ND La Quinta Partners/Reimbursement for Madison St Imprv re: Hideaway 164 Za/b - 000il,
MEMORANDUM
TO: Frank J. Spevacek, City Manager
FROM: Timothy R. Jonasson, P.E., Public Works Director / City Engineer xf
DATE: January 25, 2016
RE: Reimbursement Agreement for Street Improvements Constructed by
the Hideaway Development
Attached for your signature is the reimbursement agreement with ND La Quinta
Partners, LLC for street improvements on Madison Street associated with the
Hideaway development.
Please sign the attached agreement(s) and return it to the City Clerk for processing
and distribution.
Requesting department shall check and attach the items below as appropriate:
Contract poyments will be charged to account number:
A Conflict of Interest Form 700 Statement of Economic Interests from Consultant(s) is attached with
no reportable interests in LQ or reportable interests
A Conflict of Interest Form 700 Statement of Economic Interests is not required because this Consultant does not
meet the definition in FPPC regulation 18701(2),
Authority to execute this agreement is based upon:
X Approved by the City Council on Jan. ar, 19.2116
City Manager's signature authority provided under Resolution No, 2015-045 for budgeted expenditures of
$50,000 or less
Initial to certify that 3 written informal bids or proposals were received and considered in selection
The following required documents are attached to the agreement:
N/A Insurance certificates as required by the agreement (initialed by Risk Manager on ()filo)
N/A Performance bonds as required by the agreement (originals)
X City of La Quinta Business License (copy or note number & expiration dote here LIC- 4268 exp on 10/31/2016)
N/A Purchase Order number
CITY OF LA QUINTA
REIMBURSEMENT AGREEMENT
TRACT MAP No. 29894
STREET IMPROVEMENTS TO MADISON STREET
(AVENUE 52 TO AVENUE 54)
THIS REIMBURSEMENT AGREEMENT (the "Agreement") is made and entered into this
day of ' 20 , by and between ND La Quinta
Partners, LLC, a Delaware limited liability company, hereinafter referred to as "Developer," and
the City of La Quinta, California, a California Municipal Corporation and charter city (the
"City").
RECITALS
A. Developer is the subdivider and developer of property in the City of La Quinta subject to
the provisions of Tract 29894'3 ("Tract") which area is currently known as the
Hideaway and which is located south of Avenue 52 and north of Avenue 54 between
Jefferson Street and Madison Street.
B. The Conditions of Approval for Tract 29894 obligate Developer to construct certain
improvements on Madison Street, generally described as follows, and more specifically
described in the Conditions of Approval, #43, a, iv as follows: 1) Madison Street:
Construct 86 -foot improvements (travel width excluding curbs) plus 6 -foot sidewalk on
west side of street and 10 -foot multi-purpose trail on the east side of street (design to
be approved by City). The aforementioned improvements are herein referred to as (the
"Required Improvements") and as shown on Exhibit A.
C. The City has identified source of funds from which it desires to reimburse Developer for
the Required Improvements at a point in the future to be determined by the City. The
time and form of reimbursement payments shall be as set forth in the Agreement. The
funds source is the Transportation Component of the Development Impact Fee. All land
developments in the City are required to pay Development Impact Fees ("Fees")
pursuant to the Development Impact Fee Program ("Program"), adopted by the City on
June 15, 1999 and revised October 7, 2(}08. A portion of Development Impact Fee
known as the "Transportation Component" provides future funding for specific arterial
street improvements located throughout the City (Exhibit B).
D. The Transportation Component of the 2008 DIF Program contains cost details for
Madison Street (Avenue 52 to Avenue 54). The cost details (Exhibit C) reflect a DIF
totaling $2,214,723 for Madison Street excluding the median landscape and irrigation
(Avenue 52 to Avenue 54). The ultimate Required Improvements are estimated to be
$418,399.50 for Madison Street excluding the median landscape and irrigation (Avenue
52 to Avenue 54).
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E. The City Engineer has reviewed the scope and cost associated with the Required
Improvements and has determined that the Required Improvements are covered by the
Program and are eligible for certain reimbursements, subject to certain limitations and
availability of funds discussed herein.
F. The parties hereto desire to enter into this Agreement to effectuate the terms of the
City's reimbursement to Developer of certain costs incurred by Developer in
constructing the Required Improvements to the extent they are determined to be eligible
for reimbursement and to the extent the City has the funds available in the
Transportation Component of the DIF Program.
AGREEMENT
NOW, THEREFORE, it is agreed by and between the parties hereto as follows:
1. Responsibilities of Developer. Developer has constructed the Required Improvements as
described in Section B of the Recital above, excluding the median landscape and irrigation
on Madison Street, hereto and incorporated herein by this reference. Developer has
borne the cost of constructing the Required Improvements excluding the median
landscape and irrigation on Madison Street. The Developer has submitted to the City
invoices and supporting documentation for those eligible costs per Exhibit A, which total
$418,399.50 for Madison Street.
2. Responsibilities
(a) Approval or Disapproval of Expenses. The City Engineer has approved the
submitted invoices. Developer recognizes that the City Engineer's approval of the costs
does not guarantee that the costs will be reimbursed. Instead, the City Engineer approval
is a condition precedent necessary for the costs to be processed for credit or
reimbursement.
(b) Reimbursement from the City's Future Transportation Component Fees. Developer
is eligible for credit end/or reimbursement at some point in the future from the
Transportation Component Fees collected on other pjecto. Developer recognizes that at
this point in time, the City cannot commit to a time certain for reimbursement, in as
much as the City is entitled to establish the priority of spending for the Transportation
Component Fees. Developer further recognizes that the City Council may consider a
policy regarding the priority of reimbursement, and that if adopted, the timing of its
reimbursement will be subject to the policy. In no event will the amount of
reimbursement (including credit) exceed $418,399.50 for Madison Street excluding the
median Iandscape and irrigation.
3' 1)(suules. In the event of any dispute arising under this Agreement, the ijured party shall
notify the injuring party of its contentions by submitting a claim therefore. The injured
partyahmUoontinumporforrningitoobU0ationoinourrmdhmreinao|nngaothmi juring party
commences to cure such injuring action within ten (10) days of service of such notice
and completes the cure within forty-five (45) days after the notification, or such longer
period as may be agreed upon by both parties to this Agreement.
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4. /\ttvL/!OMI. If either party commences an action against the other arising out of or
in connection with this Agreement, including the filing of a lien or other legal action to
compel payment of the Reimbursement, the prevailing party shall be entitled to recover
reasonable attorney's fees and legal costs from the losing party.
5. Indemnification. Developer shall defend, indemnify and hold harmless City, its officers,
employees, representatives and agents ("Indemnified Parties"), from and against those
actions, suits, proceedings, claims, demands, losses, costs, and expenses, including legal
costs and attorneys' fees, arising out of any liability or claim for liability, for injury to or
death of person(s), for damage to property (including property owned by City) and for
errors and omissions committed by Developer, its officers, employees representatives,
and agents, which arise out of acts or activities of Developer's or Developer's Officers,
employees, agents or representatives ("Claims"), whether or not such act or activity is
authorized by this Agreement, except to the extent of such loss as may be caused by
City's own negligence or that of its officers or employees. In the event the Indemnified
Parties are made a party to any action, lawsuit, or other adversarial proceeding in any
way involving such Claims, Developer shall provide a defense to the Indemnified Parties,
or at the City's option, reimburse the Indemnified Parties their costs of defense, including
reasonable attorneys' fees, incurred in defense of such Claims. In addition, Developer
shall be obligated to promptly pay any final judgment or portion thereof rendered against
the lndemnified Parities.
G. City Officers and Employees; Non -Discrimination. No officer or employee of City shall be
personally liable to Developer or any successor in interest in the event of any default or
breach by City or for any amount which may become due to Developer or to its
successor or for breach of any obligation of the terms of this Agreement.
7. Term o|Anrmommnt. This Agreement shall remain in full force and in effect until each
party has fully performed its obligations and all required reimbursements have been
issued.
8. Notice. Any notice, demand, request, consent, approval, or communication either party
desires or is required to give to the other party or any person shall be in writing and either
served personally or sent by prepaid, first-class mail to the address set forth below.
Notice shall be deemed communicated forty-eight (48) hours from the time of mailing if
mailed as provided in this Section.
To City:
To Developer:
City of La Quinta
78-495 Calle Tampico
La Quinta, CA 92253
Attn: City Engineer
(760) 777-7075
ND La Quinta Partners, LLC
P.O. Box 1482
La Quinta, California 92247
Attn: Scott Birdwell
(310) 880-1202
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�. As;3ignment ofA t. Neither Party may assign its obligations hereunder to any
assignee without the knowledge and without written consent of the other party hereto
which other party shall not unreasonably withhold consent. Assignment may be made
only to an assignee willingly, financially capable, and competent to carry out the
assignor's obligation.
10. General Provisions.
A. Except as otherwise provided herein, the terms, conditions, covenants, and
agreements set forth herein shall apply to and bind the heirs, executors,
administrators, assigns, and successors of the parties hereto.
B. Neither party to this Agreement relies upon any warranty or representation not
contained in this Agreement.
C. This Agreement shall be governed by and interpreted with respect to the laws of
the State of California.
D. Any failure or delay by either party in asserting any of its rights and remedies as to
any default shall not operate as a waiver of any default or of any rights or remedies
provided for herein.
E This Agreement may be amended at any time by the mutual consent of the parties
by an instrument in writing signed by both parties.
F. This Agreement may be executed in counterparts, which when taken together, shall
constitute one fully executed document.
11. Severability. In the event that any provision or provisions of this Agreement are held
unenforceable, all provisions not so held shall remain in full force and effect.
12. Authority of Signatories. 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 are formally bound to the
provisions of this Agreement.
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IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the day and year
first written above.
CITY OF LA QUINTA:
Digitally signed by Frank J. Spevacek
DN:
serialNumber=1n615nh01202cvmj,
c=US, st=California, l=La Quinta,
o=Frank J. Spevacek, cn=Frank J.
Spevacek
Date: 2016.01.26 15:29:43 -0800'
Frank J. Spevacek, City Manager
Date
ATTEST:
Digitally signed by Susan Maysels
DN: serialNumber=j4r7111g1 ppsr45f,
' c=US, st=California,1=La Quinta,
o=Susan Maysels, cn=Susan Maysels
Date: 2016.01.26 17:01:05 -0800'
Susan Maysels, City Clerk
City of La Quinta
Developer: ND La Quinta Partners, LLC
P.O. Box 1482
La Quinta, California 92247
By:
Date
Title: Authorized Representative
By:
Title:
Approved as to Form:
WILLIAM H. IHRKE, City Attorney
City of La Quinta
Date
Reimbursement Agreement — DIF Agreemt Hideaway Madison St (No Median Landscaping) - 29894 Page 5 of 8
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LIFORNIA ALL-PURPOSE ACKNOWLEDGEMENT
Anotary public orother officer completing this certificate
verft;es only tie denlity of the individual who signed the
document to which this certificate is attached, and not the
truthfulness, accuracy, orvalidity ofthat document.
r)
STATE OF
COUNTY OF
On 3e 7'�v2.0jc- wore me,
-��e„
who prove 1 to me 'on Uh`` basis of satisfactory evidence to be the person whose name is subscribed to the within instrument and
acknowledged to me thnt he executed the same in his authorized capacity, and that by his signature on the instrument the person,
or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct
WITNESS my hand and official seal
m» �
COMM. o1983071
atoc� Notary Public • California
~
Los Angeles County
This area for official notarial seal,
Exhibit A
REQUIRED IMPROVEMENTS -TRACT No. 29894
PIF ELIGIBLE REIMBURSEMENT
Description
Units
Madison Street - Street L.S.
Improvements (One Inside
Lane from Avenue 52 to
Avenue 54, West Side) - Required
Off -Site Street Improvements
Eligible for Reimbursements From
Development Impact Fee Fund
Unit Cost Qyrtft Totat
$418,399.50
$418,399.50
Developer has submitted invoices and supporting documentation for eligible costs for the
Required Improvements described above which total $418,399.50 for Madison Street.
Reimbkvsem,olt Agreern,?nt -DIF Agroarnt Hikic-,41way Iv13,11,3r>n St - 29891 Pnge 6 of P,
Exhibit B
October 7, 2008 DIF Fee by Development Category
Ppimburserm7nt ,Agreeme,no. -DIF Agreomi Hidelway Madison - 291 raq,3 ,:of
Ciry of La Quinia — Development Impact Fee Study
F. SUM RY OF IMPACT FEES
Table S-1 su arizes the
The aunts shown in
1 d UsTyp Type
Res (SFD)
mit I_ht(s
DUz
ended impa
le based on the
Pig !Cf./
l'annportittion
$3.592 $1.773
Res (SEA)
Res (MFO)
Office/Hosp.
General Corn
Tourist Com
Golf Courses
DU
DU
KSF
KSF
Room
—
Room
Acre
G. PROJECTED RE
$3.592
$2,098
56,931
$5,648
$1.826
5668
$1.773
$1.773
ees by development category and facility type.
y is in subsequent sections of this report.
ttter
ectioti
$1.089 $612
5182 $102
5280 5157
5135 576
5639 5360
5189 5107
5158
n1'ni
n rt",7
5334 5104
S334 5104
$334 5104
, cal
Fac.
5158
thi I
551 $7,713
5158 551
592 551
5309
5252
581
530
Table S-2 shows projected total revenue from impact fees, from now to build out, ass ing that
the fees are adopted as reco ended and that all development anticipated in this report actually
occurs. Note that projected revenue is given in current dollars.
Facility Tyne
T rtation
s
Civic Center
Table S-2
Projected hn )act Fee Revenue
Projected Revenue
$55,901,770
$19,00-002
$10,912,682
Fire
_
Lib . 'es
Co 'ty Centers
Street and Park Mainte ce
TOTAL
Rkt.',;1&sciRit. Stngle harinly Detached
Dwelling Unit
Re..5ideiontl- Situ* Faintly Atilched
ile-nIrkutiol l'''arnily Aind other
1,000 Squaw Feet of Gross Building At.' -,i
4 Project Revenue ia current drillniN
$6,136,641
$3,579,595
$1,110,102
$3,552,565
$100,194,457
September 16, 2008
Page 4
56.296
_54.889
$7.451
56,899
52,204
5945
Exhibit C
October 7, 2008 DIF Cost Detail
Madison Street (Avenue 52 to Avenue 54)
Reimbursernem P,qreernent -DIF Agreemt Hideaway Madison St - 296°4 Page 6 of S
CITY OF LA QUINTA DEVELOPMENT IMPACT FEE (DIF) COST DETAIL
Project Type; Primary Arterial
Project: MadisonStreet(Avenue ----------------------
Description _
The proposed improvements include the installation of two lanes, median curb, and median landscape, Irrigation and lighting
between Avenue 52 and Avenue 54 on Madtson Street.
_„
ITEM DESCRIPTION
MOBILIZATION
'---
LS 1
2 TRAFFIC CONTROL
1
_— 35.000.00�
DUST CONTROL
UNITS
UNIT ELIGIBLE
QUANTITY COST DIF COS
UNCLASSIFIED EXCAVATION
GRAD|NG____
CLEARING AND GRUBBING
7 WET UTILITY GRADE ADJ
8 8"/NB]k�NCU�B
—
- -------
1----k3.|N�-
�---
LANDSCAPE
IRRIGATION
1ELECTRICAL
SUB -TOTAL
_==_=
6/19/2008
LS
LS
LS
LS
AC
LS
LF
LSSF
SF
8
1 � 72,000.00
78,062.50 � 78,062.50
� ` �
\ 102.109.3-S� 182.10l
2,777.78
7500
176163
1
90000
50,370.00_--_-_'_- ____
-------'
1O.4S_ 78,375l0
2.56�
450,976.0020,000.00
---'2Q�OO�0
�S� �� 31' 55.0n
1.34 120.675.00
168,000.00 168,000.00
_12512,153.55
�
_
___
� �.
5 72,407.63
CityAdm�i1� 82,332.b0_
Tota S 2�1���[�
____
Estimated Soft Costs:
Notes:
1. This project has a pending Developer Reimbursement Agreement (ORA) with the Madison Club In the amount of
$2,030,887 for two travel lanes, median curb, and median landscape improvements, from Avenue '52boAvenue 54. The
improvements have been constructed.
Appendix 1 (15 of 19)