2009 08 04 RDAeaf q4adja
Redevelopment Agency agendas are
available on the City' web page
@ www.la-quinta.org
REDEVELOPMENT AGENCY
AGENDA
CITY COUNCIL CHAMBERS
78-495 Calle Tampico
La Quinta, California 92253
Regular Meeting
TUESDAY, AUGUST 4, 2009
3:30 P.M. Closed Session / 4:00 P.M. Open Session
Beginning Resolution No. RA 2009-007
CALL TO ORDER
Roll Call:
Agency Board Members: Adolph, Evans, Henderson, Sniff, Chairperson Franklin
PUBLIC COMMENT
At this time, members of the public may address the Redevelopment Agency on any
matter not listed on the agenda. Please complete a "request to speak" form and limit your
comments to three minutes.
CLOSED SESSION
NOTE: Time permitting the Redevelopment Agency Board may conduct Closed Session
discussions during the dinner recess. In addition, persons identified as negotiating parties
are not invited into the Closed Session meeting when acquisition of real property is
considered.
Redevelopment Agency Agenda 1 August 4, 2009
1. CONFERENCE WITH AGENCY'S REAL PROPERTY NEGOTIATOR, DOUGLAS
R. EVANS, PURSUANT TO GOVERNMENT CODE SECTION 54956.8
CONCERNING POTENTIAL TERMS AND CONDITIONS OF ACQUISITION
AND/OR DISPOSITION OF REAL PROPERTY LOCATED SOUTHEAST OF THE
MILES AVENUE AND WASHINGTON STREET INTERSECTION AND NORTH
OF THE WHITEWATER STORM CHANNEL. PROPERTY OWNER/
NEGOTIATOR: CP DEVELOPMENT LA.QUINTA, LLC, RICHARD OLIPHANT.
2. CONFERENCE WITH AGENCY'S REAL PROPERTY NEGOTIATOR, DOUGLAS
R. EVANS, PURSUANT TO GOVERNMENT CODE SECTION 54956.8
CONCERNING POTENTIAL TERMS AND CONDITIONS OF ACQUISITION
AND/OR DISPOSITION OF REAL PROPERTIES IDENTIFIED AS APNs: 773-
370-028 AND -029, SILVERHAWK APARTMENT HOMES. PROPERTY
OWNER/NEGOTIATORS: BATTAGLIA, INC., RICHARD BATTAGLIA.
3. CONFERENCE WITH AGENCY'S REAL PROPERTY NEGOTIATOR, DOUGLAS
R. EVANS, PURSUANT TO GOVERNMENT CODE SECTION 54956.8
CONCERNING POTENTIAL TERMS AND CONDITIONS OF ACQUISITION
AND/OR DISPOSITION OF CERTAIN REAL PROPERTY LOCATED ON THE
WEST SIDE OF WASHINGTON STREET, NORTH OF AVENUE 48 (APN: 643-
090-024. PROPERTY OWNER/NEGOTIATOR: JOHN LAING HOMES, STEVE
BARI.
RECESS TO CLOSED SESSION
RECONVENE AT 4:00 P.M.
4:00 P.M.
PUBLIC COMMENT
At this time members of the public may address the Redevelopment Agency 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
WRITTEN CORRESPONDENCE
WRITTEN CORRESPONDENCE FROM CENTRE POINTE DATED JULY 29,
2009.
"• M 002
Redevelopment Agency Agenda 2 August 4, 2009
APPROVAL OF MINUTES
1. APPROVAL OF MINUTES OF JULY 21, 2009.
CONSENT CALENDAR
NOTE: Consent Calendar items are considered to be routine in nature and will be approved
by one motion.
1. APPROVAL OF DEMAND REGISTER DATED AUGUST 4, 2009.
2. APPROVAL OF A CONTRACT SERVICES AND REVOCABLE LICENSE
AGREEMENT WITH PRECISION LANDLEVELING AND AUTHORIZATION OF
THE EXPENDITURE OF FUNDS FOR CONTRACT FARMING OF THE
UNDEVELOPED PROPERTY AT SILVERROCK RESORT.
3. APPROVAL OF AN AGREEMENT TO AMEND THE REDEVELOPMENT PLAN
BY AND BETWEEN THE CITY OF LA QUINTA, THE LA QUINTA
REDEVELOPMENT AGENCY, THE COUNTY OF RIVERSIDE, AND THE
REDEVELOPMENT AGENCY FOR THE COUNTY OF RIVERSIDE.
BUSINESS SESSION - NONE
STUDY SESSION — NONE
CHAIR AND BOARD MEMBERS' ITEMS — NONE
PUBLIC HEARINGS — NONE
ADJOURNMENT
The next regular meeting of the Redevelopment Agency will be held on September
15, 2009, 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.
Redevelopment Agency Agenda 3 August 4, 2009
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 Redevelopment Agency meeting of August
4, 2009, 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 July 31, 2009.
DAt��4
uly 31, 200
C
���
g"o
VERONICA J. WNTECINO, City Clerk
City of La Quinta, California
Public Notice
Any writings or documents provided to a majority of the Redevelopment Agency regarding
any item on this agenda will be made available for public inspection at the City Clerk
counter at City Hall located at 78-495 Calle Tampico, La Quinta, California, 92253, during
normal business hours.
Redevelopment Agency Agenda 4 August 4, 2009
0'"
WRITTEN CORRESPONDENCE ITEM:
July 29, 2009
Tom Genovese, City Manager
City of La Quinta
70-495 Calle Tampico
La Quinta, California 92253
Re: Centre Pointe — Lot 7
Dear Tom;
We have another proposed use for this lot that includes an Assisted Care Facility, a Church and
Affordable Senior housing. We have been able to assemble these uses, together with available
financing.
We have submitted several proposals for uses on Lot 7 with no success of approval. Each time we, and
our clients, have spent a substantial amount of time and money on renderings and presentations. I am
suggesting that we be allowed to make our presentation of these new uses before the Council at a study
session. We believe we can answerahe Councils questions and arrive at a project we both will be proud
of.
In these economic times, time is of the essence. We have the equity interested and certainly do not
want to lose them. I am, therefore, suggesting the study session be before your September 15`h
meeting. I would ask you to consider this at your meeting in August.
I will be happy to meet with staff to review our proposal before the September meeting to make sure
they have had ample opportunity to understand the issues and are able to develop answers for them.
We appreciate your consideration.
With Special Regarts,
Richard R. Oliphant 1�
Partner
r 005
O� La�� • �O • m7N�
F
U
�GF`If OF TS�''9�
COUNCIL/RDA MEETING DATE: August 4, 2009
ITEM TITLE: Demand Register Dated
August 4 2009
RECOMMENDATION:_
It is recommended the Redevelopment Agency Board:
Receive and File the Demand Register Dated
August 4, 2009 of which $264,358.77
represents Redevelopment Agency Expenditures
AGENDA CATEGORY:
BUSINESS SESSION
CONSENT CALENDAR
STUDY SESSION
PUBLIC HEARING
PLEASE SEE CONSENT CALENDAR ITEM NUMBER 1 ON CITY COUNCIL AGENDA
006
`ter 4ZPQu:,rw
COUNCIL/RDA MEETING DATE: August 4, 2009
ITEM TITLE: Approval of a Contract for Services and
Revocable License Agreement with Precision
Landleveling and Authorization of the Expenditure of
Funds for Contract Farming of the Undeveloped
Property at SilverRock Resort
RECOMMENDATION:
AGENDA CATEGORY:
BUSINESS SESSION:
CONSENT CALENDAR:
STUDY SESSION:
PUBLIC HEARING:
Approve a Contract for Services and Revocable License Agreement with Precision
Landleveling (Attachment 1); authorize the expenditure of funds for contract farming of
the undeveloped property at SilverRock Resort; and authorize the Executive Director to
execute the agreement.
FISCAL IMPLICATIONS:
Current management and maintenance for the undeveloped SilverRock property is
funded through the Redevelopment Agency (Account No. 401-9001-702.32-15)•
There is $450,000 budgeted in this account for Fiscal Year 2009-2010. If approved,
this Contract for Services and Revocable License Agreement will cost $345,000 per
year for an initial term of three years with the option of extending the contract an
additional two years, thus saving the Agency approximately $100,000 from the
budgeted amount for Fiscal Year 2009-2010.
BACKGROUND AND OVERVIEW:
SilverRock Resort consists of 520+ acres. Approximately 290 acres of the property
remain undeveloped. From the beginning of construction on the site, PM-10 measures
have been in place for dust control and Air Quality Management District (AQMD)
compliance by the Agency and various contractors working on the project. The
Agency is responsible for the overall dust control for the undeveloped property at
SilverRock Resort since the property is owned by the Agency.
In 2005,.staff worked closely with AQMD to determine the best options to stabilize
the undeveloped property. The options included water truck service, chemical
stabilization, vegetative stabilization (at AQMD's suggestion), and contracting the
property for agricultural use. Staff contacted local sod producers about the potential
use of the undeveloped property at SilverRock Resort. These sod producers declined
.rwhrl .. O Q 7
to explore the use of SilverRock Resort for farming in 2005 and recently declined again
due to low demand for turf in this economy.
On September 6, 2005, the Agency approved the SilverRock Resort Soil Stabilization,
Project No. 2002-07M. As approved, it includes a combination of vegetative
stabilization, water truck service, and chemical stabilization. This option gave the
greatest flexibility for future development of SilverRock while providing cost effective
dust control to the site. Planting vegetation for stabilization of the property provides
long-term effectiveness and is a "Green" alternative to chemical stabilization.
Currently, the practice of using a combination of vegetation, chemical stabilization, and
water truck service is still being conducted through contracts and services.
In order to facilitate event parking for City sponsored events, a temporary parking lot is
located on the northeast corner of the undeveloped property, which contains 40 acres.
An additional 5 acres of event parking are provided at the temporary clubhouse and on
the west side of the driving range.
During the Agency meeting on March 17, 2009, staff presented the Agency with six
options for the continual PM10 Management and Temporary Parking Lot within the
undeveloped property. The Agency gave staff direction to develop an agreement for a
local farm business (Precision Landleveling/Madison Street Produce) to perform dust
control functions on the undeveloped property at SilverRock Resort.
The agreement with Precision Landleveling is to manage and maintain the entire 290
acres of undeveloped property at SilverRock Resort. The management and PM 10 will
include;
Plant and grow 45 acres of rye grass at the temporary parking lot including a
small area by the driving range. These areas will be maintained for six months.
This work will be to provide a rye grass area for event parking beginning in
January, 2010.
Installing above -ground irrigation around the entire perimeter and along the
interior dirt roads including both CVWD canal roads. Precision Landleveling also
has a water truck that will remain on site for additional PM10 control.
Sudan grass will be planted on a three-year growth rotation for the 240 acres of
undeveloped property. In the first year, 80 acres will be planted on the
southeast section of the undeveloped property. In the second year, 80 acres
will be planted on the northeast section of the undeveloped property. In the
third year, 80 acres will be planted on the northwest section of the undeveloped
property.
Remove weeds and debris from the 80 acre Sudan grass area as well as the 45
acre temporary parking area. This also includes the removal of tamarisk trees.
it 008
Clear the storm water retention basin annually which is located off of Avenue
52 and SilverRock Way, as well as the irrigation retention basin located in the
center of the SilverRock Resort property just south of the CVWD canal.
The annual cost for the management of the undeveloped property will be $345,000.
Since the Sudan grass could be harvested and sold, the revenue from the sale of the
Sudan grass can be used to reduce the $345,000 cost. Currently, there is little
market for Sudan grass but its' sale could provide a small reduction in the costs to
maintain the grass. Additionally, Sudan grass removes salts from the soil. Over a
period of several seasons, the growing of Sudan grass will provide better growing
conditions for the future golf course.
Precision Landleveling will be provided a revocable license to farm up to 50 acres of
property, at no cost to the City, to grow and sell fruits and vegetables. This operation
would be separate from the management of the undeveloped property as indicated in
the Contract Services and Revocable License Agreement. The agreement provides
flexibility for the farming portion to be relocated on the undeveloped property if
necessary.
FINDINGS AND ALTERNATIVES:
The alternatives available to the Agency include:
1. Approve a Contract for Services and Revocable License Agreement with
Precision Landleveling; authorize the expenditure of funds for contract farming
of the undeveloped property at SilverRock Resort; and authorize the Executive
Director to execute the agreement; or
2. Do not approve a Contract for Services and Revocable License Agreement with
Precision Landleveling and do not authorize the expenditure of funds for
contract farming of the undeveloped property at SilverRock Resort; or
3. Provide staff with an alternative direction.
My
Edie Hylton
Community Services Director
Approved for submission by:
��n.,.o� � �iO ��-•v2�.
Thomas P. Genovese, Executive Director
Attachment: 1. Agreement
• 009
ATTACHMENT 1
CONTRACT SERVICES AND REVOCABLE LICENSE AGREEMENT
THIS CONTRACT SERVICES AND REVOCABLE LICENSE AGREEMENT (the
"Agreement") is made and entered into by and between the CITY OF LA QUINTA
REDEVELOPMENT AGENCY, a public body corporate and politic (the "Agency"), and
PRECISION LANDLEVELING, INC., a California Corporation (the "Contractor").
RECITALS
WHEREAS, Agency desires to utilize the services of Contractor as an independent
contractor to provide the Agency with contract farming of the undeveloped property at
SilverRock Resort for the purpose of dust and PM10 control.
B. Contractor represents that it is fully qualified to perform such services by virtue of
its experience and the training, education and expertise of its principals and employees.
C. Agency desires to retain Contractor, and Contractor desires to serve Agency to
perform these services subject to the terms contained herein and all applicable local, state and
federal laws and regulations.
D. Agency is the owner of U.S. Trademark Registration No. 3,509,881 for the mark
SR SILVERROCK (stylized), as well as Application Serial Nos. 78/426623, 77/521788 and
77/661713 to register the mark SR SILVERROCK RESORT (stylized), SR SILVERROCK
(stylized) and SR SILVERROCK RESORT (stylized), respectively (collectively the
"Trademarks"), which recite a variety of goods and services. The Trademarks are used by
Agency in connection with property on which a luxury resort and retail venue and golf course
have been developed (the "Propert "). Contractor seeks to use the Trademarks in connection
with produce grown and sold on the Property (the "Licensed Goods").
NOW, THEREFORE, in consideration of the performance by the parties of the mutual
promises, covenants, and conditions contained herein, the parties agree as follows:
1.0 SERVICES OF CONTRACTOR
1.1. Scope of Services. In compliance with all terms and conditions of this
Agreement, Contractor shall provide those services related to approximately 290 undeveloped
acres of property at SilverRock Resort (the "Property"), as specified in the "Scope of Services"
attached hereto as Exhibit "A" and incorporated herein by this reference (the "services" or
"work"). Contractor warrants that all services will be performed in a competent, professional
and satisfactory manner in accordance with the standards prevalent in the industry for such
services. Exhibit "A" also includes the Agency's provision to Contractor of a revocable license,
as defined and conditioned in Exhibit "A" and as further governed by this Agreement, for the
sole and exclusive purposes of permitting Contractor to use up to 50 acres of the Property (at a
specific location as may be determined and relocated by Agency) for the purpose of Contractor
growing vegetables and fruit together with the operation of a vegetable/fruit stand.
Last Revised 06/02/09 1
0..^ 010
1.2. Compliance with Law. All services rendered hereunder and all actions taken by
Contractor pursuant to the license shall be provided in accordance with all ordinances,
resolutions, statutes, rules, regulations and laws of the City of La Quinta and any Federal, State
or local governmental agency of competent jurisdiction.
1.3. Licenses Permits. Fees and Assessments. Except as otherwise specified herein,
Contractor shall obtain at its sole cost and expense such licenses, permits and approvals as may
be required by law and for any farming operation or retail sales of vegetables and fruits permitted
by the license. Contractor shall have the sole obligation to pay for any fees, assessments and
taxes, plus applicable penalties and interest, which may be imposed by law and arise from or are
necessary for the performance of the services required by this Agreement or all actions taken by
Contractor pursuant to the license.
1.4. Familiarity with Work. By executing this Agreement, Contractor warrants that
(a) it has thoroughly investigated and considered the work to be performed, (b) it has
investigated the site of the work and fully acquainted itself with the conditions there existing, (c)
it has carefully considered how the work should be performed, and (d) it fully understands the
facilities, difficulties and restrictions attending performance of the work under this Agreement.
Should Contractor discover any latent or unknown conditions materially differing from those
inherent in the work or as represented by Agency, it shall immediately inform Agency of such
fact and shall not proceed except at Contractor's risk until written instructions are received from
the Contract Officer (as defined in Section 4.2 hereof).
1.5. Standard of Care. Contractor acknowledges and understands that the services and
work contracted for under this Agreement require specialized skills and abilities and that,
consistent with this understanding, Contractor's services and work will be held to a heightened
standard of quality and workmanship. Consistent with Section 1.4 hereinabove, Contractor
represents to Agency that it holds the necessary skills and abilities to satisfy the heightened
standard of work as set forth in this Agreement. Contractor shall adopt reasonable methods
during the life of the Agreement to furnish continuous protection to the work performed by
Contractor, and the equipment, materials, papers and other components thereof to prevent losses
or damages, and shall be responsible for all such damages, to persons or property, until
acceptance of the work by Agency, except such losses or damages as may be caused by
Agency's own negligence. The performance of services by Contractor shall not relieve
Contractor from any obligation to correct any incomplete, inaccurate or defective work at no
further cost to Agency, when such inaccuracies are due to the negligence of Contractor.
1.6. Additional Services. In accordance with the terms and conditions of this
Agreement, Contractor shall perform services in addition to those specified in the Scope of
Services only when directed in writing to do so by the Contract Officer, provided that Contractor
shall not be required to perform any additional services without compensation. Any addition in
compensation not exceeding five percent (5%) of the Contract Sum may be approved by the
Contract Officer. Any greater increase must be approved by the Agency.
1.7. Special Requirements. Additional terms and conditions of this Agreement, if any;
which are made a part hereof are set forth in the "Special Requirements" provisions in Exhibits
"A" and "D" which are incorporated herein by this reference and expressly made a part hereof.
i
Last Revised 06/02/09 -2'
In the event of a conflict between the provisions of the Special Requirements and any other
provisions of this Agreement, the provisions of the Special Requirements shall govern.
2.0 COMPENSATION
2.1, Contract Sum. For the services rendered pursuant to this Agreement, Contractor
shall be compensated in accordance with Exhibit `B" (the "Schedule of Compensation") in a
monthly amount of Twenty -Eight Thousand, Seven Hundred and Fifty Dollars ($28,750.00) not
to exceed Three Hundred Forty -Five Thousand Dollars ($345,000.00) per year in any full year of
the contract (the "Contract Sum"), except as provided in Section 1.6 and except as may be
reduced by credit for sales of Sudan grass in Section 2.3. These payments are inclusive of all of
Contractor's costs, and no reimbursement will be provided for Contractor's costs and expenses in
carrying out these services. The method of compensation set forth in the Schedule of
Compensation shall be paid in the manned in Section 2.2 but shall not exceed the Contract Sum.
2.2. Method of Payment. Subject to the reduction specified in Section 2.3, the
Contract Sum will be payable in 12 monthly installments of $28,750.00, pending a monthly
Performance Schedule (Exhibit C) review by and between the Contractor's representative and
the Contract Officer Contractor shall submit to Agency no later than the tenth (loth) working
day of such month, in the form approved by Agency's Finance Director, an invoice for services
rendered prior to the date of the invoice. Such invoice shall (1) describe in detail the services
provided, including labor, time, and materials. (2) Such invoice shall contain a certification by a
principal member of Contractor specifying that the payment requested is for work performed in
accordance with the terns of this Agreement. Agency will pay Contractor the sum due pursuant
to this Agreement no later than thirty (30) days after invoices are received by the Agency's
Finance Department.
2.3. Reduction in Contract Sum Upon Sale of Sudan Grass: The Contract Sum for a
year shall be reduced by the amount equal to 80% of the Contractor's Sudan grass sales for the
prior year (i.e., 80% of the prior year's Sudan grass sales shall be credited against the Agency's
obligation to make Contract Sum payments). As noted in the Scope of Services, the Contractor
shall be permitted to keep the remaining 20% of sales. The monthly payments specified in
Sections 2.1 and 2.2 shall be adjusted downward to reflect one -twelfth of the adjusted Contract
Sum. Contractor shall keep detailed records regarding the sales of the Sudan grass and shall
provide an annual accounting of such sales in a form reasonably acceptable to the Agency's
Executive Director. All of Contractor's records regarding the sales shall be available to the
Agency upon request during business hours, and shall be maintained for at least three years after
the termination or expiration of this Agreement.
3.0 PERFORMANCE SCHEDULE
3.1. Time of Essence. Time is of the essence in the performance of this Agreement.
3.2. Schedule of Performance. All services rendered pursuant to this Agreement shall
be performed diligently and within the time period established in Exhibit "C" (the "Schedule of
Performance"). Extensions to the time period specified in the Schedule of Performance may be
approved in writing by the Contract Officer.
Last Revised 06102,09 -3-
,,. n. 012
3.3. Force Majeure. The time period specified in the Schedule of Performance for
performance of the services rendered pursuant to this Agreement shall be extended because of
any delays due to unforeseeable causes beyond the control and without the fault or negligence of
Contractor, including, but not restricted to, acts of God or of the public enemy, fires,
earthquakes, floods, epidemic, quarantine restrictions, riots, strikes, freight embargoes, acts of
any governmental agency other than Agency, and unusually severe weather, if Contractor shall
within ten (10) days of the commencement of such delay notify the Contract Officer in writing of
the causes of the delay. The Contract Officer shall ascertain the facts and the extent of delay,
and extend the time for performing the services for the period of the forced delay when and if in
his or her judgment such delay is justified, and the Contract Officer's determination shall be final
and conclusive upon the parties to this Agreement.
3.4. Term. This Agreement shall commence on August 10, 2009 and expires on June
31, 2012 (initial term) unless earlier terminated pursuant to specific terms in this Agreement.
This Agreement may be extended for two (2) additional one-year terms upon mutual agreement
by both parties (extended term). Unless earlier terminated in accordance with Sections 7.7 or 7.8
of this Agreement, or the Schedule of Performance, this Agreement shall continue in full force
and effect until completion of the services.
4.0 COORDINATION OF WORK
4.1. Representative of Contractor. The following principals of Contractor are hereby
designated as being the principals and representatives of Contractor authorized to act in its behalf
with respect to the work specified herein and make all decisions in connection therewith:
a. Joe Manion, President
b. Bret Manion, Secretary
It is expressly understood that the experience, knowledge, capability, and reputation of the
foregoing principals were a substantial inducement for Agency to enter into this Agreement.
Therefore, the foregoing principals shall be responsible during the term of this Agreement for
directing all activities of Contractor and devoting sufficient time to personally supervise the
services hereunder.
The foregoing principals may not be changed by Contractor and no other personnel may
be assigned to perform the service required hereunder without the express written approval of
Agency.
4.2. Contract Officer. The Contract Officer shall be Steve Howlett, Golf & Parks
Manager or such other person as may be designated in writing by the Executive Director of the
Agency. It shall be Contractor's responsibility to assure that the Contract Officer is kept
informed of the progress of the performance of the services and Contractor shall refer any
decisions which must be made by Agency to the Contract Officer. Unless otherwise specified
herein, any approval of Agency required hereunder shall mean the approval of the Contract,
Officer.
Last Revised 06/02/09 --4
••••P 013
4.3. Prohibition Against Subcontracting or Assignment Preventions of Liens. The
experience, knowledge, capability and reputation of Contractor, its principals and employees
were a substantial inducement for Agency to enter into this Agreement. Except as set forth in
this Agreement, Contractor shall not contract, subcontract with any other entity to perform in
whole or in part the services required hereunder without the express written approval of Agency.
In addition, neither this Agreement nor any interest herein (including, without limit the
Revocable License) may be assigned or transferred, voluntarily or by operation of law, without
the prior written approval of Agency, with approval may be granted or withheld in the Agency's
sole and absolute discretion. Any attempted or purported assignment or sub -contracting by
Contractor without the Agency's express written approval shall be null, void and of no effect. In
addition, Contractor shall take all steps necessary to insure that no supplier of goods or services
to Contractor files any notice, lien or similar document against SilverRock Resort and shall be
responsible for the immediate removal of any such cloud on the Agency's title to the Property.
4.4. Independent Contractor. Neither Agency nor any of its employees shall have any
control over the manner, mode or means by which Contractor, its agents or employees, perform
the services required herein, except as otherwise set forth. Contractor shall perform all services
required herein as an independent contractor of Agency and shall remain at all times as to
Agency a wholly independent contractor with only such obligations as are consistent with that
role. Contractor shall have no power to incur any debt, obligation, or liability on behalf of
Agency. Contractor shall not at any time or in any manner represent that it or any of its agents or
employees are agents or employees of Agency. Contractor agrees to pay all required taxes on
amounts paid to Contractor under this Agreement, and to indemnify and hold Agency harmless
from any and all taxes, assessments, penalties, and interest asserted against Agency by reason of
the independent contractor relationship created by this Agreement. Contractor shall fully comply
with the workers' compensation laws regarding Contractor and Contractor's employees.
Contractor further agrees to indemnify and hold Agency harmless from any failure of Contractor
to comply with applicable workers' compensation laws. Agency shall have the right to offset
against the amount of any fees due to Contractor under this Agreement any amount due to
Agency from Contractor as a result of Contractor's failure to promptly pay to Agency any
reimbursement or indemnification arising under this Section 4.4.
4.5. Agency Cooperation. Agency shall provide Contractor with any plans,
publications, reports, statistics, records or other data or information pertinent to services to be
performed hereunder which are reasonably available to Contractor only from or through action
by Agency.
5.0 INSURANCE AND INDEMNIFICATION.
5.1. Insurance. Prior to the beginning any Work under this Agreement and throughout
the duration of the term of this Agreement, Contractor shall procure and maintain, at its sole cost,
and submit concurrently with its execution of this Agreement, insurance as described herein. All
insurance coverage required by this Agreement shall be placed with insurers authorized to do
business in the State of California with an A,M, Best and Company rating level of A- or better,
Class VI or better, unless otherwise approved by the Agency's Risk Manager in writing.
Last Revised 06/02/09 -5 a 014
5.1.1. Minimum Coverage. Insurance shall include the following (or broader)
coverage:
a. Insurance Services Office Commercial General Liability coverage
"occurrence" form CG 00 01 or its exact equivalent with an edition date prior to
2004 and with minimum limits of $1,000,000 per occurrence and $2,000,000 in
the aggregate.
b. Insurance Services Office form number CA 0001 or equivalent
covering Automobile Liability, including hired and non -owned automobile
liability with a minimum limit of $1,000,000 per accident. If Contractor owns no
vehicles, this requirement may be satisfied by a non -owned and hired auto
endorsement to Contractor's commercial general liability policy.
C. Contractor shall carry Workers' Compensation Insurance
complying with California's worker's compensation laws, including statutory
limits for workers' compensation and an Employer's Liability limit no less than
$1,000,000 per accident or disease.
5.1.2. Required Endorsements. Liability insurance policies required to be
provided by Contractor hereunder shall contain or be endorsed to contain the following
provisions:
a. Agency, its employees, officials, agents and member agencies shall
be covered as additional insureds. Coverage shall apply to any and all liability
arising out of the Work or related to the Contract. Additional insured status under
the general liability requirement shall be provided on Insurance Services Office
Form CG 20 10 with an edition date prior to 2004, or its exact equivalent.
Additional insured status for completed operations shall be provided either in the
additional insured form or through another endorsement such as CG 20 37 with an
edition date prior to 2004.
b. General and automobile liability insurance shall apply separately to
each insured against whom a claim is made or suit is brought, except with respect
to the limits of the insurer's liability. Coverage will not be limited to Agency's
vicarious liability.
C. Liability coverage shall be primary and non-contributing with any
insurance maintained by the Agency.
d. Each policy required hereunder, and the associated evidence of
coverage (including the workers' compensation and employer's liability policies),
shall provide that coverage shall not be suspended, voided, canceled or reduced in
coverage or in limits except after 30 days' prior written notice has been given to
Agency. Such provision shall not include any limitation of liability of the insurer
for failure to provide such notice.
Last Revised 06,102/09 —6
�. ' 015
e. No liability insurance coverage provided to comply with this
Agreement shall prohibit Contractor, or Contractor's employees, or agents, from
waiving the right of recovery prior to a loss. Contractor waives its right of
recovery against Agency.
5.1.3. Verification of Coverage. Contractor shall deposit with Agency within
fifteen (15) days of Notice to Proceed of the Contract certificates of insurance evidencing
the coverage required hereunder and all required endorsements.
5.1.4. No Waiver or Obligation. There shall be no recourse against Agency for
payment of premiums or other amounts with respect to the insurance required to be
provided by Contractor hereunder. Any failure, actual or alleged, on the part of Agency
to monitor compliance with these requirements will not be deemed as a waiver of any
rights on the part of Agency. Agency has no additional obligations by virtue of requiring
the insurance set forth herein. In the event any policy of insurance required under this
Agreement does not comply with these requirements or is canceled and not replaced,
Agency has the right but not the duty to obtain the insurance it deems necessary and any
premium paid by Agency will be promptly reimbursed by Contractor or Agency will
withhold amounts sufficient to pay premium from Contractor payments.
5.1.5. Prompt Notice. Contractor agrees to provide immediate notice to Agency
of any claim or loss against Contractor arising out of the work performed under this
agreement. Agency assumes no obligation or liability by such notice, but has the right
(but not the duty) to monitor the handling of any such claim or claims if they are likely to
involve Agency.
5.1.6. Subcontractors. Contractor shall include all subcontractors, if any, as
insureds under its policies or shall furnish separate certificates and endorsements for each
subcontractor approved by Agency. All coverages for subcontractors, if any, shall be
subject to all of the requirements stated herein unless otherwise approved in advance in
writing by Agency's Risk Manager.
5.2. Indemnification.
5.2..1. Indemnification. To the fullest extent permitted by law, Contractor shall
indemnify, protect, defend and hold harmless Agency, the City and any and all of their
officials, employees and agents ("Indemnified Parties") from and against any and all
liability, claims, suits, actions arbitration proceedings, administrative proceedings,
regulatory proceedings, losses, expenses or costs of any kind, whether actual, alleged or
threatened, including, without limitation, incidental and consequential damages, actual
attorney fees incurred by Agency, court costs, interest, defense costs including fees of
expert Contractors or expert witnesses incurred in connection therewith and any other
costs or expenses of any kind whatsoever incurred in relation to, as a consequence of or
arising out of or in any way attributable in whole or in part to the performance of this
agreement. All obligations under this provision are to be paid by Contractor as the
Agency incurs them.
Last RevisedW02i09 -7 016
5.2.2. Exception to Contractor's Obligation to Indemnify. Without affecting
the rights of Agency under any provision of this agreement or this section, Contractor
shall not be required to indemnify and hold harmless Agency as set forth above for
liability attributable to the sole fault of City or Agency, provided such sole fault is
determined by agreement between the parties or by the findings of a court of competent
jurisdiction. This exception will apply only in instances where City or Agency is shown
to have been solely at fault and not in instances where Contractor is solely or partially at
fault or in instances where City's/Agency's fault accounts for only a percentage of the
liability involved. In those instances, the obligation of Contractor will be all-inclusive
and City/Agency will be indemnified for all liability incurred, even though a percentage
of the liability is attributable to conduct of the City/Agency.
5.2.3. Contractor Acknowledgment. Contractor acknowledges that its
obligation pursuant to this section extends to liability attributable to City/Agency, if that
liability is less than the sole fault of City/Agency.
5.2.4. Indemnity Provisions for Subcontractors. Contractor agrees to obtain
executed indemnity agreements with provisions identical to those set forth here in this
section from each and every subcontractor, sub tier contractor or any other person or
entity involved by, for, with or on behalf of Contractor in the performance of this
Agreement. In the event Contractor fails to obtain such indemnity obligations from
others as required here, Contractor agrees to be fully responsible according to the terms
of this section.
5.2.5. No Waiver; Survival. Failure of Agency to monitor compliance with the
requirements of this Section 5.2 imposes no additional obligations on Agency and will in
no way act as a waiver of any rights hereunder. Contractor's obligation to indemnify and
defend the; Indemnified Parties as a set forth herein is binding on the successors, assigns,
or heirs of Contractor and shall survive the termination of this Agreement or this section.
5.3. Remedies. In addition to any other remedies Agency may have if Contractor fails
to provide or maintain any insurance policies or policy endorsements to the extent and within the
time herein required, Agency may, at its sole option:
a. Obtain such insurance and deduct and retain the amount of the premiums
for such insurance from any sums due under this Agreement.
b. Order Contractor to stop work under this Agreement and/or withhold any
payment(s) which become due to Contractor hereunder until Contractor
demonstrates compliance with the requirements hereof.
C. Terminate this Agreement.
Exercise of any of the above remedies, however, is an alternative to any other remedies
Agency may have. The above remedies are not the exclusive remedies for Contractor's failure to
maintain or secure appropriate policies or endorsements. Nothing herein contained shall be
construed as limiting in any way the extent to which Contractor may be held responsible for
Last Revised 06%02�09 —8 017
payments of damages to persons or property resulting from Contractor's or its subcontractors'
performance of work under this Agreement.
6.0 RECORDS AND REPORTS.
6.1. Reports. Contractor shall periodically prepare and submit to the Contract Officer
such reports concerning Contractor's performance of the services required by this Agreement as
the Contract Officer shall require.
6.2. Records. Contractor shall keep such books and records as shall be necessary to
perform the services required by this Agreement and enable the Contract Officer to evaluate the
cost and the performance of such services. Books and records pertaining to costs shall be kept
and prepared in accordance with generally accepted accounting principals. The Contract Officer
shall have full and free access to such books and records at all reasonable times, including the
right to inspect, copy, audit, and make records and transcripts from such records.
6.3. Ownership of Documents. Originals of all drawings, specifications, reports,
records, documents and other materials, whether in hard copy or electronic form, which are
prepared by Contractor, its employees, subcontractors and agents in the performance of this
Agreement, shall be the property of Agency and shall be delivered to Agency upon termination
of this Agreement or upon the earlier request of the Contract Officer, and Contractor shall have
no claim for further employment or additional compensation as a result of the exercise by
Agency of its full rights of ownership of the documents and materials hereunder. Contractor
shall cause all subcontractors to assign to Agency any documents or materials prepared by them,
and in the event Contractor fails to secure such assignment, Contractor shall indemnify Agency
for all damages suffered thereby.
6.4. Release of Documents. The drawings, specifications, reports, records, documents
and other materials prepared by Contractor in the performance of services under this Agreement
shall not be released publicly without the prior written approval of the Contract Officer or as
required by law. Contractor shall not disclose to any other entity or person any information
regarding the activities of Agency, except as required by law or as authorized by Agency.
6.5. Confidentiality. Contractor covenants that all data, documents, discussion, or
other information, if any, developed or received by Contractor or provided for performance of
this Agreement are deemed confidential and shall not be disclosed by Contractor to any person
or entity without prior written authorization by Agency. Agency shall grant such authorization if
disclosure is required by law. All Agency data shall be returned to Agency upon the termination
of.this Agreement. Contractor's covenant under this section shall survive the termination of this
Agreement.
7.0 ENFORCEMENT OF AGREEMENT.
7.1. California Law. This Agreement shall be construed and interpreted both as to
validity and to performance of the parties in accordance with the laws of the State of California.
Legal actions concerning any dispute, claim or matter arising out of or in relation to this
Agreement shall be instituted in the Superior Court of the County of Riverside, State of
Last Revised 06/02/09
018
California, or any other appropriate court in such county, and Contractor covenants and agrees to
submit to the personal jurisdiction of such court in the event of such action.
7.2. Disputes. In the event of any dispute arising under this Agreement, the injured
party shall notify the injuring party in writing of its contentions by submitting a claim therefore.
The injured party shall continue performing its obligations hereunder so long as the injuring
party commences to cure such default within ten (10) days of service of such notice and
completes the cure of such default within forty-five (45) days after service of the notice, or such
longer period as may be permitted by the Contract Officer; provided that if the default is an
immediate danger to the health, safety and general welfare, Agency may take such immediate
action as Agency deems warranted. Compliance with the provisions of this section shall be a
condition precedent to termination of this Agreement for cause and to any legal action, and such
compliance shall not be a waiver of any party's right to take legal action in the event that the
dispute is not cured, provided that nothing herein shall limit Agency's right to terminate this
Agreement without cause pursuant to Section 7.8.
7.3. Retention of Funds. Agency may withhold from any monies payable to
Contractor sufficient funds to compensate Agency for any losses, costs, liabilities, or damages it
reasonably believes were suffered by Agency due to the default of Contractor in the performance
of the services required by this Agreement.
7.4. Waiver. No delay or omission in the exercise of any right or remedy of a non
defaulting party on any default shall impair such right or remedy or be construed as a waiver.
Agency's consent or approval of any act by Contractor requiring Agency's consent or approval
shall not be deemed to waive or render unnecessary Agency's consent to or approval of any
subsequent act of Contractor. Any waiver by either party of any default must be in writing and
shall not be a waiver of any other default concerning the same or any other provision of this
Agreement.
T5. Rights and Remedies are Cumulative. Except with respect to rights and remedies
expressly declared to be exclusive in this Agreement, the rights and remedies of the parties are
cumulative and the exercise by either party of one or more of such rights or remedies shall not
preclude the exercise by it, at the same or different times, of any other rights or remedies for the
same default or any other default by the other party.
7.6. Legal Action. In addition to any other rights or remedies, either party may take
legal action, at law or at equity, to cure, correct or remedy any default, to recover damages for
any default, to compel specific performance of this Agreement, to obtain injunctive relief, or to
obtain any other remedy consistent with the purposes of this Agreement.
7.7. Termination Prior to Expiration of Term. This section shall govern any
termination of this Agreement, except as specifically provided in the following Section 7.8 for
termination for cause or as provided for termination of the License. Agency reserves the right to
terminate this Agreement at any time, with or without cause, upon thirty (30) days' written
notice to Contractor. Upon receipt of any notice of termination, Contractor shall immediately
cease all services hereunder except such as may be specifically approved by the Contract Officer.
Contractor shall be entitled to compensation for all services rendered prior to receipt of the
Last Revised 06/02/09 -10-
0.1.9
notice of termination and for any services authorized by the Contract Officer thereafter in
accordance with the Schedule of Compensation or such as may be approved by the Contract
Officer, except as provided in Section 7.3.
7.8. Termination for Default of Contractor. If termination is due to the failure of
Contractor to fulfill its obligations under this Agreement, Agency may, after compliance with the
provisions of Section 7.2, take over work and prosecute the same to completion by contract or
otherwise, and Contractor shall be liable to the extent that the total cost for completion of the
services required hereunder exceeds the compensation herein stipulated (provided that Agency
shall use reasonable efforts to mitigate such damages), and Agency may withhold any payments
to Contractor for the purpose of setoff or partial payment of the amounts owed Agency as
previously stated in Section 7.3.
7.9. Attorneys' Fees. If either party commences an action against the other party
arising out of or in connection with this Agreement, the prevailing party shall be entitled to
recover reasonable attorneys' fees and costs of suit from the losing party.
8.0 AGENCY OFFICERS AND EMPLOYEES; NONDISCRIMINATION.
8.1. Non -liability of Agency Officers and Employees. No officer or employee of
Agency shall be personally liable to Contractor, or any successor in interest, in the event or any
default or breach by Agency or for any amount which may become due to Contractor or to its
successor, or for breach of any obligation of the terms of this Agreement.
8.2. Conflict of Interest. No officer or employee of Agency shall have any personal
interest, direct or indirect, in this Agreement nor shall any such officer or employee participate in
any decision relating to the Agreement which affects his or her personal interest or the interest of
any corporation, partnership or association in which she or he is, directly or indirectly, interested,
in violation of any State statute or regulation. Contractor warrants that it has not paid or given
and will not pay or give any third party any money or general consideration for obtaining this
Agreement.
8.3. Covenant Against Discrimination. Contractor covenants that, by and for itself, its
heirs, executors, assigns, and all persons claiming under or through them, that there shall be no
discrimination against or segregation of, any person or group of persons on account of race,
color, creed, religion, sex, marital status, national origin or ancestry in the performance of this
Agreement. Contractor shall take affirmative action to insure that applicants are employed and
that employees are treated during employment without regard to their race, color, creed, religion,
sex, marital status, national origin or ancestry.
9.0 MISCELLANEOUS PROVISIONS
9.1. Notice. Any notice, demand, request, consent, approval, communication either
party desires or is required to give the other party or any other person shall be in writing and
either served personally or sent by prepaid, first-class mail to the address set forth below. Either
party may change its address by notifying the other party of the change of address in writing.
Last Revised 06/02/09 -11- "
.. P^ r2O
Notice shall be deemed communicated forty-eight (48) hours from the time of mailing if mailed
as provided in this section.
To Agency_
CITY OF LA QUINTA
Attention: Steve Howlett
78-495 Calle Tampico
P.O. Box 1504
La Quinta, CA 92247-1504
To Contractor:
PRECISION LANDLEVELING
Attention: Joe Manion
P.O. Box 3028
Indio, CA 92202
9.2. Integrated Agreement. This Agreement contains all of the agreements of the
parties and all previous understanding, negotiations and agreements are integrated into and
superseded by this Agreement.
9.3. Exhibits; Precedence. All documents referenced as exhibits in this Agreement are
hereby incorporated in this Agreement. In the event of any material discrepancy between the
express provisions of this Agreement and the provisions of any document incorporated herein by
reference, the provisions of this Agreement shall prevail except as otherwise provided in Section
1.7.
9.4. Amendment. This Agreement may be amended at any time by the mutual consent
of the parties by an instrument in writing signed by both parties.
9.5. Severability. In the event that any one or more of the phrases, sentences, clauses,
paragraphs, or sections contained in this Agreement shall be declared invalid or unenforceable by
a valid judgment or decree of a court of competent jurisdiction, such invalidity or
unenforceability shall not affect any of the remaining phrases, sentences, clauses, paragraphs, or
sections of this Agreement which are hereby declared as severable and shall be interpreted to
carry out the intent of the parties hereunder.
9.6. Authority. The persons executing this Agreement on behalf of the parties hereto
warrant that they are duly authorized to execute this Agreement on behalf of said parties and that
by so executing this Agreement the parties hereto are formally bound to the provisions of this
Agreement.
Last Revised 06;02109 12 • ^ 021
N
IN WITNESS WHEREOF, the parties have executed this Agreement as of the dates
stated below.
CONTRACTOR:
CITY OF LA QUINTA REDEVELOPMENT PRECISION LANDLEVELING, Inc., a
AGENCY, a public body corporate and politic California Corporation
THOMAS P. GENOVESE, Executive Director
Dated:
ATTEST:
VERONICA J. MONTECINO, CMC,
Secretary, La Quinta Redevelopment Agency
APPROVED AS TO FORM:
M. KATHERINE JENSON, Agency Counsel
La Quinta Redevelopment Agency
By:
Name:
Title:
Last Revised 06/02/09 -13-
022
Exhibit A
Scope of Services
1. Services to be provided:
Precision Landleveling shall manage the entire 290 acres of undeveloped property at SilverRock
Resort. This includes PM10 management and mitigation, installing above ground irrigation and
growing Sudan grass to cover the large portion of the undeveloped area, removing current and
future weeds including tamarisk trees, removing current and future debris from the property,
cleaning the vegetation that grows in the storm water retention area, providing a temporary
parking lot that can be used annually for events from November through April, and (subject to
the limitations in this exhibit and the Agreement) a 50 acre farm operation.
Irrigation. The above ground irrigation will cover the entire perimeter of the undeveloped
property and the interior dirt roads including CVWD canal roads. A water truck shall be on site
at all times. The above ground irrigation will additionally include providing water for the annual
growing of 80 acres of Sudan grass and 40 acres of rye grass. The water costs will be included in
the contractors' service.
Sudan Grass. Sudan grass will be planted annually over 80 acres and will be maintained
throughout the year. There will be a dormant season for the Sudan grass. The dormant grass will
still require maintenance and irrigation for weed and dust control. Sudan grass is used by farmers
to condition soils because of its abilities to remove salts and impurities from the soil. Sudan grass
can be bailed and fed to livestock. Therefore, Contractor may, at its option, bail Sudan grass on
the property for sale. Selling the Sudan grass may reduce the overall costs for maintaining the
undeveloped property. The price of Sudan grass is directly affected by fuel prices. As fuel prices
increase, the price of corn increases. The higher cost for corn causes livestock owners to
purchase more Sudan grass which is cheaper than corn feed.
• Percentage of Sudan Grass Sales Reduces Contract Sum - As an incentive and for
compensation, the Contractor is entitled to retain 20% of the price received from Sudan
grass sales. The Contract Sum for a year shall be reduced by the amount equal to the
remaining 80% of the Contractor's Sudan grass sales for the prior year (i.e., 80% of the
prior year's Sudan grass sales shall be credited against the Agency's obligation to make
Contract Sum payments).
• Annual Yield and Revenue Reports of Sudan Grass Sales - The contractor will
provide an annual revenue report for the harvesting of Sudan grass based upon the current
market. See Section 2.3 of the Agreement for additional requirements regarding
accounting and records.
Temporary Parking Lot. The City utilizes the 40 acres located at the northeast corner of
SilverRock Resort along with 5 acres on the west side of the driving range for event parking, and
has typically had the area planted with rye grass to control dust and make the area usable as a
parking area during City sponsored events. As part of the Scope of Services, the contractor will
annually plant the rye grass in October and maintain the grassed area through the month of April.
Last Revised 0602/09 -14-
• ' 023
This will provide at least six months of a special use area that can be used by the event parking.
The contractor will require at least two days notice to remove the temporary irrigation for the use
area with no additional cost to the City.
Weed Removal. Tumbleweeds and Tamarisk trees are issues that continue to be a problem at
SilverRock Resort. The tumbleweeds, when not eradicated, cause problems along Jefferson
Street and at the Hideaway Development during wind events. Tamarisk trees are growing
throughout the undeveloped property. These trees are difficult to remove and will damage the
water features at SilverRock Resort if they are not eradicated. The contractor will annually
remove these weeds from the 80 acre Sudan grass area and 40 acre rye grass area.
Debris Removal. The perimeter of the SilverRock Resort development is mostly open landscape
with a few wall and fence features. Unfortunately, this design provides access to trespassers who
occasionally dump debris on the property. The contractor, as part of the services contract, will
monitor trespass activity and remove current and future debris.
Storm Water Retention Area. A storm water retention basin currently exists on the north section
of the undeveloped property along Avenue 52 and just cast of the SilverRock Resort entrance.
This retention basin is the termination point for the Calle Rondo Channel which collects most of
the storm and run-off water from the La Quinta Cove and Village communities. The contractor
will annually remove the vegetation that grows within and around the storm water retention area
as part of the services contract.
REVOCABLE LICENSE
1. GRANT; LIMITATION OF RIGHTS. Agency hereby grants to Contractor a non-
exclusive, revocable license over the Licensed Property during the Term for the sole
purpose of the activity identified below in Paragraph 3.
2. DESCRIPTION OF LICENSED PROPERTY. The Licensed Property shall consist of up
to 50 acres and shall be located on the east side along Jefferson Street at a precise area to
be determined by the Agency. The Agency may, upon ninety (90) days written notice,
require Contractor to relocate its use of the Licensed Property as described below to an
alternative site at SilverRock Resort ,or terminate this License altogether. Agency shall
not be liable for any costs incurred by Contractor for relocation or termination and all
such costs (including any costs already incurred) shall be borne solely by Contractor;
provided, however, that if crops are planted prior to the date of the Agency's notice, then
Agency shall compensate Contractor as provided in Paragraph 8 below.
3. USE OF LICENSED PROPERTY. Aside from Contractor's access to the Property for
the purpose of performing the Scope of Services, Contractor may use the Licensed
Property only for the following purposes: Growing vegetables and fruit together with the
operation of a vegetable/fruit stand. The contractor shall not compete with the Old Town
Farmers Market and will therefore remain closed on Sundays during the operation of the
Farmers Market.
4. CONTRACTOR'S OPERATION. Contractor hereby acknowledges that the Property
and Licensed Property is unimproved, undeveloped, and unoccupied. Contractor hereby
lasl Revised 06102,09 -15-
024
assumes all risks of injury to person or property associated with the condition of the
Property and Licensed Property, and Contractor's use of the Licensed Property is subject
to the Indemnity provisions contained above in Agreement Section 5.2. All materials and
equipment, if any, shipped or brought to the Property or Licensed Property under this
Agreement shall be unloaded, checked and stored at no expense or risk to Agency.
Contractor shall retain full responsibility and risk of loss for its materials, equipment and
supplies stored on the Property or Licensed Premises. Contractor shall (i) conduct all
activity in connection with this License at its sole cost and expense and in a safe manner
and workmanlike manner and not allow any dangerous or hazardous conditions created
by Contractor or its agents, representatives, consultants or contractors to occur on the
Licensed Property during such activity and Contractor shall promptly and diligently cure
any such conditions should they occur; (ii) comply with all applicable laws and
governmental regulations (including, without limitation, any Hazardous Materials laws);
(iii) keep the Licenses Property free and clear of all liens, lis pendens and other liens
arising out of the entry or activity performed pursuant to this License; and (iv) provide to
the Agency prior to initial entry the certificates of insurance required by this Agreement.
5. SECURIT'Y OF LICENSED PROPERTY. At all times, Contractor shall secure the
Licensed Property to permit only lawful activity to occur on site.
6. NO RELOCATION ASSISTANCE. Contractor acknowledges that SilverRock Resort is
a redevelopment project and Contractor's use of the Licensed Property is for the short
term convenience of the Agency to help with the PM10 and dust control of the site.
Contractor irrevocably and absolutely waives, releases and discharges the Agency, the
City and any present or former employees, subsidiaries, officers, agents, consultants,
attorneys, insurers, successors and assigns of the Agency or City from all claims that
Contractor has or may be entitled to Relocation Assistance (defined below) or from all
claims that Contractor is or may be deemed "displaced persons" as a result of termination
of the License or relocation of the Licensed Property. It is understood and agreed that the
Agency and City shall have no liability for any Relocation Assistance, including without
limitation, relocation benefits payable under the Uniform Relocation Assistance and Real
Property Acquisition Policies Act of 1970 (42 U.S.C. 4601, et. seq.) and the
implementing regulations thereto, or under Title I, Division 7, Chapter I of the
Government Code of the State of California (Section 7260, et. seq.) and the California
Relocation Assistance and Real Property Acquisition Guidelines (25 C.C.R. § 6000 et
sue), or relocation assistance or benefits payable to any owner or tenants (collectively,
"Relocation Assistance"). Contractor acknowledges that it has no property interest in the
Licensed Property, and that it will have no claim for loss of business, loss of profits, or
loss of goodwill upon termination of Contractor's use of the site.
7. REMOVAL OF CONTRACTORS PROPERTY. Upon termination of the License or
relocation of the Licensed Premises Contractor shall remove any and all construction,
structures, buildings, improvements and fixtures from the Licensed Property at its sole
costs and expense. Such removal shall be completed no later than twenty (20) days after
termination. If the Contractor does not adequately remove all such property, then the
Agency may deduct the cost of doing so from the Contract Sum.
Last Revised 06'02/09 -16 025
.:1 n
8. TERMINATION OF LICENSE. This is a revocable License and the Agency may
terminate this License at any time and for any reason. Within 90 days of written
notification of termination by the Agency, Contractor shall cease using the Licensed
Property and shall remove all property as provided in Section 9 and shall restore the
Licensed Property to its original condition or such other condition as is satisfactory to the
Agency. :Notwithstanding this paragraph, if crops are planted prior to the date of the
Agency's notice, then Agency shall compensate Contractor for (a) the actual out of
pocket cost incurred by Contractor to acquire the crops/seeds/seedlings if such
crops/seeds/seedlings were planted less than 90 days prior to the Agency's termination
notice or (b) the the actual out of pocket cost incurred by Contractor to acquire the
crops/seeds/seedlings as well as the market value of the crops (as agreed to by the
Parties) if' such crops/seeds/seedlings were planted more than 90 days before the
Agency's termination notice.
9. TRADEMARK LICENSE RIGHTS GRANTED.
(a) General. Agency hereby grants to Contractor, and Contractor hereby accepts,
upon the terms and conditions set forth herein, a non-exclusive, non -transferable, non-
sublicensable, revocable license to use the Trademarks solely for the marketing and sale of the
Licensed Goods. Contractor acknowledges that the Trademarks are owned solely and
exclusively by Agency. Contractor hereby acknowledges and agrees that, except as set forth
herein, Contractor has no rights, title or interest in or to the Trademarks and that all use of the
Trademarks by Contractor shall inure to the benefit of Agency. Contractor agrees that it will not
oppose, contest or challenge the validity of the Trademarks or Agency's ownership or
registration thereof during the Tenn of this Agreement. Contractor understands and agrees that it
does not have the right to use the Trademarks in any manner that weakens or impairs Agency's
rights in and to the Trademarks. If, in Agency's sole determination, Contractor's use of the
Trademarks weakens or impairs Agency's rights in and to the Trademarks, then Contractor
agrees to immediately terminate or modify such use in accordance with Agency's instructions.
In the event Contractor fails to 'terminate or modify such use as directed by Agency within ten
(10) business days of having been notified by Agency, then Agency may terminate this
Agreement.
(b) Quality Standards. Upon Agency's request, Contractor shall furnish to Agency,
at no expense to Agency, samples of License Goods offered by Contractor in connection with the
Trademarks. Agency shall control the quality of all materials bearing the Trademarks and
Contractor's use of the Trademarks. If Agency believes that the Trademarks are being used in a
manner that could diminish Agency's rights in or protection of the Trademarks, Contractor
agrees, at Contractor's sole cost and expense, to make whatever changes and/or corrections
Agency deems necessary to protect the Trademarks. Contractor agrees that it shall not engage,
participate or otherwise become involved in any activity or course of action that diminishes
and/or tarnishes the image and/or reputation of Agency or the Trademarks. Licensee agrees to
comply with all applicable local, state and federal laws and, at all times, to conduct its activities
under this Agreement in a lawful manner.
(c) Use and Display of Licensed Marks. Contractor agrees to use the Trademarks
solely in the manner that Agency shall specify from time to time in Agency's sole discretion.
After the Effective Date of this Agreement, all literature and materials printed, distributed or
Last Revised 06/02/09 -17
..0 r 0 2'`
electronically transmitted by Contractor containing the Trademarks shall include the following
notice:
SILVERROCK and the SILVERROCK Logo are trademarks of the City of La Quinta.
(d) Effect of Termination. Upon the termination of this Agreement, all rights
granted to Contractor hereunder shall immediately revert to Agency. Thereafter, Contractor will
refrain from further use of the Trademarks or any further reference to the Trademarks in
connection with the sale or offering of any goods or services.
(e) Cooueration and Protection. In the event any third party asserts a claim for
infringement or unfair competition against Contractor based on allegedly superior rights in the
Trademarks, or marks similar thereto, Contractor shall promptly notify Agency of said claim.
Contractor agrees to cooperate with and assist Agency in protecting and defending the
Trademarks against any claim, at Agency's expense; provided, however, that Agency shall have
the sole right to determine whether any action shall be taken on account of any such
infringement, claim or action. Contractor shall not take any action on account of any such
infringement, claim or action without the prior written consent of Agency.
SPECIAL REQUIREMENTS
1. ENVIRONMENTAL.
(a) Approved List of Fertilizers and Pesticides- Only non -restricted and approved
products will be used on the Property as identified on Exhibit "D" SilverRock Resort
property.
(b) Address Concerns Regarding Odors- Manure will not be used on the property,
only dry and liquid fertilizers which do not have lingering odors.
(c) Liability - Contractor shall be liable and responsible for the clean-up of any
Hazardous Materials (defined below) or environmental contamination, which occur as a
result of, or arises in connection with, any activities conducted by Contractor, its
employees, agents, subcontractors or representatives, under this Agreement and shall
indemnify and hold Agency and City of La Quinta harmless from and against any and all
claims, losses, damages and injuries of any nature whatsoever resulting from or arising
out of Contractor's activities under this Agreement, except to the extent resulting from
the gross negligence or willful misconduct of Agency, its employees, agents, contractors
or representatives. Contractor's obligation to observe and perform this covenant shall
survive the expiration or other termination of this Agreement. If any toxic or chemical
Hazardous Materials attributable to Contractor, its agents, employees, on -site
subcontractors, or invitees, or the activities of any of them, are found in the soil, air,
surface or ground water on, under or about the Property, Contractor, at its sole expense,
shall promptly take any and all actions necessary to return the Property to the condition
existing prior to the introduction of such Hazardous Materials to the Property in
accordance with applicable laws and the requirements of all governmental agencies with
jurisdiction, provided that Agency's approval of such actions shall first be obtained,
which approval shall not be unreasonably withheld. If Contractor causes or permits a
027 Last Revised 06,02i09 -18 ..!
significant release of Hazardous Materials or is in material noncompliance with any
applicable law or requirement of this Section, Agency may make a reasonable demand
for action upon Contractor. If Contractor does not respond within thirty (30) days (unless
there is an emergency, in.which case Contractor shall be required to respond as soon as
practicable), Agency may, at its option, take reasonable actions to remedy the release or
noncompliance at Contractor's sole expense, which sums shall be immediately due and
payable to Agency as additional compensation. At any time during the term of this
Agreement, Contractor shall, if required by any governmental agency, promptly take
whatever steps are necessary to investigate and remedy any contamination by Hazardous
Materials caused by Contractor, its agents, employees, on -site subcontractors or invitees.
(d) For purposes of this Agreement, the term "Hazardous Materials" shall mean (1)
hazardous wastes, hazardous materials, hazardous substances, hazardous constituents,
toxic substances or related materials, whether solids, liquids or gases, including, but not
limited to, substances deemed as "hazardous wastes," "hazardous materials," "hazardous
substances," "toxic substances," "pollutants," "contaminants," "radioactive materials,"
or other similar designations in, or otherwise subject to regulation under, the
Comprehensive Environmental Response, Compensation and Liability Act of 1980, as
amended ("CERCLA "), 42 U.S.C. § 9601 et seq.; the Toxic Substance Control Act
("TSCA" ), 15 U.S.C. § 2601 et seq.; the Hazardous Materials Transportation Act, 49
U.S.C. § 1802; the Resource Conservation and Recovery Act ( "RCRA"), 42 U.S.C. §
9601, et seq.; the Clean Water Act ("CWA"), 33 U.S.C. § 1251 et seq.; the Safe Drinking
Water Act, 42 U.S.C. § 300 et seq.; the Clean Air Act ("CAA"), 42 U.S.C. § 7401 et seq.;
the Hazardous Waste Control Law, California Health and Safety Code § 25025 et seq.,
the Carpenter -Presley -Tanner Hazardous Substance Account Act, California Health and
Safety Code, Division 20, Chapter 6.8, the Hazardous Materials Release Response Plans
and Inventory Act, California Health and Safety Code, Division 20, Chapter 6.95, The
Underground Storage of Hazardous Substances Act, California Health and Safety Code,
Division 20, Chapter 6.7, the Porter -Cologne Act, California Water Code § 13050 et seq.
and in any permits, licenses, approvals, plans, rules, regulations or ordinances adopted, or
other criteria and guidelines promulgated pursuant to the preceding laws or other similar
federal, state or local laws, regulations, rules or ordinances now or hereafter in effect
relating to environmental matters (collectively the `Environmental Laws"); and (ii) any
other substances, constituents or wastes subject to any applicable federal, state or local
law, regulation, ordinance or common law doctrine, including any Environmental Law,
now or hereafter in effect, including, but not limited to, (A) petroleum, (B) refined
petroleum products, (C) waste oil, (D) waste aviation or motor vehicle fuel, (E) asbestos,
(F) lead in water, paint or elsewhere, (G) radon, (H) polychlorinated biphenyls (PCB's)
and (I) urea formaldehyde.
19- 028
Last Revised 06/02/09 •��
Exhibit B
Schedule of Compensation
Payment under this Agreement shall be monthly amount of Twenty -Eight Thousand,
Seven Hundred and Fifty Dollars ($28,750.00) not to exceed Three Hundred Forty -Five
Thousand Dollars ($345,000.00) per year in any full year of the contract. The monthly payment
is subject to downward adjustment pursuant to Section 2.3 of the Agreement. The monthly
payments are inclusive of costs and expenses incurrent by Contractor. No reimbursables are
provided for by the Agreement and such costs and expenses shall be the sole responsibility of
Contractor.
Additional authorized services beyond the scope of services outlined in this Agreement
and in Exhibit A will be billed at Contractor's then current hourly consulting rates. Contractor's
current hourly rates are set forth in the attached rate schedule.
Last Revmd 06,02/09 -20- h0 029
G]
PRECISION LANDLEWLING & CUSTOM FARMING
44�917 Golf Center Nfkway, Suite 12 • Indio, CA 92201 • 760-347-1585 • Fax 760-347.2295
Disking- $45.00 per acre
Sprinkler Pipe- $25.00 perjoint per month
Mowing- $85.00 per acre
Labor- $45.00 per acre
Plowing- $65.00 per acre
Deep Ripping- $75,00 per acre
Waterbuck-$100.00 per day
Lasering- $150.00 per hour
$800.00 per acre to plant & grow
&oster Pump- $2300.00 per month plus diesel
Last Revised 06/02/09 —21
Exhibit C
Schedule of Performance
Contractor shall complete all services in accordance with the Schedule of Performance
set forth below and made a part of this Agreement:
October
Irrigation for Roads
and Perimeter
Sudan Grass
Temporary Parking
Lot
Weed Removal
Debris Removal
Storm Water
Retention Area
Irrigation Retention
Pond
Farm Operation
March
Last Revised 06/02/09 -22
Exhibit D
Special Requirements
Contractor shall provide an approved list of fertilizers and pesticides. Only these non-
restricted products will be used on the SilverRock Resort property.
r. 32
Lest Revised 06,02/09 -23-
T--mf 4 4 Qawcv
COUNCIL/RDA MEETING DATE: August 4, 2009
ITEM TITLE: Approval of an Agreement to Amend
Redevelopment Plan by and between the City of La
Quinta, the La Quinta Redevelopment Agency, the
County of Riverside, and the Redevelopment Agency
for the County of Riverside
RECOMMENDATION:
AGENDA CATEGORY:
BUSINESS SESSION: _
CONSENT CALENDAR:
STUDY SESSION:
PUBLIC HEARING:
Approve an Agreement to Amend Redevelopment Plan by and between the City of La
Quinta, the La Quinta Redevelopment Agency, the County of Riverside, and the
Redevelopment Agency for the County of Riverside and authorize the Executive
Director to execute the Agreement.
FISCAL IMPLICATIONS:
The La Quinta Redevelopment Agency ("LQRDA") will reimburse the County
Redevelopment Agency ("County RDA") for costs incurred by the County RDA in
preparing and processing the County RDA Plan Amendment in an amount not -to -
exceed $45,650. Adequate funds are budgeted in RDA PA #2 Low/Moderate Housing
Tax Increment Fund, account number 246-9002-703.51-30.
BACKGROUND AND OVERVIEW:
The La Quinta Redevelopment Agency is proposing to amend La Quinta Redevelopment
Project Area No. 2 ("Project Area No. 2") to add an existing 73 unit apartment
complex, known as Washington Street Apartments, and a 5.8 acre vacant parcel
("Fifth Amendment"). Combined, these contiguous properties are 12.42 acres in size
and are located east of Washington Street and south of Hidden River Road; they were
annexed into the City in December 2007. The Agency purchased the vacant parcel
and the apartment complex in October 2008 to increase its supply of affordable
"A 033
housing units. The Agency will rehabilitate the existing apartment complex and is
planning to construct up to 84 new apartment homes on the vacant parcel. The
existing apartment complex is occupied by very low and low income senior and
handicapped households. The new apartment homes would be slated for the same
types of households.
The California Redevelopment Law ("CRL") mandates that the La Quinta
Redevelopment Agency secure 1,994 affordable dwellings. These dwellings must
feature covenants to ensure that they remain affordable to very -low, low or moderate -
income households for 45 to 55 years (45 years for single-family dwellings and 55
years for multi -family dwellings). To date, the Agency has secured, or is in the
process of securing, 1,589 units. The subject properties would contribute to this
effort.
Per the CRL, a redevelopment agency must produce two affordable units for every one
unit it receives credit for, if the properties are located outside of the redevelopment
agency's redevelopment project area; the redevelopment agency receives a one for one
credit if the dwellings are located in a project area. In order to help facilitate the
rehabilitation of the existing units, to develop additional affordable units and receive
one for one unit credit for the subject property's existing and proposed affordable
units, the Agency is proposing to amend the Redevelopment Plan add the properties to
Project Area No. 2.
The La Quinta Project Area No. 2 was established in 1989 and has been amended four
times. Section 33320.2 of CRL states that an unblighted, noncontiguous area may be
included in a project area if it is being used predominantly for the construction and
rehabilitation of low- or moderate -income housing, as long as that area is not included
for the purpose of obtaining tax increment and the redevelopment agency will not use
the power of eminent domain in that area. The subject properties meet these
provisions.
The amendment process begins with the preparation and approval of a Preliminary
Plan. The LQRDA Board approved the Preliminary Plan for the Fifth Amendment to the
Redevelopment Plan for the La Quinta Redevelopment Project Area No. 2 on July 18,
2008. As part of the approval process, taxing agencies and the State Board of
Equalization must also review and approve the Preliminary Plan. During its review of
the Preliminary Plan, the State Board of Equalization discovered that the Washington
Street Apartment property, consisting of 6.62 acres, was part of the County RDA's
Desert Communities Redevelopment Project Area ("Desert Communities Project Area");
the 5.8 acre vacant parcel is not in the Desert Communities Project Area. Multiple title
companies were unable to find any recorded documents defining the Desert
Communities Project Area as required by the CRL; therefore, the LQRDA was unaware
that the property was already in a project area. Staff immediately initiated discussions
with the County to remove the Washington Street Apartment property from the Desert
034
Communities Project Area. Because the LQRDA owns the property, the property is no
longer generating revenue to the County RDA due to the zero tax base (i.e., the
property is no longer subject to property taxes). Therefore, the County is amenable to
removing the Washington Street Apartment property from the Desert Communities
Project Area.
To accomplish this, Agency Counsel has worked with County Counsel to draft an
agreement to amend the Desert Communities Project Area (Attachment 1). Under this
agreement, the County will prepare and process a Redevelopment Area Plan
Amendment. All required tasks and a timeline are included as Exhibit 'B' to the
attached agreement. To help facilitate the process, the LQRDA agrees to reimburse
the County in an amount not -to -exceed $45,650 for some if its costs to prepare the
amendment, including consultant, administrative, and legal fees as follows:
$28,650 for Plan Amendment preparation and processing
$ 2,000 for financial review of any impacts on existing County bond holders
$10,000 maximum for County RDA internal administration
$ 5,000 maximum for County RDA legal services
$45,650
The entire County process will take approximately ten months. Once the County has
removed the property from Desert Communities Project Area, the LQRDA can complete
the process to add these properties to Project Area No. 2. The process will include (1)
reviewing the draft plan amendment text, Report to the City Council, Mitigated
Negative Declaration, and consenting to a joint public hearing on the Fifth Amendment;
and (2) conducting a joint public hearing with the City Council and LQRDA Board on
the Fifth Amendment.
The County Board of Supervisors and County Redevelopment Agency Board are not
meeting during August 2009. It is expected they will approve this agreement at their
September 1, 2009 meeting.
FINDINGS AND ALTERNATIVES:
The alternatives available to the Agency include:
1. Approve an Agreement to Amend Redevelopment Plan by and between the City
of La Quinta, the La Quinta Redevelopment Agency, the County of Riverside,
and the Redevelopment Agency for the County of Riverside and authorize the
Executive Director to execute the agreement; or
2. Do not approve an Agreement to Amend Redevelopment Plan by and between
the City of La Quinta, the La Quinta Redevelopment Agency, the County of
Riverside, and the Redevelopment Agency for the County of Riverside; or
•. 035
3. Provide staff with alternative direction.
Respectfully submitted,
i e- 1 c) tog� 4 r
Douglas R. Evans
Assistant City Manager — Development Services
Approved for submission by:
Thomas P. Genovese, Executive Director
Attachment: 1. Agreement to Amend Redevelopment Plan
036
ATTACHMENT 1
AGREEMENT TO AMEND REDEVELOPMENT PLAN
This AGREEMENT TO AMEND REDEVELOPMENT PLAN ("Agreement") is made
and entered into this _ day of 2009 ("Effective Date"), by and among the LA
QUINTA REDEVELOPMENT AGENCY, a public body, corporate and politic ("City RDA"),
the CITY OF LA QUINTA, a California municipal corporation and charter city organized and
existing pursuant to the California Constitution ("City"), the REDEVELOPMENT AGENCY
FOR THE COUNTY OF RIVERSIDE, a public body, corporate and politic ("County RDA"),
and the COUNTY OF RIVERSIDE, a political subdivision of the State of California ("County").
Each of the City, City RDA, County, and County RDA are sometimes individually referred to
hereinafter as a "Party," and collectively referred to hereinafter as the "Parties."
RECITALS:
A. In October of 2007, the City annexed into the territorial limits thereof (a) that
certain real property located at 42-800 Washington Street (the "42-800 Property"); and (b) that
certain unimproved real property located adjacent to the 42-800 Property (the "Adjacent
Property"). The 42-800 Property is improved with an apartment complex commonly known as
the Washington Street Apartments, which consists of 73 apartment units that are restricted to
occupancy by very low income senior or handicapped households. The 42-800 Property and
Adjacent Property are hereinafter collectively referred to as the "Property," and are legally
described in Exhibit "A", which is incorporated herein by this reference.
B. On or about October 31, 2008, the City RDA acquired fee title to the Property.
C. The City and City RDA have recently discovered that the Property is located in
the County RDA's Desert Communities Redevelopment Project Area (the "County RDA Project
Area").
D. Because of the acquisition by the City RDA, the Property is no longer generating
revenue to the County RDA because of the zero tax base.
E. Given the zero tax base, the County RDA may be able to remove the Property
from the County RDA Project Area pursuant to existing indentures for several existing bond
issues upon the certification of an Independent Fiscal Consultant concluding that the security of
the outstanding bonds or the rights of the holders of the bonds will not be materially adversely
impaired by said proposed disposition. If such report concludes that such security will be
materially adversely impaired by the proposed disposition, the County may not approve an
amendment of the Redevelopment Plan for the County RDA Project Area (the "County RDA
Plan") to eliminate the Property from the County RDA Project Area (a "County RDA Plan
Amendment").
D. The Parties now wish to provide for the County RDA Plan Amendment in order
to allow the City RDA to implement an affordable housing project on the Property.
„ r 037
882/015610-0047
983095.04 a06/18/09
AGREEMENT:
NOW, THEREFORE, in consideration of the foregoing Recitals, which are incorporated
herein and made a part hereof by this reference, and for other valuable consideration, the
sufficiency of which is hereby acknowledged, the City, City RDA, County, and County RDA
hereby covenant and agree as follows:
L Amendment to County RDA Plan. The County shall prepare and process the
County RDA Plan Amendment. To effect the County RDA Plan Amendment, the County and
County RDA shall take all of the actions set forth in the schedule attached hereto and
incorporated herein as Exhibit "B" (the "Schedule"), within the timeframes set forth therein, and
any other actions required in order to effect the County RDA Plan Amendment in accordance
with all applicable requirements of the California Community Redevelopment Law (the "CRL").
2. City RDA Reimbursement of County RDA Costs. The City RDA shall reimburse
the County RDA for the following costs actually incurred by the County RDA in preparing and
processing the County RDA Plan Amendment:
• Urban Futures, Inc.'s fee of Twenty -Eight Thousand Six Hundred Fifty
Dollars ($28,650) to prepare, and to assist the County RDA to process, the
County RDA Plan Amendment;
• Urban Analytics fee of approximately Two Thousand Dollars ($2,000) to
conduct an independent financial review of the proposed County RDA
Amendment and its impact on existing bond holders;
• Actual costs and expenses incurred by the County RDA in processing the
County RDA Plan Amendment (but not including costs or expenses allocated
to the County RDA's internal administrative payroll or overhead expenses),
estimated to be not more than Ten Thousand Dollars ($10,000); and
• Charges and fees incurred by the County RDA for legal services provided by
County Counsel, estimated to be not more than Five Thousand Dollars
($5,000).
3. Effectiveness of Amendments. The County and County RDA each acknowledge
and agree that upon the effective date of the ordinance to be adopted by the County approving
the County RDA Plan Amendment, (i) the Property will cease to be located in the County RDA
Project Area, (ii) the County will no longer collect any taxes from the Property pursuant to
subdivision (b) of Section 33670 of the Health and Safety Code, (iii) the County RDA may no
longer undertake activities to implement the County RDA Plan within the Property, and (iv) the
Property shall be free from any indebtedness that the County RDA has incurred or does incur, in
the future, in carrying out the County RDA Plan.
4. Hold Harmless/Indemnification. City shall indemnify and hold harmless the
County RDA, the County, all the Agencies, Districts, Special Districts and Departments of the
County and their respective directors, officers, Board of Supervisors, elected and appointed
882/015610-0047 _ r O 8
983095.04 a061I8/09 0 , ,
officials, employees, agents and representatives ("Indemnified Parties") from any liability
whatsoever, based or asserted upon any obligation of City and/or City RDA, its officers,
employees, subcontractors, agents or representatives arising out of or in any way relating to this
Agreement, including but not limited to property damage, bodily injury, or death or any other
element of any kind or nature whatsoever arising from the performance of City and/or City RDA,
its officers, agents, employees, subcontractors, agents or representatives from this Agreement.
City shall defend, at its sole expense, all costs and fees including, but not limited, to attorney
fees, cost of investigation, defense and settlements or awards, the Indemnified Parties in any
claim or action based upon such alleged acts or omissions. Notwithstanding the foregoing, City
shall not be responsible for any damages or liability to the extent caused by the negligence or
willful misconduct of County or the County RDA or any of their respective officers, officials,
members, employees, agents, or representative.
With respect to any action or claim subject to indemnification herein by City, City shall,
at their sole cost, have the right to use counsel of their own choice and shall have the right to
adjust, settle, or compromise any such action or claim without the prior consent of County RDA
or County; provided, however, that any such adjustment, settlement or compromise in no manner
whatsoever limits or circumscribes City's indemnification of Indemnified Parties as set forth
herein.
City's obligation hereunder shall be satisfied when City has provided to County RDA the
appropriate form of dismissal relieving the Indemnified Parties from any liability for the action
or claim involved.
In the event there is conflict between this clause and California Civil Code Section 2782,
this clause shall be interpreted to comply with Civil Code 2782. Such interpretation shall not
relieve the City fi•om indemnifying the Indemnified Parties to the fullest extent allowed by law.
5. County and County RDA Covenant not to Object or Bring Claims. The County
and the County RDA hereby acknowledge that the City intends to process, concurrently with the
County's processing of the County RDA Amendment, an amendment to the Redevelopment Plan
for the La Quints Redevelopment Project Area No. 2 (the "City RDA Amendment"). The
County and the County RDA, for themselves and their agents, representatives, assigns, officers,
and members (collectively, the "Covenanting Parties"), hereby covenant not to raise any
objections or bring any claims against the City or City RDA with respect to the City RDA
Amendment, unless the report described in Recital E of this Agreement concludes that the
security described therein will be materially adversely impaired by the County RDA Plan
Amendment.
6. Amendments. Any amendment hereto shall be in writing and shall be signed by
authorized representatives of each of the Parties hereto prior to being valid.
7. Notice. Formal notices, demands, and communications between the City, City
RDA, County, and County RDA shall be sufficiently given if (i) personally delivered, (ii)
delivered by a reputable same -day or overnight courier services that provides a receipt showing
date and time of delivery, (iii) delivered by United States mail, registered or certified, postage
prepaid, return receipt requested, or (iv) delivered by facsimile transmission, provided the
882/015610-0047 r 039
983095.04 a06/I8/09
original of the faxed communication is delivered within twenty-four (24) hours by one of
methods described in clauses (i), (ii), or (iii) of the foregoing. Delivery shall be made to the
following addresses:
If to City/Agency: City of La Quinta
La Quinta Redevelopment Agency
78-495 Calle Tampico
La Quinta, CA 92253
Attn: City Manager/Executive Director
Fax: (760)777-7101
with a copy to: Rutan & Tucker, LLP
611 Anton Boulevard, Suite 1400
Costa Mesa, CA 92626
Attn: M. Katherine Jenson, Esq.
Fax: (714)546-9035
If to County/County RDA: County of Riverside
Redevelopment Agency for the County of Riverside
P.O. Box 1180
Riverside, CA 92502
Attn: Executive Director
Fax: 951-955-6686
Notices that are personally delivered; delivered by messenger/courier, or by fax (provided
there is compliance with the terms of clause (iv) above) shall be deemed effective upon receipt.
Notices delivered by mail shall be deemed effective upon the earlier of actual receipt by the
addressee thereof or the expiration of forty-eight (48) hours after depositing in the United States
Postal System in the manner described in this Section. Such written notices, demands, and
communications may be sent in the same manner to such other addresses as a party may from
time to time designate by mail.
Written notices, demands and communications between the City, City RDA, County, and
County RDA shall be sufficiently given if (i) delivered by hand, (ii) delivered by reputable same -
day or overnight messenger service that provides a receipt showing date and time of delivery, or
(iii) dispatched by registered or certified mail, postage prepaid, return receipt requested, to the
principal offices of the applicable Party(ies) at the addresses set forth above. Such written
notices, demands and communications may be sent in the same manner to such other addresses
as any Party may from time to time designate by mail as provided above. A notice signed by
legal counsel for a Party and delivered to another Party in accordance with this Section shall be
deemed notice delivered by the Party on whose behalf such legal counsel is acting.
Any written notice, demand, or communication shall be deemed received immediately if
delivered by hand or delivered by messenger in accordance with the preceding paragraph, and
882/015610-0047 r 040
983095.04 a06/18/09
shall be deemed received on the third (3rd) day from the date it is postmarked if delivered by
registered or certified mail in accordance with the preceding paragraph.
8. Severability/Waiver/Integration/Interpretation; Entire Agreement.
8.1 Severability. If any provision of this Agreement shall be invalid, illegal or
unenforceable, the validity, legality and enforceability of the remaining portions hereof shall not
in any way be affected or impaired thereby. ,
8.2 Waiver. All waivers of the provisions of this Agreement, unless specified
otherwise herein, must be in writing and signed by the appropriate authorities of the Party
granting the waiver. No delay or omission by any Party hereto in exercising any right or power
accruing upon the compliance or failure of performance by any 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 any Party hereto of a breach of any of the covenants, conditions or
agreements hereof to be performed by another Party shall not invalidate this Agreement nor shall
it be construed as a waiver of any succeeding breach of the same or other covenants, agreements,
restrictions or conditions hereof.
8.:3 Integration. This Agreement contains the entire Agreement between the
Parties concerning the subject matter hereof and none of the Parties rely on any warranty or
representation not contained in this Agreement.
8.4 Interpretation. The terms of this Agreement shall be construed in
accordance with the meaning of the language used and shall not be construed for or against any
Party by reason of the authorship of this Agreement or any other rule of construction that might
otherwise apply.
8.5 Entire Agreement. This Agreement integrates all of the terms and
conditions mentioned herein or incidental hereto, and supersedes all negotiations or previous
agreements between the parties or their predecessors -in -interest with respect to all or any part of
the subject matter hereof.
9. Governing Law. This Agreement shall be governed by the internal laws of the
State of California without regard to conflicts of law.
10. Counterparts. This Agreement may be executed in any number of counterparts,
each of which shall constitute one original and all of which shall be one and the same instrument.
[End - Signature Page Follows]
041
882/015610-0047
983095.04 a06/18/09
IN WITNESS WHEREOF, the City, City RDA, County, and County RDA have executed
this Agreement by duly authorized representatives on the date first written hereinabove.
"City RDA"
LA QUINTA REDEVELOPMENT AGENCY, a
public body, corporate and politic
Date
ATTEST:
By:
Secretary
APPROVED AS TO FORM
RUTAN & TUCKER, LLP
By:
Attorneys for the La Quinta
Redevelopment Agency
"City"
Thomas Genovese
Executive Director
CITY OF LA QUINTA, a California municipal
corporation and charter city organized and existing
under the California constitution
Thomas Genovese
City Manager
ATTEST:
By:
City Clerk
APPROVED AS TO FORM:
RUTAN & TUCKER, LLP
By:
City Attorney
042
892/015610-0047
983095.04 a06/18/09
"County RDA"
REDEVELOPMENT AGENCY FOR THE
COUNTY OF RIVERSIDE, a public body,
corporate and politic
Date:
Jeff Stone, Chairman
Board of Directors
ATTEST:
By:
Secretary
APPROVED AS TO FORM:
LOW
Agency Counsel
"County"
COUNTY OF RIVERSIDE, a political subdivision
of the State of California
Jeff Stone, Chairman
Board of Supervisors
ATTEST:
L-fi
Clerk of the Board
APPROVED AS TO FORM:
County Counsel
O43
882/015610-0047
983095.04 a06/I8/09
EXHIBIT "A"
LEGAL DESCRIPTION OF PROPERTY
All of that certain real property in the City of La Quinta, County of Riverside, State of
California, described as follows:
PARCEL A (42-800 Property):
A portion of the South half of the South half of the Northwest quarter (S 1/2 NW 1/4) of
Section 18, Township 5 South, Range 7 East of the San Bernardino Meridian, and that portion of
Parcels 1 and 2 of Parcel Map 12323 as per map recorded in Book 56 page 27, County of
Riverside, State of California, being more particularly described as follows:
Commencing at the West one -quarter (W 1/4) comer of Section 18, Township 5 South,
Range 7 East of the San Bernardino Meridian, County of Riverside, State of California, said
point being on the centerline of Washington Street; thence North 89' 39' 27" East along the East-
West one -quarter (E-W 1/4) Section line of said Section 18, a distance of 40.00 feet to the
Easterly line of said Washington Street, said point being 40.00 feet Easterly of the centerline of
said Washington Street, as measured at right angles thereto, and being also the true point of
beginning;
Thence North 00' 08' 34" East along the Easterly line of said Washington Street, a
distance of 664.07 feet to the centerline of Hidden River Road;
Thence North 89' 34' 27" East along the centerline of said Hidden River Road, a distance
of 435.29 feet;
Thence South 00' 08' 34" West, a distance of 400.32 feet to the Southerly line of Parcel 2
of Parcel Map No. 12323, filed in Parcel Map Book 56, Page(s) 27 and 28, of Official Records
(OR.) County of Riverside, State of California;
Thence North 89' 34' 27" East, along the Southerly line of Parcel 2 and continuing along
the Southerly line of Parcel 3, both of said Parcel Map No. 12323, a distance of 849.27 feet;
Thence South 00' 20' 33" East, a distance of 265.62 feet to the East-West one -quarter
(E-W 1/4) Section line of said Section 18;
Thence South 89' 39' 27" West along the East-West one -quarter (E-W 1/4) Section line
of said Section 18, a distance of 1286.80 feet to the point of beginning.
Said description is pursuant to that certain Notice of Lot Line Adjustment No. 5167,
recorded October 15, 2007 as Instrument No. 2007-636486, Official Records.
Excepting therefrom that portion as conveyed to the La Quinta Redevelopment Agency
by that certain Grant Deed recorded October 15, 2007 as Instrument No. 2007-0636489.
M�' 044
Assessor's Parcel Number: 609-040-007-0 and 609-040-023-4
PARCEL B (Adjacent Property)
A portion of the South half of the South half of the Northwest quarter (S 1/2 S 1/2 NW
1/4) of Section 18, Township 5 South, Range 7 East of the San Bernardino Meridian, County of
Riverside, State of California, being more particularly described as follows:
Commencing at the West one -quarter (W 1/4) corner of Section 18, Township 5 South,
Range 7 East of the San Bernardino Meridian, County of Riverside, State of California, said
point being on the centerline of Washington Street; thence N89°39'27"E along the East-West
one -quarter (E-W 1/4) section line of said Section 18, a distance of 40.00 feet to the Easterly line
of said Washington Street, said point being 40.00 feet Easterly of the centerline of said
Washington Street, as measured at right angles thereto, and being also the true point of
beginning;
Thence N00°08'34"E along the Easterly line of said Washington Street, a distance of
133.75 feet;
Thence N89°34'27"E along the Easterly line of said Washington Street and continuing
along the Southerly line of Parcel 1 of Parcel Map No. 12323, filed in Parcel Map Book 56,
Pages 27 and 28, of Official Records (OR.) County of Riverside, State of California, a distance
of 330.03 feet;
Thence N00°08'34"E along the easterly line of said Parcel 1, a distance of 130.01 feet;
Thence N89°34'27"E along the Southerly line of Parcel 1 and continuing along the
Southerly lines of Parcel 2 and Parcel 3, all of said Parcel Map No. 12323, a distance of 954.54
feet;
Thence S00°20'33"E, a distance of 265.62 feet to the East-West one -quarter (E-W 1/4)
section line of said Section 18;
Thence S89°39'27"W along said East-West one -quarter (E-W 1/4) section line, a
distance of 1286.80 feet to the point of beginning.
Said parcel contains 6.83 acres (297,393 square feet), more or less.
045
EXHIBIT `B"
SCHEDULE OF PERFORMANCE
Performance Task
Time for Completion
1.
County prepares and circulates to City and City RDA
Within thirty (30) days after
Draft Amended Preliminary Plan for County RDA Project
Effective Date.
Area.
2.
City provides comments on Draft Amended Preliminary
Within fourteen (14) days after
Plan for County RDA Project Area.
City receives from County.
3.
County Planning Commission amends County RDA
Within fourteen (14) days after
Project Area boundaries to eliminate the Property, amends
County receives City
the existing Project Area Preliminary Plan and forwards to
comments.
the County RDA. (H&S Code § 33322-33324.)
4.
County RDA accepts Preliminary Plan amendments,
Within fourteen (14) days after
directs preparation of the County RDA Plan Amendment
County Planning Commission
and authorizes transmittal of Statement of Preparation.
actions pursuant to Task No. 3.
(H&S Code § 33322-33324.)
5.
County prepares Initial Study and conducts necessary
Within sixty (60) days after
CE A analysis.
Effective Date.
6.
County Planning Commission adopts resolution
Within sixty (60) days after
submitting report and recommendation concerning
County RDA actions in Task
conformity of County RDA Plan Amendment to the
No. 4.
County General Plan. (H&S Code §§ 33347 and 33453.)
7.
County and County RDA adopt resolutions consenting to
Within fourteen (14) days after
a joint public hearing on the County RDA Plan
County Planning Commission
Amendment; County RDA adopts resolution authorizing
actions in Task No. -7-.6.
circulation of draft County RDA Plan Amendment and
adopting and transmitting the County RDA's report to the
County; County adopts resolution receiving and adopting
the County RDA's Report to the County. (H&S Code §§
33351, 33352, 33355, 33451.5, and 33458.)
8.
County and County RDA hold joint public hearing on
Within sixty (60) days after
County RDA Plan Amendment. (H&S Code § 33451.)
County and County RDA
actions in Task No. 977.
9.
County adopts resolution approving written responses to
Within fourteen (14) days after
written objections to County RDA Plan Amendment (if
County and County RDA joint
necessary), and conducts first reading of ordinance
public hearing
adopting County RDA Plan Amendment. (H&S Code §§
33359, 33363, 33364.
C46
10.
County conducts second reading of ordinance adopting
Within fourteen (14) days after
County RDA Plan Amendment.
County conducts first reading
11.
County RDA transmits copies of ordinance to affected
One (1) day after County
taxing and other entities pursuant to CRL 33457 and
conducts second reading
records County RDA Plan Amendment.
047