unit, for purposes of City's verification of the required payment amount. 3.3.3 Other Fees and Charges; Assessment Appeals. Nothing set forth in this Agreement is intended or shall be construed to limit or restrict the City's authority to impose its existing, or any new or increased, fees, charges, levies, or assessments for the development of the Site, or to impose or increase, subject to the required procedure, any taxes applicable to the Site including, but not limited to, transient occupancy taxes; provided, however, that subject to the following two sentences, nothing set forth herein is intended or shall be construed to limit or restrict whatever right Developer might otherwise have to challenge any fee, charge, levy, assessment, or tax imposed. Developer agrees on behalf of itself and on behalf of all persons or entities that may own an interest in the Site or the Units in the future that no action shall be taken, including any assessment appeal, to decrease the assessed value of any of the Site or any portion thereof below the final assessed value at the time the development of the Site or separate Parcel thereof is completed. Developer agrees on behalf of itself, and on behalf of all persons or entities that may own an interest in the Site or the Units in the future that during the term hereof no action shall be taken to challenge, cancel, reduce, or otherwise negate the payments required to be made to the City pursuant to the City Declaration of CC&Rs. Developer shall timely pay all applicable fees, charges, levies, assessments, and special and general taxes validly imposed in accordance with the Constitution and laws of the State of California, including without limitation school impact fees in accordance with Government Code §§ 65995, et seq. 3.3.4 Developer's Grant Deed. Prior to, and as a condition of, the City's issuance of a certificate of occupancy for any Unit in the Project, Developer shall provide to City a copy of the form of grant deed Developer intends to use in connection with the sale of Units to third party purchasers (the "Developer's 882/015610-0096 _g_ J , U 798896 12 a05112 08 Form of Grant Deed"). The Developer's Form of Grant Deed shall contain a reference to Section 1.3 of the City Declaration of CC&Rs and shall recite the terms thereof. Upon City's review of Developer's Form of Grant Deed, and confirmation that Developer's Form of Grant Deed complies with the requirements of this Section 3.3.4, Developer shall not any make changes thereto that revise, directly or indirectly, the language required hereby, without obtaining the City's prior written consent. At the time Developer submits any of the payments required by Section 3.3.2 above to the City, Developer shall include therewith a copy of the grant deed recorded at the closing for which payment is being submitted. 3.4 Dedications and Improvements. Developer shall offer such dedications to the City or other applicable public agency, or complete those public improvements in connection with the Project, as specified in the Conditions of Approval. 3.5 Payment of Fair Share of Mitigation Measures. Pursuant to Section 11.6 of the Mitigation Monitoring Program, Developer shall pay to the City the Project's fair share of the cost to construct certain intersection improvements identified in mitigation measures 11.0-3 and 11.0-4, including right-of-way acquisition (collectively, the "Fair Share Improvements"). Prior to the recordation of the final map for Tract No. 33226, Developer's engineer shall prepare and submit to the City's Public Works Director for approval thereof a cost estimate for the Fair Share Improvements (the "Cost Estimate"). Prior to and as a condition of the City's issuance of the first building permit for the Project, Developer shall deposit with the City the fair share contribution of the Project, as set forth in Table 11.0-12 of the Mitigation Monitoring Program and based upon the Cost Estimate; provided, however, that if more than one (1) year has passed since Developer's submittal of the Cost Estimate, then the amount required to be deposited with the City shall be adjusted pursuant to the construction cost index. The amount of any such adjustment shall be earmarked to be utilized only for the Fair Share Improvements. In the event the City determines that any of the Fair Share Improvements are not feasible, the City may use all of the funds deposited by Developer for the Fair Share Improvements (including any adjustment) for other improvements which the City determines will improve the level of service ("LOS") at the intersections identified in mitigation measures 11.0-3 and 11.0-4. In the event the City determines that the LOS cannot feasibly be improved at such intersections by using Developer's fair share contribution, or that only a portion of Developer's fair share payment can be used to feasibly improve the LOS at the intersections, the Developer's fair share payment (or any unused portion thereof) shall be returned to the Developer within ninety (90) days of such determination by the City. Developer may audit the City's use of Developer's fair share payment to determine if Developer is owed any refund. If the Fair Share Improvements become part of the City's Development Impact Fee after the Developer deposits the fair share payment with the City, such payment shall be credited against any Development Impact Fee obligation for the Fair Share Improvements. 882/015610-0096 79889612 a05/1208 -�- 3.6 Indemnification. (a) Developer agrees to and shall indemnify, hold harmless, and defend, the City and its officers, officials, members, agents, employees, and representatives (collectively, "the Indemnified Parties"), from liability or claims for death or personal injury and liability and claims for property damage which may arise from the acts, errors, and/or omissions of the Developer or its contractors, subcontractors, agents, employees or other persons acting on its behalf in relation to the Project and/or this Agreement. The foregoing indemnity applies to all deaths, injuries, and damages, and claims therefor, suffered or alleged to have been suffered by reason of the acts, errors, and/or omissions referred to in this paragraph, regardless of whether or not the City prepared, supplied, or approved plans or specifications, or both, and regardless of whether or not the insurance policies referred to in this Agreement are applicable. In the event of litigation, the City agrees, at no cost to the City, to cooperate with the Developer. The Developer shall have the obligation to provide the defense of the City in the litigation, either by providing legal counsel or, at the City's option, timely paying the reasonable legal costs incurred by the City in the defense of litigation. (b) In the event of any court action or proceeding challenging the validity of this Agreement or the Development Plan, the Developer shall indemnify, hold harmless, pay all costs and provide defense for the Indemnified Parities in said action or proceeding with counsel chosen by the City. The City shall, at no cost to the City, cooperate with the Developer in any such defense as Developer may reasonably request. In the event the Developer fails or refuses to provide such defense of any challenge to this Agreement or the Development Plan, or any component thereof, City shall have the right not to defend such challenge, and to resolve such challenge in any manner it chooses in its sole discretion, including terminating this Agreement. In the event of such termination, Developer, upon written request of City, shall immediately execute a termination document or other document reasonably required by a reputable title company to remove this Agreement as a cloud on title. 4.0 CITY'S PROCESSING AND APPROVALS. 4.1 Scone of Subsequent Review/Confirmation of Compliance Process. Nothing set forth herein shall impair or interfere with the right of the City to require the processing of building permits as required by law, pursuant to the applicable provisions of the La Quinta Municipal Code and the provisions of City's Fire Codes and ordinances, Health and Safety Codes and ordinances, and Building, Electrical, Mechanical, and similar building codes. Prior to each request for a building permit, Developer shall provide City with a Compliance Certificate ("Certificate"), in substantially the same form as that attached hereto as Exhibit "D", which shall describe how all applicable Conditions of Approval have been fully complied with. The Certificate shall be distributed to the relevant City departments in order to check the representations made by Developer on the Certificate. 4.2 Project Approvals Independent. All approvals required for the Project which may be or have been granted, and all land use entitlements or approvals generally which have been issued or will be issued, by the City 892/015610-0096 _ 10- : 1 798896.12 a05/12 08 V J 2 with respect to the Project, constitute independent actions and approvals by the City. If any provision of this Agreement or the application of any provision of this Agreement to a particular situation is held by a court of competent jurisdiction to be invalid or unenforceable, or if this Agreement terminates for any reason, then such invalidity, unenforceability or termination of this Agreement or any part hereof shall not affect the validity or effectiveness of any such Project approvals or other land use approvals and entitlements. In such cases, such approvals and entitlements will remain in effect pursuant to their own terms, provisions, and the Conditions of Approval. It is understood by the parties to this Agreement that, pursuant to existing law, if this Agreement terminates or is held invalid or unenforceable as described above, such approvals and entitlements shall not remain valid for the term of this Agreement, but shall remain valid for the term of such approvals and entitlements. 4.3 Review for Compliance. The City shall review this Agreement, including Developer's compliance with the terms hereof, at least once during every twelve (12) month period following the Effective Date of this Agreement, in accordance with the City's procedures and standards for such review set forth in the City's Development Agreement Ordinance. During such periodic review by the City, the Developer, upon written request from City, shall be required to demonstrate, and hereby agrees to furnish, evidence of good faith compliance with the terms hereof. The failure of the City to conduct or complete the annual review as provided herein or in accordance with the Development Agreement Act shall not impact the validity of this Agreement. If, at the conclusion of the annual review provided for herein, Developer has been found in compliance with this Agreement, the City, through the City's Planning Director, shall, at Developer's written request, issue a Certificate of Compliance to Developer stating that (1) this Agreement remains in full force and effect and (2) Developer is in compliance with this Agreement. The Certificate of Compliance shall be in recordable form, and shall contain information necessary to communicate constructive record notice of the finding of compliance. Developer, at its option and sole cost, may record the Certificate of Compliance. 5.0 DEFAULT.• REMEDIES; DISPUTE RESOLUTION. 5.1 Notice of Default. In the event of failure by either party hereto substantially to perform any material term or provision of this Agreement, the non -defaulting party shall have those rights and remedies provided herein, provided that such non -defaulting party has first provided to the defaulting party a written notice of default in the manner required by Section 8.1 hereof identifying with specificity the nature of the alleged default and the manner in which said default may satisfactorily be cured. 5.2 Cure of Default. Upon the receipt of the notice of default, the alleged defaulting party shall promptly commence to cure, correct, or remedy the identified default at the earliest reasonable time after receipt of the notice of default and shall complete the cure, correction or remedy of such default not later than five (5) business days [or thirty (30) days for non -monetary defaults] after receipt 882/015610-0096 79889612 a05/12.08 -11- 093 of the notice of default, or, for such defaults that cannot reasonably be cured, corrected or remedied within five (5) business days [or thirty (30) days for non -monetary defaults], such party shall commence to cure, correct, or remedy such default within such five (5) business day period [or thirty (30) day period for non -monetary defaults], and shall continuously and diligently prosecute such cure, correction or remedy to completion. For purposes of this Section 5.2, "business days" shall refer to Monday through Friday, inclusive, other than State, Federal, or other locally declared holidays. 5.3 City Remedies. In the event of a default by Developer of the terms of this Agreement that has not been cured within the timeframe set forth in Section 5.2 above, the City, at its option, may institute legal action in law or in equity to cure, correct, or remedy such default, enjoin any threatened or attempted violation, or enforce the terms of this Agreement. Furthermore, the City, in addition to, or as an alternative to, exercising the remedies set forth in this Section 5.3, in the event of a material default by Developer, may give notice of its intent to terminate or modify this Agreement pursuant to the City's Development Agreement Ordinance and/or the Development Agreement Act, in which event the matter shall be scheduled for consideration and review by the City Council in the manner set forth in the City's Development Agreement Ordinance and the Development Agreement Act. In no event shall the City be entitled to exemplary or punitive damages for any Developer default. 5.4 Developer's Exclusive Remedies. The parties acknowledge that the City would not have entered into this Agreement if it were to be liable in damages under, or with respect to, this Agreement or any of the matters referred to herein including, but not limited to, the Development Plan, Conditions of Approval, the Existing Development Regulations or any future amendments or enactments thereto, or the Project, except as provided in this Section. Accordingly, Developer covenants on behalf of itself and its successors and assigns, including the owners of the Units, not to sue the City for damages or monetary relief (except for attorney's fees as provided in this Agreement) for any breach of this Agreement by City or arising out of or connected with any dispute, controversy, or issue between Developer and City regarding this Agreement or any of the matters referred to herein including but not limited to the application, interpretation, or effect of this Agreement, the Development Plan, the Conditions of Approval, the Existing Development Regulations or any future amendments or enactments thereto, or any land use permits or approvals sought in connection with the development of the Project or any component thereof, or use of a parcel or any portion thereof, the parties agreeing that declaratory and injunctive relief, mandate, and specific performance shall be Developer's sole and exclusive judicial remedies. 6.0 MORTGAGEE PROTECTION, CERTAIN RIGHTS OF CURE. 6.1 Encumbrances on the Project Site. This Agreement shall not prevent or limit the Developer from encumbering the Site or any portion thereof or any improvements thereon with any mortgage, deed of trust, sale and leaseback arrangement, or any other form of conveyance in which the Site, or a portion thereof 882/015610-0096 h- . . -V J 4 798896 12 a05/12 08 or interest therein, is pledged as security, and contracted for in good faith and fair value (a "Mortgage") securing financing with respect to the construction, development, use or operation of the Project. 6.2 Mortgage Protection. This Agreement shall be superior and senior to the lien of any Mortgage. Notwithstanding the foregoing, no breach of this Agreement shall defeat, render invalid, diminish, or impair the lien of any Mortgage made in good faith and for value, and any acquisition or acceptance of title or any right or interest in or with respect to the Site or any portion thereof by a holder of a beneficial interest under a Mortgage, or any successor or assignee to said holder (a "Mortgagee") [whether pursuant to foreclosure, trustee's sale, deed in lieu of foreclosure, lease termination or otherwise] shall be subject to all of the terms and conditions of this Agreement. 6.3 Mortgagee Not Obligated. No Mortgagee shall have any obligation or duty under this Agreement to perform the obligations of the Developer or other affirmative covenants of Developer hereunder, or to guarantee such performance, except that to the extent that any covenant to be performed by the Developer is a condition to the performance of a covenant by the City, the performance thereof shall continue to be a condition precedent to the City's performance hereunder. 6.4 Notice of Default to Mortgagee; Right of Mortgagee to Cure. City shall, upon written request therefor to the City, deliver to each Mortgagee a copy of any notice of default given to Developer under the terms of this Agreement, at the same time of sending such notice of default to Developer. The Mortgagee shall have the right, but not the obligation, within five (5) business days [or thirty (30) days for non -monetary defaults] after the receipt of such notice from the City, to cure, correct, or remedy the default, or, for such defaults that cannot reasonably be cured, corrected, or remedied within five (5) business days [thirty (30) days for non -monetary defaults], to commence to cure, correct, or remedy the default within such five (5) business day period [or thirty (30) day period for non -monetary defaults], and to continuously and diligently prosecute such cure to completion. If the default is of a nature which can only be remedied or cured by such Mortgagee upon obtaining possession of the Site, such Mortgagee shall have the right to seek to obtain possession with diligence and continuity through foreclosure, a receiver or otherwise, and shall be permitted thereafter to remedy or cure the default within such time as is reasonably necessary to cure or remedy said default but in no event more than thirty (30) days after obtaining possession. If any such default cannot, with diligence, be remedied or cured within such thirty (30) day period, then such period shall be extended to permit the Mortgagee to effect a cure or remedy so long as Mortgagee commences said cure or remedy during such thirty (30) day period, and thereafter diligently pursues and completes such cure. For purposes of this Section 6.4, "business days" shall refer to Monday through Friday, inclusive, other than State, Federal, or other locally declared holidays. 05 882/015610-0096 -13- 798896 12 OVUM 7.0 TRANSFERS OF INTEREST IN SITE OR AGREEMENT. 7.1 Successors and Assi ngns. Developer shall have the right to sell, transfer or assign the Site, or any portion thereof (provided that no such transfer shall violate the Subdivision Map Act, Government Code §66410, et seq.) to any person, partnership, joint venture, firm or corporation at any time during the term of this Agreement, without the consent of the City. Any such sale or transfer shall require, with respect to the Site or the portion thereof sold or transferred, the assignment and assumption, in a fully executed written agreement, in whole or in part (as applicable), of the rights, duties and obligations of the Developer under the terms of this Agreement. Upon such sale, transfer or assignment, Developer shall, with respect to the Site or the portion thereof sold or transferred, be released from any further obligations under the terms of this Agreement, without any further action of the parties, provided: (a) Developer no longer has any legal or equitable interest in the Site or the portion thereof sold or transferred, as applicable; (b) Developer is not, at the time of the transfer, in default under the terms of this Agreement; and (c) Developer and Developer's transferee have submitted a fully executed assignment and assumption agreement in a form set forth in Exhibit E. 7.2 Sales in Normal Course of Business. The provisions of the above Section shall not apply to the sale or lease of a Unit which has been finally subdivided and is individually (and not in "bulk") sold or leased to a member of the public or other ultimate user. Upon any such sale or lease, the Unit shall be released from the rights, duties and obligations of the Developer under this Agreement, except for all obligations which extend to the individual Units under the provisions in the City Declaration of CC&Rs and the Developer CC&Rs which implement this Agreement. This release shall in no way limit the duties and obligations of the Developer, and shall in no way release the Units from any of the obligations set forth in the City Declaration of CC&Rs and the Developer CC&Rs, all of which shall survive such release. 7.3 Assignment_ by City. The City may assign or transfer any of its rights or obligations under this Agreement with the approval of the Developer, which approval shall not be unreasonably withheld. 8.0 MISCELLANEOUS. 8.1 Notices. All notices permitted or required hereunder must be in writing and shall be effected by (i) personal delivery, (ii) first class mail, registered or certified, postage fully prepaid, or (iii) reputable same -day or overnight delivery service that provides a receipt showing date and time 882/015610-0096 _14_ 006 798896 12 a05/12.06 of delivery, addressed to the following parties, or to such other address as any party may, from time to time, designate in writing in the manner as provided herein: To City: City of La Quinta 78-495 Calle Tampico La Quinta, California 92253 Attn: City Manager Telephone: (760) 777-7100 Facsimile: (760) 777-7101 With a copy to: Rutan & Tucker, LLP 611 Anton Boulevard, Suite 1400 Costa Mesa, California 92626 Attn: M. Katherine Jenson Telephone: (714) 641-5100 Facsimile: (714) 546-9035 To Developer: Crown Pointe Partners, LLC 8905 SW Nimbus Avenue, Suite 400 Beaverton, OR 97008 Attn: Louis Swart Telephone: (503) 670-9300 Facsimile: (503) 670-9400 With a copy to: Stowell, Zeilenga, Ruth, Vaughn & Treiger LLP 2815 Townsgate Road, Suite 330 Westlake Village, CA 91361 Attn: James D. Vaughn, Esq. Telephone: (805) 446-1496 Facsimile: (805) 446-1490 Any written notice, demand or communication shall be deemed received immediately if personally delivered or delivered by delivery service to the addresses above, and shall be deemed received on the third day from the date it is postmarked if delivered by registered or certified mail. 8.2 Force Maieure. In addition to specific provisions of this Agreement, performance by either party hereunder shall not be deemed to be in default where delays or failures to perform are due to war, insurrection, strikes, walk -outs, riots, floods, earthquakes, fires, casualties, acts of God, acts of the public enemy, terrorism, epidemics, quarantine restrictions, freight embargoes, governmental restrictions imposed or mandated by other governmental entities, governmental restrictions or priority, unusually severe weather, inability to secure labor, materials, or tools necessary for the Project, delays of any contractor, subcontractor or supplier; acts of another party, acts or the failure to act of any public or governmental agency or entity (except that acts or the failure to act of the City shall not excuse performance by the City) or any other causes 882/015610-0096 -15- 798896.12 a05/12 08 0 :1 1 beyond the control or without the fault of the party claiming an extension of time to perform. An extension of time for any such cause shall only be for the period of the enforced delay, which period shall commence to run from the time of the commencement of the cause. Times of performance under this Agreement may also be extended in writing by the City and the Developer. Notwithstanding the paragraph above, Developer is not entitled pursuant to this Section 8.2 to an extension of time to perform because of past, present, or future difficulty in obtaining suitable construction or permanent financing for the development of the Site, or because of economic or market conditions. 8.3 BindinQ Effect. This Agreement, and all of the terms and conditions hereof, shall be binding upon and inure to the benefit of the parties, any subsequent owner of all or any portion of the Project or the Site, and their respective assigns, heirs or successors in interest, whether or not any reference to this Agreement is contained in the instrument by which such person acquired an interest in the Project or the Site. 8.4 Independent Entity. The parties acknowledge that, in entering into and performing this Agreement, each of the Developer and the City is acting as an independent entity and not as an agent of the other in any respect. No joint venture is formed by this Agreement. 8.5 Agreement Not to Benefit Third Parties. This Agreement is made for the sole benefit of the parties, and no other person shall be deemed to have any privity of contract under this Agreement nor any right to rely on this Agreement to any extent for any purpose whatsoever, nor have any right of action of any kind on this Agreement, nor be deemed to be a third party beneficiary under this Agreement. Notwithstanding the immediately preceding sentence, the Agency shall be an intended third party beneficiary to this Agreement. 8.6 Covenants. The provisions of this Agreement shall constitute mutual covenants which shall run with the land comprising the Site for the benefit thereof, and for the benefit of the City's adjoining properties and the burdens and benefits hereof shall bind and inure to the benefit of each of the parties hereto and all successors in interest to the parties hereto for the term of this Agreement. 8.7 Nonliability of City Officers and Employees. No official, officer, employee, agent or representative of the City, acting in his/her official capacity, shall be personally liable to Developer, or any successor or assign, for any loss, costs, damage, claim, liability, or judgment, arising out of or in connection to this Agreement, or for any act or omission on the part of the City. 882/015610-0096 -16- 008 798896.12 a05/12.08 8.8 Covenant Against Discrimination. Developer and City covenant and agree, for themselves and their respective successors and assigns, that there shall be no discrimination against, or segregation of, any person or group or persons on account of race, color, creed, religion, sex, marital status, national origin or ancestry, or any other impermissible classification, in the performance of this Agreement. Developer shall comply with the Americans with Disabilities Act of 1990, as amended (42 U.S.C. §§ 12101, etseq.). 8.9 Amendment of Agreement. This Agreement may be amended from time to time by mutual consent of the original parties or such party to which the Developer assigns all or any portion of its interest in this Agreement, in accordance with the provisions of the City's Development Agreement Ordinance and Government Code Sections 65867 and 65868. Developer shall be required to reimburse City for all reasonable costs City incurs in negotiating, preparing, and processing any alterations, changes, or modifications. In connection with any request for an alteration, change or modification, Developer shall deposit with the City the sum of Ten Thousand Dollars ($10,000). Notwithstanding the foregoing, the City Manager shall have the discretion to authorize a lesser deposit, in the event he or she determines the proposed alteration, change or modification is minor. In the event the funds on deposit are depleted, City shall notify Developer of the same, and Developer shall deposit with the City an additional Five Thousand Dollars ($5,000) to complete processing of the requested alteration, change or modification. Developer shall make additional deposits to City, as needed, pursuant to the foregoing process, until the requested alteration, change, or modification is finalized. Within sixty (60) days after such alteration, change or modification is finalized, City shall reimburse the Developer any unused sums. 8.10 No Waiver. No waiver of any provision of this Agreement shall be effective unless in writing and signed by a duly authorized representative of the party against whom enforcement of a waiver is sought and referring expressly to this Section. No delay or omission by either party in exercising any right or power accruing upon non-compliance or failure to perform by the other party under any of the provisions of this Agreement shall impair any such right or power or be construed to be a waiver thereof, except as expressly provided herein. No waiver by either party of any of the covenants or conditions to be performed by the other parry shall be construed or deemed a waiver of any succeeding breach or nonperformance of the same or other covenants and conditions hereof. 8.11 Severability. If any term, provision, covenant or condition of this Agreement is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions of this Agreement shall continue in full force and effect, to the extent that the invalidity or unenforceability does not impair the application of this Agreement as intended by the parties. 882/015610-0096 _1^/- , 009 798896 12 OVUM 8.12 Cooperation in Carrying Out Agreement. Each party shall take such actions and execute and deliver to the other all such further instruments and documents as may be reasonably necessary to carry out this Agreement in order to provide and secure to the other party the full and complete enjoyment of its rights and privileges hereunder. 8.13 Estoppel Certificate. Any party hereunder may, at any time, deliver written notice to any other parry requesting such party to certify in writing that, to the best knowledge of the certifying party, (i) this Agreement is in full force and effect and a binding obligation of the parties, (ii) this Agreement has not been amended or modified either orally or in writing, or if so amended, identifying the amendments, and (iii) the requesting party is not in default in the performance of its obligations under this Agreement, or if in default, describing the nature and amount of any such defaults. A parry receiving a request hereunder shall execute and return such certificate within thirty (30) days following receipt of such written request. The City Manager, Assistant City Manager, and Planning Director are each authorized to sign and deliver an estoppel certificate on behalf of the City. The City acknowledges that a certificate hereunder may be relied upon by transferees and Mortgagees. 8.14 Construction. This terms of this Agreement shall be construed in accordance with the meaning of the language used and shall not be construed for or against either party by reason of the authorship of this Agreement or any other rule of construction that might otherwise apply. As used in this Agreement, and as the context may require, the singular includes the plural and vice versa, and the masculine gender includes the feminine and vice versa. 8.15 Recordation. This Agreement shall be recorded with the County Recorder of Riverside County at Developer's cost, if any, within the period required by Government Code Section 65868.5. Amendments approved by the parties, and any cancellation or termination of this Agreement, shall be similarly recorded. 8.16 Captions and References. The captions of the paragraphs and subparagraphs of this Agreement are solely for convenience of reference, and shall be disregarded in the construction and interpretation of this Agreement. Reference herein to a paragraph or exhibit are the paragraphs, subparagraphs and exhibits of this Agreement. 8.17 Time. Time is of the essence in the performance of this Agreement and of each and every term and condition hereof as to which time is an element. 882/015610-0096 _18- r100 798896 12 a05/12.08 8.18 Recitals & Exhibits Incorporated• Entire Agreement. The Recitals to this Agreement and all of the exhibits and attachments to this Agreement are, by this reference, incorporated into this Agreement and made a part hereof This Agreement, including all Exhibits attached hereto, constitutes the entire agreement between the parties with respect to the subject matter of this Agreement, and this Agreement supersedes all previous negotiations, discussions and agreements between the parties, and no parole evidence of any prior or other agreement shall be permitted to contradict or vary the terns hereof. 8.19 Exhibits. Exhibits "A" — "E" to which reference is made in this Agreement are deemed appropriated herein in their entirety. Said exhibits are identified as follows: A Legal Description of Site B Mitigation Monitoring Program C City Declaration of CC&Rs D Compliance Certificate E Assignment and Assumption Agreement 8.20 Countemart Signature Pages. For convenience the parties may execute and acknowledge this agreement in counterparts and when the separate signature pages are attached hereto, shall constitute one and the same complete Agreement. 8.21 Authority to Execute,• Representations and Warranties. Developer warrants and represents that (i) it is duly organized and existing, (ii) it is duly authorized to execute and deliver this Agreement, (iii) by so executing this Agreement, Developer is formally bound to the provisions of this Agreement, (iv) Developer's entering into and performance of its obligations set forth in this Agreement do not violate any provision of any other agreement to which Developer is bound, and (v) there is no existing or threatened litigation or legal proceeding of which Developer is aware which could prevent Developer from entering into or performing its obligations set forth in this Agreement. 8.22 City Approvals and Actions. Whenever a reference is made in this Agreement to an action or approval to be undertaken by the City Manager, his or her authorized designee is authorized to act on behalf of the City unless specifically provided otherwise or the law otherwise requires. 8.23 Governing Law; Litigation Matters. The internal laws of the State of California shall govern the interpretation and enforcement of this Agreement without regard to conflicts of law principles. Any action at law or in equity brought by any party hereto for the purpose of enforcing, construing, or interpreting the validity of this Agreement or any provision hereof shall be brought in the Superior Court of 882/015610-0096 798896 12 a05/12.08 -199 - -t. 0 the State of California in and for the County of Riverside, or such other appropriate court in said county, and the parties hereto waive all provisions of law providing for the filing, removal, or change of venue to any other court. Service of process on City shall be made in accordance with California law. Service of process on Developer shall be made in any manner permitted by California law and shall be effective whether served inside or outside of California. In the event of any action between the parties hereto seeking enforcement of any of the terms of this Agreement or otherwise arising out of this Agreement, the prevailing party in such litigation shall be awarded, in addition to such relief to which such party is entitled, its reasonable attorney's fees, expert witness fees, and litigation costs and expenses. 8.24 No Brokers. Each of the City and the Developer represents to the other party that it has not engaged the services of any finder or broker and that it is not liable for any real estate commissions, broker's fees, or finder's fees which may accrue by means of this Agreement, and agrees to hold harmless the other party from such commissions or fees as are alleged to be due from the party making such representations. [SIGNATURE PAGE FOLLOWS] 882/015610-0096 _20_ �% 798896 12 a05/12.08 IN WITNESS WHEREOF, the Developer and the City have executed this Agreement as of the Reference Date. ATTEST: Veronica J. Montecino City Clerk APPROVED AS TO FORM RUTAN & TUCKER, LLP M. Katherine Jenson City Attorney U=561040% 7988%.11 805M.08 "DEVELOPER" CROWN POINTE PARTNERS, LLC, an Oregon limited fiabjW company wE�D�t EKoM C✓!l { N6 � Ro L4 "CITY" CITY OF LA QUINTA, a California municipal corporation By: -21- Thomas P. Genovese City Manager ME/tom 103 STATE OF CALIFORNIA ) ) ss. COUNTY OF 1�iv2 rs1� e ) On �A�UQq0j before me,3C,,wicc V�. C %"M , Notary Public, personally appeared' U N�c e Q . Ste w�eo� c1. proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/am subscribed to the within instnmient and aclmowledged to me that he/alae4hey executed the same in his/herfteir authorized eapacity(ies), and that by his/hemsignature(s) on the instrument the person(s) or the entity upon behalf of which the person(s) acted, executed the instmmefft. I certify under PENALTY OF PERJURY under the laws of the State of Califomia that the foregoing paragraph is true and correct. Witness my hand and official seal. Mc j "^R+ 66owc WCammbOMDc41011 t [SEAL] STATE OF CALIFORNIA ) ss. COUNTY OF ) On before me, Notary Public, personally appeared proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) istare subscribed to the within instrument and acknowledged to me that he/she/they executed the some in his/her/their authorized capacity(ies), and that by his/herkheir signature(s) on the instrument the person(s) or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY. under the laws of the State of California that the foregoing paragraph is true and correct. Witness my hand and official seal. [SEAL] UM156:� 7"M.l MM a Notary Public _22_ .L EXHIBIT "A" LEGAL DESCRIPTION OF SITE That certain real property located in the City of La Quinta, County of Riverside, State of California, described as follows: PARCEL A: PARCEL 2 OF LOT LINE ADJUSTMENT NO.204-411 RECORDED OCTOBER 8, 2004 AS INSTRUMENT NO. 2004-0803272 MORE PARTICULARLY DESCRIBED AS THAT PORTION OF LOT 1 OF TRACT NO. 29421 AS SHOWN BY MAP ON FILE IN BOOK 297, AT PAGES 54 THROUGH 57, INCLUSIVE OF MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA; TOGETHER WITH THAT PORTION OF PARCEL 7 OF PARCEL MAP NO. 20426, AS SHOWN BY MAP ON FILE IN BOOK 129, AT PAGES 49 THROUGH 55, INCLUSIVE OF PARCEL MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA; AS ADJUSTED BY LOT LINE ADJUSTMENT NO. 97-244, RECORDED JUNE 5, 1997 AS INSTRUMENT NO. 199050 AND 199051, OFFICIAL RECORDS OF RIVERSIDE COUNTY, CALIFORNIA, DESCRIBED AS FOLLOWS: BEGINNING AT THE NORTHWESTERLY CORNER OF SAID LOT 1; THENCE EASTERLY ALONG THE NORTHERLY LINE OF SAID LOT 1, NORTH 89.30' 11" EAST, 272.69 FEET TO THE EASTERLY TERMINUS OF SAID NORTHERLY LINE OF LOT l; THENCE LEAVING SAID NORTHERLY LINE OF LOT 1, SOUTH 40040' 11" EAST, 192.39 FEET; THENCE SOUTH 36°16'42" EAST, 201.26 FEET; THENCE SOUTH 53°20'16" EAST, 232.15 FEET; THENCE NORTH 87°56'22" EAST, 193.32 FEET; THENCE NORTH 85°54'55" EAST, 305.51 FEET; THENCE SOUTH 76'33'32" EAST, 155.87 FEET; THENCE SOUTH 45°08'33" EAST, 221.84 FEET; THENCE SOUTH 51°13'44" EAST, 112.98 FEET; THENCE SOUTH 54°28'39" EAST, 110.02 FEET; THENCE SOUTH 44°42'29" EAST, 102.05 FEET; THENCE SOUTH 01°38'20" WEST, 37.58 FEET; THENCE SOUTH 45°00'00" WEST, 209.79 FEET; THENCE SOUTH 04°59'49" WEST, 201.91 FEET; THENCE SOUTH 39°23'09" EAST, 81.63 FEET TO A POINT ON A SOUTHEASTERLY LINE OF SAID LOT 1, SAID POINT BEING ON A CURVE CONCAVE SOUTHEASTERLY, HAVING A RADIUS OF 81.00 FEET, A RADIAL LINE THROUGH SAID POINT BEARS SOUTH 26°32'46" EAST; THENCE SOUTHWESTERLY ALONG SAID SOUTHEASTERLY LINE OF LOT I AND SAID CURVE THROUGH A CENTRAL ANGLE OF 57008'46", AN ARC DISTANCE OF 80.79 FEET TO THE BEGINNING OF A TANGENT REVERSE CURVE CONCAVE NORTHWESTERLY, HAVING A RADIUS OF 63.00 FEET, A RADIAL LINE THROUGH SAID POINT OF TANGENT REVERSE CURVE BEARS NORTH 83141'32" WEST; THENCE SOUTHWESTERLY ALONG SAID TANGENT REVERSE CURVE THROUGH A CENTRAL ANGLE OF 43°45'42", AN ARC DISTANCE OF 48.12 FEET; THENCE SOUTHWESTERLY ALONG SAID SOUTHEASTERLY LINE OF LOT 1, SOUTH 50°04' 10" WEST, 304.18 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE NORTHWESTERLY, HAVING A RADIUS OF 502.00 FEET; THENCE WESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 30013' 14", AN ARC DISTANCE OF 264.78 FEET TO THE BEGINNING OF A TANGENT COMPOUND CURVE CONCAVE NORTHERLY, HAVING A RADIUS OF 1445.00 FEET, A RADIAL LINE THROUGH SAID POINT OF TANGENT COMPOUND CURVE BEARS SOUTH 09042'36" EAST; THENCE WESTERLY ALONG SAID TANGENT COMPOUND CURVE THROUGH A CENTRAL ANGLE OF 19°56'47", AN ARC DISTANCE OF 503.05 FEET; THENCE NORTHERLY LEAVING SAID CURVE, NORTH 10°14'10" EAST, 5.00 FEET TO THE BEGINNING OF A CURVE CONCAVE TO THE NORTH, HAVING A RADIUS OF 1440.00 FEET, A RADIAL LINE THROUGH SAID POINT BEARS SOUTH 10014'10" WEST; THENCE WESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 06026'37", AN ARC DISTANCE OF 161.95 FEET TO THE BEGINNING OF A TANGENT COMPOUND CURVE CONCAVE NORTHEASTERLY, HAVING A RADIUS OF 882/015610-0096 798896 12 OVUM 1 ii 5 285.00 FEET, A RADIAL LINE THROUGH SAID POINT BEARS SOUTH 16°40'48" WEST, THE PRECEDING 4 COURSES BEING ON THE SOUTHERLY LINE OF SAID LOT 1; THENCE WESTERLY AND NORTHERLY ALONG SAID TANGENT COMPOUND CURVE THROUGH A CENTRAL ANGLE OF 73019'01", AN ARC DISTANCE OF 364.69 FEET; THENCE NORTH 00-0011" WEST, 478.78 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE SOUTHWESTERLY, HAVING A RADIUS OF 385.00 FEET; THENCE NORTHERLY ALONG SAID TANGENT CURVE THROUGH A CENTRAL ANGLE OF 49014'43", AN ARC DISTANCE OF 330.90 FEET; THENCE LEAVING SAID TANGENT CURVE NORTH 40°45'07" EAST, 5.00 FEET TO THE BEGINNING OF A CURVE CONCAVE NORTHEASTERLY, HAVING A RADIUS OF 260.00 FEET, A RADIAL LINE THROUGH SAID POINT BEARS SOUTH 40045'07" WEST; THENCE NORTHERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 45028'01", AN ARC DISTANCE OF 206.32 FEET; THENCE NORTH 03146'53" WEST, 404.79 FEET TO THE POINT OF BEGINNING, THE PRECEDING 6 COURSES BEING ON THE WESTERLY LINE OF SAID LOT 1. PARCEL B: LOT K OF TRACT MAP NO. TRACT NO. 29421 AS SHOWN BY MAP ON FILE IN BOOK 297, AT PAGES 54 THROUGH 57, INCLUSIVE OF MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA; and PARCEL C: TOGETHER WITH THE RIGHT TO GRANT AND TRANSFER SAME, NONEXCLUSIVE EASEMENTS FOR PEDESTRIAN AND VEHICULAR (INCLUDING CONSTRUCTION VEHICLES) INGRESS AND EGRESS, OVER AND ACROSS THE REAL PROPERTY DESCRIBED ON EXHIBIT `B" ATTACHED HERETO AND INCORPORATED HEREIN BY THIS REFERENCE (THE "ACCESS STREETS"). 882/015610-0096 1 1 0 798896 12 a05/12108 EXHIBIT °B" MITIGATION MONITORING PROGRAM [See following document] 882/015610-0096 .2 798896 12 a05/12108 L U � O o U � C o aU. O w 0 � o 0 °3 00 �289 00 N ❑ > O O N v) v 0 0 . F, N Z (Q'j >1 F rA d �v,cGON N a SdaaN Uo d i 7 y 4t y O [ N 00 C) j c C) CD ■ OO�r+ N N a w r N N N O O N a -• � �OM..+ 0 M M N 00 Vl C1+ 00 Cl Y bo a q o H a a a > o a° '. CdUe Q O N 0p 'c aca0ic��x o d C7NcnF��nLIvUiU H Z �U F F z O F• U z z 0 U z w F d A z GAz] d U U OW o C O CYi W 0c3 C b: b � � � 3 ra � � •U O .dam- O pp � bl ay a Q 0 Q 6 0 � `n Q zu, v1 F z ti p, N �b a 3 3 to3 a a as a.a�i r�• N N ti � O v0v °'v0 c Mlu ►a V O C r O 'G U� ti W a 0 c °' o x o U o .� ti C) �— 0 > a ❑ 0 'w � c0 v Ca U W U 0 O U VJ (V M W F ¢ A z� U OU UW 8 a ° 9 ° " • c.•° Q•° �° C C7 C y C U � b0 .� ►Zr •b N N [y ti �. ti C b 4: y y L. C ¢ O Y Y Y �.1 V Q Q A /v A b•d I...1 F-1 IN O U ~I c5 FBI 'O Y y .k Y N .:1 bCC,, Y N y 44 'C N� -W 'C .� •b '� ~ Q z RS Ca O C: O ctl C: O O O O O tV En 0 rl o.r o r. v �� �A•n pb Ab •C �;° b p- b w wa aaw a.aW a.m am aa� aa1 ¢' pVEi IC y, M� C y N � Y •� V.y �. b Y (� Y❑ ¢ ° � G 0 E � [ CL p, � Y 0o T o V .•. 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Ri U o 0 o o�w Y boo 0 0 w ° fYtl cYV 'ti 'b U � w w •� � w W a U z b t on •o b U to a a ( U o° Ca w a O a 0 a b a a A F c w C7 O O OY �'•� Y zz Y Y En Y rA Y oQ Y ca Q Q ca Q oQ y Cps+ C C 3 C_ C 3 _ Q C ❑pCbo o -o 4.w ~i •yam O •�cd r •C •O +��+ � Y •q 5 tV O A T " U O -zl c p N O G ❑ _° p0 O a y F oD co 'C O U on o ed O. cd a y 4 o .Y cd aD c :d 6 a v oou °cd E v Ca > 3 v a a° c C U Uto co w x bo o w oq v LYi ° a�'i UO w d .Y aoi . q) ti N U •� .w.+ cC �d U ro 0 O LL N y w cUa a�°i v ° s� ¢ a°� o oo ° 0 x ° U ° b o U � a m a 21 . m W F d A dA U UU c 0 �o W C U � � w� v 0 U N W v a v F U cl ro U Q �j O r•.n F U O c Cd a� x v1F a c• a0, to ar zU o F x IOU > ~ q C N 0 00 W F d A W zA dA U UU W O U w a U CC) p, U ,C .v.v °o on ; o ca m 0 0 CO .0 J C Y F U U c z 01 C4 ca c. a a (u Ln � o to to �aa mca aia. ma z o cq o bn ° ° �= cv c >T' t ro c v> o cd > .� W°° croi aNi vCd d aci w y a aci n r v cq cd ro o • a aroi 'o :° ti Y °c' o v «? v o c N o a d N EA �. a ' ° o cG o - U o°x o a a a W E• d A z dWAW �x U U W C (u .� .O .N 0 .v w p, E ,O Fr $ y yW ai .� G, p y ,C O ti U N .[ ❑ on ° •C o on ° a Un v •Y .Y�� G a Qn cl Ycn 0 Q v� �0 o o y o pz 914 o 3 c c3 c� c� a a°i a a� a. a aoi rA y @ W Y t0+ , E > O �� b Y ❑ O O U ,d a •.`� O .� cYC � � .� � � O � � � y C N ? 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'-' bA Ncl N O W ^U' y 0. wo3 =-,,. �. o 6 pw o y a a a nr m v w d Caw d o cu O° w .O � oo Cl 0 W F d A z dA UU U .N W o o ti Cl U Cd w � W F a icy � z b 0 c� d a ca �o zzQ a a� A� Ow ,a c to o � b•�z d '-' � rACc) •C .a a c°i o N N X N a b c 0 W b ti xz � o U fx y c r o W F d A dW UU d U W O F O C7 a Wa � O U c A o� Wz Q M , w �o Cs zz W � c z o ul > E U y d y• FCL oa�� o � aW Nb.� y Vl 0 W F d A dW d � w O y [j F a U U a oou Y E n ti a a Uz d � � �U o O U V U a F a a >1 y ;a o z� z bQ cc r3 dz rA a O y 0 y � •N N a w Cd7 CAW T W v d � W F d A dA a� U U d o � d � N :d y N F- fd 4d .O a; •ci a U � A o z d CIO 0 o W 'C W a. a F a a A Q o zo o z oz F a 0 C o> od G%n�a°q�ob F n ryo �, c6 o O vi l ." v 0.0 _a N U V Y °Ra� o' N do'0 o aW onp3N 0 wwa a w ca Ll ti o ti 1 m tia'�w.8w0 on�v�ti.� D � � � N U p 0 P oA r�lw EXHIBIT "C" CITY DECLARATION OF CC&RS [See following document] 882/015610-0096 798896 12 a05/12/08 - n 1 1 l) RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: City of La Quinta 78-495 Calle Tampico La Quinta, CA 92253 Attn: City Manager (Space Above This Line for Recorder's Office Use Only) (Exempt from Recording Fee per Gov. Code § 27383) DECLARATION OF COVENANTS CONDITIONS, AND RESTRICTIONS This DECLARATION OF COVENANTS, CONDITIONS, AND RESTRICTIONS ("Declaration") is entered into this _ day of , _, by and between the CITY OF LA QUINTA, a California municipal corporation and charter city organized and existing under the Constitution of the State of California ("City"), and CROWN POINTE PARTNERS, LLC, an Oregon Limited liability company ("Developer"). RECITALS: A. Developer is the fee owner of that certain real property located in the City of La Quinta, County of Riverside, State of California, and more particularly described on Exhibit A attached hereto (the "Property"). B. Developer has obtained approval from City to develop and operate on the Property a resort project with associated amenities (the "Project"). C. Pursuant to that certain Development Agreement entered into by and between Developer and City on or about , which was recorded on as Instrument No. , in the Official Records of the County of Riverside (the "Development Agreement"), as a condition to the approval of the Project and as a condition to the City's issuance of any building permits for the Project, Developer is required to have executed this Declaration and recorded it against the Property. D. City has fee and/or easement interests in various streets, sidewalks, and other property within the City (the "Benefited Public Property"), and is responsible for planning of land uses within the City in such a manner as to provide for the health, safety, and welfare of the residents of the City. The Benefited Public Property is legally described in Exhibit `B", attached hereto and incorporated herein by this reference. E. Developer and City desire to enter into this Declaration to bind the Property, and all of the "Units" (as that term is defined in Section 1.1 below) thereon. The restrictions and covenants herein shall be deemed to be included with and imposed as restrictions on the Property and on each and every conveyance of the (i) Property, and (ii) the Units without express reference thereto in the deed evidencing such conveyances. 892/015610-0096 799454 09 a05/12/08 DECLARATION NOW, THEREFORE, in consideration of the foregoing Recitals and the covenants and promises hereinafter contained, and for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, City and Developer agree, on behalf of themselves and the successors and assigns of Developer, including, but not limited to, the owners of the Units (each, an "Owner," and collectively, the "Owners") including for the benefit of City, as follows: 1. Restrictive Covenant. 1.1 Project Accommodations. The Project includes two hundred sixty-four (264) resort units (each, a "Unit," and collectively, the "Units"), and related amenities. The Units are described as follows: (i) Approximately One Hundred Two (102) of the Units (the "Village Homes") shall be constructed in seventeen (17) structures containing six (6) Units each. Each of the Village Homes shall be condominiums. (ii) Approximately eighty-three (83) of the Units (the "Courtyard Homes") shall be constructed in thirty-five (35) one-story duplex structures and forty-eight (48) two-story duplex structures. (iii) Approximately seventy-nine (79) of the Units (the "Manor Homes") shall be constructed in twenty-five (25) two-story triplex structures, with each such structure containing two (2) ground floor Units and one (1) upper floor Unit, and two (2) one-story duplex structures. Each of the Manor Homes shall be condominiums. 1.2 Recordation of Covenants Conditions and Restrictions. Prior to, and as a condition of, the City's issuance of a fine grading permit for the first Unit in the Project, the Developer shall submit to the City, and shall, prior to, and as a condition of, the City's issuance of a temporary or final certificate of occupancy for the first Unit in the Project, obtain City's approval of, and record, covenants, conditions and restrictions against the Property which, in addition to the obligations set forth in the Conditions of Approval, (i) shall provide for establishment of a homeowner's association for the Project (the "Association"); (ii) is necessary to create a condominium regime for the Village Homes, Courtyard Homes, and the Manor Homes, as described on the Condominium Plan to be recorded in accordance with all applicable laws; and (iii) discloses to the Owners of the Units the requirement set forth in Section 1.3 below that the Owners pay to the City a transfer payment upon the sale, transfer, or conveyance of their Unit (the "Developer CC&Rs"). The Developer CC&Rs shall provide that the City is a third party beneficiary thereof with the right, but not the obligation, to enforce the terms thereof which are set forth in this Section 1.2, and shall require the written approval of the City prior to any amendments thereto to the provisions thereof which are set forth in this Section 1.2. If the California Department of Real Estate ("DRE") refuses to approve the Developer CC&Rs in the form approved by the City, and the Developer has used all reasonable efforts to obtain the approval, the City and the Developer shall negotiate in good faith to develop equivalent protection of the City's interests in this Declaration. Such equivalent protections shall be subject 982/015610-0096 _ 799454 09 a05/12/08 -2 to the approval of both the City and the Developer. Agreement upon the equivalent protection shall be necessary in order for the issuance of any certificates of occupancy for the Units. 1.3 Transfer Payment Due on Sale of Unit. Each Owner of a Unit shall be required to pay to the City, prior to such Owner's grant, assignment, transfer, or conveyance to, or vesting in, a purchaser or purchasers, or any other person or persons, by such purchaser or purchaser's direction, of the Owner's Unit, or any interest therein, when the consideration or value of the Unit or interest conveyed (exclusive of the value of any lien or encumbrance remaining thereon at the time of sale) exceeds One Hundred Dollars ($100), a payment (each such payment a "Transfer Payment") in the amount of 0.55 of one percent (.55%) of the total consideration received by the Owner for the Unit or interest therein, with the amount of such consideration verified by the City. At the time the Owner submits the applicable Transfer Payment to the City, the Owner shall include therewith a copy of the Final HUD Settlement Statement prepared by the escrow officer handling the closing for such Unit, if such grant, transfer, assignment, or conveyance is handled through an escrow, or such other similar documentation in the event the grant, transfer, assignment, or conveyance is not being handled through an escrow, for purposes of City's verification of the required Transfer Payment amount. Said escrow officer is hereby instructed, and the Owner shall further provide instruction to him or her, to pay to the City the applicable Transfer Payment out the consideration paid or to be paid to the Owner for the Unit or interest therein, concurrently with the payment of property taxes and assessments owed on the Unit and prior to the grant, transfer, assignment or conveyance. Developer, on behalf of itself and its successors and assigns, including, without limitation, the Owners of the Units, acknowledges and agrees that the parties intend that an obligation to pay a Transfer Fee arises in any instance in which there is an obligation to pay documentary transfer tax, as set forth in Revenue and Taxation Code Section 11901 et seq (the "Documentary Transfer Tax Law"), as the Documentary Transfer Tax Law exists as of the "Effective Date" (as that tern is defined in Section 2 below). A copy of the current Documentary Transfer Tax Law is attached hereto and incorporated herein as Exhibit "C". For example, if an Owner sells his or her Unit for a sales price of $500,000, the Owner shall pay to the City a Transfer Payment in the amount of $2,750. The City and Developer shall record, concurrently with the recordation hereof, an instrument titled "Payment of Transfer Fee Required," the form of which is attached hereto and incorporated herein as Exhibit "D". Each grant deed pursuant to which Developer shall transfer a Unit to a third party purchaser shall make reference to this Section 1.3 and shall recite the terms hereof. 2. Term. This Declaration shall become effective on the date on which it is recorded with the Riverside County Recorder's Office (the "Effective Date") and shall continue in full force until the earlier to occur of (i) the date on which the City permanently revokes the certificate of occupancy for one or more Units or for the Project; provided, however, that in such event this Declaration shall cease to be effective only as to the Unit(s) or portions of the Project for which the certificate of occupancy has been revoked, and all other Units and portions of the Project shall continue to remain subject to this Declaration; or (ii) termination of this Declaration by written agreement of Developer (or its successor or assign, as applicable) and the City. .1 882/015610-0096 1 1 799454 09 a05/12/08 _3 3. Covenants Running With the Land. Developer declares that the Property and all of the Units shall be held, conveyed, hypothecated, encumbered, leased, rented, used, and occupied subject to the provisions of this Declaration, all of which are declared to be in furtherance of and for the benefit of the Units and to comply with the Conditions of Approval. Pursuant to applicable law, including, but not limited to, Section 1462, 1465 and 1468 of the Civil Code of the State of California, all provisions of this Declaration (i) are hereby imposed as equitable servitudes on each of the Units for the benefit of Developer and Developer's successors and assigns and the City, and (ii) shall run with the land and be binding upon and inure to the benefit of the Benefited Public Property and each of the Units and each and every portion thereof or interest therein, and all parties having or acquiring any right, title, or interest in the Units or any portion thereof, and their successors and assigns. 4. Assessment Appeals. Developer agrees on behalf of itself, and on behalf of all persons or entities that may own an interest in the Property or in the Units in the future, that during the term of this Declaration no action shall be taken to challenge, cancel, reduce, or otherwise negate the Transfer Payments required to be made to the City pursuant to the terms of this Declaration. 5. Default Remedies; Dispute Resolution. 5.1 Notice of Default. In the event of failure by Developer, the Association, or the Owners of Units to perform any material term or provision of this Declaration, the City shall have those rights and remedies provided herein, provided that the City has first provided to the defaulting party a written notice of default in the manner required by Section 7.1 hereof identifying with specificity the nature of the alleged default and the manner in which said default may satisfactorily be cured. 5.2 Cure of Default. Upon the receipt of the notice of default, the defaulting party shall promptly commence to cure, correct, or remedy the identified default at the earliest reasonable time after receipt of the notice of default and shall complete the cure, correction or remedy of such default not later than five (5) business days [or thirty (30) days for non -monetary defaults] after receipt of the notice of default, or, for such non -monetary defaults that cannot reasonably be cured, corrected or remedied within thirty (30) days, the defaulting party shall commence to cure, correct, or remedy such default within such thirty (30) day period, and shall continuously and diligently prosecute such cure, correction or remedy to completion. 5.3 City Remedies. In the event of an uncured default by Developer, its successors in interest, the Association, or the Owners of the Units of the terms of this Declaration, the City, at its option, may institute legal action in law or in equity to cure, correct, or remedy such default, enjoin any threatened or attempted violation, or enforce the terms of this Declaration. 6. Miscellaneous. 6.1 Notices. Any notices, demands or other communications required or permitted to be given by any provision of this Declaration or which any party may desire to give the other shall be given in writing, delivered personally or sent by certified mail, postage prepaid, Ino 982/015610-0096 799454 09 a05/12/08 facsimile, or by a reputable delivery service which provides a receipt with the time and date of delivery, addressed to a party, at the addresses set forth below, or to such other address as said party may hereafter or from time to time designate by written notice to the other party. To Agency: La Quinta Redevelopment Agency 78-495 Calle Tampico La Quinta, California 92253 Phone No.: 760-777-7100 Facsimile No.: 760-777-7101 Attention: Assistant Executive Director With a copy to: Rutan & Tucker, LLP 611 Anton, Suite 1400 P.O. Box 1950 Costa Mesa, California 92628 Phone No.: 714-641-5100 Facsimile No.: 714-546-9035 Attention: M. Katherine Jenson, Esq. To Developer: Crown Pointe Partners, LLC 8905 SW Nimbus Avenue, Suite 400 Beaverton, OR 97008 Phone No.: (503) 670-9300 Facsimile No.: (503) 670-9400 Attention: Louis Swart With a copy to: Stowell, Zeilenga, Ruth, Vaughn & Treiger LLP 2815 Townsgate Road, Suite 330 Westlake Village, CA 91361 Phone No.: (805) 446-1496 Facsimile No.: (805) 446-1490 Attention: James D. Vaughn, Esq. Notice given by United States Postal Service or delivery service as provided herein shall be considered given on the earlier of the date on which said notice is actually received by the party to whom such notice is addressed, or as of the date of delivery, whether accepted or refused, established by the United States Postal Service return receipt or such overnight carrier's receipt of delivery, as the case may be. Any such notice not so given shall be deemed given upon receipt of the same by the party to which it is addressed. 6.2 Force Maicure. In addition to specific provisions of this Declaration, performance by either party hereunder shall not be deemed to be in default where delays or failures to perform are due to war, insurrection, strikes, walk -outs, riots, floods, earthquakes, fires, casualties, acts of God, acts of the public enemy, terrorism, epidemics, quarantine restrictions, freight embargoes, governmental restrictions imposed or mandated by other governmental entities, governmental restrictions or priority, unusually severe weather, inability to secure labor, materials, or tools necessary for the Project, delays of any contractor, 892/015610-0096 799454 09 a05112108 -5 subcontractor or supplier; acts of another party, acts or the failure to act of any public or governmental agency or entity (except that acts or the failure to act of the City or the Agency shall not excuse performance by the City) or any other causes beyond the control or without the fault of the party claiming an extension of time to perform. An extension of time for any such cause shall only be for the period of the enforced delay, which period shall commence to run from the time of the commencement of the cause, if notice by the party claiming such extension is sent to the other party within thirty (30) days of the commencement of the cause. Times of performance under this Declaration may also be extended in writing by the City and the Developer. Notwithstanding the paragraph above, Developer is not entitled pursuant to this Section 7.2 to an extension of time to perform because of past, present, or future difficulty in obtaining suitable construction or permanent financing for the development or operation of the Project, or because of economic or market conditions. 6.3 Books and Records. Upon not less than forty-eight (48) hours written notice to Developer (or its successor or assigns), Developer shall make available to City for inspection and copying the books and records of Developer pertaining to the Project which are relevant to an audit by the City of Developer or its successor in interest's compliance with the terms of this Declaration. 6.4 Developer's Limitation on Damages. Developer covenants on behalf of itself and its successors and assigns, including the Owners of the Units, not to sue the City for damages or monetary relief for any claim arising out of or connected with any dispute, controversy, or issue between Developer and City regarding this Declaration or any of the matters referred to herein including but not limited to any of the payments required to be made hereunder. 6.5 Mortgagee Protection. No portion of this Declaration or any amendment or violation hereof shall operate to defeat or render invalid, in whole or in part, the rights of the beneficiary, insurer, guarantor, or holder of any mortgage or deed of trust encumbering any portion of the Property; provided that, after foreclosure of any such mortgage or deed of trust, the property foreclosed shall remain subject to this Declaration. 6.6 Governing Law. This Declaration shall be governed by the internal laws of the State of California, without regard to conflict of law principles. 6.7 Interpretation; Incorporation. This Declaration shall be interpreted to give each of the provisions their plain meaning. The Recitals and the exhibits attached hereto are incorporated into the Declaration. 6.8 Lang_uage Construction. Designations used herein are for convenience only and shall not be controlling in the interpretation of this Declaration. 6.9 Amendment. This Declaration may only be amended pursuant to a written amendment, executed by Developer (or its successor or assign) and City, and recorded in the Office of the Recorder of Riverside County, California. 982/015610-0096 799454 09 a05/12/08 _6 6.10 Counterparts. The parties may execute this Declaration in counterparts. Each counterpart shall be deemed an original instrument as against any party who has signed it. 6.11 Successors and Assigns. All of the terms, covenants and conditions of this Declaration shall be binding upon the Developer and its permitted successors and assigns. Whenever the term "Developer" is used in this Declaration, such term shall include any other permitted successors and assigns as herein provided. 6.12 No Waiver. A waiver by either party of a breach of any of the covenants, conditions or agreements under this Declaration to be performed by the other party shall not be construed as a waiver of any succeeding breach of the same or other covenants, agreements, restrictions or conditions of this Declaration. 6,13 Severability. If any term, provision, condition or covenant of this Declaration or its application to any party or circumstances shall be held, to any extent, invalid or unenforceable, the remainder of this Declaration, or the application of the term, provision, condition or covenant to persons or circumstances other than those as to whom or which it is held invalid or unenforceable, shall not be affected, and shall be valid and enforceable to the fullest extent permitted by law. 6.14 Time of Essence. Time is expressly made of the essence with respect to the performance by the City and the Developer 6f each and every obligation and condition of this Declaration. 6.15 Non Liability of Officials and Employees of the City. No member, official or employee of the City shall be personally liable to the Developer, or any successor in interest, in the event of any default or breach by the City or for any amount which may become due to the Developer or its successors, or on any obligations under the terms of this Declaration. 6.16 Attorneys' Fees. In any action between the parties to interpret, enforce, reform, modify, rescind, or otherwise in connection with any of the terms or provisions of this Declaration, the prevailing party in the action shall be entitled, in addition to damages, injunctive relief, or any other relief to which it might be entitled, reasonable costs and expenses including, without limitation, litigation costs, reasonable attorneys' fees and expert witness fees. [signatures on next page] 882/015610-0096 _7_ 799454 09 a05/UM IN WITNESS WHEREOF, City and Developer have executed this Declaration as of the date written above. ATTEST: City Clerk APPROVED AS TO FORM RUTAN & TUCKER, LLP City Attorney "CITY" CITY OF LA QUINTA, a California municipal corporation A City Manager "DEVELOPER" a By: Its: 8821015610-0096 1 L 799454 09 a05/12/08 -$ State of California ) County of ) On , before me, Notary Public, (here insert name and title of the officer) personally appeared who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument, and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature State of California County of On before me, (seal) Notary Public, (here insert name and title of the officer) personally appeared who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument, and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature (seal) 882/015610-0096 799454 09 a05112/08 EXHIBIT A TO CITY DECLARATION OF CC&RS LEGAL DESCRIPTION OF PROPERTY PARCEL A: PARCEL 2 OF LOT LINE ADJUSTMENT NO. 204-411 RECORDED OCTOBER 8, 2004 AS INSTRUMENT NO. 2004-0803272 MORE PARTICULARLY DESCRIBED AS THAT PORTION OF LOT 1 OF TRACT NO. 29421 AS SHOWN BY MAP ON FILE IN BOOK 297, AT PAGES 54 THROUGH 57, INCLUSIVE OF MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA; TOGETHER WITH THAT PORTION OF PARCEL 7 OF PARCEL MAP NO. 20426, AS SHOWN BY MAP ON FILE IN BOOK 129, AT PAGES 49 THROUGH 55, INCLUSIVE OF PARCEL MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA; AS ADJUSTED BY LOT LINE ADJUSTMENT NO. 97-244, RECORDED JUNE 5, 1997 AS INSTRUMENT NO. 199050 AND 199051, OFFICIAL RECORDS OF RIVERSIDE COUNTY, CALIFORNIA, DESCRIBED AS FOLLOWS: BEGINNING AT THE NORTHWESTERLY CORNER OF SAID LOT 1; THENCE EASTERLY ALONG THE NORTHERLY LINE OF SAID LOT 1, NORTH 89.30' 11" EAST, 272.69 FEET TO THE EASTERLY TERMINUS OF SAID NORTHERLY LINE OF LOT 1; THENCE LEAVING SAID NORTHERLY LINE OF LOT 1, SOUTH 40°40'11" EAST, 192.39 FEET; THENCE SOUTH 36°16'42" EAST, 201.26 FEET; THENCE SOUTH 53°20' 16" EAST, 232.15 FEET; THENCE NORTH 87°56'22" EAST, 193.32 FEET; THENCE NORTH 85°54'55" EAST, 305.51 FEET; THENCE SOUTH 76°33'32" EAST, 155.87 FEET; THENCE SOUTH 45°08'33" EAST, 221.84 FEET; THENCE SOUTH 51°13'44" EAST, 112.98 FEET; THENCE SOUTH 54°28'39" EAST, 110.02 FEET; THENCE SOUTH 44°42'29" EAST, 102.05 FEET; THENCE SOUTH 01°38'20" WEST, 37.58 FEET; THENCE SOUTH 45°00'00" WEST, 209.79 FEET; THENCE SOUTH 04°59'49" WEST, 201.91 FEET; THENCE SOUTH 39°23'09" EAST, 81.63 FEET TO A POINT ON A SOUTHEASTERLY LINE OF SAID LOT 1, SAID POINT BEING ON A CURVE CONCAVE SOUTHEASTERLY, HAVING A RADIUS OF 81.00 FEET, A RADIAL LINE THROUGH SAID POINT BEARS SOUTH 26032'46" EAST; THENCE SOUTHWESTERLY ALONG SAID SOUTHEASTERLY LINE OF LOT 1 AND SAID CURVE THROUGH A CENTRAL ANGLE OF 57-08'46", AN ARC DISTANCE OF 80.79 FEET TO THE BEGINNING OF A TANGENT REVERSE CURVE CONCAVE NORTHWESTERLY, HAVING A RADIUS OF 63.00 FEET, A RADIAL LINE THROUGH SAID POINT OF TANGENT REVERSE CURVE BEARS NORTH 83041'32" WEST; THENCE SOUTHWESTERLY ALONG SAID TANGENT REVERSE CURVE THROUGH A CENTRAL ANGLE OF 43045'42", AN ARC DISTANCE OF 48.12 FEET; THENCE SOUTHWESTERLY ALONG SAID SOUTHEASTERLY LINE OF LOT 1, SOUTH 50°04'10" WEST, 304.18 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE NORTHWESTERLY, HAVING A RADIUS OF 502.00 FEET; THENCE WESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 30-13,14", AN ARC DISTANCE OF 264.78 FEET TO THE BEGINNING OF A TANGENT COMPOUND CURVE CONCAVE NORTHERLY, HAVING A RADIUS OF 1445.00 FEET, A RADIAL LINE THROUGH SAID POINT OF TANGENT COMPOUND CURVE BEARS SOUTH 09042'36" EAST; THENCE WESTERLY ALONG SAID TANGENT COMPOUND CURVE THROUGH A CENTRAL ANGLE OF 19056'47", AN ARC DISTANCE OF 503.05 FEET; THENCE NORTHERLY LEAVING SAID CURVE, NORTH 10014' 10" EAST, 5.00 FEET TO THE BEGINNING OF A CURVE CONCAVE TO THE NORTH, HAVING A RADIUS OF 1440.00 FEET, A RADIAL LINE THROUGH SAID POINT BEARS SOUTH 10014'10" WEST; THENCE WESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 06026'37", AN ARC DISTANCE OF 161.95 FEET TO THE BEGINNING OF A TANGENT COMPOUND CURVE CONCAVE NORTHEASTERLY, HAVING A RADIUS OF 285.00 FEET, A RADIAL LINE THROUGH SAID POINT BEARS SOUTH 16°40'48" WEST, THE PRECEDING 4 COURSES BEING ON THE SOUTHERLY LINE OF SAID LOT l; THENCE 882/015610-0096 EXHIBIT A 126 799454 09 a05/12/08 WESTERLY AND NORTHERLY ALONG SAID TANGENT COMPOUND CURVE THROUGH A CENTRAL ANGLE OF 73019'01", AN ARC DISTANCE OF 364.69 FEET; THENCE NORTH 0000011" WEST, 478.78 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE SOUTHWESTERLY, HAVING A RADIUS OF 385.00 FEET; THENCE NORTHERLY ALONG SAID TANGENT CURVE THROUGH A CENTRAL ANGLE OF 49°14'43", AN ARC DISTANCE OF 330.90 FEET; THENCE LEAVING SAID TANGENT CURVE NORTH 40°45'07" EAST, 5.00 FEET TO THE BEGINNING OF A CURVE CONCAVE NORTHEASTERLY, HAVING A RADIUS OF 260.00 FEET, A RADIAL LINE THROUGH SAID POINT BEARS SOUTH 40°45'07" WEST; THENCE NORTHERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 45°28'01", AN ARC DISTANCE OF 206.32 FEET; THENCE NORTH 03°46'53" WEST, 404.79 FEET TO THE POINT OF BEGINNING, THE PRECEDING 6 COURSES BEING ON THE WESTERLY LINE OF SAID LOT 1. PARCEL B: LOT K OF TRACT MAP NO. TRACT NO. 29421 AS SHOWN BY MAP ON FILE IN BOOK 297, AT PAGES 54 THROUGH 57, INCLUSIVE OF MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA; and PARCEL C: TOGETHER WITH THE RIGHT TO GRANT AND TRANSFER SAME, NONEXCLUSIVE EASEMENTS FOR PEDESTRIAN AND VEHICULAR (INCLUDING CONSTRUCTION VEHICLES) INGRESS AND EGRESS, OVER AND ACROSS THE REAL PROPERTY DESCRIBED ON EXHIBIT `B" ATTACHED HERETO AND INCORPORATED HEREIN BY THIS REFERENCE (THE "ACCESS STREETS"). '•�- 1L 1 882/015610-0096 EXHIBIT A 799454 09.05/12/08 EXHIBIT B TO CITY DECLARATION OF CC&RS LEGAL DESCRIPTION OF BENEFITED PUBLIC PROPERTY [see following documents] 799454 09 a05/12/08 882/015610-0096 EXHIBIT B i CIVIC CENTER CAMPUS DESCRIPTION The land referred to in this report is situated in the County of Riverside, State of California, and is described as follows: PARCEL 1: That portion of the Northeast quarter of the Southwest quarter of Section 6, Township, 6 South, Range 7 East, San Bernardino Meridian, in the County of Riverside, State of California, according to the official plat thereof, described as follows: Beginning at a point on the North line of said Northeast quarter of the Southwest quarter which bears South 89047'20" West, 966.90 feet from the centerline of said Section 6; thence South 00012130/1 East, 632.10 feet parallel with the West line of said Northeast quarter of the Southwest quarter to the North line of Lot "H" being also the North line of Avenida La Fonda, as shown on the map of the Desert Club Tract No. 2, recorded in Book 20 Page 6 of Maps, in the Officie of the County Recorder of said County; thence South 89045130/1 West, 230.00 feet on the North line of said Lot "H"; thence North 72053130/1 West, 74.59 feet on the North line of said Lot "H"; thence on a curve concave to the Southwest on the Nor�herly line of said Lot "H" having a radius of 197.50 feet through an angle of 17 16'00", 59.52 feet to the West line of said Northeast quarter of the Southwest quarter of Section 6; thence.North 00012130/1 West, 601.30 feet on the West line of said Northeast quater of the Southwest quarter of Section 6 to the Northwest corner of said Northwest quarter of the Southwest quarter of Section 6; thence North 89047120" East, 360.00 feet on the North line of said Northeast quarter of the Southwest quarter of Section 6, to the point of beginning. EXCEPT the North 30.00 feet. PARCEL 2: That portion of the Northeast quarter of the Southwest quarter of Section 6, Township 6 South, Range 7 East, San Bernardino Meridian, in the County of Riverside, State of California, according to the official plat thereof, described as follows: 882/015610-0096 EXHIBIT B i 799454 09 a05/12/08 Beginning at a point on the North line of said Northeast quarter of the Southwest quarter which bears South 89047'20" West, 706.90 feet from the center of said Section 6; thence South 0002213011 East, 631.96 feet parallel with the West line of the said Northeast quarter of the Southwest quarter to the North line of Lot "H" being also the North line of Avenida La Fonda, as shown on a map of The Desert Club Tract No. 2, recorded in Book 20, Page 6 of Maps, in the Office of the County Recorder of said County; thence South 89045130/1 West 260.00 feet on the North line of said Lot "H"; thence North 00012130" West, 632.10 feet parallel with the West line of said Northeast quarter of the Southwest quarter of the North line of said Northeast quarter of the Southwest quarter; thence North 89047120/1 East, 260.00 feet on the North line of the said Northeast quarter of the Southwest quarter of Section 6, to the point of beginning. EXCEPT the North 30.00 feet. PARCEL 3: That portion of the Northeast quarter of the Southwest quarter of Section 6, Township 6 South, Range 7 East, San Bernardino Meridian, in the County of Riverside, State of California, according to the official plat thereof, described as follows: Beginning at the center of said Section 6; thence South 00009130" East, 631.58 feet on the quarter section line to the North line of Lot "H", being also the North line of Avenida La Fonda, as shown by map of the Desert Club No. 2, recorded in Book 20, Page 6 of Maps, in the Office of the County Recorder of said County; thence South 89045'30" West, 706.35 feet; thence North 00012130" West, 631.96 feet to the North line of said Northeast corner of the Southwest quarter; thence North 69047,2011 East, 706.90 feet on the North line of said Northeast quarter of the Southwest quarter to the point of beginning. EXCEPT that portion described in deed from John L. Marshall and wife, recorded December 7, 1931 in Book 6, Page 109 of Official Records as as Instrument No. 328. ALSO EXCEPT the North 30.00 feet. 882/015610-0096 EXHIBIT B - 130 799454 09 a05/12108 FIRE STATION The following described real property is situated in the City of La Quinta, County of Riverside, State o' C-1-4fornia. That portion of the northeast one -quarter of Section 16, Township 6 South - Range 7 East, San Bernardino Meridian, in the City of La Quinta, County of Riverside, State of California, described as follows; Commencing at the northeast quarter of Section 16 as shown on a Record of Survey, filed in Book 70, pages 96 through 98 inclusive, of Records of Survey, in the office of the County Recorder., of said County, said point also being the centerline intersection of 54th Avenue and Madison Street; Thence South 89' 03' 03" West along the centerline of 54th Avenue, a distance of 460.00 feet;' Thence South 00" 56' 57" East at right angles to the centerline of 54th Avenue, a distance of 50,.QA feet to a point on the southerly right of way line of 54th Avenue, said point being the point of beginning; Thence North 89° 03' 03" East along the southerly right of way line of 54th Avenue, a distance of 383.96 feet; Thence South 46° 43' 50" East a distance of 32.08 feet to a point on the westerly right of way line of Madison Street, and said point located 55.00 feet from the centerline of Madison Street; Thence South 02° 30' 40" East along the westerly right of way line of Madison Street, a distance of 272.10 feet; Thence West a distance of 12.00 feet to the beginning of a tangent curve, concave south easterly and having a radius of 38.00, through a central angle of 900 00' 0011, an arc distance of 59.69 feet; i Thence West a distance of 80.92'feet, to a point of a curve, concave southwesterly and having a radius of 174.00 feet, through a central angle of 289 29' 5611, an arc distance of 86.55 feet; i Thence North 450 00' 00" west, a distance of 264.41 feet to the beginning of a tangent curve, concave southwesterly and having a raduis of 242.69 feet, through a central angle of 160 51' 26", an arc distance of 71.40 feet; Thence North 00' 56' 57" West, a distance of 22.50 feet to the point of beginning. Consists of 1.954 Acres. 882/015610-0096 EXHIBIT B 799454 09 a05112/08 iJl ADJACENT STREETS: Streets, sidewalks, and all other public improvements contained within the following portions of public right of way: The portion of Avenue 54 located between Jefferson Street and Madison Street; The portion of Madison Street located between Avenue 54 and Avenue 58; The portion of Avenue 58 located between Madison Street and the Jefferson Street alignment. 882/015610-0096 EXHIBIT B i Z 799454 09 a05/12/08 EXHIBIT C TO CITY DECLARATION OF CC&RS DOCUMENTARY TRANSFER TAX LAW [See following document] 882/015610-0096 EXHIBIT C 799454 09 a05/12/08 DOCUMENTARY TRANSFER TAX ACT § 11901. Short title This act is known and may be cited as the "Documentary Transfer Tax Act." (Added by Stals. 1967, c. 1332, p. 3162. § I, operative, Jan. 1, 1968. Amended by Stats.1968, c. 17, p. 160, § 3, elf. April 9, 1968, operative July I, 1968.) § 11902. County defined "County" shall include a city and county. (Formerly § 11903, added by Stats.1967, c. 1332. p. 3162, § 1, operative Jan. 1, 1968. Renumbered § 11902 and amended by Stars. 1968, c. 17, p. 166, § 5, eff. April 9. 1968, operative July 1, 1968.) § 11903. Recorder defined "Recorder" means the recorder of a county. (Formerly § 11904, added by Stats.1967, c. 1332. p. 3162, § I, operative Jan. I. 1968. Renumbered § 11903 and amended by Stals.1968, c. 17. p. 161, § 6, efl. April 9, 1968. operative July 1, 1968.) § 11911. Imposition; Instruments subject to tax; consideration or value of property; rate; credits (a) The board of supervisors of any county or city and county, by an ordinance adopted pursuant to this part, may impose, on each deed, instru- ment, or writing by which any lands, tenements, or other realty sold within the county shall be granted, assigned, transferred, or otherwise conveyed to, or vested in, the purchaser or purchasers, or any other person or persons, by his or their direction, when the consideration or value of the interest or property conveyed (exclusive of the value of any lien or encumbrance remaining thereon at the time of sale) exceeds one hundred dollars ($100) a tax at the rate of fifty- five cents ($0.55) for each five hundred dollars ($500) or fractional part thereof. (b) The legislative body of any city which is within a county which has imposed a tax pursuant to subdivision (a) may, by an ordinance adopted pursuant to this part, impose, on each deed, instrument, or writing by which any lands, tenements, or other realty sold within the city shall be granted, assigned, transferred, or otherwise conveyed to, or vested in, the purchaser or purchasers, or any other person or persons, by his or their direction, when the consideration or value of the interest or property conveyed (exclusive of the value of any lien or encumbrance remaining thereon at the time of sale) exceeds one hundred dollars ($100), a tax at the rate of one-half the amount specified in subdivision (a) for each five hundred dollars ($500) or fractional part thereof. (c) A credit shall be allowed against the tax imposed by a county ordinance pursuant to subdivision (a) for the amount of any tax due to any city by reason of an ordinance adopted pursuant to subdivision (b). No credit shall be allowed against any county tax for a city tax which is not in conformity with this part. (Added by Stats.1967, c. 1332, p. 3162, § I, operative Jan. 1, 1968.) 882/015610-0096 EXHIBIT C i 799454 09.05/12/08 § 11911.1. Tax roll parcel number Any ordinance which imposes the documentary transfer tax may require that each deed, instrument or writing by which lands, tenements, or other realty is sold, granted, assigned, transferred, or otherwise conveyed, shall have noted upon it the tax roll parcel number. The number will be used only for administrative and procedural purposes and will not be proof of title and in the event of any conflicts, the stated legal description noted upon the document shall govern. The validity of such a document shall not be affected by the fact that such parcel number is erroneous or omitted, and there shall be no liability attaching to any person for an error in such number or for omission of such number. (Added by Stats.1971, c. 102, p. 132, § 4, eff. May 25. 1971.) § 11912. Persons required to pay tax Any tax imposed pursuant to Section 11911 shall be paid by any person who makes, signs or issues any document or instrument subject to the tax, or for whose use or benefit the same is made, signed or issued. (Added by Stars.1967, c. 1332. p. 3162, § 1, operative Jan. 1, 1968.) § 11913. Mobilehome installed on a foundation system The transfer of any mobilehome installed on a foundation system, pursuant to Section 18551 of the Health and Safety Code, and subject to local property taxation shall be subject to this part. (Added by Stats.1979, c. 1160, p. 4360. § 11.) § 11921. Instrument securing debt Any tax imposed pursuant to this part shall not apply to any instrument in writing given to secure a debt. (Added by Stats.1967, c. 1332, p. 3162, § I, operative Jan. 1, 1968.) § 11922. Instruments of United States, state, territory or political subdivi- sion, etc. Any deed, instrument or writing to which the United States or any agency or instrumentality thereof, any state or territory, or political subdivision thereof, is a party shall be exempt from any tax imposed pursuant to this part when the exempt agency is acquiring title. (Added by Stats.1967, c. 1332, p. 3162, § 1, operative Jan. I, 1968. Amended by Stuls.1969, c. 1102, § 1; Stats.1969, c. 1108, § L) I rt r 882/015610-0096 EXHIBIT C 10 799454 09 a05/12/08 4 119a Conveyances under reorganization or adjustment plane Any tax imposed pursuant to this part, shall not apply to the making, delivering, or filing of conveyances to make effective any plan of reorganization or adjustment • • •that ka any of the fo8owk4, (1) Confirmed under the Federal Bankruptcy Act r, as amended. (2) Approved in an equity receivership proceeding in a court involving a railroad corporation, as defined in . • ' Section 101 of Iltle 11 of the United States Code, ae amended_ M Approved in an equity receivership proceeding in a court involving a corporation, as defined in • • • Section lot of'ntle 11 of the United States Code, as amended • • •_ (4) Whereby a mere change in identity, forma or place of organisation Is effected. (b) Subdivision (a) • • • shall only apply if the making, delivery, or filing of Instruments of transfer or comeyancen occurs within five years from the date of the confirmation, approval, or change. (Added by Stats.1967, c. 1332, p. 31M 4 1, operative Jan. 1, 1968. Amended by Stats.2006, c. W8 (S.B.1852), 4 620.) § 11924. Conveyances under order of securities and exchange commission Any tax imposed pursuant to this part shall not apply to the making or delivery of conveyances to make effective any order of the Securities and Exchange Commission, as defined in subdivision (a) of Section 1083 of the Internal Revenue Code of 1954;' but only if — (a) The order of the Securities and Exchange Commission in obedience to which such conveyance is made recites that such conveyance is necessary or appropriate to effectuate the provisions of Section 79k of Title 15 of the United States Code, relating to the Public Utility Holding Company Act of 1935; r (b) Such order specifies the property which is ordered to be conveyed; (c) Such conveyance is made in obedience to such order. (Added by Slats.1967, c. 1332. p. 3162, § I, operative Jan. 1, 1968.) I LIM Transfer of certain partnership property (a) In the case of arty realty held by a partnership or other emit treated ae a Partnershipfor federal income tax purposes, no levy shall be imposed pursuant to this part y reason of any transfer of an interest in the partnership or other entity or otherwise, if • •both of the following occur. (1) The partnership ' • ' or other emit treda a partnership • • • is considered a continuing partners within the meaning o7S�iction TOB of the Internal Revenue Code of • • • 1986. t (2) The continuing partnership or other entity treated as a partnership continue; to hold the realty concemQ. (b) If there is a termination of any partnership or other entity treated as a partnership for federal income tax purposes, within the meaning of Section IN of the internal Revenue Code of 1986, for purposes of this part, the partnership or other entlt shall be treated as having executed an instrument whereby there was conveyed, for fay m et value (exclusive of the value of any lien or encumbrance remaining thereon), all realty held by the partnership or other entity at the time of the termination. (c) Not more than one tax shall be imposed pursuant to this part by a county, city and county or city by reason of a termination described in subdivision (b), and any transfer pursuant thereto, with respect to the realty held by • • • a partnership or other entity treated as a partnership at the time of the termination. (Added by 3tats.1967, a 1382, p. 3162, t 1, operative Jan. 1, 1968. Amended by Stats.1999, c. 76 (A.B.1428), 4 1.) 892/015610-0096 EXHIBIT C 799454 09 .05/12/08 § 11926. Inapplicability to deed instrument or writing to beneficiary or mortgagee taken in lieu of foreclosure; exception; notations required on deed, etc., affidavit Any tax imposed pursuant to this part shall not apply with respect to any deed, instrument, or writing to a beneficiary or mortgagee, which is taken from the mortgagor or trustor as a result of or in lieu of foreclosure; provided, that such tax shall apply to the extent that the consideration exceeds the unpaid debt, including accrued interest and cost of foreclosure. Consideration, unpaid debt amount and identification of grantee as beneficiary or mortgagee shall be noted on said deed, instrument or writing or stated in an affidavit or declara- tion under penalty of perjury for tax purposes. (Added by Slats. 1971, c. 417, p. 804. § I. Amended by Slats.1973, c. 645, p. 1188, § 1; Slats.1974, c. 413, p. 1003. § 1.) § 11927. Deed, instrument or other writing which purports to transfer, divide or allocate property assets between spouses under judg- ment of dissolution of marriage, separation or agreement In contemplation of judgment or order (a) Any tax imposed pursuant to this pan shall not apply with respect to any deed, instrument, or other writing which purports to transfer, divide, or allocate community, quasi -community, or quasi -marital property assets be- tween spouses for the purpose of effecting a division of community, quasi - community, or quasi -marital property which is required by a judgment decree- ing a dissolution of the marriage or legal separation, by a judgment of nullity, or by any other judgment or order rendered pursuant to the Family Code, or by a written agreement between the spouses, executed in contemplation of any such judgment or order, whether or not the written agreement is incorporated as part of any of those judgments or orders. (b) In order to qualify for the exemption provided in subdivision (a), the deed, instrument, or other writing shall include a written recital, signed b}, either spouse, stating that the deed, instrument, or other writing is entitled to the exemption. (Added by Stats.1981, c. 985. p. 3821, § 1. Amended by Stats.1992, c. 163 (A B 2641), § 133, operative Jan. 1, 1994.) § 11928. Deed, instrument or other writing for conveyance of realty by state or political subdivision or agency with agreement for purchaser to reconvey Any tax imposed pursuant to this part shall not apply with respect to any deed, instrument, or other writing by which realty is conveyed by the State of California, any political subdivision thereof, or agency or instrumentality of either thereof, pursuant to an agreement whereby the purchaser agrees to immediately reconvey the realty to the exempt agency. (Added by Stats.1987, c. 301. § 1.) n 882/015610-0096 EXHIBIT C ' - 1 799454 09 a05/UM § 11929. Deed, instrument, or other writing for conveyance by state, politi- cal subdivision or agency of realty financed by obligations issued by nonprofit corporation Any tax imposed pursuant to this part shall not apply with respect to any deed, instrument, or other writing by which the State of California, any political subdivision thereof, or agency or instrumentality of either thereof, conveys to a nonprofit corporation realty the acquisition, construction, or improvement of which was financed or refinanced by obligations issued by the nonprofit corporation on behalf of a governmental unit, within the meaning of Section 1.103—I(b) of Title 26 of the Code of Federal Regulations. (Added by Slats.1987. c. 301. § 2.) 1 11930. later viva g1M or death, transactions for lands, tenements, or realty, or interests therein Any tax imposed pursuant to this part shall not apply to any deed, instrument, or other writing which purports to grant, assign, transfer, convey, divide, allocate, or vest lands, tenements, or realty, or any interest therein, if by reason of such inter vivas gilt or by reason of the death of any person, such Isnds, tenements, realty, or interests therein are transferred outright to, or in trust for the benefit of any person,or entity. (Added by Stats.1996, c. ✓ 0 (A.B2761), 1 48.) § 11931. Credit against county tax If the legislative body of any city imposes a tax pursuant to subdivision (b) of Section I1911 equal to one-half the amount specified in subdivision (a) of Section 11911, the county in which such city is located shall grant a credit against the county tax in the amount of the city tax if the city's tax conforms to this part. The county shall collect all taxes imposed pursuant to this part and the county auditor shall allocate the proceeds as follows: (1) All money which relates to transfers of real property located in unincor- porated areas of the county or in a city and county shall be allocated to the county or city and county, as the case may be. (2) All money which relates to transfers of real property located in a city which imposes a tax on transfers of real property pursuant to this part shall be allocated one-half to such city and one-half to the county. (3) All money which relates to transfers of real property located in a city which imposes a tax on transfers of real property not in conformity with this part shall not be credited against the county tax and the entire amount collected by the county shall be allocated entirely to the county. (4) All money which relates to transfers of real property in a city which does not impose a tax on transfers of real property shall be allocated entirely to the county. (Formerly § 11932. added by Stats.1967, c. 1332, p. 3162, § 1, operative Jan. 1, 1968. Renumbered § 11931 and amended by Slats. 1968, c. 17, p. 161, § 8, eff. April 9, 1968, operative July 1, 1968.) 8821015610-0096 EXHIBIT C 13 799454 09 a05/12108 , § 11932. submission of documents subject to tax for recordation; facts to be shown If a county has imposed a tax pursuant to this part, every document subject to tax which is submitted for recordation shall show on the face of the document the amount of tax due and the incorporated or unincorporated location of the lands, tenements or other realty described in the document. If the party submitting the document for recordation so requests, the amount of tax due shall be shown on a separate paper which shall be affixed to the document by the recorder after the permanent record is made and before the original is returned as specified in Section 27321 of the Government Code. (Added by Stats.1968, e. 17, p. 161, § 9, eff. April 9, 1968, operative July 1, 1968.) § 11933. Payment of tax as prerequisite to recording If a county has imposed a tax pursuant to this part, the recorder shall not record any deed, instrument or writing subject to the tax imposed pursuant to this part, unless the tax is paid at the time of recording. A declaration of the amount of tax due, signed by the party determining the tax or his agent, shall appear on the face of the document or on a separate paper in compliance with Section 11932, and the recorder may rely thereon; provided he has no reason to believe that the full amount of the tax due has not been paid. The declaration shall include a statement that the consideration or value on which the tax due was computed was, or that it was not, exclusive of the value of a lien or encumbrance remaining on the interest or property conveyed at the time of sale. Failure to collect the tax due shall not affect the constructive notice otherwise imparted by recording a deed, instrument or writing. (Added by Stats.1968, c. 17, p. 161, § 11. eff. April 9, 1968, operative July 1, 1968. Amended by Stats.1969, c. 1102, § 2.) § 11934. Claims for refunds; law governing Claims for refunds of taxes imposed pursuant to this part shall be governed by the provisions of Chapter 5 (commencing with Section 5096) of Part 9 of Division I of this code. formerly § 11935, added by Stats.1967, c. 1332, p. 3165, § I, operative, Jan. 1, 1968. Renumbered § 11934 and amended by Stats.1968, c. 17, p. 162, § 13. eff. April 9, 1968. operatic July 1, 1968.) 882/015610-0096 EXHIBIT C i J 799454 09 a05/12/08 EXHIBIT D TO CITY DECLARATION OF CC&RS FORM OF PAYMENT OF TRANSFER FEE REQUIRED [See following document] '82/015610-0096 EXHIBIT D 0 14 0 799454 09 a05/12/08 RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: City of La Quinta 78-495 Calle Tampico La Quinta, CA 92253 Attn-. City Manager (Space Above This Line for Recorder's Office Use Only) (Exempt from Recording Fee per Gov. Code § 27383) PAYMENT OF TRANSFER FEE REQUIRED Important notice to owners, purchasers, tenants, lenders, brokers, escrow and title companies, and other persons: A document imposing a requirement to pay a transfer payment (a "Transfer Payment") has been recorded with respect to the property described below (referred to in this instrument as the "Property"). Current Owner of Property Subject to CC&Rs: Crown Pointe Partners, LLC, an Oregon Limited liability company (the "Developer"). Title of Document Containing Transfer Payment Obligations: Declaration of Covenants, Conditions, and Restrictions (hereafter, "CC&Rs"), entered into by and between the City of La Quinta, a California municipal corporation and charter city organized and existing under the Constitution of the State of California ("City"), and Developer. The CC&Rs are recorded concurrently with this instrument, in the official records of Riverside County. The CC&Rs contemplate that the Developer will develop the Property into a resort containing 264 units (each, a "Unit"), and that each of the Units will be sold to individual third party purchasers (each, an "Owner"). Legal Description of Property: See Exhibit "A" attached hereto and incorporated herein by this reference. Assessor's Parcel Number of Property: 775-220-021. Amount of Transfer Payment: The Transfer Payment amount is .55 of one percent (.55%) of the Owner's actual sales price for his or her -Unit, with the 882/015610-0096 799454 09 a05/UM 141 amount of such sales price verified by the City. For example, if the sales price is $250,000, then the Transfer Payment will be $1,375; if the sales price is $500,000, then the Transfer Payment will be $2,750; and if the sales price is $700,000, then the Transfer Payment will be $3,850. Date Transfer Payment Requirement Expires: The Transfer Payment requirement has no expiration date and runs with the land, in perpetuity. Purpose of Transfer Payment and Entity to which Payment is Paid: The purpose of the Transfer Payment is to compensate the City for loss of "Transient Occupancy Tax" (as that term is defined in Chapter 3.24 of the La Quinta Municipal Code resulting from development of the Property as a resort and not a traditional hotel. All Transfer Payments are to be paid to the City, and sent to: City of La Quinta 78-495 Calle Tampico La Quinta, CA 92253 Attn: Finance Director This instrument does not contain a full description of the details of all of the terms and conditions of the CC&Rs. You are hereby notified to read the CC&Rs to fully understand the Transfer Payment requirements which apply to the Property, and the individual Units to be developed thereon. This instrument is being recorded and filed in compliance with Civil Code Section 1098.5. [End — Signature page follows] 882/015610-0096 _2- 79945409a05/12/08 ' 14 2 "CITY" CITY OF LA QUINTA, a California municipal corporation City Manager ATTEST: City Clerk APPROVED AS TO FORM RUTAN & TUCKER, LLP City Attorney 882/015610-0096 _ q q 799454 09 a05/12/08 _3 1 4 3 STATE OF CALIFORNIA ) ss. COUNTY OF ) On before me,. Notary Public, personally appeared proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s) or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. Witness my hand and official seal. Notary Public [SEAL] 882/015610-0096 _ 799454 09 a05/12/08 _4 i44 EXHIBIT "A" LEGAL DESCRIPTION OF PROPERTY PARCEL A: PARCEL 2 OF LOT LINE ADJUSTMENT NO. 204-411 RECORDED OCTOBER 8, 2004 AS INSTRUMENT NO. 2004-0803272 MORE PARTICULARLY DESCRIBED AS THAT PORTION OF LOT 1 OF TRACT NO. 29421 AS SHOWN BY MAP ON FILE IN BOOK 297, AT PAGES 54 THROUGH 57, INCLUSIVE OF MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA; TOGETHER WITH THAT PORTION OF PARCEL 7 OF PARCEL MAP NO. 20426, AS SHOWN BY MAP ON FILE IN BOOK 129, AT PAGES 49 THROUGH 55, INCLUSIVE OF PARCEL MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA; AS ADJUSTED BY LOT LINE ADJUSTMENT NO. 97-244, RECORDED JUNE 5, 1997 AS INSTRUMENT NO. 199050 AND 199051, OFFICIAL RECORDS OF RIVERSIDE COUNTY, CALIFORNIA, DESCRIBED AS FOLLOWS: BEGINNING AT THE NORTHWESTERLY CORNER OF SAID LOT 1; THENCE EASTERLY ALONG THE NORTHERLY LINE OF SAID LOT 1, NORTH 89.30' 11" EAST, 272.69 FEET TO THE EASTERLY TERMINUS OF SAID NORTHERLY LINE OF LOT 1; THENCE LEAVING SAID NORTHERLY LINE OF LOT 1, SOUTH 40°40' 11" EAST, 192.39 FEET; THENCE SOUTH 36°16'42" EAST, 201.26 FEET; THENCE SOUTH 53°20'16" EAST, 232.15 FEET; THENCE NORTH 87°56'22" EAST, 193.32 FEET; THENCE NORTH 85°54'55" EAST, 305.51 FEET; THENCE SOUTH 76°33'32" EAST, 155.87 FEET; THENCE SOUTH 45°08'33" EAST, 221.84 FEET; THENCE SOUTH 51°13'44" EAST, 112.98 FEET; THENCE SOUTH 54°28'39" EAST, 110.02 FEET; THENCE SOUTH 44°42'29" EAST, 102.05 FEET; THENCE SOUTH 01*38'20" WEST, 37.58 FEET; THENCE SOUTH 45°00'00" WEST, 209.79 FEET; THENCE SOUTH 04°59'49" WEST, 201.91 FEET; THENCE SOUTH 39°23'09" EAST, 81.63 FEET TO A POINT ON A SOUTHEASTERLY LINE OF SAID LOT 1, SAID POINT BEING ON A CURVE CONCAVE SOUTHEASTERLY, HAVING A RADIUS OF 81.00 FEET, A RADIAL LINE THROUGH SAID POINT BEARS SOUTH 26°32'46" EAST; THENCE SOUTHWESTERLY ALONG SAID SOUTHEASTERLY LINE OF LOT 1 AND SAID CURVE THROUGH A CENTRAL ANGLE OF 57008'46", AN ARC DISTANCE OF 80.79 FEET TO THE BEGINNING OF A TANGENT REVERSE CURVE CONCAVE NORTHWESTERLY, HAVING A RADIUS OF 63.00 FEET, A RADIAL LINE THROUGH SAID POINT OF TANGENT REVERSE CURVE BEARS NORTH 83°41'32" WEST; THENCE SOUTHWESTERLY ALONG SAID TANGENT REVERSE CURVE THROUGH A CENTRAL ANGLE OF 43045'42", AN ARC DISTANCE OF 48.12 FEET; THENCE SOUTHWESTERLY ALONG SAID SOUTHEASTERLY LINE OF LOT 1, SOUTH 50°04'10" WEST, 304.18 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE NORTHWESTERLY, HAVING A RADIUS OF 502.00 FEET; THENCE WESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 30013'14", AN ARC DISTANCE OF 264.78 FEET TO THE BEGINNING OF A TANGENT COMPOUND CURVE CONCAVE NORTHERLY, HAVING A RADIUS OF 1445.00 FEET, A RADIAL LINE THROUGH SAID POINT OF TANGENT COMPOUND CURVE BEARS SOUTH 09042'36" EAST; THENCE WESTERLY ALONG SAID TANGENT COMPOUND CURVE THROUGH A CENTRAL ANGLE OF 19°56'47", AN ARC DISTANCE OF 503.05 FEET; THENCE NORTHERLY LEAVING SAID CURVE, NORTH 10°14'10" EAST, 5.00 FEET TO THE BEGINNING OF A CURVE CONCAVE TO THE NORTH, HAVING A RADIUS OF 1440.00 FEET, A RADIAL LINE THROUGH SAID POINT BEARS SOUTH 10014'10" WEST; THENCE WESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 06026'37", AN ARC DISTANCE OF 161.95 FEET TO THE BEGINNING OF A TANGENT COMPOUND CURVE CONCAVE NORTHEASTERLY, HAVING A RADIUS OF 285.00 FEET, A RADIAL LINE THROUGH SAID POINT BEARS SOUTH 16°40'48" WEST, THE 882/015610-0096 799454 09 .05/12/08 -5- /1 3 45 PRECEDING 4 COURSES BEING ON THE SOUTHERLY LINE OF SAID LOT 1; THENCE WESTERLY AND NORTHERLY ALONG SAID TANGENT COMPOUND CURVE THROUGH A CENTRAL ANGLE OF 73019'01", AN ARC DISTANCE OF 364.69 FEET; THENCE NORTH 00°00' 11" WEST, 478.78 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE SOUTHWESTERLY, HAVING A RADIUS OF 385.00 FEET; THENCE NORTHERLY ALONG SAID TANGENT CURVE THROUGH A CENTRAL ANGLE OF 49014'43", AN ARC DISTANCE OF 330.90 FEET; THENCE LEAVING SAID TANGENT CURVE NORTH 40°45'07" EAST, 5.00 FEET TO THE BEGINNING OF A CURVE CONCAVE NORTHEASTERLY, HAVING A RADIUS OF 260.00 FEET, A RADIAL LINE THROUGH SAID POINT BEARS SOUTH 40°45'07" WEST; THENCE NORTHERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 45028'01", AN ARC DISTANCE OF 206.32 FEET; THENCE NORTH 03°46'53" WEST, 404.79 FEET TO THE POINT OF BEGINNING, THE PRECEDING 6 COURSES BEING ON THE WESTERLY LINE OF SAID LOT 1. PARCEL B: LOT K OF TRACT MAP NO. TRACT NO. 29421 AS SHOWN BY MAP ON FILE IN BOOK 297, AT PAGES 54 THROUGH 57, INCLUSIVE OF MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA; and PARCEL C: TOGETHER WITH THE RIGHT TO GRANT AND TRANSFER SAME, NONEXCLUSIVE EASEMENTS FOR PEDESTRIAN AND VEHICULAR (INCLUDING CONSTRUCTION VEHICLES) INGRESS AND EGRESS, OVER AND ACROSS THE REAL PROPERTY DESCRIBED ON EXHIBIT "B" ATTACHED HERETO AND INCORPORATED HEREIN BY THIS REFERENCE (THE "ACCESS STREETS"). 882/015610-0096 799454 09 a05/12/08 CONSENT TO RECORDATION CROWN POINTE PARTNERS, LLC, an Oregon Limited liability company ("Developer"), owner of the fee interest in the real property legally described in Exhibit "A" hereto, hereby consents to the recordation of the foregoing Payment of Transfer Fee Required against said real property. "Developer" IIn STATE OF CALIFORNIA ) ss. COUNTY OF ) On , before me, Notary Public, personally appeared f proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s) or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. Witness my hand and official seal. Notary Public [SEAL] f 1821015610-0096 • 14 799454 09 a05/12/08 EXHIBIT "D" COMPLIANCE CERTIFICATE [See following document] 882/015610-0096 798896 12 a05/12/08 I r COMPLIANCE CERTIFICATE (EDENROCK DEVELOPMENT AGREEMENT) The undersigned, as the general partner of , a ("Developer"), pursuant to Section 4.1 of that certain Development Agreement dated , 2007, (the "Development Agreement"), by and among Developer and the City of La Quinta, a California municipal corporation (the "City"), by his/her signature below hereby certifies to the City, for the City's reliance that: 1. Capitalized terms not defined herein shall have the same meaning as set forth in the Development Agreement; 2. The undersigned is familiar with the certifications and representations set forth in this Compliance Certificate; 3. Developer has performed and complied with its obligations under the Development Agreement to be performed or complied with by it on or prior to the date hereof. Developer has also performed all Conditions of Approval to be performed or complied with by it on or prior to the date hereof. Not by way of limitation of the foregoing, the Developer warrant and represents that: (1) the City Declaration of CC&Rs required by Section 3.2.1 of the Development Agreement have been approved by the City and recorded against the Site; (2) the Developer CC&Rs required by Section 3.2.2 of the Development Agreement have been approved by the City and recorded against the Site; (3) all payments required pursuant to Section 3.3.2 of the Development Agreement for the building permits requested to be issued have been paid; (4) all payments required pursuant to Section 3.3.2 of the Development Agreement as of the date have been paid; and (5) all Conditions of Approval to be performed or complied with as of the date hereof have been satisfied in the manner set forth in Schedule 1, which schedule identifies all applicable Conditions of Approval and a description of how the condition has been satisfied. IN WITNESS WHEREOF, this Compliance Certificate is executed effective the day of , under penalty of perjury under the laws of California. By: Its: 8821015610-0096 _ 798896 12 a05/12/O9 1 SCHEDULEI CONDITIONS OF APPROVAL [DEVELOPER SHALL ATTACH A FULL AND COMPLETE LIST OF ALL CONDITIONS OF APPROVAL THAT ARE APPLICABLE TO THE PROJECT TO DATE AND A DESCRIPTION OF HOW EACH CONDITION OF APPROVAL HAS BEEN SATISFIED.] 450 882/015610-0096 L 798896 12 a05/12/08 EXHIBIT "E" ASSIGNMENT AND ASSUMPTION AGREEMENT [See following document] 882/015610-0096 151 798896 12 a05/12/08 RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO City of La Quinta 78-495 Calle Tampico La Quinta, CA 92253 Attn: City Clerk Space Above This Line for Recorder's Use (Exempt from Recording Fee per Gov't Code § 27383) ASSIGNMENT AND ASSUMPTION AGREEMENT THIS ASSIGNMENT AND ASSUMPTION AGREEMENT (the "Assignment") is made and entered into as of ("Effective Date"), by and between "Developer" or "Assignor") and [ASSIGNEE] ("Assignee"), with reference to the Recitals. Recitals (the following A. Assignor is the master developer of acres of real property located in the City of La Quinta, County of Riverside, State of California (the "Site"), which is legally described in Exhibit "A" attached here. B. Capitalized terms not defined herein shall have the same meaning as set forth in the Development Agreement. C. Assignor, as "Developer," and the City of La Quinta, a California municipal corporation ("City"), have entered into that certain Development Agreement dated , 2008 (the "Development Agreement"), for purposes of, among other things, (i) setting forth a per -unit up front payment schedule for the Developer's payment to the City of certain amounts that the parties agree are designed to compensate the City for (A) the potential loss of anticipated general fund revenues as a result of the use of the Site for a residential resort use rather than as traditional tourist commercial use, such as a "hotel" as that term is defined in Section 9.280.030 of the La Quinta Municipal Code ("Hotel"); (B) the uncompensated costs of potential additional public services that the Development Plan will generate, which costs would have been recovered if the Site were to be developed for a traditional tourist commercial use, such as a Hotel; and (C) the potential added wear and tear on the municipal infrastructure which will result from the Development Plan, the costs of which would have been compensated if the Site were to be developed for a traditional tourist commercial use, such as a Hotel; (ii) requiring the recordation against the Site of a City Declaration of CC&Rs that, sets forth certain requirements of the owners of the Units in the Project to pay to the City a transfer payment upon the transfer of their Unit for purposes of compensating the City for loss of "Transient Occupancy Tax" (as that term is defined in Chapter 3.24 of the La Quinta Municipal Code; (iii) requiring the 882/015610-0096 y t-- 798896 12 a05/12/08 1 -1 2 recordation against the Site of a Declaration of CC&Rs that (a) provides for establishment of a homeowner's association for the Project (the "Association"); (b) is necessary to create a condominium regime for the Village Homes, Courtyard Homes, and the Manor Homes, as described on the Condominium Plan to be recorded in accordance with all applicable laws; and (iii) discloses to the owners of the Units the requirement set forth in Section 1.3 of the City Declaration of CC&Rs that the Owners pay to the City a transfer payment upon the sale, transfer, or conveyance of their Unit; and (iv) granting Developer a vested right to develop the Site according to the Development Plan, all as more particularly described in the Development Agreement. D. Concurrently with the Effective Date, Assignor shall have conveyed to Assignee the Site. E. In accordance with Section 7.1 of the Development Agreement, Assignor now desires to assign all of its obligations and its right, title, and interest in and to the Development Agreement to Assignee, and Assignee desires to accept such assignment on, and subject to, the terms and conditions set forth in this Assignment. NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows: Agreement 1. Assignment. From and after the Effective Date, Assignor hereby assigns, conveys, transfers and delivers to Assignee all of Assignor's right, title, interest, and obligation in, to and under the Development Agreement, and Assignee hereby accepts such assignment and agrees to assume performance of all terms, covenants and conditions occurring or arising under the Development Agreement from and after the date of this Assignment. 2. Assumption of Obligations. By acceptance of this Assignment, Assignee hereby agrees to assume all of Assignor's right, title, interest and obligation in, to and under the Development Agreement, and Assignee agrees to timely discharge, perform or cause to be performed and to be bound by all of the liabilities, duties and obligations imposed in connection with the Development Agreement, from and after the date of this Assignment to the same extent as if Assignee had been the original party thereto. 3. Successors and Assigns. This Assignment shall be binding upon and shall inure to the benefit of the successors and assigns of the respective parties hereto. 4. Governing Law. This Assignment shall be governed by and construed in accordance with the laws of the State of California. 5. Further Assurances. The parties covenant and agree that they will execute such other and further instruments and documents as are or may become necessary or convenient to effectuate and carry out this Assignment. 6. Authority of Signatories to Bind Principals. The persons executing this Assignment on behalf of their respective principals represent that (i) they have been authorized 882/015610-0096 _ 798896 12 a05/12/08 _2' 1 5 3 to do so and that they thereby bind the principals to the terns and conditions of this Assignment and (ii) their respective principals are properly and duly organized and existing under the laws of, and permitted to do business in, the State of California. 7. Interpretation. The paragraph headings of this Assignment are for reference and convenience only and are not part of this Assignment. They have no effect upon the construction or interpretation of any part hereof. The provisions of this Assignment shall be construed in a reasonable manner to effect the purposes of the parties and of this Assignment. 8. Counterparts. This Assignment may be executed in any number of counterparts, each of which when so executed and delivered shall be deemed to be an original and all of which counterparts taken together shall constitute but one and the same instrument. IN WITNESS WHEREOF, this Assignment has been executed by the parties as of the date set forth above. "Assignor" By: Its: "Assignee" [INSERT ASSIGNEE SIGNATURE BLOCK] 882/01561M096 799896 12 a05/12/08 STATE OF CALIFORNIA ) ss. COUNTY OF ) On before me, Notary Public, personally appeared , proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s) or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. Witness my hand and official seal. Notary Public [SEAL] STATE OF CALIFORNIA ) ss. COUNTY OF ) On before me, Notary Public, personally appeared proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s) or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. Witness my hand and official seal. Notary Public [SEAL] 882/015610-0096 1 1 J 5 798896 12 a05/12/08 -4- EXHIBIT "A" LEGAL DESCRIPTION OF SITE That certain real property located in the City of La Quinta, County of Riverside, State of California, described as follows: PARCEL A: PARCEL 2 OF LOT LINE ADJUSTMENT NO.204-411 RECORDED OCTOBER 8, 2004 AS INSTRUMENT NO. 2004-0803272 MORE PARTICULARLY DESCRIBED AS THAT PORTION OF LOT 1 OF TRACT NO. 29421 AS SHOWN BY MAP ON FILE IN BOOK 297, AT PAGES 54 THROUGH 57, INCLUSIVE OF MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA; TOGETHER WITH THAT PORTION OF PARCEL 7 OF PARCEL MAP NO. 20426, AS SHOWN BY MAP ON FILE IN BOOK 129, AT PAGES 49 THROUGH 55, INCLUSIVE OF PARCEL MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA; AS ADJUSTED BY LOT LINE ADJUSTMENT NO. 97-244, RECORDED JUNE 5, 1997 AS INSTRUMENT NO. 199050 AND 199051, OFFICIAL RECORDS OF RIVERSIDE COUNTY, CALIFORNIA, DESCRIBED AS FOLLOWS: BEGINNING AT THE NORTHWESTERLY CORNER OF SAID LOT 1; THENCE EASTERLY ALONG THE NORTHERLY LINE OF SAID LOT 1, NORTH 89.30' 11" EAST, 272.69 FEET TO THE EASTERLY TERMINUS OF SAID NORTHERLY LINE OF LOT 1; THENCE LEAVING SAID NORTHERLY LINE OF LOT 1, SOUTH 40.40' 11" EAST, 192.39 FEET; THENCE SOUTH 36°16'42" EAST, 201.26 FEET; THENCE SOUTH 53°20' 16" EAST, 232.15 FEET; THENCE NORTH 87°56'22" EAST, 193.32 FEET; THENCE NORTH 85°54'55" EAST, 305.51 FEET; THENCE SOUTH 76°33'32" EAST, 155.87 FEET; THENCE SOUTH 45°08'33" EAST, 221.84 FEET; THENCE SOUTH 51°13'44" EAST, 112.98 FEET; THENCE SOUTH 54°28'39" EAST, 110.02 FEET; THENCE SOUTH 44°42'29" EAST, 102.05 FEET; THENCE SOUTH 01°38'20" WEST, 37.58 FEET; THENCE SOUTH 45°00'00" WEST, 209.79 FEET; THENCE SOUTH 04°59'49" WEST, 201.91 FEET; THENCE SOUTH 39°23'09" EAST, 81.63 FEET TO A POINT ON A SOUTHEASTERLY LINE OF SAID LOT 1, SAID POINT BEING ON A CURVE CONCAVE SOUTHEASTERLY, HAVING A RADIUS OF 81.00 FEET, A RADIAL LINE THROUGH SAID POINT BEARS SOUTH 26032'46" EAST; THENCE SOUTHWESTERLY ALONG SAID SOUTHEASTERLY LINE OF LOT 1 AND SAID CURVE THROUGH A CENTRAL ANGLE OF 57008'46", AN ARC DISTANCE OF 80.79 FEET TO THE BEGINNING OF A TANGENT REVERSE CURVE CONCAVE NORTHWESTERLY, HAVING A RADIUS OF 63.00 FEET, A RADIAL LINE THROUGH SAID POINT OF TANGENT REVERSE CURVE BEARS NORTH 83041'32" WEST; THENCE SOUTHWESTERLY ALONG SAID TANGENT REVERSE CURVE THROUGH A CENTRAL ANGLE OF 43°45'42", AN ARC DISTANCE OF 48.12 FEET; THENCE SOUTHWESTERLY ALONG SAID SOUTHEASTERLY LINE OF LOT 1, SOUTH 50°04'10" WEST, 304.18 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE NORTHWESTERLY, HAVING A RADIUS OF 502.00 FEET; THENCE WESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 30013'14", AN ARC DISTANCE OF 264.78 FEET TO THE BEGINNING OF A TANGENT COMPOUND CURVE CONCAVE NORTHERLY, HAVING A RADIUS OF 1445.00 FEET, A RADIAL LINE THROUGH SAID POINT OF TANGENT COMPOUND CURVE BEARS SOUTH 09042'36" EAST; THENCE WESTERLY ALONG SAID TANGENT COMPOUND CURVE THROUGH A CENTRAL ANGLE OF 19056'47", AN ARC DISTANCE OF 503.05 FEET; THENCE NORTHERLY LEAVING SAID CURVE, NORTH 10014' 10" EAST, 5.00 FEET TO THE BEGINNING OF A CURVE CONCAVE TO THE NORTH, HAVING A RADIUS OF 1440.00 FEET, A RADIAL LINE THROUGH SAID POINT BEARS SOUTH 10014'10" WEST; THENCE WESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 06026'37", AN ARC DISTANCE OF 161.95 FEET TO THE BEGINNING OF A TANGENT COMPOUND CURVE CONCAVE NORTHEASTERLY, HAVING A RADIUS OF '82/015610-0096 79889612 a05/12108 -5- -• - J. J 0 285.00 FEET, A RADIAL LINE THROUGH SAID POINT BEARS SOUTH 16-40,48" WEST, THE PRECEDING 4 COURSES BEING ON THE SOUTHERLY LINE OF SAID LOT 1; THENCE WESTERLY AND NORTHERLY ALONG SAID TANGENT COMPOUND CURVE THROUGH A CENTRAL ANGLE OF 73019'01", AN ARC DISTANCE OF 364.69 FEET; THENCE NORTH 0000011" WEST, 478.78 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE SOUTHWESTERLY, HAVING A RADIUS OF 385.00 FEET; THENCE NORTHERLY ALONG SAID TANGENT CURVE THROUGH A CENTRAL ANGLE OF 49014'43", AN ARC DISTANCE OF 330.90 FEET; THENCE LEAVING SAID TANGENT CURVE NORTH 40°45'07" EAST, 5.00 FEET TO THE BEGINNING OF A CURVE CONCAVE NORTHEASTERLY, HAVING A RADIUS OF 260.00 FEET, A RADIAL LINE THROUGH SAID POINT BEARS SOUTH 40°45'07" WEST; THENCE NORTHERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 45028'01", AN ARC DISTANCE OF 206.32 FEET; THENCE NORTH 03°46'53" WEST, 404.79 FEET TO THE POINT OF BEGINNING, THE PRECEDING 6 COURSES BEING ON THE WESTERLY LINE OF SAID LOT 1. PARCEL B: LOT K OF TRACT MAP NO. TRACT NO. 29421 AS SHOWN BY MAP ON FILE IN BOOK 297, AT PAGES 54 THROUGH 57, INCLUSIVE OF MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA; and PARCEL C: TOGETHER WITH THE RIGHT TO GRANT AND TRANSFER SAME, NONEXCLUSIVE EASEMENTS FOR PEDESTRIAN AND VEHICULAR (INCLUDING CONSTRUCTION VEHICLES) INGRESS AND EGRESS, OVER AND ACROSS THE REAL PROPERTY DESCRIBED ON EXHIBIT "B" ATTACHED HERETO AND INCORPORATED HEREIN BY THIS REFERENCE (THE "ACCESS STREETS"). 882/015610-0096 798896 12 a05/12/08 -6" 15 COUNCIL/RDA MEETING DATE: June 2, 2008 ITEM TITLE: Consideration to Appoint a Representative to the Trails Management Subcommittee for the Coachella Valley Multiple Species Habitat Conservation Plan RECOMMENDATION: AGENDA CATEGORY: BUSINESS SESSION: CONSENT CALENDAR: STUDY SESSION: PUBLIC HEARING: Appoint an individual to represent the City on the Trails Management Subcommittee for the implementation of the Coachella Valley Multiple Species Habitat Conservation Plan. The representative could be an elected official, staff member or member of the public. FISCAL IMPLICATIONS: None CHARTER CITY IMPLICATIONS: None. BACKGROUND AND OVERVIEW: On May 12, 2008, the Coachella Valley Conservation Commission (CVCC) sent a memorandum (Attachment 1) to all City Manager's requesting an appointment from each City for the establishment of a Trails Management Subcommittee. The membership of the subcommittee is described in Section 6.3 of the Coachella Valley Multiple Species Habitat Conservation Plan (CVMSHCP). This subcommittee will prepare for the implementation of the CVMSHCP. The plan describes the work of the subcommittee to include working with the Bureau of Land Management (BLM), California Department of Fish and Game, United States Forest Service (USFS), United States Fish and Wildlife Services, and the Coachella Valley Mountain Conservancy. Duties of the Trails Management Subcommittee include: 1. Complete an annual review of the effectiveness of the overall trails management program. Annual review will include an assessment of the i58 bighorn sheep population trends, recreational trails use data, and other data. 2. Make recommendations to both the Santa Rosa and San Jacinto Mountains Reserve Management Committee for the CVMSHCP and the Santa Rosa and San Jacinto Mountains National Monument Advisory Board regarding modifications to the Trails Management Plan. 3. Make recommendations for the decommissioning and removal of trails to the Reserve Management Oversight Committee and the National Monument Advisory Committee. 4. Assist the CVCC Land Manager and the land management agencies with providing information and education to trail users about the Trails Management Plan. The members of the subcommittee are as follows: • One representative from Palm Springs, Cathedral City, Ranch Mirage, Palm Desert, Indian Wells, Indio, Coachella, and La Quinta. These representatives shall be appointed by the representative City Councils. • One representative from the Riverside County 51h District appointed by the Board of Supervisors. One representative from each of the three tribal Governments that are members of Coachella Valley Association of Governments. • One representative each from the Coachella Valley Mountain Conservancy, County Parks, Wildlife agencies, USFS, BLM, Mountain Advisory Committee, and the Tram Winter Park Authority. Each shall appoint a representative. • The CVCC will appoint at least five individual representatives of trail interest organizations, environmental organizations, and independent researchers. FINDINGS AND ALTERNATIVES: The alternatives available to the City Council include: 1. Appoint a representative from the City Council to serve on the Trails Management Subcommittee for the Coachella Valley Multiple Special Habitat Conservation Plan; or 2. Appoint a representative from City staff to serve on the Trails Management Subcommittee for the Coachella Valley Multiple Special Habitat Conservation Plan; or 3. Appoint a representative from the public to serve on the Trails Management Subcommittee for the Coachella Valley Multiple Special Habitat Conservation Plan; or 2 L 4. Provide staff with alternative direction. Respectfully submitted, Edie Hylton Community Services Director Approved for submission by: Thomas P. Genovese, City Manager Attachment: 1. May 12, 2008 Memorandum 3 CVCC ATTACHMENT 1 COACHELLA VALLEY CONSERVATION COMMISSION DATE: May 12, 2008 TO: Tom Genovese, City of La Quinta FROM: Katie Barrows, Director of Environmental Resources RE: Request to Appoint A Representatives to the Trails Management Subcommittee forthe Coachella Valley Multiple Species Habitat Conservation Plan (CVMSHCP). BACKGROUND: One of the implementations tasks for the Multiple Species Habitat Conservation Plan (CVMSHCP) is the establishment of a Trails Management Subcommittee ("Subcommittee"). To prepare for implementation of the CVMSCP, the Coachella Valley Conservation Commission (CVCC) has requested that agencies appoint their representative to this Subcommittee. Your agency has a designated representative on this Subcommittee. Our request is that each agency appoint an individual to represent you on the Subcommittee by July 15. The representative could be an elected official, staff member, or member of the public appointed by the respective agency. The Plan describes the work of the Subcommittee as implementation of the Trails Plan for the Santa Rosa and San Jacinto Mountains Conservation Area. The Trails Management Subcommittee will work with the land manager, the Local Permittees, and other agencies including BLM, California Department of Fish and Game, the U.S. Forest Service (USFS), U.S. Fish and Wildlife Service, and the Coachella Valley Mountains Conservancy (CVMC) to implement the Santa Rosa and San Jacinto Mountains Trails Plan (Trails Plan). The Trails Management Subcommittee's duties shall include but not be limited to the following: 1. Complete an annual review of the effectiveness of the overall trails management program. Annual review will include an assessment of bighorn sheep population trends, recreational trail use data, and other new data. 2. Make recommendations to both the Santa Rosa and Sari Jacinto Mountains RMUC and the Santa Rosa and San Jacinto Mountains National Monument Advisory Committee regarding modifications to the trails management program. 3. Make recommendations for decommissioning and removing trails to the RMOC and Monument Advisory Committee. Final approval for trail decommissioning and removal rests with the entity having jurisdiction over the applicable lands. 4. Assist the CVCC land manager and the land management agencies with providing information and education to trail users about the trails management program. The subcommittee can also assist the CVCC and other agencies in other trails implementation programs. In January 2008 the CVCC expanded the focus for the subcommittee to include trails issues in the MSHCP Reserve System throughout the Coachella Valley. .L 61 CVCC COACHELLA VALLEY CONSERVATION COMMISSION The membership of the Trails Management Subcommittee is described in Section 6.3 of the CVMSHCP. At their January 2008 meeting, the CVCC added members to the Subcommittee to provide broader representation throughout the Plan area. The members of the Subcommittee are as follows: ➢ One representative each from the cities of Palm Springs, Cathedral City, Rancho Mirage, Palm Desert, Indian Wells, Indio, Coachella, and La Quinta. The city representatives shall be appointed by the respective city councils. ➢ One representative from the Riverside County 5'" District, appointed by the Board of Supervisors ➢ One representative from each of the three Tribal Governments that are members of CVAG ➢ One representative each from the CVMC, County Parks, the Wildlife Agencies, USFS, BLM, the Monument Advisory Committee (MAC), and the Tram Winter Park Authority. Each of these agencies shall appoint its representative. ➢ The CVCC will appoint at least five individual representatives of trail interest organizations, environmental organizations, and independent researchers. The CVCC has requested that the appointments by other agencies be made prior to the selection of the public members to be appointed by CVCC so that, if necessary, the CVCC could balance the interests and skills represented on the subcommittee. Your agency may establish whatever selection process and criteria you deem appropriate for this appointment. For your information, I have attached the application and criteria that have been developed by the CVCC for their appointment of five public members to the Subcommittee. A request for applications by members of the public for these five appointments will be circulated during the next approximately 30 days by the CVCC. Thank you for your assistance in this matter. Please feel free to contact me if you have any questions. CVCC COACHELLA VALLEY CONSERVATION COMMISSION Cathedral City • Coachella • Indian Wells • Indio • La Quinta • Palm Desert • Palm Springs • Rancho Mirage County of Wverside • Coachella Valley Water District • Imperial Irrigation District PROPOSED CRITERIA FOR CVCC APPOINTED PUBLIC MEMBERS TRAILS MANAGEMENT SUBCOMMITTEE 1. Complete application submitted by due date 2. Trail users with knowledge of local trails 3. Ability to communicate trails issues to and from a wide audience (example: leadership position in a trails -using club) 4. Ability to work collaboratively and in collegial manner with other trails advocates, land managers, and responsible persons/agencies (can give examples of meetings attended and/or initiated, or membership in groups which have regular contact with some/all of the above) 5. Able and willing to attend four to six Trails Management Subcommittee meetings per year and participate fully. This will likely include field work and working group meetings 6. Current knowledge of, or willingness to develop a working knowledge of, the CVMSHCP Trails Plan 73-710 Fred Waring Drive, Suite 200 • Palm Desert, CA 92260 • (760) 346-1127 • FAX (760) 340-5949 'u3 COACHELLA VALLEY CONSERVATION COMMISSION DRAFT APPLICATION FOR MEMBER AT LARGE POSITION TRAILS MANAGEMENT SUBCOMMITTEE Name: Address: City: Telephone #: E-mail: State: Fax #: Please check one (or more) areas best reflective of your interest and/or expertise: Are you a: Hiker _Mountain Biker Equestrian Trail planning, design and installation Trail permit programs, including self -issue permits _ Scientific information and research on trails and wildlife Impacts to trails including invasive species Identification of potential new trails throughout the CVMSHCP Area Removal and restoration of illegal trails Working with others to encourage compliance with Trails Plan Volunteer trail work, including trail maintenance work Other Please describe why you would like to participate in the Trails Management Subcommittee. Please describe your knowledge and/or familiarity with the Trails Plan elements of the CVMSHCP: Please provide a statement as to what expertise, experience, or skills you would bring to the Trails Management Subcommittee as a member -at -large. J 64 Please comment on your background as a trail user and describe your affiliation with any trails related organizations: Please provide any attachments you think would support your application, which may include letters of recommendation, trails experience, etc. My signature below is my pledge that I agree to attend the meetings and work cooperatively toward accomplishing the goals and objectives of the Trails Management Subcommittee. Should 1 be unable to attend a meeting, there will be no alternate for my position. NAME DATE Please complete the application and return to CVAG by 5:00 pm on . 2008. lU3 La Q/ OF Tl'� COUNCIL/RDA MEETING DATE: June 2, 2008 AGENDA CATEGORY: ITEM TITLE: Consideration Of Process and BUSINESS SESSION: Guidelines for Evaluation of Marketing Requests CONSENT CALENDAR: _ by the La Quinta Marketing Committee STUDY SESSION: PUBLIC HEARING: Approve a process and guidelines for evaluation of marketing requests by the La Quinta Marketing Committee. FISCAL IMPLICATIONS: None associated with this action. However, in the future the City Council may wish to establish a budget for marketing requests that are, ultimately, referred to the La Quinta Marketing Committee by Council. CHARTER CITY IMPLICATIONS: None. BACKGROUND AND OVERVIEW: Formation of a La Quinta Marketing Committee was approved by the City Council in July of 2000. At the direction of Council, the Committee has been meeting quarterly and operates strictly on an informational basis. Current membership consists of representatives from: City of La Quinta, Kiner Communications, La Quinta Chamber of Commerce, La Quinta Arts Foundation, La Quinta Resort & Club, and Landmark Golf Management. Council has previously expressed a desire to allow outside presentations before this group in an effort to assess various marketing requests. ib6 On April 15, 2008 during a Study Session on marketing strategies, the City Council directed staff to establish a process and guidelines for the evaluation of marketing requests by the La Quinta Marketing Committee. Marketing Committee members have expressed they are agreeable to outside presentations and assessing marketing proposals at the request of Council, and would prefer to work within the established Community Services Grants process. By way of background, on May 1, 2007, the City Council addressed the Community Services Grants process and made modifications to the process. At that time, staff was directed to receive all community grants and establish an Ad -Hoc Grants Committee (made up of two City Council Members) to review the requests quarterly. Council requested that all Community Services requests and Economic Development/Marketing requests follow this process for review and recommendation to City Council (Attachment 1). A summary of the requests processed in Fiscal Year 2007-2008 via the Community Services Grants program is provided as Attachment 2. The summary indicates the amount requested and the amount funded per request. Given the established grants process, the following process and guidelines are proposed for evaluation of marketing requests by the La Quinta Marketing Committee: All marketing requests shall be considered in accordance with the Community Services Grant Guidelines. Committee members acknowledge that this process was recently revamped, specifically, for consideration of two types of sponsorship/funding requests: 1) Community Services Support, and 2) Economic Development/Marketing (Attachment 3). Marketing applicants shall complete and submit a Community Services Grant Application. This will allow all paperwork to be handled via one process as the application requests items such as a 501(c)3 Taxpayer I.D. Number as well as information on the organization, its staff, operating budget, revenue, etc. (Attachment 4). Ad -Hoc Grants Committee shall make recommendations to the City Council on grant requests All grant requests are forwarded to the Council on a quarterly basis with a funding recommendation by the Ad -Hoc Grants Committee. City Council shall refer marketing requests at their sole discretion to the Marketing Committee. If a marketing request is considered to be outside the eligibility guidelines of the Community Services Grants process and Council desires the request be given further consideration, at its sole discretion, Council can refer the marketing request to the Marketing Committee for review and a recommendation. • Marketing Committee shall review referred application, invite applicant to make a brief presentation to the Committee, and assess marketing benefits to the City. The Marketing Committee will request a detailed marketing plan from the applicant and assess its marketing cost/value. Ideally, the value of the marketing should be three times the City's investment. • Recommendation by Marketing Committee to City Council shall be made on a fiscal yearbasis. The La Quinta Marketing Committee's recommendation would be communicated to Council via a regular Council meeting. Recommendations would be made on a fiscal year basis (not a multiple year basis). Once the City Council considers the above process and guidelines, the La Quinta Marketing Committee would be agreeable to scheduling outside presentations per Council's direction. Several months ago, The Prestige at PGA West golf tournament approached the Council regarding a presentation to the Marketing Committee. Staff would like to advise The Prestige to go through the Community Grant Process as a first step. Once the quarterly grant applications go through the Ad -Hoc Grants Committee review and are forwarded to Council for consideration, Council may determine if further review by the Marketing Committee is desired. FINDINGS AND ALTERNATIVES: The alternatives available to the City Council include: 1. Approve a process and guidelines for evaluation of marketing requests by the La Quinta Marketing Committee; or 2. Do not approve a process and guidelines for evaluation of marketing requests by the La Quinta Marketing Committee; or 3. Provide staff with alternative direction. Respectfully submitted, Douglas . ans Assistant City Manager - Development Services 168 Attachment 1 T4tyl 4 4v Qu&& COUNCILIRDA MEETING DATE: May 1, 2007 ITEM TITLE: Consideration of Changes to the Community Services Grant Request Process RECOMMENDATION: As deemed appropriate by the City Council. FISCAL IMPLICATIONS: AGENDA CATEGORY: BUSINESS SESSION: CONSENT CALENDAR: STUDY SESSION: PUBLIC HEARING: At the City Council meeting held on April 3, 2007, City Council recommended $100,000 be budgeted for Community Services Grants annually. This amount would be in the Community Services Special Projects Contingency Account No. 101-3001-451.80-01 starting in the 2007/2008 Fiscal Year. CHARTER CITY IMPLICATIONS: None. BACKGROUND AND OVERVIEW The Community Services Department offers the Community Services Grant Program (Attachment 1). Currently, applications are considered by City Council at the first City Council meetings in August and February of each Fiscal Year. Requests are limited to an amount not to exceed $2,000, and organizations that have been previously funded are ineligible for funding during the next consecutive year. Criteria for this process includes completion of a grant application, proof of 501(c)(3) status, last three months of bank statements, a copy of their Program Operating Budget for the current year, and a copy of the organization's current IRS Form 990. Each year, approximately ten organizations are supported through the grant program. The Fiscal Year 2006/2007 Budget allotted for Community Services Grants was $20,000. MCI On April 3, 2007, the City Council directed staff to implement specific changes to the 2007/2008 Community Services Grant Program. Thus, the new 2007/2008 Grants process would include the following changes: • Establish a Community Services Grant review board which would include 2 City Council Members (this board will follow the Brown Act procedures) • Increase Community Services Grant funding to $100,000 annually • Grant applications will be reviewed and awarded quarterly • Maintain a 2-year restriction per applicant As a result of the increased annual funding, City Council may want to consider raising the Community Services Grant funding level from $2,000 per applicant up to $5,000 per applicant. City Council indicated that an emergency fund would not be established. The action to create the review board will be scheduled for a future council meeting. In addition, staff is requesting direction on the continued funding of ongoing Special Projects. The procedure has been that if the City Council determines a project should receive funding at the budget review process, these projects would continue as line items in the Community Services Special Projects each year. The following special projects will remain listed as line items in the 2007/2008 budget unless City Council directs them to be removed: • Soroptomist Rent $4,050 • La Quinta Arts Foundation $100,000 • La Quinta Playhouse $50,000 • American Red Cross $10,000 • CSUSB Learning Center Rent $5,040 • 211 Hotline $3,000 • Community Blood Bank $2,000 • Soap Box Derby $1,600 • Living Desert $1,000 Staff is also requesting direction on the continued funding of ongoing Economic Development Grants/Contracts. The procedure has been that if the City Council determines a project should receive funding at the budget review process, these projects would continue as line items in the Economic Development budget. The following special projects will remain listed as line items in the 2007/2008 budget unless directed by City Council to remove them: • Jacqueline Cochran Air Show $20,000 • Date Festival $5,000 • Polo America $3,800 • Chamber of Commerce $130,000 '71 FINDINGS AND ALTERNATIVES: The alternatives available to the City Council include: 1. Approve the proposed changes to the 2007/2008 Community Service Grants process; maintain the current Special Projects as line items within the 2007/2008 Fiscal Year budget; and continue funding of ongoing Economic Development Grants; or 2. Do not approve the proposed changes to the 2007/2008 Community Service Grants process; remove the current Special Projects as line items within the 2007/2008 Fiscal Year budget; and remove the funding of ongoing Economic Development Grants; or 3. Provide staff with alternative direction. Respectfully submitted, Edie Hylton Community Services Director Approved for submission by: Thomas P. Genovese, City Manager Attachment: 1. La Quinta Community Service Grant application Approved for submission by: Thomas P. Genovese, City Manager Attachments: 1. Staff report and minutes regarding "Changes to the Community Services Grant Request Process" 2. 2007-2008 Community Services Grant Awards 3. Community Grants Guidelines 4. Community Grants Application iU� City Council Minutes 7 May 1, 2007 Council Member Kirk requested the details of play at the Resort be reviewed by the SilverRock Resort Subcommittee prior to Council consideration. City Manager Genovese stated direction has been given to staff to present informational items only to the Subcommittee and explained items which may be delayed be presented to the Council directly. Council Member Henderson explained that when the Subcommittee was formed, it was clear nothing would be held up that needed to be brought before the Council; stated she is comfortable with the question asked at this time; believes no harm in asking; explained the more we discount the more we have full play, and will look at the budget; stated the course is maxed out during the high season, but summer is a challenge; stated she came out yesterday and managed to play the 15'. Council Member Sniff stated the Council decided the Subcommittee would have no decision making power when it was created; and questioned how long it takes to play a round. Mr. Duncan stated at an average it takes 4 % hours, beginning at 7:00 a.m. and the last round starting at 3:30 p.m. at this time of the year, which includes 230 golfers at 7 to 8 minute tee time intervals; and explained the largest group to play is 5 with the majority being 4. In response to Council Member Sniff, Mr. Duncan explained the installation of lighting on the course would be cost prohibitive, and state none of the courses on the PGA Tour in Southern California have lighting. In response to Council Member Osborne, Mr. Duncan explained the marketing budget proposed for this year is the same amount proposed last year, but seems less due to the Council appropriating additional funds to last year's budget amount; and explained Landmark is currently ahead of the budget at about $250,000 or better. MOTION - It was moved by Council Members Henderson/Kirk to approve the SilverRock Resort Annual Plan as submitted by Landmark Golf Management, LLC. Motion carried unanimously. 2. CONSIDERATION OF CHANGES TO THE COMMUNITY SERVICES GRANT REQUEST PROCESS. Community Services Director Hylton presented the staff report. City Council Minutes 8 May 1, 2007 Council Member Henderson stated the line items in the budget should include the Arts Foundation and the Chamber of Commerce as contracted services, and questioned the amount for the Jacqueline Cochran Air Show; and stated the following organizations' requests should be made by application: Soroptimist, La Quints Playhouse, American Red Cross, CS learning Center, and Polo. Council Member Henderson conveyed her support to establishing a review board, and envisions it being made up of 5-7 people who review the contract requests, but is challenged why cannot have a committee without following the Brown Act. City Attorney Jenson explained the committee must adhere to the Brown Act as it would be a committee that has additional members along with Council Members, in response to Council Member Henderson; and explained an ad hoc committee could be established with only two members of the City Council. Council Member Sniff conveyed his opposition to establishing an ad hoc committee to review the applications for grant requests; stated he sees no value in establishing the committee and will not surrender his vote. Council Member Sniff further stated there are only two issues to consider, whether to increase the total amount of budget amount and to raise the grant amount to $5,000, in which the power remains with the City Council. Mayor Adolph stated the review of applications by an ad hoc committee would save time at a Council meeting and they would be limited to a certain number. Council Member Kirk stated he agreed with Council Member Henderson's comment in that there is a little slippery slope of economics as once an application is approved, it becomes a line item in the budget; thanked Community Development Director Hylton for coming back with a report; stated improvements to the procedure can be made; conveyed his support in reviewing applications on a quarterly basis; supports the increase of the budget amount to $100,000; conveyed his concerns of the time of lengthy presentations and the attachment of IRS documents to the application and stated the suggestion to establish an ad hoc committee was intended to streamline the process where two Council Members review and make recommendations; suggested changes be made to the application form. Community Services Director Hylton stated staff does feel they are authorized or qualified in removing attachments from the application. i74 City Council Minutes 9 May 1, 2007 Council Member Osborne stated he supports the increase of the budget amount to $100,000 and to limiting line items in the budget; requested to review other requests each year; agreed to establish an ad hoc committee as the City Council will vote on the approval and suggested Council Member Sniff be appointed as one of the members on the ad hoc committee; and stated he supports the increase of the grant amount from $2,000 to $5,000. Council Member Sniff stated he has dealt with the Arts Foundation and the Chamber of Commerce for 21 years and had to fight for funding so many times, and further stated these requests should be made as permanent line items in the budget, as well as the Air Show; stated he is not sure whether there is value in establishing the Date Festival as a line item, otherwise all others' requests are fair game; stated he will not participate as a member of the ad hoc committee and does not support establishing it; conveyed his disappointment that the Council feels they don't have enough time to review the requests; and commended Community Services Director Hylton for an excellent job in reporting the issues of this matter. Council Member Osborne questioned the suggestion of limiting grants to $5,000 and how it will impact large item requests. Council Member Sniff suggested large items should be considered in a different manner. Council Member Henderson stated a budget must be established somehow if going to consider in a different manner. Mayor Adolph stated not all of the $100,000 budget amount has to be spent and that grant awards can be less than $5,000; stated these amounts are established as guidelines for budgeting purposes; conveyed his support to establishing an ad hoc committee and the Council can observe if the process is working and saving time at Council meetings. Council Member Henderson stated she understands the concern of the amount of paperwork submitted with an application and explained many organizations prepare a report once a year to be prepared for submitting applications; stated the Council has worked long and hard on establishing the required documentation submitted with an application which is good financial responsibility; suggested to establish a cover form indicating receipt of paperwork on file and available for review instead of being included in the agenda packet. City Manager Genovese stated the suggestion of keeping the backup material on file in the Community Services Department would be feasible. City Council Minutes 10 May 1, 2007 Council Member Henderson further conveyed her support to continue the two-year restriction which keeps the organizations from coming each and every year; stated $10,000 for the Air Show, $5,000 for the Date Festival, and the Soap Box Derby should stay as line items in the budget; and suggested organizations submitting a letter of request at a Council meeting should be required to complete an application and file with staff to be considered. MOTION — It was moved by Council Members Kirk/Henderson to change the Community Services Grant Process to add $100,000 to the budget; decision made quarterly; $5,000 maximum amount; ad hoc committee established, with Council Members Osborne and Henderson; continue with two-year restriction; application process be evaluated; line items as La Quinta Arts Foundation, Chamber of Commerce, Riverside County Date Festival. Greater Coachella Valley Soap Box Derby, and Jacqueline Cochran Regional Airport Air Show. Motion carried 4-1 with Council Member Sniff dissenting. City Attorney Jenson stated for the record the ad hoc committee is being established to review applications for the first quarter only. City Manager Genovese clarified the GPA amending for the Jacquelyn Cochran Regional Airport Air Show would remain as a line item in the budget. The City Council concurred. STUDY SESSION 1. DISCUSSION OF VILLAGE PARKING AND PARKING ENFORCEMENT. Community Development Director Evans presented the staff report. Leslie Lochen, Manager of Old Town La Quints, suggested enforcement of parking not be limited to Avenida La Fonda but also on Avenida Estado; stated 8 to 10 employees park on Avenida Estado; questioned the use of the awning constructed on the city parking lot; stated employees are discouraged to utilize the lot due to the loitering of the day laborers; suggested enforcement be made between 8 a.m. to 5 p.m. with a two hour limit during business hours; stated the day laborers utilize the restrooms in Old Town; and additional police patrols has been requested. Council Member Sniff suggested installing portable restrooms at the parking lot to alleviate the situation; and establishing a designated parking area for those employees handling money. 2007-2008 COMMUNITY SERVICES GRANT AWARDS Attachment 2 Available Funding for Grants $166,007 DATE ORGANIZATION AMOUNT REQUESTED AMOUNT FUNDED 8/7/2007 KMIR 6 $5,000 $3,200 8/7/2007 Foundation for the Retarded $5,000 $5,000 8/7/2007 La Quinta High School Baseball Booster Club $2,500 S2,000 8/7/2007 Integrated Learning Institute $5,000 S2,000 8/7/2007 La Quinta High School Girls Tennis Team $3,960 $2,000 8/7/2007 Operation Safehouse $5,000 $5,000 8/7/2007 1 Soroptimist International $4,050 S4,050 8/7/2007 Osher Lifelong Learning Institute $11,700 $11,700 8/7/2007 La Quinta Arts Foundation $20,800 $20,800 8/7/2007 La Quinta Arts Foundation S25,000 $25,000 8/7/2007 Jim Murray Memorial Foundation $30,000 S10,000 8/7/2007 La Quinta Playhouse $50,000 S20,000 8/7/2007 Palm Springs Women in Film & Television $3,000 SO 8/7/2007 Sing -Along Productions $5,000 $0 8/7/2007 Holocaust Education Center S5,000 $0 8/7/2007 Truman Elementary (McCallum Aesthetic Program) $5,000 $0 8/7/2007 Polo America $3,800 $0 8/7/2007 Community Blood Bank $5,000 $0 8/7/2007 Coachella Valley Book Festival $5,000 $0 8/7/2007 Desert Cities Junior Miss $1,000 $0 8/7/2007 Coachella Valley Community Trails Alliance $5,000 $0 8/7/2007 East Valley Memorial Foundation $25,000 $0 8/7/2007 FIND Food Bank $250,000 $0 8/7/2007 Man About Town S50,000 $0 8/7/2007 25th Anniversary Sub -Committee Fireworks S25,000 $0 8/7/2007 United States Conference on Aids $0 $0 11/6/2007 La Quinta High School Softball Booster Club $5,000 $2,000 11/6/2007 Coachella Valley Community Trails Alliance S5,000 $5,000 11/6/2007 Leadership Coachella Valley S5,000 $1,700 11/6/2007 La Quinta High School Band Boosters $2,000 $2,000 11 /6/2007 Family YMCA of the Desert $5,000 $5,000 11/6/2007 Prestige at PGA West Collegiate Gof Tourney $5,000 $0 11/6/2007 1 Sing -Along Productions $5,000 $0 11/6/2007 United States Conference on Aids $5,000 $0 2/5/2008 ALS Association, Greater Los Angeles Chapter $5,000 $500 2/5/2008 Coachella Valley Amateur Sports $2,000 $1,000 2/5/2008 LQHS Girl's Basketball Booster Club $2,000 S2,000 2/5/2008 LQHS Girl's Soccer $2,500 $2,000 5/6/2008 The Arthritis Foundation $5,000 $5,000 5/6/2008 CV Rattlers Fastpitch Softball, Inc. $3,300 51,000 5/6/2008 McCallum Theatre $5,000 $5,000 5/6/2008 La Quints High School Cheer $5,000 S2,000 5/6/2008 Olive Crest $5,000 S5,000 5/6/2008 Palm Springs Women in Film & Television $3,000 $3,000 5/6/2008 Quilting for Good Times $2,000 $2,000 5/6/2008 The Ranch Recovery Centers, Inc. S5,000 $2,000 5/6/2008 So -Cal Xtreme, Inc. S5,000 S1,000 5/6/2008 Truman Elementary School S1,400 $1,400 5/6/2008 Operation Safehouse S5,000 $0 TOTAL DISTRIBUTED FUNDS $159,350 REMAINING BALANCE IN SPECIAL PROJECT CONTINGENCY ACCOUNT $6,657 17 Attachment 3 `N OF Tom' GRANT GUIDELINES The City of La Quinta offers the Grant Program for Community Services Support and Economic Development/Marketing and Sponsorships. Community Services Grants go to recognized nonprofit organizations that benefit the residents of La Quinta. Priority for funding is granted to organizations that directly benefit La Quinta residents, second consideration is given to organizations that indirectly affect the quality of life for the residents of La Quinta. Economic Development Grants go to organizations that will help strengthen the business community of La Quinta. Marketing and Sponsorship Grants go to organizations that would benefit the City of La Quinta in a marketing capacity. Individuals are not eligible for funding through the City of La Quinta Grant Program. Organizations that receive Community Development Block Grants from the City of La Quinta during the same fiscal year are not eligible for funding through the Community Services Grant program. Organizations that have been funded are ineligible for funding for the next fiscal year. Requests are limited to an amount not to exceed $5,000. La Quinta service organizations may request funds to be applied directly to rental fees for City facilities for consecutive years without the $5,000 funding limit. Completed grant applications will be initially reviewed by a designated Grant Review Committee who will then recommend consideration of approved grants to City Council. Grant applications will be considered by City Council at the first City Council meetings in August, November, February, and May of each fiscal year. Applications are due three weeks before the scheduled City Council meeting. Applicants will be informed 1-2 weeks prior to the City Council meeting regarding the status of their request. Typed applications are preferred. Incomplete applications will be returned to the applicant. Organizations requesting "seed" money are required to obtain matching funds from other sources in the same fiscal year before Community Service Grant funds will be released. For more information on the City of La Quinta Grant program, please contact the Community Services Department at (760) 777-7090. 178 Attachment 4 JnCw�.,m�4' S4 OF4 4 L1�49 • " GRANT APPLICATION FISCAL YEAR 2008-2009 Name of Organization: Amount Requested: Contact Person: Mailing Address: City: State: Zip Code: Home Telephone: Work Telephone: E-mail Address: 501(c)3 Taxpayer I.D. Number: Date Application Submitted: Applications will receive consideration without discrimination because of race, color, religion, sex, age, national origin or disability. CITY OF LA QUINTA GRANT APPLICATION (Typed applications are preferred) Please check which grant funding you are applying for: Community Services Support Economic Development/Marketing and Sponsorships l . What is the overall purpose or goal of your Organization? 2. How long has your Organization been in existence? Years Months 3. Describe in general the activities or services of your Organization: 4. How many people does your Organization currently serve? No. of Youth No. of Adults No. of Seniors 5. How many people do you intend to serve during this Fiscal Year? No. of Youth No. of Adults No. of Seniors 6. How many people served during this Fiscal Year will be La Quinta residents? No. of Youth No. of Adults No. of Seniors . 130 How many paid employees/volunteers does your Organization employ? Full time employees Part time employees Volunteers 8. Describe how your Organization is managed and governed: 9. Please provide information on your Executive Board members or contact person: Name Title Home Address Phone 10. What is your annual schedule of events, and during what months does your Organization operate? 11. Do you charge admission, membership fees, dues, etc? Yes No If yes, please describe: 131 12. What are your other sources of revenue for this funding year? Source Total Needed $ Total Received $ Balance $ 13. Amount of money requested from the City of La Quinta? $ Amount 14. Has your Organization been funded by the City of La Quinta previously? Yes No If yes, when? 15. Please provide the name and address of the bank in which the Organization's funds are kept: 16. Please provide the name and title of those individuals authorized to sign on the Organization's account (must provide at least two individuals): Name: Title: 182 17. Need Statement. Clearly and plainly state the specific, detailed reason or need for the requested funds and how these funds will be used, if awarded. 18. Goal Statement. Indicate who will benefit from the use of these funds, and how they will benefit. If applying for Economic Development/Marketing and Sponsorships grant funding, please explain how the City of La Quinta and/or local businesses would be benefited. 19. Attach copies of the last three months bank statements for the Organization's checking and savings account. 20. Attach a copy of your Program Operating Budget for the current year. 21. Non-profit Organizations must attach a copy of the organization's current IRS Form 990. COUNCIL/RDA MEETING DATE: June 2, 2008 AGENDA CATEGORY: ITEM TITLE: Consideration of License and Indemnity BUSINESS SESSION: Agreement with the County of Riverside for Fred CONSENT CALENDAR: Waring Drive and Provide Direction and Authorization to Staff regarding the Agreement STUDY SESSION: _ PUBLIC HEARING: RECOMMENDATION: Consider the County of Riverside's requested changes to the City's proposed License and Indemnification Agreement for Fred Waring Drive, provide direction to City staff regarding whether the County's proposed changes are acceptable, and authorize the City Manager to execute the Agreement in the form acceptable to the City Council. FISCAL IMPLICATIONS: None for this specific action. If claims or lawsuits are filed against the City as a result of the County's proposed roadway modifications, the City would include costs associated with those claims. In addition, if the City were required to restore the roadway to its current configuration, costs would be incurred. CHARTER CITY IMPLICATIONS: 1►GM BACKGROUND AND OVERVIEW: On March 18, 2008, the City Council conducted a Study Session for the purpose of reviewing the proposed Capital Improvement Plan (CIP) for Fiscal Years 2008/2009 through 2012/2013. Following a discussion, there was a consensus i64 that the City should take the steps necessary to widen Fred Waring Drive between Washington Street and Jefferson Street to accommodate six lanes of travel. This area consists of two constructible segments: (1) Washington Street to Adams Street, which is wholly within the City; and (2) Adams Street to Port Maria Road, in which the roadway south of the center line is within the City, and the roadway north of the center line is within the County. The County has indicated that it wishes to avoid having to acquire the homes located on the north side of the roadway. Several of the homes were constructed within the last six or seven years. To avoid the acquisition of the homes, the County is proposing to realign the road, moving the centerline to the south. Under this scenario, more than one-half of the road is in the City. Also, the bike lanes would have to be eliminated, the parkway width would have to be reduced, and the median would have to be narrowed. Such a configuration would be inconsistent with the City's General Plan. To facilitate the County's request, the City would need to process a General Plan Amendment. The City and the County have not reached agreement regarding the design of the roadway improvements in this area. In the interim, the County is proposing to complete a restriping project, purportedly as a temporary measure. This restriping involves shifting the centerline to the south from six feet in some locations to up to 15 feet in other locations. By pushing the center line to the south, the County is able to create a second westbound travel lane on the north side of the street. The City's Public Works Director has expressed concerns relating to the County's proposals for the permanent street improvements. His concerns relate in part to the difference in elevation between the driveways and the widened roadway as well as the fact that the homeowners will be exiting the driveways into multiple lanes of faster moving traffic. Shifting the roadway centerline to the south also has the effect of shifting the street noise to the south, which could potentially create the need for a sound wall. Other concerns were outlined in the Staff Report for the April 15`h City Council Study Session on this matter (Attachment 1). After conducting its April 151h Study Session regarding this matter, the Council members expressed concerns regarding the County's proposals. Some members of the Council indicated that they wanted the County to consider the alternative of acquiring the homes on the north side of the roadway. Other Council members expressed concerns regarding obtaining a commitment from the County so that the interim improvements do not become permanent. As summarized by the City Manager at the end of the Study Session, the City staff was to: (1) request the County to consider the option of acquiring the right-of-way on the north side of the roadway and the costs associated therewith; (2) negotiate a license agreement/encroachment permit with the necessary indemnification provisions from 165 the County; and (3) obtain a commitment from the County for the permanent improvements. (Attachment 2) Consistent with the City Council direction, the City submitted a License and Indemnity Agreement . (Attachment 3.) On May 20", the County submitted a revised License and Indemnity Agreement. The most significant changes that the County made are as follows: 1. Indemnification. The City's Agreement required the County to indemnify the City for claims relating to the design, construction, installation and use of the Interim Improvements. The County inserted just a garden variety mutual indemnification clause that does not specifically address the concerns of the City Attorney or the Director of Public Works, The Agreement carefully delineated the concerns and conditions that the Public Works Director holds in order to ensure that they were specifically within the scope of the County's indemnification obligation. The County deleted all of the relevant language. It also deleted its obligation to provide the City's defense with counsel the City approves, and further deleted its obligation to pay any final judgments rendered against the City or its officials. 2. Restoration. In order to ensure that the interim improvements did not become permanent, the City required that if no agreement on the permanent improvements was reached within 24 months, the County had to restore the roadway to its current configuration, and that if the County failed to complete the restoration within an additional 180 days, the City could complete it and the County would be responsible for 120% of the costs. The County's revisions make its duty to restore conditioned upon the City not "unreasonably withholding" the City's approval of the permanent improvements. In addition, it deleted the reference to the County being responsible for 120% of the costs if the County failed to complete the restoration and the City had to complete the work. 3. Permanent Improvements. The County deleted certain references that cause the City concern regarding the County's intent that the restriping is simply a temporary improvement. For example, it deleted a reference to a recital that the County "also wishes to make permanent improvements." It also deleted a statement that It]he County has indicated that the Interim Improvements will be temporary." It also deleted the statement that: ItJhe City wishes to ensure that the Interim Improvements do not become permanent." Finally, the County deleted the language that suggested that it believed the parties would come to an agreement regarding the permanent improvements. 2 1So 4. City Approval of Roadway Improvement Plans. The County has deleted text regarding the duty to submit a traffic control plan and roadway improvement plans, which were to be subject to the approval of the Public Works Director. A copy of the revised agreement from the County is Attachment 4. The City Attorney, the City Manager, and the Public Works Director do not feel that the County's revised agreement provides the City with the necessary protection, and also does not fully reflect the temporary nature of the improvements and the County's commitment to permanent improvements. In an attempt to compromise, an amended version of the agreement that incorporates the changes by the County that City staff considered acceptable to the City was completed by the City and is provided as Attachment 5. Finally, provided as Attachment 6, is a copy of the County Staff Report and accompanying agreement submitted. County and City staff will be discussing the referenced agreements between the time this report has been prepared and the City Council meeting. Staff will update the City Council regarding any further progress at the Council meeting and, request direction from the City Council. FINDINGS AND ALTERNATIVES: The alternatives available to the City Council include: 1 . Consider the County of Riverside's requested changes to the City's proposed License Indemnification Agreement for Fred Waring Drive, provide direction to City staff regarding whether the County's proposed changes are acceptable and authorize the City Manager to execute the Agreement in the form acceptable to the City Council; or 2. Reject the County of Riverside's requested changes to the City's proposed License and Indemnification Agreement for Fred Waring Drive; or 3. Provide staff with alternative direction. Respectfully submitted, k] 1CG7 M. Katherine Jenson, City Attorney Approved for submission by: Thomas P. Genovese, City Manager Attachments: 1 . April 15, 2008 Staff Report 2. April 15, 2008 City Council Minutes 3 City's Proposed License and Indemnification Agreement 4. County's Proposed Revisions to License and Indemnification Agreement (Track Changes Version) 5. Amended License and Indemnity Agreement 6. County Staff Report dated June 3, 2008 4 IUd ATTACHMENT 1 CFM OF'fNF'�ty COUNCIL/RDA MEETING DATE: April 15, 2008 ITEM TITLE: Discussion Widening of Fred Waring Street and Jefferson Street RECOMMENDATION: of Options Regarding the Drive, Between Adams As deemed appropriate by the City Council. FISCAL IMPLICATIONS: AGENDA CATEGORY: BUSINESS SESSION: CONSENT CALENDAR: STUDY SESSION: PUBLIC HEARING: The project budget and sources of funding have yet to be determined. The County has offered to pay all restriping costs for the interim improvements. Seventy-five percent of the proposed ultimate improvements may be funded by Coachella Valley Association of Governments (CVAG) with the remaining twenty-five percent to be paid by either the County or the City. CHARTER CITY IMPLICATIONS: Unknown at this time. BACKGROUND AND OVERVIEW: On March 18, 2008, the City Council conducted a Study Session for the purpose of reviewing the proposed Capital Improvement Plan (CIP) for Fiscal Years 2008/2009 through 2012/2013. Following discussion, it was the consensus of the City Council that the City take steps necessary to widen Fred Waring Drive, between Washington Street and Jefferson Street, to accommodate six (6) lanes of travel. Staff believes the best approach to meeting this direction is to separate the project into two constructible segments. The first constructible segment from Washington Street to Adams Street is fully within the City of La Quinta. The second segment from Adams Street to Port Maria Road is shared with the County of Riverside. 139 .i 0 1 The segment on Fred Waring Drive, between Washington Street and Adams Street, is included for consideration by the City Council during this meeting on the consent calendar and is not addressed further in this staff report. However, decisions regarding the segment between Adams Street and Port Maria Road may impact the design of the City owned segment. County of Riverside Transportation Land Management Agency (TLMA) and City staff have worked together over the past five years to develop widening plans that address the immediate need to stripe an additional westbound lane on Fred Waring as well as a concept plan for the ultimate six lane facility. Until recently, the County had not completed the design of any interim improvement and had been unable to commit to a time frame for completing the ultimate improvements. This caused the City staff to be concerned that the interim "striping only" improvements would remain indefinitely. In recent months, the County announced it has approved funding for the interim and ultimate improvements, and offered to take lead agency responsibility for the project. (Attachment 4). County staff also agreed to have both the interim and ultimate improvements reviewed and approved by the City Council before the City's issuance of an encroachment permit for the work. To that end City staff is plan checking the interim striping plan and presenting this report on the ultimate improvements. The County's proposed phasing for the improvements is outlined below: The first phase, or interim condition, consists of striping only and would shift the improvement centerline southerly into La Quinta's jurisdiction, as much as six feet at some locations, to accommodate two lanes of travel in each direction on the existing pavement. Doing so would prevent the City from achieving three lanes in the eastbound direction in the segment between Adams Street and 450 feet east of Dune Palms Road until the County implements the second phase of its two phase project. The County's second phase, or ultimate condition, would construct a 6-lane facility (three lanes in each direction) with a 12-foot wide median. However, in doing so, the project would be implemented in a non-traditional manner within the existing right-of-way (ROW) instead of the full complement ROW. The County proposes to avoid ROW acquisition on the north side, and squeeze a six -lane facility into the existing 110 feet of ROW (50 feet on the County side, and 60 feet on the La Quinta side). In order to implement the unique roadway configuration proposed by the County, the City Council would have to approve a General Plan Amendment and consider the various impacts the roadway configuration has on traffic safety, landscape and streetscape aesthetics, and alternative transportation modes such as bicycles and golf carts. • A;237 The County has developed three potential alternatives for implementing a six -lane facility within the existing 110 feet of ROW which are discussed in Attachment 1, the improvement study prepared for the Riverside County Transportation Department (RCTD). Attachment 2 identifies the differences between each alternative. Alternative No. 1: Proposes to widen the north side of Fred Waring Drive and relocate the road centerline into La Quinta's ROW to provide 39 feet of travel way with a 12 foot median and a 12 foot wide backout lane for the residential properties on the north side of the road. This alternative would require extensive reworking of the private residential driveways and would place the median entirely within the City's ROW. It would also reduce lane widths below the City's General Plan widths, eliminate mid -block left turns, eliminate bike lanes and eliminate the sidewalk on the north side of the street. Alternative No. 2: Proposes to widen and elevate the north side of Fred Waring Drive and relocate the road centerline into La Quinta's ROW to provide 39 feet of travel way with a 12 foot median and a 12 foot wide driveway access for the residential properties on the north side of the road. This alternative would reduce the reconstruction of the residential driveways, but would create a median with a steep cross slope which would preclude landscaping. It would also create possible utility impacts, reduce lane widths below the City's General Plan widths, eliminate mid -block left turns, eliminate bike lanes and eliminate the sidewalk on the north side of the street. Alternative No. 3: Proposes to shift the eastbound lanes 5 feet south and reduce the parkway width on the City's side of the street. This alternative would also elevate the north side of Fred Waring Drive and provide 39 feet of travel way with a 12 foot median and a 12 foot wide driveway access for the residential properties on the north side of the road. This alternative would further reduce the reconstruction of the residential driveways and would still create a median with a steep cross slope which would preclude landscaping. It would also create possible utility impacts, reduce lane widths below the City's General Plan widths, eliminate mid -block left turns, eliminate bike lanes and eliminate the sidewalk on the north side of the street. The County report further states that the median could be constructed even narrower than 12 feet between the intersections as no left turns are being permitted, This would apply to all three alternatives. .s.61 238 191 Staff believes the County's alternatives leave a number of traffic safety and aesthetic issues unaddressed. Most notable are the following: • In order to accommodate access to Fred Waring for the homes on the north side of the street, the County proposes a 12-foot wide "backout" shoulder adjacent to the traffic lanes. This 12-foot wide shoulder lane causes the traffic lanes and the median to be reduced in size. • The County also proposes to reduce the parkway width on the north side to help accommodate the backout shoulder. • The County proposes a 12-foot wide median instead of a 14-foot wide median which eliminates the raised median noses at intersections and mid - block left turn pockets. Failure to implement a raised median nose in the westbound to southbound left turn pocket at Dune Palms Road could be particularly hazardous because of the proximity of Old Harbour Road on the north side of the street. • The County proposes to reduce the perimeter landscaping by five feet in front of the La Quinta Palms subdivision (Alternative 3 only). • The County's alternatives preclude implementation of bike/golf cart lanes in La Quinta on Fred Waring Drive which is contrary to the General Plan Multi - Purpose Trails exhibit of the City's General Plan. • If implemented the sloped median (i.e. a cross -slope) between the eastbound and westbound roadways (Alternative 2 and 3) may increase glare for eastbound drivers, make left turn pockets unsafe and virtually eliminate landscaping in the median. General Plan Amendment: Based on the RCTD report, the proposed improvements for Fred Waring Drive between Adams Street and Port Maria Road are inconsistent with the City's adopted General Plan, This is due to Fred Waring Drive's designation as a Major Arterial and the proposed improvements being inconsistent with the General Plan cross section for a Major Arterial (Attachment 3). Specifically, the proposed improvements shrink the ROW from 120' to 110' eliminating bike lanes, which are not only a requirement of the Major Arterial designation but are also a requirement of the street's designation, as a Class II Bike Route. Because of this, a General Plan Amendment would be required; however, due to this portion of Fred Waring Drive's connectivity with other designated bike routes, it should not be considered in an isolated manner. ,..0 L 239 1J2 FINDINGS AND ALTERNATIVES: Staff requests direction on the following areas: 1. Should interim striping improvements be approved which would allow two lanes to be striped in each direction on Fred Waring by moving the centerline of the roadway into the City's jurisdiction in the segment between Adams Street and Port Maria Road? 2. Should the County, City and CVAG staff prepare a Memorandum Of Understanding for the ultimate improvements? 3. Should a General Plan Amendment be prepared for one of the proposed ultimate improvement alternatives or should additional alternatives, including acquiring the ultimate street ROW width be considered? 4. If one of the three proposed alternatives are selected, what design features should be included (i.e. bike trails, median landscaping, mid -block left turns, etc.)? Respectfully submitted, Ti othy R. c ass .E. ublic Work irect City Engineer Approved for submission by: Thomas P. Genovese, City Manager Attachments: 1. Fred Waring Drive Improvement Study 2. Differences between alternatives 3. General Plan street cross sections 4. Letter from County dated March 28, 2008 .•_1J. 240 103 ATTACHMENT 2 LA QUINTA CITY COUNCIL MINUTES APRIL 15, 2008 A regular meeting of the La Quints City Council was called to order at the hour of 3:30 p.m. by Mayor Adolph. PRESENT: Council Members Henderson, Kirk, Osborne, Sniff, Mayor Adolph ABSENT: None PUBLIC COMMENT Randy Buchsbaum, 78435 Via Palomino, introduced a new product called "Cool and Save," a mini -misting system connected to the air conditioner to help cool residences and reduce electricity costs. Council Member Henderson recommended he speak with the City's energy representative. CLOSED SESSION Council Member Osborne did not participate in Item No. 1 due to a potential conflict of interest. 1. Conference with the City's real property negotiator, Douglas R. Evans, pursuant to Government Code Section 54956.E concerning potential terms and conditions of acquisition and/or disposition of real property for the following: Property Owners/Negotiators: Turner Development - APN 767- 220-004); Majestic Ranch - APN 767-230-001, -002, and -003: and CCI Airport 77 - APN 767-360-011 and -012. The City Council recessed to the Redevelopment Agency and to Closed Session to and until the hour of 4:00 p.m. 4:00 P.M. Mayor Adolph led the audience in the Pledge of Allegiance. PUBLIC COMMENT Jerry Patton, President of College of the Desert, expressed appreciation for the City's support of the Public Safety Academy, and presented a rendering of the new academy. L City Council Minutes 2 April 15, 2008 CONFIRMATION OF AGENDA Council Member Osborne requested Consent Item No. 9 be moved to Business Item No. 4. ANNOUNCEMENTS — None PRESENTATIONS Mayor Adolph presented a proclamation to Lieutenant Ray Gregory on behalf of the Riverside County Sheriff's Department in support of May 2008 as Peace Officer Memorial Month. r r r r r r r r r r r r Mayor Adolph presented a proclamation to Captain Mark Miller of the Indio Police Department on behalf of the Riverside County Department of Mental Health in support of May as Mental Health Month. WRITTEN COMMUNICATIONS 1. WRITTEN CORRESPONDENCE FROM MARTY W. BUTLER, TRANS WEST HOUSING, DATED MARCH 27, 2008, REGARDING NOTICE OF DEFAULT OF 'SUBDIVISION IMPROVEMENT AGREEMENT — TRACT MAP 29436. Council concurred to direct staff to bring this matter back on the next agenda for consideration. APPROVAL OF MINUTES Council Member -Henderson requested her comments on Page 9 in paragraph 3, be revised to reflect an understanding that there is potential for the monument to be disturbed and that she understands the need for flexibility. MOTION — It was moved by Council Members Sniff/Henderson to approve the City Council Minutes of April 1, 2008, as amended. Motion carried unanimously. i95 City Council Minutes 3 April 15, 2008 CONSENT CALENDAR 1. APPROVAL OF DEMAND REGISTER DATED APRIL 15, 2008. 2. RECEIVE AND FILE TREASURER'S REPORT DATED FEBRUARY 29, 2008. 3. RECEIVE AND FILE REVENUE & EXPENDITURES REPORT DATED FEBRUARY 29. 2008 AND INVESTMENT SUMMARY REPORT FOR THE QUARTER ENDING MARCH 31, 2008. 4. ADOPTION OF A RESOLUTION TO EXTEND THE TIME FOR COMPLETION OF OFFSITE AND ONSITE IMPROVEMENTS FOR AMENDED TRACT MAP 31732 AND TRACT MAP 31733, PALIZADA, KS HOME COASTAL, INC. (RESOLUTION NO. 2008-022) 5. APPROVAL OF CONTRACT AMENDMENT NO. 2 TO A PROFESSIONAL SERVICES AGREEMENT (PSA) WITH RBF CONSULTING TO PREPARE THE PLANS, SPECIFICATIONS, AND ENGINEER'S ESTIMATE OF PROBABLE CONSTRUCTION COSTS FOR THE HIGHWAY 111 CORRIDOR IMPROVEMENTS FROM ADAMS STREET TO JEFFERSON STREET, PROJECT NO. 2001-07A. 8. APPROVAL OF AMENDMENT NO. 1 TO THE MEMORANDUM OF UNDERSTANDING (MOU) BETWEEN THE RIVERSIDE COUNTY TRANSPORTATION COMMISSION (RCTC) AND THE CITY OF LA OUINTA FOR THE FUNDING AND JOINT DEVELOPMENT OF STATE HIGHWAY 111 IMPROVEMENTS BETWEEN WASHINGTON STREET AND THE WESTERN CITY LIMITS. 7. APPROVAL OF SECOND READING OF ORDINANCE NO. 455 APPROVING DEVELOPMENT AGREEMENT 2003-006, AMENDMENT NO. 3, BETWEEN THE CITY OF LA QUINTA AND CP DEVELOPMENT LA QUINTA, LLC. 8. APPROVAL OF AMENDMENT NO. 1 TO THE MEMORANDUM OF UNDERSTANDING (MOU) BETWEEN THE RIVERSIDE COUNTY TRANSPORTATION COMMISSION (RCTC► AND THE CITY OF LA QUINTA FOR THE FUNDING AND JOINT DEVELOPMENT OF STATE HIGHWAY 111 IMPROVEMENTS BETWEEN SIMON DRIVE AND ADAMS STREET. 9. SEE BUSINESS SESSION ITEM NO. 4. 196 City Council Minutes 4 April 15, 2008 10. APPROVAL OF CONTRACT AMENDMENT NO. 1 TO A PROFESSIONAL SERVICES AGREEMENT (PSA) WITH WILLDAN TO PREPARE THE PLANS, SPECIFICATIONS, AND ENGINEER'S ESTIMATE (PS&E) OF PROBABLE CONSTRUCTION COSTS FOR THE TRAFFIC SIGNAL AT THE INTERSECTION OF FRED WARING DRIVE AND PALM ROYALE, PROJECT NO. 2007-06. MOTION — It was moved by Council Members Sniff/Henderson to approve the Consent Calendar as recommended and amended with the exception of Item No. 9 and with Item No. 4 being approved by RESOLUTION NO. 2008-22. Motion carried unanimously. BUSINESS SESSION 1. CONSIDERATION OF SPORTS FIGURES ACKNOWLEDGMENTS. Community Services Director Hylton presented the staff report. In response to Council Member Sniff, Community Services Director Hylton explained there is no minimum age limit in the criteria for consideration of the Sports Figure Acknowledgments. Council Member Sniff questioned if criteria should be established. Council Member Henderson stated the criteria have three levels of recognition to be met. Council Member Sniff stated some of the categories, such as swimming, have very young athletes; and questioned if there should be a minimum age limit. , Mayor Adolph stated a candidate should be considered based on performance rather than age. Council Member Sniff stated this issue may surface sometime. Mayor Adolph stated he knows Albie Pearson personally. He is an ordained minister, operates a house for at -risk boys, and played for the Los Angeles Angels. MOTION - It was moved by Council Members Kirk/Henderson to approve the addition of Albie Pearson, Arnold Palmer, Cullen' Wilson, and Brittany Reimer's names to the Sports Acknowledgment Area and ceremony. Motion carried unanimously. iJl City Council Minutes 5 April 15, 2008 2. CONSIDERATION OF THE SILVERROCK RESORT 2008/2009 ANNUAL PLAN. Community Services Director Hylton presented the staff report. Council Member Osborne thanked Landmark for doing an outstanding job managing the course and the success of the first Bob Hope Chrysler Classic. In response to Council Member Osborne, Community Services Director Hylton confirmed the deficit is less each year, and additional funds have been placed in the annual plan to address weather issues that might come up. Council Member Sniff noted although the deficit is getting smaller, it is still a sizeable amount; and asked if Landmark has introduced any creative ideas to increase play on the golf course and decrease the deficit. Randy Duncan, representing Landmark, stated they continue to look at ways to increase rounds of golf and the numbers improve every year; and noted there are limitations in being able to increase the resident rate. Council Member Sniff stated he is not suggesting raising rates, but rather increasing the number of players. Mr. Duncan stated the play in season does not allow having open tee times and the course can only accommodate a certain number of players; and confirmed there is approximately four to five months of reduced play on the course during the summer season. In response to Mayor Adolph, Mr. Duncan confirmed staff continues to work with organizations to play tournaments at the golf course. Mr. Duncan confirmed a larger clubhouse would accommodate more golfers and larger tournaments, in response to Council Member Henderson. Council Member Henderson noted when the new clubhouse is completed; play on the course may increase. She asked if it is typical to close the course two weeks prior to the Classic, to which Mr. Duncan responded, "Yes," but most of the courses are private. He stated the closure of SilverRock for the Classic reduced the number of plays this year; and stated staff is able to close the course a little longer for the next Classic as there are options to help control divots in the fairways and ball marks on the greens. In response to Council Member Henderson, Mr. Duncan explained the PGA requires the course to be closed the week before the tournament. .i 9 8 City Council Minutes 6 April 15, 2008 Council Member Kirk stated Landmark is doing a good job in managing the SilverRock Resort golf course; and questioned what the actual operating budget deficit is anticipated to be this year. Mr. Duncan explained they expect to beat the budget for last year and anticipate being in the high $300,OOOs. In response to Council Member Kirk, Community Services Director Hylton confirmed $100,000 will be included in the SilverRock budget for the annual contract for the Bob Hope Classic; stated she was not part of negotiations for use of the golf course for the Bob Hope Chrysler Classic, but additional costs were anticipated; and explained the extra cost is due partly to improvements made to the parking lot prior to the event. Council Member Kirk questioned for how long a deficit was forecasted when SilverRock was planned. Community Services Director Hylton stated it was forecasted for six years, and the Resort is in its fourth year. City Manager Genovese explained it will greatly depend on the progress of the condominium hotel and addition of a second course, which will result in an increase of a higher per average rate due to resident play on both courses.. Council Member Kirk asked to review the original projections with assumptions and how close we're tracking them. Mayor Adolph stated the City has purchased equipment and revamped the course for accessibility over the last few years; and as a result, less maintenance in preparation for the Classic will be needed and more revenue over the next couple of years; questioned if the sand traps can be watered down to keep the sand from blowing away. Mr. Duncan explained thicker sand can be used after the Classic, but the PGA requires finer sand during the Classic. Mayor Adolph stated there will be fewer expenses to establish the course during the first few years; stated the course cannot handle more golfers than it can accommodate, and, unfortunately, there is a great reduction of play during the summer. Council Member Sniff suggested the play could be extended by installing lights on the course. MOTION — It was moved by Council Members Kirk/Sniff to approve the SilverRock Resort Annual Plan as submitted by Landmark Golf Management, LLC. Motion carried unanimously. 1J� City Council Minutes 7 April 15, 2008 3. CONSIDERATION OF THE COMMUNITY SERVICES COMMISSION WORK PLAN FOR FISCAL YEAR 2008/2009. Community Services Director Hylton presented the staff report. In response to Council Member Kirk, Community Services Director Hylton confirmed an aggressive review of a fitness trail is included in the plan; and explained staff and two members of the Community Services Commission are working on the trails system with the Coachella Valley Trails Coalition and Bureau of Land Management; and stated staff anticipates a plan addressing these issues to be presented to the Community Services Commission in approximately 30 days. Council Member Henderson commented on the two previous City -sponsored firework shows being fabulous, but is concerned the high school location may have affected attendance, and asked about exploring use of the Civic Center Campus. Community Services Director Hylton explained staff is requesting funding in the next fiscal budget to conduct an analysis to utilize the Civic Center Campus for the event in Fiscal Year 2009/2010. She further explained staff is requesting funding for the full amount of the fireworks show in the amount of 030,000. Council Member Henderson requested a caveat in the budget that includes a three-month update on issues such as where the fireworks will be located. In response to Council Member Sniff, Community Services Director Hylton explained the Community Services Commission generally meets once a month, except for going dark in September, and the meetings last about 1'/: hours for a total of 18 hours for the year. Council Member Osborne suggested a fireworks show following the annual birthday party picnic at La Quints Park. He also questioned the status of the land use agreement at the Colonel Mitchell Paige School. Community Services Director Hylton stated the school facility is being used on Saturdays only and will engage in a sports agreement with the school district when there is more use of the park. Community Services Director Hylton confirmed improvements will be made to the facility upon the City maintaining the fields at Colonel Mitchell Paige School. In response to Council Member Osborne, Community Services Director Hylton explained the Coachella Valley Parks and Recreation District is 200 City Council Minutes 8 April 15, 2008 conducting a study at the top of the Whitewater Channel for the possibility of establishing a bike/walking trail. Mayor Adolph commented on this being an aggressive work plan, and complimented staff on the success of the Jazz concert at the Campus. In response to Council Member Osborne, Community Services Director Hylton explained grant funding received by the Coachella Valley Parks and Recreation District for the Avenue 58 Coral Mountain Project has expired, and funding has been allocated to other projects, including the La Quinta Community Park; and stated the District has contacted Planning Director Johnson to discuss the project. Planning Director Johnson explained staff spoke to the District at a constructive meeting regarding 77 conditions for the project, but has not heard back from them since. City Attorney Jenson stated her office has received a letter from their legal counsel asking to proceed without any permits. Council Member Henderson stated she believes the jazz concert was held in Old Town and asked if the overall plan for the Whitewater Channel will be a dotted line bike trail. Community Services Director Hylton stated the challenge will be if it's feasible to complete in just La Quinta and it will be a challenge to complete in either direction; confirmed citizens want places to bike and walk, and it's a challenge crossing major intersections. Council Member Sniff expressed caution about doing something in the channel because of the potential for flooding. MOTION — It was moved by Council Members Henderson/Sniff to approve the Community Services Commission 2008/2009 Work Plan. Motion carried unanimously. 4. CONSIDERATION OF CITY OF LA QUINTA 2008/2009 ECONOMIC DEVELOPMENT PLAN. (This item was moved from Consent Item No. 9.) Council Member Osborne stated staff has done a good job incorporating changes requested by the City Council to establish an action plan; stated the plan is a bit aggressive from a timing standpoint; and questioned how is staff going to complete the plan this year. Assistant City Manager -Development Services Evan explained the plan is a team effort, and confirmed updates of accomplishments will be reported to the City Council. 201 City Council Minutes 9 April 15, 2008 Council Member Osborne suggested appointing a member from the City Manager's office on the Chamber of Commerce Executive Board to provide better monitoring and communication, as the City provides significant funding to the Chamber. Council Member Sniff noted the Chamber must maintain their independence, and having a City staff member on the Board could compromise the relationship and become a participant in the organization itself. Council Member Henderson explained some years ago the Chamber was becoming a quasi -governmental agency and they didn't want that. She feels it's good for them to retain their independence. Council Member Kirk asked if the City Attorney agrees having a staff person would contaminate the Board. City Attorney Jenson stated the more funding and resources provided by the City, the more need thqre may be to look at political issues they're advocating and maybe restrict some of their activities; if the Council wishes to have someone on the board, she prefers reviewing their regulations before appointing a staff member to the Board. Council Member Kirk stated it's worth discussing as a policy issue if we find out there are no legal issues. Council Member Osborne stated the Chamber of Commerce is very successful and would like to take the opportunity to partner with them. Mayor Adolph stated the Palm Desert Chamber of Commerce includes public officials in their magazine, whereas La Quinta doesn't, but he does not know if Palm Desert provides funding to their Chamber of Commerce. Council Member Sniff stated contributions make the City vulnerable, and recommends maintaining their independence. Council Member Henderson spoke in support of reviewing the legal aspects prior to considering an appointment. Mayor Adolph requested the City Attorney bring back a report on any legal ramifications of appointing a staff member to the Chamber of Commerce Executive Board. �U2 City Council Minutes 10 April 15, 2008 MOTION — It was moved by Council Members Osborne/Sniff to approve the City of La Quinta 2008/2009 Economic Development Plan. Council Member Kirk commended staff for presenting a much tighter Economic Development Plan. Mayor Adolph thanked staff for the update of statistical information. Motion carried unanimously. STUDY SESSION 1. CONTINUED DISCUSSION OF CITY OF LA QUINTA MARKETING STRATEGIES FOR FISCAL YEAR 2008/2009. Management Analyst Casillas presented the staff report. In response to Council Member Osborne, Management Analyst Casillas stated the estimated budget for the marketing programs is $450,000, which is comparable to last year. Council Member Sniff commended staff on a job well done; stated the City must -maintain the ability to remain flexible due to the economy and will need to react locally; and suggested discussing the Marketing Committee. Council Member Henderson conveyed her satisfaction with the program; stated the current issue is to address the marketing committee; what it is expected to do, the criteria to be used to rate a request, and whether the requests falls under "marketing" and if not, to come back through the grant process. Council Member Kirk referred to Attachment 1 of the staff report, and stated he sees a lot of value and need to spend public money to get information out about public services, the City calendar, and public relations, but is skeptical about using funds for generic messages such as "Shop and Dine La Quints; he prefers spending money to make the community good rather than promoting that the City is good; stated would like to see the water conservation program promoted; not sure what we are trying to achieve with the general message items listed on Page 7 and 8 of the staff report; can see value in bus wrap ads if for a specific purpose, such as the Bob Hope Classic or the Arts Festival, but not for generic advertising; stated he is supportive of half of what we are doing and skeptical about the other half; suggested taking advantage of cooperative advertising, with the geographic links between SilverRock Resort, Old Town and the La Quinta Hotel and look at �U City Council Minutes 11 April 15, 2008 ways to provide synergy in their own marketing efforts immediately; stated he errs on the side of specificity and has a little concern about spending funds for generic purposes. Mayor Adolph conveyed disagreement with Council Member Kirk's comments; stated the Valley is known by the word Palm Springs, and the marketing program is an effort to get La Quints's name out there; stated many visitors that come into the Valley don't know La Quinta; he would like to see bus wrap advertising . of La Quints in Palm Springs to get the word out; stated advertising is a necessity and marketing is an effort to get the City's name out into the general public for at least a short period of time; and asked if staff has received information from SunLine regarding their proposal for advertising. Ms. Carter, Kiner Communications, stated she can obtain information and samples of what SunLine is proposing. Mayor Adolph stated The La Quinta Sun showed a map of the businesses on the back page in last Thursday's issue; and suggested something similar be created for Highway 111 and distribute it at the local hotels. Council Member Henderson stated the City Council has already agreed to produce something similar to that. Council Member Sniff conveyed disagreement with Council Member Kirk's comments; one of the reasons we became a Charter City is to accomplish things the City could not address as a General Law City; stated the advertising must be dynamic, creative and somewhat repetitious as the City is dealing with an ever changing group of people; stated the City must support the businesses that make it economically viable and successful; stated the City must produce informative advertising on an ongoing basis; and conveyed agreement with the comments made by Mayor Adolph. Ms. Carter explained the advertising this year is a more "call to action" style; and the current ad campaigns list specific events to come play, shop, dine and stay in La Quinta. In response to Council Member Henderson, Management Analyst Casillas explained there are several pieces to the Marketing Plan, such as business development, advertising, etc. Council Member Henderson stated the challenge is that requests have been dumped on the marketing budget; stated funds must be allocated for marketing requests; and criteria established to evaluate a request by the marketing committee. Lug City Council Minutes 12 April 15, 2008 Council Member Sniff stated the first thing to review is whether it is a legitimate request under marketing. Council Member Henderson stated a marketing committee should be established if it has not already been done. Council Member Kirk explained the City of La Quinta was included in an advertisement displayed in Time Square, New York, and questioned if Kiner Communications initiated it. Ms. Carter stated she was not aware of the advertisement. Mayor Adolph stated the advertisement was related to affordable housing. Council Member Kirk noted an advertisement like that would cost as much as what we budget for marketing for the entire year; stated he feels doing a story about great things happening in La Quinta is a better use of funds than spending a small amount trying to buck a trend that has existed for years; stated spending $200,000 on general, feel good messages about La Quinta is a waste of money. Mayor Adolph stated anything that we can do to promote La Quinta is worthwhile, but not putting all our funds in one basket. Council Member Henderson stated the City is going to reap a lot of notoriety based on the Vista Dunes project. Ms. Carter explained allocating funds in several venues is a general marketing philosophy. Council Member Sniff stated this issue is very important; stated the ideas that have been presented may not be particularly beneficial, and advertisement in Time Square will be viewed by a few people in Time Square; stated the proposed marketing plan is very important as it is diverse and the City needs to follow it. Mayor Adolph questioned if the City Council wishes to address the Marketing Committee. Council Member Henderson stated the Marketing Committee already exists; and criteria and a point system for qualifying requests need to be established. Council Member Kirk stated the approach, even though difficult, through community service requests may have application here; must consider if the requests are allocated from a marketing budget; if there is a cap and competition, we must consider if more important than a bus wrap; would BUJ City Council Minutes 13 April 15, 2008 rather see different ideas competing for one another; stated it is a challenge when we receive requests for funding mid -year and questioned how the City Council wrestles with this issue. Council Member Henderson questioned if the recommendation from last year's budget was $410,000 and the request now is $450,000. City Manager Genovese explained there was a small discretionary amount of $20,000 or $50,000. Council Member Henderson suggested finalizing a figure and a discretionary fund amount. City Manager Genovese further explained a discretionary amount was recommended last year and will do the same this year; stated staff didn't separate the requests for discretionary funds last year, but had a separate amount, and will be doing the same this year when the budget is presented for review. Mayor Adolph questioned if the list of requests will be prioritized. City Manager Genovese explained it was intended to compile the order of the items in the staff report; stated staff will prioritize the requests during the budget process as funding may not be available for all requests; and explained this is the first step of the process. Council Member Sniff requested the opinion of the City Council as to whether we could potentially add someone to this committee, such as the La Quinta Resort and Club or one or two other business entities. Mayor Adolph stated the Resort is managed by the Hilton Hotels. Council Member Henderson stated other businesses should be invited; suggested having one meeting per year with all the managers of the hotels and solicit advice. Council Member Osborne stated he would be very interested in hearing comments given by other businesses. Council Member Kirk questioned if anyone is opposed to getting the La Quinta Hotel, SilverRock Resort and Old Town together immediately to discuss joint marketing strategies; would like to see it happen sooner than later, and not wait for July 1. Council Member Henderson questioned if staff has met with the Village for cooperative marketing. Ms. Carter stated this proposal is planned to begin for the next fiscal year but they can meet earlier. zoo City Council Minutes 14 April 15, 2008 2. DISCUSSION OF OPTIONS REGARDING THE WIDENING OF FRED WARING DRIVE BETWEEN ADAMS STREET AND JEFFERSON STREET. Public Works Director Jonasson presented the staff report. In response to Council Member Henderson, Public Works Director Jonasson explained the designation to six lanes was changed in 2003 in recognition of the east/west corridor being developed along Fred Waring Drive. Engineering Consultant Nickerson explained in 1986 CVAG forecasted the traffic on Fred Waring Drive from Palm Desert to Indio to be a six -lane road. In response to Council Member Henderson, he further explained when Measure A was adopted in 1989 Fred Waring Drive was designated as six lanes; stated he doesn't know how long it has been listed as six lanes in the County General Plan. In response to Council Member Osborne, Public Works Director Jonasson confirmed the change of the curb line on the south side and last lane to the south is listed in Alternative No. 3. Public Works Director Jonasson confirmed the centerline of the street is the boundary line between the County and City of La Quinta. In response to Council Member Sniff, Public Works Director Jonasson confirmed the alternatives presented have been mainly developed by the County; stated staff does not have any additional alternatives at this time; stated there could be safer alternatives from an engineering view; explained the County's alternatives were developed from the standpoint of not disturbing the homes on the north side; and confirmed there could be a better option, but would be a derivative from the three alternatives presented. Council Member questioned if it would help to reduce the width of the median. Public Works Director Jonasson stated reducing the width would help, but it would be a challenge to install left -turn pockets and recommended not reducing it to less than 12 feet. Public Works Director Jonasson confirmed if the homes were left on the north side of the street, the three alternatives presented would be the best choice, in response to Council Member Osborne. Public Works Director Jonasson further explained the standard is 12 foot lanes next to the median, a minimum of 11 feet for through lanes, and outside lanes are 16-foot minimum width with a striped bike lane. City Council Minutes 15 April 15, 2008 In response to Council Member Osborne, Public Works Director Jonasson explained the project would begin construction in about 18 months as it has not gone through the design and environmental process. Council Member Osborne stated there is time to plan and install temporary striping in the meantime. Public Works Director Jonasson confirmed there are existing houses on the north side of Fred Waring Drive, in response to Council Member Sniff. City Manager Genovese stated there are 24 houses, with a few of them not facing Fred Waring Drive that would be affected if the street was widened to the ultimate width. Council Member Sniff stated the only way to obtain the best solution is to deal with the houses. Council Member Osborne stated the houses are on County property and we cannot mandate the houses to be moved. City Manager Genovese explained the County cannot widen the street under the best circumstances without removing the houses, and the City Council changing the General Plan and moving the centerline; stated once the project moves forward, the encroachment permit process will take at least 12 months; and once the restriping is.completed and if we cannot come to an agreement with the County, the City may need to retract the encroachment permit. Mayor Adolph stated one of the problems is the County knew about the need for improvements and has allowed homes to be built. Council Member Henderson conveyed her agreement with the interim improvements; stated the City needs to lock the County into an agreement for overall funding for the improvements; stated the City would not be conducting eminent domain on the houses, and doesn't think the County will do it. Council Member Kirk conveyed his agreement with Council Member Sniff's suggestion to considering the acquisition of the right-of-way; would like to know how much the acquisition will cost; believes when Supervisor Wilson says they are committed to the ultimate improvements; would like to hear alternate recommendations from the City Engineer; and suggested moving forward with the project. Mayor Adolph stated Mr. Wilson is committed to the improvements concerning the County's property only; and conveyed his support for the restriping, but doesn't want to make a full commitment at this time. Council Member Henderson stated moving the center line may create noise, and result in looking into sound walls. t-UH City Council Minutes 16 April 15, 2008 City Manager Genovese summarized the direction of the City Council: 1> request the County to consider a fourth alternative and obtain the costs and projections; discuss the issuance of an encroachment permit and license agreement; proceed to obtain an indemnification from the County in the next few weeks; and obtain a commitment of funding for perimeter improvements. Council Member Osborne stated the City needs to get the temporary striping done in the mean -time. City Manager Genovese stated the negotiations should not take too long. Council Member Sniff stated there is a need to look at both an immediate and comprehensive solution. Public Works Director Jonasson stated the design alternatives presented will impact the median when it raises the road bed to the north, and asked if the City Council would rather keep the median intact. Mayor Adolph requested to review a plan of how the changes would impact the street widening and the median. City Manager Genovese stated the City Council will have an opportunity to review the County's plan due to the change of the centerline when considering alternatives during the environmental process. The City Council recessed to and until 7:00 P.M. 7:00 P.M. PUBLIC COMMENT — None PRESENTATIONS — None �u9 City Council Minutes 17 April 15, 2008 PUBLIC HEARINGS 1. PUBLIC HEARING TO CONSIDER A RESOLUTION ADOPTING THE FISCAL YEAR 2008/2009 THROUGH 2O12/2013 CAPITAL IMPROVEMENT PROGRAM AND MAKING CERTAIN FINDINGS PURSUANT TO HEALTH AND SAFETY CODE SECTION 334451a). Public Works Director Jonasson presented the staff report. In response to Council Member Kirk, Public Works Director Jonasson described the difference between Phases II and III as Phase II is between Jefferson Street and Adams Street with street -widening improvements at three undeveloped properties and installing dual turn lanes at critical intersections; Phase III is from Point Happy to the westerly City limits; a six -lane facility will be created on Washington Street, relief of the rock fall hazard, and enhance the entrance to City. Mayor Adolph thanked staff for eliminating the traffic signal at Avenue 54 and Jefferson Street as it was not appropriate; addressed the median on Airport Boulevard, and suggested experimenting with the back nine greens (synthetic turf) for aesthetic purposes and bring color to the area. Public Works Director Jonasson stated there is $80,000 budgeted for DG and dirt and questioned if additional funding would be provided for installing synthetic turf. The Mayor declared the PUBLIC HEARING OPEN at 7:18 p.m. Helen Ready, 48-241 Calls Floristas, Secretary of the Board of Directors, Laguna De La Paz, related a request by members of the association to list concerns of a sound attenuation wall; and requested that no determination be made until all questions have been resolved by all parties. Kay Wolff, 77-227 Calle Ensenada, conveyed support of the allocation for improvements to the nature preserve; stated one year ago the City Council took action to remove the berm due to an incident; and thanked the City Council and staff for their efforts. There being no additional requests to speak, the Mayor declared the PUBLIC HEARING CLOSED at 7:21 p.m. Council Member Kirk stated he received an email from a commissioner regarding Highway 111; stated the City has been criticized about the look of Highway 111 and suggested allocating funds for a design study to redevelop portions of the area. City Council Minutes 18 April 15, 2008 Council Member Osborne stated the City Council discussed a design study a few years ago from a building standpoint, and stated it is a good idea to bring Phase II and III together. Council Member Henderson stated the City has an approved landscape design and it is not unusual to have it brought forward for review; not sure can have completed rapidly, but at least will have a starting document. Council Member Kirk requested the Community Services Department incorporate a sand volleyball court. Council Member Sniff stated he has been on the City Council throughout the development of Highway 111 and it has been successful; stated he has no objection to periodically reviewing the matter; supports improving the area if it is practical; and stated we are fortunate to have designed the area well. Mayor Adolph stated the auto dealers on Highway 111 won an architectural award for landscaping; conveyed support for making aesthetic improvements to the area. RESOLUTION NO. 2008-023 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA OUINTA, CALIFORNIA, ADOPTING 'THE FISCAL YEAR 2008/2009 THROUGH 2012/2013 CAPITAL IMPROVEMENT PLAN AND MAKING CERTAIN FINDINGS PURSUANT TO HEALTH AND SAFETY CODE SECTION 334451a) AND CONSENTING TO THE EXPENDITURE OF FUNDS FOR THE IMPROVEMENTS. It was moved by Council Members Sniff/Henderson to adopt Resolution No. 2008-023 as submitted. Motion carried unanimously. 2. CONTINUED PUBLIC HEARING TO CONSIDER ADOPTION OF RESOLUTION TO IMPOSE A GOLF CART PERMITTING FEE. Council Member Henderson stated staff is recommending removing the item from the calendar until further notice. MOTION - It was moved by Council Members Sniff/Henderson to table the matter of imposing a golf cart permitting fee. Motion carried unanimously. City Council Minutes 19 April 15, 2008 3. CONTINUED PUBLIC HEARING TO CONSIDER ADOPTION OF RESOLUTIONS AND ORDINANCES FOR: 1) CERTIFICATION OF AN ENVIRONMENTAL IMPACT REPORT; 2) EDEN ROCK AT PGA WEST SPECIFIC PLAN 83-002, AMENDMENT NO. 6; 3) GENERAL PLAN AMENDMENT 2006-107; 4) ZONE CHANGE 2006-127; 5) TENTATIVE TRACT MAP 33226; 6) SITE DEVELOPMENT PERMIT 2006-852; AND 7) DEVELOPMENT AGREEMENT 2006-011, ASSOCIATED WITH DEVELOPMENT OF THE EDEN ROCK PROJECT INVOLVING PROPERTY LOCATED WITHIN THE PGA WEST DEVELOPMENT. Mayor Adolph recused hknsaff from pardbipating on this item due to a potential conflict of interest and left the dais. The staff report was presented by Planning Director Les Johnson and Redevelopment Consultant Frank Spevacek. In response to Council Member Osborne, Planning Director Johnson confirmed the right turn is specifically for westbound traffic on Avenue 54 when turning north onto Jefferson Street. Assistant City Manager -Development Services Evans presented the various proposals contained in the staff report. Council Member Kirk questioned how the TOT revenue would be the safhe under a system which credited an annual payment vs. no annual payment. Assistant City Manager -Development Services Evans stated there were some credits in the original proposal by staff; looked at every source of TOT collected in the City for non -hotel properties and looked at the total aggregate amount including all of the rentals; and stated it would be difficult to generate a little over the $200,000 per year in TOT. In response to Council Member Henderson, City Attorney Jenson stated the formula based on the Revenue and Tax Code from the developer is more restrictive; staff's formula is more inclusive and covers more. Planning Director Johnson reviewed the alternatives for the City Council's consideration. Council Member Kirk referred to Page 9, 10 and 249 of the staff report and questioned how the 236-second delay is derived for the right turn from westbound Avenue 54 to Jefferson Street northbound. Planning Director Johnson explained a threshold point in a point of delay dramatically increases the time in comparison to the number of trips, and confirmed the traffic L'1G City Council Minutes 20 April 15, 2008 model is not the real world. Council Member Kirk stated in respect to traffic models, sometimes it's a matter of "garbage in, garbage out." Council Member Kirk questioned there being a four -minute delay at Avenue 54 and Jefferson Street. Planning Director Johnson explained although the condition doesn't currently exist, it does become a post 20/20 issue; if staff were to take out this particular movement, there will be a certain point this signal is warranted as additional trips are added. Council Member Kirk stated perhaps something is wrong with this particular calculation; stated the overall analysis is still wrong; stated cannot support the analysis or mitigation suggested by the flawed analysis; stated the challenge is the collection of the tax, and questioned if this has been done in other municipalities. Assistant City Manager -Development Services Evans confirmed other municipalities have collected transfer taxes; has heard of difficulty in collecting the tax, and would have to closely monitor it. Council Member Kirk questioned if there has been any administrative burden collecting an annual fee. Assistant City Manager -Development Services Evans stated the annual fee is intended to be collected by the homeowners; and stated the City has had good success with one project with a similar type fee. Council Member Kirk questioned if this fee is fair, and if staff expects more opposition from residents from a transfer tax or annual fee. Assistant City Manager -Development Services Evans explained there would be more opposition to an annual fee. In response to Council Member Kirk, Assistant City Manager -Development Services Evans confirmed the developer's revised proposal shows less money coming in the first 10 years and a little less in the first 20 years; he further confirmed the revised Eden Rock payment proposal generates more money after 30 years and a lot more after 40 years; and stated staff did not repeat the developer's proposal. Council Member Kirk further questioned if the long-term revenue potential is as important as the short term for the City. Assistant City Manager -Development Services Evans stated staff felt looking at 20 years was an appropriate measure; as groups question it in the future, the City Council may not be able to rely on it 20 to 40 years out. Council Member Kirk questioned if staff takes the short or long term view in other projects such as SilverRock Resort. Assistant City Manager- «3 City Council Minutes 21 April 15, 2008 Development Services Evans stated staff reviews both short and long-term projections. Council Member Henderson stated the City recently conducted a major traffic study of all streets that resulted in increased speeds in a variety of areas; commended staff for considering the signal at Avenue 54 and Jefferson Street for the future; and asked if another traffic engineer is used when the City Council has a concern with a traffic study. Public Works Director Jonasson stated staff usually works with the developers' traffic engineer to come to an agreement. City Attorney Jenson stated City staff and the Traffic Engineer Consultant have reviewed the study numerous times. Council Member Henderson stated she is looking to see what other options the City has for the future. Public Works Director Jonasson explained the distribution of trips seems to be an area relied upon heavily; stated even though there is a study that doesn't appear to match what is going on presently, there is a change in the road condition because of the opening of Madison Street at Avenue 52; stated this is a preliminary analysis and will probably be reviewed two more times. Council Member Henderson stated the developer has already agreed to accept the original condition, and the City Council, after listening to testimony at the last public hearing, saw some merit in reaching a compromise; we keep hearing about potential for complications with either formula, and it seems to be a policy decision as to whether or not we are going to enter into this type of agreement anymore with anyone; stated she hears compromise, but observes one party going all the way and complimenting everyone else for compromising; stated have not only reached an acceptable compromise that gives a certain amount of certainty, and passes the burden off between seller and buyer; we may hear from residents in the future, but people need to understand what they are buying; stated it is time to move this project forward and not belabor this item any longer. Council Member Sniff stated he has listened to his colleagues and the primary question is what is fair and reasonable, and if there has been a compromise; stated the traffic issue should not be the determining factor; stated the City Council needs to move forward with a decision the developer can live with, and the developer has indicated he can live with the first proposal; stated he does not believe $300 a year is going to compel people to rent their houses; stated the City Council has an obligation to the City and developers to come to a fair, logical, and defensible decision. �1� City Council Minutes 22 April 15, 2008 The Mayor Pro Tem declared the PUBLIC HEARING OPEN at 8:23 p.m. Louis Swart, 2001 Northwest Jasmine Lane, Portland, Oregon, stated project has been four years in the making, and has brought so much unity on a situation rife with division; received support from various homeowners' associations, but as staff gained momentum, has received less support; stated the door was left open for discussion and both sides have compromised; commended Jim and Chuck and Rich for their constructive leadership for the PGA West residents; stated the proposed agreement satisfies both sides and is able to forge a workable and constructive consensus; stated staff is working on one vital issue, the annual mitigation fee; stated the developer has appealed to staff to find common ground regarding the annual mitigation fee. Jim Vaughn stated each proposal by staff includes some form of annual fee, and he gave a presentation on a proposed TOT mitigation package. He referenced four goals he feels the City Council wanted them to address, with the fourth being to be fair to future Eden Rock residents. Council Member Henderson stated she doesn't recall the City Council voicing the fourth goal, and Council Member Kirk agreed. Council Member Kirk referred to the differences of the proposals, and questioned if there is a difference in the TOT between the developer's proposal and staff's second proposal. Mr. Vaughn explained it overstates the difference between the developer's proposal and the original development agreement. Council Member Kirk questioned staff if Mr. Vaughn's assessment of the TOT is fair. Assistant City Manager -Development Services Evans stated staff would have negotiated for a higher amount. In response to Council Member Henderson, Mr. Vaughn confirmed the credit was afforded to the owner of the unit and was perceived to be an incentive to rent the unit; and explained the credit benefits both the existing residents and the City as there is no credit against the annual fee. Council Member Henderson asked if the developer would prefer something other than a sunset clause. Mr. Vaughn stated they would prefer having something in perpetuity but not increasing the amount every year. Council Member Henderson stated she envisions a unit being built and sold for the first time in 2010 with a deed restriction for 10 years and in 2020 «5 City Council Minutes 23 April 15, 2008 going away. Mr. Vaughn explained the difficulty is a conditional sunset clause. Council Member Henderson stated we can come up with a modeling program to make all of this work, but is not sure it is worth having a discussion on the sunset clause. City Attorney Jenson stated it is very easy to eliminate the sunset clause and strike it from the agreement. Council Member Henderson stated it is easy to strike it from the agreement, but it is a bargaining tool at this point. Mr. Vaughn stated if the concept is a sunset in 10 years, the CPI would not be a concern. City Attorney Jenson stated as a matter of record, all of the City's annual fees have either a CPI included or tracked to the room rate that is not increased higher than the CPI. Council Member Henderson stated she leans toward the proposal utilizing the State Revenue and Taxation Code, and questioned if it would be easier to follow. City Attorney Jenson stated the language is simple and the same language used in City documents when picking up transfers, and staff's goal is to cover as much as possible. Mr. Vaughn stated the goal of the City's language is to make sure whoever the property is transferred to has all the some obligations under the development agreement. It doesn't have anything to do with capturing revenue in types of transfers that are truly a change of ownership. In response to Council Member Sniff, Mr. Vaughn confirmed an initial sale payment of a unit is .5%; and the City will collect another .5% on the resale price. Council Member Sniff stated there are two issues that are paramount: 1) how the City receives the revenue it is entitled to; and 2) legal justification for the compensation received. Chuck Gottier, 54-799 Riviera, member of the PGA West Committee, conveyed his dislike of the annual fee; suggested raising the transfer fee to .55% to generate revenue; stated prudent buyers will not like the annual fee, and it will place a burden on the homeowners' association; and stated he would like Eden Rock to be like any other community in PGA West. 216 City Council Minutes 24 April 15, 2008 Richard Stanton, 87-706 Spanish Bay, stated the annual fee would place a burden for collection; stated the developer will put the City in a position to collect revenue in the next five years; and suggested collecting the TOT and not an annual fee. Jim Cox, 55-914 Brea Burn, conveyed disappointment that staff has not come to a final settlement with the developer; stated he is surprised the annual fee is included; and requested the annual fee be removed. Richard Zeilenga, counsel for the applicant, stated looking at the big picture, no one comes out a loser; stated this effort has produced better results for the City; stated the goal is to have no annual fee and would be relatively fair to the residents of Eden Rock. Mayor Pro Tem Osborne questioned if the development agreement can be adequately enforced by the developer and not come back in a year. Mr. Zeilenga stated one of the proposals is simple, and in general, the development agreement should be enforceable. In response to Council Member Henderson, City Attorney Jenson confirmed the homeowners' association will collect the fees. Council Member Henderson stated the developer would need to negotiate with the homeowners' association for collecting the fee. City Manager Genovese stated one of the homeowners present suggested a higher percentage and may equalize; and can also eliminate the sunset clause because of the higher percentage. Council Member Henderson asked if staff tried to negotiate a higher percentage fee. Assistant City Manager -Development Services Evans stated staff proposed a higher up -front fee at the close of escrow, but to equalize would have to double the initial fee. There being no further requests to speak, the Mayor Pro Tem declared the PUBLIC HEARING CLOSED at 9:29 p.m. Council Member Sniff stated he would like to see the ultimate in simplicity and fairness; would like to avoid the term tax and stick with the transfer fee, and elevate the transfer fee one half a percent to a higher number up front for the first transaction and modification back to .5% for subsequent transactions; suggested 1 % upfront and .5% thereafter; need to look to our own interest and what is ultimately fair to the developers, residents in PGA West, and to the City. City Council Minutes 25 April 15, 2008 In response to Council Member Henderson, Assistant City Manager - Development Services Evans confirmed doubling the upfront fee would almost equate the suggested 1 % amount. Council Member Kirk stated it is time to move on with this project; stated in the big picture we are almost there and have come a long way; gave credit to the committee and staff for all their hard work; he is opposed to an annual fee or tax; agrees with the indication there are complications in collecting the fee; better way to do this is associated with the applicant's latest proposal, which is relatively neutral and makes sense to the applicant, City, and PGA West residents; stated we are close enough relating to the fee amount, and the applicant's proposal will generate more revenue; conveyed disappointment about not reviewing the transfer tax; stated he supports the applicant's request to rely on the Taxation Code to determine a transfer; suggested accepting the applicant's approach to the TOT mitigation with the following changes: 1) the upfront fee for the small units be increased for the Village units from $2,500 to $3,000, Courtyard units from $3,000 to $4,000, and the Manor units from $3,500 to $5,000; 2) increase the transfer tax from .5% to .55% and accept the applicant's definition of transfer; 3) simplify the upfront fee; and 4) protect the PGA West community from some of their concerns regarding the annual fee. He also reaffirmed his position about the traffic signal on Avenue 54 and Madison Street. Council Member Henderson agrees the process should be kept simple and with accepting the Taxation Code definition of a transfer; stated she is not sure which is easier to use 1 % or the $3,000, $4,000, and $5,000. City Manager Genovese stated we have an estimate on the .5%, as the other suggestion is difficult to compute at this time. Mayor Pro Tom Osborne questioned if the developer is agreeable to the 1 % fee as suggested. The Mayor Pro Tom RE -OPENED THE PUBLIC HEARING at 9:42 p.m. Louis Swart stated the 1 % is $10,000, and the other developments will have a $10,000 advantage, but likes where the City Council is going; and suggested increasing the upfront fee to .75% and increasing to .65% on the resale. There being no additional public testimony, the Mayor Pro Tem declared the PUBLIC HEARING CLOSED at 9:44 p.m. City Council Minutes 26 April 15, 2008 Council Member Sniff stated a percentage is better than a fixed number and is the safest unit to work with; and stated he heard a 1 % upfront fee would be reasonable, fair, and protect the City and the developer, and a .55% on a resale. Mayor Pro Tem Osborne suggested looking at the traffic issue in five years and if there are concerns to conduct a study; supports using the Taxation Code relating to transfers; commented on the need for the project to be successful whether we approve the .75% or 1 % as proposed; and understands the City Council is in agreement about removing the annual fee. Council Member Henderson conveyed agreement with the suggestions made and supports the .75% and .55%; supports the traffic study and the requirements in the conditions as submitted; and stated her interpretation is the item would come back to the City Council with respect to the release of funds. Council Member Osborne conveyed his support of the .75% for the upfront fee and .55% on the resale fee. RESOLUTION NO. 2008-024 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, CERTIFYING A SUBSEQUENT ENVIRONMENTAL IMPACT REPORT (STATE CLEARINGHOUSE #2007061056) PREPARED FOR SPECIFIC PLAN AMENDMENT 83-002, AMENDMENT NO. 6; GENERAL PLAN AMENDMENT 2006-107; ZONE CHANGE 2006-127; TENTATIVE TRACT 33226; SITE DEVELOPMENT PERMIT 2006-852; AND DEVELOPMENT AGREEMENT 2006-011 AS BEING ADEQUATE AND COMPLETE, RECOGNIZING THE OVERRIDING CONSIDERATIONS TO CERTAIN ADVERSE ENVIRONMENTAL IMPACTS, AND RECOGNIZING THE SIGNIFICANT ADVERSE ENVIRONMENTAL IMPACTS WHICH CANNOT BE AVOIDED BUT WHICH CAN BE REASONABLY MITIGATED IF THE PROPOSED PROJECT IS IMPLEMENTED (CROWNE POINTE PARTNERS, LLCJ City Attorney Jenson addressed Section No. 6 of the resolution in reference to a Notice of Determination, and explained in order to approve the project there must be an executed Development Agreement per the Specific Plan; and she recommended the Notice of Determination be delayed until a development agreement is executed. �l� City Council Minutes 27 April 15, 2008 It was moved by Council Members Sniff/Henderson to adopt Resolution No. 2008-024 as amended (per the City Attorney's instructions). Motion carried 3-1-1, Council Member Kirk dissenting, and Mayor Adolph absent. RESOLUTION NO. 2008-025 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, GRANTING APPROVAL OF GENERAL PLAN AMENDMENT 2006-107, FROM TOURIST COMMERCIAL TO RESORT MIXED USE FOR THE PROPERTY LOCATED WITHIN THE PGA WEST DEVELOPMENT BOUNDED ON THE NORTH AND EAST BY THE PGA WEST STADIUM COURSE AND CLUBHOUSE AND ON THE SOUTH AND WEST BY PGA BOULEVARD (CROWNE POINTE PARTNERS, LLC.) City Attorney Jenson stated in order to keep in compliance with the Specific _Plan. requirements, the effective date of each resolution shall not take effect until and unless a Development Agreement is executed by all parties and recorded with the Riverside County Recorder's office. It was moved by Council Members Henderson/Sniff to adopt Resolution No. 2008-025 as amended (per the City Attorney's instructions). Motion carried 4-0-1, Mayor Adolph absent. MOTION — It was moved by Council Members Sniff/Henderson to take up Ordinance No. 456 by title and number only and waive further reading. Motion carried 4-0-1, Mayor Adolph absent. ORDINANCE NO. 456 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, APPROVING A REVISION TO THE LA QUINTA ZONING MAP FOR CERTAIN REAL PROPERTY GENERALLY LOCATED WITHIN THE PGA WEST DEVELOPMENT BOUNDED ON THE NORTH AND EAST BY THE PGA WEST STADIUM COURSE AND CLUBHOUSE AND ON THE SOUTH AND WEST BY PGA BOULEVARD (ZONE CHANGE 2006-127 - CROWN POINTE PARTNERS, LLC.) It was moved by Council Members Sniff/Henderson to introduce Ordinance No. 456 on first reading. Motion carried by the following vote: LLO City Council Minutes 28 April 15, 2008 AYES: Council Members Henderson, Kirk, Sniff, Mayor Pro Tem Osborne NOES: None ABSTAIN: None ABSENT: Mayor Adolph RESOLUTION NO. 2008-026 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, GRANTING APPROVAL OF AMENDMENT NO. 6 TO PGA WEST SPECIFIC PLAN 83-002 TO ALLOW A 264-UNIT RESIDENTIAL CONDOMINIUM/TOWNHOME PROJECT FOR THE PROPERTY LOCATED WITHIN THE PGA WEST DEVELOPMENT BOUNDED ON THE NORTH AND EAST BY THE PGA WEST STADIUM COURSE AND CLUBHOUSE AND ON THE SOUTH AND WEST BY PGA BOULEVARD (CROWNE POINTE PARTNERS, LLC.) It was moved by Council Members Henderson/Sniff to adopt Resolution No. 2008-026 as amended (per the City Attorney's instructions). Motion carried 4-0-1, Mayor Adolph absent. RESOLUTION NO. 2008-027 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, GRANTING APPROVAL OF THE SUBDIVISION OF A 42-ACRE PARCEL INTO A 264-UNIT RESIDENTIAL CONDOMINIUM/TOWNHOME SITE FOR THE PROPERTY LOCATED WITHIN THE PGA WEST DEVELOPMENT BOUNDED ON THE NORTH AND EAST BY THE PGA WEST STADIUM COURSE AND CLUBHOUSE AND ON THE SOUTH AND WEST BY PGA BOULEVARD (TENTATIVE TRACT MAP 33226 - CROWNE POINTE PARTNERS, LLC.) It was moved by Council Members Sniff/Henderson to adopt Resolution No. 2008-027 as amended (per the City Attorney's instructions). Motion carried 4-0-1, Mayor Adolph absent. �21 City Council Minutes 29 April 15, 2008 RESOLUTION NO. 2008-028 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, GRANTING APPROVAL OF DESIGN GUIDELINES TO ALLOW THE DEVELOPMENT OF A 264-UNIT RESIDENTIAL CONDOMINIUM/ TOWNHOME PROJECT FOR THE PROPERTY LOCATED WITHIN THE PGA WEST DEVELOPMENT BOUNDED ON THE NORTH AND EAST BY THE PGA WEST STADIUM COURSE AND CLUBHOUSE AND ON THE SOUTH AND WEST BY PGA BOULEVARD (SITE DEVELOPMENT PERMIT 2006-852 - CROWNE POINTE PARTNERS, LLC.) It was moved by Council Members Sniff/Henderson to adopt Resolution No. 2008-028 as amended (per the City Attorney's instructions). Motion carried 4-0-1, Mayor Adolph absent. MOTION — It was moved by Council Member Sniff to take up Ordinance No. 457, as modified (.75% up front, .55% resale and revise to use the Revenue and Taxation Code to identify transfers) by title and number only and waive further reading. City Attorney Jenson stated a development agreement which reflects the staff's proposal has been drafted, and recommended it be attached to the ordinance; and further stated staff will modify the agreement to include the .75% up front fee, .55% on resale and to use the Revenue and Taxation Code to identify transfers, to be in compliance for first reading of the ordinance. The motion was seconded by Council Member Kirk. Motion carried 4-0-1, Mayor Adolph absent. ORDINANCE NO. 457 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, APPROVING DEVELOPMENT AGREEMENT 2006-011 BY AND BETWEEN THE CITY OF LA QUINTA AND CROWN POINTE PARTNERS, LLC. (EDEN ROCK AT PGA WEST). It was moved by Council Members Sniff/Kirk to introduce Ordinance No. 457 on first reading as modified (.75% up front, .55% resale and revise to use the Revenue and Taxation Code to identify transfers). Motion carried by the following vote: City Council Minutes 30 April 15, 2008 AYES: Council Members Henderson, Kirk, Sniff Mayor Pro Tern Osborne NOES: None ABSTAIN: None ABSENT: Mayor Adolph Mayor Pro Tern Osborne recessed the City Council meeting. Mayor Adolph reconvened the meeting. REPORTS AND INFORMATIONAL ITEMS - - CVAG Public Safety Committee — Council Member Kirk stated the Committee heard presentations on the plans for the Eisenhower Medical Center facility in La Quinta as well as in Rancho Mirage. Animal Campus Commission — Council Member Henderson reported the Animal Campus Commission will be holding their annual luncheon on Monday, April 21, 2008. League of California Cities — Council Member Henderson reported she attended the Revenue and Taxation Committee meeting, and stated Chief of Staff Russell Lowry was the speaker; stated caution and advice was given to cities that have reserve accounts to encumber those accounts; and stated there was concern of encumbering reserve accounts with loans. C.V. Conservation Commission — Council Member Sniff reported they took the following actions: approved CVAG's Director of Services as Auditor; submitted an application for Joint Powers Insurance Authority; approved sending the employment of the acquisition manager to the Executive Committee; and C.V. Mountains Conservancy was chosen as the agency to monitor the acquisitions of land, etc. CVAG Energy & Environmental Resources Committee — Council Member Sniff reported the Committee approved goals for the next year. CVAG Human Community Resources Committee — Council Member Osborne reported the Committee continues to address the usual social challenges in the desert, and continues to look into providing mental health, food, and medical services. 223 City Council Minutes 31 April 15, 2008 Jacqueline Cochran Regional Airport Authority — Council Member Osborne reported the Authority is requesting funding for the upcoming air show. CVAG Homelessness Committee — Council Member Osborne reported the Committee has proposed purchasing property in Palm Springs, and stated the County is looking into purchasing the property; the County has established a formula for each City to contribute. Finance Director John Falconer reviewed the Finance Committee discussion on identifying various funding sources: private donations, CDBG funds, State and local grants, general fund; stated the County is willing to increase pass -through - agreement amounts; reported the County is not interested in tax revenue generated outside; explained the possibility of utilizing set -aside funds from Redevelopment; explained three fiscal matters: purchase of building off Indian Boulevard and Interstate 10; will be moving forward in July or August with a bond measure; will --use the building for some other purpose or sell it if all Cities do not participate. In response to Council Member Henderson, the facility will continue to accept homeless people from all areas if the City does not participate with funding the facility. Finance Director Falconer confirmed the City of La Quinta is the second highest contributor; stated the County wants to recommend the CVAG formula, which is weighted by population and assessed evaluation, and the City of La Quinta has the second highest assessed evaluation. City Manager Genovese stated the general discussion was that the County is looking for funding because they don't have any general fund money; stated the next step is not clear; and stated no answer was given to the question of what would happen if the City of La Quinta did not participate in providing funding. Council Member Osborne explained the County is trying to obtain a grant; stated he would not commit the City of La Quinta based on the formula established; stated both the Cities of Coachella and Indio were not active in the discussion. Council Member Henderson suggested adopting a resolution approving the County to spend 0400,000 of Redevelopment funds that's generated out of the City of La Quinta. Council Member Osborne stated the Cities of Palm Springs, Cathedral City, Rancho Mirage and Palm Desert will look to us for help as they will benefit more than the City of Le Quinta. City Council Minutes 32 April 15, 2008 Council Member Kirk stated Council Member Henderson's suggestion may be something to pursue; and suggested having a silent dialogue with the City of Coachella and Indio; and stated he is not opposed to helping non-profit organizations to do good things, but it is a little wearing of helping government. Council Member Osborne stated he is sure the County will come back with operating needs as well. Council Member Kirk suggested talking to the City of Coachella and making a joint effort for the East Valley. Council Member Sniff stated the City cannot support every person who is in need. w t• s■•■ t r••• r -All other reports were noted and filed. DEPARTMENT REPORTS 2-A. REPORT ON HIGHWAY 111/RIGHT-OF-WAY ACQUISITION OPTIONS. City Attorney Jenson stated she was available to address any questions from the City Council. In response to Council Member Osborne, City Attorney Jenson stated there has been no recent discussion with the family. Public Works Director Jonasson stated staff has not spoken to the Benino family since November 2007. Council Member Henderson conveyed dislike for not having contact with the family. Public Works Director Jonasson explained the family is at odds with one another and they anticipate being bought out through condemnation. In response to Council Member Henderson, City Attorney Jenson stated the last time the City purchased property from the Benino family was many years ago, and the City paid $15 or $16 per square foot. Council Member Henderson stated this piece of property is a danger and the City should be in a position to take some kind of action to secure that property; and stated the owner cannot do anything with the property other than what the City has proposed to do with it. ��5 City Council Minutes 33 April 15, 2008 City Attorney Jenson stated there is no question the City can acquire the property through a right-of-way acquisition; stated we can pursue the acquisition or attempt to make contact with the family. Mayor Adolph questioned if there is a way to obtain an appraised value. City Attorney Jenson stated the City has an appraiser available to provide services. MAYOR AND COUNCIL MEMBERS' ITEMS Mayor Adolph stated he has received a response to the letter to the Governor regarding early release of prisoners, and has written another letter; and has been contacted by several directors who could not answer how they are going to live. Mayor Adolph stated residents at PGA West were billed for trash services; and read a letter received from Burrtec in response to the residents. Council Member Osborne reported he will be absent from the May.6th City Council meeting as he will be attending his nephew's graduation from Fort Benning. The City Council recessed to Closed Session as delineated on Page 1. The City Council meeting was reconvened with no decisions being made in Closed Session which require reporting pursuant to Government Code Section 54957.1 (Brown Act). ADJOURNMENT There being no further business, the meeting was adjourned. Motion carried unanimously. Respect Ily submitted, VERONICA J ONTECINO, City Clerk City of La Quints, California ATTACHMENT 3 LICENSE AND INDEMNITY AGREEMENT THIS LICENSE AND INDEMNITY (this "Agreement") is made, to be effective the _ day of , 2008, by and between the CITY OF LA QUINTA, a California charter city ("City"), and the COUNTY OF RIVERSIDE, a California county agency ("County"), with reference to the following facts: RECITALS A. This Agreement relates to that portion of a public street commonly know as Fred Waring Drive, between Adams Street and Port Maria Road, a length of approximately 3300 feet (the "Project Site"). A depiction of the Project Site is attached hereto as Exhibit "A" and incorporated herein by this reference. The north side of Fred Waring Drive in the Project Site falls under the jurisdiction of the County, while the south side is under the City's jurisdiction. The centerline of the existing roadway is generally located on the boundary line between the City and the County. The entire road width of Fred Waring Drive west of Adams Street and east of Port Maria Road falls under the City's jurisdiction. B. The County proposes to install certain temporary roadway modifications in portions of the Project Site, and also wishes to make permanent improvements. The temporary modifications include the addition of lanes as a result of restriping of the roadway, and shifting the roadway centerline approximately six feet to the south, into the City's jurisdiction (the "Interim Improvements"). The Interim Improvements would be installed by the County on Fred Waring Drive from Adams Street to Old Harbour Drive. The Interim Improvements will require the preparation and submittal of a traffic control plan and roadway improvement plans, both of which are subject to the written approval of the City's Public Works Director. The County has indicated that the Interim Improvements will be temporary. However, the City and the County have not agreed upon the appropriate design of the permanent roadway improvements to the Project Site ("Permanent Improvements"), and the City is generally not in favor of the shifting of the centerline of the roadway, even on a temporary basis as a means to avoid acquisition of right-of-way. The City is further concerned regarding the addition of lanes in this area due to the large number of the driveway connections on the north side of Fred Waring Drive within the County, and the potential for conflict between vehicles entering or exiting the driveways and traffic on Fred Waring Drive. The County has indicated that it is willing to assume any liability that would arise from the these conditions of concern, and to defend and indemnify the City from any such liability. C. The County has indicated that despite the City's concerns, it wishes to carry out the Interim Improvements, and the County believes that the City and the County will come to an agreement regarding the scope and nature of the Permanent Improvements, and any requirement that the City may impose in connection therewith, including indemnification. Because the County proposes to carry out the Interim Improvements on a portion of the Project Site that is within the City's jurisdiction, the County needs to first obtain a temporary license from the City in order to install the Interim Improvements. The City wishes to ensure that the Interim Improvements do not become permanent. Further, the County has agreed that if the parties do not come to an agreement regarding the Permanent Improvements within a defined time period, the County will promptly restore the roadway to the condition it was in prior to the Interim Improvements, at the County's sole expense, and to the City's reasonable satisfaction. D. Because the Interim Improvements are a County, not a City project, and because it involves the shifting of the centerline and the installation of addition travel lanes in proximity to numerous driveway connections, which is not the City's desire, the City has demanded, and the County has agreed, to fully indemnify the City for all claims in any way relating to the Interim Improvements, including but not limited to the realignment of the centerline and the proximity of the northerly driveways and their direct connection to Fred Waring Drive. E. Subject to the provisions of this Agreement, County and the City now desire to enter this Agreement to provide a conditional and temporary license to the County to allow it to install, on a temporary basis, the Interim Improvements and to require the County to defend and indemnity to the City from and for any and all liability from the Interim Improvements or the public's use thereof prior to the Permanent Improvements. NOW, THEREFORE, incorporating the foregoing recitals and in consideration thereof, and in consideration of the mutual covenants and conditions contained herein, and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereto agree as follows: AGREEMENT 1. Grant of License. The City hereby grants a temporary, conditional license to the County to permit the temporary encroachment on the following areas within the City: (1) up to 15 feet south of the existing centerline of Fred Waring for the Interim Improvements, including the temporary restriping; (2) a construction encroachment area of up to 25 feet south of centerline within the Project Site; and (2) a transition area 500 feet west of Adams and 500 feet east of Port Maria to allow for traffic control and transitions to the construction zone. The plans for the Interim Improvements and the traffic control plan shall be subject to review and written approval by the City's Public Works Director prior to any work taking place within the City's right-of-way. Work hours for taking traffic lanes in order to install the Interim Improvements shall be restricted to Monday through Friday, 8:30 am to 3:30 pm, with no work on Saturdays, Sundays or holidays without prior approval by the Public Works Director. Access to driveways shall be maintained with minimum delays to residents at all times. 2. Term of License- Duty to Restore. The tern of the license shall commence on the date that this agreement has been executed by all parties and shall end 24 month thereafter. If the City and the County have not reached an agreement on the nature and scope of the Permanent Improvements within that 24-month period, the County shall restore Fred Waring Drive to the condition it was in prior to the installation of the Interim Improvements. The restoration shall be solely at the County's expense, and shall be subject to the reasonable approval of the City's Public Works Director. If the County fails to fully restore Fred Waring Drive to its previous condition, the City shall have the right to complete the restoration, and the County shall reimburse the City for 120% of the costs incurred by the City in completing the restoration. The restoration shall be completed by the County within 180 days from the expiration of the 24- month period, and the City hereby grants a license to the County to complete the restoration during that period. The restoration shall be completed pursuant to restoration and traffic control plans which must be approved by the City's Public Works Director. 3. Indemnity & Release. The County agrees to defend, indemnify, and hold harmless the City, its officers, officials, representatives, agents and employees (collectively, "Indemnified 1068/015610-0002 _ 899956.03 a05/28/08 -2 (} L Parties) from any and all claims, actions, liabilities, or legal proceedings (collectively, "Claims"), which arise out of, relate to, or in any way involve (directly or indirectly) the design, construction, installation, or use of the Interim Improvements, including each and every design feature utilized in the Interim Improvements and the driveway connections to Fred Waring Drive. Upon receipt of any Claim covered by this provision, the Indemnified Parties shall tender the Claim to the County, and the County shall provide the Indemnified Parties' defense in the matter, with legal counsel approved by the Indemnified Parties, at no cost to Indemnified Parties. The Indemnified Parties shall fully cooperate in the defense of any such Claim. The County agrees to promptly pay any and all final judgments or awards of damages, costs, or any other monetary awards against the Indemnified Parties covered by this provision. This provision also shall not apply to Claims where the cause of injury or damage is determined by a final judgment or ruling, no longer subject to appeal, to be solely the result of City's negligence, willful misconduct or gross misconduct with regard to the maintenance of City roadways or median improvements within City limits. To the extent the City's negligence, willful misconduct or gross misconduct with regard to the maintenance of City roadways or median improvements within City limits is determined by a final judgment or ruling, no longer subject to appeal, to be only one of two or more proximate causes of said injury or damages, the County's defense and indemnity obligations to City shall be reduced on a pro rats basis in accordance with the determinations included in such final judgment or ruling. The County's obligations under this provision shall commence from the date the construction of the Interim Improvements commences and shall continue in effect that either: (1) the roadway is fully restored to its current condition, which condition is accepted as being fully restored by the City's Public Works Director; or (2) the Permanent Improvements are agreed upon and fully installed. Nothing in this paragraph shall preclude the City from requested defense and indemnification as a condition to its approval of the Permanent Improvements. The County shall add the Indemnified Parties as "additional insureds" to any and all of the County's insurance policies which might relate to the Interim Improvements and/or Project Site. However, the County agrees that the providing of said insurance coverage does not relieve the County of the obligations assumed within this provision. 4. Miscellaneous. 4.1 Attorneys' Fees. In the event of any dispute between the parties hereto involving this Agreement, the prevailing party shall be entitled to recover, and the other party agrees to pay, all reasonable fees, expenses and costs, including but not limited to attorneys' fees. 4.2 Notices. Any notice which either party may desire to give to the other party must be in writing and shall be effective (i) when personally delivered by the other party or by messenger or courier; (ii) three (3) business days after deposit in the United States mail, registered or certified; (iii) one (1) business day after deposit before the daily deadline time with a reputable overnight courier or service; or (iv) upon receipt of a telecopy or fax transmission (as evidenced by a computer generated receipt confirming a successful transmission), provided a hard copy of such transmission shall be thereafter delivered in one of the methods described in the foregoing (i) through (iii); in each case postage fully prepaid and addressed to the respective 1068/015610-0002 _ 899956 03 a05/28/08 _3 parties as set forth below or to such other address and to such other persons as the parties may hereafter designate by written notice to the other parties hereto: If to City: City of La Quinta Thomas P. Genovese, City Manager 78-495 Calle Tampico La Quinta, California 92253 With a copy to: Rutan & Tucker, LLP M. Katherine Jenson 611 Anton Blvd., Suite 1400 P.O. Box 1950 Costa Mesa, CA 92628-1950 If to County: With a Copy to : Either party may from time to time, by written notice to the others, designate a different address which shall be substituted for the one above specified, and/or specify additional parties to be notified. 4.3 Successors and Assigns. This Agreement shall be binding on the parties hereto and their respective heirs, successors, representatives, transferees and assigns. 4.4 No Third Parties Benefited. This Agreement is made for the sole benefit and protection of the City and County, and their respective successors and assigns. No other person shall have any right of action or right to rely thereon. 4.5 Time of the Essence. Time is of the essence of each of the terms, covenants and conditions of this Agreement. 4.6 Entire Agreement. This Agreement contains the entire agreement of the parties hereto with respect to the matters covered hereby, and all negotiations and agreements, statements or promises between the parties hereto or their agents with respect to this transaction are merged in this Agreement, which alone expresses the parties' rights and obligations and if not contained herein shall not be binding or valid against either of the parties hereto. 4.7 Modification. Any amendments or modifications to this Agreement must be in writing and executed by all the parties to this Agreement. 4.8 Interpretation• Governing Law. This Agreement shall be construed according to its fair meaning and as if prepared by both parties hereto. This Agreement shall be 1068/015610-0002 _ 899956 03 a05/28/08 -4 L construed in accordance with the laws of the State of California in effect at the time of the execution of this Agreement. Titles and captions are for convenience only and shall not constitute a portion of this Agreement. As used in this Agreement, masculine, feminine or neutral gender and the singular or plural number shall each be deemed to include the others wherever and whenever the context so dictates. 4.9 No Waiver. No delay or omission by either party hereto in exercising any right or power accruing upon the compliance or failure of performance by the other party hereto under the provisions of this Agreement shall impair any such right or power or be construed to be a waiver thereof A waiver by either party hereto of a breach of any of the covenants, conditions or agreements hereof to be performed by the party shall not be construed as a waiver of any succeeding breach of the same or other covenants, agreements, restrictions or conditions thereof. 4.10 Severability. If any term, provision, condition or covenant of this Agreement or the application thereof to any party or circumstances shall, to any extent, be held invalid or unenforceable, the remainder of this instrument, or the application of such term, provision, condition or covenant to persons or circumstances other than those as to whom or which it is held invalid or unenforceable, shall not be affected thereby, and each term and provision of this Agreement shall be valid and enforceable to the fullest extent permitted by law. 4.11 Counterparts. This Amendment may be executed in several counterparts, and all so executed shall constitute one agreement binding on all parties hereto, notwithstanding that all parties are not signatories to the original or the same counterpart. The parties may also deliver executed copies of this Amendment to each other by facsimile, which facsimile signatures shall be binding. Any facsimile delivery of signatures shall be followed by the delivery of executed originals. SIGNATURE PAGE FOLLOWS ry r� 1068/015610-0002 _5_ - 4.0 899956 03 a05/28/08 IN WITNESS WHEREOF, the parties hereto have executed this Amendment as of the date set forth above. CITY OF LA QUINTA, a California charter city By: Thomas P. Genovese Its: City Manager ATTEST: Veronica Montecino, City Clerk APPROVED AS TO FORM: M. Katherine Jenson, City Attorney COUNTY OF RIVERSIDE Lo ATTEST: County Clerk APPROVED AS TO FORM: County Counsel 1068/015610-0002 899956 03 a05/28/08 L Q ATTACHMENT 4 LICENSE AND INDEMNITY AGREEMENT THIS LICENSE AND INDEMNITY f (iREEMENT ("Agreement") is made, to be effective Ihis day of 2008, by and between the CITY OF LA QUINTA, a California charter city ("City"), and the COUNTY OF RIVERSIDE, a political subdivision of the State of California ("County;L RECITALS A. This Agreement relates to that portion of a public street commonly know as Fred Waring Drive, between Adams Street and Port Maria Road, a length of approximately 3300 feet (the "Project Site"). A depiction of the Project Site is attached hereto as Exhibit "A" and incorporated herein by this reference. The north side of Fred Waring Drive in the Project Site falls under the jurisdiction of the County, while the south side is under the City's jurisdiction. The centerline of the existing roadway is generally located on the boundary line between the City and the County. The entire road width of Fred Waring Drive west of Adams Street and east of Port Maria Road falls under the City's jurisdiction. B. The County proposes to install certain temporary roadway modifications in portions of the Project Site, for the purpose of striping four lanes -op Fred Waring give to facilitate traffic now. The temporary modifications include but are not limited to, the addition of lanes as a result of restriping of the roadway, and shifting the roadway centerline approximately six feet to the south, into the City's jurisdiction (the "Interim Improvements"). The Interim Improvements would be installed by the County on Fred Waring Drive from Adams Street to Old Harbour Drive. , C. The City and Countv agree that the four lane improvements are intended to be temporary and that the goal of both agencies is to construct sib lalaneN permanently._ The specific design of the permanent road improvements ("Permanent Imp gesments'1 are vet to be determined by the Parties and will be a<,rced upon in a separate agreeman. The City is generally not in favor of the shifting of the centerline of the roadway, even on a temporary basis as a means to avoid acquisition of rightvot-way, p_.._The City desires that in the event the Parties cannot aTree.upon the design of the Permanent Improvements then the County shall restore the road regarding the Zane stripping to its original configuration, at CounN's expense. E The City and County have heretofore Contracted to define the roles and responsibilities in connection with the performance of road improvements Iptherwise known as Interim Improvements) to be made by County its officers. agents and eniviovees on the Project Site. F. Division 3.6 of the Government Code has imposed joint and several liabilhv on public entities who are parties to all agreement as defined in section 895 of the -(rode. Any such agreement may provide for the indemnification by anyof the parties thereto of rho other parties with respect to auv liability arisin firorn or out of the performance ofsuch agreement;. Deleted: (this Deleted: the Deleted: may agency Deleted: "), with reference to the following facts' Deleted:, and also wishes m make Deleted: The Interim Improvements will require the preparation and submittal of a traffic control plan and roadway Impirvemwt plans, both of which are subject to the written approval of the City's Public Works Dnector The Cowry has indicated that the Interim Improvements will be temporary However, the City and the County have not agreed upon the appropriate design of the pennwent roadway improvements to the Protect Site ("Permanent Improvements"), and the Deleted: Deleted: - Deleted: The Qry Is further concerned regarding the addition of lanes m this area due to the large number of the driveway connections on the north side of Fred Waring Drive with.. the County, and the potential for conflict between vehicles entering or exiting the driveways and 'i. traffic on Fred Waring Drive The County has indicated that it Is willing to assume coy lability that would Anse from the these cambiums of concert, and to defend cod mdemmfy, the Ory from any such liability Deleted: C The County has indicated , that despite the City's concerns, it wishes to carry out the Interim Improvements, and the Cowry believes that the City and the Cowry will come to an agreement regarding the scope and nature of the Permanent Improvements, cod any requirement that the City may impose in connection therewith, including mdanmficamon Because the County proposes to carry out the Interim Improvements on a portion of the Project Site that is within the City's jurisdiction, the County needs to first obtain a temporary license from the City in order to install the Interim Improvements The City wishes to ensure that the Interim Improvements do not become permanent Further, the Cowry has agreed that if the paince do not wine to an agreement regarding the Permanent Improvements within a defined time period, the County will promptly restore the roadway to the condition it was in prior to the Interim Improvements, at the County's sole expense, and to the City's reasonable satisfaction I D Because the Interim Improvements are a County, not a City project, and because ,t involves the shifting of the L,wac rime and the mnAittion of aCLf'i ��3 G. County is willing to assume Iiabili , and to indemnify the city against am loss arisin„ from and out of the County's performance of this agreement . to the extent of actual. construction maintenance or repair work or work in Progress done for the intcrim inrprovemmtts and subieet to the terns, conditions,. and limitations hereinafter grgvided. FL. Subject to the provisions of this Agreement, County and the City now desire to enter this Agreement to provide a conditional and temporary license to the County to allow it to instal( the Interim Improvements and to efine the scope of liability by the Parties in this Agreement. NOW, THEREFORE, J? IS AGREFD as follows: AGREEMENT 1. Grant of License. The City hereby grants a temporary, conditional license to the County to permit the temporary encroachment on the following areas within the City: (1) up to 15 feet south of the existing centerline of Fred Waring for the Interim Improvements, including the temporary restriping; (2) a construction encroachment area of up to 25 feet south of centerline within the Project Site; and (2) a transition area 500 feet west of Adams and 500 feet east of Port Maria to allow for traffic control and transitions to the construction zone. The plans for the Interim Improvements and the traffic control plan shall be subject to review and written approval by the City's Public Works Director prior to any work taking place within the City's right-of-way. Work hours for taking traffic lanes in order to install the Interim Improvements shall be restricted to Monday through Friday, 8:30 am to 3:30 pm, with no work on Saturdays, Sundays or holidays without prior approval by the Public Works Director. Access to driveways shall be maintained with minimum delays to residents at all times. 2. Term of License: Duty to Restore. The term of the license shall commence on the date that this agreement has been executed by all parties and shall end 24 months thereafter. If the City and the County have not reached an agreement on the nature and scope of the Permanent Improvements within that 24-month period, the County shall restore Fred Waring Drive to �s conf!Luration prior to the installation of the Interim Improvements: proyidi d that an_p ON al and: or agreement oil the design of the Permanent hnprovcmcnts is_ not Lill reasonabl% withllcld. The restoration shall be solely at the County's expense, and shall be subject to the reasonable approval of the City's Public Works Director. If the County fails to fully restore Fred Waring Drive to its previous condition, the City shall have the right to complete the restoration, and the County shall reimburse the City for costs incurred by the City in completing the restoration. The restoration shall be completed by the County within 180 days from the expiration of the 24- month period, and the City hereby grants a license to the County to complete the restoration during that period. The restoration shall be completed pursuant to restoration and traffic control plans which must be approved by the City's Public Works Director. 3. Indemnity& Release. N ither. Cl FY Indemnified Parties nor anv officer or emph thereof shall be responsible for any dalnaiae or liability occur inu by reason of roe"lirzent or wrongful acts or omissions to be done by COUNTY under or in connection with aityonslpetion, maintenance —Le pair_work completed or work in progress by COUNTY under this Agreement. It is Further agreed that pursuant to Government Code Section 895 4 COUNTY shall I'LI IV indemnih- and hold CITY harmless from any liability imuosed.for ini!tl yas defined by Government Code Section 810.8) occurring by reason of negligent or w_ront_rful _acts or omissions to be done by 1 0,.,.—n A 1.0-m / Aynn 0�2+X18 -2- Deleted: , on a temporary basis, Deleted: require Deleted: Cowry to defend and indemnity to the City from and for any and all Deleted: from the Interim Improvements or the public's use thereof prior to the Permanent Improvements_ Deleted: incorporating the foregoing recitals and in consideration thereof, and in consideration of the mutual covenants and conditions comanM herein, and for other good and valuable constderwoa, % III` the receipt and sufficiency of which is hereby acknowledged, the parties hereto agree ( Deleted: the condition it was m Deleted: 120%of the I Formatted: 1. text, Right: -0.19" formatted: Font: Times New Roman, 12 pt . Deleted: The County agrees to defend, indemnify, and hold harmless the City, its officers, officials, representatives, agents and employees (wlleclwely, "indemnfed Parties") from any and all claims, actions, liabilities, or legal proceedings (collectively, "Clams"), which anse out of, relate to, or in any way involve (directly or indirectly) the design, construction, installation, or use of the Interim Improvements, including each and every design feature utilized in the Interim Improvements and the driveway connections to Fred Waring Drive Deleted: Error! Unknown document property name./Error! Unknown document property name. Error! Unknown document property name.¶ Error! Unknown document property name. Error! Unknown document property name..05/20/08 t.J�: COUNTY under or in connection with any construction maintenance, repair work completed or work in progress by COUNTY under this Agreement. Upon receipt of any Claim covered by this Formatted; Font Times New provision, the Indemnified Parties shall tender the Claim to the County,~ The Indemnified Parties ( Roman,12 pt shall fully cooperate in the defense of any such Claim. Deleted: and the county shall provide the Indemnified Parties' defense in the matter, with legal This provision shall not apply to Claims where the cause of injury or damage is counsel approved by the Indemnified determined b a final judgment or ruling, no longer subject to appeal, to be sole) the result of Y J g g g J PP Y Parties, at no cost to Indemnified Parties City's negligence, willful misconduct or gross misconduct with regard to the maintenance of Formatted: Font: rimer New City roadways or median improvements within City limits. To the extent the City's negligence,,, Roman, 12 pt willful misconduct or gross misconduct with regard to the maintenance of City roadways or rDeleted: noCounty agrees to - median improvements within City limits is determined by a final judgment or ruling, no longer promptly pay any and all find judgments subject to appeal, to be only one of two or more proximate causes of said injury or damages, the or awards of damages, costs, or any other monetary awards against mdemmfied County's defense and indemnity obligations to City shall be reduced on a pro rata basis in Parties covered by this provi$1pn 9 , accordance with the determinations included in such final judgment or ruling. Deleted: also The County's obligations under this provision shall commence from the date the construction of the Interim Improvements commences and shall continue in effect that either: (1) the roadway is fully restored to its current condition, which condition is accepted as being fully restored by the City's Public Works Director; or (2) the Permanent Improvements are agreed upon and fully installed. Nothing in this paragraph shall preclude the City from requested defense and indemnification as a condition to its approval of the Permanent Improvements. I Deleted: The Upon request by City. County shall either add the Indemnified Parties as "additional insureds" to any and all of the County's insurance policies which might relate to the Interim Improvementslnade to the Project Site or provide proof of ,elf insurance fog coverage for thw IDeleted;aml interim improvements made to the Project Site. However, the County agrees that the providing of said insurance coverage does not relieve the County of the obligations assumed within this provision. 4. Miscellaneous. 4.1 Attorneys' Fees. In the event of any dispute between the parties hereto involving this Agreement, the prevailing party shall be entitled to recover, and the other party agrees to pay, all reasonable fees, expenses and costs, including but not limited to attorneys' fees. 4.2 Notices. Any notice which either party may desire to give to the other party must be in writing and shall be effective (i) when personally delivered by the other party or by messenger or courier; (ii) three (3) business days after deposit in the United States mail, registered or certified; (iii) one (1) business day after deposit before the daily deadline time with a reputable overnight courier or service; or (iv) upon receipt of a telecopy or fax transmission (as evidenced by a computer generated receipt confirming a successful transmission), provided a hard copy of such transmission shall be thereafter delivered in one of the methods described in the foregoing (i) through (iii); in each case postage fully prepaid and addressed to the respective parties as set forth below or to such other address and to such other persons as the parties may Deleted: E nr! unknown document hereafter designate by written notice to the other parties hereto: property neme./Ermr! Unknown document property name: Error! If to CI Cl of La Uinta City: City Q Unknown document property name.¶ Error! Unknown document property Thomas P. Genovese, City Manager name. Error! Unknown document property name. a0 /20/Og Keay `t to indA,,,, 0r210108 -3- fOr' 5 78-495 Calle Tampico La Quinta, California 92253 With a copy to: Rutan & Tucker, LLP M. Katherine Jenson 611 Anton Blvd., Suite 1400 P.O. Box 1950 Costa Mesa, CA 92628-1950 If to County: ,Cbumty of Riverside, ran�wrtulion Department Rian Perel,Director of Tramportation 4080 Lemon Sileet Riverside C'_A 92501 With a Copy to: County of Riverside (Clerk of the Board P.O. Box 1147 Riverside_ CA 92502_ 1147 Either party may from time to time, by written notice to the others, designate a different address which shall be substituted for the one above specified, and/or specify additional parties to be notified. 4.3 Successors and Assigns. This Agreement shall be binding on the parties hereto and their respective heirs,successors, representatives, transferees and assigns. 4.4 No Third Parties Benefited. This Agreement is made for the sole benefit and protection of the City and County, and their respective successors and assigns. No other person shall have any right of action or right to rely thereon. 4.5 Time of the Essence. Time is of the essence of each of the terms, covenants and conditions of this Agreement. 4.6 Entire Agreement. This Agreement contains the entire agreement of the parties hereto with respect to the matters covered hereby, and all negotiations and agreements, statements or promises between the parties hereto or their agents with respect to this transaction are merged in this Agreement, which alone expresses the parties' rights and obligations and if not contained herein shall not be binding or valid against either of the parties hereto. 4.7 Modification. Any amendments or modifications to this Agreement must be in writing and executed by all the parties to this Agreement. 4.8 Interpretation: Governing Law. This Agreement shall be construed according to its fair meaning and as if prepared by both parties hereto. This Agreement shall be construed in accordance with the laws of the State of California in effect at the time of the execution of this Agreement. Titles and captions are for convenience only and shall not constitute a portion of this Agreement. As used in this Agreement, masculine, feminine or ...... & ird:....��, nr �2NS -4- Deleted Deleted: 9 9 9 Deleted: Deleted: 9 A 9 J Deleted: Error! Unknown document property name./Error! Unknown document property name. Error! Unknown document property name.¶ Error! Unknown document property name. Error! Unknown document property name..05/20/08 neutral gender and the singular or plural number shall each be deemed to include the others wherever and whenever the context so dictates. 4.9 No Waiver. No delay or omission by either party hereto in exercising any right or power accruing upon the compliance or failure of performance by the other party hereto under the provisions of this Agreement shall impair any such right or power or be construed to be a waiver thereof. A waiver by either party hereto of a breach of any of the covenants, conditions or agreements hereof to be performed by the party shall not be construed as a waiver of any succeeding breach of the same or other covenants, agreements, restrictions or conditions thereof. 4.10 Severabilitv. If any term, provision, condition or covenant of this Agreement or the application thereof to any party or circumstances shall, to any extent, be held invalid or unenforceable, the remainder of this instrument, or the application of such term, provision, condition or covenant to persons or circumstances other than those as to whom or which it is held invalid or unenforceable, shall not be affected thereby, and each term and provision of this Agreement shall be valid and enforceable to the fullest extent permitted by law. 4.11 Counterparts. This Amendment may be executed in several counterparts, and all so executed shall constitute one agreement binding on all parties hereto, notwithstanding that all parties are not signatories to the original or the same counterpart. The parties may also deliver executed copies of this Amendment to each other by facsimile, which facsimile signatures shall be binding. Any facsimile delivery of signatures shall be followed by the delivery of executed originals. SIGNATURE PAGE FOLLOWS m '.V M Mdamne. 4gmt _5. DeIeW: Error: Unknown document property nameArror! Unknown document property name: Error! Unknown document property name.Q Error! Unknown document property name..Ermr! Unknown document property name_a05R0/08 237 IN WITNESS WHEREOF, the parties hereto have executed this Amendment as of the date set forth above. ATTEST: Veronica Montecino, City Clerk APPROVED AS TO FORM: M. Katherine Jenson, City Attorney ATTEST: Clerk ofthe Board Nancy Romero )C Lit APPROVED AS TO FORM: Joe S. Rank County Counsel Deputy County Counsel �dt. n:R iiidemmfj 9ypn, �• s o ,1@Onh CITY OF LA QUINTA, a California charter city By: Thomas P. Genovese Its: City Manager COUNTY OF RIVERSIDE -6- .Roy Wilson,Chakman Board of Supervisors Deleted:I Deleted: County Clerk¶ Deleted:I 9 Formatted: Underline - Formatted; Flush Left,fl, Len, Don't I keep with next Deleted: Error! Unknown document property nameJEemr! Unknown documert property name. -Error! Unknown document property name.t Error! Unknown document property i name. Error! Unknown document property name. a05/20/O8 __ Page 1: [1I Deleted Author C. The County has indicated that despite the City's concerns, it wishes to carry out the Interim Improvements, and the County believes that the City and the County will come to an agreement regarding the scope and nature of the Permanent Improvements, and any requirement that the City may impose in connection therewith, including indemnification. Because the County proposes to carry out the Interim Improvements on a portion of the Project Site that is within the City's jurisdiction, the County needs to first obtain a temporary license from the City in order to install the Interim Improvements. The City wishes to ensure that the Interim Improvements do not become permanent. Further, the County has agreed that if the parties do not come to an agreement regarding the Permanent Improvements within a defined time period, the County will promptly restore the roadway to the condition it was in prior to the Interim Improvements, at the County's sole expense, and to the City's reasonable satisfaction. D. Because the Interim Improvements are a County, not a City project, and because it involves the shifting of the centerline and the installation of addition travel lanes in proximity to numerous driveway connections, which is not the City's desire, the City has demanded, and the County has agreed, to fully indemnify the City for all claims in any way relating to the Interim Improvements, including but not limited to the realignment of the centerline and the proximity of the northerly driveways and their direct connection to Fred Waring Drive. E. 2J� ATTACHMENT 5 LICENSE AND INDEMNITY AGREEMENT THIS LICENSE AND INDEMNITY AGREEMENT ("Agreement") is made, to be effective the _ day of , 2008, by and between the CITY OF LA QUINTA, a California charter city ("City" ), and the COUNTY OF RIVERSIDE, a political subdivision of the State of California county ("County"), with reference to the following: RECITALS A. This Agreement relates to that portion of a public street commonly know as Fred Waring Drive, between Adams Street and Port Maria Road, a length of approximately 3300 feet (the "Project Site"). A depiction of the Project Site is attached hereto as Exhibit "A" and incorporated herein by this reference. The north side of Fred Waring Drive in the Project Site falls under the jurisdiction of the County, while the south side is under the City's jurisdiction. The centerline of the existing roadway is generally located on the boundary line between the City and the County. The entire road width of Fred Waring Drive west of Adams Street and east of Port Maria Road falls under the City's jurisdiction. B. The County proposes to install certain temporary roadway modifications in portions of the Project Site for the purpose of striping four lanes on Fred Waring Drive to facilitate traffic flow, and also wishes to make permanent improvements. The temporary modifications include, but are not limited to, the addition of lanes as a result of restriping of the roadway, and shifting the roadway centerline approximately six feet to the south, into the City's jurisdiction (the "Interim Improvements"). The Interim Improvements would be installed by the County on Fred Waring Drive from Adams Street to Old Harbour Drive. The Interim Improvements will require the preparation and submittal of a traffic control plan and roadway improvement plans, both of which are subject to the written approval of the City's Public Works Director. The County has indicated that the Interim Improvements will be temporary. However, the City and the County have not agreed upon the appropriate design of the permanent roadway improvements to the Project Site ("Permanent Improvements"), and the City is generally not in favor of the shifting of the centerline of the roadway, even on a temporary basis as a means to avoid acquisition of right-of-way. The City has expressed further concerns to the County based upon the design of the Interim Improvements. The County has indicated that it is willing to defend and indemnify the City from any liability that would arise from the these conditions of concern. C. The County has indicated that it wishes to carry out the Interim Improvements, and the County believes that the City and the County will come to an agreement regarding the scope and nature of the Permanent Improvements. The scope and nature of the Permanent Improvements will be subject of a separate agreements between the parties. Because the County proposes to carry out the Interim Improvements on a portion of the Project Site that is within the City's jurisdiction, the County needs to first obtain a temporary license from the City in order to install the Interim Improvements. The City wishes to ensure that the Interim Improvements do not become permanent. Further, the County has agreed that if the parties do not come to an agreement regarding the Permanent Improvements within the time period set forth in this Agreement, the County will promptly restore the roadway to the configuration it was in (including the lane striping configuration) prior to the Interim Improvements, at the County's sole expense, and to the City's reasonable satisfaction. D. Because the Interim Improvements are a Countyproject, the City has demanded, and the County has agreed, to fully indemnify the City for all claims in any way relating to the Interim Improvements. E. Subject to the provisions of this Agreement, County and the City now desire to enter this Agreement to provide a conditional and temporary license to the County to allow it to install, on a temporary basis, the Interim Improvements and to require the County to defend and indemnity to the City from and for any and all liability from the Interim Improvements or the public's use thereof prior to the Permanent Improvements. NOW, THEREFORE, incorporating the foregoing recitals and in consideration thereof, and in consideration of the mutual covenants and conditions contained herein, and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereto agree as follows: AGREEMENT 1. Grant of License. The City hereby grants a temporary, conditional license to the County to permit the temporary encroachment on the following areas within the City: (1) up to 15 feet south of the existing centerline of Fred Waring for the Interim Improvements, including the temporary restriping; (2) a construction encroachment area of up to 25 feet south of centerline within the Project Site; and (2) a transition area 500 feet west of Adams and 500 feet east of Port Maria to allow for traffic control and transitions to the construction zone. The plans for the Interim Improvements and the traffic control plan shall be subject to review and written approval by the City's Public Works Director prior to any work taking place within the City's right-of-way. Work hours for taking traffic lanes in order to install the Interim Improvements shall be restricted to Monday through Friday, 8:30 am to 3:30 pm, with no work on Saturdays, Sundays or holidays without prior approval by the Public Works Director. Access to driveways shall be maintained with minimum delays to residents at all times. 2. Term of License; Duty to Restore. The term of the license shall commence on the date that this agreement has been executed by all parties and shall end 24 month thereafter. If the City and the County have not reached an agreement on the nature and scope of the Permanent Improvements within that 24-month period, the County shall restore Fred Waring Drive to the configuration it was in prior to the installation of the Interim Improvements, including restriping the center line at the City boundary and restoring the lane configuration and striping that existed prior to the Temporary Improvements. The restoration shall be solely at the County's expense, and shall be subject to the reasonable approval of the City's Public Works Director. If the County fails to fully restore Fred Waring Drive to its previous condition, the City shall have the right to complete the restoration, and the County shall promptly reimburse the City for the costs incurred by the City in completing the restoration. The restoration shall be completed by the County within 180 days from the expiration of the 24-month period, and the City hereby grants a license to the County to complete the restoration during that period. The restoration shall be completed pursuant to restoration and traffic control plans which must be approved by the City's Public Works Director. 3. Indemnity & Release. The County agrees to defend, indemnify, and hold harmless the City, its officers, officials, representatives, agents and employees (collectively, "Indemnified Parties") from any and all claims, actions, liabilities, or legal proceedings (collectively, 1068/015610-0002 899956 07 a05/28/08 L 4 1 "Claims"), which arise out of, relate to, or in any way involve (directly or indirectly) the design, construction, installation, or use of the Interim Improvements, including each and every design feature utilized in the Interim Improvements and the driveway connections to Fred Waring Drive. Upon receipt of any Claim covered by this provision, the Indemnified Parties shall tender the Claim to the County, and the County shall provide the Indemnified Parties' defense in the matter, with legal counsel approved by the Indemnified Parties, at no cost to Indemnified Parties. The Indemnified Parties shall fully cooperate in the defense of any such Claim. The County agrees to promptly pay any and all final judgments or awards of damages, costs, or any other monetary awards against the Indemnified Parties covered by this provision. This provision also shall not apply to Claims where the cause of injury or damage is determined by a final judgment or ruling, no longer subject to appeal, to be solely the result of City's negligence, willful misconduct or gross misconduct with regard to the maintenance of City roadways or median improvements within City limits. To the extent the City's negligence, willful misconduct or gross misconduct with regard to the maintenance of City roadways or median improvements within City limits is determined by a final judgment or ruling, no longer subject to appeal, to be only one of two or more proximate causes of said injury or damages, the County's defense and indemnity obligations to City shall be reduced on a pro rata basis in accordance with the determinations included in such final judgment or ruling. The County's obligations under this provision shall commence from the date the construction of the Interim Improvements commences and shall continue in effect that either: (1) the roadway is fully restored to its current condition, which condition is accepted as being fully restored by the City's Public Works Director; or (2) the Permanent Improvements are agreed upon and fully installed. Nothing in this paragraph shall preclude the City from requested defense and indemnification as a condition to its approval of the Permanent Improvements. Upon request by the City, the County either shall add the Indemnified Parties as "additional insureds" to any and all of the County's insurance policies which might relate to the Interim Improvements made to the Project Site or provide proof of self insurance coverage for the Interim Improvements mate to the Project Site. However, the County agrees that the providing of said insurance coverage does not relieve the County of the obligations assumed within this provision. 4. Miscellaneous. 4.1 Attorneys' Fees. In the event of any dispute between the parties hereto involving this Agreement, the prevailing party shall be entitled to recover, and the other party agrees to pay, all reasonable fees, expenses and costs, including but not limited to attorneys' fees. 4.2 Notices. Any notice which either party may desire to give to the other party must be in writing and shall be effective (i) when personally delivered by the other party or by messenger or courier; (ii) three (3) business days after deposit in the United States mail, registered or certified; (iii) one (1) business day after deposit before the daily deadline time with a reputable overnight courier or service; or (iv) upon receipt of a telecopy or fax transmission (as evidenced by a computer generated receipt confirming a successful transmission), provided a hard copy of such transmission shall be thereafter delivered in one of the methods described in 1068/015610-0002 _ 899956.07 a0528/08 .3 L 4 the foregoing (i) through (iii); in each case postage fully prepaid and addressed to the respective parties as set forth below or to such other address and to such other persons as the parties may hereafter designate by written notice to the other parties hereto: If to City: City of La Quinta Thomas P. Genovese, City Manager 78-495 Calle Tampico La Quinta, California 92253 With a copy to: Rutan & Tucker, LLP M. Katherine Jenson 611 Anton Blvd., Suite 1400 P.O. Box 1950 Costa Mesa, CA 92628-1950 If to County: Transportation Department Juan Perez, Director of Transportation 4080 Lemon Street Riverside, CA 92501 With a Copy to : County of Riverside Clerk of the Board P.O. Box 1147 Riverside, CA 92502-1147 Either party may from time to time, by written notice to the others, designate a different address which shall be substituted for the one above specified, and/or specify additional parties to be notified. 4.3 Successors and Assieris. This Agreement shall be binding on the parties hereto and their respective heirs, successors, representatives, transferees and assigns. 4.4 No Third Parties Benefited. This Agreement is made for the sole benefit and protection of the City and County, and their respective successors and assigns. No other person shall have any right of action or right to rely thereon. 4.5 Time of the Essence. Time is of the essence of each of the terms, covenants and conditions of this Agreement. 4.6 Entire Agreement. This Agreement contains the entire agreement of the parties hereto with respect to the matters covered hereby, and all negotiations and agreements, statements or promises between the parties hereto or their agents with respect to this transaction are merged in this Agreement, which alone expresses the parties' rights and obligations and if not contained herein shall not be binding or valid against either of the parties hereto. 4.7 Modification. Any amendments or modifications to this Agreement must be in writing and executed by all the parties to this Agreement. 1068/015610-0002 899956.07 a05/28/08 L 'J 4.8 Interpretation• Governing Law. This Agreement shall be construed according to its fair meaning and as if prepared by both parties hereto. This Agreement shall be construed in accordance with the laws of the State of California in effect at the time of the execution of this Agreement. Titles and captions are for convenience only and shall not constitute a portion of this Agreement. As used in this Agreement, masculine, feminine or neutral gender and the singular or plural number shall each be deemed to include the others wherever and whenever the context so dictates. 4.9 No Waiver. No delay or omission by either party hereto in exercising any right or power accruing upon the compliance or failure of performance by the other party hereto under the provisions of this Agreement shall impair any such right or power or be construed to be a waiver thereof. A waiver by either party hereto of a breach of any of the covenants, conditions or agreements hereof to be performed by the party shall not be construed as a waiver of any succeeding breach of the same or other covenants, agreements, restrictions or conditions thereof. 4.10 Severability. If any term, provision, condition or covenant of this Agreement or the application thereof to any parry or circumstances shall, to any extent, be held invalid or unenforceable, the remainder of this instrument, or the application of such term, provision, condition or covenant to persons or circumstances other than those as to whom or which it is held invalid or unenforceable, shall not be affected thereby, and each term and provision of this Agreement shall be valid and enforceable to the fullest extent permitted by law. 4.11 Counterparts. This Amendment may be executed in several counterparts, and all so executed shall constitute one agreement binding on all parties hereto, notwithstanding that all parties are not signatories to the original or the same counterpart. The parties may also deliver executed copies of this Amendment to each other by facsimile, which facsimile signatures shall be binding. Any facsimile delivery of signatures shall be followed by the delivery of executed originals. SIGNATURE PAGE FOLLOWS 1068/015610-0002 _5_1+4 11 899956.07 a05/28/O8 IN WITNESS WHEREOF, the parties hereto have executed this Amendment as of the date set forth above. CITY OF LA QUINTA, a California charter city By: Thomas P. Genovese Its: City Manager ATTEST: Veronica Montecino, City Clerk APPROVED AS TO FORM: M. Katherine Jenson, City Attorney COUNTY OF RIVERSIDE Roy Wilson, Chairman Board of Supervisors ATTEST: Clerk of the Board Nancy Romero Deputy County Clerk APPROVED AS TO FORM: Joe S. Rank, County Counsel Deputy, County Counsel 1068/015610-0002 G4� 899956 07 a0528/08 ATTACHMENT 6 SUBMITTAL TO THE BOARD OF SUPERVISORS *1'+ COUNTY OF RIVERSIDE, STATE OF CALIFORNIA FROM: Supervisor Roy Wilson SUBMITTAL DATE: June 3, 2008 SUBJECT: Approval of a License and Indemnity Agreement between the County and the City of La Quinta for improvements on Fred Waring Drive RECOMMENDED MOTION: That the Board of Supervisors join me in approving the License Agreement and authorize the chairman to execute all documents. BACKGROUND: Our Transportation Department has been diligently working with the City of La Quinta for several years to stripe Fred Waring Drive to four lanes between Adams Street and Port Maria Road. The north half of Fred Waring is in the County and the south half in the City. This improvement is needed to facilitate traffic flow. This would be an interim improvement until such time as the two agencies, working in cooperation with CVAG as a funding partner, can widen the road to the ultimate six lane section. The County has submitted a request to CVAG to initiate funding for the six lane project. The City of La Quinta has requested that the County enter into a license and indemnity agreement before the City agrees to allow encroachment into its half of the road for the County to stripe the four lane project. The attached agreement sets the terms and conditions under which the City and County will cooperate on both the four lane and six lane project. 0 a 0 a ❑ ❑ C N N C N N C O U C O U Ew O 0: o. o a Prev. Agn. Form I I (Rev 0712007) Roy Wilson Supervisor, 4`" District Agenda Number: r40 LICENSE AND INDEMNITY AGREEMENT THIS LICENSE AND INDEMNITY AGREEMENT ("Agreement") is made, to be effective this _ day of , 2008, by and between the CITY OF LA QUINTA, a California charter city ("City"), and the COUNTY OF RIVERSIDE, a political subdivision of the State of California ("County"). RECITALS A. This Agreement relates to that portion of a public street commonly know as Fred Waring Drive, between Adams Street and Port Maria Road, a length of approximately 3300 feet (the "Project Site"). A depiction of the Project Site is attached hereto as Exhibit "A" and incorporated herein by this reference. The north side of Fred Waring Drive in the Project Site falls under the jurisdiction of the County, while the south side is under the City's jurisdiction. The centerline of the existing roadway is generally located on the boundary line between the City and the County. The entire road width of Fred Waring Drive west of Adams Street and east of Port Maria Road falls under the City's jurisdiction. B. The County proposes to install certain temporary roadway modifications in portions of the Project Site for the purpose of striping four lanes on Fred Waring Drive to facilitate traffic flow. The temporary modifications include, but not limited to, the addition of lanes as a result of restriping of the roadway, and shifting the roadway centerline approximately six feet to the south, into the City's jurisdiction (the "Interim Improvements"). The Interim Improvements would be installed by the County on Fred Waring Drive from Adams Street to Old Harbour Drive. C. The City and County agree that the four lane improvements are intended to be temporary and that the goal of both agencies is to construct six lanes permanently. The specific design of the permanent road improvements ("Permanent Improvements") is yet to be determined by the Parties and will be agreed upon in a separate agreement. The City is generally not in favor of the shifting of the centerline of the roadway, even on a temporary basis as a means to avoid acquisition of right-of-way. D. The City desires that in the event the Parties cannot agree upon the design of the Permanent Improvements, then the County shall restore the road regarding the lane striping to its original configuration, at County's expense. E. The City has issued the County an encroachment permit in connection with the performance of road improvements (otherwise known as Interim Improvements) to be made by County, its officers, agents, and employees on the Project Site. F. Division 3.6 of the Government Code has imposed joint and several liability on public entities who are parties to an agreement as defined in section 895 of the Code. Any such agreement may provide for the indemnification by any of the parties thereto of the other parties with respect to any liability arising from or out of the performance of such agreements. G. County is willing to assume liability and to indemnify the city against any loss arising from and out of the County's performance of this agreement to the extent of actual f- construction, maintenance, or repair work or work in progress done for the interim improvements and subject to the terms, conditions, and limitations hereinafter provided. H. Subject to the provisions of this Agreement, County and the City now desire to enter this Agreement to provide a conditional and temporary license to the County to allow it to install the Interim Improvements and to define the scope of liability by the Parties in this Agreement. NOW, THEREFORE, IT IS AGREED as follows: AGREEMENT 1. Grant of License. The City hereby grants a temporary, conditional license to the County to permit the temporary encroachment on the following areas within the City: (1) up to 15 feet south of the existing centerline of Fred Waring for the Interim Improvements, including the temporary restriping; (2) a construction encroachment area of up to 25 feet south of centerline within the Project Site; and (2) a transition area 500 feet west of Adams and 500 feet east of Port Maria to allow for traffic control and transitions to the construction zone. The plans for the Interim Improvements and the traffic control plan shall be subject to review and written approval by the City's Public Works Director prior to any work taking place within the City's right-of-way. Work hours for taking traffic lanes in order to install the Interim Improvements shall be restricted to Monday through Friday, 8:30 am to 3:30 pm, with no work on Saturdays, Sundays or holidays without prior approval by the Public Works Director. Access to driveways shall be maintained with minimum delays to residents at all times. 2. Term of License: Duty to Restore. The term of the license shall commence on the date that this agreement has been executed by all parties and shall end 24 month thereafter. If the City and the County have not reached an agreement on the nature and scope of the Permanent Improvements within that 24-month period, the County shall restore Fred Waring Drive to its configuration prior to the installation of the Interim Improvements; provided that approval and/or agreement on the design of the Permanent Improvements is not unreasonably withheld. The restoration shall be solely at the County's expense, and shall be subject to the reasonable approval of the City's Public Works Director. If the County fails to fully restore Fred Waring Drive to its previous condition, the City shall have the right to complete the restoration, and the County shall reimburse the City for costs incurred by the City in completing the restoration. The restoration shall be completed by the County within 180 days from the expiration of the 24- month period, and the City hereby grants a license to the County to complete the restoration during that period. The restoration shall be completed pursuant to restoration and traffic control plans which must be approved by the City's Public Works Director. 3. Indemnity & Release. Neither City (Indemnified Parties) nor any officer or employee thereof shall be responsible for any damage or liability occurring by reason of negligent or wrongful acts or omissions to be done by County under or in connection with any construction, maintenance, repair work completed or work in progress by County under this Agreement. It is further agreed that pursuant to Government Code Section 895.4, County shall fully indemnify and hold City harmless from any liability imposed for injury (as defined by Government Code Section 810.8) occurring by reason of negligent or wrongful acts or omissions to be done by County under or in connection with any construction, maintenance, repair work completed or work in progress by County under this Agreement. Upon receipt of any Claim covered by this provision, the Indemnified Parties shall License & Indemnity Agnm _ 4 Q lJ version 052108 -2 tender the Claim to the County. The Indemnified Parties shall fully cooperate in the defense of any such Claim. This provision shall not apply to Claims where the cause of injury or damage is determined by a final judgment or ruling, no longer subject to appeal, to be solely the result of City's negligence, willful misconduct or gross misconduct with regard to the maintenance of City roadways or median improvements within City limits. To the extent the City's negligence, willful misconduct or gross misconduct with regard to the maintenance of City roadways or median improvements within City limits is determined by a final judgment or ruling, no longer subject to appeal, to be only one of two or more proximate causes of said injury or damages, the County's defense and indemnity obligations to City shall be reduced on a pro rata basis in accordance with the determinations included in such final judgment or ruling. The County's obligations under this provision shall commence from the date the construction of the Interim Improvements commences and shall continue in effect that either: (1) the roadway is fully restored to its current condition, which condition is accepted as being fully restored by the City's Public Works Director; or (2) the Permanent Improvements are agreed upon and fully installed. Nothing in this paragraph shall preclude the City from requested defense and indemnification as a condition to its approval of the Permanent Improvements. Upon request by City, County shall either add the Indemnified Parties as "additional insured" to any and all of the County's insurance policies which might relate to the Interim Improvements made to the Project Site or provide proof of self insurance for coverage for the interim improvements made to the Project Site. However, the County agrees that the providing of said insurance coverage does not relieve the County of the obligations assumed within this provision. 4. Miscellaneous. 4.1 Attorneys' Fees. In the event of any dispute between the parties hereto involving this Agreement, the prevailing party shall be entitled to recover, and the other party agrees to pay, all reasonable fees, expenses and costs, including but not limited to attorneys' fees. 4.2 Notices. Any notice which either party may desire to give to the other party must be in writing and shall be effective (i) when personally delivered by the other party or by messenger or courier; (ii) three (3) business days after deposit in the United States mail, registered or certified; (iii) one (1) business day after deposit before the daily deadline time with a reputable overnight courier or service; or (iv) upon receipt of a telecopy or fax transmission (as evidenced by a computer generated receipt confirming a successful transmission), provided a hard copy of such transmission shall be thereafter delivered in one of the methods described in the foregoing (i) through (iii); in each case postage fully prepaid and addressed to the respective parties as set forth below or to such other address and to such other persons as the parties may hereafter designate by written notice to the other parties hereto: If to City: City of La Quinta Thomas P. Genovese, City Manager 78-495 Calle Tampico La Quinta, California 92253 License&1.& Iry Agm[ _3- (_ 4 version 052108 With a copy to: Rutan & Tucker, LLP M. Katherine Jenson 611 Anton Blvd., Suite 1400 P.O. Box 1950 Costa Mesa, CA 92628-1950 If to County: County of Riverside Transportation Department Juan Perez, Director of Transportation 4080 Lemon Street Riverside, CA 92501 With a Copy to: County of Riverside Clerk of the Board P.O. Box 1147 Riverside, CA 92502-1147 Either party may from time to time, by written notice to the others, designate a different address which shall be substituted for the one above specified, and/or specify additional parties to be notified. 4.3 Successors and Assigns. This Agreement shall be binding on the parties hereto and their respective heirs, successors, representatives, transferees and assigns. 4.4 No Third Parties Benefited. This Agreement is made for the sole benefit and protection of the City and County, and their respective successors and assigns. No other person shall have any right of action or right to rely thereon. 4.5 Time of the Essence. Time is of the essence of each of the terms, covenants and conditions of this Agreement. 4.6 Entire Agreement. This Agreement contains the entire agreement of the parties hereto with respect to the matters covered hereby, and all negotiations and agreements, statements or promises between the parties hereto or their agents with respect to this transaction are merged in this Agreement, which alone expresses the parties' rights and obligations and if not contained herein shall not be binding or valid against either of the parties hereto. 4.7 Modification. Any amendments or modifications to this Agreement must be in writing and executed by all the parties to this Agreement. 4.8 Interpretation; Governing Law. This Agreement shall be construed according to its fair meaning and as if prepared by both parties hereto. This Agreement shall be construed in accordance with the laws of the State of California in effect at the time of the execution of this Agreement. Titles and captions are for convenience only and shall not constitute a portion of this Agreement. As used in this Agreement, masculine, feminine or neutral gender and the singular or plural number shall each be deemed to include the others wherever and whenever the context so dictates. License & Lnde ty Agmt _ (_ 5 0 version 052109 -4 4.9 No Waiver. No delay or omission by either party hereto in exercising any right or power accruing upon the compliance or failure of performance by the other party hereto under the provisions of this Agreement shall impair any such right or power or be construed to be a waiver thereof. A waiver by either party hereto of a breach of any of the covenants, conditions or agreements hereof to be performed by the party shall not be construed as a waiver of any succeeding breach of the same or other covenants, agreements, restrictions or conditions thereof. 4.10 Severability. If any tern, provision, condition or covenant of this Agreement or the application thereof to any parry or circumstances shall, to any extent, be held invalid or unenforceable, the remainder of this instrument, or the application of such term, provision, condition or covenant to persons or circumstances other than those as to whom or which it is held invalid or unenforceable, shall not be affected thereby, and each term and provision of this Agreement shall be valid and enforceable to the fullest extent permitted by law. 4.11 Counterparts. This Amendment may. be executed in several counterparts, and all so executed shall constitute one agreement binding on all parties hereto, notwithstanding that all parties are not signatories to the original or the same counterpart. The parties may also deliver executed copies of this Amendment to each other by facsimile, which facsimile signatures shall be binding. Any facsimile delivery of signatures shall be followed by the delivery of executed originals. /// SIGNATURE PAGE FOLLOWS cJ Licenu & Indemnity Agmt _ ,.=052108 _5 IN WITNESS WHEREOF, the parties hereto have executed this Amendment as of the date set forth above. CITY OF LA QUINTA, a California charter city By: Thomas P. Genovese Its: City Manager ATTEST: Veronica Montecino, City Clerk APPROVED AS TO FORM: M. Katherine Jenson, City Attorney COUNTY OF RIVERSIDE Roy Wilson, Chairman Board of Supervisors ATTEST: Clerk of the Board Nancy Romero Deputy APPROVED AS TO FORM: Joe S. Rank County Counsel Deputy County Counsel License & Indemnity Agml version 052108 4 0 z AGENDA CATEGORY: BUSINESS SESSION: COUNCIL/RDA MEETING DATE: June 2, 2008 ITEM TITLE: Discussion of Options for Placement of Street Name Signage in the Cove Area RECOMMENDATION: As deemed appropriate by the City Council. FISCAL IMPLICATIONS: CONSENT CALENDAR: STUDY SESSION: PUBLIC HEARING: Existing Maintenance Costs for the Cove Area street name signs: Maintenance of Existing Street Signs per Year $ 2,560 Maintenance of Existing Obelisk Corner Monuments $ 2,855 Repainting and Restenciling 40 Obelisks per Year $ 4,370 Total $ 9,785 Proposed Construction Costs for signage options: Option No. 1 (Add additional signs with posts) $ 85,000 Option No. 2 (Replace existing signs only with high reflectivity signs) $ 43,000 Option No. 2 (Install new high reflectivity signs with posts) $ 98,000 Option Total $141,000 Option No. 3 (Replace existing signs and hardware with larger signs) $ 63,000 Option No. 3 (Install new larger signs with posts) $ 98,000 Option Total $161,000 Option No. 4 (Remove landscaping from parkways) $ 18,000 Option No. 5 (Repair all obelisks) $ 30,000+ CHARTER CITY IMPLICATIONS: None BACKGROUND AND OVERVIEW: There are currently 282 street name signs in the cove area. The signs were originally installed in late 1986 and early 1987 with one sign being placed at the southeast corner of each intersection. In addition to the street name signs, there are 267 Obelisk street corner monuments which were installed by the County of Riverside prior to the City's incorporation in 1982. Due to a number of factors (low levels of lighting, landscape interference, lack of signage etc.) there have been complaints concerning the visibility of the street name signs and difficulty in navigating the cove area in general, especially during the evening and nighttime hours. Staff has researched possible methods of increasing the visibility of the street name signs in the cove area and presents the following options for the Council's consideration: 1. Place additional street name signs The placement of an additional signpost at the northwest corner of each intersection would allow better visibility from both directions of travel. It is estimated to cost approximately $300 per post mounted sign at 282 locations for a total cost of $85,000 and would entail placing all new sign assemblies at each intersection. The increase in yearly maintenance costs is estimated to be $2,600 for this option. 2. Change the type of Sign Sheeting to increase Reflectivity The retroreflective sheeting used for a sign determines the amount of light reflected back from the sign to the driver and how visible the sign is. The Cove area signs currently use the minimum allowable classification which is known as Type I or Engineer Grade. Type I signs use very small glass beads to reflect the light. There are currently 10 types of sheeting with an 11`" type currently being evaluated by American Society for Testing Materials (ASTM). � J4 Newer types of sheeting known as High Intensity use two layers to increase reflectivity by up to five times over Type 1, however, the cost is about twice that of a Type 1 sign. The best sheeting currently available is known as Diamond Grade which is 10 to 13 times brighter than Type I. These brighter types of sheeting generally have a service life of about 10 years. The estimated additional cost for 282 new diamond grade street name signpost assemblies is $98,000. Additionally, the cost to replace the existing street name signs would be approximately $43,000 bringing the total cost of this option to $141,000. Staff estimates new signs maintenance costs would increase by approximately $3,000 per year for this option. 3. Change the size of the sign and the lettering Another option to increase visibility of the signs is to increase the height of the sign and the street name lettering. This was recently done by Cathedral City in their cove area. Cathedral City increased the height of the sign from 6-inches to 9- inches and increased the height of the letters from 4-inches to 6-inches. They also placed a city logo on the new signs. The estimated cost to replace the existing street name signs with the larger signs is $63,000. This would include new signs and mounting hardware required for the larger signs. Additionally, the estimated cost for 282 new signpost assemblies with the larger signs is $98,000 bringing the total cost of this option to $161,000. Staff estimates maintenance costs would increase by approximately $3,000 per year for this option. 4. Remove conflicting landscaping from parkways Visibility is further decreased at some intersections due to trees and bushes growing up to and in some cases covering the signs from view. Removing these interfering plants and trees would increase visibility and can be used in conjunction with any of the other alternatives. One issue with this alternative is that there are many mature trees and bushes in the parkways that would have to be removed. Assuming 15% of the intersections have problems that will cost $500 to fix gives us an estimated cost of approximately $ 18,000. 5. Increase the visibility of the Obelisk Street Corner Monuments Maintenance Division currently re -paints and re -stencils approximately 40 of the 267 monuments per year at a cost of $4,370. The cost to rehabilitate all 267 monuments each year would be approximately $30,000. There is also the option of trying more reflective types of paint to increase nighttime visibility, which could slightly increase the $30,000 cost depending on the price difference between the existing paint and the reflective paint. c55 FINDINGS AND ALTERNATIVES: As deemed appropriate by City Council. Respectfully submitted, Ti othy R. n on, P.E. ublic Works Di ctor/City Engineer Approved for submission by: Thomas P. Genovese, City Manager c"J0 REPORTS & INFORMATIONAL ITEMS: I q COMMUNITY SERVICES COMMISSION MINUTES April 14, 2008 CALL TO ORDER A regular meeting of the Community Services Commission was called to order at 5:30 p.m. by Chairperson Weber. Commissioner Brodsky led the audience in the Pledge of Allegiance. COMMISSIONERS PRESENT: Commissioner Sheldon Brodsky Commissioner Andrea Gassman Vice -Chairperson Bob Leidner Commissioner E. Howard Long Commissioner Dori Quill Commissioner Robert F. Sylk Chairperson Mark Weber STAFF PRESENT: Edie Hylton, Community Services Director Steve Howlett, Golf & Parks Manager Angela Guereque, Senior Secretary PUBLIC COMMENT None. CONFIRMATION OF AGENDA Motion - It was moved by Commissioner Gassman and seconded by Commissioner Long to confirm the agenda. Motion carried unanimously. PRESENTATIONS: None. APPROVAL OF MINUTES 1. Approval of March 10, 2008 Minutes Commissioner Gassman noted that on page 7, paragraph 5, sentence 2, reads "that it the" should read "that the." On page 7 under Correspondence No. 3 it should be noted that there was no discussion. On page 8, paragraph 1, last 257 ,.,�;ti Srrt.ces Conrros�ton Minutes April 14, 2008 sentence, reads "Commission does not" should read Commission should not." On page 8, paragraph 3 reads "that her and" should read "that she and." Motion — It was moved by Commissioner Long and seconded by Commissioner Sylk to approve the minutes as corrected. Motion carried unanimously. CONSENT CALENDAR None. PUBLIC HEARING BUSINESS ITEMS 1. Consideration of Participation for the Multi -Generational Talent Show Director Hylton explained that the Community Services Department is requesting the assistance of two Commissioners to assist staff in the upcoming annual Multi - Generational Talent Show. Staff requests support in emceeing the event which will take place on Friday, April 25, 2008 from 6:30 — 9:00 p.m. Staff will provide an agenda with descriptions of the various acts that will be performing that evening. Commissioners will be introducing the acts as they prepare to perform on the stage/dance floor, ask brief prepared questions to each act after their performance, and present everyone with signed certificates from the Mayor at the end of the show. Motion — It was moved by Commissioner Sylk and seconded by Vice -Chairperson Leidner to assign Commissioner Sylk and Commissioner Gassman to participate as emcees for the Multi -Generational Talent Show. Motion carried unanimously. 2. Consideration of Naming the Centre Pointe Development Park Golf & Parks Manager, Steve Howlett, explained that as part of the Centre Pointe Development, located on the southeast corner of Washington Street and Miles Avenue, a three acre park was constructed by the development contractor. In August 2006, the Community Services Commission began park naming discussions for recommendation to the City Council. Staff advertised the park naming form and criteria in the La Quinta Gem and did not receive any completed forms back. In February 2008, City staff sent a letter and Park Naming Submittal Form to all residents within 500 feet of the park. All forms were to be returned by March 29, 2008. LJ$ Cnmmuniry Comrnisswn Mnutca April 14, 2008 ;_ Staff has not received any Park Naming Forms back. The Commission may wish to recommend the name "Centre Pointe Park" to be considered by the City Council or suggest another name be considered by the City Council. Commission Sylk likes the name Centre Pointe Park, but would like to suggest naming it after Mayor, Don Adolph. Commissioner Long stated that staff has tried twice with no results and does not think Mayor Adolph would accept the nomination, but would like him to feel appreciated. Vice -Chairperson Leidner suggested Mountain Vista because of the views. Chairperson Weber stated that Centre Pointe makes sense, but doesn't sound real attractive. He suggested Vista del Oro, Vista Alegre, or Mountain Vista. Commissioner Quill asked what the new development is called where the trailer park used to be on Miles Avenue. Commissioner Weber stated it is called Vista Dunes. Director Hylton stated the development is called Vista Dunes Courtyard Homes. Golf & Parks Manager, Steve Howlett, stated that people usually identify parks with their location. Commissioner Long suggested Vista Pointe. Golf & Parks Manager, Steve Howlett, stated that the park is on Seeley Drive. Director Hylton stated that the Commission could call it Seeley Drive Park. After a vote on the suggested names, the Commission concluded that Mountain Vista Park, Vista Pointe Park, and Seeley Park would be recommended to the City Council. Motion — It was moved by Vice -Chairperson Leidner and seconded by Commissioner Long to recommend "Mountain Vista Park," "Vista Pointe Park," and "Seeley Park," with "Mountain Vista Park" being the majority vote, to the City Council for consideration. Motion carried unanimously. 3. Consideration of Compensation to the Community Services Commission for Special Meetings Director Hylton stated that Commissioner Brodsky and Commissioner Long requested that this topic be brought to the Commission for consideration. It was suggested that compensation be given for the park tour and other special meetings LJ� Co �r i;;n�tr :S�^rviccs C;omm�ss�vr� Mniutcy April 14, 2008 -4- held that discuss Community Services business. Director Hylton stated that Chairperson Weber suggested that staff put a report together for the Commission's review. The La Quinta Municipal Code Section 2.06.050 Compensation states "Compensation for boards, commissions, or committees shall be set by resolution of the city council. (Ordinance 287§1(part), 1996)• Current compensation for the Community Services Commission and other Boards and Commissions (with the exception of the Planning Commission) are set at $75 a month. The compensation for Boards and Commissions was discussed at the June 5, 2007 City Council Meeting. This includes the Architectural and Landscape Review Committee, Historic Preservation Board, Investment Advisory Board, and the Community Services Commission. Palm Springs, Palm Desert, Rancho Mirage, Cathedral City, Indian Wells, Desert Hot Springs, and Indio have Commissions in which the primary function is similar to the Community Services Commission in addressing park and recreation functions. In Fiscal Year 2007-2008 the Community Services Commission has met once beyond a regular scheduled meeting to take a tour of City Art in Public Places and parks. The Community Services Commissioners attend events as ambassadors of the City and to become familiar and make suggestions to the programs and activities provided by the department. Vice -Chairperson Leidner stated that he didn't know this was a paid position when he originally applied and feels that the Commission should not be doing this with the concern of what they will be paid. He does not recommend changing the structure and feels that citizens should not be burdened with having to come up with additional compensation. Commissioner Brodsky stated that he disagrees with Vice -Chairperson Leidner. The $75 was set five years ago and the City Council has given itself at least one raise, if not two. The other cities do not do anything near the amount of events that the City of La Quinta does. On February 23, 2008, Vice -Chairperson Leidner called the meeting to order, Roll Call was done, the Commission performed its services, and adjournment took place. He stated that the Commission should be paid for every meeting. The City can afford to pay $100 per month and for every meeting. Commissioner Quill stated she agrees with Vice -Chairperson Leidner. She stated that the Planning Commission gets paid $100 per month and they have to meet twice a month. They work a lot more hours than the Community Services Commission and it is a tough job. She suggested that the Commission could have an optional parks meeting. Zhu C,ywnml,i 'Y sf;rvlcoy April 14, 2008 5- Commissioner Long stated that he had no idea there was any money involved. He doesn't want to be compared to most of the other cities in the Coachella Valley except Indian Wells. The way the Resolution is written the Commission gets paid every time they have a meeting as long as they do not spend over $75 per month. The Commission did not meet in August and did not get paid. There is a paycheck sitting out there that nobody is getting. The most important thing that the Commission has done in the last couple of years is to go on the art and parks tour. It lets the Commission see what is really going on and what really needs working on and if you don't know those things you can't intelligently make decisions. Every other year the Commission needs to look at the art pieces. Commissioner Long suggested the Commission ask the City Council to allow 14 meetings per year at $75 per meeting. The art and parks tour is very important if the Commission is going to fulfill their obligations to say to the City Council that these are the things that need to be done. Commissioner Gassman stated that serving on the Commission is a privilege and she did not apply to this Commission with any inclination that it would be funded. However, when you have a meeting that has been noticed, roll call is made, there is a call to order, and a group has to abide by the Brown Act, that is a meeting. The Commission needs to make sure that if they ask for the additional sums that it does not preclude them from taking additional tours. The concerns and thoughts should be taken to City Council. Commissioner Gassman suggested having a maximum of 12 to 14 meetings per year. Commissioner Sylk stated that five years ago the Commission was not as responsible of a Commission as they are today. With more responsibilities come more time and more involvement. The Art and Parks tour was originally his idea because he felt it was very important. The tour takes a lot longer than a regular meeting. The Commission volunteers for other items that are within the Commission to go to other places. The Art and Parks tour should be construed as another meeting. Instead of going dark in August, he suggested adjourning the meeting until the Art and Parks Tour. Commissioner Sylk recommended the Commission be allowed full compensation for all Special Meetings. Chairperson Weber stated that the Resolution states a monthly amount, not an annual amount. The Planning Commission spends a lot of time outside of their meetings and they have to adhere to zoning ordinances and California State laws. The comparison to the cities was something that he asked staff for to have some kind of relationship whether the City is comparable or not. The intent from City Council's standpoint is that compensation was used to attract people to serve on the Commission. The intent was to get enough applicants, not to compensate for time. He recommended staff have a conversation with the City Manager or wait and have the Commission speak to the City Council during the annual Joint Meeting. He stated he does not feel this is a pressing item where he would feel comfortable pushing it forward. r U. Co-w1wilty Scruars, Commission Minutes 6- April 14, 2008 Director Hylton stated that City Council discussed this during last Fiscal Year's budget and determined to leave the Commission rates at their current rate. Commissioner Long stated that the Commission is missing Commissioner Brodsky's concern. The Commission has 12 meetings per year but gets paid for 11. If there are only 11 meetings, then it is clearly within the scope of the original amount of money to be spent to have one meeting which is allowed sometime in a month that we can use for Parks or Art or whatever they need to do. He stated that he would be happy with being able to have 12 meetings per year at $75 per meeting. The City Council will see that this will not cost them anymore money. Vice -Chairperson Leidner stated that 2 of the last 4 years the Commission did hold August meetings. Commissioner Quill stated that she does not want to limit the Commission to a certain amount of meetings. The reason the Commission was compared to the Planning Commission is because the Planning Commission only makes $50 per meeting. If the Commission gave themselves more money, they would be making more money than the Planning Commission, they meet twice a month, and have 22 meetings per year with earnings of $1,100. The Commission makes $825 per year, which is actually more money than the Planning Commission. Commissioner Long stated that the Commission is not asking for more money. They are asking to expend all the money that the City Council has approved for one year. Commissioner Sylk asked if the Art and Parks Tour is considered a separate meeting. If it is, then it should be on the docket as a separate meeting. If the Commission is allowed to have a meeting in August, then they should be able to adjourn it for a couple of months until they are ready to have the Art and Parks Tour. As of now the Commission is having two meetings during that month and only getting paid for one. Commissioner Sylk suggested selecting the Art and Parks Tour to take place of the August meeting. Commissioner Brodsky stated that statutes are made to be altered. There is no question that the Art and Parks Tour is a meeting. Chairperson Weber stated that the Art and Parks Tour is vital. The parks tour should be held annually and the art tour every other year. Chairperson Weber stated he feels that the Commission is being a little aggressive by pushing this to City Council. Vice -Chairperson Leidner asked if the annual joint meeting with the City Council is In lieu of the normal monthly meeting. Director Hylton stated it is not. Vice- 262 �enr�co5 CommISSIO�) M➢ WOS April 14, 2008 -7- Chairperson Leidner asked why that is not an issue. He does not feel that the $75 has anything to do with attracting people to the Commission. Commissioner Gassman stated that she would hate to see the tours precluded because of the extra money. If it is a choice of calling it a meeting for which we receive compensation or taking the tour of the parks and art, she would opt for taking the tour. Vice -Chairperson Leidner suggested the tours become a voluntary event as opposed to a requirement. Chairperson Weber suggested the tour be in lieu of a regular meeting. Commissioner Sylk suggested that we set the meeting in lieu of the August meeting but at a later date. Commissioner Gassman stated that the meeting has to be given proper notice. Director Hylton stated that the intent of the Resolution is that if you don't meet during that month there is no payment. The non payment is not carried to another month. Director Hylton suggested having a light agenda in the month of the tour, meet for a short period of time for the business meeting and take the tour. The tour is an important element of the Commission's knowledge, assessment, and information to staff. Commissioner Quill noted that the City Council never meant the $75 to be per meeting, but per month. Some months the Commission spends half an hour per month, some months they spend 8 hours. She likes the freedom of being able to serve as needed. Chairperson Weber stated that if we don't meet in August, we don't get paid. Motion — It was moved by Vice -Chairperson Leidner and seconded by Commissioner Quill to recommend that no changes be brought forth to City Council and that the Commission handle any meetings internally. Motion carried with Commissioner Long, Commissioner Sylk, and Commissioner Brodsky opposing. CORRESPONDENCE AND WRITTEN MATERIALS 1 , Monthly Department Report for February 2008 Commissioner Long noted on page 24, the Library Grand Re -Opening shows a variance of "50" and should show "0." Commissioner Gassman noted on page 29, second paragraph, third sentence, the word "month" should read "month's." 263 Community Sorvices Commission Mmute;s April 14, 2008 H- Commissioner Quill asked about the status of the Interactive Water Feature repair. Golf & Parks Manager, Steve Howlett, explained that the water feature was closed due to vandalism. The Health Department recommended that staff use a non porous surface. Staff is currently waiting for the Health Department's approval of the two non porous surface submittals. Commissioner Quill asked if there were any updates on the lights for La Quinta Park, shade structure for the skate area, or water fountains. Director Hylton stated that some of the Commission's recommendations were included as part of the next fiscal year preliminary budget. The preliminary budget will be presented to the City Council in June 2008 at which time the budget should be available for public viewing. 2. Calendar of Monthly Events Director Hylton stated that the Museum Grand Opening will be held at 2:00 pm. Director Hylton explained that the City is still using the old City Seal for legal documents, etc., and the new City Logo will be used for promotional items and advertising. Commissioner Quill asked about a banner to advertise for the Birthday picnic. Director Hylton explained that staff is working on bids to do a complete signage program. COMMISSIONER ITEMS 1 . Reports from Commissioners Regarding Meetings Attended. None. OPEN DISCUSSION Commissioner Sylk suggested that staff and Commissioner's names be listed in The Gem in the Community Services section. Director Hylton stated that the Chamber of Commerce prints The Gem and she would suggest it to the City Manager's office. In regards to the Cove Trails Plan, Commissioner Gassman stated that her husband suggested color coding the trails with arrows in certain places to help reassure people that they are on the right track. Commissioner Long asked who is in charge of taking down the 25th Anniversary banners. Director Hylton stated that staff is in the process of designing new 264 Comrnw)ay Srrvicos Commission Minutes April 14, 2008 9 banners with the new logo and will be working with the Public Works Department to get the old banners taken down once the new ones arrive. Commissioner Gassman stated that when you are running for public office, there are a certain number of days after the election by which you must have all your signage down, the same thing should apply for the La Quinta Arts Foundation. The sign south of Calle Tampico on Eisenhower Drive was there for weeks after the event. Commissioner Quill suggested having a bowl of candy at the Adult Egg Hunt for people who are not able to get any eggs. ADJOURNMENT It was moved by Commissioner Long and seconded by Commissioner Sylk to adjourn the Community Services Commission meeting at 7:07 p.m. Motion carried unanimously. NEXT MEETING INFORMATION: A Regular Meeting of the Community Services Commission to be held on May 12, 2008 commencing at 5:30 p.m. at the La Quinta Study Session Room, 78-495 Calle Tampico, La Quinta, CA 92253. Submitted by: Angela Guereque Community Services Senior Secretary <'65 REPORT/INFORMATIONAL ITEM: L INVESTMENT ADVISORY BOARD Meeting April 9, 2008 I CALL TO ORDER Regular meeting of the La Quinta Investment Advisory Board was called to order at the hour of 4:30 P.M. by Vice Chairman Rassi, followed by the Pledge of Allegiance. PRESENT: Board Members Ross, Moulin, Park, Rassi and Daniel (4:45) ABSENT: None OTHERS PRESENT: John Falconer, Finance Director and Vianka Orrantia, Secretary II PUBLIC COMMENTS — None. III CONFIRMATION OF AGENDA — (This is the time set aside for public comment on any matter not scheduled on the agenda.) None. IV CONSENT CALENDAR Board Member Ross advised that on page 8, fourth paragraph second sentence should read: Board Member Ross asked if the comparatives could this Rat be spelled excluded from etit within the policy and only included within in the reports generated by the Treasurer. MOTION - It was moved by Board Members Moulin/Ross to approve the minutes of March 12, 2008, as amended. Motion carried unanimously. Noted and Filed. V BUSINESS SESSION A. Transmittal of Treasury Report for February 2008 In response to Board Member Moulin, Mr. Falconer summarized the Staff report advising that the portfolio for the month of February declined by $11.6 million, and ended the month at $191.1 million, with the largest portion of the decline due to the pass -through payments. Page 7 reflects the activity for the month of February, with the yields rolling off at 4.6%, 4.4%, 5.2% and 2.7%, ending with a reinvestment of the portfolio at 2.1 %, 2.7% and 2.8%. In addition, page 11 reflects the annualized earnings with the overall earnings at 3.85%, which was substantially less then the previous month at 4.22%, with the portfolio still above the City's benchmark. LUO Investment Advisory Board Minutes April 9, 2008 Mr. Falconer further advised that he is still actively investing in LAIF, taking advantage of LAIF's current yields, and investing in short maturities. In response to Board Member Park, Mr. Falconer advised that during the discussion of the policy, Staff was going to recommend increasing the LAW percentage from 25% to 35%. In response to Board Member Ross, Mr. Falconer advised that at this time he was not investing in as much commercial paper, due to the economic market. MOTION - It was moved by Board Members Moulin/Ross to approve, receive and file the Treasury Report for February 2008. Motion carried unanimously. B. Consideration of the Fiscal Year 2008/09 Investment Policy The Board reviewed the edited portions of the policy and recommended the following changes/additions/deletions. Board Member Ross' handout: Section II — INVESTMENT POLICY ➢ Safety of principal as the PF*FAaFy ebjeetive The Investment Policy will conform to all State and Local statues governing the investment of public funds Section III — SCOPE This Investment Policy applies to all sash �`: and investments, Section IV — OBJECTIVES 1. Safety of Principal Safety of principal is the foremost objective of the City's investment program. Investments of the City of La Quinta shall be undertaken in a manner that seeks to ensure the preservation of capital ci'" in the overall portfolio in accordance with the permitted investments. tj Investment Advisory Board Minutes April 9, 2008 The City shall endeavor to preserve its ids { "m by making only permissible deposits and investments, undertaken in a controlled manner to minimize the possibility of loss or misappropriation through malfeasance or otherwise Investments not backed by the full faith and credit of the United States Government shall be diversified b allocatina assets hptwppn riiffarcnt ttin.e ..c :� i_ :_..__.�__a_[ ana issuers as a means- to mitigate credit risk and interest rate risk. A. Credit Risk is the risk of loss from the failure of security issuer or backer. Credit risk may be mitigated by: ➢ Limiting investments to the safest types -o;-seGUFit;es kiad securities; 3. Yield a Risk -Based Market Rate of Return (Third Paragraph) As bases for comparison only, the Treasurer's monthly report will display the rates of return on the three-month3 six-month anti nnc_%,n.r I 1 C i reasury taw comparable -period rates for commercial paper -; *t and the yield for the State Treasurer's Local Agency Investment Fund (LAIF) Section V — MAXIMUM MATURITIES (Third Paragraph) Annually, the Treasurer shall project the amount of funds not expected to be disbursed within five years. For FY 2004/09C, the amount of such funds was $ *8 million. (*Treasurer to report dollar amount of funds to be used at the next scheduled meeting.) Section VII — AUTHORITY (Second Paragraph, Last Sentence) the City Manager or Assistant City Manager shall approve acknowledge in writing all purchases and sales of investments prior to their execution by the City Treasurer. Section X — PERMISSAIBLE INVEST11 ENTS AND DEPOSITS AND INVESTMENTS 3 �U$ Investment Advisory Board April 9, 2008 Minutes Board Member Park's handout: Section XVI — REPORTING STANDARDS (First Paragraph) DELETE PARAGRAPH General discussion ensued by the Board regarding the issue of whether or not the Board should be included as part of section VIII — Conflict of Interest. This issue was referred to the City Attorney and she concurred with Board Member Rassi's recommendation to include the Board in this section of the policy. Board Member Moulin was not in agreement with inclusion of the Board in this section. Board Member Moulin advised that this section applies to "employees" of the City purchasing securities. Board Member Rassi advised that the current section of the policy does not read "employees only," this section includes those employees listed. Board Member Rassi further advised that Board does make recommendations as well as giving input; therefore he felt this was justification to include the Board within this section. Board Members Daniel and Ross gave scenarios as to what they felt this section of the policy was implying. Chairwoman Daniel advised that the City Attorney is contracted by the City therefore she suggested that the Board refrain from seeking legal counsel to help avoid incurring costs to the City. Board Member Moulin read the first sentence of section VIII and suggested changing the title and removing the introductory sentence. Board Member Rassi again reiterated his opinion about including the Board within this section. n Investment Advisory Board Minutes April 9, 2008 VI VII Mr. Falconer suggested that this issue, along with Board Members Moulin and Rassi's suggested drafts of this section, be discussed with the City Attorney during her attendance at the regular scheduled meeting in June. MOTION - It was moved by Board Members Moulin/Ross to continue the discussion of the Fiscal Year 2008/09 Investment Policy to the May meeting. Chairwoman summarized for the Board the tasks to be completed prior to the next scheduled meeting, they were as follows: Board Members Ross & Deniel: To review and complete section XX, along with the table, definitions and appendices of all state permissible activities not permitted in the City of La Quinta. Board Member Moulin: Suggested draft of Section Vill. Senior Secretary: Upon receipt from Board Member Ross, compile draft of policy for Board's review. CORRESPONDENCE AND WRITTEN MATERIAL A . Month End Cash Report Mr. Falconer advised that page 6 reflects a decline in the T-Bill rate ending at 1 %z%. In response to Chairwoman Daniel, Mr. Falconer advised that he is at the maximum to invest in Federal Home Loan Bonds, with approximately $5 million available to invest in Federal Farm Credit Bonds. Noted and Filed C. Pooled Money Investment Board Report Mr. Falconer advised that page 1 reflects security transactions from January to January with the total portfolio increasing from $53.4 billion to $63.7 billion. Noted and Filed BOARD MEMBER ITEMS — None 5 270 Investment Advisory Board Minutes April 9, 2008 VIII Adjournment MOTION - It was moved by Board Members Park/Moulin to adjourn the meeting at 6:45 p.m. Motion carried unanimously. Su fitted by � Vianka Orrantia, Senior Secretary �71 Department Report: I— A 11 �°� 04 Qum& TO: The Honorable Mayor and Members of the City Council FROM: Bret M. Plumlee, Assistant City Manager, Management �JJ% Services A DATE: June 2, 2008 SUBJECT: Department Report — Response to Public Comment The following public comments were made at the May 20, 2008 City Council meeting: 1. Stan Ford, Coachella Valley Recreation and Parks District (CVRPD), updated the Council on the Coral Mountain Recreational Park. He stated CVRPD is committed to this park and are hopeful to create a trail there. The Mayor thanked Mr. Ford for his report. 2. Ryan Easly, 53-465 Avenida Mendoza, stated he and residents on Avenida Mendoza have been receiving notices from Code Enforcement officers regarding placement of trash cans in residential areas. The Mayor thanked Mr. Easly for his comments, and asked the Director of Building and Safety to schedule a meeting to resolve the problem. Staff discussed specific issues with Mr. Easly, and an agreement was reached to screen the cans within a specified time period. 3. Jane Johnson, Avenida Mendoza, lives across the street from Mr. Easly. She has also received a citation regarding the placement of trash cans. The Mayor thanked Ms. Johnson for her comments, and said staff would meet with her. During the meeting with Mr. Easly, staff .11 272 conveyed their willingness to meet with Ms. Johnson at her property to discuss specific solutions. DEPARTMENT REPORT: 6— La Quinta Public Library Quarterly Report January 2008—March 2008 Circulation In the Third Quarter of 2007/2008 the La Quinta Public Library circulated 38,484 items. Because the library was closed for expansion during the first two weeks in January, it was open for public service 46 hours less than during the same period in 2006/2007. Even with fewer hours open, the library still circulated 11,687 more items —an increase of 30%—over the previous Third Quarter. Public Computer Usage During this quarter exactly 7,000 computer sessions were logged on our 28 public access computers. This is a new statistic now available with our EnvisionWare software. Door Count This quarter 27,310 people visited the library to check out materials, read newspapers and magazines, utilize the Internet service, attend programs, and purchase books from the Friends of the Library Book Store. Collection In mid -February almost 2,000 newly purchased DVD's became available for circulation. These were a much anticipated addition to the collection and have attracted many new users to the library. The Special Interest Display located near the entrance to the library, featured crime books in both fiction and nonfiction in January and February. During the month of March the display supported the La Quinta Arts Festival and focused on art books. New Borrowers Staff issued 938 new library cards during the quarter; 170 of these cards were "Internet Only" cards. (Internet Only library cards are issued to tourist and short-term visitors who use the library to connect with work, family, or to check travel arrangements.) Programming A Preschool Storytime for children 3'/2 to 5 years old was held each Tuesday morning. A total of 242 children attended the nine programs presented during this quarter. A weekly On -the -Lap Storytime Program for parents with babies and toddlers is held prior to the Preschool Storytime. Nine programs were attended by 280 participants. The La Quinta Library Book Discussion Club for adults met the first Monday of each month this quarter. The three monthly programs were attended by 32 people. During spring break the library presented its first No School Today program. Forty-eight children attended this arts -and -crafts program. This successful experiment will become a regular library event for breaks in school schedules. 2"14 La Quinta Public Library Quarterly Report January 2008—March 2008 Volunteers While preparing for reopening of the library in January, a group of 21 volunteers logged 210 hours. They helped unpack hundreds of boxes of books, shelved new items and performed a myriad of other jobs that needed to be done. This was a very busy time and the library would not have been ready for the reopening without these tireless helpers. During February and March, 34 volunteers logged 504 hours. The library was pleased to work with many students from La Quinta middle and high schools who were earning their required community service hours. Friends of the Library The La Quinta Friends of the Library continue to offer support in all areas. This quarter they purchased a public address system for the library and began planning the Summer Reading Program with library staff. Many of the La Quinta Arts Festival attendees visited the "Friends' Book Sale Room" and commented on how impressed they were with both the quality of the books and the professional appearance of the room. 2l5 Estimated La Quinta Library Expenditures January 1, 2008 — March 30, 2008 Library Contract Expenditures LSSI Expenditures Library Materials County Expenditures Personnel Insurance Memberships Miscellaneous Expenses / Postage County Accounting Costs Travel and Conferences County Support Services One -Time Expansion Expenditures Additional Computers RFID* Tags Conversion Equipment Installation TOTAL EXPENDITURES $180, 500 562,784 2,957 86 2,478 9.44 56 153,064 17,798.95 18,950 11,750 58,612 8,285 $1,017,303 *Radio Frequency Identification is a tool for circulating, inventorying, and securing library materials 270