2022 - 29283 Rancho LQ - Master Assoc Assignment & Assumption SIA from TD Desert Dev. LPMEMORANDUM
DATE:
TO:
FROM:
RE:
Please list the Contracting Party / Vendor Name, type of agreement to be executed, including any change orders or
amendments, and the type of services to be provided. Make sure to list any related Project No. and Project Name.
Authority to execute this agreement is based upon:
___ Approved by City Council on ___________________________________________
___ City Manager’s signing authority provided under the City’s Purchasing Police
[Resolution No. 2019-021] for budget expenditures of $50,000 or less.
___ Department Director’s or Manager’s signing authority provided under the City’s
Purchasing Policy [Resolution No. 2019-021] for budget expenditures of $15,000 and
$5,000, respectively, or less.
Procurement Method (one must apply):
___ Bid ___ RFP ___ RFQ ___ 3 written informal bids
___ Sole Source ___ Select Source ___ Cooperative Procurement
Requesting department shall check and attach the items below as appropriate:
___ Agreement payment will be charged to Account No.: _____________________
___ Agreement term: Start Date ________________ End Date ________________
___Amount of Agreement, Amendment, Change Order, etc.: $____________________
REMINDER: Signing authorities listed above are applicable on the aggregate Agreement amount,
not individual Amendments or Change Orders!
___ Insurance certificates as required by the Agreement for Risk Manager approval
Approved by: ______________________________ Date: _______________
___ Bonds (originals)as required by the Agreement (Performance, Payment, etc.)
___ Conflict of Interest Form 700 Statement of Economic Interests from Consultant(s)
NOTE: Review the “Form 700 Disclosure for Consultants” guidance to determine if a Form 700 is
required pursuant FPPC regulation 18701(2)
___ Business License No. __________________; Expires: __________________
___ Requisition for a Purchase Order has been prepared (Agreements over $5,000)
July 12, 2022
Monika Radeva, City Clerk
Amy Yu, Associate Engineer
Assignment and Assumption Agreement and Amendment to Subdivision Improvement
Agreement for Tract Map 29283
✔May 3, 2022 Consent 7
July 12, 2022 N/A
Rancho La Quinta
LEGAL02/41174239v1
ASSIGNMENT AND ASSUMPTION AGREEMENT
AND
AMENDMENT TO SUBDIVISION IMPROVEMENT AGREEMENT
TRACT MAP NO. 29283
This ASSIGNMENT AND ASSUMPTION AGREEMENT AND AMENDMENT TO
SUBDIVISION IMPROVEMENT AGREEMENT (“Assignment & Amendment”) is made
and entered into as of the _____ day of ________________ , 20___, by and among the
CITY OF LA QUINTA, a municipal corporation of the State of California (“City”), T.D.
Desert Development Limited Partnership, a Delaware limited partnership (“Assignor”),
and Master Association for Rancho La Quinta, a California nonprofit mutual benefit
corporation (“Assignee”).
RECITALS
A. City and Assignor entered into that certain Subdivision Improvement
Agreement, dated September 12, 2000 (“SIA”), pursuant to which Assignor, as the
“Subdivider” defined in the SIA, agreed to construct or secure certain traffic signal
improvements at Avenue 50 and Orchard Lane for Tract No. 29283 (“Tract”), as more
fully described in Exhibit “A” of the SIA (“Improvements”).
B. Assignor has sold its interest in the Tract to Assignee. In conjunction with
such transfer, Assignor desires to assign the SIA, and all of Assignor’s rights and
obligations thereunder, to Assignee and Assignee desire to assume Assignor’s position
with respect to the SIA and all of Assignor’s rights and obligations under the SIA subject
to the terms of this Assignment & Amendment.
C. In connection with the foregoing described assignment and assumption,
the City and Assignee have agreed to certain modifications to the SIA as set forth
herein to be effective upon full execution of this Assignment & Amendment by all the
parties hereto.
AGREEMENT
NOW, THEREFORE, in consideration of the foregoing Recitals and the
covenants and promises hereinafter contained, and for good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, the
parties hereto agree as follows:
1. Assignment and Assumption. Assignor hereby transfers and assigns to
Assignee all of the Assignor’s rights, title, and interest in and to, and obligations under,
the SIA, and Assignee hereby assumes all rights, title, and interest in and to, and
obligations under, the SIA. By execution hereof, the City hereby (i) consents to the
foregoing assignment and assumption, (ii) releases Assignor of all obligations and
liability under the SIA, and (iii) agrees to look solely to Assignee for the performance of
the obligations of “Subdivider” under the SIA.
13 July 22
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MEMORANDUM
Date: July 12, 2022
To: Monika Radeva, City Clerk
From: Amy Yu, Associate Engineer
Re: Performance Bond for 50% of Traffic Signal at Ave 50 and Orchard Ln for
Tract Map 29283, Rancho La Quinta
The Rancho La Quinta HOA is posting the following performance bond with the City for the
above referenced tract:
Please keep the following performance security in your file:
Tract Map No. 29283
Type of Bond
Bond Number
Security Amount
Performance
UCSX372X4787
$65,000
HOA: Nena T. Rutherford-Milward
Master Association for Rancho La Quinta
79285 Rancho La Quinta Dr
La Quinta, CA 92253
Surety Company: United Surety Insurance Company
233 Needham Street, Ste 440
Newton, MA 02464
RECEIVED
J U L L_ ! 2022
r .
BY:
SUBDIVISION IMPROVEMENTS UUMMr-U I CU UMIU11NI iL
Bond No. UCSX372X4787
Premium: $1,950.00
Tract Map No. 29283
PERFORMANCE BOND
KNOW ALL MEN BY THESE PRESENTS:
THAT, the City Council of the City of La Quinta has approved the final map for Tract Map No.
29283 , prior to Installation of certain designated public improvements required by the Conditions of
Approval for the subject map, in accordance with the California Map Act (Government Code Section 66462)
WHEREAS, the City Council
Master Association for Rancho La Quinta
whereby principal agrees to install
of the City of La Quinta, State of California, and
hereinafter designated as ("principal") have entered into an agreement
and complete certain designated public improvements, which said
agreement, dated . 20
29283 , is hereby referred to and made a part hereof; and
and identified as Tract Map No.
WHEREAS, said principal is required under the terms of said agreement to famish a bond for the
faithful performance of said agreement, to provide 50% of traffic signal at Avenue 50 and Orchard Lane
(participatory improvement).
NOW, THEREFORE, we, the principal and United Surety Insurance Company _ as
surety, are held and firmlyy bound unto the City of La Quinta hereinafter called ("City"), in the penal sum of
Sixty-five thousand 00l100 DOLLARS ($ 65,000.00 ]lawful money of
the United States, for the payment of which sum well and truly to be made, we bind ourselves, our heirs,
successors, executors and administrators, jointly and severally, firmly by these presents.
The condition of this obligation is such that if the above bounded principal, his or its heirs, executors,
administrators, successors or assigns, shall in all things stand to and abide by, and well and truly keep and
perform the covenants, conditions and provisions in the said agreement and any alteration thereof made as
therein provided, on his or their part, to be kept and performed at the time and in the manner therein specified,
and in all respects according to their true intent and meaning, and shall indemnify and save harmless the City,
its officers, agents and employees, as therein stipulated, then this obligation shall become null and void;
otherwise it shall be and remain in full force and effect.
As a part of the obligation secured hereby and in addition to the face amount specified therefore, there
shall be included costs and reasonable expenses and fees, including reasonable attorney's fees, incurred by
City in successfully enforcing such obligation, all to be taxed as costs and included in any judgment rendered.
The surety hereby stipulates and agrees that no change, extension of time, alteration or addition to the
temps of the agreement or to the work to be performed hereunder or the specifications accompanying the
same shall in any manner affect its obligations on this bond, and it does hereby waive notice of any such
change, extension of time, alteration or addition to the terms of the agreement or to the work or to the
specifications.
In witness whereof, this instrument has been duly executed by the principal and surety above named,
on March 14, 20?2 .
Master Association for Rancho La Quinta
Principal
(Seal) Signature of Principal
Title of Signatory
United Surety Insurance Company
Surety
(Seal) Signature of Surety
Kelly A. Specht, Attorney -in -fact
Title of Signatory
233 Needham Street Suite 440
Newton, MA 02464
Address of Surety
617-471-1112
Phone # of Surety
Casey Parker
Contact Person For Surety
California Ali -Purpose Certificate of Acknowledgment
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the
document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
State of California
County of Orange
On July 5, 2022
before me, Merla Fregoso, Notary Public
lem of Notary Public, Tifle
personally appeared Kelly A. Specht
I lame ��r
N/A
game of Signer (2)
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s)
is/are subscribed to the within instrument and acknowledged to me that he/she/they executed
the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the
instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the
instrument.
I certify under PENALTY OF PERJURY under the laws
of the State of California that the foregoing paragraph is
true and correct.
MERLA FREGOSO
W ITN ESS my hand an official seal.: Notary Public - California
r =� Orange County
Commission 0 2328451
f - _�'' My U m. Expires May 16, 2024
•L a of
OPTIONAL INFORMATION
,although the information in this section is not required by lan', it could prevent fraudulent removal and reattachment of
this acknowledgment to an unauthorized document and may prove useful to persons retying on file attached obcurnent.
Description of Attached Document
The preceding Certificate of Acknowledgment is attached to a
document titled/for the purpose of ..Corrected Original
Performance Bond No. UCSX372X4787
containing 2 pages, and dated March 14, 2022
The signer(s) capacity or authority is/are as:
❑ Individual(s)
❑ Attorney -in -fact
❑ Corporate Officer(s)
Title(s)
❑ Guardian/Conservator
❑ Partner - Limited/General
❑ Trustee(s)
❑ Other:
representing: United Sure Insurance Company
Mr me(s) of P--- rson(s) rntity(ies) Signer is Representing
i
Method of Signer Identification
Proved to me on the basis of satisfactory evidence:
❑ form(s) of identification ❑ credible witness(es)
Notarial event is detailed in notary journal on:
Page # Entry #
Notary contact:
Other
❑ Additional Signer ❑ Signer(s) Thumbprints(s)
0
_e •...,,., TL, ., I.I �.fn„�c Clnrr� r�nni
D 2009-2015 Notary Learning Center - All Rights Kesel vea r ou can pul I -I r. :: a uo ", ....,,., .....• ..•.
UNITED CASUALTY AND SURETY INSURANCE COMPANY
US Casualty and Surety Insurance Company
United Surety Insurance Company
POWER OF ATTORNEY
Agency No. 171372
KNOW ALL MEN BY THESE PRESENTS: That United Casualty and Surety Insurance Company, a corporation of the State of Nebraska, and US Casualty and Surety
Insurance Company and United Surety Insurance Company, assumed names of United Casualty and Surety Insurance Company (collectively, the Companies), do by
these presents make, constitute and appoint:
Kelly A. Specht, Kandis Gregory, Richard P. Ford, Thomas C. Buckner, Michael Herranen, Bethany Mercer, William Belpedio
its true and lawful Attorney(s)-in-Fact, each in theirseparate capacity if more than one is named above, with full power and authority hereby conferred in its name,
place and stead, to execute, acknowledge and deliver any and all bonds, recognizances, undertakings or other instruments or contracts ofsuretyship to include riders,
amendments, and consents of surety. This Power of Attorney shall expire without further action on December 31', 2023.
This Power of Attorney is granted under and by authority of the following resolutions adopted by the Board of Directors of the Companies at a meeting duly called
and held on the 1" day of July, 1993:
Resolved that the President, Treasurer, or Secretary be and they are hereby authorized and empowered to appoint Attorneys -in -Fact of the Company, in its name and as
its acts to execute and acknowledge for and on its behalf as Surety any and all bonds, recognizances, contracts of indemnity, waivers of citation and all other writings
obligatory in the nature thereof, with power to attach thereto the seal of the Company. Any such writings so executed by such Attorneys -in -Fact shall be binding
upon the Company as ifthey had been duly executed and acknowledged by the regularly elected Officers of the Company in their own proper persons
That the signature of any officer authorized by Resolutions of this Board and the Company seal maybe affixed by facsimile to any power of attorney or special power of
attorney or certification of either given for the execution of any bond, undertaking, recognizance or otherwritten obligation in the nature thereof; such signature and seal,
when soused being hereby adopted by the Company as the original signature of such officer and the original seal of the Company, to be valid and binding upon the
Company with the same force and effect as though manually affixed.
IN WITNESS WHEREOF, the Companies have caused this instrument to be signed and their corporate seals to be hereunto affixed, this 15th day of February, 2021.
q,SYlAg rr '•. ;•'SURETY :� 1W5�
- cN'°wy _ ee•oxn, .'r-: -a: rP"'0`wr :ox
-.`a ySFAL
Corporate Seals
Commonwealth of Massachusetts
County of Suffolk ss:
UNITED CASUALTY AND SURETY INSURANCE COMPANY
US Casualty and Surety Insurance Company
United Surety Insurance Company
el R. Chachkes, Treasurer
On this 15th day of February, 2021, before me, Thomas R Carrigan, Jr., a notary public, personally appeared Joel R. Chachkes, Treasurer of United Casualty and Surety
Insurance Company, US Casualty and Surety Insurance Company and United Surety Insurance Company, who proved to me on the basis of satisfactory evidence to be
the person whose name is subscribed to the within instrument and acknowledged to me that he executed the same in his authorized capacity, and that by his
signature on the instrument the person(s), or the entity on behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the Commonwealth of Massachusetts that the foregoing paragraph is true and correct.
WITNESS my hand and seal. ------�
THOMAS P. CARMAN, A.
r (Seal) r ' Notary Pubk COmm01MMe* of M8SS8d laft
Thomas P. Carrigan, Jr., Notary Publ c Commission Expires: 10/31/2025 My Commission Expires October 31, 2025
I, Robert F. Thomas, Chief Operating Officer of United Casualty and Surety Insurance Company, US Casualty and Surety Insurance Company and United Surety
Insurance Company do hereby certify that the above and foregoing is a true and correct copy of a Power of Attorney, executed by said Companies, which is still in full
force and effect; furthermore, the resolutions of the Board of Directors, set out in the Power of Attorney are in full force and effect.
In Witness Whereof, I have hereunto set my hand and affixed the seals of said Companies at Boston, Massachusetts this 5th day of
July . 2022
p iuwri� 00- u�u
Corporate Seals'.
,vim• ) Fr$ ,r:"'.,, @'t �•
E7� SEAL ; SEAL ? 4&�
SEAL' • .
Robert F. Thomas, Chief Operating Officer
TO CONFIRM AUTHENTICITY OF THIS BOND OR DOCUMENT EMAIL: CONFIRMBOND@UNITEDCASUALTY.COM
City of La Quinta
CITY COUNCIL MEETING: May 3, 2022
STAFF REPORT
AGENDA TITLE: APPROVE ASSIGNMENT AND ASSUMPTION AGREEMENT
AND AMENDMENT TO SUBDIVISION IMPROVEMENT AGREEMENT FOR TRACT
MAP NO. 29283, RANCHO LA QUINTA, A RESIDENTIAL DEVELOPMENT
LOCATED NORTH OF AVENUE 50 AND EAST OF MOON RIVER DRIVE
RECOMMENDATION
Approve Assignment and Assumption Agreement and Amendment to
Subdivision Improvement Agreement for Tract Map No. 29283, Rancho La
Quinta, and authorize the City Manager to execute said agreement
EXECUTIVE SUMMARY
•Tract Map No. 29283 is a residential development located north of
Avenue 50 and east of Moon River Drive (Attachment 1).
•T.D. Desert Development Limited Partnership has sold its interest in this
tract to Master Association for Rancho La Quinta (Assignee) and desires
to assign the subdivision improvement obligation for 50% of the traffic
signal at Avenue 50 and Orchard Lane to the Assignee.
•Assignee requests approval of Assignment and Assumption Agreement
and Amendment to Subdivision Improvement Agreement (Agreement)
for Tract Map No. 29283, Rancho La Quinta.
FISCAL IMPACT
There is no fiscal impact to the City. Assignee will be submitting a replacement
security for 50% of the traffic signal at Avenue 50 and Orchard Lane.
BACKGROUND/ANALYSIS
In September 2000, T.D. Desert Development Limited Partnership entered
into a Subdivision Improvement Agreement for Tract Map No. 29283. All
improvements conditioned for this tract have been constructed except for the
traffic signal at Avenue 50 and Orchard Lane. T.D. Desert Development
Limited Partnership has sold its interest in this tract to Assignee. The City will
release T.D. Desert Development Limited Partnership’s security for the traffic
signal upon executing the Agreement (Attachment 2) and receipt of the
replacement security from Assignee.
CONSENT CALENDAR ITEM NO. 7
51
ALTERNATIVES
Staff does not recommend an alternative.
Prepared by: Amy Yu, Associate Engineer
Approved by: Bryan McKinney, P.E., Public Works Director / City Engineer
Attachments: 1. Vicinity Map
2. Assignment and Assumption Agreement and Amendment
to Subdivision Improvement Agreement
52
V I C I N I T Y M A P
NOT TO SCALE
TRACT MAP NO. 29283
ORCHARD LN
ATTACHMENT 1
53