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ORD 617 Travertine DA 2021-0001ORDINANCE NO. 617 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, APPROVING A DEVELOPMENT AGREEMENT BY AND BETWEEN THE CITY OF LA QUINTA AND TRAVERTINE CORPORATION LLC RELATING TO THE TRAVERTINE PROJECT AND FINDING THAT THE PROJECT IS CONSISTENT WITH ENVIRONMENTAL ASSESSMENT 2017-0008 CASE NUMBER: DEVELOPMENT AGREEMENT 2021-0001 PROJECT: TRAVERTINE APPLICANT: TRAVERTINE CORPORATION WHEREAS, the City Council of the City of La Quinta, California did, on August 6, 2024, hold a duly noticed Public Hearing to consider a request by TRG Land, Inc. for approval of General Plan Amendment 2017-0002, Zone Change 2017-0002, Specific Plan 2017-0004, Tentative Tract Map 2017-0008 (TTM 37387) and Development Agreement 2021-0001, for the Travertine project, master -planned community on 855 acres located south of Avenue 60, north of Avenue 64, and west of Madison Street, more particularly described as: Assessor Parcel Numbers (APNs): 766-110-003, 766-110-004, 766-110-007, 766-110-009; 766-120-001, 766-120-002, 766-120-003, 766-120-006, 766-120-015, 766-120-016, 766-120-018, 766-120-021, 766-120-023; 753-040-014, 753-040-016, 753-040-017; 753-050-007, 753-050-029; 753-060-003; 764-280-057, 764-280-059, 754-280-061; and WHEREAS, the General Plan Amendment, Specific Plan Amendment and Tentative Tract Map were adopted by Council Resolution No. 2024-034, and the Zone Change is being adopted by separate ordinance in accordance with state law; and WHEREAS, California Government Code Section 65864 et seq. (the "Development Agreement Law") authorizes cities to enter into binding development agreements with persons having a legal or equitable interest in real property for the development of such property, all for the purpose of strengthening the public planning process, encouraging private participation and comprehensive planning, and identifying the economic costs of such development; and WHEREAS, the Design and Development Department published a public hearing notice in The Desert Sun newspaper on July 17, 2024 as prescribed by the Municipal Code. Public hearing notices were also mailed to all property owners within 1,000 feet of the site, and emailed or mailed to all interested parties who have requested notification relating to the project; and Ordinance No. 617 Development Agreement 2021-0001 Project: Travertine Adopted: September 17, 2024 Page 2 of 4 WHEREAS, the Planning Commission of the City of La Quinta, California did adopt Planning Commission Resolution 2024-009 recommending City Council approval of the Development Agreement at a duly noticed Public Hearing on June 25, 2024; and WHEREAS, said Development Agreement has complied with the requirements of "The Rules to Implement the California Environmental Quality Act of 1970" (CEQA) as amended (Resolution 1983-68). The City prepared an Environmental Impact Report (SCH #2018011023) for Environmental Assessment 2017-0008. The City Council has adopted Resolution 2024-033 certifying the Environmental Impact Report and making Findings to determine that the benefits of the proposed project outweigh the significant impacts associated with air quality, greenhouse gas emissions, and transportation, and adopted a Statement of Overriding Considerations as Exhibit A of said Resolution, detailing the findings in support of this determination; and WHEREAS, at said Public Hearing, upon hearing and considering all testimony and arguments, if any, of all interested persons desiring to be heard, said City Council did make the following mandatory findings pursuant to Section 9.250.020 of the La Quinta Municipal Code to justify approval of said Development Agreement, included to this Ordinance as Exhibit A, and incorporated herewith by this reference: 1. The Development Agreement is consistent with the objectives, policies, general land uses, and programs specified in the General Plan and the proposed Specific Plan. 2. The Development Agreement is compatible with the uses authorized in and the regulations prescribed in the proposed Specific Plan and implements the Specific Plan's design features. 3. The Development Agreement is in conformity with the public necessity, public convenience, general welfare, and good land use practices because it will provide for public facilities and improvements that will benefit the project and the surrounding area. 4. The Development Agreement will not be detrimental to the health, safety, and general welfare, as it provides for the long-term orderly development of a master planned community. 5. The Development Agreement will not adversely affect the orderly development of property or the preservation of property values insofar as it will ensure that development occurring on the site will assure high quality development and generate revenues. 6. The Development Agreement will have a positive fiscal impact on the city by providing residences which will generate property tax revenue and by allowing Tourist Commercial uses and short-term vacation rentals which will generate Transient Occupancy Tax and Sales Tax revenues. Ordinance No. 617 Development Agreement 2021-0001 Project: Travertine Adopted: September 17, 2024 Page 3 of 4 NOW, THEREFORE, the City Council of the City of La Quinta does ordain as follows: SECTION 1. FINDINGS AND APPROVAL: That the above recitations are true and constitute the Findings of the City Council in this case, and that the City Council hereby approves and incorporates herein by this reference Development Agreement 2021-0001 by the adoption of this Ordinance and authorizes the City Manager to execute the same in substantially the form presented to the City Council with the adoption of this Ordinance. SECTION 2. EFFECTIVE DATE: This Ordinance shall be in full force and effect thirty (30) days after its adoption. SECTION 3. POSTING: The City Clerk shall, within 15 days after passage of this Ordinance, cause it to be posted in at least three public places designated by resolution of the City Council, shall certify to the adoption and posting of this Ordinance, and shall cause this Ordinance and its certification, together with proof of posting to be entered into the permanent record of Ordinances of the City of La Quinta. SECTION 4. CORRECTIVE AMENDMENTS: The City Council does hereby grant the City Clerk the ability to make minor amendments and corrections of typographical or clerical errors to this Ordinance to ensure consistency of all approved text amendments prior to the publication in the La Quinta Municipal Code. SECTION 5. SEVERABILITY: If any section, subsection, subdivision, sentence, clause, phrase, or portion of this Ordinance is, for any reason, held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council hereby declares that it would have adopted this Ordinance and each and every section, subsection, subdivision, sentence, clause, phrase, or portion thereof, irrespective of the fact that any one or more section, subsections, subdivisions, sentences, clauses, phrases, or portions thereof be declared unconstitutional. PASSED, APPROVED, and ADOPTED at a regular meeting of the City of La Quinta City Council, held on September 17, 2024, by the following vote: AYES: Councilmembers Fitzpatrick, McGarrey, Pena, Sanchez, and Mayor Evans NOES: None ABSENT: None ABSTAIN: None Ordinance No. 617 Development Agreement 2021-0001 Project: Travertine Adopted: September 17, 2024 Page 4 of 4 ATTEST: - At 64 MONIKA RA EVA,'Qiy Clerk City of La Quinta, California APPROVED AS TO FORM: vVLA •� WILLIAM H. IHRKE, City Attorney City of La Quinta, California C LINDA EVANS, Mayor City of La Quinta, California STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE) ss. CITY OF LA QUINTA ) I, MONIKA RADEVA, City Clerk of the City of La Quinta, California, do hereby certify the foregoing to be a full, true, and correct copy of Ordinance No. 617 which was introduced at a regular meeting on the 6th day of August 2024, and was adopted at a regular meeting held on the 17th day of September 2024, not being less than 5 days after the date of introduction thereof. I further certify that the foregoing Ordinance was posted in three places within the City of La Quinta as specified in the Rules of Procedure adopted by Council Resolution No. 2022-27. MONIKA RADEV , City Clerk City of La Quinta, California DECLARATION OF POSTING I, MONIKA RADEVA, City Clerk of the City of La Quinta, California, do hereby certify that the foregoing ordinance was posted on the 18th day of September, 2024, pursuant to Council Resolution No. 2022-027. MONIKA RADEVA,(City Clerk City of La Quinta, California RECORDING REQUESTED BY AND WHEN RECORDED RETURN TO: City of La Quinta 78-495 Calle Tampico La Quinta, California 92253 Attn: City Clerk WITH A CONFORMED COPY TO: Travertine Corporation c/o Hofmann Land Development Company, LLC 3000 Oak Rd, Suite 600 Walnut Creek, CA 94597 Attn: Lou Miramontes Exempt Recording Requested Per Govt. Code 6103 62779493.v7 DOC # 2024-0314328 10/18/2024 11:13 AM Fees: $814.00 Page 1 of 178 Recorded in Official Records County of Riverside Peter Aldana Assessor -County Clerk -Recorder "This document was electronically submitted to the County of Riverside for recording— Receipted by: SOOSAN #785 (Space Above This Line for Recorder's Use) TRAVERTINE DEVELOPMENT AGREEMENT BETWEEN THE CITY OF LA QUINTA and TABLE OF CONTENTS DOC #2024-0314328 Page 2 of 178 Page 1. DEFINITIONS AND EXHIBITS...................................................................................... 3 1.1 Definitions..............................................................................................................3 1.2 Exhibits................................................................................................................11 2. MUTUAL BENEFITS AND ASSURANCES................................................................ 11 2.1 Purposes of Agreement........................................................................................ 11 2.2 Undertakings and Assurances Contemplated and Promoted by Development Agreement Act.............................................................................. 12 3. OWNER'S OBLIGATIONS; FINANCING DISTRICTS; PUBLIC FACILITIES....... 13 3.1 In General............................................................................................................. 13 3.2 Financing District and Parameters....................................................................... 13 3.3 Dedication, Construction and Conveyance of Public Facilities ........................... 14 3.4 Provision of Real Property Interests by CITY ..................................................... 14 3.5 Fees and Payments............................................................................................... 15 3.6 Reimbursement of Costs...................................................................................... 15 3.7 Additional Facilities Financed by the Financing District .................................... 15 3.8 Notice to CITY of Product Sales Release............................................................ 15 3.9 Employment of La Quinta Residents and the Hiring of Local Businesses.......... 15 4. REGULATIONS GOVERNING THE DEVELOPMENT OF THE PROPERTY......... 16 4.1 Applicable Rules.................................................................................................. 16 4.2 Development of the Project, Planned Development ............................................ 19 4.3 Limitations, Reservations and Exceptions........................................................... 20 4.4 Further Assurances to OWNER Regarding Exercise of Reservations of Authority.............................................................................................................. 22 4.5 Regulation by other Public Agencies................................................................... 23 5. PERIODIC REVIEWS.................................................................................................... 23 5.1 Annual Review..................................................................................................... 23 5.2 Standards for Annual Review.............................................................................. 23 5.3 Certificate of Compliance.................................................................................... 23 6. SHORT-TERM VACATION RENTALS/TRANSIENT OCCUPANCY TAXES........ 23 6.1 Definition.............................................................................................................24 6.2 Short -Term Vacation Rental Use......................................................................... 24 i 62779493.0 DOC #2024-0314328 Page 3 of 178 62779493.0 6.3 Provisions of the La Quinta Municipal Code ...................................................... 25 6.4 Covenants, Conditions and Restrictions.............................................................. 25 7. TRANSFERS AND ASSIGNMENTS; TERMINATION UPON LOT SALE ............... 26 7.1 Transfer and Assignments of Rights and Interests .............................................. 26 7.2 Termination of Agreement Upon Sale of Lots to Public ..................................... 28 8. TERM OF AGREEMENT............................................................................................... 29 8.1 Term.....................................................................................................................29 8.2 Rights and Duties Following Termination........................................................... 29 9. AMENDMENT OR MODIFICATION TO THIS AGREEMENT ................................. 30 10. PROCESSING OF REQUESTS AND APPLICATIONS ............................................... 31 11. DEFAULT, REMEDIES AND ESTOPPEL CERTIFICATES ...................................... 31 11.1 Remedies in General............................................................................................ 31. 11.2 Termination of Agreement for Default by OWNER ........................................... 32 11.3 Termination of Agreement for Default by CITY ................................................. 32 11.4 Termination by OWNER Prior to Bond Sale ...................................................... 32 11.5 Specific Performance........................................................................................... 33 11.6 Appointment of Referee....................................................................................... 34 11.7 Estoppel Certificates............................................................................................ 34 12. THIRD PARTY LITIGATION....................................................................................... 35 12.1 Indemnification.................................................................................................... 35 12.2 Option to Terminate............................................................................................. 35 12.3 Defense of Third -Party Claims............................................................................ 36 12.4 Cooperation and Cost Control............................................................................. 36 12.5 No Recourse for Inability to Perform Due to Judicial Determinations ............... 37 13. EFFECT OF AGREEMENT ON TITLE........................................................................ 37 13.1 Covenants Run With the Land............................................................................. 37 13.2 No Dedication or Lien......................................................................................... 38 13.3 Constructive Notice and Acceptance................................................................... 38 14. MORTGAGEE PROTECTION; CERTAIN RIGHTS OF CURE .................................. 38 14.1 Mortgagee Protection........................................................................................... 38 14.2 Mortgagee Not Obligated.................................................................................... 38 14.3 Notice of Default to Mortgagee; Right of Mortgagee to Cure ............................. 39 14.4 Bankruptcy...........................................................................................................39 62779493.0 DOC #2024-0314328 Page 4 of 178 15. MISCELLANEOUS PROVISIONS................................................................................ 39 15.1 Recordation of Agreement................................................................................... 39 15.2 Severability..........................................................................................................39 15.3 Governing Law; Venue ............................... ......................................................... 39 15.4 Section Headings................................................................................................. 40 15.5 Singular and Plural............................................................................................... 40 15.6 Time of Essence................................................................................................... 40 15.7 Waiver..................................................................................................................40 15.8 Force Majeure...................................................................................................... 40 15.9 Attorneys' Fees.................................................................................................... 40 15.10 Mutual Covenants................................................................................................ 41 15.11 Conveyances........................................................................................................41 15.12 Relationship of Parties......................................................................................... 41 15.13 Notices.................................................................................................................41 15.14 Further Actions and Instruments.......................................................................... 42 15.15 Successors and Assigns........................................................................................ 42 15.16 Counterparts.........................................................................................................42 15.17 Authority to Execute............................................................................................ 43 15.18 Entire Agreement................................................................................................. 43 62779493.0 DOC #2024-0314328 Page 5 of 178 DEVELOPMENT AGREEMENT (Govt. Code Sections 65864-65869.5) THIS DEVELOPMENT AGREEMENT ("Agreement") is entered into this 17th day of September, 2024, by and between the City of La Quinta, a California municipal corporation and charter city organized under the Constitution of the State of California ("CITY"), and Travertine Corporation, LLC, a Minnesota company ("OWNER"). CITY and OWNER are collectively referred to herein as the "Parties" and individually as a "Party." RECITALS This Agreement is entered into based upon the following facts: A. When used in these Recitals, each of the terms defined in Section 1 of this Agreement shall have the meaning given to it therein. B. Government Code Sections 65864-65869.5 ("Development Agreement Act") authorize CITY to enter into binding development agreements with persons having legal or equitable interests in real property within its jurisdiction for the development of such real property, in order to, among other things: encourage and, provide for the development of public facilities in connection with the development of new housing; provide certainty in the approval of development projects; encourage investment in and commitment to comprehensive planning that will make maximum efficient utilization of resources at the least economic cost to the public; provide assurance to developers that they may proceed with their projects in accordance with existing policies, rules and regulations, subject to their conditions of approval; and strengthen the public planning process and encourage private participation in comprehensive planning and reduce the economic costs of development. C. Pursuant to Section 65865 of the Government Code, City has adopted its Development Agreement Ordinance (La Quinta Municipal Code Section 9.250.020, as may be amended from time to time) establishing procedures and requirements for such development agreements ("Development Agreement Ordinance"). D. OWNER is the holder of a legal interest in that certain undeveloped land as more particularly described in Exhibit A attached hereto and incorporated herein by this reference (the "Property") and shown on the depiction of the Property in the site map attached hereto and incorporated herein by this reference as Exhibit B ("Site Map"); and desires and intends to develop the Property for the uses and purposes set forth in the Development Plan, generally consisting of a planned community of residential, hospitality, open space, recreational amenities and other resident and visitor serving uses comprised generally of approximately 855 acres, up to 1,200 dwelling units, a 100 room resort and wellness spa, golf and associated recreational and commercial elements, private recreational areas in subdivided areas of the Project, approximately 55.9 acres of recreational open space, and approximately 301.2 acres of natural and preserved open space (collectively, the "Project"). The Project is more fully described in, and subject to (i) this Agreement, (ii) the Travertine Specific Plan, also known as Specific Plan No. SP2017-0004 ("Specific Plan"); (iii) the Environmental Impact Report prepared for the Project, considered and certified by the City Council and the Mitigation, Monitoring and Reporting Program adopted by the City Council on August 6, 2024,_by City Council Resolution No. 2024-033 (`BIR"); (iv) General Plan Amendment No. GPA 2017- 0002 ("General Plan Amendment" or "GPA"); (v) Zone Change No. ZC 2017-0002 ("Zone Change"); (vi) Tentative Tract Map No. TTM 2017-0008 ("Tentative Tract Map" or "TTM," and, collectively, the foregoing clauses (i) -(vi) and any and all conditions of approval attached thereto are referred to herein as the "Project Site Development Permits"); and (vii) any Subsequent Development Approvals issued for the Project; (viii) any future subdivision maps approved for the Project (collectively, the "Future Tract Maps"); and (ix) 62779493.x7 DOC #2024-0314328 Page 6 of 178 the conditions of approval associated with each and all of the foregoing approvals in clauses (i) - (viii) (collectively, referred to herein as "Conditions of Approval"). The documents, permits, approvals, and conditions described in the foregoing clauses (i) -(ix) are collectively referred to herein as the "Project Approvals," and are, or when approved or issued shall be, on file with the City Clerk. The Development of the Property requires substantial early and major capital expenditures and investments with respect to the construction and installation of major infrastructure and facilities, both on-site and off-site, of sufficient capacity to serve the residents and others using the Property as anticipated by the General Plan, the Specific Plan and this Agreement. E. OWNER owns fee simple title to the Property, and by their execution of this Agreement, CITY and OWNER consent to recordation of this Agreement against the Property. F. Consistent with Section 9.250.020 of the La Quinta Municipal Code, CITY and OWNER desire to enter into a binding agreement that shall be construed as a development agreement within the meaning of the Development Agreement Act. This Agreement will eliminate uncertainty in planning for, and will secure the orderly development of, the Property, ensure a desirable and functional community environment, provide effective and efficient development of public facilities, infrastructure, and services appropriate for the development of the Property, and assure attainment of the maximum effective utilization of resources within the CITY, by achieving the goals and purposes of the Development Agreement Act. In exchange for these benefits to CITY, OWNER desires to receive the assurance that it may proceed with Development of the Property in accordance with the terms and conditions of this Agreement and the Project Approvals, all as more particularly set forth herein. G. In anticipation of the Development of the Property, OWNER has made application to CITY for certain approvals, entitlements, findings and permits required for the Development Plan, including as noted above in Recital D above, an amendment to CITY's general plan in effect prior to the date of this Agreement, a specific plan, zone change, a vesting tentative tract map, and this Agreement. H. In accordance with State law and CITY charter, CITY has approved the amendment to and adopted the General Plan which considers and provides for the need for residential, commercial, industrial and other uses, and provides for the public services and circulation facilities that are necessary to meet the future needs of CITY and its population. I. CITY has approved the Project and granted the Project Site Development Permits in order to protect the interests of City's existing and anticipated citizens and the quality of their community and environment through the specific plan process. As part of the process of approving the Project and the Project Site Development Permits, CITY has undertaken, pursuant to the California Environmental Quality Act ("CEQA"), the required analyses of the environmental effects which may be caused by the Project and the Existing Development Approvals, and after making all appropriate findings and adopting a Statement of Overriding Considerations, certified a Final Environmental Impact Report for the Project. J. As consideration for the assurances provided by this Agreement, CITY has requested that OWNER provide, and OWNER is willing to provide, various public benefits as described in Exhibit D of this Agreement. The public benefits set forth in Exhibit D include, but are not limited to, certain additional fee contributions and construction of certain public facilities that will benefit residents of CITY as well as future residents of the Property. CITY has determined that the public benefits for which OWNER is obligated, together with the Project Approvals approved and imposed by CITY on the Project, adequately provide for the health, safety, and welfare needs of the future residents of the Property subject to the provisions of this Agreement with respect to future monitoring programs. 2 62779493.0 DOC #2024-0314328 Page 7 of 178 K. On May 28, 2024, and continued to June 25, 2024, pursuant to the requirements of the Development Agreement Act and City's Development Agreement Ordinance, the CITY's Planning Commission conducted a duly noticed public hearing on OWNER'S application for this Agreement. L On August 6, 2024, pursuant to the requirements of the Development Agreement Act and City's Development Agreement Ordinance, the City Council of CITY conducted a duly noticed public hearing on OWNER'S application for this Agreement. M. The City Council of CITY has found and determined that this Agreement: (1) is consistent with CITY's General Plan and the Specific Plan; (2) is in the best interests of the health, safety and general welfare of CITY, its residents and the public; (3) is entered into pursuant to and constitutes a present exercise of the police power by CITY; and (4) is entered into pursuant to and in compliance with the requirements of the Development Agreement Act and City's Development Agreement Ordinance. N. All actions taken by CITY have been duly taken in accordance with all applicable legal requirements, including CEQA, and all other requirements for notice, public hearings, findings, votes and other procedural matters. O. In accordance with the Development Agreement Act and City's Development Agreement Ordinance, the City Council has adopted Ordinance No. 617, finding this Agreement consistent with the General Plan and the Specific Plan and authorizing the execution of this Agreement, and such ordinance shall become effective on October 17, 2024. P. The Parties desire to enter this Agreement regarding the development and use of the Property and intend that this Agreement be considered a Development Agreement as authorized by the Development Agreement Act. /dei i pu pla Y NOW, THEREFORE, based upon the foregoing Recitals, which are incorporated herein by this reference, the mutual covenants contained herein and other consideration, the value and adequacy of which are hereby acknowledged, the Parties agree as follows: 1. DEFINITIONS AND EXHIBITS. 1.1 Definitions. In addition to capitalized words and phrases elsewhere in this Agreement, the following capitalized words and phrases when used in this Agreement and the Exhibits attached hereto shall be defined as follows: 1.1.1 "Agreement" means this Development Agreement and all amendments and modifications thereto between CITY and OWNER. 1.1.2 "Annual Review" means the annual review required pursuant to Section 5 below. 1.1.3 "Applicable Rules" means the rules, regulations, resolutions, ordinances, design, improvement, and construction standards and specifications, and officially adopted policies of the City of La Quinta in full force and effect as of the Effective Date of this Agreement implementing the Existing Land Use Regulations, including the City's General Plan (and General Plan Amendment), Zoning Ordinance (as amended by the Zone Change), and the 3 62779493.0 DOC #2024-0314328 Page 8 of 178 Specific Plan. Additionally, notwithstanding the language of this Section or any other language in this Agreement, all specifications, standards and policies regarding the design and construction of public works facilities, if any, shall be those that are in effect at the time the Project plans are being processed for approval and/or under construction specified in Section 4.1 of this Agreement. 1.1.4 "Assignment and Assumption Agreement" means an agreement under which an assignment of OWNER'S rights and obligations under this Agreement are transferred to another person or entity as specified in Section 7. 1.1.5 "Bonds" means the bonds, notes or other evidence of indebtedness issued by or for the Financing District. 1.1.6 "Building and Improvement Standards" means regulations of CITY that are of general application and which establish regulations and standards for the building, construction and installation of structures and associated improvements such as and including, without limitation, CITY's building, plumbing, mechanical, electrical, grading, swimming pool, sign and fire codes. 1.1.7 "CC&Rs" means the Declaration of Conditions, Covenants, and Restrictions described in Section 4.2 below. 1.1.8 "CE A" means the California Environmental Quality Act, Sections 21000 through 21178 of the Public Resources Code, and the State CEQA Guidelines developed by the Office of Planning and Research and promulgated thereto (as may be amended from time to time). 1.1.9 "CFD" means a community facilities district formed pursuant to the Mello -Roos Community Facilities Act of 1982 (Government Code Section 53311 et seq. as may be amended from time to time). 1.1.10 "CFD Policy" means the Policy for Formation of Land Based Financing Districts adopted by the City (as may be amended from time to time), except to the extent any provision in any amendment to the CFD Policy directly conflicts with the rights vested under this Agreement to form and administer a CFD(s). 1.1.11 "CITY" and "City" means the geographical area within the boundaries of the City of La Quinta, a Charter law city and municipal corporation incorporated under the laws of the State of California, including each and every agency, department, board, commission, authority, employee, and/or official acting under the authority of the City, including without limitation the City Council and the Planning Commission. Unless otherwise specified herein or required by applicable law, any approval by City means an approval by the City Manager. 1.1.12 "City Attorney" means the City Attorney of CITY. 1.1.13 "City Clerk" means the City Clerk of CITY. 1.1.14 "City Council" means the City Council of CITY. 1.1.15 "City Manager" means the City Manager (or authorized designee) of CITY. 1.1.16 "Conditions of Approval" shall have the meaning set forth in Recital D of this Agreement. The Conditions of Approval include the Conditions of Approval for Project Site Development Permits. 4 62779493.x7 DOC #2024-0314328 Page 9 of 178 1.1.17 "Conditions of Approval for Project Site Development Permits" means the conditions of approval attached to the Project Site Development Permits as described in Recital D. 1.1.1.8 "CVWD" means the Coachella Valley Water District, a public water agency, formed and operating pursuant to State law. 1.1.19 "Davis -Stirling Act" means the Davis -Stirling Common Interest Development Act in California Civil Code Section 4000 et seq. (as may be amended from time to time). 1.1.20 "Developer" has the same meaning as OWNER as defined in this Agreement. 1.1.21 "Development" means the improvement of the Property for purposes of effecting the structures, improvements and facilities comprising the Project, including without limitation: grading and construction of infrastructure and Public Facilities related to the Project (whether located within or outside the Property); construction of structures and buildings; and installation of landscaping. "Development" shall not include the maintenance, repair, reconstruction or redevelopment of any structures, improvements or facilities after completion of the initial construction thereof. 1.1.22 "Development Agreement Act" means Sections 65864 through 65869.5 of the California Government Code (as may be amended from time to time). 1.1.23 "Development Agreement Ordinance" shall have the meaning set forth in Recital C of this Agreement. 1.1.24 "Development Approval(s)" means, in general, site specific plans, maps, permits and other entitlements, whether discretionarily or ministerially issued, by the City for the use of and in connection with development and use of any real property located within the City, including but not limited to: specific plans, zone changes, general plan amendments, environmental impact report certifications or other environmental review determination, tentative and final subdivision tract maps, vesting tentative maps, conditional use permits, and grading, building, occupancy, and other similar permits. 1.1.25 "Development Exactions" means the requirements of CITY in connection with or pursuant to any Land Use Regulations or Development Approvals for the dedication of land or property for public use, the payment of fees or money in -lieu of such a dedication, or the construction or improvement of public facilities in order to lessen, offset, mitigate or compensate for the adverse impacts of the Project on environmental or other public concerns or interests or for the improvement, construction or acquisition of any public infrastructure, facilities or property. The term shall not include Processing Fees, Impact Fees, or assessments and taxes. 1.1.26 "Development Impact Fees" means any and all fees imposed and authorized pursuant to the Mitigation Fee Act, Section 66000 et seq. of the California Government Code, and any and all CITY ordinances, resolutions, and policies implementing the same, including but not limited to the La Quinta Municipal Code (all as may be amended from time to time). 1.1.27 "Development Plan" means the Specific Plan. 5 62779493.v7 DOC #2024-0314328 Page 10 of 178 1.1.28 "Discretionary Action" means an action which allows for the exercise of judgment, deliberation or a decision on the part of City, including any board, commission, committee, or department or any officer or employee thereof, to shape the project by requiring modifications which could respond to any of the concerns which might be identified by environmental review in the process of approving or disapproving a particular activity, as distinguished from an activity which merely requires City, including any board, commission or department or any officer or employee thereof, to determine whether there has been compliance with statutes, ordinances, regulations, or other fixed standards and the agency has no discretionary authority to deny or shape the project. 1.1.29 "Discretionary Permits" means any permits, approvals, plans, Future Tract Maps, inspections, certificates, documents, and licenses that require a Discretionary Action, including, without limitation,. site development permits, grading permits, stockpile permits, and encroachment permits. 1.1.30 "Economic Expectations" means the reasonable, investment - based economic expectations with respect to the completion of the Project in accordance with the Applicable Rules and Project Site Development Permits, taking into consideration technical, financing, market and other factors. 1.1.31 "Effective Date" means the date that this Agreement is recorded in the Official Records of Riverside County, California. 1.1.32 `BIR" means the Final Environmental Impact Report prepared for the Travertine Specific Plan, State Clearinghouse Number 2018011023 certified by City Council Resolution No. 2024-033 on August 6, 2024. 1.1.33 `Estoppel Certificate" means the certificate provided at the request of either Party as further defined and described in Section 11.7. 1.1.34 "Existing Development Approvals" means those certain Development Approvals defined as the Project Site Development Permits but excluding this Agreement (i.e., clauses (ii) through (vi) in Recital D of this Agreement), which are applicable to the Property in effect on the Effective Date, listed as the "Existing Development Approvals" that are included as a part of the Existing Land Use Regulations listed on Exhibit C. 1.1.35 "Existing Land Use Regulations" means the Land Use Regulations in effect on the Effective Date of this Agreement, including: (a) the permitted uses of the Property, (b) the density and intensity of use, maximum height and setback requirements of proposed buildings, (c) provisions for the reservation and dedication of land for public purposes, (d) traffic study guidelines, (e) requirements for Development Exactions (excepting those subject to the City's Reserved Powers and Reservation of Authority), and (f) standards regarding buildings and improvements, a list of which is set forth on Exhibit C. A digital archive or binder containing the Existing Land Use Regulations in effect on the Effective Date shall be available to each Party on the Vesting Date and thenafter maintained by each Party for future reference. 1.1.36 "Financing District" or "District" means one or more CFDs, authorized pursuant to State law and approved by the City Council pursuant thereto, for purposes of financing and/or acquiring one or more public improvements, public facilities, public services or public facilities fees within the CITY. 1.1.37 "Future Tract Maps" shall have the meaning set forth in Recital D of this Agreement. 6 62779493.0 DOC #2024-0314328 Page 11 of 178 1.1.38 "General Plan" means the General Plan of CITY as said General Plan exists on the Effective Date of this Agreement (which includes the General Plan Amendment. 1.1.39 "General Plan Amendment" or "GPA" shall have the meaning set forth in Recital D of this Agreement. 1.1.40 "Impact Fees" means impact fees, linkage fees, exactions, assessments or fair share charges or other similar impact fees or charges imposed by the City on and in connection with new development, including Development Impact Fees and Quimby Fees. Notwithstanding anything herein to the contrary, none of the following shall constitute Impact Fees: (i) Processing Fees, (ii) impact fees, linkage fees, exactions, assessments or fair share charges or other similar fees or charges imposed by other governmental entities and which City is required to collect or assess pursuant to applicable law, including, without limitation, school district impact fees pursuant to Government Code Section 65995, fees required pursuant to the Coachella Valley Multiple Species Habitat Conservation Plan, and the Transportation Uniform Mitigation Fee, or (c) other City-wide fees or charges of general applicability, provided that such City-wide fees or charges are not imposed as an impact fee on new development. 1.1.41 "Insubstantial Modification" shall have the meaning set forth in Section 9(a) of this Agreement. 1.1.42 "Land Use Regulations" means, in general, any regulations or policies of CITY governing the permitted uses of land, density and intensity of use and the design, improvement, and construction standards and specifications applicable to the development and use of any real property located within the City, including, but not limited to, City's General Plan, Zoning Ordinance, Development Approvals, Development Exactions and all other ordinances, resolutions, rules and regulations adopted or utilized by CITY for the processing of development projects. The term Land Use Regulations does not include, however, regulations relating to the conduct of business, professions and occupations generally; taxes and assessments; regulations for the control and abatement of nuisances; encroachment and other permits and the conveyances of rights and interests that provide for the use of or entry upon public property; and, any exercise of the power of eminent domain. 1.1.43 "Ministerial Permits and Approvals" means the permits, approvals, plans, inspections, certificates, documents, licenses, and all other actions required to be taken by CITY in order for OWNER to implement, develop and construct the Project and the Mitigation Measures, including without limitation, building permits, foundation permits, and other similar permits and approvals which are required by the La Quinta Municipal Code and Project plans and other actions required by the Project Approvals to implement the Project and the Mitigation Measures. Ministerial Permits and Approvals shall not include any Discretionary Actions or Discretionary Permits. 1.1.44 "Mitigation Measures" means the mitigation measures described in the EIR and in the Mitigation Monitoring and Reporting Program and Project Design Features, approved and adopted for the Project. The Mitigation Monitoring and Reporting Program and Project Design Features are set forth in in Exhibit I attached hereto and incorporated herein by this reference. 1.1.45 "Mortgage" means a mortgage, deed of trust or sale and leaseback arrangement or other transaction in which the Property, or a portion thereof or an interest therein, is pledged as security, contracted for in good faith and for fair value. 1.1.46 "Mortgagee" means the holder of the beneficial interest under a Mortgage, or the owner of the property, or interest therein, subject to a Mortgage. 7 62779493.0 DOC #2024-0314328 Page 12 of 178 1.1.47 "New Laws" means amendments or modifications to the Applicable Rules, and all ordinances, resolutions, initiatives, regulations, rules, laws, plans, policies, and guidelines of the CITY and its City Council, Planning Commission, and all other CITY boards, commissions, departments, agencies, and committees enacted or adopted after the Effective Date. 1.1.48 "OWNER" and "Owner" means Travertine Corporation, a Minnesota company, and its successors and assigns. 1.1.49 "Owner's Obligations" means the obligations of OWNER to pay the sums, build and construct the improvements, dedicate the lands and improvements and undertake and perform the other actions described in Section 3 and the Description of Public Benefits described on Exhibit D. 1.1.50 "Parties" means collectively OWNER and CITY. Each shall be referred to in the singular as a "Party". 1.1.51 "Planning Commission" means the CITY Planning Commission and the planning agency of the CITY pursuant to California Government Code Section 65867. 1.1.52 "Potential Public Properties" means the properties listed on Exhibit F which OWNER shall reserve for purchase by CITY. 1.1.53 "Processing Fees" means all processing fees and charges required by City to cover the City's cost of processing permits and other land use entitlements and conducing the associated inspections, including, but not limited to, fees for filing land use applications, plan check fees, inspection fees, and other processing or administrative fees. Processing Fees shall not include Impact Fees. The amount of the Processing Fees to be applied in connection with the development of the Project shall be the amount which is in effect on a City- wide basis at the time an application for the City action is made. Notwithstanding the language of this Section or any other language in this Agreement, OWNER shall not be exempt from the payment of fees, if any, imposed on a City-wide basis as part of City's program for storm water pollution abatement mandated by the Federal Water Pollution Control Act of 1972 and subsequent amendments thereto, unless a waiver of these fees is provided by City in a subsequent agreement. 1.1.54 "Project" means the development project defined in Recital D of this Agreement and contemplated by the Development Plan with respect to the Property, including but not limited to on-site and off-site improvements, and as further defined, enhanced or modified pursuant to the provisions of this Agreement. 1.1.55 "Project Ap rop vats" shall have the meaning set forth in Recital D of this Agreement. 1.1.56 "Project Site Development Permits" shall have the meaning set forth in Recital D of this Agreement. 1.1.57 "Pro e " has the same meaning as set forth in Recital D and is further defined to mean those certain lands comprising approximately 855.4 acres of land within the boundaries of City, located southwest of Avenue 60, east, north and south of Avenue 62, and southwest of Madison Street, as more particularly described in Exhibit A and depicted on the Site Map in Exhibit B. 1.1.58 "Public Facilities" means those certain lands and facilities to be improved, constructed, and dedicated or conveyed to the public pursuant to Section 3.1, as 8 62779493.0 DOC #2024-0314328 Page 13 of 178 described in Exhibit D, including, but not limited to, utility, infrastructure and transportation improvements, as well as fees required to be paid to mitigate the impact on public services as a result of the development of the Project. 1.1.59 "Public Works" means certain improvements constructed by OWNER or under the direction of OWNER that are considered to be a public work requiring the payment of prevailing wages under Labor Code Sections 1720 et seq. (as may be amended from time to time). 1.1.60 "Recorder's Office" means the Office of Official Records for Riverside County, California. 1.1.61 "Reservations of Authority" means the rights and authority excepted from the assurances and rights provided to OWNER in Section 4.1 and reserved to CITY therein and in Section 4.3. 1.1.62 "Reserved Powers" means the rights and authority excepted from this Agreement's restrictions on City's police powers and which are instead reserved to City, its City Council, Planning Commission, and all other City boards, commissions, departments, agencies, and committees. The Reserved Powers include the powers to enact or adopt New Laws or take future Discretionary Actions after the Effective Date of this Agreement that may be in conflict with the Applicable Rules and Project Approvals, except such New Laws which would prevent, or materially impair OWNER's ability to develop the Project in accordance with the Project Approvals; provided, however, that with respect to such New Laws which would conflict with this Agreement or prevent, or materially impair OWNER's ability to develop the Project in accordance with the Project Approvals, such New Laws shall apply to the Project only if such New Laws are: (1) necessary to protect the public health and safety, and are generally applicable on a City-wide basis (except in the event of natural disasters as found by the City Council such as floods, earthquakes and similar acts of God, which shall apply even if not applicable on a City- wide basis); (2) amendments to Uniform Codes, as adopted by City, and/or the La Quinta Municipal Code, as applicable, regarding the construction, engineering and design standards for private and public improvements to be constructed on the Site; (3) amendments to the amounts for Impact Fees, Processing Fees, and the amounts for fees or money in -lieu of dedication of land or property that constitute Development Exactions; (4) required by a non -City governmental entity to be adopted by or applied by the City (or, if adoption is optional, the failure to adopt or apply such non -City law or regulation would cause the City to sustain a significant loss of funds or loss of access to significant funding or other resources), or (5) necessary to comply with state or federal laws and regulations (whether enacted previous or subsequent to the Effective Date of this Agreement). 1.1.63 "Roadway Capacity Utilization" means the extent to which Traffic Generation from the Project as contemplated by the Development Plan will utilize the capacity of existing and planned future roads, freeways, freeway ramps and intersections in the City and surrounding area as more fully described in Section 4.3(b). 1.1.64 "Schedule of Performance" means the schedule for the development and phasing plan for the Project as set forth in Exhibit H attached hereto and incorporated into this Agreement by this reference. 1.1.65 "Short -Term Vacation Rentals Regulations" means Chapter 3.25 (or successor chapter and as may be amended from time to time) of the La Quinta Municipal Code that governs the application, permitting, renewal, use, operation, penalties, and other provisions relating to short-term vacation rentals in the City, in effect at the time during the Term of this 9 62779493.0 DOC #2024-0314328 Page 14 of 178 Agreement, except to the extent any provision in Chapter 3.25 directly conflicts with the rights vested as set forth in Section 6 of this Agreement. 1.1.66 "Site" has the same meaning as "Property" as defined in this Agreement. 1.1.67 "Site Development Plan" shall have the meaning set forth in Section 9.180.020 of the La Quinta Municipal Code. 1.1.68 "Site Man" means the map of the Site and immediately adjacent properties, which is attached hereto as Exhibit B and incorporated herein by this reference. 1.1.69 "Specific Plan" shall have the meaning as set forth in Recital D of this Agreement. 1.1.70 "Statement of Overriding Considerations" shall mean the Statement of Overriding Conditions, adopted by the City pursuant to CEQA with the certification of the EIR. 1.1.71. "Subsequent Development Approval(s)' means any and all Development Approvals required or requested with respect to the Project following the Effective Date. 1.1.72 "Substantial Amendment(s)" shall have the meaning set forth in Section 9(b). 1.1.73 "Term" means the period of time for which the Agreement shall be effective in accordance with Section 8 of this Agreement. 1.1.74 "TOT" means Transient Occupancy Tax levied by the City, in accordance with Chapter 3.24 of the La Quinta Municipal Code (as may be amended from time to time) and applicable state law, and deposited into the City's general fund after remittance by all operators (or other entities or individuals) subject to the tax. 1.1.75 "Traffic Generation" means the future traffic that will be generated by the Project as contemplated by the Development Plan as more fully described in Section 4.3(b). 1.1.76 "Transferee" means individually or collectively, OWNER's successors in interest, assignees or transferees of all or any portion of the Site. 1.1.77 "Uniform Codes" means those building, electrical, mechanical, plumbing, fire and other similar regulations of a City-wide scope which are based on recommendations of a multi -state professional organization and become applicable throughout the City, such as, but not limited to, the Uniform Building Code, the Uniform Electrical Code, the Uniform Mechanical Code, Uniform Plumbing Code, or the Uniform Fire Code (including those amendments to the promulgated uniform codes which reflect local modification to implement the published recommendations of the multi -state organization and which are applicable City-wide). 1.1.78 "Vesting Date" means the date after (i) the Effective Date of this Agreement, and (ii) the date of the expiration of the running of the applicable statute of limitations and referendum petition deadlines to challenge the adoption of all of the Project Site Development Permits, with no legal challenge or petition having been filed or submitted, or if filed or submitted, successfully resolved to the satisfaction of Owner and City. The City shall have the right to deliver 10 62779493.v7 DOC #2024-0314328 Page 15 of 178 to the Parties a written confirmation of the Vesting Date, but the Vesting Date shall be the date as set forth in the preceding sentence regardless of whether or when the City delivers such notice. 1.1.79 "Zone Change" shall have the meaning set forth in Recital D of this Agreement. 1.1.80 "Zoning Ordinance" means Title 9 of the La Quinta Municipal Code (as may be amended from time to time). 1.2 Exhibits. The reference to a specified "Exhibit" in this Agreement is a reference to any one of the exhibits listed below, as determined by the accompanying letter designation, which exhibits are attached hereto and by this reference made a part hereof. Exhibit A Legal Description of Property Exhibit B Site Map / Depiction of the Property Exhibit C Existing Land Use Regulations Exhibit D Description of Public Benefits Exhibit E Form of Grant Deed/Offer For Public Facilities Exhibit F Financing of Public Facilities and Potential Public Properties Exhibit G Chapter 3.25 of La Quinta Municipal Code as of Effective Date Exhibit H Schedule of Performance / Phasing Plan Exhibit I Mitigation Monitoring and Reporting Program and Project Design Features 2. MUTUAL BENEFITS AND ASSURANCES. 2.1 Purposes of Agreement. The Development Plan is the result of years of planning effort by both OWNER and CITY. Because of this extended planning effort, the Development Plan includes a number of public facilities and other features that will significantly benefit the public as well as occupants of the Project. To secure these benefits, CITY and OWNER have mutually agreed to enter into this Agreement, which (a) assures the Parties' participation in the construction, funding and dedication of numerous public facilities that will provide significant benefits for residents of CITY and service anticipated levels of occupancy within the Property, and (b) assures OWNER that the Development of the Property will be governed by the Existing Land Use Regulations and that the Development Exactions required in connection with the Development Plan will be those specified in this Agreement. The following is a list of some of the more significant public benefits listed on Exhibit D that are incorporated into the Development of the Project: (a) Fiscal Contributions: generation of substantial annual revenue for CITY's general fund and the CITY accounts, as well as substantial payments of Impact Fees, for use in enhancing fire and police equipment and staffing, school fees and library equipment; 11 62779493.v7 DOC #2024-0314328 Page 16 of 178 (b) Public Access and Open Space: provision of approximately 357.1 acres of open space, which includes (a) approximately 55.9 acres to be dedicated or used for public recreational, staging areas, gathering areas and trail purposes, open space uses including picnic tables, barbeques, golf practice facilities, and staging facilities for the public regional interpretative trail and (b) preservation of approximately 301.2 acres for conservation and preservation purposes together with endowment funding at no cost to CITY to ensure management and monitoring of the natural open space in perpetuity. In addition, the Project will provide pedestrian walkways, a network of interior trails suitable for pedestrian use and bike lanes, including Class II bike lanes located along both sides of Jefferson Street that will allow bicyclists and pedestrians access to surrounding parks, recreational trails, open space and commercial centers; (c) Transportation and Traffic Improvements: construction of the extension and beautification of Jefferson Street (including widening, surfacing, curb and gutter placement, addition of Class II bike lanes located along both sides of Jefferson Street, and landscape improvements); installation of traffic signals and numerous right and left -turn lanes on a number of City streets; and construction of the extension and various other improvements to Avenue 62 that will reduce roadway flooding during storm events and stabilize slopes to improve public safety; (d) Infrastructure Upgrades/Enhancements: construction and upgrades of domestic water system facilities, water tanks and pump stations; construction and extension of on-site and off-site sewers, storm drains, water, electricity, natural gas and other facilities; installation of water quality basins and use of biological filtering swales to enhance runoff to receiving waters at Dike 4; (e) Use of Sustainable Features in Project Design: as described more fully in the Development Plan and EIR, incorporation of energy-efficient and conservation - oriented features within the Project, including installing green roofs and solar panels on buildings within the Specific Plan, incorporating in-home batteries and EV charger stations to facilitate use of EVs, golf carts and other low -speed electric vehicles; requiring all single-family homes to be electric ready and include electrical circuits for space heating, water heating, ovens, clothes dryers; requiring electrical panels, branch circuits and transfer switches for battery storage; considering orientating buildings to reduce the development's impact on the natural environment; implementing passive and active solar systems to take advantage of and consider the year-round abundant sunshine; implementing a water conservation strategy demonstrating a 20 percent reduction in indoor and outdoor water usage; implementation of 50 percent waste diversion in order to reduce the amount of waste disposal at landfills; requiring use of "green" building techniques, home features utilizing low -flow bathroom fixtures and that all household and other appliances be of the highest energy efficiency practicable at the time of purchase; requiring use of environmentally -conscious site planning, so that street, trail, park and housing locations are situated to minimize vehicular trips and reduce exhaust emissions; requiring that all landscaping be desert and other drought tolerant vegetation; requiring all HVAC systems to be Very High Efficiency HVAC (SEER 16/80% AFUE or 9HSPF) or greater efficiency; requiring all domestic hot water systems be Very High Efficiency Water (0.92 Energy Factors) with Enhanced Solar Pre -heat System (min. 0.35 Net Solar Fraction); and requiring all potable water fixtures to have EPA WaterSense Certification or greater efficiency. 2.2 Undertakings and Assurances Contemplated and Promoted by Development Agreement Act. The mutual undertakings and assurances described above and provided in this Agreement are for the benefit of CITY and OWNER and promote the comprehensive planning, private and public cooperation and participation in the provision of public facilities, and the effective and 12 62779493.x7 DOC #2024-0314328 Page 17 of 178 efficient development of infrastructure and facilities, in connection with the implementation of development projects as contemplated and promoted by the Development Agreement Act. OWNER'S OBLIGATIONS• FINANCING DISTRICTS• PUBLIC FACILITIES. 3.1 In General. (a) Public Benefits. It is acknowledged that a primary purpose of this Agreement is to provide for the accelerated and coordinated completion of Public Facilities and the other public benefits described in Exhibit D. Accordingly, when OWNER proceeds with Development of the Project, OWNER shall fully perform OWNER's Obligations as set forth in and subject to the terms and conditions of Exhibit D and this Agreement, including but not limited to the undertakings in connection with the construction and dedication or conveyance of the Public Facilities. Notwithstanding anything to the contrary contained in this Agreement, CITY acknowledges and agrees that, other than for OWNER's obligations with respect to the Jefferson Street circulation improvements described in Exhibit D, OWNER shall have no obligations with respect to any matter described in Exhibit D until the issuance by CITY to OWNER of the first Subsequent Development Approval for the Project after issuance of the mass grading permit for grading of the Project. (b) Existing Conditions and Undertakings for Land Use and Development. Subject to the City's Reserved Powers and Reservation of Authority, the OWNER shall be obligated to and shall perform all of the duties and obligations provided for or required by the Project Approvals, the Applicable Rules, and the Schedule of Performance, in connection with the Development of the Property and the Project. 3.2 Financing District and Parameters. (a) Formation of Financing District(s). Upon the receipt of a written request ("Request") by OWNER in a form and content consistent with the City's CFD Policy, Subsection (c) below, and reasonably acceptable to CITY, CITY shall use its best efforts to form one or more Financing Districts in the form and type specified in the Request, which shall include the Property, or portion thereof, within its/their boundaries for the purpose of funding the planning, design, construction and/or acquisition of Public Facilities and/or Potential Public Properties, or to provide for operation and maintenance as agreed upon by OWNER and CITY, and shall cause the Financing District(s) to issue, from time to time, Bonds subject to market conditions to finance such activities (including, without limitation, all costs of forming and administering the Financing District(s) and issuing and selling such Bonds). Notwithstanding the foregoing, this Section is not intended to limit the ability of the Parties to create other forms of financing districts regarding the Project upon mutual agreement. In addition, if CITY elects to not act as the lead agency for the establishment of a Financing District, at Owner's request, City agrees that another agency authorized to establish a Financing District, such as the California Statewide Communities Development Authority ("CSCDA") may act as the lead agency in establishing the Financing District(s). In that event, City shall enter into a joint community facilities agreement with such other agency pursuant to Government Code Section 53316.2 authorizing such other agency to establish the Financing District consistent with the applicable provisions of Exhibit F. (b) No Obligation to Form District(s). Notwithstanding the foregoing, the Parties acknowledge that nothing contained in this Agreement shall be construed as requiring CITY or its City Council to form a Financing District or cause a Financing District to issue Bonds. (c) Parameters Regarding Districts. In the event that one or more Financing Districts are formed to provide funding for the construction or acquisition of Public 13 62779493.0 DOC #2024-0314328 Page 18 of 178 Facilities or Potential Public Properties, or both, the Parties agree that the parameters set forth in the CFD Policy and in Exhibit F shall govern the formation of each Financing District and issuance of Bonds. 3.3 Dedication Construction and Conveyance of Public Facilities. (a) In General. The Public Facilities to be dedicated or conveyed (in the case of lands) or constructed by OWNER and dedicated or conveyed to CITY as described in Exhibit D, shall be completed in accordance with the provisions of Exhibit D and this Agreement, the Existing Development Approvals, the Schedule of Performance, and designs, specifications and standards promulgated by CITY in accordance with Existing Land Use Regulations, and dedicated or conveyed to CITY as set forth in Exhibit D, or substantially in the form set forth in Exhibit E attached hereto, or in any other form of dedication or conveyance agreement or document agreed in writing by CITY. (b) Public Facilities; Subdivision Requirements. With respect to any such Public Facilities as to which only a preliminary phase is required to be completed under this Agreement as provided in Exhibit D, such Public Facilities shall be completed in connection with the Development of the Property as required by the Existing Land Use Regulations unless otherwise provided in this Agreement. (c) Public Works; Prevailing Wages. To the extent improvements to be constructed by OWNER or under the direction of OWNER hereunder are considered to be a public works requiring the payment of prevailing wages under Labor Code Sections 1720 et seq. as may be amended from time to time ("Public Works"), OWNER shall cause the contractor and subcontractors to pay prevailing wages in the construction of the improvements as those wages are determined pursuant to California Labor Code Sections 1720 et seq. and implementing regulations of the California Department of Industrial Relations and comply with the other applicable provisions of Labor Code Sections 1720 et seq. and implementing regulations of the Department of Industrial Relations. 3.4 Provision of Real Property Interests by CITY. In any instance where OWNER is required by CITY to construct any Public Facilities on lands not owned by OWNER, as a condition precedent to the performance of such obligation, CITY shall provide or cause to be provided the real property rights and interests necessary for the construction of such Public Facilities. Costs associated with such acquisition or condemnation proceedings, if any, shall be OWNER's responsibility, and may be included in the applicable Financing District. Notwithstanding the foregoing paragraph in this Section 3.4, if OWNER owned any lands as all or any portion of the Property as of the Effective Date of this Agreement, and OWNER subsequently from the Effective Date sells, conveys, or in any manner transfers (whether for consideration or not) those lands to a Transferee, then CITY shall have no obligation to provide or cause to be provided the real property rights and interests necessary for the construction of such Public Facilities. Nothing in this Section 3.4 or this Agreement is or may be deemed a representation or commitment by the CITY to initiate any condemnation proceedings of any lands or real property, nor a representation or commitment by the CITY to exercise its power of eminent domain. The CITY reserves all discretionary authority over whether to exercise its power of eminent domain, and any condemnation proceedings shall be in accordance with applicable state laws, including the "Eminent Domain Law" (Code of Civil Procedure, section 1230.010 et seq., as may be amended from time to time). 14 62779493.0 DOC #2024-0314328 Page 19 of 178 3.5 Fees and Pa my ents. OWNER shall pay all fees and charges, including Impact Fees, Processing Fees, and payments of fees or money in lieu of a dedication of land that is otherwise a Development Exaction, in the amounts set by the City at the time when such payment for such fee or charge is due and payable to the City. Additionally, OWNER has agreed to pay fees to CITY to fund the provision of police, fire and other services set forth in Exhibit D. 3.6 Reimbursement of Costs. Unless otherwise specifically provided in this Agreement, OWNER shall reimburse CITY for costs and expenses incurred by CITY on and after the Effective Date as necessary for the implementation of the Development Plan and this Agreement as follows: (a) Standard Fees. OWNER shall reimburse CITY for the following items in accordance with CITY's standard fee schedule in effect at the time when such payment for such fee is due and payable to the City: (i) plan check, issuance and inspection of building permits; (ii) inspections related to construction of Public Facilities; (iii) review and processing of documents related to the conveyance of Public Facilities from OWNER to CITY; (iv) review and processing of documents related to Subsequent Development Approvals as requested or submitted by OWNER; and, (v) environmental review in connection with Subsequent Discretionary Approvals as required by CEQA; (b) Reasonably Necessary Costs. OWNER shall reimburse CITY for any and all reasonable costs and expenses, including reasonably necessary consulting and attorneys' fees, incurred by CITY ("reasonably necessary costs") in connection with the following items: (i) periodic compliance reviews pursuant to Section 5; (ii) formation of Financing Districts, the issuance of Bonds, and any other matters contemplated by or related to Section 3.2 and in accordance with Exhibit F; (iii) review and processing of OWNER's request to approve an Assignment and Assumption Agreement as provided in Section 7; and, (iv) negotiation, purchase and financing of property for public use pursuant to Section 3.7. 3.7 Additional Facilities Financed by the Financing District. OWNER shall cooperate with CITY regarding potential other facilities to be financed by a Financing District. Approval of any such facilities by CITY shall be contingent on CITY's prior compliance with the CEQA. 3.8 Notice to CITY of Product Sales Release. Subject to the reasonable cooperation of merchant builders within the Project, OWNER shall use good faith efforts to provide notice to CITY at least ten (10) days prior to advertising the initial sales release of each builder product type within the Project. CITY shall have the right, at its cost, to publish such information on its public access channel or through use of any other media source to residents of City. Such advance notice shall not affect in any manner the sales price, qualifications to purchase, or any other terms or conditions of sale for homes within the Project, all of which shall be established by each respective merchant builder in connection with the marketing and sale of their product. 3.9 Employment of La Quinta Residents and the Hiring of Local Businesses. OWNER shall encourage its contractors and merchant builders who participate in the Development to make reasonable efforts to provide opportunities for employment to residents of the City possessing the proper qualifications and experience for available positions. OWNER shall 15 62779493.0 DOC #2024-0314328 Page 20 of 178 also encourage its contractors and merchant builders to consider use or retention of properly qualified and experienced City residents and local businesses and vendors in the provision of goods and services used in connection with development of the Project. In no event is this policy meant to require that contractors and merchant builders contract for services or supplies with less competitive firms or to employ residents who are not properly qualified or experienced solely due to local residency. 4. REGULATIONS GOVERNING THE DEVELOPMENT OF THE PROPERTY. 4.1 Applicable Rules. Subject to the City's Reservations of Authority, and except as otherwise specified in this Agreement and the Project Approvals, the rules, regulations and official policies governing the permitted uses of the Property, the density and intensity of use of the Property, the provisions for reservation or dedication of land for public purposes and the design, improvement and construction standards and specifications applicable to the Property are the Existing Land Use Regulations, including without limitation the General Plan and the Development Plan. (a) Permitted Uses. The uses permitted hereunder in accordance with the Existing Land Use Regulations are as set forth in the Development Plan. (b) Number of Units, Density and Intensify. The total number, density and intensity of units permitted hereunder in accordance with the Existing Land Use Regulations are as set forth in the Development Plan. The density of development may be distributed by OWNER disproportionately throughout the Property in accordance with and subject to the Development Plan. OWNER shall construct the Project on the Site only in accordance with the Project Approvals. As depicted in the Project Approvals, as the same may be updated or amended from time to time consistent with the terms hereof, the residential portions of Project shall consist of residential single-family development specifically developed and available for residential purposes, and may be the residents' primary residences or secondary residences, and/or may be used for short-term vacation rentals, with the following components: (1) Annual permitting fees to be consistent with the City's fee program; (2) Any rental or occupancy of thirty (30) nights or less to be subject to the City's then -current transient occupancy tax (TOT) for short-term vacation rentals; (3) Rental or occupancy agreements, and material renter or occupant information, shall be retained for a minimum of three (3) years (or other retention period as maybe approved by City policy or code) by the OWNER or OWNER's authorized management company for the short-term vacation rentals at the Site; (4) Subject to applicable federal or state law or regulation, occupancy in any residence, including residences used as short-term vacation rentals, shall be capped at two (2) persons per bedroom, plus one (1) person; provided, however, that there may be an increase in occupancy allowances for permitted short-term vacation rentals as set forth in the Short -Term Vacation Rental Regulations in effect as of the date of the issued permit, or, if the Short -Term Vacation Rental Regulations (or relevant provisions regarding occupancy allowances are repealed for any reason during the Term of this Agreement), then the occupancy allowances 16 62779493.0 DOC #2024-0314328 Page 21 of 178 for permitted short-term vacation rentals shall be the Short -Term Vacation Rental Regulations most recently in effect prior to being repealed and shall remain applicable for the balance of the Term of this Agreement; and (5) All residences at the Site shall allow for transient occupancy, which means occupancy for thirty (30) days or less. (6) In addition to the provisions in this Section 4. 1, all short- term vacation rentals shall comply with Section 6 of this Agreement. (c) Maximum Height and Size of Buildings. The maximum height and size of the buildings within the Property permitted hereunder in accordance with the Existing Land Use Regulations are as set forth in the Development Plan. (d) Golf Training Facility and Resort Component. Inclusion by City of parcels in the Development Plan for a golf training component shall have an underlying residential zoning designation to enable the parcel to be developed with residential land uses. If within three (3) years from the Effective Date, Owner is unsuccessful in marketing the golf training parcel to a commercial developer, Owner shall be entitled to develop the parcel with residential land uses. In such case, the number of residential units developed on said parcel shall be included in the maximum density permitted by the Specific Plan. "Marketing" for purposes of this provision shall mean undertaking reasonable efforts to advertise the property to commercial developers. (e) Reservations and Dedication of Lands for Public Purposes and Undertaking to Participate in Completion of Roadways and Public Facilities. As provided in Section 3, OWNER is obligated to dedicate, sell or convey certain lands and construct and convey to CITY certain Public Facilities and to provide certain public benefits. (f) Timing of Development. The Parties acknowledge that the most efficient and economic Development of the Property depends upon numerous factors such as market orientation and demand, interest rates, competition and similar factors and that generally it will be most economically beneficial to the ultimate purchasers to have the rate of Development detennined by OWNER. Accordingly, subject to the Schedule of Performance and Applicable Rules, the timing, sequencing and phasing of Development shall be as determined by OWNER in its sole subjective business judgment and discretion. The Schedule of Performance may be modified as an Insubstantial Modification pursuant to Section 9 of this Agreement. In Pardee Construction Co. v. City of Camarillo (1984) 37 Cal. 3d 465, the California Supreme Court held that a construction company was not exempt from a city's growth control ordinance notwithstanding that the construction company and the city had entered into a consent judgment (tantamount to a contract under California law) establishing the company's vested rights to develop its property in accordance with the zoning. The California Supreme Court reached this result on the basis that the consent judgment failed to address the timing of development. It is the intent of the Parties to avoid the result of the Pardee case by acknowledging and providing in this Agreement that OWNER shall have the vested right, subject to the Applicable Rules and Schedule of Performance, to develop the Property in such order and at such rate and at such time as OWNER deems appropriate within the exercise of OWNER's sole subjective business judgment, notwithstanding the adoption of an initiative after the Effective Date of this Agreement by CITY's electorate to the contrary. (g) Moratoria, Phasing of Development. The Parties acknowledge and agree that the Applicable Rules contemplate and provide for the phasing of the Development of 17 62779493.x7 DOC #2024-0314328 Page 22 of 178 the Property, and that except as expressly provided in this Section 4, no initiative, referendum, moratorium, ordinance, resolution, or other Land Use Regulation or limitation on the conditioning, rate, timing or sequencing of the Development of the Property or any portion thereof shall apply to or govern the Development of the Property during the Term hereof whether affecting parcel or subdivision maps (whether tentative, vesting tentative, or final), building or site development plans or permits, occupancy permits, occupancy certificates or other entitlements to use to be approved, issued or granted by CITY. In the event of any such subsequent action, OWNER shall continue to be entitled to apply for and receive Subsequent Development Approvals in accordance with the Existing Land Use Regulations, subject only to the exercise of the Reservations of Authority set forth in Section 4.3 and other the terms of this Agreement. (h) Development Exactions. In addition to and not in limitation of the foregoing (except and subject to the Reservations of Authority), CITY shall not require any further Development Exactions for the Project except those provided for in this Agreement or which are provided for or required by or pursuant to the Existing Land Use Regulations (including, but not limited to the existing General Plan, the Development Plan, and Existing Development Approvals) which include, but are not limited to, Development Exactions that may be required by CITY in accordance with its current subdivision standards and policies. (i) Dedications/Conveyances/Acquisitions. At the appropriate points in the Development of the Project and in accordance with Exhibit D, OWNER shall convey or irrevocably offer to dedicate to CITY or its successor, assignee, or designee the Public Facilities, including streets, rights-of-way, park land and other improvements as more fully set forth in Exhibit D. (j) Expeditious Processing. CITY shall accept and timely process, in the normal and legal manner for processing such matters, all applications for future Ministerial Permits and Approvals, Discretionary Permits and Discretionary Action contemplated by, required under or necessary to affect the intent of this Agreement. Provided that the tentative tract map, parcel map and precise development plan and other applications are consistent with the Development Plan, CITY shall take final action on such applications within the time frames set forth in the Permit Streamlining Act, California Government Code Sections 65920 et seq. (as may be amended from time to time) unless an extension is agreed to by OWNER. (k) Subsequent Development Approvals. The Development Plan provides for CITY to process and consider subsequent discretionary approvals and permits for the Project, such as tentative subdivision maps, under the terms of the Existing Land Use Regulations. CITY acknowledges pursuant to Government Code Section 65865.2 that the conditions, terms, restrictions, and requirements for Subsequent Development Approvals processed with CITY for the Project shall not prevent development of the Property for the uses and to the density or intensity of development set forth in the Development Plan and in this Agreement. Upon approval, a Subsequent Development Approval shall become part of the Existing Land Use Regulations. (1) Amendments to Development Plan. The Parties anticipate that, from time to time, OWNER may request amendments to the Development Plan to respond to changing circumstances and conditions. CITY is under no obligation to approve any such application and may, in the exercise of its legislative discretion, approve, deny or propose conditions to or modifications in any such application by OWNER for an amendment to the Development Plan, including conditions or modifications that might otherwise be prohibited by the vested rights provided by this Agreement. OWNER will have a reasonable opportunity to review any such proposed conditions and modifications and withdraw its application for amendment to the Development Plan (in which case neither OWNER's proposed amendments 18 62779493.0 DOC #2024-0314328 Page 23 of 178 nor CITY's proposed conditions or modifications will become effective). Any amendment to the Development Plan shall require an amendment to this Agreement in accordance with Government Code Section 65868. Notwithstanding the foregoing, the Parties specifically acknowledge that a minor deviation or change to the Development Plan which qualifies as substantial conformance pursuant to the provisions of Section 5.8 of the Development Plan, or may qualify as an Insubstantial Modification pursuant to Section 9(a) of this Agreement, shall not be considered an amendment to the Development Plan. (m) Other Governmental Permits. Provided that OWNER pays the reasonable cost of such cooperation, CITY shall reasonably cooperate with OWNER in its efforts to obtain such additional permits and approvals by any other governmental or quasi -governmental agencies having jurisdiction over the Property, as long as such permits and approvals are consistent with this Agreement and with applicable regulatory requirements. CITY does not warrant or represent that any other governmental or quasi -governmental permits or approvals will be granted. (n) Mitigation Measures and Further Mitigation. In connection with the issuance of any Subsequent Development Approvals that are subject to review under CEQA, CITY shall not impose any Project alternatives or mitigation measures beyond those referenced in the Existing Development Approvals, which includes the Mitigation Measures, unless determined to be necessary or appropriate to comply with the CITY's CEQA obligations relating to future Discretionary Actions. The mitigation measures and mitigation monitoring plan set forth in the adopted Mitigation Monitoring and Reporting Program and EIR certified by CITY constitute additional benefits anticipated under this Agreement. The Mitigation Measures shall be enforced and monitored in the manner set forth in the Project Approvals. (o) Water Supply. Water supply for the Project has been the subject of the analysis required by Government Code Section 66473.7, Public Resources Code Section 21151.9 and Water Code Section 10631, et seq., and the reservoirs, pump stations and other facilities related to the provision of water to the Project are further described in the Development Plan and EIR. (p) Vested Rights. During the Term of this Agreement, OWNER is provided and assured the vested right to the maximum extent allowed under this Agreement to carry out the Development and use of the Property in accordance with the Existing Land Use Regulations as provided in this Section 4.1. (1) Project Entitlements/Density: OWNER is hereby granted the vested right to Development of the Project in accordance with this Agreement including, but not limited to, Existing Land Use Regulations and the Development Agreement Act. (2) Enforcement: Except to the extent this Agreement has been amended, modified, suspended or terminated in accordance with its terms, this Agreement shall be enforceable by either Party notwithstanding any change in any Applicable Rules. 4.2 Development of the Project, Planned Development OWNER shall construct the Project on the Property as a "planned development" as defined in California Civil Code Section 4175 (or successor provision) pursuant to the Davis -Stirling Act, which, among other requirements, shall require the recording by OWNER of a declaration (and may at OWNER's discretion have multiple) declaration(s) of covenants, conditions, and restrictions ("CC&Rs") that, at a minimum, meets the requirements of a "declaration" as defined and described in the Davis -Stirling Act and to memorialize specified Conditions of Approval that 19 62779493.0 DOC #2024-0314328 Page 24 of 178 are part of the Project Approvals. OWNER shall provide to City, no less than ninety (90) days prior to the anticipated date of recording, a copy of the proposed final draft of CC&Rs to be recorded against the Property and any subsequent CC&Rs covering a portion of the Property for review and approval, not to be unreasonably withheld, by the City Manager and City Attorney. The Project shall have an "association" as defined and described in the Davis -Stirling Act, and may have multiple "associations" connected to the CC&Rs recorded against a portion of the Property as part of the Project. OWNER shall construct the Project on the Property only in accordance with the Project Approvals, with CC&Rs recorded against the Property and any portions thereof to memorialize specified Conditions of Approval that apply to the various portions of the Property pursuant to the Project Approvals. As depicted in the Project Approvals, as the same may be updated or amended from time to time consistent with the terms hereof, the Project shall primarily consist of a residential single-family development specifically developed and available for residential purposes, and may be the residents' primary residences or secondary residences, and/or may be used for short-term vacation rentals, with the following components: (a) Annual permitting fees to be consistent with the City's fee program; (b) Any rental or occupancy of thirty (30) nights or less to be subject to the City's then -current transient occupancy tax (TOT) for short-term vacation rentals; (c) Rental or occupancy agreements, and material renter or occupant information, shall be retained for a minimum of three (3) years (or other retention period as maybe approved by City policy or code) by the OWNER or OWNER's authorized management company for the short-term vacation rentals at the Site; (d) Subject to applicable federal or state law or regulation, occupancy in any residence, including residences used as short-term vacation rentals, shall be capped at two (2) persons per bedroom, plus one (1) person; provided, however, that there may be an increase in occupancy allowances for permitted short-term vacation rentals as set forth in the Short -Term Vacation Rental Regulations in effect as of the date of the issued permit, or, if the Short -Term Vacation Rental Regulations (or relevant provisions regarding occupancy allowances) are repealed for any reason, then the occupancy allowances for permitted short-term vacation rentals shall be the Short -Term Vacation Rental Regulations most recently in effect prior to being repealed and shall remain applicable for the balance of the Term of this Agreement; and (e) All residences at the Site shall allow for transient occupancy, which means occupancy for thirty (30) days or less. 4.3 Limitations, Reservations and Exceptions. Notwithstanding anything to the contrary set forth in Section 4.1 hereinabove or elsewhere in this Agreement, in addition to the Existing Land Use Regulations, only the following laws and regulations hereafter shall apply to and govern the Development and use of the Property ("Reservations ofAuthority"): 20 62779493.v7 DOC #2024-0314328 Page 25 of 178 (a) Future Regulations. Future CITY Land Use Regulations that are not in conflict with the Applicable Rules or which, if in conflict with the Applicable Rules, have been consented to in writing by OWNER in connection with their application to the Development of the Property; (b) State and Federal Laws and Regulations. State and federal laws and regulations that conflict with the Applicable Rules or with OWNER's vested rights set forth in this Agreement shall apply to the Development or use of the Property, together with any CITY ordinances, resolutions, regulations, and official policies necessary to enable CITY to comply with such overriding State and federal laws and regulations. Notwithstanding the preceding sentence, (i) Owner does not waive its right to challenge or contest the validity of any State, federal, or local laws, regulations or official policies; and (ii) in the event that any State or federal law or regulation prevents or precludes compliance with one or more provisions of this Agreement, the Parties agree to consider in good faith amending or suspending such provisions of this Agreement as may be necessary to comply with such State or federal laws, provided that no Party shall be bound to approve any amendment to this Agreement unless this Agreement is amended in accordance with the procedures applicable to the adoption of development agreements as set forth in the Development Agreement Act and each Party retains full discretion with respect to such an approval. The City shall process any amendments required by this Section in a timely manner; (c) Public Health and Safety. Land Use Regulations that are adopted by CITY, which may be in conflict with the Applicable Rules, that are reasonably necessary in order to protect the public health and safety, so long as there is a reasonable relationship between the health and safety interest to be served by the adopted regulation and the nature and extent of the impairment of OWNER's vested rights under this Agreement affected by said regulation. Notwithstanding the preceding sentence, (i) Owner does not waive its right to challenge or contest the validity of any such Land Use Regulation adopted by CITY; and (ii) in the event that any such Land Use Regulation (or City ordinance, resolution or official policy undertaken pursuant thereto) prevents or precludes compliance with one or more provisions of this Agreement, the Parties agree to consider in good faith amending or suspending such provisions of this Agreement as may be necessary to comply with such Land Use Regulation, provided that no Party shall be bound to approve any amendment to this Agreement unless this Agreement is amended in accordance with the procedures applicable to the adoption of development agreements as set forth in the Development Agreement Act and each Party retains full discretion with respect to such an approval. The City shall process any amendments required by this Section in a timely manner; (d) Buildingand nd Improvement Standards. Present and future Building and Improvement Standards including those in the Uniform Codes, except that (taking into consideration the assurances to OWNER in this Section 4) any future amendment thereto that significantly reduces the amount of land within the Property that can be utilized for structures and improvements or significantly increases the amount of open space within the Project under the Development Plan shall not be considered a provision of any of the Building and Improvement Standards included within the exception provided by this Paragraph 4.3(d) and shall not apply to and govern the Development of the Project unless it complies with another exception under this Section 4.3; (e) Taxes, Assessments, Fees and Charges. Subject to the provisions of Section 3.6 above, and consistent with the City's Reserved Powers, any and all taxes, assessments, fees and charges of any kind, including Impact Fees, Processing Fees, and payments of fees or money in lieu of a dedication of land that is otherwise a Development Exaction, shall be in the amounts set by the City at the time when such payment for such tax, assessment, fee or charge is due and payable to the City, such as upon the delivery by the OWNER to the City of 21 62779493.0 DOC #2024-0314328 Page 26 of 178 any application for a Subsequent Development Approval or issuance of a requested permit that constitutes a Subsequent Development Approval; and, (f) Full Extent of Law. The Parties acknowledge and agree that CITY is restricted in its authority to limit its police power by contract and that the foregoing limitations, reservations and exceptions are intended to reserve to CITY all of its police power that cannot be so limited. 4.4 Further Assurances to OWNER Regardiniz Exercise of Reservations of Authority. (a) Adoption of General Plan Amendment and Development Plan: EIR. In approving and adopting the Existing Development Approvals, CITY considered the health, safety and welfare of the existing and future residents and populations of the City and prepared in this regard the EIR and other environmental documentation, as well as an extensive traffic impact report and other studies. The Development Plan conforms in all respects to the development studied in and contemplated by the EIR, and this Agreement shall not authorize any development or project which was not studied in and contemplated by such EIR. (b) Acknowledgment Regarding�Traffic, Future Traffic Policies and Traffic Levels. (1) Incorporation of Project Traffic Generation in City Traffic Model and Traffic Study. The Parties acknowledge that the EIR contains a detailed transportation impact study that analyzes the future trips that will be generated by the Project ("Traffic Generation") and analyzes the extent to which such future Traffic Generation will affect the capacity of existing and planned future roads, freeways, freeway ramps, and intersections in the City and surrounding area ("Roadway Capacity Utilization"). CITY agrees that it will incorporate this Traffic Generation based on the trip generation rates in the EIR transportation impact analysis and Roadway Capacity Utilization based on maximum buildout under the Development Plan as part of CITY's next traffic and transportation model update, and that CITY will include these same assumptions in future traffic and transportation studies that CITY or any other private development project under CITY's jurisdiction may prepare regarding future development or roadway planning projects until all residential units authorized by the Existing Development Approvals have been constructed or this Agreement terminates, whichever comes first. ion of EIR ' Assumptions in Future Plans and Studies. CITY agrees that OWNER has, through the construction of the traffic and transportation improvements specified in the EIR and Mitigation Measures adopted in conjunction with the Development Plan, satisfied the requirements of the Existing Land Use Regulations pertaining to the Specific Plan's Traffic Generation, as specifically noted in the EIR certified by CITY and the findings adopted by CITY. CITY also agrees that in conjunction with CITY's approval of future discretionary Subsequent Development Approvals, CITY shall not require OWNER to provide, construct, fully fund or fair -share fund additional roadway right-of- way, capacity or improvements beyond those required in the EIR and this Agreement so long as OWNER implements the Development Plan without substantial change and within the scope of the assumptions and development schedule identified in the EIR and the EIR traffic study. (3) CEQA; Changes in Project and Mitigation Requirements. The Parties acknowledge that CEQA may require additional environmental review for discretionary Subsequent Development Approvals. Further, CEQA may require additional mitigation to the extent that new significant environmental effects or a substantial increase in the severity of previously identified significant effects occur as a result of significant new information or substantial changes in the Project or the circumstances surrounding the Project. (California 22 62779493.v7 DOC #2024-0314328 Page 27 of 178 Public Resources Code Section 21166; CEQA Guidelines, 14 Cal. Code of Regs., Sections 151.62 and 15183). Notwithstanding subsections (1) and (2) of this Section, OWNER shall be responsible for additional mitigation that may be required pursuant to CEQA to reduce significant impacts that result from substantial changes to the Development Plan requested by OWNER that require major revisions to the EIR, pursuant to Public Resources Code Section 21166 and CEQA Guidelines, 14 Cal. Code of Regs., Section 15162. CITY and OWNER may at any time mutually agree on changes to the mitigation requirements or project design features without amending this Agreement subject to compliance with the requirements of CEQA. 4.5 Regulation by other Public Agencies. The Parties acknowledge that (a) other public agencies not within the control of CITY possess authority to regulate aspects of the Development of the Property separately from or jointly with CITY and (b) this Agreement does not limit the authority of such other public agencies. 5. PERIODIC REVIEWS. 5.1 Annual Review. During the Term of this Agreement, at least once every twelve (12) month period from the Effective Date of this Agreement, CITY shall review the good faith compliance of OWNER with the terms of this Agreement ("Annual Review"). 5.2 Standards for Annual Review. During the Annual Review, OWNER shall be required to demonstrate good -faith compliance with the terms of this Agreement by submitting a performance report, if such report is requested by CITY. If CITY finds and determines in good faith that OWNER has not materially complied with the terms and conditions of this Agreement, then CITY may declare a default by OWNER in accordance with this Agreement. CITY may exercise its rights and remedies relating to any such event of default only after the period for curing a default as set forth in Section 11.2 has expired without cure of the default. 5.3 Certificate of Compliance. With respect to each year in which CITY approves OWNER's compliance with this Agreement, CITY shall, within thirty (30) days of receipt of written request from OWNER, provide OWNER with an Estoppel Certificate in accordance with Section 11.7 of this Agreement. 6. SHORT-TERM VACATION RENTALS/TRANSIENT OCCUPANCY TAXES. Subject to the terms of this Agreement and this Section 6, any owner of a separate legal residential lot on the Property as part of the Project, and on which that separate legal residential lot has a residential dwelling, shall have a vested right to use the residential dwelling on that separate legal residential lot as a short-term vacation rental for the Term of this Agreement, and this vested right shall inure to the benefit of Owner and all owners of residential units within the Project. As such, the rights and obligations under Section 6 shall survive the sale of each residential unit to a third -party homebuyer and terminations of this Agreement to each such unit. Except to the extent expressly provided otherwise in this Agreement, the City shall not impose on or apply to the Project (whether by action of the Council, or other legislative body, or by initiative, referendum, or other measure) any ordinance, resolution, standard, directive, condition, or other measure that is in conflict with this provision or that would materially interfere with right 23 62779493.0 DOC #2024-0314328 Page 28 of 178 to apply for and, with City staff approval, operate short-term vacation rentals in all residential units within the Project. All short-term vacation rentals shall be subject to the following: 6.1 Definition. As used in this Agreement, the term "short-term vacation rental" shall mean and refer to a "short-term vacation rental unit" as that term is defined in Section 3.25.030 of the La Quinta Municipal Code (or successor provision). 6.2 Short -Term Vacation Rental Use. Except as modified by this Article 6, all short-term vacation rentals shall comply with the Short -Term Vacation Rental Regulations in effect for the duration of the Term of this Agreement, including the penalties for violations. All short-term vacation rentals developed on the Property as part of the Project shall be permitted in accordance with the Short -Term Vacation Rental Regulations. No residential dwelling developed on the Property as part of the Project may be used for short-term vacation rental purposes unless the residential dwelling has a valid short-term vacation rental permit. If the Short -Term Vacation Rental Regulations (or any provisions therein) are repealed for any reason, then the Short -Term Vacation Rental Regulations (or applicable repealed provisions therein) that were most recently in effect prior to being repealed shall govern and shall remain applicable for the balance of the Term of this Agreement. For reference purposes only, the Short -Term Vacation Rental Regulations (Chapter 3.25 of the La Quinta Municipal Code) as it exists as of the Effective Date is attached as Exhibit G. 6.2.1 Short -Term Vacation Rental Centralized Management._ In order to ensure the timely collection and reporting of the applicable transient occupancy taxes, and compliance with the applicable operational requirements and conditions set forth in the Short - Term Vacation Rental Regulations, the OWNER or its successor or assignee shall be the "authorized agent or representative" (as that term is defined in the Short -Term Vacation Rental Regulations, or, if the definition is removed during the Term of this Agreement, as defined in Chapter 3.25 as of the Effective Date of this Agreement) for all short-term vacation rentals and short-term vacation rental permits within the Project, including but not limited to applying for and managing all short-term vacation rental permits, making all reservations and payments, and ensuring compliance with all other requirements of the Short -Term Vacation Rental Regulations, and shall do so exclusively through a central rental operator pursuant to Section 6.2.3 of this Agreement, which shall be confirmed at the issuance and renewal of each short-term vacation rental permit; provided, however, that the "residence owner" (in this context, means the owner of a residential unit with a short-term vacation rental permit, as that term is defined in the Short -Term Vacation Rental Regulations, or, if the definition is removed during the Term of this Agreement, as defined in Chapter 3.25 as of the Effective Date of this Agreement, and hereinafter defined as "residence owner") shall remain ultimately obligated as the holder of the short-term vacation rental permit for any and all remedial actions necessary for compliance with the Short -Term Vacation Rental Regulations and this Agreement, including but not limited to the payment of any fines or recorded liens or any other violations for non-compliance; and, provided further, that the residence owner shall have a process available, through an independent arbitrator or neutral decision -maker designated by the residence owner or homeowner's association ("HOA") of which the residence owner is a member, to petition for a change of that residence owner's "authorized agent or representative" because the residence owner demonstrates, with a preponderance of evidence, that the "authorized agent or representative," designated by the OWNER or its successor or assignee, has failed to perform its duty to ensure compliance with all other requirements of the 24 62779493.0 DOC #2024-0314328 Page 29 of 178 Short -Term Vacation Rental Regulations for that residence owner's short-term vacation rental unit. The CC&Rs as described in Section 4.2 of this Agreement shall include the terms and conditions, and detailed specifics for process and decision, whenever a residence owner may petition the HOA for a change in that residence owner's "authorized agent or representative" as required by this Section 6.2.1; the City Manager and City Attorney shall review and approve, in their reasonable discretion and not to be unreasonably delayed or denied, said terms and conditions in the CC&Rs that would apply if a residence owner were to petition the HOA for a change in that residence owner's "authorized agent or representative" as required by this Section 6.2.1. 6.2.2 CC&Rs to Include Operational Requirements for Short -Term Vacation Rentals. All CC&Rs required to be recorded pursuant to Section 4.2 of this Agreement where residential uses are allowed and/or where residential dwellings are located shall expressly authorize short-term vacation rentals for all residential units. All such CC&Rs shall state the operational requirements and standard conditions applicable to short-term rentals for all residential dwellings subject to those CC&Rs. 6.2.3 Rental Management Program. OWNER shall be responsible for ensuring that, for the Term of this Agreement, one or more contract(s) shall be in effect at all times which provide opportunities to the residence owners of residential units to have the ability to make their units available for short-term rentals permitted by this Agreement and the CC&Rs. The contract or contracts may, but are not required to, be with an on-site rental management agent. OWNER may assign this obligation in accordance with this Agreement, regardless of whether the obligation is incident of the transfer and assignment of the portions of the Property to which they relate and notwithstanding the limitations on assignment set out in Section 7.1(a)(1) of this Agreement. 6.3 Compliance with other City Municipal Codes. Short-term vacation rental uses are subject to all provisions of the La Quinta Municipal Code, including without limitation the City's noise compliance provisions set forth in Sections 9.100.210 and 11.08.040 (or successor provisions) of the La Quinta Municipal Code, and the transient occupancy tax (TOT) provisions set forth in Chapter 3.24 (or successor chapter of provisions) of the La Quinta Municipal Code. 6.4 Covenants Conditions and Restrictions. OWNER shall execute and record or cause to be recorded in the Recorder's Office, against the Property and each separate legal residential parcel subdivided pursuant to Tentative Map 37387 and any Future Tract Maps, a declaration of covenants, conditions, and restrictions (in a form approved by the City Manager and City Attorney prior to its recording), which shall run with the land, and shall be binding upon, and place on notice, any and all owners of the separate legal residential lots of the requirements set forth in this Section 6. The declaration of covenants, conditions, and restrictions shall expressly provide that short-term vacation rentals are an allowed use for every residential dwelling within Project (i.e., within the homeowner's association subject to the declaration). The 25 62779493.0 DOC #2024-0314328 Page 30 of 178 requirements of this Section 6.4 may be satisfied by including the terms and conditions required herein in the CC&Rs required to be recorded pursuant to Section 4.2 of this Agreement. 7. TRANSFERS AND ASSIGNMENTS• TERMINATION t1110N LOT SALE. 7.1 Transfer and Assignments of Rights and Interests. (a) Rights and Interests Appurtenant. Except as otherwise provided in this Agreement, the rights and interests conveyed and provided herein to OWNER benefit and are appurtenant to the Property. OWNER has the right to sell, assign and transfer any and all of its rights and interests and to delegate any and all of its duties and obligations hereunder; provided, however, that such rights and interests may not be transferred or assigned except in strict compliance with the following conditions: (1) Said rights and interests may be transferred or assigned only together with and as an incident of the transfer and assignment of the portions of the Property to which they relate, including any transfer or assignment pursuant to any foreclosure of a Mortgage or a deed in lieu of such foreclosure; (2) In connection with the transfer or assignment by OWNER of all or any portion of the Property (other than a transfer or assignment by OWNER to a "Mortgagee" pursuant to Section 14, or to an "Affiliated Party" or a "Non -Assuming Transferee" as defined in Section 7.3 below), OWNER and the Transferee shall enter into a written agreement in a form that substantially complies with the provisions in Section 7.1(a)(4) below, and to be recorded in the Recorder's Office (an "Assignment and Assumption Agreement") regarding the respective interests, rights and obligations of OWNER and the Transferee in and under the Project Approvals. Such Assignment and Assumption Agreement may: (i) release OWNER from obligations under the Project Approvals (including this Agreement) pertaining to that portion of the Property being transferred, as described in the Assignment and Assumption Agreement, provided that the Transferee expressly assumes such obligations; (ii) transfer to the Transferee vested rights to improve that portion of the Property and Project being transferred; and (iii) address any other matter deemed by OWNER to be necessary or appropriate in connection with the transfer or assignment; (3) Except as provided in Section 7.3 below, OWNER shall obtain CITY's prior written consent to any Assignment and Assumption Agreement, which consent shall not be unreasonably withheld, conditioned or delayed. CITY may refuse to give its consent only if, in light of the proposed Transferee's reputation and financial resources, such Transferee would not in CITY's reasonable discretion be able to perform the obligations proposed to be assumed by such Transferee. Such determination shall be made by the City Manager in consultation with the City Attorney and is appealable by OWNER directly to the City Council. (4) An Assignment and Assumption Agreement shall be binding on OWNER, CITY and the Transferee provided (i) OWNER is not then in default under this Agreement, (ii) OWNER has provided notice to CITY of such transfer, and CITY has approved the transfer, and (iii) the Transferee executes and delivers to CITY a written agreement in which (a) the name and address of the Transferee is set forth and (b) the Transferee expressly and unconditionally assumes each and every obligation of OWNER under this Agreement with respect to the Property, or portion thereof, being transferred (to the extent OWNER has not retained a continuing obligation), (c) OWNER no longer has any legal or equitable interest in the Property or the portion thereof sold or transferred, as applicable, and (d) CITY has satisfied itself of Transferee's ability to assume those OWNER obligations under this Agreement being assigned. Upon recordation of any Assignment and Assumption Agreement in the Recorder's Office in 26 62779493.0 DOC #2024-0314328 Page 31 of 178 compliance with this Agreement, OWNER shall be released from those obligations assumed by the Transferee therein. (5) OWNER shall be free from any and all liabilities accruing on or after the date of any assignment or transfer with respect to those obligations assumed by a Transferee pursuant to an Assignment and Assumption Agreement entered into and recorded pursuant to this Agreement. No breach or default hereunder by any person succeeding to any portion of OWNER's obligations under this Agreement shall be attributed to OWNER, nor may OWNER's rights hereunder be canceled or diminished in any way by any breach or default by any such person following OWNER's release of obligations under the Project Approvals pursuant to an Assignment and Assumption Agreement assigning OWNER's obligations to that Transferee in accordance with this Agreement. Any attempt to assign or transfer any right or interest in this Agreement except in strict compliance with this Section 7, shall be null and void and of no force and effect. (b) Subject to Terms of Agreement. Following any such assignment or transfer of any of the rights and interests of OWNER under this Agreement, the exercise, use and enjoyment thereof shall continue to be subject to the terms of this Agreement to the same extent as if the Transferee were OWNER. The Transferee of any of the rights and interests of OWNER shall take said rights and interests subject to this Agreement and shall perform the duties and obligations of OWNER. (c) Assignment and Assumption of OWNER's Obligations. In connection with a transfer or assignment of rights and interests pursuant to Section 7.1(a) above, OWNER may enter into a written agreement with the transferee regarding the respective rights and obligations of OWNER and the transferee under this Agreement, including without limitation, provisions that purport to release OWNER from specified rights and obligations under this Agreement that relate to the transferred Property, provided that the transferee expressly assumes all such rights and obligations. OWNER shall have the right but not the obligation to deliver to CITY a fully executed Assignment and Assumption Agreement between OWNER and the transferee pursuant to which OWNER shall assign and delegate to the transferee, and the transferee shall accept, assume and agree to perform all of the OWNER's Obligations under this Agreement that are allocable to the transferred Property (the "Assignment and Assumption Agreement"). Notwithstanding the foregoing, OWNER shall not be released from OWNER's Obligations unless and until CITY consents in writing to the Assignment and Assumption Agreement, which consent shall not be unreasonably withheld, conditioned or delayed as provided in Subsection (d) below. If OWNER fails to seek CITY's consent or CITY fails to consent to the Assignment and Assumption Agreement in the manner set forth in Subsection (d) below, then OWNER may nevertheless transfer to the transferee any and all rights and obligations relating to the transferred Property arising under this Agreement; however, with respect to CITY, OWNER shall not be released with respect to such OWNER's Obligations. In the event CITY unreasonably withholds, conditions or delays any consent to the Assignment and Assumption Agreement, as prohibited by Subsection (d) below, then OWNER may nevertheless transfer to the transferee any and all rights and obligations relating to the transferred Property arising under this Agreement and, with respect to CITY, OWNER shall be released with respect to such OWNER's Obligations. (d) Release of OWNER. Except to the extent OWNER is in default under this Agreement prior to the transfer, then CITY will review and consider promptly any request by OWNER for CITY's consent to an Assignment and Assumption Agreement. Upon the written consent of CITY to the Assignment and Assumption Agreement, which consent will not be unreasonably withheld, conditioned or delayed, OWNER shall be relieved of its legal duty to perform the assigned obligations of this Agreement set forth in such assumption. The 27 62779493.0 DOC #2024-0314328 Page 32 of 178 withholding of CITY's consent to any such Assignment and Assumption Agreement shall be deemed reasonable only if, in light of the proposed transferee's reputation, experience and financial resources, such transferee would not in CITY's reasonable opinion be able to perform the obligations proposed to be assumed by such transferee. CITY's consent to any such Assignment and Assumption Agreement shall be deemed unreasonably conditioned under circumstances where CITY seeks to impose conditions, standards or requirements on the transferee that are more stringent than what has been imposed on OWNER under this Agreement. CITY's consent to any such Assignment and Assumption Agreement shall be deemed unreasonably delayed under circumstances where CITY does not provide its consent within [ten (10)] business days after receipt of the Assignment and Assumption Agreement. (e) Effect of Noncompliance. From and after the CITY's consent to the assumption of obligations under this Agreement by a transferee pursuant to this Section, noncompliance by any such transferee with the assumed terms and conditions of this Agreement shall entitle CITY to pursue any and all of its rights under this Agreement against such transferee; but, such noncompliance shall not be deemed a default or grounds for termination hereof with respect to, or constitute cause for CITY to initiate enforcement action against, other persons then owning or holding interests in the Property or any portion thereof and not themselves in default hereunder. Similarly, noncompliance by OWNER with respect to any terms and conditions of this Agreement not assumed by such transferee shall entitle CITY to pursue against OWNER any and all of CITY's rights under this Agreement as to obligations retained by OWNER, but such noncompliance by OWNER shall not be deemed a default or grounds for termination hereof with respect to, or constitute cause for CITY to initiate enforcement action against, such transferee or other persons then owning or holding interests in the Property or any portion thereof and not themselves in default hereunder. (f) Rights of Successors and Assigns. Any and all successors (including without limitation, those successors acquiring their interests in the Property and this Agreement by merger, consolidation, stock sale, pledge, corporate reorganization or other conveyance by business arrangement) and assigns of OWNER shall have all of the same rights, benefits and obligations of OWNER under this Agreement, to the extent acquired as part of the Property or permitted in this Section or both. 7.2 Termination of Agreement Upon Sale of Lots to Public. Subject to meeting the requirements as Non -Assuming Transferees in Section 7.3 below, this Agreement shall terminate with respect to any individual residential lot, and such lot shall be released from and shall no longer be subject to this Agreement (without the execution or recordation of any further document or the taking of any further action). The Parties shall cooperate, at no cost to the non -requesting Party, in executing in recordable form any document that either Party (including any successor to the title of OWNER in and to any of the said lots) may submit to confirm the termination of this Agreement as to any such lot. Even if all of the lots in the Project are sold, and this Agreement is terminated with respect to each of such lots, this Agreement shall remain in effect and be binding upon CITY and OWNER. 7.3 Transfers to Affiliated Parties and Non -Assuming Transferees. (a) Affiliated Parties. OWNER, or any "Affiliated Party" of OWNER, may at any time and without City's prior written consent, transfer all or any portion of its rights and obligations under this Agreement to any "Affiliated Party" of such transferor and, in connection with the transfer of any such obligations, be released from such obligations; provided, however, that OWNER and the Affiliated Party duly execute (in recordable form) an Assignment and Assumption Agreement in a form approved by the City, and OWNER deliver said agreement to the CITY to ensure, among other terms and conditions, the CITY has the current address and 28 62779493.0 DOC #2024-0314328 Page 33 of 178 notice information for any Affiliated Party that assumes all or any portion of OWNER's rights and obligations under this Agreement. Any Assignment and Assumption Agreement between OWNER and any Affiliated Party(ies) shall be recorded in the Recorder's Office upon complete execution by the parties thereto after approval of the form by the City. As used herein, the term "Affiliated Party" shall mean any entity that owns fifty-one percent (51%) or a controlling interest, or both, in OWNER. The CITY shall have the right to request and review any and all articles of incorporation, bylaws, operating agreements, and other related governing documents of any Affiliated Party to confirm compliance with the requirements of this Section. (b) Non -Assuming Transferees. Except as otherwise required by OWNER, in OWNER's sole discretion, the burdens, obligations and duties of OWNER under this Agreement shall terminate with respect to: (i) any single residential lot conveyed to a purchaser, or (ii) any property that has been established as one or more separate legal parcels and conveyed for open space, park, or similar nonresidential/noncommercial uses. Neither an Assignment and Assumption Agreement nor City's consent shall be required in connection with clauses (i) and (ii) in the preceding sentence as long as OWNER continues to assume obligations with respect to the portion that is transferred, or can otherwise demonstrate bonds and/or other financial security will satisfy these obligations, and in such case the Transferee in such a transaction and its successors ("Non Assuming Transferees") shall be deemed to have no obligations under this Agreement (except for obligations which extend to the individual units, single residential parcels, and any other parcels or property subject to CC&Rs, which implement this Agreement). As to any single residential lot containing a residential dwelling within the Project, this Agreement shall terminate, and OWNER shall have no obligations with respect to that single residential lot upon the issuance by the City of a certificate of occupancy for the dwelling and the close of escrow of the initial sale of that dwelling, save and except only those rights and obligations expressly stated in this Agreement to survive termination. Nothing in this section shall exempt any property transferred to a Non -Assuming Transferee from payment of applicable taxes, assessments, fees and charges, or for compliance with applicable conditions of approval. 8. TERM OF AGREEMENT. 8.1 Term. The term of this Agreement shall commence on the Effective Date and, except as set forth in Section 7.2, shall continue for fifty (50) years thereafter (the "Term"), unless this Agreement is (a) terminated as provided in Sections 11 and 12, or (b) modified or cancelled by mutual written consent of the Parties as provided in Section 9. 8.2 Rights and Duties Following; Termination (a) In General. Upon the termination of this Agreement, no Party shall have any further right or obligation hereunder except with respect to (i) any obligations required to have been performed prior to said termination, (ii) the indemnification provisions of Section 12, and (iii) any default in the performance of the provisions of this Agreement that has occurred prior to said termination. (b) Survival of Terms. In the event that this Agreement is terminated for any reason other than the default of OWNER, the rights and duties of the Parties shall be as set forth in Section 8.2(a), except that CITY acknowledges in connection with certain fee programs, OWNER may have participated financially in excess of OWNER's pro rata share in the cost of the Public Facilities, in which case CITY shall endeavor to cause other benefited undeveloped lands and owners thereof to be identified, and CITY shall, to the extent feasible, attempt to require such other landowners to reimburse to OWNER, through CITY, that portion 29 62779493.0 DOC #2024-0314328 Page 34 of 178 of such costs incurred by OWNER in excess of its pro rata share (as reasonably determined by CITY) that has not been previously reimbursed by CITY or a Financing District. OWNER acknowledges that CITY may be limited in the manner in which it may collect or require such reimbursement and that CITY may be unable to cause OWNER to be reimbursed for such costs. 9. AMENDMENT OR MODIFICATION TO THIS AGREEMENT. Subject to the provisions of Section 10, and except as expressly stated to the contrary herein, this Agreement may be amended or cancelled only by the mutual written consent of the Parties consistent with Government Code Section 65867-65868 (or successor provisions), the Development Agreement Ordinance, and the following terms: (a) Insubstantial Modifications. The Parties acknowledge that refinements and further development of the Project may demonstrate that minor changes are appropriate with respect to the details of the Project development and the perfonnance of the parties under this Agreement. The parties desire to retain a certain degree of flexibility with respect to the details of the Project development and with respect to those items covered in general terms under this Agreement, and thus desire to provide a streamlined method of approving insubstantial modifications to this Agreement. Therefore, any minor modification to this Agreement which does not modify (i) the Term of this Agreement; (ii) permitted uses of the Site, (iii) maximum density or intensity of use, except as specifically allowed in the Specific Plan, (iv) provisions for the reservation or dedication of land, (v) conditions, terms, restrictions or requirements for Subsequent Discretionary Actions, or (vi) monetary obligations of either OWNER or CITY (hereinafter an "Insubstantial Modification"), and that can be processed under CEQA as exempt from CEQA, or with the preparation of an Addendum to the EIR, and that does not require a public hearing prior to the parties executing a modification to this Agreement. Either Party may propose an Insubstantial Modification, consent to which shall not be unreasonably withheld, conditioned, or delayed by the other Party. Consent shall be deemed unreasonably withheld, conditioned, or delayed where the other Party does not provide its consent within thirty (30) days. Upon the written request of OWNER for a modification to this Agreement, the City Manager or designee shall determine, in the CITY Manager's sole discretion but not to be unreasonably withheld: (1) whether the requested modification constitutes an "Insubstantial Modification," as defined herein; (2) whether the requested modification is consistent with Applicable Rules (other than that portion of this Agreement sought to be modified); and (3) whether the requested modification tends to promote the goals of this Agreement. If the CITY Manager or designee determines that the requested modification is an "Insubstantial Modification" that is consistent with Applicable Rules and tends to promote the goals of this Agreement, the proposed modification will be approved by the CITY as an Insubstantial Modification, and a written modification will be executed by the Parties, recorded in the Recorder's Office, and attached to this Agreement. Any such Insubstantial Modification shall not be deemed an "amendment" to this Agreement under Government Code Section 65858. (b) Substantial Amendments. Except as otherwise described in Section 9(a) of this Agreement, amendments to this Agreement shall be "Substantial 30 62779493.0 DOC #2024-0314328 Page 35 of 178 Amendments" which require notice and a public hearing pursuant to California Government Code Section 65868. (c) Incorporation of Insubstantial Modifications into Agreement. City approval of (1) Insubstantial Modifications to a Project Approval, as defined in Section 9(a) of this Agreement, in conformity with Applicable Rules and this Agreement, shall not require a modification or amendment to this Agreement and shall automatically be deemed to be incorporated into the Project and vested under this Agreement. Likewise, City approval of any Insubstantial Modification to any Exhibit to this Agreement shall not require a modification or amendment to this Agreement and shall automatically be deemed to be incorporated into this Agreement and vested hereunder. (d) Parties Required to Amend. Where a portion of OWNER's rights or obligations have been transferred, assigned, and assumed pursuant to Section 7 of this Agreement, the signature of the person or entity to whom such rights or obligations have been assigned shall not be required to amend this Agreement unless such amendment would materially alter the rights or obligations of such Transferee hereunder. In no event shall the signature or consent of any Non -Assuming Transferee be required to amend this Agreement. 10. PROCESSING OF REQUESTS AND APPLICATIONS. Upon completion by OWNER of all required preliminary actions and payment of processing fees, if any, CITY shall proceed to process and check all applications for the Development of the Project within the times set forth in the Permit Streamlining Act (Government Code Section 65920 et seq.), the Subdivision Map Act (Government Code Section 66410 et seq.), and other applicable provisions of law, as the same may be amended from time to time. Notwithstanding the foregoing, as provided in Section 4, no subsequently adopted Land Use Regulation (including, without limitation, any moratorium or other phasing of development) shall be applicable to and shall delay the acceptance or processing of any such application except in strict accordance with the Existing Land Use Regulations or Land Use Regulations adopted by CITY pursuant to the Reservations of Authority. As provided above, the standards applied in approving or disapproving such applications shall be as set forth in the Existing Land Use Regulations, subject to the Reservations of Authority. 11. DEFAULT REMEDIES AND ESTOPPEL CERTIFICATES. Unless canceled as provided herein, or modified or suspended pursuant to Government Code Section 65869.5 or terminated pursuant to this Section, this Agreement is enforceable according to its terms by either Party hereto. 11.1 Remedies in General. (a) The Parties acknowledge that CITY would not have entered into this Agreement if it were to be liable in monetary damages of any kind whatsoever under or with respect to this Agreement, Project Approvals, or the application of any matters relating to any rights vested by virtue of this Agreement. As such, the Parties agree that declaratory and injunctive relief, mandate, and specific performance shall be OWNER'S sole and exclusive judicial remedies against CITY with respect to enforcement of the terms, provisions and conditions of this Agreement. 31 62779493.0 DOC #2024-0314328 Page 36 of 178 (b) CITY shall not be liable for any monetary damages to OWNER, or to any Transferee of OWNER or any other person or entity, and OWNER covenants not to sue or bring any proceeding against CITY for any monetary damages, or claim any monetary damages against CITY, including but not limited to: (1) any breach of, or which arises out of, this Agreement; (2) the taking, impairment or restriction of any right or interest conveyed or provided under this Agreement or pursuant hereto, including but not limited to claims for loss of use, pre -condemnation or condemnation damages, regulatory or actual taking of real property, severance damages, lost profits, and/or diminution in value of the Property or any portion thereof, or for any delay or inability of OWNER to develop or use the Property or any portion thereof arising under this Agreement; (3) damages arising out of or connected with any dispute, controversy or issue regarding the application or interpretation or effect of the provisions of this Agreement, the Project Approvals, the Applicable Rules, or any future amendments or enactments thereto, or the Project, or any Development Approvals sought in connection with the Development of the Project or any component thereof, or use of a parcel or any portion thereof, and (4) Development and Development -related activities, including construction of improvements by OWNER or OWNER's contractors or subcontractors, on the Property or any portion thereof. (c) Notwithstanding the above, OWNER may be entitled to an award of attorney's fees pursuant to Section 15.9 of this Agreement. 11.2 Termination of Agreement for Default by OWNER. CITY may terminate this Agreement by written notice to OWNER for any failure of OWNER to perform any material duty or obligation of OWNER under, or to comply in good faith with the terms and conditions of, this Agreement (hereinafter referred to as "default"); provided however, CITY may terminate this Agreement pursuant to this Section only after providing written notice to OWNER of the default setting forth the nature of the default and the actions, if any, required by OWNER to cure such default and, where the default can be cured, OWNER has failed to take such actions and cure such default within thirty (30) days after the effective date of such notice or, in the event that such default cannot be cured within such 30 -day period but can be cured within a longer time, has failed to commence within such 30 -day period the actions necessary to bring itself into compliance and to pursue diligently such steps to completion. 11.3 Termination of Agreement for Default by CITY. OWNER may terminate this Agreement by written notice to CITY for any default by CITY under this Agreement after written notice to CITY advising of the nature of default by CITY and, where the default can be cured, CITY has failed to take such actions and cure such default within thirty (30) days after the effective date of such notice or, in the event that such default cannot be cured within such 30 -day period but can be cured within a longer time, has failed to commence within such 30 -day period the actions necessary to bring itself into compliance and to pursue diligently such steps to completion. 11.4 Termination by OWNER Prior to First Bond Sale. Provided that OWNER is not in material default under this Agreement and notwithstanding any provisions in this Agreement to the contrary, OWNER shall have the right to terminate this 32 62779493.v7 DOC #2024-0314328 Page 37 of 178 Agreement by providing written notice to CITY in the event that OWNER reasonably determines, prior to the first sale of Bonds by any Financing District formed by CITY after Request by OWNER pursuant to Section 3.2 of this Agreement, that Development of the Project will not meet the Economic Expectations of OWNER and/or has become economically infeasible due to changed market conditions, increased Development costs, conditions to future discretionary approvals imposed by governmental entities, or similar factors. In the event of any such termination by OWNER, OWNER acknowledges that CITY may, in its discretion, restore the General Plan and other Land Use Regulations of the Property to the condition that existed prior to the adoption of the Existing Development Approvals. OWNER shall deliver to CITY no later than one hundred twenty (120) days prior to the anticipated City approval date, at a noticed public meeting of the City Council, for the first sale of Bonds by a Financing District written notice of OWNER's determination whether to exercise its option to termination this Agreement under this Section 11.4, and, if OWNER does not timely deliver said notice to CITY, or OWNER does not expressly terminate this Agreement by reference to this Section in said notice, then OWNER shall be deemed to have elected not to terminate this Agreement, and the first sale of Bonds by the Financing District may proceed to closing. In no event shall OWNER have the right to terminate this Agreement pursuant to this Section 11.4 (a) after the first sale of Bonds by a Financing District, or (b) within 120 days of and on the actual City approval date, at a noticed public meeting of the City Council, for the first sale of Bonds by the Financing District. Upon sale and issuance of any Bonds by any Financing District, OWNER (and any Transferee of OWNER) shall have the obligation for payment of the Bonds pursuant to the CFD, CFD Policy, and any other applicable laws and contractual requirements arising from the sale and issuance of the Bonds. Notwithstanding anything in this Section or Section 12.2 to the contrary, the termination of this Agreement shall not occur if the first sale and issuance of Bonds by a CFD occurs prior to OWNER exercising its rights pursuant to this Section 11.4, and OWNER shall have no right to terminate this Agreement for any second or subsequent sale of Bonds by a CFD formed by CITY after Request by OWNER pursuant to Section 3.2 of this Agreement. 11.5 Specific Performance. The Parties acknowledge that monetary damages and remedies at law generally are inadequate due, in part, to the size, nature and scope of the Project, it will not be practical or possible to restore the Property to its natural condition once implementation of this Agreement has begun and specific performance is a particularly appropriate remedy for the enforcement of this Agreement and should be available to both Parties based on the following reasons and facts: (a) the unavailability of monetary damages against CITY provided in Section 11.1 above; (b) OWNER's Obligations provided for in this Agreement were bargained for by CITY and given in return for assurances by CITY to OWNER regarding the Existing Land Use Regulations (except as specified to the contrary herein, including the City's Reservations of Authority) applicable to the Development of the Property, which assurances were in turn relied upon by OWNER in undertaking OWNER's Obligations; (c) Due to the size, nature and scope of the Project, it may not be practical or possible to restore the Property to its natural condition once implementation of this Agreement has begun; after such implementation, OWNER may be prevented from other choices it may have had to utilize the Property, or portions thereof, and to provide other benefits to CITY. OWNER has invested significant time and resources and performed extensive planning and processing of the Project in agreeing to the terms of this Agreement and will be investing even more significant time and resources in implementing the Project in reliance upon the terms of this 33 62779493.v7 DOC #2024-0314328 Page 38 of 178 Agreement, and it is not possible to determine the sums of money that would adequately compensate OWNER for such efforts; (d) The inability of OWNER to recover and receive back its capital investment in the Public Facilities to be provided to CITY as part of OWNER's Obligations and to re -plan and provide for different uses of the Property once such facilities and infrastructure have been completed; and, (e) The use of the Property for the purposes and uses described in the Development Plan is unique. Further, the Parties acknowledge that for the reasons set forth above (particularly because of the lack of monetary damages available to OWNER), in connection with any judicial proceeding regarding the performance of this Agreement, rights, or the interests and duties of the Parties hereunder, it is appropriate for, and the Parties shall cooperate in requesting (whether by stipulations or otherwise) the court to proceed expeditiously and to retain jurisdiction until the underlying conflict or dispute has been fully resolved. 11.6 Appointment of Referee. A Party initiating legal action hereunder may request that such action be heard by a referee appointed by the Riverside County Superior Court pursuant to the reference procedures of California Code of Civil Procedure Section 638 et seq. OWNER and CITY, in such case, shall use their best efforts to agree upon a single referee who shall then try all issues, whether of fact or law, and report a finding and judgment thereon and issue all legal and equitable relief, as permitted pursuant to this Agreement and appropriate under the circumstances of the controversy. The referee shall be a retired judge from either the California Superior Court, the California Court of Appeal, the California Supreme Court, the United States District Court or the United States Court of Appeals with significant and recent experience in resolving land use and real property disputes. If OWNER and CITY are unable to agree upon a referee within ten (10) days of a written request to do so by any Party, any Party may seek to have a referee appointed pursuant to Section 640 of the California Code of Civil Procedure. The cost and fees of such proceeding including the referee's fees and the court reporter's fees (exclusive of the attorney's fees and cost of the Parties) shall be borne equally by the Parties; provided, however, that the costs and fees for such proceeding, including any initiation fee, shall be ultimately borne in accordance with Section 15.9 of this Agreement. Any referee selected pursuant to this Section shall be considered a temporary judge appointed pursuant to Article 6, Section 21 of the California Constitution. The statement of decision of the referee shall be binding upon the parties, and upon filing of the statement of decision with the clerk of the court (or with the judge where there is no clerk), judgment may be entered thereon in the same manner as if the action had been tried by the court. The decision of the referee shall be appealable as if rendered by the court. In the event that an alternative method of resolving disputes concerning the application, enforcement or interpretation of development agreements is provided by legislative or judicial action after the Effective Date, the Parties may, by mutual agreement, select such alternative method. 11.7 Estoppel Certificates. Either Party may at any time deliver written notice to the other Party requesting an estoppel certificate (the "Estoppel Certificate") stating: (a) The Agreement is in full force and effect and is a binding obligation of the Parties; 34 62779493.0 DOC #2024-0314328 Page 39 of 178 (b) The Agreement has not been amended or modified either orally or in writing or, if so amended, identifying the amendments (including Substantial Amendments and Insubstantial Modifications); (c) That there has been no default in the performance of the requesting Party's obligations under the Agreement or, if a default does exist, the nature and amount of any default. A Party receiving a request for an Estoppel Certificate shall provide a signed certificate to the requesting Party within thirty (30) days after receipt of the request. The City Manager may sign Estoppel Certificates on behalf of CITY, subject to review by the City Clerk and City Attorney. Any officer of OWNER may sign on behalf of OWNER. An Estoppel Certificate may be relied on by Transferees and Mortgagees of OWNER. In the event that OWNER requests an Estoppel Certificate from CITY, OWNER may be required reimburse CITY for all reasonable and direct costs and fees incurred by CITY with respect thereto, including reasonable attorneys' fees for researching, preparing, and issuing an Estoppel Certificate. 12. THIRD PARTY LITIGATION. 12.1 Indemnification. OWNER shall indemnify, defend, protect and hold harmless CITY, its agents, elected officials, officers, employees and independent consultants from and against any third party claim, cause of action, administrative or judicial proceeding or enforcement action of any kind ("Third Party Claim") and all costs and expenses incurred therewith subject to the limitations of this Section 12, that (a) alleges or results in any loss, liability, damage, compensation, fine, penalty, order, judgment, remedial action or requirement arising from the acts, omissions or operations of OWNER or OWNER's agents, contractors, subcontractors and employees pursuant to this Agreement, including but not limited to the failure or alleged failure to pay prevailing wages for any Public Works constructed by or under the direction of OWNER or OWNER's contractors and/or subcontractors pursuant to Section 3.3(c) above; or (b) seeks to attack, challenge, set aside, void, or annul the certification of the EIR, this Agreement or the ordinance approving this Agreement, any and all Project Approvals, the formation of the CFD or issuance of bonds thereunder, the dedication or conveyance of Potential Public Properties or Public Facilities pursuant to this Agreement, or any Subsequent Development Approvals. Notwithstanding the above, OWNER's obligations under the preceding sentence shall not apply to Third Party Claims arising solely from (i) the intentional wrongful acts or willful misconduct of CITY or (ii) CITY's breach of its obligations under this Agreement. With regard to alleged or actual failure to pay prevailing wages, OWNER, in giving this indemnification, acknowledges the provisions of California Labor Code Section 1781 and specifically waives any protection, rights or claims against CITY that may accrue to OWNER pursuant to California Labor Code Section 1781. Nothing in this Section 12.1 shall be construed to relieve contractors or subcontractors of OWNER from their respective obligations to comply with applicable prevailing wage and labor laws. 12.2 Option to Terminate. If, prior to the Vesting Date, a Third Party Claim is timely filed challenging any of the Project Site Development Permits, or, if, within the time periods for the filing of lawsuits, a Third Party Claim is timely filed challenging (i) the formation of a CFD, (ii) the Financing District's approval of the first sale of Bonds by a CFD, or (iii) a sale, dedication or conveyance of any Potential Public Properties or Public Facilities which sale, dedication or conveyance occurs within the time period for filing a lawsuit challenging the Finance District's approval of the first sale of those Bonds to finance said sale, dedication, or conveyance, then the Parties shall meet and confer concerning the potential impact of the Third Party Claim on this Agreement and the Development 35 62779493.0 DOC #2024-0314328 Page 40 of 178 of the Project. Within thirty (30) days of such meeting, if OWNER determines that such Third Party Claim may have an unacceptable adverse impact on the Project, OWNER' rights under this Agreement, or OWNER's reasonable investment -based Economic Expectations in connection with the Project, OWNER may in its reasonable discretion terminate this Agreement by sending the CITY a written notice of such termination, and the Parties shall thereafter be relieved of any further obligations under this Agreement but subject to the OWNER's obligations that survive any termination of this Agreement. OWNER acknowledges and agrees that if this Agreement is terminated by OWNER, CITY shall have no obligation to defend against such Third Party Claim and, at CITY's discretion, may restore the General Plan and other Land Use Regulations for the Property to the conditions that existed prior to the adoption of the Existing Development Approvals. If OWNER terminates this Agreement pursuant to this Section 12.2, OWNER shall undertake all actions as are reasonable or necessary in order to have the Third Party Claim dismissed or otherwise finally resolved by entry of final judgment and decision on any appeals, and, (a) to the extent that CITY incurs any costs or attorneys' fees in assisting OWNER in having the Third Party Claim dismissed or otherwise decided, or (b) if OWNER fails to have such claim dismissed or otherwise decided, and CITY incurs any costs or attorneys' fees in having such claim dismissed or otherwise decided, OWNER shall be responsible for all reasonable legal expenses of CITY, including court costs and reasonable attorneys' fees, incurred by CITY in so doing. Notwithstanding anything in this Section or Section 11.4 to the contrary, the termination of this Agreement shall not occur if the first sale and issuance of Bonds by a CFD occurs prior to the dismissal or other resolution of any Third Party Claim challenging either the first sale of Bonds by a CFD or a sale, dedication or conveyance of any Potential Public Properties or Public Facilities which sale, dedication or conveyance is financed by that first sale of those Bonds. Furthermore, and notwithstanding any provisions in this Section or Section 11.4 to the contrary, OWNER's indemnification and duty to defend obligations to the CITY in this Agreement, including in Section 12.1 and 12.3, shall survive any termination of this Agreement. 12.3 Defense of Third -Party Claims. In the event of a Third -Party Claim, and if OWNER does not elect to terminate this Agreement pursuant to its rights under Section 12.2, OWNER shall defend CITY against the Third -Party Claim at OWNER's expense with legal counsel reasonably approved by CITY; provided, however, that CITY may, in its discretion and upon notice to OWNER, select the legal counsel if OWNER is in default under this Agreement. With respect to any Third -Party Claim, if OWNER asks CITY to participate in the defense of that Third Party Claim, CITY shall participate and fully cooperate in a timely manner in the defense of said Third Party Claim. Even if not requested to do so, CITY may elect to participate in the defense of any Third -Party Claim. In either circumstance, CITY may select legal counsel reasonably approved by OWNER to represent CITY in the defense of such Third -party Claim and OWNER shall reimburse CITY for the reasonable costs and fees of that defense. 12.4 Cooperation and Cost Control. Within ten (10) days after receiving or being notified of a Third -Party Claim, CITY shall notify OWNER of same. The Parties shall, in timely manner, fully cooperate with each other and their respective counsel (if CITY has retained counsel pursuant to Section 12.2 or 12.3 above) in defending against any Third -Party Claim, including the preparation of any applicable administrative record, the coordination of pleadings and briefs filed in the course of litigation, and the control of costs, expenses, and fees incurred in defending against the Third -Party Claim. Among other reasonable means of controlling litigation costs, expenses and fees, in any action involving a Third -Party Claim for which OWNER is indemnifying CITY and OWNER is not in default under this Agreement, counsel for OWNER may be deemed lead counsel and counsel for CITY (if CITY has retained counsel pursuant to Section 12.2 or 12.3 above) shall make a good faith effort to avoid duplication of legal services and of other costs and expenses. The Parties shall 36 62779493.v7 DOC #2024-0314328 Page 41 of 178 cooperate in the preparation of any required administrative record in a reasonable and cost- effective manner and shall consult with each other in good faith to ensure that unnecessary costs are not incurred in defending against a Third -Party Claim. So long as OWNER is not in default under this Agreement, CITY shall not enter into a settlement agreement as to any Third -Party Claim or otherwise compromise the defense of same without O WNER's written consent. OWNER shall also have the right, subject to CITY's consent not to be unreasonably withheld or delayed, to settle any such Third Party Claim, provided that OWNER may not settle such claim on terms that would reduce any of CITY's rights under this Agreement or constitute an amendment or modification of this Agreement, the Existing Land Use Regulations, or the Development Plan, unless such amendment or modification is approved in advance by CITY in accordance with applicable legal requirements, and CITY reserves its full legislative discretion with respect to making such an approval. 12.5 No Recourse for Inability to Perform Due to Judicial Determinations. CITY shall have no liability for general, special, or compensatory damages to OWNER, nor may the performance of CITY be compelled by OWNER (or any successor or assignee or Transferee of OWNER) for any failure of CITY to perform under this Agreement, or for the inability of OWNER to develop the Property as contemplated by the Development Plan and Schedule of Performance, which failure to perform or inability to develop is the result of a judicial determination that this Agreement, the General Plan, the Existing Development Approvals, or any Subsequent Development Approvals are invalid or inadequate or not in compliance with law, or that this Agreement or any of CITY's actions in adopting it were invalid, inadequate, or not in compliance with law. Notwithstanding the provisions of this Section 12.5, OWNER shall have the right to obtain a refund or return of any deposit made with CITY or fees paid to CITY in connection with the Development of the Project or other payments made under this Agreement to the extent that such deposit or fees or other payments have not been used by CITY in connection with its review or other actions related to the Project. 13. EFFECT OF AGREEMENT ON TITLE. 13.1 Covenants Run With the Land. (a) Subject to the provisions of Sections 7 and 13 of this Agreement: (1) All of the provisions, agreements, rights, powers, standards, terms, covenants and obligations contained in this Agreement shall be binding upon the Parties and their respective Transferees, heirs, successors (by merger, consolidation, or otherwise) and assigns, devisees, administrators, representatives, lessees, and all other persons acquiring any rights or interests in the Property, or any portion thereof, whether by operation of laws or in any manner whatsoever and shall inure to the benefit of the Parties and their respective heirs, successors (by merger, consolidation or otherwise) and assigns; (2) All of the provisions of this Agreement shall be enforceable as equitable servitudes and constitute covenants running with the land pursuant to applicable law; (3) Each covenant to do or refrain from doing some act on the Property hereunder (A) is for the benefit of and is a burden upon every portion of the Property, (B) runs with the Property and every portion thereof, and (C) is binding upon each Party and each successive owner during its ownership of all or any portion of the Property, and each person having any interest therein derived in any manner through any owner of the Property, or any portion thereof, and shall benefit each Party and the Property hereunder, and each other person succeeding to an interest in all or any portion of the Property. 37 62779493.0 DOC #2024-0314328 Page 42 of 178 (b) Notwithstanding any of the foregoing and subject to the provisions in Section 7 of this Agreement, -any Transferee or Mortgagee which acquires any right or interest in or with respect to the Property or any portion thereof shall take and hold such rights and interests subject to this Agreement and shall not have been deemed to have assumed the OWNER'S Obligations or the other affirmative duties and obligations of OWNER hereunder except: (1) To the extent that any of such Transferees or Mortgagees have expressly assumed any of the duties or obligations of OWNER hereunder; (2) If any such Transferee or Mortgagee accepts, holds, or attempts to exercise or enjoy the rights or interests of OWNER hereunder, it shall have assumed the obligations of OWNER and shall comply with the provisions in Section 7 of this Agreement to perfect such assumption the obligations of OWNER; and (3) Subject to any Transferee or Mortgagee complying with Section 7 of this Agreement, then, to the extent that the performance of any duty or obligation by OWNER is a condition precedent to the performance of a covenant by CITY, it shall continue to be a condition to performance by CITY hereunder. 13.2 No Dedication or Lien. Nothing herein shall be construed as a dedication or transfer of any right or interest in, or as creating a lien with respect to, the title to the Property. 13.3 Constructive Notice and Acceptance. Every person who now or hereafter owns or acquires any right, title or interest in or to any portion of the Project or the Property is and shall be conclusively deemed to have consented and agreed to every provision contained herein, whether or not any reference to this Agreement is contained in the instrument by which such person acquired an interest in the Project or the Property. 14. MORTGAGEE PROTECTION• CERTAIN RIGHTS OF CURE. 14.1 Mortgagee Protection. This Agreement shall be superior and senior to any lien placed upon the Property, or any portion thereof, including the lien of any Mortgage. Notwithstanding the foregoing, no breach hereof shall defeat, render invalid, diminish or impair the lien of any Mortgage made in good faith and for value, and any acquisition or acceptance of title or any right or interest in or with respect to the Property, or any portion thereof, by a Mortgagee (whether under or pursuant to a Mortgage, foreclosure, trustee's sale, deed in lieu of foreclosure, or otherwise), shall be subject to all of the terms and conditions contained in this Agreement. 14.2 Mortgagee Not Obligated. Notwithstanding the provisions of Section 13.1(a) above, and unless expressly assumed by a Mortgagee pursuant to Section 13.1(b) and Section 7 of this Agreement, no Mortgagee shall have an obligation or duty under this Agreement to perform OWNER's Obligations or other affirmative covenants of OWNER hereunder, or to guarantee such performance; except that to the extent that any covenant to be performed by OWNER is a condition to the performance of a covenant by CITY, the performance thereof shall continue to be a condition precedent to CITY's performance hereunder. 38 62779493.v7 DOC #2024-0314328 Page 43 of 178 14.3 Notice of Default to Mortgaizee; Right of Mortgagee to Cure. If CITY receives notice from a Mortgagee requesting a copy of any notice of default given OWNER hereunder and specifying the address for service thereof, and records a copy of each request in the Recorder's Office in the manner required under Civil Code Section 2924(b) with respect to Requests for Notices of Default ("Notice of Default"), then CITY shall deliver to such Mortgagee, concurrently with service thereon to OWNER, any notice given to OWNER with respect to any claim by CITY that OWNER has not complied in good faith with the terms of this Agreement or has committed an event of default. Each Mortgagee shall have the right (but not the obligation) to cure or remedy the claim of default or noncompliance set forth in CITY's notice during the remaining cure period allowed OWNER pursuant to Section 11.2 of this Agreement; provided however that in the event that CITY does not deliver the Notice of Default to Mortgagee at the same time as such notice is delivered to OWNER, Mortgagee shall have the same cure rights as OWNER pursuant to Section 11.2 for the full cure period beginning upon the delivery of the Notice of Default to the Mortgagee. If the default is of a nature that can only be remedied or cured by such Mortgagee upon obtaining possession, such Mortgagee shall seek to obtain possession with diligence and continuity through foreclosure, a receiver or otherwise, and shall thereafter remedy or cure the default or noncompliance within thirty (30) days after obtaining possession. If any such default or noncompliance cannot, with diligence, be remedied or cured within such thirty (30) day period, then such Mortgagee shall have such additional time as may be reasonably necessary to remedy or cure such default or noncompliance if such Mortgagee commences cure during such thirty (30) day period, and thereafter diligently pursues and completes such cure. 14.4 BankruMttcy. Notwithstanding the foregoing provisions of Section 14, if any Mortgagee is prohibited from commencing or prosecuting foreclosure or other appropriate proceedings in the nature thereof by any process or injunction issued by any court or by reason of any action by any court having jurisdiction of any bankruptcy or insolvency proceeding involving OWNER, the times specified in Section 14.3 for commencing or prosecuting foreclosure or other proceedings shall be extended for the period of the prohibition, provided that such Mortgagee is proceeding expeditiously to terminate such prohibition and in no event for a period longer than one year. 15. MISCELLANEOUS PROVISIONS. 15.1 Recordation of Agreement. This Agreement and any amendment or cancellation hereof shall be recorded in the Recorder's Office by the Clerk of the City Council within the period required by Section 65868.5 of the Government Code. 15.2 Severability. If any term, provision, covenant or condition of this Agreement shall be determined invalid, void or unenforceable, the remainder of this Agreement shall not be affected thereby to the extent such remaining provisions are not rendered impractical to perform taking into consideration the purposes of this Agreement, unless and to the extent the rights and obligations of any Party have been materially altered or abridged by such holding. Nothing contained in this Subsection shall be deemed to diminish OWNER's right to terminate under Sections 11 and 12.2 above. 15.3 Governing Law; Venue. This Agreement and any dispute arising hereunder shall be governed and interpreted in accordance with the laws of the State of California, without regard to conflict of laws principles. 39 62779493.0 DOC #2024-0314328 Page 44 of 178 Any action at law or in equity arising under this Agreement or brought by any Parry for the purpose of enforcing, construing or determining the validity of any provision of this Agreement shall be filed and tried in the Superior Court of Riverside County, or the United States District Court for the Central District of California, and the Parties waive all provisions of law providing for the removal or change of venue to any other court. 15.4 Section Headings. All Section headings and subheadings are inserted for convenience only and shall not affect any construction or interpretation of this Agreement. 15.5 Singular and Plural. As used herein, the singular of any word includes the plural. 15.6 Time of Essence. Time is of the essence in the performance of the provisions of this Agreement as to which time is an element. 15.7 Waiver. Failure by a Party to insist upon the strict performance of any of the provisions of this Agreement by any other Parry, or the failure by a Party to exercise its rights upon the default of another Party, shall not constitute a waiver of such Party's right to insist and demand strict compliance by the other Party with the terms of this Agreement thereafter. 15.8 Force Majeure. No Party shall be deemed to be in default where failure or delay in performance of any of its obligations under this Agreement is caused by floods, earthquakes, other Acts of God, fires, wars, riots or similar hostilities, strikes and other labor difficulties beyond such Party's control, government regulations or court actions (such as restraining orders or injunctions) beyond such Party's control (each, an "Event of Force Majeure"). If any such events shall occur, the term of this Agreement and the time for performance by a Party of any of its obligations hereunder shall be extended by the period of time that such events prevented such performance, provided that the term of this Agreement shall not be extended under any circumstances for more than five (5) years or for a period that would cause this Agreement or the provisions hereof to be void as violating the rule against perpetuities. Notwithstanding anything to the contrary in this Agreement, an extension of time for an Event of Force Majeure shall only be for the period of the enforced delay and shall commence to run from the time of the commencement of the cause, if notice by the Party claiming such extension is sent to the other Party within thirty (30) days of the commencement of the cause, or shall commence to run from the date such notice is subsequently given. Times of performance under this Agreement may also be extended in writing by the mutual agreement of CITY and OWNER. Furthermore, an Event of Force Majeure expressly does not include an extension of time to perform because of past, present, or future difficulty in obtaining suitable construction or permanent financing for the Development of the Site, or because of economic or market conditions. 15.9 Attorneys' Fees. In any judicial proceeding, reference, mediation or other dispute resolution proceeding between the Parties seeking enforcement of any of the terms and provisions of this Agreement 40 62779493.0 DOC #2024-0314328 Page 45 of 178 against the other Party, the prevailing Party in such proceeding shall recover its reasonable costs and expenses (as determined by a court or referee or other neutral arbitrator/mediator overseeing any dispute resolution proceeding) including but not limited to expert witness fees, attorneys' fees, costs of investigation and preparation prior to the administrative or judicial hearing, and its contribution for the costs of the referee as provided in Section 11.6. The right to apply for recovery of such costs and expenses shall accrue upon commencement of the proceeding, regardless of whether the dispute is prosecuted to a final judgment or decision. 15.10 Mutual Covenants. The covenants contained herein are mutual covenants and also constitute conditions to the concurrent or subsequent performance by the Party benefited thereby of the covenants to be performed hereunder by such benefited Party. 15.11 Conveyances- Conveyances onve, aY nces. Conveyances of the Property or portions thereof required or permitted pursuant to the terms of this Agreement (including without limitation any open space or park lands to be conveyed to CITY), shall not include any mineral, oil, gas, hydrocarbon or other substances of every type and nature, in, under or on the Property excepted and reserved by and unto Hofmann Development Company under which OWNER acquired its ownership interest in the Property. 15.12 Relationship of Parties. CITY and OWNER hereby renounce the existence of any form of agency, joint venture or partnership between them and agree that nothing contained herein or in any document executed in connection herewith shall be construed as making CITY and OWNER joint venturers, partners or agents of one another. 15.13 Notices. Any notice required or provided for under this Agreement shall be in writing and delivered in person to an officer of any Party, or sent by Federal Express, private commercial delivery or courier service for next business day delivery, or may be deposited in the United States mail, duly certified or registered, return receipt requested, with postage prepaid, and addressed to the other Party, as follows: If to CITY: City of La Quinta 78495 Calle Tampico La Quinta, California 92253 Attn: City Clerk Attn: Director of Design & Development Dept. Email: CityClerkMail@laquintaca.gov Phone: (760) 777-7000 with a copy to: Rutan & Tucker, LLP 18575 Jamboree Road, 9th Floor Irvine, CA 92612 Attn: William H. Ihrke, Esq. Email: bihrke@rutan.com Phone: (714) 641-5100 If to OWNER: Travertine Corporation c/o Hofmann Land Development Company, LLC 41 62779493.v7 DOC #2024-0314328 Page 46 of 178 3000 Oak Rd, Suite 600 Walnut Creek, CA 94597 Attn: Louis Miramontes Email: Lmiramontes@KHHtrust.com Phone: (925) 588-2000 with a copy to: TRG Land, LLC 893 Production Place Newport Beach, CA 92663 Attn: Mark Rogers Email: MRogers@TRGLand.com Phone: (949) 722-0634 with a copy to: Nossaman 18101 Von Karman Avenue, Suite 1800 Irvine, CA 92612 Attn: Gregory W. Sanders, Esq. Fax: (949)833-7878 Phone: (949) 833-7800 Notice may also be given by electronic mail ("E-mail") or facsimile transmission ("Fax") to any Party at the respective Fax number if given above and marked "RUSH - PLEASE DELIVER IMMEDIATELY," provided receipt of such transmission shall be confirmed by follow-up notice within seventy-two (72) hours by another method authorized above. Any Party hereto may from time to time, by written notice to the other Parties as required herein, designate a different address that shall be substituted for the one above specified. Notice by any method shall be deemed served or delivered only upon actual receipt at the address, E-mail address or Fax number listed above. Any notice given as required herein shall be deemed given upon receipt or, if sent by United States mail as provided above, seventy-two (72) hours after deposit in the United States mail or upon receipt. 15.14 Further Actions and Instruments. Each Party shall cooperate with and provide reasonable assistance to the other Party to the extent necessary to implement this Agreement. Upon the request of a Party at any time, the other Party shall promptly execute, with acknowledgment or affidavit if reasonably required, and file or record such required instruments and writings and take any actions as may be reasonably necessary to implement this Agreement or to evidence or consummate the transactions contemplated by this Agreement. The Parties may, by mutual agreement, make such interpretations, clarifications, or minor modifications to the provisions of this Agreement as may be necessary to resolve ambiguities that may arise in the implementation of this Agreement without amending this Agreement so long as such additional or different requirements are consistent with the general intent and purpose of this Agreement. 15.15 Successors and Assigns. Subject to the provisions of Sections 7 and 14, the terms and conditions of this Agreement shall be binding upon and inure to the benefit of the Parties and their successors and assigns. 15.16 Counterparts. This Agreement may be executed by the Parties in counterparts, which counterparts shall be construed together and have the same effect as if each of the Parties had executed the same instrument. 42 62779493.0 DOC #2024-0314328 Page 47 of 178 15.17 Authority to Execute. OWNER represents and warrants that: (a) it is duly organized and existing; (b) it is duly authorized to execute and deliver this Agreement; (c) by so executing this Agreement, OWNER is formally bound to the provisions of this Agreement; (d) OWNER's entry into and performance of its obligations set forth in this Agreement do not violate any provision of any other agreement to which OWNER is bound; and (e) there is no existing or threatened litigation or legal proceeding of which OWNER is aware that could prevent OWNER from entering into or performing its obligations set forth in this Agreement. 15.18 Entire Agreement, This Agreement, together with its exhibits, sets forth and contains the entire understanding and agreement of the Parties with respect to the subject matter contained herein, and there are no oral or written representations, understandings or ancillary covenants, undertakings or agreements that are not contained or expressly referred to herein and no testimony or evidence of any such representations, understandings or covenants shall be admissible in any proceeding of any kind or nature to interpret or determine the terms or conditions of this Agreement. [Signature Page Attached] 43 62779493.0 DOC #2024-0314328 Page 48 of 178 [Signature Page to Development Agreement] IN WITNESS WHEREOF, the Parties hereto have executed this Agreement on the day and year first set forth above. CITY: CITY OF LA QUINTA, a California municipal corporation It ATTEST: Monika Rade a, Ci y Jerk APPROVED AS TO FORM: N ttorney OWNER: TRAVE 1NE CORPOR/'Oy� a Min ssVtta company / 1. By:_ Name: Title: 62779493.v7 44 DOC #2024-0314328 Page 49 of 178 STATE OF CALIFORNIA ) (� ss COUNTY OF ,A4a ) OnJ `i before me, n a Notary Public, personally appeared , wl o proved to me on the basis of satisfactory evidence to be the person(s) whose nam ) is/are subscribed to the within instrument, and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. let -1 -M - " Notary P lic 45 62779493.0 5 ACEYM. FERGLSCN W:- Notary Public • Caiiorlia Z Z ` , Contra Costa 23328 > Commission 4 23993280 My Comm. Expires Feb 7. 2026 DOC #2024-0314328 Page 50 of 178 CALIFORNIA ACKNOWLEDGMENT CIVIL CODE § 1189 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 l �t'1�Y�$ On �a m � T 7�??a`I before me, • a(mrom 1)0�ftr\37wy— Date dere Insert Naie- and Title of the fficer personally appeared U e -c � nn morn _n Name(s) 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. ?� r,STACEY M. FERGLSCN Notary Public • CadPonia Z e► Contra Costa Ca..nry > Commission # 2393210 ••••• My Comm. Expires Feb 7, 2026 Place Notary Seal and/or Stamp Above I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature OPTIONAL Public Completing this information can deter alteration of the document or fraudulent reattachment of this form to an unintended document. Description of Attached Document Title or Type of Document: Document Date: Signer(s) Other Than Named Above: Capacity(ies) Claimed by Signer(s) Signer's Name: ❑ Corporate Officer— Title(s): ❑ Partner — ❑ Limited ❑ General ❑ Individual ❑ Attorney in Fact ❑ Trustee ❑ Guardian or Conservator ❑ Other: Signer is Representing: ©2019 National Notary Association Number of Pages: Signer's Name: ❑ Corporate Officer — Title(s): ❑ Partner — ❑ Limited ❑ General ❑ Individual ❑ Attorney in Fact ❑ Trustee ❑ Guardian or Conservator n Other - Signer is Representing: DOC #2024-0314328 Page 51 of 178 NOTARY 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 Riverside On OCTOBER 1, 2024 before me, OSCAR MOJICA, Notary Public, personally appeared JON McMILLEN (as City Manager for the City of La Quinta) who proved to me on the basis of satisfactory evidence to be the person(} whose name(64 iski% subscribed to the within instrument, and acknowledged to me that he/she4l4ey executed the same in his/her�theiF authorized capacity(")" and that by his/pelf signature(} on the instrument the person(s); or the entity upon behalf of which the persons} acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature: N�� *my MCIACA Notary Public - California Riverside County Commission 8 2461871 Comm. Expires Sep 1, 2027 (notary seal) EXHIBIT A LEGAL DESCRIPTION OF PROPERTY LEGAL DESCRIPTION DOC #2024-0314328 Page 52 of 178 PARCEL 1: (APN'S: 766-110-003 AND 766-120-001) THE WESTERLY 300.00 FEET OF SECTION 33, TOWNSHIP 6 SOUTH, RANGE 7 EAST, SAN BERNARDINO BASE AND MERIDIAN, ACCORDING TO UNITED STATES GOVERNMENT SURVEY THEREOF; EXCEPTING THEREFROM THAT PORTION DESCRIBED AS FOLLOWS: BEGINNING AT THE SOUTHWEST CORNER OF SAID SECTION 33; THENCE NORTHERLY ALONG THE WESTERLY LINE THEREOF, 1452.00 FEET; THENCE EASTERLY AT RIGHT ANGLES TO SAID WESTERLY LINE, 300.00 FEET; THENCE SOUTHERLY AT RIGHT ANGLES, 1452.00 FEET TO THE SOUTHERLY LINE OF SAID SECTION 33; THENCE WESTERLY ALONG SAID SOUTHERLY LINE 300.00 FEET TO THE POINT OF BEGINNING; ALSO EXCEPTING THEREFROM THAT PORTION CONVEYED TO THE UNITED STATES OF AMERICA, MORE PARTICULARLY DESCRIBED AS FOLLOWS: BEGINNING AT A POINT ON THE WEST LINE OF SAID SECTION 33, THE NORTHWEST CORNER OF SAID SECTION 33 BEARS NORTH 00 DEG 01'00" WEST, 920.00 FEET; THENCE NORTH 89 DEG 26'27" EAST 300 FEET; THENCE SOUTH 00 DEG 01'00" EAST 400.00 FEET; THENCE SOUTH 89 DEG 29'45" WEST 300.00 FEET TO THE SOUTHWEST CORNER OF SAID NORTHWEST 1/4 OF THE NORTHWEST 1/4; THENCE NORTH 00 DEG 010 0" WEST 400.00 FEET ALONG THE WEST LINE OF SAID SECTION 33 TO THE POINT OF BEGINNING; ALSO EXCEPTING THEREFROM THAT PORTION LYING NORTHERLY OF THE FOLLOWING DESCRIBED LINE: BEGINNING AT A POINT ON THE WESTERLY LINE OF SAID SECTION 33, DISTANT THEREON SOUTH 0 DEG 01'00" EAST,1320.00 FEET FROM THE NORTHWEST CORNER THEREOF; THENCE NORTH 89 DEG 2945" EAST, 300.00 FEET TO THE EASTERLY LINE OF THE WESTERLY 300.00 FEET OF SAID SECTION 33; ALSO EXCEPTING THEREFROM THE WESTERLY 30.00 FEET THEREOF. PARCEL 2: (APN: 766-110-004) THE NORTH 3/5 OF THE SOUTHWEST QUARTER OF THE NORTHWEST QUARTER OF SECTION 33, TOWNSHIP 6 SOUTH, RANGE 7 EAST, SAN BERNARDINO BASE AND MERIDIAN, AS SHOWN BY UNITED STATES GOVERNMENT SURVEY. THE SOUTH LINE OF SAID NORTH 3/5 BEING PARALLEL TO THE NORTH LINE OF THE SOUTHWEST QUARTER OF THE NORTHWEST QUARTER OF SAID SECTION 33; EXCEPT THE WESTERLY 300.00 FEET THEREOF. PARCEL 3: (APN: 766-110-007) THE WEST 3/5TH OF THE NORTH HALF OF THE SOUTHEAST QUARTER OF THE NORTHWEST QUARTER OF SECTION 33, TOWNSHIP 6 SOUTH, RANGE 7 EAST, SAN Al 62779493.v7 DOC #2024-0314328 Page 53 of 178 BERNARDINO BASE AND MERIDIAN, AS SHOWN BY UNITED STATES GOVERNMENT SURVEY. THE EAST LINE OF SAID WEST 3/5 BEING PARALLEL TO THE WEST LINE OF SAID SOUTHEAST QUARTER OF THE NORTHWEST QUARTER OF SAID SECTION 33; EXCEPTING THEREFROM THE NORTHERLY 1.00.00 FEET OF THE WESTERLY 400.00 FEET THEREOF; ALSO EXCEPTING THEREFROM AN UNDIVIDED HALF INTEREST IN AND TO ALL OIL, GAS AND HYDROCARBON SUBSTANCES AND ALL MINERALS, WHETHER METALLIC OR NON-METALLIC, IN, UNDER OR ON, OR WHICH MAY BE PRODUCED, EXTRACTED OR REMOVED FROM SAID LANDS, WHICH INTEREST IS SO LIMITED, HOWEVER, THAT THE OWNERS THEREOF HAVE NO RIGHT OF INGRESS, EGRESS OR REGRESS IN, OVER OR ACROSS, OR RIGHT TO DRILL, EXPLORE FOR, MINE OR REMOVE SAID OIL, GAS AND OTHER HYDROCARBON SUBSTANCES AND MINERALS BY OPERATIONS ON THE SURFACE OF SAID LAND, BUT HAVE THE RIGHT TO EXPLORE FOR, MINE AND REMOVE SAID OIL, GAS AND OTHER HYDROCARBON SUBSTANCES AND MINERALS FROM SAID REAL PROPERTY A DEPTH OF FIVE HUNDRED FEET OR MORE BELOW THE SURFACE OF SAID REAL PROPERTY BY SLANT DRILLING, SHAFTS, TUNNELS, OR OTHER MEANS OR OPERATIONS ON OR FROM LAND OTHER THAN SAID LAND. PARCEL 3A: A NON-EXCLUSIVE EASEMENT OVER, UNDER AND UPON EACH OF THE TWO STRIPS OF REAL PROPERTY HEREINAFTER DESCRIBED FOR THE CONSTRUCTION, MAINTENANCE, REPAIR, REPLACEMENT AND USE FOR ALL PEDESTRIAN AND VEHICULAR TRAFFIC OF A ROAD AND OF WATER AND ELECTRICITY TRANSMISSION PIPES, LINES AND ALL EQUIPMENT AND FACILITIES, AND OTHER UTILITIES; SAID STRIPS OF REAL PROPERTY ARE DESCRIBED AS FOLLOWS: THE WESTERLY 30.00 FEET AND THE SOUTHERLY 30.00 FEET OF THE NORTHEAST QUARTER OF SECTION 33, TOWNSHIP 6 SOUTH, RANGE 7 EAST, SAN BERNARDINO BASE AND MERIDIAN, ACCORDING TO UNITED STATES GOVERNMENT SURVEY THEREOF; EXCEPTING THEREFROM THE NORTHERLY AND EASTERLY 30.00 FEET THEREOF. PARCEL 4: (APN: 766-110-009) THE SOUTH HALF OF THE SOUTHEAST QUARTER OF THE NORTHWEST QUARTER OF SECTION 33, TOWNSHIP 6 SOUTH, RANGE 7 EAST, SAN BERNARDINO BASE AND MERIDIAN, AS SHOWN BY UNITED STATES GOVERNMENT SURVEY THEREOF; EXCEPTING THEREFROM AN UNDIVIDED HALF INTEREST IN AND TO ALL OIL, GAS AND HYDROCARBON SUBSTANCES AND ALL MINERALS, WHETHER METALLIC OR NON-METALLIC, IN, UNDER OR ON, OR WHICH MAY BE PRODUCED, EXTRACTED OR REMOVED FROM SAID LANDS, WHICH INTEREST IS SO LIMITED, HOWEVER, THAT THE OWNERS THEREOF HAVE NO RIGHT OF INGRESS, EGRESS OR REGRESS IN, OVER OR ACROSS, OR RIGHT TO DRILL, EXPLORE FOR, MINE OR REMOVE SAID OIL, GAS AND OTHER HYDROCARBON SUBSTANCES AND MINERALS BY OPERATIONS ON THE SURFACE OF SAID LAND, BUT HAVE THE RIGHT TO EXPLORE FOR, MINE AND REMOVE SAID OIL, GAS AND OTHER HYDROCARBON SUBSTANCES AND MINERALS FROM SAID REAL PROPERTY A DEPTH OF FIVE HUNDRED FEET OR A2 62779493.0 DOC #2024-0314328 Page 54 of 178 MORE BELOW THE SURFACE OF SAID REAL PROPERTY BY SLANT DRILLING, SHAFTS, TUNNELS, OR OTHER MEANS OR OPERATIONS ON OR FROM LAND OTHER THAN SAID LAND. PARCEL 5: (APN: 766-120-002) THAT PORTION OF THE SOUTHWEST QUARTER OF SECTION 33, TOWNSHIP 6 SOUTH, RANGE 7 EAST, SAN BERNARDINO BASE AND MERIDIAN, ACCORDING TO UNITED STATES GOVERNMENT SURVEY THEREOF, DESCRIBED AS FOLLOWS: BEGINNING AT THE SOUTHWEST CORNER OF SAID SECTION 33; THENCE NORTHERLY ALONG THE WESTERLY LINE THEREOF, 1452.00 FEET; THENCE EASTERLY AT RIGHT ANGLES TO SAID WESTERLY LINE, 300.00 FEET; THENCE SOUTHERLY AT RIGHT ANGLES, 1452.00 FEET TO THE SOUTHERLY LINE OF SAID SECTION 33; THENCE WESTERLY ALONG SAID SOUTHERLY LINE 300.00 FEET TO THE POINT OF BEGINNING. PARCEL 6: (APN: 766-120-003) THE SOUTHWEST QUARTER OF SECTION 33, TOWNSHIP 6 SOUTH, RANGE 7 EAST, SAN BERNARDINO BASE AND MERIDIAN, ACCORDING TO THE UNITED STATES GOVERNMENT SURVEY THEREOF; EXCEPTING THEREFROM THE WESTERLY 300 FEET THEREOF; ALSO EXCEPTING AN UNDIVIDED THREE -SIXTHS (3/6) INTEREST IN AND TO ALL OIL, GAS, AND OTHER HYDROCARBON SUBSTANCES, AND ALL MINERALS, WHETHER METALLIC OR NONMETALLIC, IN, UNDER OR ON OR WHICH MAY BE PRODUCED, EXTRACTED OR REMOVED FROM SAID REAL PROPERTY. PARCEL 7: (APN: 766-120-015) THE SOUTH HALF OF THE SOUTH HALF OF THE SOUTHEAST QUARTER, AND THE WEST 880 FEET OF THE NORTH HALF OF THE SOUTH HALF OF THE SOUTHEAST QUARTER OF SECTION 33, TOWNSHIP 6 SOUTH, RANGE 7 EAST, SAN BERNARDINO BASE AND MERIDIAN. PARCEL 8: (APN: 753-050-007) THE SOUTH HALF OF THE NORTHEAST QUARTER OF THE SOUTHEAST QUARTER OF SECTION 5, TOWNSHIP 7 SOUTH, RANGE 7 EAST, SAN BERNARDINO BASE AND MERIDIAN, ACCORDING TO UNITED STATES GOVERNMENT SURVEY THEREOF. PARCEL 9: (APN: 753-040-017) THE EAST HALF OF THE EAST HALF OF THE EAST HALF OF THE NORTHEAST QUARTER OF SECTION 5, TOWNSHIP 7 SOUTH, RANGE 7 EAST, SAN BERNARDINO BASE AND MERIDIAN, ACCORDING TO UNITED STATES GOVERNMENT SURVEY THEREOF. PARCEL 10: (APN: 753-040-014) THE WEST HALF OF THE SOUTHEAST QUARTER OF THE NORTHEAST QUARTER OF THE NORTHEAST QUARTER OF SECTION 5, TOWNSHIP 7 SOUTH, RANGE 7 EAST, SAN BERNARDINO BASE AND MERIDIAN, ACCORDING TO UNITED STATES GOVERNMENT SURVEY THEREOF. PARCEL 11: (APN: 753-050-029) 62779493.v7 A3 DOC #2024-0314328 Page 55 of 178 THE NORTH HALF OF THE NORTHEAST QUARTER OF THE SOUTHEAST QUARTER OF SECTION 5, TOWNSHIP 7 SOUTH, RANGE 7 EAST, SAN BERNARDINO BASE AND MERIDIAN. PARCEL 12: (APN: 753-060-003) ALL OF SECTION 4, TOWNSHIP 7 SOUTH, RANGE 7 EAST, SAN BERNARDINO BASE AND MERIDIAN, ACCORDING TO UNITED STATES GOVERNMENT SURVEY THEREOF; EXCEPTING THEREFROM THAT PORTION DESCRIBED AS FOLLOWS: BEGINNING AT THE SOUTHWEST CORNER OF SAID SECTION 4; THENCE SOUTH 89 DEG 50' 58" EAST ALONG THE SOUTHERLY LINE OF SAID SECTION 4 A DISTANCE OF 2644.21 FEET TO THE SOUTH QUARTER CORNER OF SECTION 4; THENCE SOUTH 89 DEG 49'39" EAST CONTINUING ALONG SAID SOUTHERLY LINE OF SECTION 4 A DISTANCE OF 1091.02 FEET; THENCE NORTH 01 DEG 08'54" WEST A DISTANCE OF 301.93 FEET; THENCE NORTH 26 DEG 40'44" WEST A DISTANCE OF 583.47 FEET; THENCE NORTH 18 DEG 03'05" WEST A DISTANCE OF 913.94 FEET; THENCE NORTH 62 DEG 19'09" WEST A DISTANCE OF 523.06 FEET; THENCE NORTH 55 DEG 53'25" WEST A DISTANCE OF 545.46 FEET; THENCE SOUTH 86 DEG 15' 16" WEST A DISTANCE OF 668.56 FEET; THENCE SOUTH 74 DEG 18'58" WEST A DISTANCE OF 248.98 FEET; THENCE SOUTH 47 DEG 47'20" WEST A DISTANCE OF 285.54 FEET; THENCE SOUTH 37 DEG 17'03" WEST A DISTANCE OF 352.51 FEET; THENCE SOUTH 89 DEG 55'17" WEST A DISTANCE OF 268.28 FEET; THENCE SOUTH 73 DEG 28' 11" WEST A DISTANCE OF 330.60 FEET; THENCE SOUTH 44 DEG 46'57" WEST A DISTANCE OF 235.15 FEET; THENCE SOUTH 280 5752" WEST A DISTANCE OF 399.38 FEET; THENCE SOUTH 13 DEG 40'56" WEST A DISTANCE OF 38.51 FEET MORE OR LESS TO THE WESTERLY LINE OF SAID SECTION 4; THENCE SOUTH 00 DEG 55'20" EAST ALONG SAID WESTERLY LINE A DISTANCE OF 999.40 FEET TO THE POINT OF BEGINNING; EXCEPTING THEREFROM ALL OIL, GAS AND OTHER MINERAL DEPOSITS, TOGETHER WITH THE RIGHT TO PROSPECT FOR, MINE, AND REMOVE THE SAME, ACCORDING TO THE PROVISIONS OF THE ACT OF CONGRESS APPROVED JUNE 1, 1938 (52 STAT. 609), AS RESERVED IN THE PATENT RECORDED SEPTEMBER 18, 1992 AS INSTRUMENT NO. 352836 OFFICIAL RECORDS OF RIVERSIDE COUNTY, CALIFORNIA. PARCEL 13: (APN: 753-040-016) THE WEST HALF OF THE SOUTHEAST QUARTER OF THE SOUTHEAST QUARTER OF THE NORTHEAST QUARTER OF SECTION 5, TOWNSHIP 7 SOUTH, RANGE 7 EAST, SAN BERNARDINO BASE AND MERIDIAN, ACCORDING TO UNITED STATES GOVERNMENT SURVEY THEREOF. EXCEPTING THEREFROM 1/2 OF ALL MINERAL RIGHTS BY DEED RECORDED DECEMBER 12, 1984 AS INSTRUMENT NO. 84-265643 OF OFFICIAL RECORDS OF RIVERSIDE COUNTY, CALIFORNIA. PARCEL 14: (APN'S: 766-120-006 AND 766-120-016) THE SOUTHWEST QUARTER OF THE NORTHWEST QUARTER OF THE SOUTHEAST QUARTER, AND THE SOUTH HALF OF THE SOUTHEAST QUARTER OF THE A4 62779493.0 DOC #2024-0314328 Page 56 of 178 NORTHWEST QUARTER OF THE SOUTHEAST QUARTER OF SECTION 33, TOWNSHIP 6 SOUTH, RANGE 7 EAST, SAN BERNARDINO BASE AND MERIDIAN, ACCORDING TO UNITED STATES GOVERNMENT SURVEY THEREOF. EXCEPTING THEREFROM, THAT PORTION CONVEYED TO COACHELLA VALLEY WATER DISTRICT, PER DOCUMENT RECORDED NOVEMBER 12, 2008 AS INSTRUMENT NO. 2008-0597136, OF OFFICIAL RECORDS. PARCEL 15: (APN: 766-120-018) BEING A PORTION OF PROPERTY AS DESCRIBED IN PARCEL 3 OF QUITCLAIM DEED RECORDED MARCH 2, 2006 AS INSTRUMENT NO. 2006-0152345, OFFICIAL RECORDS OF RIVERSIDE COUNTY, STATE OF CALIFORNIA, LOCATED WITHIN THE SOUTHEAST QUARTER OF SECTION 33, TOWNSHIP 6 SOUTH, RANGE 7 EAST, SAN BERNARDINO MERIDIAN (S.B.M.), BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS: PARCEL "A" COMMENCING AT THE CENTER -SOUTH ONE SIXTEEN CORNER OF SAID SECTION 33; THENCE NORTH 89046'28" EAST 880.00 FEET ALONG THE NORTH LINE OF THE SOUTH ONE HALF OF THE SOUTHEAST QUARTER OF SAID SECTION 33 TO THE TRUE POINT OF BEGINNING; THENCE CONTINUING ALONG SAID NORTH LINE NORTH 8904628" EAST 121.48 FEET; THENCE LEAVING SAID NORTH LINE SOUTH 00°11'01" EAST 660.95 FEET; THENCE ALONG THE SOUTH LINE OF THE NORTH ONE HALF OF THE SOUTH ONE HALF OF THE SOUTHEAST QUARTER OF SAID SECTION 33 SOUTH LINE SOUTH 89047'10" WEST 121.48 FEET; THENCE LEAVING SAID SOUTH LINE NORTH 0001ITI" WEST 660.92 FEET TO THE TRUE POINT OF BEGINNING. PARCEL 16: (APN: 766-120-021) BEING A PORTION OF PROPERTY AS DESCRIBED IN QUITCLAIM DEED RECORDED MARCH 12, 2008 AS INSTRUMENT NO. 2008-0121018, OFFICIAL RECORDS OF RIVERSIDE COUNTY, STATE OF CALIFORNIA, LOCATED WITHIN THE SOUTHEAST QUARTER OF SECTION 33, TOWNSHIP 6 SOUTH, RANGE 7 EAST, SAN BERNARDINO MERIDIAN (S.B.M.), BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS: PARCEL "A" COMMENCING AT THE SOUTHEAST CORNER OF THAT REAL PROPERTY AS DESCRIBED IN SAID INSTRUMENT NO. 2008-0121018, ALSO BEING A POINT ON THE EAST SECTION LINE OF SAID SECTION 33; THENCE SOUTH 89047'10" WEST 129.91 FEET ALONG THE NORTH LINE OF THE SOUTH ONE HALF OF THE SOUTH ONE HALF OF THE SOUTHEAST QUARTER OF SAID SECTION 33 TO THE TRUE POINT OF BEGINNING; THENCE CONTINUING ALONG SAID NORTH LINE SOUTH 89047'10" WEST 224.62 FEET TO THE BEGINNING OF A CURVE CONCAVE WESTERLY AND HAVING A RADIUS OF A5 62779493.v7 DOC #2024-0314328 Page 57 of 178 802.00 FEET, A LINE RADIAL TO SAID CURVE AT SAID POINT BEARS NORTH 38°23'25" WEST; THENCE NORTHEASTERLY ALONG THE ARC OF SAID CURVE AN ARC DISTANCE OF 360.07 FEET THROUGH A CENTRAL ANGLE OF 25043'25", A LINE RADIAL TO SAID CURVE AT SAID POINT BEARS SOUTH 64006'50" EAST; THENCE SOUTH 00014'08" EAST 277.63 FEET TO THE TRUE POINT OF BEGINNING. PARCEL 17: (APN: 766-120-023) THAT PORTION OF THE PROPERTY DESCRIBED IN QUITCLAIM DEED RECORDED MARCH 2, 2006 AS INSTRUMENT NO. 2006-0152345, AS PARCEL 5, OFFICIAL RECORDS, RIVERSIDE COUNTY, CALIFORNIA, LYING WITHIN THE SOUTHEAST QUARTER OF SECTION 33, TOWNSHIP 6 SOUTH, RANGE 7 EAST, SAN BERNARDINO MERIDIAN (S.B.M.), BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS: COMMENCING AT THE SOUTHEAST CORNER OF SAID SECTION 33; THENCE NORTH 00014'08" WEST 661.28 FEET ALONG THE EAST LINE OF SAID SECTION 33 TO THE SOUTHEAST CORNER OF SAID PROPERTY, ALSO BEING THE TRUE POINT OF BEGINNING; THENCE LEAVING SAID EAST LINE SOUTH 89047'10" WEST 129.91 FEET ALONG THE SOUTH LINE OF SAID PROPERTY; THENCE LEAVING SAID SOUTH LINE NORTH 000 14'08" WEST 661.25 FEET TO A POINT ON THE NORTH LINE OF SAID PROPERTY; THENCE NORTH 89046'28" EAST 129.92 FEET ALONG SAID NORTH LINE TO THE NORTHEAST CORNER THEREOF, ALSO BEING A POINT ON THE EAST LINE OF SAID SECTION 33; THENCE SOUTH 00014'08" EAST 661.28 FEET TO THE TRUE POINT OF BEGINNING. PARCEL 18: (APN: 764-280-057) THAT PORTION OF THE PROPERTY DESCRIBED IN GRANT DEED RECORDED FEBRUARY 10, 2005 AS INSTRUMENT NO. 2005-0113798, OFFICIAL RECORDS, RIVERSIDE COUNTY, CALIFORNIA, LYING WITHIN THE SOUTHWEST QUARTER OF SECTION 34, TOWNSHIP 6 SOUTH, RANGE 7 EAST, SAN BERNARDINO MERIDIAN (S.B.M.), BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS: BEGINNING AT THE WEST QUARTER CORNER OF SAID SECTION 34; THENCE NORTH 89°48'23" EAST 101.24 FEET ALONG CENTER SECTION LINE OF SAID SECTION 34; THENCE LEAVING SAID CENTER SECTION LINE SOUTH 00°12'45" WEST 10.19 FEET; THENCE SOUTH 20012'35" EAST 13.99 FEET; THENCE SOUTH 00037'20" WEST 248.84 FEET; THENCE SOUTH 01°19'43" EAST 90.88 FEET; A6 62779493.0 DOC #2024-0314328 Page 58 of 178 THENCE SOUTH 00009'35" WEST 228.86 FEET; THENCE SOUTH 02058'47" WEST 61.50 FEET; THENCE SOUTH 01034'58" WEST 8.01 FEET TO THE SOUTHERLY PROPERTY LINE AS DESCRIBED WITHIN SAID GRANT DEED; THENCE SOUTH 89048'15" WEST 98.67 FEET ALONG SAID SOUTHERLY PROPERTY LINE TO A POINT ON THE CENTERLINE OF MADISON STREET, ALSO BEING THE WEST LINE OF SAID SECTION 34; THENCE NORTH 00014'08" WEST 661.28 FEET ALONG SAID CENTERLINE TO THE TRUE POINT OF BEGINNING. PARCEL 19: (APN'S: 764-280-059 AND 764-280-061) THAT PORTION OF THE PROPERTIES AS DESCRIBED IN GRANT DEEDS RECORDED FEBRUARY 18, 1997 AS INSTRUMENT NO. 053692 AND 053694, BOTH OFFICIAL RECORDS, RIVERSIDE COUNTY, CALIFORNIA, LYING WITHIN THE SOUTHWEST QUARTER OF SECTION 34, TOWNSHIP 6 SOUTH, RANGE 7 EAST, SAN BERNARDINO MERIDIAN (S.B.M.), BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS: COMMENCING AT THE SOUTHWEST CORNER OF SAID SECTION 34; THENCE NORTH 00014'08" WEST 30.00 FEET ALONG THE CENTERLINE OF MADISON STREET, ALSO BEING THE WEST LINE OF SAID SECTION 34 TO THE TRUE POINT OF BEGINNING; THENCE CONTINUING NORTH 00014'08" WEST 1953.83 FEET ALONG SAID CENTERLINE TO A POINT ON THE NORTHERLY LINE OF SAID INSTRUMENT NO. 053692; THENCE LEAVING SAID CENTERLINE NORTH 89048'15" EAST 98.67 FEET ALONG SAID NORTHERLY LINE; THENCE SOUTH 01034'58" WEST 156.30 FEET; THENCE SOUTH 00°29'17" WEST 362.12 FEET; THENCE SOUTH 01°36'06" WEST 205.42 FEET; THENCE SOUTH 00°56'31" EAST 180.24 FEET; THENCE SOUTH 00°04'19" EAST 631.61 FEET; THENCE SOUTH 01°10'49" WEST 168.30 FEET; THENCE SOUTH 03°03'00" EAST 25.26 FEET; THENCE SOUTH 00046'14" WEST 176.88 FEET; THENCE SOUTH 27028'20" EAST 54.03 FEET TO A POINT ON THE NORTHERLY RIGHT OF WAY OF AVENUE 62 AS DESCRIBED BY DEED RECORDED APRIL 17, 1959 AS INSTRUMENT NO. 32692, OFFICIAL RECORDS OF SAID COUNTY; THENCE SOUTH 89047'50" WEST 101.67 FEET ALONG SAID NORTHERLY RIGHT OF WAY LINE TO THE TRUE POINT OF BEGINNING. A7 62779493.0 DOC #2024-0314328 Page 59 of 178 EXHIBIT B SITE MAP � e`'l`mN :^�'`t.r� R i a• � a. +{t �M+`' 1 v'.l Y•A .,• RESORT VILLAS ^ "`�•,,,,� �'� „�� K ENTRY ; =liar: `,^� ( '-`'"•,;,,}� " . 1 atcr i,.r ' '.4 -i�� NAP, i h � t + uw•� LOWER COMMUNITY ti " ✓ I{ �j ( fib° CENTER }{ (� IY v i INTERCONNECTOR: w w" N�RANO LQCPICOMMU'RAII TRAILS t : { g ° t �•. � t I 4�� 1L TRAIL STAGING, AREA .� 1 F -Y V�~•,I � � � 6t }, t S "� • jj P ' `,,i • o'��a�• �°t �, r ~' fO, 11 ti GOLF (j}°'1,,ACADEMY ' C•C1 �, .� e BANQUETFACIUTV D WEDDING GAROEH° ! STROLLING TRAILS LCOMMUNITY,GRANO FOUR'HOLEPRATIGE ` 'x I •�?�, VNTHRESTSTOPS IOQPTRAIL''` FACILITY }�Xi�vr > , rr r x 5. .,ti �. -- .i. �'• x . i ME 62779493.v7 DOC #2024-0314328 Page 60 of 178 EXHIBIT C EXISTING LAND USE REGULATIONS A. Existing Development Approvals: 1. Environmental Impact Report State Clearing House No. (SCH#) 2018011023, certified by City Council Resolution No. 2024-033. 2. General Plan Amendment No. GPA 2017-0002, adopted by City Council Resolution No. 2024-034. 3. Specific Plan No. SP 2017-0004, adopted by City Council Resolution No. 2024-034. 4. Zone Change No. ZC 2017-0002, adopted by City Council Ordinance No. 616 (2024). 6. Tentative Subdivision Tract Map No. 37387, adopted by City Council Resolution No. 2024-034. B. Other Existing Land Use Regulations: 1. Charter for the City of La Quinta 2. General Plan of the City of La Quinta 3. The La Quinta Zoning Ordinance [Title 9 of the La Quinta Municipal Code] applicable to the Property (including but not limited to the zoning regulations attached as Appendix 1 to Specific Plan No. SP 2017-0004 that permit the use of portions of the Property for the Operations and Servicing Activities for CVWD) 4. The La Quinta Greenhouse Gas Reduction Plan, adopted February 19, 2013 [Note: City and Owner to determine how to best maintain copies of the above documents for future reference as referenced in the Agreement.] 62779493.v7 DOC #2024-0314328 Page 61 of 178 EXHIBIT D DESCRIPTION OF PUBLIC BENEFITS The public benefits to be received by CITY and its residents as a result of this Agreement include, without limitation, the following: 1. Fiscal Contributions A. Expansion of Real Property Tax Base and Resulting Revenues: Development of the Project is projected to increase the property tax base within the City by $630.7 million, and would generate nearly $6.0 million per year in new General Fund revenue for the City at full buildout of the project (and thereafter) (not including inflation and appreciation). Based on the Travertine Specific Plan ( "TSP" or "Specific Plan") as proposed and the July 27, 2023 Fiscal Impact Analysis ("2023 FIA"), projected increased revenue sources to CITY in 2023 values include, but are not limited to: i. Increased Property Tax Revenues: Increased annual property taxes to the City of approximately $1.4 million (not including inflation and appreciation) at full buildout. ii. Construction Related Fee Revenue: The City will receive a projected $11,599,949.00 in estimated revenues [according to the 2023 FIA] to pay for plan check, inspections and other building/infrastructure fees. iii. Transient Occupancy Tax: The City will receive approximately $980,000 per year in transient occupancy taxes from TSP resort uses and approximately $2.2 million per year in transient occupancy taxes from TSP short-term rentals. iv. Positive Fiscal Impacts: While there are no anticipated deficits to the General Fund caused by the Project, should any project related deficit occur, such amounts will be reimbursed by OWNER pursuant to Paragraph 1.13 below and Section 3.7 of the Agreement. V. Net Positive Revenue Impact: Projected $2.0 million annual net positive impact to the City's revenues (at full buildout of the project, not including inflation and appreciation) B. Fire, Police and Emergency Services: OWNER will cause the following contributions for emergency services to CITY to be paid by OWNER or a Financing District if and when duly established in accordance with the Agreement: i. Development related public safety expenditures: OWNER will cause the difference to be paid into the CITY's general fund. If this fiscal impact to CITY's general fund caused by the Project occurs, it will be funded through payment of an annual "Annual Impact Fee". The Annual Impact Fee may be paid either by the OWNER or through a Financing District. The amount of the Annual Impact Fee will be determined by the CITY on an annual basis throughout the Term of the Agreement, comparing the annual revenues received into the City's General Fund generated from the Project and the revenues estimated in the 2023 FIA. The CITY will calculate the amount for the Annual Impact Fee in such a manner so that any Impact Fees that have been paid by OWNER at the time when those Impact Fees were due and payable to the CITY are accounted for as contributing revenues that had been estimated in the 2023 FIA. The CITY and OWNER will coordinate in good faith for the process under which the Annual Impact Fee will be calculated by the CITY and paid by OWNER. D-1 62779493.0 DOC #2024-0314328 Page 62 of 178 ii. New Fire Station Servicing Project and Surrounding_ Area: Development of the Project and the Property has been identified pursuant to that certain Fire Access Master Plan (Approved 9/22/2020) as requiring the construction, equipping and placing in service of a new fire station. The Conditions of Approval for Project Site Development Permits, Condition No. 82, requires the participation of each and every landowner in contributing its fair share of the cost of construction of a fire station to serve the project. Payment of each landowner's fair share contribution, if not otherwise agreed upon by the OWNER and the CITY and memorialized in a recorded covenant pursuant to Condition No. 82, shall be accomplished through the Financing District. C. School Facilities Modernization: Pursuant to and at the times provided in separate agreements with the Coachella Valley Unified School District and the Desert Sands Unified School District (collectively, "Districts"), OWNER will pay school impact fees of approximately $4.79 / square foot (residential fee) for such staffing and/or expansion and modernization of school facilities as may be identified by the District and agreed to by OWNER. D. County Library Equipment: Prior to issuance of a certificate of occupancy for the first residential dwelling unit within the Project, OWNER will contribute the required fee, estimated to be approximately $466,783.00 [according to the 2023 FIA], to the County of Riverside Public Library. 2. Dedication/Preservation of Public Park, Trails and Open Space A. Public Facilities: OWNER will convey 0.9 gross acres to CITY for use as a public facility (such as trail head parking). B. Improvement of Trail Head Parkin: C. Trails: As provided in the TSP, OWNER will develop a publicly -accessible trail system on over 6.4 acres within the Project, providing connectivity to open space, surrounding public recreation facilities, and trails. The trail system, which will include a scenic promenade and network of sidewalks and multi -use trails, will be constructed in phases as the Project is developed. The trail system shall remain accessible to the general public in perpetuity and shall be made available in the same manner as if it were a public trail system, subject to such reasonable rules and regulations as established from time to time by the homeowner's association responsible for ownership and maintenance of the trail system. D. Open Space Preservation; Habitat Reserve: As provided in the TSP, approximately 301.2 acres of land within the Project will be used for open space uses. Of the 301.2 acres, there will be approximately 2.3 acres dedicated to domestic water facilities owned and operation by CVWD. Furthermore, there will be approximately 100 additional acres purchased which will provide habitat for Peninsular bighorn sheep (Ovis canadensis nelsons), a federally -designated threatened species, and other species ( "Habitat Reserve"). The Habitat Reserve will be managed and monitored in perpetuity under an endowment funded by OWNER at no cost to CITY. The Habitat Reserve will be restricted by a conservation easement, deed restriction or similar restriction to ensure its preservation as a habitat area as required by the United States Fish and Wildlife Service or other applicable resource agency. E. Maintenance Responsibilities Regarding Park, Trails and Open Space: Paragraph 5 below provides a breakdown of the various maintenance responsibilities of the Parties regarding roadways, infrastructure, park, open space and other improvements. D-2 62779493.0 DOC #2024-0314328 Page 63 of 178 F. Financing District: All reasonable costs of CITY related to the formation of any Financing District contemplated by this Agreement will be paid by OWNER or reimbursed by the Financing District as more specifically described in Exhibit F. Any such Financing District may include all or a portion of the Project. CITY shall not be responsible for any Financing District obligations except as otherwise provided in Exhibit F. 3. Circulation Improvements A. Public and Private Streets within Project: The extension of Jefferson Street and Avenue 62 (as shown on the TSP) and any streets with a back -of -curb to back -of -curb width of 36 feet wide or greater shall be acquired by, or conveyed to CITY in as public rights-of-way from back -of -curb to back -of -curb upon completion of construction in compliance with plans therefor approved by CITY. Other streets within the Project may be maintained by a homeowner's association at no cost to CITY, and, if any such street is private, CITY will permit it to be gated. B. Construction and Funding, of Circulation Improvements. The construction and funding for the circulation improvements referenced in Paragraph 3.0 (the "Jefferson Street Improvements"), Paragraphs 3.13 (the "Avenue 62 Improvements"), and 3.E below (the "Other Circulation Improvements") shall be as follows: i. Jefferson Street Improvements: No later than prior to the issuance of the 601" certificate of occupancy for a residential dwelling unit within the Project, OWNER shall substantially complete OWNER's share of the Jefferson Street Improvements (based upon the segment of roadway specified in this Paragraph 3 and as further illustrated on Exhibit D-1 attached hereto, which segment is the same as what is specified in Appendix M.1, Section 4.16 of the EIR,) as said improvements are described in the Traffic Study for the Travertine Residential Project, La Quinta dated September 27, 2021 (the "Traffic Report"). In the event that construction of OWNER's share of the Jefferson Street Improvements requires that OWNER also construct any portion of CITY's share of said improvements as described in the Traffic Report (the "City Portion"), then OWNER shall set up separate accounting for the construction of the City Portion and construct the City Portion at OWNER's cost, subject to reimbursement by CITY through one or more of the following: (a) payment to OWNER by CITY from its general fund or other funds available to CITY in the amount of the actual cost of the CITY Portion constructed by OWNER (the "CITY Share"), (b) issuance by CITY to OWNER of credits equal to the CITY Share to be applied against payment of Development Impact Fees, as defined in the Agreement, or (c) payment by CITY of funds deposited by OWNER for the Other Circulation Improvements specified in Paragraph 3.E below from the escrow account established pursuant to Paragraph 3.B(iii) below. CITY shall pay the CITY Share to OWNER or issue the Development Impact Fees credits to OWNER within thirty (30) days of CITY's receipt of OWNER's invoice for the CITY Share, together with backup information substantiating how the CITY Share of the actual construction costs of the CITY Portion was determined. ii. Avenue 62 Improvements. Prior to City's certification of grading for Phase A of the Project, OWNER shall substantially complete, the Avenue 62 Improvements described in Paragraph 3.D below. iii. Other Circulation Improvements. The Other Circulation Improvements described in Paragraph 3.E below shall be constructed by CITY at such time as determined by CITY. The parties agree that CITY shall determine the order of priority in which it constructs the Other Circulation Improvements. OWNER's "Fair Share" of the Other Circulation Improvements shall be the portion of the cost of such improvements based upon the segment of roadway as specified in this Paragraph 3 and as further illustrated on Exhibit D-1 attached hereto. OWNER shall either (a) pay or cause (through a public Financing District) its Fair Share of the cost of the D-3 62779493.v7 DOC #2024-0314328 Page 64 of 178 Other Circulation Improvements (which cost is based upon the estimated price for each such improvement in the Traffic Report, including the contingency) by depositing said Fair Share into an escrow account established by City for all Other Circulation Improvements prior to the issuance of the rough grading permit for the Project, or (b) pay its Fair Share of the cost of the Other Circulation Improvements based upon the contract price for each Other Circulation Improvement within thirty (30) days after OWNER's receipt of written notice from CITY that CITY has acquired the necessary right-of-way and has awarded a construction contract for the Other Circulation Improvements. (For OWNER payments pursuant to subsection (b) of the preceding sentence, if City constructs the Other Circulation Improvements pursuant to separate contracts for one of more of said improvements, then OWNER shall pay CITY the amount of OWNER's Fair Share for the applicable improvement to be constructed within thirty (30) days after OWNER's receipt of written notice from CITY that CITY has acquired the necessary right-of-way and has awarded a construction contract for each such Other Circulation Improvement.) Upon construction and/or payment of its share of the Circulation Improvements as provided in subsections (i), (ii) and (iii) above, OWNER shall be deemed to have fully satisfied its obligations with respect to the construction and funding of the Circulation Improvements described above. C. Jefferson Street Improvements. The Jefferson Street Improvements are generally described as follows: i. Wideningz/Surfacing: Jefferson Street will be extended, widened and resurfaced to a 40 -foot -wide roadway, from Avenue 58 and extending across Guadalupe Creek Diversion Dike to include one lane in each direction, with 40' pavement section with sidewalk on the west side. ii. Sidewalks, Landscaping and Related Improvements: In connection with the Jefferson Street roadwork, new curb, gutter, sidewalk and landscape improvements will be installed. A 6 -foot -wide sidewalk and related landscape improvements will be constructed within the SP area. iii. Bike Lanes: A Class II bike lane will be completed within the road right-of- way providing access to other areas of CITY. iv. Bus Stops: Additional bus stops or turnouts are proposed along Jefferson Boulevard near the Project site. D. Avenue 62 Improvements: Development of the Project will also include the following improvements that will improve circulation and safety on Avenue 62. i. Culvert/Drainage Improvements: Construction of drainage -related infrastructure adjacent to Avenue 62 to reduce or minimize flooding on Avenue 62 during storm events. E. Surrounding RoadwU Improvements: Construction and/or Fair Share contribution of roadway improvements outlined in the Traffic Report. F. Maintenance Responsibilities for Circulation Improvements: Paragraph 5 below provides a breakdown of the various maintenance responsibilities of the Parties regarding roadways, infrastructure, park, open space and other improvements. 4. Backbone Infrastructure and Related Benefits: Following issuance of the first permit for mass grading of the Project and at such times as provided in the Project Approvals or as D-4 62779493.v7 DOC #2024-0314328 Page 65 of 178 required by applicable agencies in connection with such Development, OWNER will provide the following: A. Water Reservoirs: OWNER will construct two new onsite water reservoirs, as well as install a new pump station to service the 0.6 -million -gallon reservoir. These improvements will enhance the fire -flow capabilities of the water service system in this area of CITY. This will benefit both residents of the Project and residents of the City of La Quinta northerly of the Project. B. Water Quali1y Basins: OWNER will construct a number of water quality basins, bioswales, water quality filtration inlets, detention basins and similar features designed to enhance water runoff from the Project. This will enhance water quality to receiving waters, reduce pollutant runoff, and promote groundwater recharge. C. Maintenance Responsibilities for Backbone Infrastructure: See Pargarph 5 below for breakdown of the various maintenance responsibilities of the Parties regarding roadways, infrastructure, park, open space and other improvements. 5. Maintenance Responsibilities. Other than for the public walkway and landscaping along Jefferson Street and Avenue 62 (which will be maintained by CITY), OWNER shall provide for ongoing maintenance of all landscaping (including all common area landscaping and landscaping within public rights-of-way within the Project boundary), trails, walkways and protected open space installed or located within the Project, including but not limited to all public rights-of-way (except for the Public Facilities) through a homeowner's association or other financing mechanism at no cost to CITY. CITY shall maintain, at its sole cost and expense, the curbs and pavement between the curbs, the storm drain lines installed within the open space to service the Project, as well as other sewer and storm drains as shown on the attached "maintenance responsibility" exhibits. Depictions showing the respective maintenance obligations of OWNER and CITY as described above, as well as maintenance responsibilities not specified above of OWNER, CITY and other responsible parties, are attached hereto as Exhibits D-2 and D-3. 6. Incorporation of Sustainable Features in Development A. Landscaping: OWNER will install substantial landscape material, including trees, shrubs, and ground cover on the Project site during Development of the Project. This will facilitate absorption of greenhouse gases. B. Home Design: OWNER will ensure implementation of project design features and compliance with all greenhouse gas emissions mitigation measures identified in the Project Approvals. C. Community Facilities Design: OWNER will incorporate all project design features and ensure compliance with all greenhouse gas emissions mitigation measures identified in the Project Approvals. D. Site Planniniz: In connection with site planning for the Project, the Project proposes resource efficient building design by installing green roofs and solar panels, considering the solar orientation of the buildings to reduce environmental impacts, and implementing passive and active solar systems to take advantage of local climate conditions. In addition, the incorporation and design of the internal roadways, sidewalks and multi -use trail system will enhance and encourage residents to walk or bike to nearby resort, retail, golf training facility and recreational facilities. E. Project Design Features (PDFs): OWNER will incorporate the following design features and attributes for promoting energy efficiency and sustainability, which shall be D-5 62779493.0 DOC #2024-0314328 Page 66 of 178 enforceable by the City pursuant to the terms of this Agreement and the EIR Mitigation Monitoring and Reporting Program. Pedestrian connections shall be provided to surrounding areas consistent with the City's General Plan. Providing a pedestrian access network to link areas of the project site encourages people to walk instead of drive. The project would provide a pedestrian access network that internally links all uses and connects to all existing or planned external streets and pedestrian facilities contiguous with the project site. The project would minimize barriers to pedestrian access and interconnectivity. The project will include improved design elements to enhance walkability and connectivity. Improved street network characteristics within a neighborhood include street accessibility, usually measured in terms of average block size, proportion of four- way intersections, or number of intersections per square mile. Design is also measured in terms of sidewalk coverage, building setbacks, street widths, pedestrian crossings, presence of street trees, and a host of other physical variables that differentiate pedestrian -oriented environments from auto -oriented environments. • The project will design building shells and building components, such as windows; roof systems: electrical and lighting systems: and heating, ventilating, and air conditioning systems to meet Title 24 Standards in effect at the time of construction. 2019 Title 24 standards are expected to result in 30% less energy for non-residential buildings and 53% less energy use for residential use due to lighting upgrades. The project is required to comply with SCAQMD Rule 445, which prohibits the use of wood burning stoves and fireplaces in new development. Using electricity generated from photovoltaic (PV) systems displaces electricity demand which would ordinarily be supplied by the local utility. Since zero GHG emissions are associated with electricity generation from PV systems, the GHG emissions reductions from this PDF are equivalent to the emissions that would have been produced had electricity been supplied by the local utility. A minimum of 15% of the project's electricity demand will be generated on-site. • In order to reduce the amount of waste disposed at landfills, the project would be required to implement a 65% waste diversion as required by AB 939. The following PDFs are part of the project, but no numeric credit has been taken for their implementation to provide a conservative analysis: • Specified use of Energy Star appliances. • Installation of water -efficient plumbing fixtures. • Installation of light -emitting diode (LED) technology within homes. • Use of drought -tolerant plants in landscape design. • Installation of water -efficient irrigation systems with smart sensor controls. • Lighting sources contribute to GHG emissions indirectly, via the production of the electricity that powers these lights. Public street and area lighting includes: streetlights, pedestrian pathway lights, area lighting for parks and parking lots, and outdoor lighting D-6 62779493.0 DOC #2024-0314328 Page 67 of 178 around public buildings. Lighting design should consider the amount of light required for the area intended to be lit. Lumens are the measure of the amount of light perceived by the human eye. Different light fixtures have different efficacies or the amount of lumens produced per watt of power supplied. This is different than efficiency, and it is important that lighting improvements are based on maintaining the appropriate lumens per area when applying this measure. Installing more efficacious lamps will use less electricity while producing the same amount of light, and therefore reduces the associated indirect GHG emissions. D-7 62779493.0 DOC #2024-0314328 Page 68 of 178 EXHIBIT D-1 Owner's Circulation and Public Benefit Improvements Increased Habitat Area and Open Space - Approximately 357.1 acres of open space, which includes (a) approximately 55.9 acres to be dedicated or used for public recreational, staging areas, gathering areas and trail purposes, open space uses including picnic tables, barbeques, golf practice facilities, and staging facilities for the public regional interpretative trail and (b) 301.2 acres of natural open space uses, consistent with the TSP. 2. Public Trails and Staging Area - The Project will provide approximately 5 miles of public Trail with a small staging area with parking located at the eastern project entry south of Ave 62. The trail will incorporate educational elements highlighting native desert ecology and floral and faunal species, including Peninsular bighorn sheep. Jefferson Street Improvements - On-site, Jefferson Street should be constructed from the North Loop intersection to the northerly Project boundary at its ultimate full section width, with curb and gutters. The 601st certificate of occupancy shall not be issued until Jefferson Street from Avenue 60 (the project boundary of the Travertine Development) to Avenue 58 is constructed. 4. Avenue 62 Roadway Improvements — The Project will be responsible to construct interim cross-section improvements along Avenue 62 west of Monroe Street and extending across Dike No. 4 to include one lane in each direction, with 40' pavement section with sidewalk on the north side. 5. Madison EVA — The Project will be responsible to construct 1 mile of roadway improvements to Madison Street from Ave 60 to the SP boundary as an emergency vehicular access to include one lane in each direction, with 24' pavement section. 6. CVWD Water Tanks and Access Road — Two on-site reservoirs (Zone 335 and Zone 425) and access to be constructed. The volume of the upper tank will be 600 thousand gallons and the lower tank will be a volume of 2.65 million gallons. 7. Up to Five (5) CVWD Well Sites — The project will develop up to five well sites located within a 2 -mile radius of the project site. TOT — Revenue from Resort uses and Short -Term Vacation Rentals. D-8 62779493.v7 DOC #2024-0314328 Page 69 of 178 EXHIBIT D-2 Depiction of Landscape and Street Maintenance Responsibilities AVENUE 38 m lJ( , . Ty -t}. Z` • •' !_i_ t,�'. AVENUE 60 _�{ ggp lEj i, .. ' S (. t Y} . • , `;` t 1 • Ji } AVENUE 62 rX w : D-9 62779493.v7 DOC #2024-0314328 Page 70 of 178 EXHIBIT D-3 Depiction of Storm Drain Maintenance Responsibilities 4 . �i r� on I y 4 .f t 1 � l r I I �f 62779493.v7 t.t AVENUEI 711-1 J t N STbRM jN I ,I� -li 1 f• �I' A% /9 l t" :`t y FLOOD- PROTECTN)N -�L... D-10 DOC #2024-0314328 Page 71 of 178 EXHIBIT E FORM OF GRANT DEED/OFFER FOR PUBLIC FACILITIES [attached] 62779493.v7 RECORDING REQUESTED BY AND RETURN TO: City of La Quinta 78-495 Calle Tampico La Quinta, CA 92253 Attn: City Clerk DOC #2024-0314328 Page 72 of 178 (Space Above For Recorder's Use) Exempt recording fee pursuant to Govt. Code § 6103. I1 THIS GRANT OF EASEMENT AND AGREEMENT (hereinafter referred to as the "Agreement") is made this day of , 20_3 by , a (hereinafter referred to as the "Grantor"). RECITALS A. Grantor is the legal owner of a fee interest in certain real property located in the County of Riverside, State of California, commonly known as , La Quinta, California, which property is identified by Riverside County Assessor Parcel Number(s) and more particularly described in Exhibit C attached hereto and incorporated herein by reference (hereinafter referred to as the "Property"). B. Grantor desires to grant to the City of La Quinta, a California municipal corporation and charter city (the "City"), a perpetual and irrevocable easement in, on, under and across a portion of the Property described in Exhibit A and depicted in Exhibit B both of which are incorporated herein b this reference) for [ INSERT AS APPLICABLE: WEIR 8= i .- I. AGREEMENT NOW, THEREFORE, Grantor and City agree as follows: 1. GRANT: DESCRIPTION OF EASEMENT AREA. Grantor grants the City an easement for the purposes listed below on that portion of the Property described on Exhibit A and depicted in Exhibit B (the "Easement Area"). 2. PURPOSE. The easement is for a perpetual and irrevocable easement in, on, under and across the Easement Area for right -of-&. public street, utility purposes and ancillar-g u: 3. DECLARATION OF RESTRICTIONS. Grantor shall retain all normal rights and incidents of ownership of the underlying fee interest in the Property not inconsistent with E-1 this Agreement. Grantor shall not be bound to undertake any Easement Area to provide for the public t)urt)oses hereunder, DOC #2024-0314328 Page 73 of 178 or maintenance of the Grantor must relocate any utilities or other encumbrances located within the Easement Area at Grantor's sole cost and expense if requested by City for use of the Easement Area. Grantor shall be responsible for any hazardous materials or contaminants located in the Easement Area prior to the date of this Agreement. 4. DURATION; SUCCESSORS AND ASSIGNS, RUNS WITH THE LAND. This Agreement shall be binding upon the owner and the heirs, assigns or successors in interest to the Property described above in perpetuity and shall not expire. This Agreement and terms, conditions and restrictions shall run with the land and be binding on the heirs, assigns and successors of the Grantor in the manner provided for herein. 5. TAXES AND ASSESSMENTS. This Agreement, easement and restrictions shall be deemed to constitute a servitude upon and burden to the Property within the meaning of Section 3712(d) of the California Revenue and Taxation Code, or successor statute, which survives a sale of tax -deeded property. 6. COUNTERPARTS. This Agreement may be executed in one or more counterparts, which, taken together, shall constitute one complete and enforceable agreement. [Signatures Contained On Following Page] E-2 DOC #2024-0314328 Page 74 of 178 Executed this day of , 20_, at La Quinta, California. "Grantor" a California non-profit corporation By: Its: By: Its: CITY OF LA QUINTA, a California municipal corporation and charter city C City Manager Attest: City Clerk APPROVED AS TO FORM City Attorney E-3 STATE OF CALIFORNIA ) ss. COUNTY OF ) On , before me, DOC #2024-0314328 Page 75 of 178 a notary public, personally appeared , personally known to me (or 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. Witness my hand and official seal. Signature STATE OF CALIFORNIA ) ss. COUNTY OF ) On , before me, a notary public, personally appeared , personally known to me (or 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. Witness my hand and official seal. Signature E-4 DOC #2024-0314328 Page 76 of 178 EXHIBIT A (Legal Description of Easement Area Attached) E-5 DOC #2024-0314328 Page 77 of 178 EXHIBIT B (Depiction of Easement Area Attached) E-6 DOC #2024-0314328 Page 78 of 178 EXHIBIT C (Legal Description of Property Attached) E-7 DOC #2024-0314328 Page 79 of 178 EXHIBIT F FINANCING OF PUBLIC FACILITIES AND POTENTIAL PUBLIC PROPERTIES CITY and OWNER acknowledge that the Development Agreement contemplates the establishment by City Council or another agency authorized to establish a Financing District or one or more Financing Districts. It is expected a single Financing District will be established under the provisions of the Mello -Roos Community Facilities Act of 1982, as amended (the "Mello -Roos CFD Act"), and City's CFD Policy, to finance the acquisition of Potential Public Properties and the acquisition and construction of Public Facilities necessary to meet increased demands placed upon local agencies as the result of the development of the Property or as referenced elsewhere in the Development Agreement. CITY and OWNER shall use good faith efforts to establish one or more Financing Districts that include the Property, subject to the Goals and Policies, except to the extent any such goal or policy is waived by action of the City Council, applicable State law and the following general considerations: A. General Parameters. i. Formation Advance. Upon written demand of CITY's Finance Director, OWNER will advance amounts necessary (in an amount at least as much as required by the City's CFD Policy) to pay all reasonable costs and expenses of CITY to evaluate and structure one or more proposed Financing Districts that include the Property, to the end that CITY will not be obligated to pay any costs related to the formation or implementation of the proposed Financing District(s) from its own general fund. CITY staff will provide OWNER with a Deposit/Advances Agreement and a preliminary budget for such costs at such time as OWNER decides to move forward with the formal process of establishing the Financing District(s), and will advise OWNER from time to time as to any necessary modifications to that budget. ii. Reimbursement of Advance. If requested by OWNER, each Financing District will provide for the reimbursement to OWNER of any advances by OWNER described in Subparagraph A.i. above, and any other costs incurred by OWNER that are directly related to the Financing District(s), such as the costs of legal counsel, financial advisors, special tax consultants, engineers and other persons retained by OWNER. OWNER agrees to promptly submit to CITY a detailed accounting of all such costs incurred by OWNER upon written request, but in any event at least thirty (30) days prior to the issuance of any Bonds for the Financing District. Such other costs will be reimbursed to OWNER, without interest, only from the proceeds of Bonds issued for the applicable Financing District, and then only to the extent that CITY's bond counsel determines that such reimbursement is permitted under relevant State law, and CITY's Finance Director determines, with the assistance of CITY's Financial Advisor, that such costs are reasonable and necessary to the formation of the applicable Financing District, or otherwise were incurred in furtherance of the purposes of the applicable CFD. iii. Selection of Financing Team. Pursuant to the City's CFD Policy, the CITY has a right of first refusal to select the financing team, including bond counsel, underwriter, appraiser, absorption consultant, financial advisor, special tax consultant and other consultants deemed necessary by the CITY to accomplish any Financing District financing. The CITY will select the financing team in consultation with OWNER. B. Financing District Boundaries. It is expected the Financing District will only include the Property or portions thereof. The Financing District may include more improvement areas designated pursuant to Section 53350 of the Government Code (each, an "Improvement Area") corresponding to grading phases of the Property, or as otherwise desirable to reflect the F-1 62779493.0 DOC #2024-0314328 Page 80 of 178 manner and phasing of construction to occur on the Property, for purposes of financing of, or contributing to the financing of, Public Facilities, and the acquisition of Potential Public Properties. Each Improvement Area shall be authorized to finance all or any of the Public Facilities and Potential Public Properties regardless of the location of the Public Facilities or Potential Public Properties. C. Public Facilities and Properties. i. Public Facilities Construction Schedule. OWNER shall submit to CITY a description of, and proposed construction schedule for, any Public Facilities to be financed by the Financing District (except with respect to facilities to be financed at the option of CITY, as described elsewhere in the Development Agreement), including the priority and financing needs relative to the proposed Public Facilities. CITY will disburse available Financing District Proceeds (defined below) in accordance with such priorities, and as otherwise provided in this Development Agreement and the "Acquisition Agreement" (defined below). ii. Expenditure of Financing District Proceeds. Any Public Facilities to be financed must (i) be permitted under Section 53313.5 of the Government Code and must be necessary to meet increased demands placed upon local agencies as the result of development occurring in the Financing District, or (ii) be specifically authorized for financing elsewhere in this Development Agreement. iii. Construction of Public Facilities. The Public Facilities financed with the Financing District Proceeds shall be constructed in accordance with all applicable prevailing wage laws. Except as expressly set forth in the Development Agreement with respect to certain CITY facilities, it is expected that OWNER will be responsible for the construction of Public Facilities to be financed by the Financing District. CITY will determine, following consultation by CITY staff with OWNER, the bidding requirements and other terms applicable to the construction of Public Facilities, including the possible acquisition of discrete portions or phases of facilities as permitted by Section 53313.51 of the Government Code. CITY and OWNER will enter into an acquisition agreement setting forth the requirements for Public Facilities to be financed by the Financing District (the "Acquisition Agreement"). iv. List of Potential Public Properties. Throughout the Term of the Development Agreement, the CITY and OWNER may identify and keep an active list of properties on, adjacent to, or (to the maximum extent permitted by the Mello -Roos CFD Act) within the vicinity the Property, that would provide for public services or public use consistent with the Mello -Roos CFD Act and the Development Agreement. Such list of properties shall be identified as "Potential Public Properties" that may be subject to acquisition with Financing District Proceeds. The CITY shall be the custodian of and maintain any list of Potential Public Properties. V. Public Facilities Owned By Other Governmental Entities. If any of the Public Facilities proposed to be financed by a community facilities district will be owned or operated by a governmental entity other than CITY, CITY will use reasonable efforts to enter into joint community facilities agreements with respect to such facilities as may be required by Section 53316.2 of the Government Code; however, CITY shall not be required to indemnify or pay the costs of any such governmental entity except with respect to costs or claims arising from the CITY's negligence or willful misconduct or relating to the CITY's Public Facilities. Nothing in this Exhibit shall prevent OWNER from facilitating the execution of any such joint communities facilities agreement by offering to provide any such indemnity or to pay such costs. F-2 62779493.v7 DOC #2024-0314328 Page 81 of 178 D. Rate and Method of Apportionment of Special Taxes. i. Payment of Administrative Costs. The payment of actual initial and annual administrative costs of CITY to be incurred in connection with the Financing District shall be adequately assured, through the inclusion in any special tax methodology of appropriate provision for such costs as estimated by CITY, to the end that CITY's general fund shall never be called upon to provide for initial or any annual administrative costs related to the Financing District. ii. Rate and Method of Apportionment. The rate and method of apportionment of special taxes (the "RMA") for the Financing District and/or each Improvement Area within the Financing District must comply with the requirements of Section 53321(d) of the Government Code, but may establish different tax rates for different categories of property. CITY will consider any categories of property suggested by OWNER, but the apportionment of special taxes must be reasonable as determined by CITY. Given that undeveloped property (i.e., parcels without a building permit) has less of an impact on public facilities than developed property (i.e., parcels with a building permit), it is expected that special taxes will be levied first on developed property to its maximum special tax rate, and then on undeveloped property, as necessary to pay Financing District administrative costs and debt service on outstanding Bonds. iii. Maximum Annual Tax Rate. CITY shall not be under any obligation of any kind to approve an RMA which includes a maximum special tax rate applicable to residential parcels which, when added to all current and projected annual special taxes, real property taxes and other amounts due to public agencies that are secured by liens on such parcels (including but not limited to, liens imposed by any other community facilities district or financing district to fund school district obligations with respect to the Property), is expected to exceed two percent (2.0%) of the estimated market value of such parcels upon completion of expected public and private improvements. CITY and OWNER will cooperate in good faith to establish an RMA for each Improvement Area that will satisfy all applicable requirements of the California Government Code and that are consistent with the preceding sentence and with Subparagraph D.ii above. It is acknowledged that residential parcels will be developed over an extended period of time and that the pricing information determined as of the date of formation of the Financing District may reflect price appreciation that may not be achieved or may be exceeded such that changes to maximum special tax rates in the RMAs may be appropriate from time to time. In light of the foregoing, each RMA will include provisions authorizing an administrative reduction in the maximum special tax rates in one or more tax categories prior to the issuance of Bonds as requested by OWNER to reduce the special tax rates in one or more tax categories. In addition, CITY will, at the written request of OWNER, undertake proceedings pursuant to Section 53331 et seq. of the California Government Code to increase maximum special tax rates in the event of significant increases in expected sales prices of developed residential parcels, similar in lot size and square footage, from those used as a basis for the special tax rates in any RMA then in effect. iv. Annual Tax Increases. At OWNER's request, each RMA shall provide for an annual increase in the maximum special tax up to 2% per year. Each RMA will allow for prepayment, in whole or in part, of the special tax applied to Bonds with fixed expiration dates, pursuant to a methodology acceptable to CITY. V. Additional Special Taxes on Developed Properties. Each RMA may provide, at CITY's discretion, a separate annual special tax on developed property of up to $50 per residential unit (subject to increases as described in D.iv. above) (the "Additional Special Tax"), to be applied to the financing of construction and/or acquisition costs of public facilities designated by CITY in addition to those described in C.i. above, and in addition to any financing for the acquisition and/or construction of Potential Public Properties. F-3 62779493.0 DOC #2024-0314328 Page 82 of 178 vi. Direct Levy of Developed PropertySpecial Taxes. Each RMA shall provide for the levy of special taxes on developed property to pay directly for the Public Facilities and Potential Public Properties. Prior to the issuance of Bonds, the Financing District shall levy special taxes on developed property at the maximum special tax rate and the amount collected each year shall first be applied to pay Financing District annual administrative costs and the remainder shall be deposited in a discrete, interest-earning special tax fund (the "Special Fund") and disbursed to pay for Public Facilities and Potential Public Properties pursuant to the Acquisition Agreement. The amounts deposited in the Special Fund and the net proceeds of Bonds shall be referred to as "Financing District Proceeds." The Financing District may, as directed by the City, also levy the Additional Special Tax on developed property at any time. E. Financing Considerations. i. Financial Viability. The financial viability of any Improvement Area will be of material concern to CITY. CITY will consider written requests by OWNER as to the size, term and timing of any particular issuance of Financing District Bonds, as well as the advice of any financial consultant or underwriter employed by it in connection therewith. ii. 'Securily. Each series of Bonds shall be secured solely by (a) special taxes, (b) proceeds of the Bonds issued that are placed in a bond fund or reserve fund for the financing, (c) tax increment revenues of any Infrastructure Financing District (IFD), if formed, but only to the extent specifically directed and agreed to by OWNER, CITY and the IFD, and.(d), if required, credit enhancement. No CITY general funds or other CITY revenues or assets and no tax increment revenues of the IFD shall be pledged to the repayment of any public financing, except that tax increment revenues may be so pledged to the extent explicitly directed and agreed to by OWNER, CITY and the IFD. Both Parties acknowledge that the security for the bonded indebtedness of the Financing District is non-recourse as to CITY and as to OWNER. iii. Debt Ratio. Except as otherwise authorized by the City Council in accordance with Section 53345.8 of the Government Code, the value of the real property that is subject to the special tax to pay debt service on the Bonds (determined in a manner consistent with the requirement of Section 53345.8 of the Government Code) shall be at least four (4) times the aggregate direct and overlapping debt secured by liens on the real property or such higher value to lien ratio as is necessary to market the Bonds at rates comparable to those for similar financings in the public debt market at the time the bonds are issued. The value of any real property included in a community facilities district shall be determined by CITY in a manner consistent with the third sentence of Subparagraph D.iii. above and Section 53345.8 of the California Government Code prior to each issuance of debt obligations for a Financing District. iv. Credit Enhancement. Following consultation with the bond underwriter, CITY's financial advisor and OWNER, CITY may require a letter of credit from a financial institution acceptable to CITY for up to two years of debt service on a series of Bonds (except the portion of such debt service that is payable from special taxes on completed structures) to the extent that CITY determines such credit enhancement is appropriate in the circumstances or reasonably necessary to market the bonds at reasonable interest rates. The amount of such letter of credit shall be reduced as OWNER conveys property to others and/or structures are completed; and such letter of credit will be released: (a) at such time as the development of the Property has progressed so that annual special tax levies on developed property are sufficient to pay the annual debt service on the Bonds and annual administrative costs in order to provide security for the repayment of the bonds and (b) if and to the extent that substitute letter of credit or other form of credit enhancement (from a financial institution, and in a form, acceptable to CITY) is delivered to CITY. F-4 62779493.0 DOC #2024-0314328 Page 83 of 178 V. Provision of Financial Information. OWNER understands that CITY will have disclosure obligations under state and federal securities laws to prospective purchasers of debt incurred in connection with any community facilities district financing, and OWNER agrees to provide CITY with any financial and other information reasonably requested in connection with such disclosure obligations; provided, however, that if any such financial or other information is requested to be provided regarding OWNER's parent corporation, such information shall be limited to publicly available information provided by OWNER's parent corporation to state and federal governmental agencies in compliance with applicable securities laws. In addition, to the extent determined necessary by disclosure counsel for any community facilities district bonds to be issued, OWNER will execute and comply with its obligations under a continuing disclosure agreement intended to satisfy the requirements of applicable Federal securities laws. F. Disclosure to Future Landowners. OWNER shall comply with all applicable laws as to the disclosure of the existence of any community facilities district to the purchasers of any portion of the Property within the community facilities district. Any and all such disclosure documentation shall be filed by OWNER with CITY's Finance Director. The CITY may require the OWNER to submit to prospective purchasers of all or a portion of the Property, in addition to any disclosure required under applicable law, either: (a) a mutually acceptable form of disclosure statement or (b) a disclosure statement that indicates it has been prepared by CITY and that CITY is solely responsible for its contents. G. Best Efforts Undertaking. Although CITY agrees to use its best efforts to form one or more Financing Districts in accordance with the foregoing, it shall incur no monetary liability for its failure to form any such Financing District. CITY expects that CITY staff will meet and confer with OWNER from time to time with respect to all major aspects of the community facilities district prior to its formation, but the final decisions regarding all aspects of any Financing District shall be subject to the review and approval of City Council. F-5 62779493.0 DOC #2024-0314328 Page 84 of 178 EXHIBIT G CHAPTER 3.25 OF LA QUINTA MUNICIPAL CODE as of EFFECTIVE DATE [to be inserted at recording] 62779493.,/7 9/9/24, 10:30 AM Chapter 3.25 - SHORT-TERM VACATION RENTALS 3.25.010 - Title. DOC #2024-0314328 Page 85 of 178 La Quinta, CA Municipal Code This chapter shall be referred to as the "Short -Term Vacation Rental Regulations." (Ord. 590 § l(Exh. A), 3-16-2021; Ord. 586 § 1(Exh. A), 12-15-2020; Ord. 572 § 1, 2018; Ord. 563 § 1, 2017; Ord. 501 § 2, 2012) 3.25.020 - Purpose. A. The purpose of this chapter is to establish regulations for the use of privately owned residential dwelllings as short-term vacation rentals that ensure the collection and payment of transient occupancy taxes (TOT) as provided in Chapter 3.24 of this code, and minimize the negative secondary effects of such use on surrounding residential neighborhoods. B. This chapter is not intended to provide any owner of residential property with the right or privilege to violate any private conditions, covenants and restrictions applicable to the owner's property that may prohibit the use of such owner's residential property for short-term vacation rental purposes as defined in this chapter. C. The requirements of this chapter shall be presumed to apply to any residential dwelling that has received a short-term vacation rental permit. A rebuttable presumption arises that, whenever there is an occupant(s), paying rent or not, of a residential dwelling that has received a short-term vacation rental permit, the requirements of this chapter shall apply, including but not limited to any suspension or other modifications imposed on a short-term vacation rental permit as set forth in this chapter. The city manager or authorized designee shall have the authority to implement any necessary or appropriate policies and procedures to apply the rebuttable presumption set forth in this section. (Ord. No. 607, E:xh. A, 12-5-2023; Ord. 590 § 1(Exh. A), 3-16-2021; Ord. 586 § 1(Exh. A), 12-15-2020; Ord. 572 § 1, 2018; Ord. 5 i § 1, 2017; Ord. 501 § 2, 2012) 3.25.030 - Definitions. For purposes of this chapter, the following words and phrases shall have the meaning respectively ascribed to them by this section: "Advertise, ""advertisement, ""advertising, ""publish, "and "publication" mean any and all means, whether verbal or written, through any media whatsoever whether in use prior to, at the time of, or after the enactment of the ordinance adding this definition, used for conveying to any member or members of the public the ability or availability to rent a short-term vacation rental unit as defined about:blank 1/26 9/9/24, 10:30 AM DOC #2024-0314328 Page 86 of 178 La Quinta, CA Municipal Code in this section, or used for conveying to any member or members of the public a notice of an intention to rent a short-term vacation rental unit as defined in this section. For purposes of this definition, the following media are listed as examples, which are not and shall not be construed as exhaustive: verbal or written announcements by proclamation or outcry, newspaper advertisement, magazine advertisement, handbill, written or printed notice, printed or poster display, billboard display, e-mail or other electronic/digital messaging platform, electronic commerce/commercial Internet websites, and any and all other electronic media, television, radio, satellite -based, or Internet website. "Applicable laws, rules and regulations" means any laws, rules, regulations and codes (whether local, state or federal) pertaining to the use and occupancy of a privately owned dwelling unit as a short -germ vacation rental. "Applicant" means the owner of the short-term vacation rental unit. "Authorized agent or representative" means a designated agent or representative who is appointed by the owner and is also responsible for compliance with this chapter with respect to the short- term vacation rental unit. "Booking transaction" means any reservation or payment service provided by a person or entity who facilitates a home -sharing or vacation rental (including short-term vacation rental) transaction between a prospective occupant and an owner or owner's authorized agent or representative. "City manager" means that person acting in the capacity of the city manager for the City of La Quinta or authorized designee. "Declaration of non-use" means the declaration described in Section 3.25.050. "Dwelling"has the same meaning as set forth in Section 9.280.030 (or successor provision, as may be amended from time to time) of this code; "dwelling" does not include any impermanent, transitory, or mobile means of temporary lodging, including but not limited to mobile homes, recreational vehicles (RVs), car trailers, and camping tents. "Estate home"is defined as a single-family detached residence with five (5) or more bedrooms, subject to evaluation criteria and inspection of the property pursuant to Section 3.25.060(D)(1). An estate home is a sub -type of short-term vacation rental unit and shall be subject to a general short- term vacation rental permit, primary residence short-term vacation rental permit, or homeshare short-term vacation rental permit, as applicable, pursuant to this chapter. "General short-term vacation rental permit" is a type of short-term vacation rental permit that is neither a homeshare short-term vacation rental permit nor a primary residence short-term vacation rental permit. about:blank 2126 9/9/24, 10:30 AM DOC #2024-0314328 Page 87 of 178 La Quinta, CA Municipal Code "Good neighbor brochure" means a document prepared by the city that summarizes the general rules of conduct, consideration, and respect, including, without limitation, provisions of this code and other applicable laws, rules or regulations pertaining to the use and occupancy of short-term vacation rental units. "Homeshare short-term vacation rental permit" is a type of short-term vacation rental permit whereby the owner hosts visitors in the owner's dwelling, for compensation, for periods of thirty (30) consecutive calendar days or less, while the owner lives on-site and in the dwelling, throughout the visiting occupant's stay. "Hosting platform" means a person or entity who participates in the home -sharing or vacation rental (including short-term vacation rental) business by collecting or receiving a fee, directly or indirectly through an agent or intermediary, for conducting a booking transaction using any medium of facilitation, including but not limited to the Internet. "Large lot" means a single "parcel," as defined in Section 9.280.030 (or successor provision, as may be amended from time to time) of this code, that meets all of the criteria set forth in subsection (A) of Section 3.25.057. "Local contact person"means the person designated by the owner or the owner's authorized agent or representative who shall be available twenty-four (24) hours per day, seven (7) days per week with the ability to respond to the location within thirty (30) minutes for the purpose of: (1) taking remedial action to resolve any complaints; and (2) responding to complaints regarding the condition, operation, or conduct of occupants of the short-term vacation rental unit. A designated local contact person must obtain a business license otherwise required by Sections 3.24.060 and 3.28.020 (or successor provisions, as may be amended from time to time) of this code. "Management company"means any individual or entity, whether for profit or nonprofit, and regardlless of entity type, such as a limited liability company, corporation, or sole proprietorship, that is retained by an owner to be the owner's authorized agent or representative, or is the owner of a short-term vacation rental unit subject to this chapter, and is engaged in or represents itself to be engaged in the business of managing real property. "Notice of permit modification, suspension or revocation" means the notice the city may issue to an applicant, authorized agent or representative, local contact person, occupant, owner, responsible person, or any other person or entity authorized to be issued such notice under this code for a short-term vacation rental unit, upon a determination by the city of a violation of this chapter or other provisions of this code relating to authorized uses of property subject to this chapter. "Occupant" means any person(s) occupying the dwelling at any time. about:blank 3/26 DOC #2024-0314328 Page 88 of 178 9/9/24, 10:30 AM La Quinta, CA Municipal Code "Owner" means the person(s) or entity(ies) that hold(s) legal and/or equitable title to the subject short-term vacation rental unit. "Primary residence" means a dwelling where an owner spends the majority of the calendar year on the property used as a short-term vacation rental unit, and the property is identified in the Riverside County assessor's record as the owner's primary residence. "Primary residence short-term vacation rental permit" is a type of short-term vacation rental permit. whereby the short-term vacation rental unit is the owner's primary residence, as defined herein in this section. "Property" means a residential legal lot of record on which a short-term vacation rental unit is located. "Qualified and certified large lot"has the meaning as set forth in Section 3.25.057. "Rent" has the same meaning as set forth in Section 3.24.020 (or successor provision, as may be amended from time to time) of this code. "Rental agreement" means a written or verbal agreement for use and occupancy of a privately - owned residential dwelling that has been issued a short-term vacation rental permit, including a dwelling that may have a permit which has been or is under suspension. "Responsible person" means the signatory of an agreement for the rental, use and occupancy of a short -germ vacation rental unit, and/or any person(s) occupying the short-term vacation rental unit without a rental agreement, including the owner(s), owner's authorized agent(s) or representative(s), local contact(s), and their guests, who shall be an occupant of that short-term vacation rental unit, who is at least twenty-one (21) years of age, and who is legally responsible for ensuring that all occupants of the short-term vacation rental unit and/or their guests comply with all applicable laws, rules and regulations pertaining to the use and occupancy of the subject short- term vacation rental unit. "Short-term vacation rental permit" means a permit that permits the use of a privately owned residential dwelling as a short-term vacation rental unit pursuant to the provisions of this chapter, and which incorporates by consolidation a transient occupancy permit and a business license otherwise required by Sections 3.24.060 and 3.28.020 (or successor provisions, as may be amended from time to time) of this code. A short-term vacation rental permit is one (1) of the following types: (1) general short-term vacation rental permit, (2) primary residence short-term vacation rental permit, or (3) homeshare short-term vacation rental permit, as defined in this section. abouttlank 4/26 9/9/24, 10:30 AM DOC #2024-0314328 Page 89 of 178 La Quinta, CA Municipal Code "Short-term vacation rental unit" means a privately owned residential dwelling, such as, but not limited to, a single-family detached or multiple -family attached unit, apartment house, condorninium, cooperative apartment, duplex, or any portion of such dwellings and/or property and/or yard features appurtenant thereto, rented for occupancy and/or occupied for dwelling, lodging, or any transient use, including but not limited to sleeping overnight purposes for a period of thirty (30) consecutive calendar days or less, counting portions of calendar days as full days, by any person(s) with or without a rental agreement. "SNR" may be used by city officials as an abbreviation for "short-term vacation rental." "Suspension" means that short-term vacation rental permit that is suspended pursuant to Section 3.25.090. "Tenant" or "transient," for purposes of this chapter, means any person who seeks to rent or who does rent, or who occupies or seeks to occupy, for thirty (30) consecutive calendar days or less, a short -germ vacation rental unit. (Ord. No. 607, Exh. A, 12-5-2023; Ord. 595 § 1(Exh. A), 6-15-2021; Ord. 590 § 1(Exh. A), 3-16-2021; Ord. 586 § 1(Exh. A), 12-15-2020; Ord. 572 § 1, 2018; Ord. 563 § 1, 2017; Ord. 501 § 2, 2012) 3.25.040 - Authorized agent or representative. A. Except for the completion of an application for a short-term vacation rental permit and business license, the owner may designate an authorized agent or representative to ensure compliance with the requirements of this chapter with respect to the short-term vacation rental unit on his, her or their behalf. Nevertheless, the owner shall not be relieved from any personal responsibility and personal liability for noncompliance with any applicable law, rule or regulation pertaining to the use and occupancy of the subject short-term vacation rental unit, regardless of whether such noncompliance was committed by the owner's authorized agent or representative or the occupants of the owner's short-term vacation rental unit or their guests. B. The owner must be the applicant for and holder of a short-term vacation rental permit and business license and shall not authorize an agent or a representative to apply for or hold a short- term vacation rental permit and business license on the owner's behalf. The owner's signature is required on all short-term vacation rental application forms, and the city may prescribe reasonable requirements to verify that an applicant or purported owner is the owner in fact. (Ord. 590 § 1(Exh. A), 3-16-2021; Ord. 586 § 1(Exh. A), 12-15-2020; Ord. 572 § 1, 2018; Ord. 563 § 1, 2017; Ord. 501 § 2, 2012) 3.25.050 - Short-term vacation rental permit—Required. abouttlank 5/26 9/9/24, 10:30 AM DOC #2024-0314328 Page 90 of 178 La Quinta, CA Municipal Code A. The owner is required to obtain a short-term vacation rental permit and a business license from the city before the owner or the owner's authorized agent or representative may rent or advertise a short-term vacation rental unit. No short-term vacation rental use may occur in the city except in compliance with this chapter. No property in the city may be issued a short-term vacation rental permit or used as a short-term vacation rental unit unless the property is a residential dwellling that complies with the requirements of this chapter. B. A short-term vacation rental permit and business license shall be valid for one (1) year and renewed on an annual basis in order to remain valid. 1. A, short-term vacation rental permit and business license renewal application shall be submitted no earlier than sixty (60) calendar days prior to the permit's expiration date, but no later than the permit's expiration date. Failure to renew a short-term vacation rental permit as prescribed in this section may result in the short-term vacation rental permit being terminated. 2. A, new owner of a property (or a new person and/or new entity that owns or controls a business or organization or other entity of any kind, such as a limited liability company, which is the owner of a property) previously operated as a short-term vacation rental unit by the former owner (or by a former person or entity that owned or controlled the business or organization or other entity of any kind that continues to be the owner of the property) may not renew the previous owner's short-term vacation rental permit and shall apply for a new short-term vacation rental permit, pursuant to this chapter, if the new owner (or new person and/or new entity that owns or controls a business or organization or other entity of any kind that continues to be the owner of a property) wants to continue to use the residential dwelling as a short-term vacation rental unit. For purposes of this subsection, a transfer of a short-term vacation rental unit with a valid short-term vacation rental permit resulting from any of the following shall not be deemed a transfer to a new owner which would otherwise trigger the requirement to apply for and obtain a new short-term vacation rental permit: (a) Transfers to an entity of any kind, such as a limited liability company or a trust, where the member(s) of the entity or beneficiary(ies) of the trust is(are) the owner(s) of the real property with a valid short-term vacation rental permit, and the proportionate interest(s) of the owner(s) are the same for the real property placed in the entity. (b) Transfers that take effect upon the death of an owner to an heir designated by the owner (by devise, bequest, or similar transfer upon death) who is any of the following: (i) surviving spouse or domestic partner; or (ii) surviving sibling related by blood or in law, such as a brother, sister, brother-in-law, sister-in-law, step -brother, or step -sister; or (iii) surviving parent or grandparent by blood or in law, such as a mother, father, mother-in- law, father-in-law, step -mother, step -father, grandmother, grandfather, grandmother-in- abouttlank 6/26 9/9/24, 10:30 AM DOC #2024-0314328 Page 91 of 178 La Quinta, CA Municipal Code law, grandfather -in-law, step -grandmother, or step -grandfather; (iv) surviving child or grandchild, such as a daughter, son, daughter-in-law, son-in-law, step -daughter, step -son, granddaughter, grandson, granddaughter -in-law, grandson -in-law, step -granddaughter, or step -grandson. (c:) Transfers to a trust with the beneficiary(ies) identified as an heir described in subsection B(2)(b) above. 3. Ifs an owner or an owner's authorized agent or representative, pursuant to all applicable laws, constructs additional bedrooms to an existing residential dwelling or converts non -bedroom spaces and areas in an existing residential dwelling into additional bedrooms, the owner or owner's authorized agent or representative shall notify the city and update the short-term vacation rental unit's online registration profile upon city approval of the addition or conversion so that the city may confirm that such conversion is consistent with this chapter and the code, including all applicable provisions in Title 8 of the code, and reissue the short- term vacation rental permit so that it accurately identifies the number of approved bedrooms, if the owner wants to continue to use the dwelling as a short-term vacation rental unit. The city may conduct an on-site inspection of the property to verify compliance with this chapter and the code. Code compliance inspections may be billed for full cost recovery at one (1) hour for initial inspection and in thirty (30) -minute increments for each follow-up inspection pursuant to subsection D. For purposes of this chapter, "reissue" or "reissuance" of a short- term vacation rental permit means a permit that is reissued by the city, with corrected information, as applicable, to be valid for the balance of the existing one (1) -year permit and license period. C. A short-term vacation rental permit and business license shall be valid only for the number of bedrooms in a residential dwelling equal to the number of bedrooms the city establishes as eligible for listing as a short-term vacation rental unit. The allowable number of bedrooms shall meet: all applicable requirements under federal, state and city codes, including, but not limited to, the provisions of Section 9.50.100 (or successor provision, as may be amended from time to time) governing "additional bedrooms" and all applicable building and construction codes in Title 8 of this code. A short-term vacation rental permit shall not be issued for, or otherwise authorize the use of, additional bedrooms converted from non -bedroom spaces or areas in an existing residential dwelling except upon express city approval for the additional bedrooms in compliance with this code, including Section 9.50.100 (or successor provision, as may be amended from time to time), and upon approval of an application for a new or renewed short-term vacation rental permit as provided in subsection B. D. A short-term vacation rental permit and business license shall not be issued, and may be suspended or permanently revoked, if the property, or any building, structure, or use or land use on the property is in violation of this code. The city may conduct an inspection of the property prior to the issuance or renewal of a short-term vacation rental permit and/or business license. about:blank 7/26 9/9/24, 10:30 AM DOC #2024-0314328 Page 92 of 178 La Quinta, CA Municipal Code Code compliance inspections may be billed for full cost recovery at one (1) hour for initial inspection and in thirty (30) -minute increments for each follow-up inspection. For purposes of this subsection, a code violation exists if, at the time of the submittal of an application for a new or renewed short-term vacation rental permit or business license, the city has commenced administrative proceedings by issuing written communication and/or official notice to the owner or owner's authorized agent or representative of one (1) or more code violations. For purposes of this chapter, "building," "structure," and "use or land use" have the same meanings as set forth in Section 9.280.030 (or successor provisions, as may be amended from time to time) of this code. E. A short-term vacation rental permit and business license shall not be issued or renewed, and may be suspended or permanently revoked, if any portion of transient occupancy tax has not been reported and/or remitted to the city for the previous calendar year by the applicable deadline for the reporting and/or remittance of the transient occupancy tax. F. A short-term vacation rental permit and business license shall not be issued or renewed, and may be suspended or permanently revoked, if the residential dwelling to be used as a short-term rental unit lacks adequate on-site parking. For purposes of this subsection, "adequate on-site parking" shall be determined by dividing the total number of occupants commensurate with the approved number of bedrooms as provided in the table under Section 3.25.070 by four (4), such that the ratio of the maximum allowed number of overnight occupants to on-site parking spots does not exceed four to one (4:1). For example, a residential dwelling with five (5) bedrooms may permissibly host a total number of ten (10) to twelve (12) overnight occupants and therefore requires three (3) on-site parking spots. On-site parking shall be on an approved driveway, garage, and/or carport areas only in accordance with Section 3.25.070(R), and no more than two (2) street parking spots may count towards the number of on-site parking spots necessary to meet: the "adequate on-site parking" requirement under this subsection. G. An owner or owner's authorized agent or representative who claims not to be operating a short- term vacation rental unit or who has obtained a valid short-term vacation rental permit and business license pursuant to this chapter, may voluntarily opt -out of the requirements of this chapter, prior to the issuance or expiration of a short-term vacation rental permit and business license that are applicable to the short-term vacation rental unit, only upon the owner, the owner's authorized agent or representative and/or the owner's designated local contact person submitting a written request or executing, under penalty of perjury, a declaration of non-use as a short-term vacation rental unit, in a form prescribed by the city (for purposes of this chapter, a "declaration of non-use"). Upon the receipt and filing with the city a written request or a fully executed declaration of non-use, the short-term vacation rental permit and business license shall be closed and the owner or owner's authorized agent or representative shall be released from complying with this chapter as long as the property is not used as a short-term vacation rental unit. Use of the property as a short-term vacation unit after the city's receipt and filing of a about:blank 8/26 9/9/24, 10:30 AM DOC #2024-0314328 Page 93 of 178 La Quinta, CA Municipal Code written request or a declaration of non-use is a violation of this chapter. If, after a written notice or a declaration of non-use has been received and filed with the city, the owner or owner's authorized agent or representative wants to use that property as a short-term vacation rental unit, the owner may apply for a new short-term vacation rental permit and business license only after twelve (12) consecutive months have elapsed from the date of the city's receipt of the written notice or the declaration of non-use, and the owner and owner's authorized agent or representative otherwise shall fully comply with the requirements of this chapter and the code. (Ord. No. 607, Exh. A, 12-5-2023; Ord. 595 § 1(Exh. A), 6-15-2021; Ord. 590 § 1(Exh. A), 3-16-2021; Ord. 586 § 1(Exh. A), 12-15.2020; Ord. 577 § 1, 2019; Ord. 572 § 1, 2018; Ord. 563 § 1, 2017; Ord. 501 § 2, 2012; Ord. 611, § 1(Exh. A), 3-19-2024) 3.25.055 - Non -issuance of new short-term vacation rental permits; periodic council review. A. Commencing May 20, 2021, which is the effective date of Ordinance No. 596 which added this section, there shall be no processing of, or issuance for, any applications for a new short-term vacation rental permit, required by this chapter to use or operate a short-term vacation rental unit in the city, except applications for a new a short-term vacation rental permit covering a short- term vacation rental unit that meets one (1) or more of the following: 1. A, residential dwelling within a residential project located in the CT Tourist Commercial District zone, as defined in Section 9.70.070 (or successor section) of this code and depicted in the city's official zoning map. 2. A, residential dwelling within a residential project located in the VC Village Commercial District zone, as defined in Section 9.70.100 (or successor section) of this code and depicted in the city's official zoning map. 3. A, residential dwelling within a residential project subject to a development agreement with the city, or subject to a condition of approval(s) attached to any entitlement approved by the city (including but not limited to a specific plan, subdivision map, or site development permit), pursuant to which short-term vacation rentals are a permitted use, and the residential dwelling's use as a short-term vacation rental is authorized under a declaration of covenants, conditions, and restrictions (CC&Rs), for the residential project. 4. A residential dwelling within the area covered by the SilverRock Resort Specific Plan or the Estates at Griffin Lake Specific Plan. 5. A residential dwelling is located adjacent to the CT Tourist Commercial District zone, as defined in Section 9.70.070 and depicted in the city's official zoning map, and within the following boundaries; west of Avenida Obregon, south of the Avenida Fernando, east of Calle Mazatlan, and north of the driveway access between Calle Mazatlan and Avenida Obregon that serves as a southern boundary for the La Quinta Tennis Villas/Tennis Condos area identified on page 25 of the La Quinta Resort Specific Plan, 121 E—Amendment 5 (as may be about:blank 9/26 9/9/24, 10:30 AM DOC #2024-0314328 Page 94 of 178 La Quint@, CA Municipal Code subsequently amended from time to time). For purposes of this subsection, "adjacent to" means across the street from or ,accessible by a driveway or service road designed to provide access to area(s) within the CT Tourist Commercial District zone. B. The city manager or authorized designee shall have the authority to implement policies or procedures to review and verify whether an application for a new short-term vacation rental permit meets the criteria set forth in this section. C. This section shall not apply to applications for a homeshare short-term vacation rental permit or applications for a renewal of an existing short-term vacation rental permit and business license, submitted in compliance with this chapter, including when the short-term vacation rental permit is under suspension during the time for processing the renewal application. Applications for renewals must be submitted as prescribed by this chapter. Any short-term vacation rental unit, covered by a permit that is subject to an application for renewal, which is under temporary suspension in violation of this chapter or any other provisions of this code, shall not become permitted to use the dwelling as a short-term vacation rental unit until all violations that led to the temporary suspension have been remedied and the suspension has expired. Any revoked shortterm vacation rental permit shall not be eligible for renewal or new short-term vacation rental permit. D. The city council shall periodically review the impacts or effects, if any, caused by the non -issuance of new short-term vacation rental permits set forth in this section. The city manager or authorized designee shall prepare a report assessing impacts or effects, if any, for the council to review at a regular or special meeting. E. Commencing on January 4, 2024, which is the effective date of Ordinance No. 607 adding this subsection (E), this section may not be amended by the city council, except by no less than four- fifths (%) majority vote of the city council. (Ord. No. 607, E:xh. A, 12-5-2023; Ord. 596 § 2, 2021; Ord. 595 § 1(Exh. A), 6-15-2021; Ord. 591 § 1(Exh. A), 4- 20-2021) 3.25.057 - Large Lots; exemption from non -issuance of new short-term vacation rental permits. A. If none of the exemptions in subsection (A) or (C) of Section 3.25.055 of this code applies, the owner of a large lot may voluntarily submit to the city an application and request to be exempted from the non -issuance of new short-term vacation rental permits set forth in Section 3.25.055 only if, at the time of submittal of an application for exemption pursuant to this section, all of the following criteria are met: 1. The "lot area," as defined in Section 9.280.030 (or successor provision, as may be amended from time to time) of this code, is comprised of a single parcel that is no less than 25,000 square feet; about:blank 10/26 9!9124, 10:30 AM DOC #2024-0314328 Page 95 of 178 La Quinta, CA Municipal Code 2. The single parcel has at least one (1) existing dwelling, as defined in this chapter, in use or available for use; 3. The single parcel is not, nor will the single parcel ever be for the duration of the period of any qualified exemption under this section, subject to a subdivision under the subdivision map act in Division 2 (commencing with Section 64410) of Title 7 of the California Government Code or under Title 13 of this code (or successor provisions, as may be amended from time to time); 4. The single parcel is not, nor will the single parcel ever be for the duration of the period of any qualified exemption under this section, subject to a reduction in the square footage of the lot area by lot line adjustment, parcel merger, or other action that creates a legal parcel under the subdivision map act in Division 2 (commencing with Section 64410) of Title 7 of the California Government Code or under Title 13 of this code (or successor provisions, as may be amended from time to time); 5. If the single parcel is within a residential project governed by a homeowners association, the use of the single parcel as a short-term vacation rental unit is authorized under the homeowners association's covenants, conditions, and restrictions (CC&Rs) and any other applicable governing documents for the residential project governed by the homeowners association; 6. Use of the single parcel as a short-term vacation rental unit is not prohibited or otherwise inconsistent with any recorded instruments governing the use of the single parcel; and 7. The single parcel has adequate on-site parking pursuant to this chapter for use as a short- term vacation rental unit. B. Subject to the application and review provisions in this section, if the city determines the single parcel meets the criteria of a large lot to be exempted from the non -issuance of new short-term vacation rental permits that otherwise applies pursuant to Section 3.25.055, the provisions regarding the non -issuance of new short-term vacation rental permits in Section 3.25.055 shall no longer apply to, or be applicable as long as the single parcel meets the criteria in this section, to the large lot upon certification by the city that the criteria set forth in this section have been met. 1. Upon certification by the city that the criteria in this section have been met, then the single parcel shall be identified as a "qualified and certified large lot" for purposes of this section and this chapter. 2. Upon certification by the city of the single parcel as a qualified and certified large lot pursuant to this section, an owner of a residential dwelling within a qualified and certified large lot may apply for a new short-term vacation rental permit pursuant to this chapter and shall be subject to the same requirements of any other short-term vacation rental permit application, use, and operation governed by this chapter. 3. about:blank 11/26 9/9/24, 10:30 AM DOC #2024-0314328 Page 96 of 178 La Quinta, CA Municipal Code The city may impose any necessary or proper conditions of approval with the certification of a single parcel as a large lot pursuant to this section, including conditions that would terminate the exemption from compliance with Section 3.25.055 if the large lot is subdivided or used in violation of the requirements of this section. Additionally, the city may require as a condition of approval that the owner of the qualified and certified large lot execute a land use covenant, in a form approved by the city and recorded in the county recorder's office against the single parcel, memorializing the terms and conditions applicable to the large lot for use as a short-term vacation rental unit. 4. Any owner of real property that is no longer or is not in compliance with the criteria in this section to be a qualified and certified large lot shall have no right or authority to advertise, use, or operate said real property as a short-term vacation rental unit. Any short-term vacation rental permit (either new or renewal permit) issued by the city in reliance of said real property having previously been located within a qualified and certified large lot shall no longer be valid upon said real property no longer being in compliance with this section. 5. An owner of a qualified and certified large lot who is the successor in interest to the owner who applied for and received the certification of the single parcel as a qualified and certified large lot does not need to re -apply for an exemption from Section 3.25.055 under this chapter as long as the single parcel determined to be the qualified and certified large lot remains in compliance with this section. 6. It: is the expressed intent of the city council that an application for exemption from Section 3.25.055, submitted to the city pursuant to this section, need only occur one time as long as the current owner of a qualified and certified large lot remains in compliance with this section whenever a new or renewal application for a short-term vacation rental permit is submitted to the city and for the duration of the term of the issued short-term vacation rental permit. It is also the expressed intent of the city council that the current owner of real property that may have previously been a qualified and certified large lot may be required by the city to submit a new application for exemption from Section 3.25.055, pursuant to this section, if the real property no longer meets the criteria set forth in this section. C. Any application submitted pursuant to this section shall be subject to any fees established by resolution of the city council and shall identify, by addresses, assessor's parcel number (APN), and any other identifying information requested by the city, the real property purporting to be a large lot. D. An application submitted pursuant to this section shall be reviewed and considered as follows: about:biank 12/26 9/9/24, 10:30 AM DOC #2024-0314328 Page 97 of 178 La Quinta, CA Municipal Code Submittal ofApplication. An application for a finding of exemption under this section and certification as a large lot shall be completed in a form approved by the city manager or authorized designee. Applications shall be filed with the city clerk, who shall forward to the planning department together with all maps, plans, documents and other materials required by the city clerk or director of the planning department. 2. Determination of Completeness. The city clerk's office and planning department shall coordinate with the applicant to make a determination whether the application is complete or incomplete. Upon the determination that the application is complete by the city clerk, the city clerk shall schedule review and consideration of the complete application by the city council. Public Hearingand Consideration of the Application. The city council shall hold a public hearing on the application, and the city council shall be the decision-making authority for the application. The public hearing shall be set within ninety (90) days from the determination by the city clerk of a complete application. The public hearing shall be noticed in accordance with Section 9.200.100(D) (or successor provisions, as may be amended from time to time) of this code. At the public hearing, the city council shall receive written comments and any other evidence or testimony relating to the application. At the public hearing, the city council may take action on the application, or continue the application to a specified date. 4. A'equired Findings. No application presented to the city council pursuant to this section may be approved or conditionally approved unless all of the following findings and requirements are met: a. The single parcel subject to the application is in a residential zone, is a legal non- conforming use, or is in a zone that otherwise would allow for residential uses. b. The applicant is the owner of the single parcel subject to the application. c. The exemption under this section is required for the applicant as owner to be able to apply for a short-term vacation rental permit and use a dwelling or dwellings on the parcel as a short-term vacation rental unit under this chapter. d. Approval of the application will not create conditions materially detrimental to the public health, safety and general welfare or injurious to or incompatible with other properties or land uses in the vicinity. Included with this assessment shall be whether approval of the application and issuance of a certification that the single parcel is a qualified and certified large lot results in multiple exemptions under this section being concentrated in one geographic location of the city in a manner than may be incompatible with other properties or land uses in the vicinity. 5. Decision. The city council shall approve, approve with conditions, or deny the application. With the concurrence of the applicant, an application may be withdrawn prior to the issuance of a decision by the city council. The decision on an application, including any required findings and any other reasons that serve to explain the determination plus all conditions of about:blank 13/26 9/9/24, 10:30 AM DOC #2024-0314328 Page 98 of 178 La Quinta, CA Municipal Code approval, shall be in writing. An approval or approval with conditions from the city council shall be adopted by resolution and accompanied with the certification from the city that the single parcel subject to the application meets the criteria for a qualified and certified large lot. 6. Appeal. The decision of the city council shall be the final decision of the city on the application. E. Subject to the review and approval provisions in this section, the city manager or authorized designee shall have the authority to implement policies or procedures to review and verify whether an application and request to be exempted from Section 3.25.055 meets the criteria set forth in this section and any other criteria reasonably necessary for verification of such application and request. F. The city council may periodically review the impacts or effects, if any, caused by this section concurrently with its periodic review provided for in subsection (D) of Section 3.25.055. (Ord. No. 607, Exh. A, 12-5-2023) 3.25.060 - Short-term vacation rental permit—Application requirements. A. The owner or the owner's authorized agent or representative must submit the information required on the city's short-term vacation rental permit application form provided by the city, which may include any or all of the following: 1. The name, address, and telephone number of the owner of the subject short-term vacation rental unit; 2. The name, address, and telephone number of the owner's authorized agent or representative, if any; 3. The name and twenty-four (24) -hour telephone number of the local contact person; 4. Reserved; 5. The number of bedrooms shall not exceed the number of permitted bedrooms. The allowable number of bedrooms shall meet all applicable building and construction requirements under federal, state and city codes, including, but not limited to, the provisions of Section 9.50.100 (or successor provision, as may be amended from time to time) governing "additional bedrooms" and all applicable building and construction codes in Title S of this code; 6. Acknowledgement of receipt of all electronically distributed short-term vacation rental information from the city, including any good guest brochure; 7. The owner or owner's authorized agent or representative who has applied for a short-term vacation rental permit shall provide the city with written authorization that issuance of a short-term vacation rental permit pursuant to this chapter is not inconsistent with any recorded or unrecorded restrictive covenant, document, or other policy of a homeowner association (HOA) or other person or entity which has governing authority over the property about:blank 14126 9/9/24, 10:30 AM DOC #2024-0314328 Page 99 of 178 La Quinta, CA Municipal Code on which a short-term vacation rental unit will be operated; in furtherance of this requirement, there shall be a rebuttable presumption that an owner or owner's authorized agent or representative does not have written authorization for the issuance of a short-term vacation rental permit if a HOA or other person or entity which has governing authority over the property has submitted to the city a duly -authorized official writing, which informs the city that short-term vacation rentals of thirty (30) consecutive days or less are not permitted on the property applying for a short-term vacation rental permit; and 8. Such other information as the city manager or authorized designee deems reasonably necessary to administer this chapter. B. The short-term vacation rental permit application shall be accompanied by an application fee as set b:y resolution of the city council. A short-term vacation rental permit and business license shall not be issued or renewed while any check or other payment method cannot be processed for insufficient funds. C. The city may determine the maximum number of bedrooms in a residential dwelling with multiple bedrooms eligible for use as a short-term vacation rental unit upon issuance of a short-term vacation rental permit. When determining the maximum number of bedrooms eligible for use as short: -term vacation rentals, the city shall consider the public health, safety, and welfare, shall comply with building and residential codes, and may rely on public records relating to planned and approved living space within the residential dwellings, including, but not limited to, title insurance reports, official county records, and tax assessor records. Owners of residential dwellings that exceed five thousand (5,000) square feet of developed space on a lot may apply for additional bedrooms. An owner and/or owner's authorized agent or representative may not advertise availability for occupancy of a short-term vacation rental unit for more than the approved number of bedrooms listed in the short-term vacation rental permit issued by the city pursuant to this chapter. In addition to any other rights and remedies available to the city under this chapter, the first violation for failing to advertise the approved number of bedrooms may be subject to a fine by an administrative citation, and a second or subsequent violation for failing to advertise the approved number of bedrooms may result in a revocation (which may include permanent revocation) of the short-term vacation rental permit and/or any affiliated licenses or permits pursuant to the provisions set forth in Section 3.25.100. D. Short-term vacation rental permit applications shall comply with the following: 1. A, short-term vacation rental permit application for an estate home shall be subject to evaluation and inspection of the property to ensure that the short-term vacation rental unit will not create conditions materially detrimental to the public health, safety and general welfare or injurious to or incompatible with other properties in the vicinity. Evaluation and inspection shall include, but not be limited to: verification of the number of bedrooms, adequate on-site parking spaces, availability of nearby street parking, physical distance of an about:blank 15126 9/9/24, 10:30 AM DOC #2024-0314328 Page 100 of 178 La Quinta, CA Municipal Code estate home from adjacent properties, such as location and distance of outdoor gathering spaces, pools, and other living spaces from neighboring properties. The city manager, or designee, shall have the authority to impose additional conditions on the use of an estate home as a short-term vacation rental unit to ensure that any potential secondary effects unique to the subject short-term vacation rental unit are avoided or adequately mitigated. 2. A short-term vacation rental permit application may be denied if the applicant has failed to comply with application requirements in this chapter, or has had a prior short-term vacation rental permit for the same unit revoked within the past twelve (12) calendar months. In addition, upon adoption of a resolution pursuant to subsection H, the city may limit the number of short-term vacation rental units in a given geographic area based on a high concentration of short-term vacation rental units. The city shall maintain a waiting list of short-term vacation rental permit applications for such geographic areas where the city determines, based on substantial evidence after a noticed public hearing, there is a higher than average concentration of short-term vacation rental units that either affects the public health, safety, and welfare or significantly negatively impacts the character and standard of living in a neighborhood within that geographic area, or both. E. Short-term vacation rental permit applications may take up to, and the city shall have, thirty (30) calendar days to process. Nothing in this subsection or chapter shall be construed as requiring the city to issue or deny a short-term vacation rental permit in less than thirty (30) calendar days, as no permit shall be issued until such time as application review is complete. No short-term vacation rental use may occur in the city without a valid short-term vacation rental permit issued in accordance with this chapter. F. Upon a change of ownership of a property (or upon a new person and/or new entity owning or controlling a business or organization or other entity of any kind, such as a limited liability company, which is the owner of a property) licensed to operate as a short-term vacation rental unit, the owner or owner's authorized agent or representative shall notify the city of such change immediately. The existing short-term vacation rental permit shall be terminated, unless subject to Section 3.25.050(B)(2), and the property must cease operating as a short-term vacation rental immediately. Failure to comply may result in a fine of one thousand dollars ($1,000.00) per day for a continuing violation of this subsection F. G. Immediately upon a change of an owner's authorized agent or representative, local contact, or any other change pertaining to the information contained in the short-term vacation rental application, the owner or owner's authorized agent or representative shall update the short-term vacation rental unit's online registration profile used by the city for the implementation of the short-term vacation rental regulations. Failure to immediately update this information may result in a violation of this chapter, including but not limited to a suspension or revocation of a short- term vacation rental permit, until all information is updated. abouttlank 16/26 9/9/24, 10:30 AM DOC #2024-0314328 Page 101 of 178 La Quinta, CA Municipal Code H. The city manager or authorized designee may prepare, for adoption by resolution by the city council, a review procedure and criteria to evaluate the limitation for issuance of SNR permits and/or STVR applications for geographic areas within the city as set forth in subsection D. (Ord. No. 607, Exh. A, 12-5-2023; Ord. 590 § 1(Exh. A), 3-16-2021; Ord. 586 § 1(Exh. A), 12-15-2020; Ord. 572 § 1, 2018; Ord. 563 § 1, 2017; Ord. 501 § 2, 2012) 3.25.065 - Short-term vacation rental permit—Grounds for denial. A. In addition to any other grounds provided in this chapter, an application (including renewal application) for a short-term vacation rental permit may be denied if use of the short-term vacation rental unit has been, will be, or is apt to become any one (1) or more of the following. 1. Prohibited by any local ordinance or by any state or federal law, statute, rule or regulation; 2. A. public nuisance; 3. In anyway detrimental to the public interest; 4. Prohibited by zoning laws and ordinances. B. An application (including renewal application) for a short-term vacation rental permit may also be denied on the grounds that the applicant has knowingly made a false statement in a material matter either in his/her/their application or in his/her/their testimony before the city manager or other body hearing such testimony. C. This section is intended to be, and shall be construed as being, in alignment with the grounds for denial of a business license set forth in Section 3.28.080 (or successor section) of this code. (Ord. 591 § 1(Ex:h. A), 4-20-2021) 3.25.070 - Operational requirements and standard conditions. A. The owner and/or owner's authorized agent or representative shall use reasonably prudent business practices to ensure that the short-term vacation rental unit is used in a manner that complies with all applicable laws, rules and regulations pertaining to the use and occupancy of the subject short-term vacation rental unit. 1. An estate home maybe established for short-term vacation rental use subject to evaluation and inspection of the property pursuant to Section 3.25.060(D)(1). 2. An estate home established for short-term vacation rental use is required to be equipped with a noise monitoring device(s) that is operable at all times. B. The responsible person(s) shall be an occupant(s) of the short-term vacation rental unit for which he, she or they signed a rental agreement for such rental, use and occupancy, and/or any person(s) occupying the short-term vacation rental unit without a rental agreement, including the owner, owner's authorized agent or representative, local contact(s) and their guests. No non- about:blank 17126 9/9/24, 10:30 AM DOC #2024-0314328 Page 102 of 178 La Quinta, CA Municipal Code permanent improvements to the property, such as tents, trailers, or other mobile units, may be used as short-term vacation rentals. The total number of occupants, including the responsible person(s) and children regardless of age, allowed to occupy any given short-term vacation rental unit may be within the ranges set forth in the table below. By the issuance of a short-term vacation rental permit, the city or its authorized designees, including police, shall have the right to conduct a count of all persons occupying the short-term vacation rental unit in response to a complaint or any other legal grounds to conduct an inspection resulting from the use of the short-term vacation rental unit, and the failure to allow the city or its authorized designees the ability to conduct such a count may constitute a violation of this chapter. The city council may by resolution further restrict occupancy levels provided those restrictions are within the occupancy ranges set forth below. Number of Bedrooms Total of Overnight* Occupants Total Daytime** Occupants (Including Number of Overnight Occupants) 0—Studio 2 2-8 1 2-4 2-8 2 4-6 4-8 3 6-8 6-12 4 8-10 8-16 5 10-12 10-18 6 12-14 12-20 7 14 14-20 8 16 16-22 9 18 18-24 about:blank 18/26 9/9/24, 10:30 AM *Overnight (10:01 p.m. -6:59 a.m.) **Daytime (7:00 a.m.-10:00 p.m.) DOC #2024-0314328 Page 103 of 178 La Quinta, CA Municipal Code C. The person(s) listed as the local contact person in the short-term vacation rental unit's online registration profile shall be available twenty-four (24) hours per day, seven (7) days per week, with the ability to respond to the location within thirty (30) minutes to complaints regarding the condition, operation, or conduct of occupants of the short-term vacation rental unit or their guests. The person(s) listed as a local contact person shall be able to respond personally to the location, or to contact the owner or the owner's authorized agent or representative to respond personally to the location, within thirty (30) minutes of notification or attempted notification by the city or its authorized short-term vacation rental designated hotline service provider. No provision in this section shall obligate the city or its authorized short-term vacation rental designated hotline service provider to attempt to contact any person or entity other than the person(s) listed as the local contact person. D. The owner, the owner's authorized agent or representative and/or the owner's designated local contact person shall use reasonably prudent business practices to ensure that the occupants and/or guests of the short-term vacation rental unit do not create unreasonable or unlawful noise or disturbances, engage in disorderly conduct, or violate any applicable law, rule or regulation pertaining to the use and occupancy of the subject short-term vacation rental unit. E. Occupants of the short-term vacation rental unit shall comply with the standards and regulations for allowable noise at the property in accordance with Sections 9.100.210 and 11.08.040 (or successor provision, as may be amended from time to time) of this code. No radio receiver, musical instrument, phonograph, compact disk player, loudspeaker, karaoke machine, sound amplifier, or any machine, device or equipment that produces or reproduces any sound shall be used outside or be audible from the outside of any short-term vacation rental unit between the hours of 10:00 p.m. and 7:00 a.m. Pacific Standard Time. Observations of noise related violations shall be made by the city or its authorized designee from any location at which a city official or authorized designee may lawfully be, including but not limited to any public right-of-way, any city - owned public property, and any private property to which the city or its authorized designee has been granted access. F. Prior to occupancy of a short-term vacation rental unit, the owner or the owner's authorized agent or representative shall: 1. Obtain the contact information of the responsible person; 2. Provide copies of all electronically distributed short-term vacation rental information from the city, including any good guest brochure to the responsible person and post in a conspicuous location within the short-term vacation rental unit, in a manner that allows for the information to be viewed in its entirety; and require such responsible person to execute a about:biank 19/26 9/9/24, 10:30 AM DOC #2024-0314328 Page 104 of 178 La Quinta, CA Municipal Code formal acknowledgement that he/she/they is/are legally responsible for compliance by all occupants of the short-term vacation rental unit and their guests with all applicable laws, rules and regulations pertaining to the use and occupancy of the short-term vacation rental unit. This information shall be maintained by the owner or the owner's authorized agent or representative for a period of three (3) years and be made readily available upon request of any officer of the city responsible for the enforcement of any provision of this code or any other applicable law, rule or regulation pertaining to the use and occupancy of the short- term vacation rental unit. G. The owner, the owner's authorized agent or representative and/or the owner's designated local contact person shall, upon notification or attempted notification that the responsible person and/or any occupant and/or guest of the short-term vacation rental unit has created unreasonable or unlawful noise or disturbances, engaged in disorderly conduct, or committed violations of any applicable law, rule or regulation pertaining to the use and occupancy of the subject short-term vacation rental unit, promptly respond within thirty (30) minutes to immediately halt and prevent a recurrence of such conduct by the responsible person and/or any occupants and/or guests. Failure of the owner, the owner's authorized agent or representative and/or the owner's designated local contact person to respond to calls or complaints regarding the condition, operation, or conduct of occupants and/or guests of the short-term vacation rental unit within thirty (30) minutes, shall be subject to all administrative, legal and equitable remedies available to the city. H. The owner of a short-term vacation rental unit that has a valid homeshare short-term vacation rental permit shall occupy the dwelling during the transient stay. A violation of any provision of this chapter, this code, or any other applicable federal, state, or local laws or codes, by the owner, owner's authorized agent or representative and/or the owner's designated local contact person shall be subject to all administrative, legal and equitable remedies available to the city. I. Trash and refuse shall not be left or stored within public view, except in proper containers for the purpose of collection by the city's authorized waste hauler on scheduled trash collection days. The owner, the owner's authorized agent or representative shall use reasonably prudent business practices to ensure compliance with all the provisions of Chapter 6.04 (Solid Waste Collection and Disposal) (or successor provision, as may be amended from time to time) of this code. J. Signs may be posted on the premises to advertise the availability of the short-term vacation rental unit as provided for in Chapter 9.160 (Signs) (or successor provision, as may be amended from time to time) of this code. K. The owner, the owner's authorized agent or representative and/or the owner's designated local contact person shall post a copy of the short-term vacation rental permit and a copy of the good guest brochure in a conspicuous place within the short-term vacation rental unit, and a copy of abouttlank 20126 9/9/24, 10:30 AM DOC #2024-0314328 Page 105 of 178 La Quinta, CA Municipal Code the good guest brochure shall be provided to each occupant of the subject short-term vacation rental unit. L. Unless otherwise provided in this chapter, the owner and/or the owner's authorized agent or representative shall comply with all provisions of Chapter 3.24 concerning transient occupancy taxes, including, but not limited to, submission of a monthly return in accordance with Section 3.24.080 (or successor provisions, as may be amended from time to time) of this code, which shall be filed monthly even if the short-term vacation rental unit was not rented during each such month. M. Guesthouses, detached from the primary residential dwelling on the property, or the primary residential dwelling on the property, may be rented pursuant to this chapter as long as the guesthouse and the primary residential dwelling are rented to one (1) party. N. The owner and/or the owner's authorized agent or representative shall post the number of authorized bedrooms and the current short-term vacation rental permit number at the beginning or top of any advertisement that promotes the availability or existence of a short-term vacation rental unit; provided, however, this requirement may be satisfied if a hosting platform used by the owner and/or owner's authorized agent or representative provides a designated field(s) to post the number of authorized bedrooms and the current short-term vacation rental permit number for the short-term vacation rental unit. In the instance of audio -only advertising of the same, the short-term vacation rental permit number and the number of authorized bedrooms shall be read as part of the advertisement. O. The owner and/or owner's authorized agent or representative shall operate a short-term vacation rental unit in compliance with any other permits or licenses that apply to the property, including, but riot limited to, any permit or license needed to operate a special event pursuant to Section 9.60.170 (or successor provision, as may be amended from time to time) of this code. The city may limit the number of special event permits issued per year on residential dwellings pursuant to Section 9.60.170 (or successor provision, as may be amended from time to time). P. The city manager, or designee, shall have the authority to impose additional conditions on the use of any given short-term vacation rental unit to ensure that any potential secondary effects unique to the subject short-term vacation rental unit are avoided or adequately mitigated, including, but not limited to, a mitigating condition that would require the installation of a noise monitoring device to keep time -stamped noise level data from the property that will be made available to the city upon city's reasonable request. Q. The standard conditions set forth herein may be modified by the city manager, or designee, upon request of the owner or the owner's authorized agent or representative based on site-specific circumstances for the purpose of allowing reasonable accommodation of a short-term vacation rental unit. All requests must be in writing and shall identify how the strict application of the standard conditions creates an unreasonable hardship to a property such that, if the requirement is not modified, reasonable use of the property as a short-term vacation rental unit would not be abouttlank 21/26 9/9/24, 10:30 AM DOC #2024-0314328 Page 106 of 178 La Quinta, CA Municipal Code allowed. Any hardships identified must relate to physical constraints to the subject site and shall not be self-induced or economic. Any modifications of the standard conditions shall not further exacerbate an already existing; problem. R. On-site parking shall be on an approved driveway, garage, and/or carport areas only; this section does not impose restrictions on public street parking regulations. Recreational vehicles may be parked in accordance with the provisions set forth in Section 9.60.130 (or successor provision, as may 'be amended from time to time) of this code. S. No "apartment," "apartment building," or "apartment project," as defined in Section 9.280.030 (or successor provision, as may be amended from time to time) of this code shall be eligible to apply for or obtain a short-term vacation rental permit. (Ord. No. 608, § 1, 12-5-2023; Ord. No. 607, Exh. A, 12-5-2023; Ord. 590 § 1(Exh. A), 3-16-2021; Ord. 586 § 1(Exh. A), 12-15-2020; Ord. 577 § 1, 2019; Ord. 572 § 1, 2018; Ord. 563 § 1, 2017; Ord. 501 § 2, 2012) 3.25.080 - Recordkeeping and hosting platform duties. A. The owner or the owner's authorized agent or representative shall maintain for a period of three (3) years, records in such form as the tax administrator (as defined in Chapter 3.24) may require to determine the amount of transient occupancy tax owed to the city. The tax administrator shall have the right to inspect such records at all reasonable times, which may be subject to the subpoena by the tax administrator pursuant to Section 3.24.140 (Records) (Transient Occupancy Tax) (or successor provisions, as may be amended from time to time) of this code. B. Hosting platforms shall not complete any booking transaction for any residential dwelling or other property purporting to be a short-term vacation rental unit in the city unless the dwelling or property has a current and valid short-term vacation rental permit issued pursuant to this chapter, which is not under suspension, for the dates and times proposed as part of the booking transaction. 1. The city shall maintain an online registry of active and suspended short-term vacation rental permits, which hosting platforms may reference and rely upon for purposes of complying with subsection B. If a residential dwelling or other property purporting to be a short-term vacation rental unit matches with an address, permit number, and/or current and valid permit dates (not under suspension) set forth in the city's online registry, the hosting platforms may presume that the dwelling or other property has a current and valid short-term vacation rental permit. 2. The provisions of this subsection B shall be interpreted in accordance with otherwise applicable state and federal law(s) and will not apply if determined by the city to be in violation of, or preempted by, any such law(s). about:blank 22/26 9/9/24, 10:30 AM DOC #2024-0314328 Page 107 of 178 La Quinta, CA Municipal Code (Ord. 590 § 1(Exh. A), 3-16-2021; Ord. 586 § 1(Exh. A), 12-15-2020; Ord. 572 § 1, 2018; Ord. 563 § 1, 2017; Ord. 501 § 2, 2012) 3.25.090 - Violations. A. Additional conditions. A violation of any provision of this chapter or this code by any applicant, occupant, responsible person, local contact person, owner or owner's authorized agent or representative (including a management company), shall authorize the city manager, or designee, to impose additional conditions on the use of any given short-term vacation rental unit to ensure that any potential additional violations are avoided. B. Permit modification, suspension and revocation. A violation of any provision of this chapter, this code, California Vehicle Code, or any other applicable federal, state, or local laws or codes, including, but not limited to, applicable fire codes and the building and construction codes as set forth in Title 8 of this code, by any applicant, occupant, responsible person, local contact person, owner, or owner's authorized agent or representative (including a management company), shall constitute grounds for modification, suspension and/or revocation (which may include permanent revocation) of the short-term vacation rental permit and/or any affiliated licenses or permits pursuant to the provisions set forth in Section 3.25.100. C. Notice of violation. The city may issue a notice of violation to any applicant, occupant, responsible person, local contact person, owner, owner's authorized agent or representative (including a management company), or hosting platform, pursuant to Section 1.01.300 (or successor provisions, as may be amended from time to time) of this code, if there is any violation of this chapter committed, caused or maintained by any of the above parties. D. Two (2) strikes policy. Subject to a minor violation reprieve request, two (2) violations of any provision of this chapter or this code within one (1) year by any applicant, occupant, responsible person, local contact person, owner, owner's authorized agent or representative (including a management company), with respect to any one (1) residential dwelling shall result in an immediate suspension of the short-term vacation rental permit with subsequent ability to have a hearling before the city, pursuant to this chapter, to request a lifting of the suspension. For purposes of this subsection, a "minor violation reprieve request" means a written request submitted to the city's code enforcement officer for relief from counting one (1) or more violations within the one (1) year period as a minor violation, and "minor violation" means a violation of a particular section of this code that resulted in minimal impact on the use and enjoyment of the adjacent and nearby properties caused by any of the following: 1. Minor debris or trash containers left in view as a first offense; 2. A short-term vacation rental permit number or bedroom count not posted on an advertisement as a first offense; 3. abouttlank 23/26 9/9/24, 10:30 AM DOC #2024-0314328 Page 108 of 178 La Quinta, CA Municipal Code A short-term vacation rental permit number or bedroom count posted in the wrong location on an advertisement as a first offense; or 4. Over occupancy due to a minor child not associated with a disturbance. A determination of whether a code violation is a minor violation shall be based on substantial evidence presented to the code enforcement officer relating to that violation. E. Administrative and misdemeanor citations. The city may issue an administrative citation to any applicant, occupant, responsible person, local contact person, owner, owner's authorized agent or representative (including a management company), or hosting platform, pursuant to Chapter 1.09 (Administrative Citations) (or successor provisions, as may be amended from time to time) of this code, if there is any violation of this chapter committed, caused or maintained by any of the above parties. Nothing in this section shall preclude the city from also issuing an infraction citation upon the occurrence of the same offense on a separate day. An administrative citation may impose a fine for one (1) or more violations of this chapter in the maximum amount allowed by state law or this code in which the latter amount shall be as follows: 1. General short-term vacation rental violations (occupancy/noise/parking). a. First violation: one thousand dollars ($1,000.00); b. Second violation: two thousand dollars ($2,000.00); c. Third violation: three thousand dollars ($3,000.00). 2. Operating a short-term vacation rental without a valid short-term vacation rental permit. a. First violation: one thousand and five hundred dollars ($1,500.00); b. Second or more violations: three thousand dollars ($3,000.00); c. Third or more violations: five thousand dollars ($5,000.00); d. In addition to the fines set forth above, the first, second, third, or subsequent violation of operating a short-term vacation rental unit without a valid short-term vacation rental permit shall be cause for an owner (or person and/or entity that owns or controls a business or organization or other entity of any kind, such as a limited liability company, which is the owner of a property) to be prohibited for all time from being eligible to be issued a short-term vacation rental permit and/or business license for use of a property as a short-term vacation rental unit. 3. Hosting a special event at a short-term vacation rental unit without a special event permit as required by Section 9.60.170 (or successor provision, as may be amended from time to time) of this code. a. First violation: five thousand dollars ($5,000.00); k). Second violation: five thousand dollars ($5,000.00). 4. about:blank 24126 9/9/24, 10:30 AM DOC #2024-0314328 Page 109 of 178 La Quinta, CA Municipal Code Advertising a short-term vacation rental without a valid short-term vacation rental permit by person(s) or entity(ies) other than a management company. a. First violation: one thousand dollars ($1,000.00); b. Second violation: two thousand dollars ($2,000.00); c:. Third violation: three thousand dollars ($3,000.00). 5. Advertising a short-term vacation rental without a valid short-term vacation rental permit by a management company. a. First violation: one thousand and five hundred dollars ($1,500.00); b. Second violation: three thousand dollars ($3,000.00); c. Third or more violations: five thousand dollars ($5,000.00); d. In addition to the fines set forth above, the first, second, third, or subsequent violation of advertising a short-term vacation rental unit without a valid short-term vacation rental permit by a management company shall be cause for the management company to be prohibited from being used to advertise or operate a short-term vacation rental unit at the property identified for not having a valid short-term vacation rental permit. Additionally, repeat violations, which is three (3) or more violations of this subsection (E) (5), by a management company for advertising a short-term vacation rental unit without a valid short-term vacation rental permit shall be cause for the management company to be prohibited for all time from being eligible to be issued a short-term vacation rental permit and/or business license in the city for such property management purposes. F. Public Nuisance. In addition to any and all rights and remedies available to the city, it shall be a public nuisance for any person or entity to commit, cause or maintain a violation of this chapter, which shall be subject to the provisions of Section 1.01.250 (Violations public nuisances) (or successor provisions, as may be amended from time to time) of this code. (Ord. No. 607, Exh. A, 12-5-2023; Ord. 590 § 1(Exh. A), 3-16-2021; Ord. 586 § 1(Exh. A), 12-15-2020; Ord. 578 § 1, 2019; Ord. 5 72 § 1, 2018; Ord. 563 § 1, 2017; Ord. 501 § 2, 2012) 3.25.100 - Appeals. A. Any person aggrieved by any decision of a city officer made pursuant to this chapter may request a hearing before the city manager in accordance with Chapter 2.08 (or successor provisions, as may be amended from time to time) of this code. B. Notwithstanding any provisions in Section 2.08.230 or otherwise in the code, the decision by the city manager of an appeal brought under this chapter shall be the final decision by the city for any violation of a short-term vacation rental permit issued under this order, except for any administrative citation imposing a fine, which shall be processed and subject to an administrative appeal pursuant to Chapter 1.09 of the code. about:blank 25/26 9/9/24, 10:30 AM DOC #2024-0314328 Page 110 of 178 La Quinta, CA Municipal Code (Ord. 590 § 1(Exh. A), 3-16-2021; Ord. 586 § 1(Exh. A), 12-15-2020; Ord. 572 § 1, 2018; Ord. 563 § 1, 2017) about:blank 26/26 DOC #2024-0314328 Page 111 of 178 EXHIBIT H SCHEDULE OF PERFORMANCE / PHASING PLAN [attached] 62779493.0 TRAVERTINE DOC #2024-0314328 Page 112 of 178 8/1/2024 PROJECT COMPONENT LAND USE START COMPLETION* MASTER SITE IMPROVEMENTS - Backbone N.A. 42 months within Vesting Date 18 months after Start Date PHASES RESIDENTIAL 1A & 113 600 24 months within Vesting Date 36 months - 72 months after Start Date 2 308 54 months within Vesting Date 36 months after Start Date 3 292 78 months within Vesting Date 37 months after Start Date Note: Schedule contingent on obtaining license agreements from Bureau of Reclamation for the crossings of Madison Street and Avenue 62 at Dike #4 and Bureau of Land Management for the crossing of Jefferson Street at the Guadalupe Dike. *Completion defined as 70% of C -of -O's issued, and are the outside deadlines permissible under this Agreement, subject to the terms of this agreement. Note: If Developer provides evidence reasonably satisfactory to the City that then existing market conditions do not allow for the development on economically feasible terms and orderly absorption of such product type to the point of completion as specified above, then such period shall be extended for up to five 1 -year periods to be approved by the City Manager. **Vesting Date is defined as the later of (i) the Effective Date of the Development Agreement and (ii) the running of all applicable status of limitations and referendum petition deadlines with no legal challenges or petitions having been filed or submitted, or if filed or submitted, successfully resolved to the satisfaction of Developer City. .. i AVENUE 58 IF DOC #2024-0314328 Page 113 of 178 Martinez Rock Slide WATER _ PHASE ]-A Construction/Sales PA Land Use Acres Density Range Target Density Target Units Villas 10 Low Density Residential 23.6 1.5.4.5 dulac 2.9 75 11 Resort / Golf 46.2 12 Low Density Residential 52.2 1.5.4.5 du/ac 2.0 105 13 Low Density Residential 26.7 1.5-4.5 du/ac 1.8 48 14 Low Density Residential 39.0 1.5.4,5 du/ac 1.7 65 I S-A Low Densitv Residential 20.9 1.5-4.5 dulac 2.1 44 19 Open Space Recreation 23.1 � 20 Open Soace Natural 301.2 a AVENUE 52 Phase 1-A Totals 534.9 0.6 337 Martinez Rock Slide WATER _ AVENUE 60 Coral ii g Mountain - 1 DW 4i y V— A . i P 2 i~ p y � NAP 4 } 4 a AVENUE 52 ; j PA -15A PA -14 ?f 4i C� t4 PA -12 "rt PA -13 — Martinez Rock Slide WATER _ AVENUE 60 i MADISON ST V— A . i P 2 i~ p y AVENUE 52 2026 -2027 TRAVERTINE Phase 1A - Construction 1' — i . i 2026 -2027 TRAVERTINE Phase 1A - Construction DOC #2024-0314328 Page 114 of 178 Dike 2 AVENUE58 H� IF CANYON' (FUTURE). Coral Mountain Dike'4 i y AVENUE 60 MADISON ST EVA NAP m p ) t J �, j `• _ ( i a \� A 15 PA 7 'PA 8 -9 AVENUE 62 PA -15A PA -19 PA -10 � PA -14 J PA -12 PA -11 PA -13 PA -20 Martinez 1 r� �---- tKS Rock Slide N PHASE l -B Construction/Sales PA Land Use Acres Density Range Target Target Density Units Villas S Low Density Residential 16.2 1.5-4.5 du/ac 1.9 31 7 Low Density Residential 18.7 1.5-4.5 du/ac 3.3 GI 8 Low Density Residential 16.9 1.5-4.5 du/ac 4.3 73 9 Medium Density Residential 14.8 4.5-8.5 du/ac 4.9 72 I5 -B Low Density Residential 12.4 1.5-4.5 du/ac 2.1 26 CORAL 18 0 en S ce Recreation 14.7 Phase 1-8 Totals 2028 -2029 93.7 2.8 263 TRAVERTINE Phase 1 B -Construction DOC #2024-0314328 Page 115 of 178 Dike 2 AVENUE 58 V CORAL CANYON (FUTURE), Coral Mountain Dike;4 y AVENUE 60 MADISON ST EVA m PA -5 g '= J} . _ ' � i NAP •� 1 � � ,. i O PA 16 ~ PA -9 A-18 A-15 , PA -7 PA -8 - AVENUE 62 PA -1 5A PA -10 PA -19 PA -14 f -12 r PA -11 PA 13 PA -20 Martinez Ire �.._! i� Rock Slide WATER NKS N PHASE 2 Construction/Sales PA Land Use. Acres Density Range Target Target Density Units Villas 4 Low Density Residential 9.6 1.5-4.5 dulac 3.0 29 G Medium Density Residential 20.1 4.5-8.5 du/ac 8.1 163 16 Low Density Residential 50.4 LS -4•S du/ac 2.3 116 2029- Phase 2 Totals 80.1 3.8 308 2030 TRAVERTINE Phase 2 -Construction DOC #2024-0314328 Page 116 of 178 Dike 2 ly AVENUE 58 CORAL CANYON (FUTURE) Coral Mountain Dike'4 i AVENUE 60 MADISON ST i >� g y � it y t-- `., VA r v PA 3 PA -4 PA-16� PA -5 A-15 AVENUE 62 �J � A-18 �PA•7 PA -8 PA -9 PA -15A P� �\ A-14 PA -19 PA -10 -12 PA -11 PA -20 Martinez i ---t , i Rock Slide WATER, NK N PHASE 3 Construction/Sales PA Land Use Acres Density Range Target Target Density Units �Ilas 1 Resort /Spa 38.3 100 2 Medium Density Residential 25.9 4.5-8:5 du/ac 7.9 205 3 Low Density Residential 29.4 1.5-4.5 du/ac 3.0 87 17 Open S ace Recreation 18.1 Phase 3 Totals 111.7 2.6 292 2031 -2032 100 TRAVERTINE Phase 3 -Construction DOC #2024-0314328 Page 117 of 178 EXHIBIT I MITIGATION MONITORING AND REPORTING PROGRAM AND PROJECT DESIGN FEATURES [attached] 62779493.,,,7 DOC #2024-0314328 Page 118 of 178 CITY COUNCIL RESOLUTION 2024-033 EXHIBIT B FINAL ENVIRONMENTAL IMPACT REPORT Travertine Specific Plan et al, La Quinta CA 4.0 Mitigation Monitoring and Reporting Program Chapter 4.0 Mitigation Monitoring and Reporting Program 4.1 Introduction If mitigation measures are required or incorporated into a project as part of the CEQA process, the lead agency must adopt a Mitigation Monitoring and Reporting Program (MMRP) to ensure compliance with the project's mitigation measures. Sections 15097 and 15126.4(a)(2) of the CEQA Guidelines provide that a project's mitigation measures must be enforceable through permit conditions, agreements, or other mechanisms. CEQA and the CEQA Guidelines further provide that the MMRP must be adopted at the time of project approval. However, while the MMRP does not have to be included in the EIR, for the sake of maximizing public transparency, a copy of the proposed Project's MIMRP has been included in this Final EIR below. In light of the foregoing, this Chapter contains the proposed Project's MMRP. The MMRP was prepared to provide a program for not only monitoring and reporting on the Project's mitigation measures, but also enforcing compliance with respect to the implementation of each mitigation measure adopted for the Project. The purpose of the mitigation measures is to mitigate or avoid significant environmental effects of the Project. 4.2 Monitoring Authority The City may delegate duties and responsibilities for monitoring compliance with the objective performance standards established by any given mitigation measure to designated environmental monitors or consultants as deemed necessary. The City may also delegate such duties and responsibilities to certain responsible agencies, affected jurisdictions, enforcement and regulatory agencies of the state or county, special districts and other agencies. The same duties and responsibilities may also be delegated to qualified private entities which accept the delegation. The City's Development Services (or equivalent positions of other designated agencies or entities) must ensure that the officials delegated the duties or responsibilities to monitor any given set of mitigation measures are qualified to assume such duties and responsibilities. Any deviation from the procedures identified under the MMRP shall require prior approval or authorization by the City. Moreover, any deviations from any of the established monitoring procedures set forth in the MMRP and any remedial actions taken to correct such deviations shall be reported immediately to the City by the assigned environmental monitor or consultant. Notwithstanding any such delegation, the City shall remain responsible for monitoring the implementation of all of the project's mitigation measures in accordance with the project's MMRP. Travertine Final EIR 4-1 July 2024 DOC #2024-0314328 Page 119 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM 4.3 Enforcement Responsibility The mitigation measures for the proposed project will primarily apply prior to or during construction of the project in all phases of development the project. The City shall be responsible for enforcing each mitigation measure, albeit the City may assign such enforcement responsibilities to a qualified environmental monitor. The assigned environmental monitor for each construction activity shall report any problems with enforcement to the City and appropriate agencies. The MMRP prepared for the proposed project will be fully enforceable through permit conditions, agreements, or other measures. 4.4 Mitigation Monitoring Table Table 4-1, Travertine Specific Plan Amendment Mitigation Monitoring and Reporting Program, below identifies for each mitigation measure: (1) the potential impact on the environment that the mitigation measure is focused on; (2) a description of the mitigation measure; (3) the entity responsible for monitoring the mitigation measure; (4) the timing for implementing the measure; and (5) the anticipated level of significance of the impact at issue after mitigation. Travertine Final EIR 4-2 July 2024 DOC #2024-0314328 Page 120 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Table 4-1 Travertine Specific Plan Amendment Mitigation Monitoring and Reporting Program Travertine Final EIR 4-3 July 2024 Level of Potential Impacts on Mitigation Measure Responsible for Timing Significance the Environment Monitoring After Mitigation Section 4.1, Aesthetics AES -1 In order to reduce the proposed substation's impact on the existing visual character and c. Visual character or reduce the potential degradation of scenic City Council/ scenic quality quality of the surrounding area, the Project d. Light and glare applicant shall use one or more of the following Planning or comparable techniques: perimeter barriers, Commission landscaping appropriate for the substation IID During review of Less than facility. Additionally, glare shall be controlled Substation Significant through the use of non -reflective surfaces, Public Works dulling finishes to help blend the structures with Department the surroundings and reduce glare and color contrast, or comparable methods subject to the Project Applicant approval of IID. See BIO -12, 13I0-17, and BIO -30 Section 4.2, Air Quality AQ -1 The General Contractor and all sub -contractors shall ensure that during Project and off-site b. Result in a utility construction activities, off-road diesel City Planning & cumulatively construction equipment rated at 50 horsepower Public Works During ground considerable net (hp) or greater, complies with EPA/CARB Tier 4 Department disturbing Less than increase if any off-road emissions standards or equivalent and activities & Significant criteria pollutant shall ensure that all construction equipment is Project Contractor construction tuned and maintained in accordance with the manufacturer's specifications. Travertine Final EIR 4-3 July 2024 DOC #2024-0314328 Page 121 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM a. Conflict with implementation of applicable air quality Pp q Y plan AQ -2 The Project applicant must comply with South Coast AQMD Rule 445 (Wood -Burning Devices as amended, by explicitly ), P Y prohibiting the use of wood burning stoves and fireplaces in the proposed new development. City Planning & Public Works Department Project Contractor Prior to the approval of grading plans Less than Significant Mitigation Measures to Reduce VOC from Mobile Sources: AQ -3 The Project operator shall provide and/or accommodate facilities within the Project property such as bicycle parking and storage, to encourage bicycle use instead of driving as a method to reduce or otherwise eliminate certain vehicle trips within the Project area. AQ -4 The Project operator of the on-site resort facilities shall implement procedures to accommodate remote work or telecommuting, as applicable to the work City Planning & sectors, as a method to reduce commercial Public Works vehicle miles traveled. Department During operation Less than Significant AQ -5 The Project operator shall encourage the use project Applicant/ of low emission vehicles to reduce the Contractor reliance on gasoline or diesel fuel by providing charging stations and designated parking for emissions free vehicles. Mitigation Measures to Reduce VOCs from Consumer Products: AQ -6 The Project operator shall utilize "Super - Compliant" or otherwise non -aerosol dispersal/application methods (and/or low VOC products) in all Commercial Buildings including the Hotel, Spa and Golf Training Travertine Final EIR 4-4 July 2024 DOC #2024-0314328 Page 122 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-5 July 2024 Facility. This includes but is not limited to: air fresheners, cooking spray, floor maintenance products, furniture maintenance products, degreaser, oven cleaners, toilet care products. Project operators can refer to the CARB Consumer Product Program web site for the most current information. AQ -7 The Project operator shall utilize low VOC products to the greatest degree possible on all landscape maintenance activities associated with the Commercial Buildings, Golf Training grounds and Common Landscape Areas. These shall be applied with non -aerosol measures where possible. Applicable products include insecticides, pesticides, pool/spa disinfectants, grill cleaners. Project operators can refer to the CARB Consumer Product Program web site for the most current information. AQ -8 The Project operator shall require all commercial products to be diluted as directed. AQ -9 The Project operator shall use low -solvent or solvent -free paints for all commercial buildings and common area monumentation or walls (including repairs.) AQ -10 The Project operator shall minimize the use of pesticides with high organic solvent contents, and/or the use of emulsions and water-based formulations. Section 4.3, Biological BI0-1 Because USFWS has determined that, fences USFWS Prior to issuance Less than Resources could block wildlife movement, fenes will of permit Significant not be used as an initial deterrent to Travertine Final EIR 4-5 July 2024 4.0 MITIGATION MONITORING AND REPORTING PROGRAM a. Substantial adverse unauthorized access; however, a fencing City Planning effect on any contingency plan will be developed to address Department candidate, sensitive or any future indirect Project impacts. Following special status species the formation of the HOA and before the Project Applicant/ in local or regional completion of the habitat interface golf Developer plans, policies, or course, the Project applicant will establish a regulations, or by the three-person committee, with California Department representatives from USFWS, CDFW, and the of Fish and Game or HOA to monitor and assess the future need US Fish and Wildlife for a buffer fence. The committee will be Service charged with assessing whether a future fence is needed based on whether a fence is needed to prevent human access to sheep habitat or keep bighorn sheep off the project site. In addition, if USFWS finds evidence that a fence is necessary to prevent human access to prevent human access to sheep habitat or keep bighorn sheep off the project site, USFWS may require the construction of the fence at its sole discretion. To avoid complications in the installation of a future fence, the Project applicant would be required to provide wildlife fence easements at the exterior boundary of the golf course or trail corridor, whichever is the outer most perimeter ofthe project, create an HOA as the legally responsible partyforfence installation, and provide or identify a dedicated source of funds to construct the fence prior to recording the first final map. Consistent with the terms of the Project Biological Opinion, upon either a three- person committee or USFWS's unilateral determination that a fence is necessary based on the criteria specified in the Biological Travertine Final EIR 4-6 July 2024 H H DOC #2024-0314328 Page 124 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-7 July 2024 Opinion, an 8 -foot -tall wildlife fence constructed of tubular steel and painted to blend in with the desert environment shall be installed where the Project interfaces with Coral Mountain along the northern boundary and extend southward along the western and southern boundary of proposed development to preclude PBS from entering the Project and humans from entering the sheep habitat. The fence shall extend to where Avenue 62 intersects with the eastern Project boundary. 13I0-2 All lighting located within the development City Planning footprint shall conform with the Commission/City Less than requirements outlined in the Travertine Council Prior to approval Significant Specific Plan and the MSHCP. Project Applicant 13I0-3 Where the Project is located adjacent to the SRSJM Conservation Area along its western edge, a minimum buffer of 74 feet shall be incorporated between SRSJM undeveloped City Planning native desert areas and private homeowner Commission/City Less than parcels and public gathering areas. Each Council Prior to approval Significant private homeowner parcel along this western edge shall have fencing at the top of slope Project Applicant with Lexan panels to dampen noise to an appropriate level. 13I0-4 All plant species identified as invasive by the CVMSHP, orthat are known to be toxic to PBS, will be prohibited from inclusion in Project City Planning landscaping including areas adjacent to Commission/City Prior to approval Less than proposed open space. Prior to site Council of landscape Significant disturbance a Project -specific list of plan prohibited plant species will be prepared by a Project Applicant qualified biologist for use in developing the Project Landscape Plan. This will include Travertine Final EIR 4-7 July 2024 DOC #2024-0314328 Page 125 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-8 July 2024 plants identified as invasive by the California Invasive Plant Council (Cal -IPC) and the CVMSHCP. The Cityshall review the landscape palette prior to planting. 13I0-5 The final design and location of natural trails will be approved by the USFWS and the City to minimize disturbance to PBS. Unauthorized trails currently in use on the Property will be closed to minimize impacts to bighorn sheep and replaced with the trail proposed as part of the Project. The nature trail will be closed USFWS to equestrian and bicycle use _Other than this trail, no additional trails would be proposed City Planning or allowed as part of the Project. To restrict Commission/City Final Design Less than human access to surrounding hills, including: Council Significant (a) placement of "no trespass' signs at legally enforceable intervals along the trail and Project Applicant habitat/development interface, with legally enforceable language; (b) development of CC&Rs and educational materials that explain to residents and members the ecology of bighorn sheep and the rules concerning unauthorized hiking into sheep habitat. BIO -6 Project proponent shall permanently protect 19.7 acres in Section 5 as bighorn sheep habitat. Prior to recording the first final map, Project proponent also has committed to City Planning acquire an additional approximately 100 Commission/City Prior to acres of bighorn sheep habitat in Section 5 Council recording the Less than that also are strategically located to fragment first final map Significant larger blocks of land into smaller units with Project Applicant reduced development potential. All lands proposed for conservation in Section 5 will be approved by the Service and protected in perpetuity consistent with California Civil Travertine Final EIR 4-8 July 2024 DOC #2024-0314328 Page 126 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-9 July 2024 Code Section 815, et seq. For more detail, please referto the Section 5 Addendum to the Travertine Biological Assessment. 13I0-7 Project proponent shall establish a $500,000 endowment with the Centerfor Natural Lands Management (CNLM) to be managed by the U.S. Fish and Wildlife Service to assist with the long-term management of bighorn sheep. Of CNLM this total, $100,000 will be provided upon issuance of the first grading permit, with the USFWS Prior to approval Less than balance of $400,000 paid in installments of Significant $100,000 per year over the succeeding four Project Applicant years. Long-term maintenance and monitoring activities shall be outlined in a long-term management plan and submitted to CDFW and USFWS for review and approval. BI0-8 Project proponent shall provide an additional $100,000 to the CNLM endowment above to support the gathering of information on the CNLM Less than effects of the regional trails system on Prior to approval Significant bighorn sheep, including trails in and around Project Applicant the Project site. Travertine Final EIR 4-9 July 2024 DOC #2024-0314328 Page 127 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-10 July 2024 13I0-9 The Jefferson Street extension through Section 32 will be constructed using active and passive design features to prevent public roadside parking and foot access into bighorn sheep habitat (e.g., boulders, k -rail, berm, narrow road shoulder, bar ditch, and restrictive signage), subject to review and approval by the U.S. Fish and Wildlife Service. BIO -10 Within the project boundary, approximately 100 yards at the west end of the newly constructed Jefferson Street Loop in the USFWS southwest comer of Section 33, where it Prior to approval Less than connects with the Avenue 62 alignment, will Project Significant be left as undeveloped desert. The distance in Applicant/Developer some places will be less than 100 yards but otherfeatures such as "manufactured slopes" and "property fences" will be used, as shown in Figure 4 — BO Conservation Measure #7 of the Project Biological Opinion. This design feature, in combination with enhanced native landscaping, will discourage unauthorized vehicle access into bighorn sheep habitat in Section 5 adjacent to the Travertine project boundary. City Planning BIO -11 No exotic plants known to be toxic to PBS, or Commission/City invasive in desert environments, will be used Council Prior to approval Less than in project landscaping. Significant Project Applicant/Developer City Planning BIO -12 The Project shall not provide direct public Commission/City access from internal streets to hillside sheep Council Prior to approval Less than habitat. Significant Project Travertine Final EIR 4-10 July 2024 DOC #2024-0314328 Page 128 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-11 July 2024 Applicant/Developer City Planning Commission/City BIO -13 The Project Nature Trail will form the southern Council Less than and western perimeters of the Project. Prior to approval Significant Project Applicant/Developer City Planning BIO -14 To deter bighorn sheep access to the project Commission/City site, natural landscaping and property fences Council Less than around residential areas would reduce noise, Prior to approval Significant light, and visual impacts on surrounding hills. Project Applicant/Developer BIO -15 The best management practices shall be used to preclude the establishment of potential City Planning disease vectors at open water features (i.e., Commission/City water bodies will be designed with steep, Council Prior to approval Less than unvegetated slopes and deep enough water Significant to prevent establishment of emergent Project wetland vegetation). Applicant/Developer BIO -16 CC&R's and Project Specific Plan conditions shall prohibit activities that emit noise above City Planning specified levels (not to exceed 60 dB(A) for Commission/City sensitive receptors or 75 dB(A) for Council Less than nonresidential receptors (per City Ordinance Priorto approval Significant 9.100.210 Noise Control). For example, only Project quiet electric golf carts will be used for service Applicant/Developer and maintenance. City Planning BIO -17 Outdoor lighting will be down -shielded and Commission/City directed away from the hillsides in Council Prior to approval Less than accordance with the City municipal code. Significant Project Applicant/Developer Travertine Final EIR 4-11 July 2024 DOC #2024-0314328 Page 129 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-12 July 2024 BIO -18 To increase public awareness regarding the sensitivity of PBS in the region, educational materials will be provided to homeowners and made available to users of the public facilities within the Travertine development. This material will be prepared in cooperation with the U.S. Fish and Wildlife Service and CDFW. In addition, the Project proponent will provide within the project an area dedicated as an interpretive center concerning the bighorn sheep. City Planning Commission/City Council Project Applicant/Developer During operation Less than Significant BIO -19 The two water reservoirs will be constructed of steel or concrete and buried underground City Planning to the extent possible, or screened by Commission/City landscaped berms. Any tank appurtenances Council (e.g., valves) remaining above -ground will be Prior to approval Less than painted with non -reflective paint colored to CVWD Significant blend with the surrounding habitat and to prevent light from being reflected toward Project sheep habitat in the Santa Rosa Mountains. Applicant/Developer BIO -20 Dogs and other pets are not allowed within the National Monument and appropriate signage at the designated trailhead parking areas and any other access points will be installed to prohibit dogs along the Nature Trail. CC&Rs City Planning and club rules will require pets to remain on a Commission/City leash while outside enclosed areas, and will Council Less than prohibit pets from entering the hills at any Prior to approval Significant time. The Project proponent will consult with Project USFWS during the drafting of Rules & Applicant/Developer Regulations concerning appropriate rules and regulations to protect bighorn sheep. The Master Declaration of Conditions, Covenants and Restrictions will incorporate rules and regulations specifically addressing bighorn Travertine Final EIR 4-12 July 2024 DOC #2024-0314328 Page 130 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-13 July 2024 sheep, which rules and regulations may be modified, amended or deleted only with the express written consent of USFWS. Violators of CC&Rs and club rules will be subject to increasingly severe penalties. Compliance with the local "leash law" will also be enforced pursuant to City ordinance and the project's Specific Plan conditions." A variety of other measures will be implemented to restrict human access to surrounding hills, including training personnel to monitor and control human access to adjacent hills. City Planning BIO -21 The acreage of the Project Site that is located Commission/City within the MSHCP Conservation Area shall be Council Prior to approval Less than dedicated to Conservation in perpetuity. Significant Project Applicant/Developer BIO -22 Prior to the issuance of grading permits, the project proponent will provide a no -interest City Planning $2,000,000 loan to the CVCC or its designee Commission/City upon mutually agreeable terms to acquire Council essential bighorn sheep habitat in the Prior to the Less than project area. This provision may be revised CVCC/Wildlife issuance of Significant or substituted for in a manner of equal or Agencies grading permits greater benefit to the Plan upon mutual agreement of CVCC, the Wildlife Agencies, Project and the Project proponent. Applicant/Developer BIO -23 A Qualified Biologist will prepare and present Qualified Biologist to each employee (including temporary, contractors, and subcontractors) a Worker City Planning Prior to grading Less than Environmental Awareness Program (WEAP) Commission/City or construction Significant prior to the worker's initiation of work on the Council activities Project site. Workers shall also be advised by the Qualified Biologist of the special -status Project Travertine Final EIR 4-13 July 2024 DOC #2024-0314328 Page 131 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-14 July 2024 wildlife species in the Project site, the steps to Applicant/Developer avoid impacts to the species and the potential penalties for taking such species. At a minimum, the WEAP will include the following information: occurrence of the listed and sensitive species in the area, their general ecology, sensitivity of the species to human activities, legal protection afforded to these species, penalties for violations of federal and State laws, reporting requirements, and Project features and mitigation measures designed to reduce the impacts to these species and promote continued successful occupation of habitats within the Project area. Included in this WEAP will be color photographs of the listed species, which will be shown to the employees. Following the WEAP, the photographs will be posted in the contractor and resident engineer office, where they will remain through the duration of the Project. The contractor, resident engineer, and the Qualified Biologist will be responsible for ensuring that employees are aware of the listed species and observe reporting and mitigation and avoidance requirements. A record of all trained personnel will be kept with the construction foreman onsite. If new construction personnel are added to the project, the construction foreman will ensure that new personnel receive WEAP training before they start working. BIO -24 Prior to issuance of grading permit, a qualified Qualified Biologist Prior to issuance Less than biologist will be designated to monitor of grading permit Significant construction activities and advise City Planning Travertine Final EIR 4-14 July 2024 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-15 July 2024 N H N 0 N 0 CA) w N co v cQ CD W N 0 v 00 construction personnel of the sensitive Commission/City biological resources on site that may be Council impacted by, and conversely, that must be avoided during site development. A biological Project monitor will be on site to monitor avoidance Applicant/Developer activities and to monitor all clearing and grubbing activities, as well as grading, excavation, and/or other ground -disturbing activities in jurisdictional areas to ensure that impacts do not exceed the limits of grading and to minimize the likelihood of inadvertent impacts on special -status species. The monitor will flush avian species and remove and relocate, if possible, non -avian species to a safe location outside of the immediate construction zone (generally 1,000 feet or more onto public lands, when feasible). Where appropriate, the biological monitor will mark/flag the limits of environmental sensitive areas (ESAs) to restrict project activities near the areas. These restricted areas will be monitored to protect the species during construction. The biological monitor will ensure that all biological mitigation measures, BMPs, avoidance and protection measures described in the relevant project permits, approvals, licenses, and environmental reports, and CEQA documents, are in place and are adhered to. Monitoring will cease when the sensitive habitats and jurisdictional areas have been cleared or impacted. The biological monitor will ensure that construction activities will maintain measures to prevent accidental trapping of wildlife into Travertine Final EIR 4-15 July 2024 N H N 0 N 0 CA) w N co v cQ CD W N 0 v 00 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-16 July 2024 H H N 0 N A 0 w w N 0 v cQ CD W W 0 v 00 excavated areas and inspect excavated areas daily to detect the presence of trapped wildlife. All deep or steep -walled excavated areas should be covered with plywood or other weight bearing material and will be furnished with escape ramps at a 3:1 slope or are surrounded with exclusionary fencing in order to prevent wildlife from entering them. Trapped wildlife should be relocated out of harm's way to a suitable habitat outside of the project area. The biological monitor will have the authority to temporarily halt all construction activities and all non -emergency actions if ESAs and special -status species are identified and will be directly impacted. The monitor will notify the appropriate resource agency and consult if needed. If needed, and if possible, the biological monitor will relocate the individual outside of the work area where it will not be harmed. Work can continue at the location if the project proponent and the consulted resource agency determine that the activity will not result in impacts on the species. All biological monitor observations of special - status species will be documented and mapped in monitoring logs. Monitoring logs will be completed for each day of monitoring. All special -status species recordings will be submitted to the CNDDB. The biological monitors will be responsible for documenting compliance with avoidance measures, the results of the surveys and the ongoing monitoring, and will provide a copy of the monitoring reports for impact areas to Travertine Final EIR 4-16 July 2024 H H N 0 N A 0 w w N 0 v cQ CD W W 0 v 00 DOC #2024-0314328 Page 134 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-17 July 2024 the County EPD and any permitting agencies that require reporting. The appropriate agencies will be notified if a dead or injured protected species is located within the project site. Written notification will be made within 15 days of the date and time of the finding or incident (if known) and will include: location of the carcass, a photograph, cause of death (if known), and other pertinent information. BIO -25 Prior to issuance of grading permits and commencement of any ground -disturbing activities or vegetation removal the following measures would be implemented to avoid impacts on ESAs, surrounding habitats, and special status species and wildlife: a. Project footprint would be set at the minimum size to accomplish necessary Prior to issuance work, and the footprint will be of a Qualified Biologist of grading permit size/area no greater than is identified in and the CEQA documentation, to minimize City Planning commencement impacts on sensitive biological Commission/City of any ground Less than resources. Council disturbing Significant b. Specifications for the project boundary,Project activities or limits of grading, project related parking, Applicant/Developer vegetation storage areas, laydown sites, and removal equipment storage areas would be mapped and clearly marked in the field with temporary fencing, signs, stakes, flags, rope, cord, or other appropriate markers. All markers would be maintained until the completion of activities in that area. Travertine Final EIR 4-17 July 2024 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-18 July 2024 H H N 0 N A 0 w w N Co v cQ cD w Cn 0 v 00 c. To minimize the amount of disturbance, the construction/laydown activities, parking, staging, storage, spoil management, and equipment access will be restricted to designated areas. Designated areas will comprise existing disturbed areas (parking lots, access roads, graded areas, etc.) to the extent possible. d. Designated staging areas will be enclosed with temporary security fencing. All staging areas will comply with conditions in the Stormwater Pollution Prevention Plan SWPPP), which provides BMPs to avoid or mitigate erosion impacts during construction. e. Project -related work limits would be defined and work crews would be restricted to designated work areas. Disturbance beyond the actual construction zone will be prohibited without site-specific surveys. If sensitive biological resources are detected in an area to be impacted, then appropriate measures would be implemented to avoid impacts (i.e., flag and avoid, erect orange construction fencing, biological monitor present during work, etc.). However, if avoidance is not possible and the sensitive biological resources would be directly impacted by project activities, the biologist would mark and/or stake the site(s) and map the individuals on an aerial map and with a Travertine Final EIR 4-18 July 2024 H H N 0 N A 0 w w N Co v cQ cD w Cn 0 v 00 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-19 July 2024 H H N 0 N 0 CA) w N Co N cQ CD W W 0 v OD Global Positioning System (GPS) unit. The biologist would then contact the appropriate resource agencies to develop additional avoidance, minimization and/or mitigation measures prior to commencing project activities. f. ESAs would be identified, mapped, clearly marked in the field, and avoided to the maximum extent practicable in order to avoid and minimize impacts on sensitive biological resources. g. Existing roads and trails would be utilized wherever possible to avoid unnecessary impacts. Project related vehicle traffic would be restricted to established roads, staging areas, and parking areas. Travel outside construction zones will be prohibited. h. Monitoring would occur periodically during the length of construction activities to ensure project limits, designated areas (parking, storage, etc.), and ESAs are still clearly marked. L Signs will be installed on boundaries of the Project Site and other strategic locations to notify the public of the sensitive biological resources identified onsite and prohibit entry into key high value habitat areas. Travertine Final EIR 4-19 July 2024 H H N 0 N 0 CA) w N Co N cQ CD W W 0 v OD DOC #2024-0314328 Page 137 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-20 July 2024 BIO -26 Prior to construction, the construction area and adjacent habitat within 500 feet of the construction area, or to the edge of the property if less than 500 feet, will be surveyed by a Qualified Biologist for burrows that could be used by burrowing owl. Two (2) surveys will be conducted, with one survey to be conducted between 14 and 30 days prior to site disturbance, and a second survey to be conducted within 24 hours of site disturbance, following methods described in the Staff Report on Burrowing Owl Mitigation (California Department of Fish and Game 2012). If a burrow is located, the Qualified Prior to issuance Biologist will determine if an owl is present in Qualified Biologist of grading permit the burrow. If the burrow is determined to be and occupied, the burrow will be flagged and a City Planning commencement 160 -foot buffer during the non -breeding Commission/City of any ground Less than season and a 250 -foot buffer during the Council disturbing Significant breeding season, or a buffer to the edge of activities or the property boundary if less than 500 feet, Project vegetation will be established around the burrow. The Applicant/Developer removal buffer will be staked and flagged. No construction will be permitted within the buffer until the young are no longer dependent on the burrow. If the burrow is unoccupied, the burrow will be made inaccessible to burrowing owls, and construction activities may proceed. If either a nesting or escape burrow is occupied, burrowing owls shall be relocated pursuant to accepted protocols and in coordination with the Wildlife Agencies (CDFW and USFWS). A burrow is assumed occupied if records indicate that, based on surveys conducted Travertine Final EIR 4-20 July 2024 DOC #2024-0314328 Page 138 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-21 July 2024 following protocol, at least one burrowing owl has been observed occupying a burrow on site during the past three years. If there are no records for the site, surveys must be conducted to determine, prior to construction, if burrowing owls are present. Determination of the appropriate method of relocation, such as eviction/passive relocation or active relocation, shall be based on the specific site conditions (e.g., distance to nearest suitable habitat and presence of burrows within that habitat) in coordination with the Wildlife Agencies. Active relocation and eviction/passive relocation require the preservation and maintenance of suitable burrowing owl habitat determined through coordination with the Wildlife Agencies. BIO -27 Prior to the start of construction activities in modeled Le Conte's thrasher habitat in the SRSJM Conservation Area, surveys will be Conducted by a Qualified Biologist on the construction site and within 500 feet of the Qualified Biologist construction site, ortothe property boundary if less than 500 feet. If nesting Le Conte's City Planning Prior to the start thrashers are found, a 500 -foot buffer, or to Commission/City of construction Less than the property boundary if less than 500 feet, Council activities during Significant will be established around the nest site. The nesting season buffer will be staked and flagged. No Project construction will be permitted within the Applicant/Developer buffer duringthe breeding season (January 15 through June 15) or until the young have fledged. BIO -28 Vegetation clearing shall be conducted outside Qualified Avian Outside of Less than of the peak nesting season, which is generally Biologist nesting season Significant identified as February 1 through August 31, to Travertine Final EIR 4-21 July 2024 DOC #2024-0314328 Page 139 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-22 July 2024 the greatest extent feasible. Regardless of the City Planning time of year, nesting bird surveys shall be Commission/City performed by a qualified avian biologist no Council more than 3 days prior to vegetation removal or ground -disturbing activities. Pre- Project construction surveys shall focus on both Applicant/Developer direct and indirect evidence of nesting, including nest locations and nesting behavior. The qualified avian biologist will make every effort to avoid potential nest predation as a result of survey and monitoring efforts. If active nests are found during the pre - construction nesting bird surveys, a qualified biologist shall establish an appropriate nest buffer to be marked on the ground. Nest buffers are species specific and shall be at least 300 feet for passerines and 500 feet for raptors. A smaller or larger buffer may be determined by the qualified biologist familiar with the nesting phenology of the nesting species and based on nest and buffer monitoring results. Construction activities may not occur inside the established buffers, which shall remain on site until a qualified biologist determines the young have fledged or the nest is no longer active. Active nests and adequacy of the established buffer distance shall be monitored daily by the qualified biologist until the qualified biologist has determined the young have fledged orthe Project has been completed. The qualified biologist has the authority to stop work if nesting pairs exhibit signs of disturbance. BIO -29 Drainage and Toxics: Project stormwater runoff City Planning Prior to approval Less than will be conveyed eastward toward the Dike 4 Commission/City of grading plans Significant Travertine Final EIR 4-22 July 2024 DOC #2024-0314328 Page 140 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-23 July 2024 impound and away from Project surrounding open space, and SRSJM Conservation Area. Stormwater retention basins are designed to provide requisite water quality treatment, including bio -remediation. Subsequent engineering will include preparation of a SWPPP that will ensure against increased runoff and protect water quality during and post -construction. Council Project Applicant/Developer BIO -30 Artificial Lighting: Night lighting shall be directed away from adjacent open space and SRSJM Conservation Area to protect wildlife from direct night lighting. Light fixtures adjacent to open space will be shielded and utilize low intensity lighting. No nighttime lighting will be utilized on the nature trail and a curfew will be established for trail use from sunrise to sunset. Notice of the trail curfew will be posted at each trail entry point. If night lighting is required during construction, City Planning shielding shall be incorporated to ensure Commission/City ambient lighting adjacent conservation lands Council Prior to approval Less than are not increased. of Architectural Significant Throughout construction and the lifetime Project Review operations of the Project, the City and Project Applicant/Developer proponent shall eliminate all nonessential lighting throughout the Project area, including the selected offsite field utilities parcel, and avoid or limit the use of artificial light at night during the hours of dawn and dusk when many wildlife species are most active. The City shall ensure that all lighting for the Project is fully shielded, cast downward, reduced in intensity to the greatest extent possible, and does not result Travertine Final EIR 4-23 July 2024 DOC #2024-0314328 Page 141 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-24 July 2024 in lighting trespass including glare into surrounding areas or upward into the night sky (see the International Dark -Sky Association standards at http:Hdarksky.org/). The City and Project proponent shall ensure use of LED lighting with a correlated color temperature of 3,000 Kelvins or less, proper disposal of hazardous waste, and recycling of lighting that contains toxic compounds with a qualified recycler. City Planning BIO -31 Noise: The Project will incorporate setbacks, as Commission/City specified in the Specific Plan to minimize the Council Prior to approval Less than effects of noise on wildlife. of Tract Map Significant Project Applicant/Developer BIO -32 Unauthorized Access: The Project will City Planning incorporate signage, fencing, gates, and Commission/City similar measures and barriers to inform the Council Prior to approval Less than hiking public and to avoid or minimize of Architectural Significant unauthorized access to adjacent open space Project j Review lands. Applicant/Developer Travertine Final EIR 4-24 July 2024 DOC #2024-0314328 Page 142 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-25 July 2024 BIO -33 California Desert Native Plants Act: The applicant will collect California Desert Native Plan Act protected plants, including California barrel cactus (Ferocactus cylindraceus), Gander's buckhorn cholla (Cylindropuntia Riverside County gonderi), Englemann's hedgehog cactus Agriculture (Echinocereus engelmonnii), cottontop cactus Commissioner (Echinocactus polycephalus), beavertail Prior to and cactus (Opuntia basilaris), branched pencil City Planning during collection Less than cholla (Cylindropuntia ramossissima), ocotillo Commission/City of California Significant (Fouquieria splendens), catclaw (Acacia Council Native plants greggii), blue paloverde (Parkinsonia florida), and smoke tree (Psorothamnus spinosus) and Project prioritize reuse of plant materials onsite. A Applicant/Developer permit from the Agriculture Commissioner of the County of Riverside shall be obtained prior to collection and relocation of these species. BIO -34 A general biological field survey to document existing conditions and the suitability of habitats within the utility field parcels to support special -status wildlife species such as Prior to any burrowing owl, which could potentially occur Qualified Biologist ground on-site. Regardless of focused survey findings, disturbance, one if suitable habitat for burrowing owl is City Planning no less than 14 present, two (2) separate preconstruction Department days prior to Less than surveys are required prior to any ground disturbance, and Significant disturbance, one no less than 14 days prior to Project Applicant/ the other within disturbance, and the other within 24 hours Developer 24 hours prior to prior to ground disturbance. ground disturbance Should take of burrowing owl be expected, a relocation plan and extensive coordination to move animals offsite can be expected. BIO -35: Le Conte's Thrasher. Le Conte's thrasher Qualified Avian Prior to Less than focused surveys shall be performed by a Biologist vegetation Significant Travertine Final EIR 4-25 July 2024 DOC #2024-0314328 Page 143 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-26 July 2024 qualified avian biologist prior to vegetation removal or removal or ground -disturbing activities City Planning ground following methods outlined on pages 6-8 of Department disturbance the LeConte's Thrasher (Toxostoma lecontei) Status and Nest Site Requirements in the Project Applicant/ Coachella Valley (Hargrove, L. P. et al. 20204), Developer including the broadcast of song and calls by a qualified avian biologist with an appropriate permit. If active nests are found during the pre -construction nesting bird surveys, the qualified biologist shall inform CDFW and shall establish an appropriate nest buffer to be marked on the ground. Nest buffers are species specific and shall be at least 300 feet for passerines. A smaller or larger buffer may be determined by the qualified biologist familiar with the nesting phenology of the nesting species and based on nest and buffer monitoring results. Construction activities may not occur inside the established buffers, which shall remain on site until a qualified biologist determines the young have fledged or the nest is no longer active. Active nests and adequacy of the established buffer distance shall be monitored daily by the qualified biologist until the qualified biologist has determined the young have fledged orthe Project has been completed. The qualified biologist has the authority to stop work if nesting pairs exhibit signs of disturbance. BIO -36: Burrowing Owl Avoidance: No less than 60 Qualified Biologist No less than 60 days prior to the start of Project -related City Planning days prior to the Less than activities, a burrowing owl habitat Department start of Project- Significant assessment shall be conducted within the related activities Project site and surrounding area, including Project Applicant/ Travertine Final EIR 4-26 July 2024 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-27 July 2024 H H N 0 N 0 CA) w N Co v cQ cD 0 v 0 the selected off-site utility field parcel, by a Developer qualified biologist according to the specifications of the Staff Report on Burrowing Owl Mitigation (Department of Fish and Game, March 2012 or most recent version). Suitable habitat for burrowing owl has been identified within the Project site; therefore, focused burrowing owl surveys shall be conducted by a qualified biologist according to the Staff Report on Burrowing Owl Mitigation prior to vegetation removal or ground -disturbing activities. Focused burrowing owl surveys shall also be conducted in all areas identified through a habitat assessment as being suitable habitat for burrowing owls at the selected off-site utility field parcel. If burrowing owls are detected during the focused surveys, the qualified biologist and Project proponent shall prepare a Burrowing Owl Plan that shall be submitted to CDFW for review and approval prior to commencing Project activities. The Burrowing Owl Plan shall describe proposed avoidance, minimization, mitigation, and monitoring actions. The Burrowing Owl Plan shall include the number and location of occupied burrow sites, acres of burrowing owl habitat that will be impacted, details of site monitoring, and details on proposed buffers and other avoidance measures if avoidance is proposed. If impacts to occupied burrowing owl habitat or burrow cannot be avoided, the Burrowing Owl Plan shall also describe minimization and Travertine Final EIR 4-27 July 2024 H H N 0 N 0 CA) w N Co v cQ cD 0 v 0 DOC #2024-0314328 Page 145 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-28 July 2024 relocation actions that will be implemented. Proposed implementation of burrow exclusion and closure should only be considered as a last resort, after all other options have been evaluated as exclusion is not in itself an avoidance, minimization, or mitigation method and has the possibility to result in take. If impacts to occupied burrows cannot be avoided, information shall be provided regarding adjacent or nearby suitable habitat available to owls along with proposed relocation actions. The Project proponent shall implement the Burrowing Owl Plan following CDFW and USFWS review and approval. Preconstruction burrowing owl surveys shall be conducted no less than 14 days prior to the start of Project -related activities and within 24 hours prior to ground disturbance, in accordance with the Staff Report on Burrowing Owl Mitigation (2012 or most recent version). Preconstruction surveys should be performed by a qualified biologist following the recommendations and guidelines provided in the Staff Report on Burrowing Owl Mitigation. If the preconstruction surveys confirm occupied burrowing owl habitat, Project activities shall be immediately halted. The qualified biologist shall coordinate with CDFW and prepare a Burrowing Owl Plan that shall be submitted to CDFW and USFWS for review and approval prior to commencing Project activities. BIO -37: All operation and maintenance activities CVWD During operation Less than relating to the Project's water tank facilities of water tanks Significant Travertine Final EIR 4-28 July 2024 DOC #2024-0314328 Page 146 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-29 July 2024 will be designed and conducted in a manner City Planning consistent with the applicable mitigation Department measures in the 2015 Operations and Maintenance Manual for Coachella Valley Project Applicant/ Water District Covered Activities and Facilities Developer Within Conservation Areas. Avoidance and minimization measures include, but are not limited to: (i) the number of access routes, number and size of staging areas, and the total area of any operations and maintenance activities shall be limited to the minimum necessary to achieve the project goal; (ii) routes and boundaries outside the normal access roads shall be clearly delineated through fencing or flagging; (iii) if any CVWD employee inadvertently impacts a listed species or sensitive habitat during operations and maintenance activities, CVWD shall report the activity within 24 hours to CDFW. b. Have a Substantial BIO -38 Prior to the issuance of grading or building Adverse Effect on permits for the project, and prior to initiating any Riparian Habitat any work that may impact jurisdictional or Other Sensitive waters identified in the Travertine Project Natural Community Biological Resources Assessment, the Project- City Planning Identified in Local or specific Delineation of State and Federal Department Prior to issuance Regional Plans, Jurisdictional Waters, Michael Baker of grading or Policies, Regulations International, and the off-site utility field Project Applicant/ building Less than or by the California assessment prepared by Michael Baker Developer permits/initiatingSignificant Department of Fish International, dated March 2022, June 2021, any work and Wildlife Service and June 2022, respectively, the Project CDFW proponent shall provide notice to CDFW and obtain a Lake and Streambed Alteration Agreement as required pursuant to California Fish and Game Code sections 1602-1616. Travertine Final EIR 4-29 July 2024 DOC #2024-0314328 Page 147 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-30 July 2024 BIO -39 Impacts to CDFW jurisdictional waters shall be mitigated pursuant to a Habitat Mitigation and Monitoring Plan (HMMP) which will be prepared to identify specific on-site and/or off-site mitigation activities that will be implemented to compensate for unavoidable impacts to CDFW jurisdictional areas. The HMMP will identify the mitigation program coordinated with and approved by CDFW, set mitigation success criteria, and guide a five- year qualitative and quantitative mitigation City Planning monitoring program to track mitigation Department Prior to issuance success. Annual reports will be submitted to of grading or CDFW each year for five years, summarizing Project Applicant/ building Less than mitigation performance against the success Developer p permits/initiating Significant criteria. Impacts to non -riparian waters will any work be mitigated at a minimum 1:1 ratio. Impacts CDFW to riparian vegetation will be mitigated at a minimum 2:1 ratio. The HMMP will identify the mitigation program coordinated with and approved by CDFW, set mitigation success criteria, and guide a five-year qualitative and quantitative mitigation monitoring program to track mitigation success. Annual reports will be submitted to CDFW each year for five years, summarizing mitigation performance against the success criteria. BIO -40 Prior to construction of the Project, including Regulatory the offsite utility field, a jurisdictional Specialist delineation should be conducted to determine the presence or absence and City Planning Prior to Less than potential regulatory status of any Department construction Significant jurisdictional features should it be determined they may be impacted by Project Applicant/ installation of water wells and the electric Developer Travertine Final EIR 4-30 July 2024 DOC #2024-0314328 Page 148 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-31 July 2024 power substation within a proposed impact area. If Impacts to jurisdictional features are identified, the Project proponent shall comply with the regulatory requirements of the USACE, RWQCB and CDFW, as applicable, regarding required regulatory permits, including a Section 1602 Streambed Alteration Agreement, Section 404 Permit, Section 401 Water Quality Certification. Prior to issuance of a grading permit, the Project proponent shall implement the recommendations of the Project Drainage Study (DEIR, Appendix J.3) and in accordance with the recommendations of the Project Drainage Plan prior to issuance of a grading permit obtain a Conditional Letter of Map Revision (CLOMR) from the Federal Emergency Management Agency. The Project Proponent shall obtain a Letter of Map Revision (LOM R) prior to issuance of the first Certificate of Occupancy. 4.4 Cultural Resources CR -1 Prior to any ground -disturbing activities, the Qualified Project applicant shall retain a qualified Archaeologist a. Adverse change to archaeologist, defined as an archaeologist Prior to any Historical Resources that meets the Secretary of Interior's City Planning ground- Less than b. Adverse change to Standards for professional archaeology, to Department disturbing Significant Archaeological carry out all mitigation measures related to activities Resources cultural resources. Tribal monitoring of site Project Applicant/ disturbance will also be accommodated. Developer CR -2 The Project applicant shall assign a Compliance Officer Prior to any compliance officer for the Project to ensure City Planning ground- Less than mitigation measures are in place and followed disturbing Significant for the duration of Project construction. The Department activities Travertine Final EIR 4-31 July 2024 DOC #2024-0314328 Page 149 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-32 July 2024 compliance officer should prepare a monthly compliance report for distribution to the City, BOR, BLM, and interested Native American groups. The compliance officer may be the same person as the Project archaeologist or may be another qualified individual designated by the Project applicant. Project Applicant/ Developer CR -3 Prior to the commencement of ground disturbance, a Tribal Cultural Resources Monitoring and Mitigation Plan (Monitoring Plan) shall be prepared. The Monitoring Plan shall include, but not be limited to: principles and procedures for the identification of cultural resources monitoring protocols consistent with CR -1, CR -2 and CR -7 for Qualified ground -disturbing activities, a worker training Archaeologist program consistent with CR -6, and discovery Prior tthe and processing protocols for inadvertent City Planning commencement Less than discoveries of cultural resources consistent Department of ground Significant with CR -7 and CR -8. The plan shall detail disturbance protocols for determining circumstances in Project Applicant/ which additional or reduced levels of Developer monitoring (e.g., spot checking) may be appropriate. Fencing with a buffer shall be placed around resources to be avoided. The Monitoring Plan shall also establish a protocol for communicating with the lead agencies and interested Native American parties. CR -4 Prior to ground -disturbing activities in any Qualified areas outside the APE described in the Project Archaeologist prior to any EIR, Exhibit 4.5-1, including but not limited to ground- Less than locations proposed for the off-site utility field, City Planning disturbing Significant a supplemental study including an updated Department activities records search at the EIC, updated Sacred Lands File search, and pedestrian survey, shall Project Applicant/ Travertine Final EIR 4-32 July 2024 DOC #2024-0314328 Page 150 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-33 July 2024 be conducted. If resources are identified and cannot be avoided, they shall be assessed for their eligibility for the NRHP and CRHR. Avoidance and minimization measures identified as a result of the study shall be incorporated into the Monitoring Plan. Developer CR -5 In the event of unanticipated discovery of NRHP- and CRHR-eligible resources within the APE or the off-site utility field, where operationally feasible, such resources shall be protected from direct project impacts by project redesign (i.e., relocation of the ground City Planning disturbance, ancillary facilities, or temporary Department During any facilities or work areas). Avoidance ground- Less than mechanisms shall include temporary fencing Project Applicant/ disturbing Significant and designation of such areas as Developer activities environmentally sensitive areas (ESAs) for the duration of the proposed Project. ESAs shall include the boundary of each historic property plus a 30 -meter (98 -foot) buffer around the resource. CR -6 Prior to the commencement of ground - disturbing activities, typically at the Project kick-off, the qualified archaeologist or their designee will provide cultural sensitivity qualified training to construction crews. The training Archaeologist will provide information on signs of potential Prior to any cultural resources, regulatory requirements City Planning ground- Less than for the protection of cultural resources and Department disturbing Significant the proper procedures to follow should activities unanticipated cultural resources discoveries Project Applicant/ be made during construction. Workers will be Developer provided contact information and protocols to follow if inadvertent discoveries are made. Workers will be shown examples of the types Travertine Final EIR 4-33 July 2024 DOC #2024-0314328 Page 151 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-34 July 2024 of tribal cultural resources that might be encountered and that would require notification of the project archaeologist. The Project archaeologist shall create a training video, PowerPoint presentation, or printed literature that can be shown to new workers and contractors for continuous training throughout the life of the Project. CR -7 Prior to ground disturbance, an archaeological monitor, working under the supervision of the qualified archaeologist, and Native American monitors from the Agua Caliente Band of Cahuilla Indians and the Torres Martinez Desert Cahuilla Indians, shall be retained to monitor ground -disturbing activities. Monitoring will take place within or near ESAs or in other areas agreed upon by Qualified the archaeologist, City, and Native American Archaeologist monitor, and as identified in the Monitoring Plan. Monitoring activities will include Native American Prior to any examining the excavation of native soils as Monitors ground- Less than well as the disposal of spoils in certain areas. disturbing Significant The duration, timing and location of the City Planning activities monitoring shall be determined by the City in Department consultation with the qualified archaeologist and Native American monitors as outlined in Project Applicant/ the Monitoring Plan. Should buried cultural Developer deposits be encountered, the Monitor may request that destructive construction halt and the Monitor shall notify a Qualified Archaeologist (Secretary of the Interior's Standards and Guidelines) to investigate and, if necessary, prepare a mitigation plan for submission to the State Historic Preservation Officer. Additionally, fencing with a buffer Travertine Final EIR 4-34 July 2024 DOC #2024-0314328 Page 152 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-35 July 2024 shall be required around resources to be avoided. CR -8 In the event that cultural resources are exposed during excavation, work in the immediate vicinity of the find must stop until a qualified archaeologist can evaluate the significance of the find. Ground -disturbing activities may continue in other areas. For discoveries located outside of BLM land, if the City determines, in consideration of the subsequent analysis by the qualified archaeologist, that the resource is a protected resource under CEQA (Section 15064.5f; PRC 21082) additional work such as testing or data Qualified recovery may be warranted prior to Archaeologist resumption of ground -disturbing activity in Prior to any the location of discovery. For discoveries City Planning ground- Less than located on BLM-land, if the BLM determines, Department disturbing Significant in consideration of the subsequent analysis by activities the qualified archaeologist, that the resource Project Applicant/ is protected under Section 106 of the NHPA, Developer additional work such as testing or data recovery may be warranted prior to resumption of ground -disturbing activity in the location of discovery. Should any tribal cultural resources be encountered, additional consultation with California Native American Heritage Commission (NAHC)—listed tribal groups should be conducted in coordination with the City and/or with the BLM and BOR if the discovery occurs on federal lands. c. Disturb human CR -9 If human remains are encountered, pursuant During any remains to State of California Health and Safety Code County Coroner ground- Less than Section 7050.5, no further disturbance shall disturbing Significant occur until the Riverside County Coroner has activities Travertine Final EIR 4-35 July 2024 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-36 July 2024 H H N 0 N 0 w w N co 17 v cQ cD cn W 0 v 00 made a determination of origin and City Planning disposition pursuant to PRC Section 5097.98. Department The Riverside County Coroner must be notified of the find immediately. Additional Project Applicant/ procedures for responding to the Developer unanticipated discovery of human remains are outlined below. Modern Remains If the Coroner's Office determines the remains are of modern origin, the appropriate law enforcement officials will be called by the Coroner and conduct the required procedures. Work will not resume until law enforcement has released the area. Archaeological Remains If the remains are determined to be archaeological in origin, the appropriate protocol is determined by whether the discovery site is located on federally or non - federally owned or managed lands. Remains Discovered on Federally Owned or Managed Lands After the Coroner has determined that the remains are archaeological or historic in age, the appropriate BLM Palm Springs Field Office or BOR archaeologist must be called. The archaeologist will initiate the proper procedures under the Archaeological Resources Protection Act and the Native American Graves Protection and Repatriation Act (NAGPRA). If the remains can be determined to be Native American, the steps as outlined in NAGPRA, 43 Code of Federal Travertine Final EIR 4-36 July 2024 H H N 0 N 0 w w N co 17 v cQ cD cn W 0 v 00 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-37 July 2024 H H Regulations [CFR] 10.6 Inadvertent discoveries, must be followed. Resumption of Activity: The activity that resulted in the discovery of human remains on federal lands may resume after a written, binding agreement is executed between the BLM or BOR and federally recognized affiliated Indian Tribe(s) that adopts a recovery plan for the excavation or removal of the human remains, funerary objects, sacred objects, or objects of cultural patrimony following 43 CFR Section 10.3(b)(1) of these regulations. The disposition of all human remains and NAGPRA items shall be carried out following 43 CFR 10.6. Remains Discovered on Non -Federally Owned/Managed Lands After the Coroner has determined the remains on non -federally owned or managed lands are archaeological, the Coroner will make recommendations concerning the treatment and disposition of the remains to the person responsible for the excavation or discovery, or to his or her authorized representative. If the Coroner believes the remains to be those of a Native American, he/she shall contact the California NAHC by telephone within 24 hours. The NAHC will notify the person it believes to be the most likely descendant (MLD) of the remains. The MLD has 48 hours after accessing the site of the discovery to make recommendations to the landowner for treatment ordisposition of the human remains. If the MLD does not make recommendations within 48 hours, the Travertine Final EIR 4-37 July 2024 H H DOC #2024-0314328 Page 155 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-38 July 2024 landownershall reinterthe remains in an area of the property secure from further disturbance. If the landowner does not accept the descendant's recommendations, the owner or the descendent may request mediation by the NAHC Section 4.6, Geology GEO-1 The Project developer shall implement the and Soils seismic design criteria and parameters, in a. Expose people or accordance with ASCE 7-16 and 2019 CBC, as set forth in the Project geotechnical City Engineering structures to potential substantial evaluation. Department Less ess than adverse effects GEO-2 The design of foundation and slabs (including Project Applicant/ Significant involving: bearing pressure recommendations) shall be Developer ii. Strong seismic in conformance with the recommendations of ground shaking the Project structural engineer and as set d. located on expansive forth in the Project geotechnical evaluation. soil iii. Seismic -related GEO-3 Grading and excavations shall be performed ground failure, in accordance with the City of La Quinta Code including and regulations and the General Earthwork liquefaction and Grading Specifications set forth in the c. Located on an Geotechnical Evaluation. Clearing and Project Geologist Unstable Geologic grubbing of the site shall include removal of Unit any pavement or concrete, turf, landscaping, City Engineering miscellaneous trash and debris, and disposal Department During grading Less than of deleterious material offsite. The soil and excavating Significant engineering properties of imported soil (if Project Applicant/ any) shall be evaluated and certified by the Developer Project geologist for use at the development site. GEO-4 Unsuitable earth materials shall be removed prior to placement of compacted fill. Travertine Final EIR 4-38 July 2024 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-39 July 2024 N H N 0 N 0 w w N Co v cQ CD cn rn 0 v 00 Unsuitable materials at the site include undocumented fills and weathered alluvial fan deposits as set forth in the Project geotechnical evaluation and as otherwise directed by the Project geologist. Excavation and grading to carry Project - serving roadways overthe Dike No. 4 levee for the proposed Avenue 62 and Madison Street extensions, as well the Jefferson Street extension over the Dike No. 2 levee, should bench into competent existing fills on the sides with minimal removals on the top (1 to 2 feet). Grading on the levee fill shall be performed under the direction and concurrence of the US Bureau of Reclamation and CVWD. GEO-5 Where project soils require, they shall be overexcavated during grading to be replaced with compacted fill, as set forth in the Project geotechnical evaluation. The proposed grading is anticipated to expose cut and fill transitions at finish grade. Shallow fill areas and cut portions of lots should be overexcavated and replaced with compacted fill to provide a minimum of 4 feet of uniform fill cap over each lot. Streets should be overexcavated 2 feet below subgrade to provide uniform fill below the pavement section. Alternatively, and as recommended by the Project geologist, streets may be overexcavated 2 feet below the deepest utility to reduce the amount of oversize materials encountered and facilitate utility excavation/installation. Travertine Final EIR 4-39 July 2024 N H N 0 N 0 w w N Co v cQ CD cn rn 0 v 00 DOC #2024-0314328 Page 157 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM iv. landslides GEO-4 Unsuitable earth materials shall be removed prior to placement of compacted fill. Unsuitable materials at the site include undocumented fills and weathered alluvial fan deposits as set forth in the Project geotechnical evaluation and as otherwise directed by the Project geologist. Project Geologist City Engineering Department Project Applicant/ Developer During grading and excavating Less than Significant GEO-6 Rockfall hazard analysis should be performed during the design phase if structures are Project Geologist planned within 100 feet of these hillsides (i.e., Coral Mountain and Martinez Rockslide) once City Engineering During design Less than plans are further developed to evaluate this Department phase Significant hazard and provide site-specific mitigation recommendations (i.e., impact walls or Project Applicant/ berms/channels), as required. Developer GEO-7 Slopes shall be engineered for stability, including during seismic events, to reduce potential slope failure hazards, as set forth in the Project geotechnical evaluation. GEO-8 Manufactured Slope Maintenance and Protection. To reduce the erosion and surficial Project slumping potential of the graded slopes, Geotechnical permanent manufactured slopes shall be Engineer protected from erosion by concrete lining, City Engineering During design Less than riprap, groundcover planting or other Department phase Significant appropriate method (i.e., jute matting, polymer coating, etc.) as approved by the Project Applicant/ Project geologist. These measures shall be Developer applied as soon as practicable. Drainage shall be designed and maintained to collect surface waters and direct them away from manufactured slopes and as required by the Project geologist. Travertine Final EIR 4-40 July 2024 DOC #2024-0314328 Page 158 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-41 July 2024 GEO-9 Structural setbacks, including those for retaining walls, shall be established as prescribed by the Project geotechnical engineer. b. Erosion GEO-10 The project proponent shall comply with the most current Construction General Permit (CGP) (Order No. 2009-0009-DWQ as amended by 2010-0014-DWQ and 2012- 0006-DWQ). Compliance with the CGP involves the development and implementation of a Project -specific Stormwater Pollution Prevention Plan (SWPPP), which is designed to reduce potential adverse impacts to surface water quality during the period of construction. The SWPPP may include, but is not limited to, the following BMPs: City Planning & • Temporary Soil Stabilization: sandbag Engineering barriers, straw bale barriers, sediment Department Prior to the Less than traps, and fiber rolls; issuance of Significant Project Applicant/ grading permits • Temporary Sediment Control: hydraulic mulch and geotextiles; Developer • Wind Erosion Control: watering of the construction site, straw mulch; • Tracking Control: staging/storage area and street sweeping; • Non-stormwater Management: clear water diversion and dewatering; and • Waste Management and Materials Pollution Control: vehicle and equipment cleaning, concrete waste management, and contaminated soil management. Travertine Final EIR 4-41 July 2024 DOC #2024-0314328 Page 159 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM d. located on expansive GEO-11 Expansion Potential. The expansion potential soil of the on-site soils is low to very low. In accordance with the Project geotechnical City Public Works Following evaluation recommendations, additional Department completion of Less than laboratory testing shall be performed grading Significant following completion of grading operations to Project Developer operations verify the expansion potential of the near - surface soils. f. Destroy a unique GEO-12 A qualified professional paleontologist shall paleontological prepare a Paleontological Resources resource or site or Monitoring and Mitigation Plan and a Qualified Prior to Less than unique geologic Worker's Environmental Awareness Program Paleontologist development Significant feature to train the construction crew, both to be implemented during development. Section 4.7, GHG-1: Prior to the issuance of occupancy permits, the Greenhouse Gas project applicant shall purchase a minimum of Emissions approximately 408,720 MTCO2e credits (approximately 13,624 MTCO2e per year for a. GHG Emissions that 30 years). The purchase of carbon credits may Significantly must be made from a CARB-approved carbon Impact the registry with independent third -party Environment verification. Examples of approved registries City Planning Prior to the include the American Carbon Registry, Department issuance of Significant and Climate Action Reserve, and Verra. The occupancy Unavoidable applicant shall submit documentation of the Project Applicant permits offset purchase to the City demonstrating that it mitigates a minimum of approximately 13,624 MTCO2e per year (408,720 MTCO2e over a 30 -year period), priorto any occupancy of the site. Alternatively, the project applicant may submit a GHG reduction plan to the City for approval that achieves an equal level of GHG reduction outlined herein. The GHG plan Travertine Final EIR 4-42 July 2024 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-43 July 2024 H H N 0 N 0 CA) w N 0 v cQ CD rn 0 0 v co must include enforceable actions that reduce GHG emissions to at or below the total mitigated values presented herein. GHG-2 All residences shall incorporate roof -top solar panels, in-home batteries and EV charger stations to facilitate use of EVs, golf carts and other low -speed electric vehicles (LSEVs). GHG-3 All planned single-family homes to be electric - ready and shall include electrical circuits for space heating, water heating, cooking/ovens, and clothes dryers, electrical panel, branch circuits, and transfer switch for battery storage. GHG-4 Dedicated circuits and panels in residential and commercial buildings shall be provided to easily convert from natural gas to electric in the future. GHG-5 All non-residential components of the development where vehicle parking is provides shall also provide EV chargers. GHG-6 All household and other appliances shall be of the highest energy efficiency rating, such as Energy Star, practicable at the time of purchase. GHG-7 To limit and reduce energy use associated with water consumption, all project landscaping shall be desert and other drought tolerant vegetation. The use of turf shall be kept to a minimum. GHG-8 All HVAC systems shall be Very High Efficiency HVAC (SEER 16/80% AFUE or 9 HSPF) or greater efficiency. Travertine Final EIR 4-43 July 2024 H H N 0 N 0 CA) w N 0 v cQ CD rn 0 0 v co DOC #2024-0314328 Page 161 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-44 July 2024 GHG-9 All domestic hot water systems shall be Very High Efficiency Water Heater (0.92 Energy Factor) with Enhanced Solar Pre -heat System (min. 0.35 Net Solar Fraction). GHG-10 All potable water fixtures shall have EPA WaterSense Certification or greater efficiency. Section 4.9, Hazards HAZ-1 Prior to grading, Limited Phase II Subsurface and Hazardous Investigation shall be required. The Limited Materials Phase II Subsurface Investigation shall be conducted by an Environmental Professional a&b. The proposed as defined in Section 312.10 of 40 CFR Part Project would result 312. in SI related to the Per Section 312.10, an Environmental transport, use, or Professional is an environmental disposal of hazardous consultant that has an accredited Environmental materials during education in earth or natural science, at professional construction and least five years of formal training under operation; another environmental professional, a City Planning & d. sites listed pursuant professional state license, and maintains Engineering Prior to grading Less than Government Code to Governmen5. expert knowledge in the environmental Department Significant Section geology, sustainability, and engineering fields. Project Applicant • If chemicals exceeding regulatory thresholds are identified during the Phase 11 study, the Project will develop a Soils Management Plan. The Phase 11 study will be conducted pursuant to ASTM E1903-19 industry standards. HAZ-2 A site-specific Soils Management Plan (SMP) shall be developed by an Environmental Professional for the Project property if Travertine Final EIR 4-44 July 2024 DOC #2024-0314328 Page 162 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-45 July 2024 chemical levels exceeding regulatory thresholds are identified during the Limited Phase II Subsurface Investigation. The SMP shall be implemented during excavation and grading of the Project, and describe the protocol for managing (potentially contaminated) soils and disposing of (potentially hazardous) debris, as well as guidelines for handling known and/or undocumented subsurface features if discovered. HAZ-3 All agricultural related debris, materials, and foundations shall be removed and hauled to City Planning & an appropriate landfill prior to land Engineering disturbance in the previous vineyard area. If Department Less than significant soil staining is found at previous Didi During grading Significant storage locations, stained soil shall be Project Applicant excavated and disposed of in an approved landfill. HAZ-4 In compliance with the Construction General Permit (CGP) (Order No. 2009-009-DWQ as amended by 2010-0014-DWQ and 2012- 0006-DWQ), the Project shall develop and implement a project -specific Stormwater Pollution Prevention Plan (SWPPP) for City Planning & construction of the project. The SWPPP shall Engineering include comprehensive handling, storage, and Department Prior to the Less than management procedures for building Project Applicant/ issuance grading permits Significant materials, especially those that are hazardous Developer and toxic. The designation of staging areas for activities (i.e., fueling and maintaining vehicles, mixing paints, plaster, mortar, etc.), and storage of hazardous materials (i.e., paints, solvents, pesticides, fuels, oils, etc.) shall be determined in the SWPPP. Best Travertine Final EIR 4-45 July 2024 DOC #2024-0314328 Page 163 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-46 July 2024 management practices (BMPs) are required in the SWPPP that demonstrate proper material delivery and storage; material use; and spill prevention and control. The SWPPP may include, but is not limited to, the following BMPs: • Temporary Soil Stabilization: sandbag barriers, straw bale barriers, sediment traps, and fiber rolls; • Temporary Sediment Control: hydraulic mulch and geotextiles; • Wind Erosion Control: watering of the construction site, straw mulch; • Tracking Control: staging/storage area and street sweeping; • Non-stormwater Management: clear water diversion and dewatering; and • Waste Management and Materials Pollution Control: vehicle and equipment cleaning, concrete waste management, and contaminated soil management. Lastly, and upon project completion of construction, all hazardous materials shall be removed from the project site and a Notice of Termination (NOT) shall be filed with the Regional Water Quality Control Board. HAZ-5 Prior to the development of the golf facility RCFD storage and maintenance facilities, the Prior to the applicant shall provide a Hazardous Materials City Planning & development of Less than Business Plan (HMBP) to the Riverside County Engineering the golf facility Significant Fire Department for review and approval, if Department necessary. The HMBP shall be kept up to date Travertine Final EIR 4-46 July 2024 DOC #2024-0314328 Page 164 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-47 July 2024 in a location on-site and be available for Project Applicant/ review by the Riverside County Fire Developer Department, as needed. HAZ-6 Should any component of the proposed Project require the storage or handling of hazardous materials in quantities greater than or equal to 55 gallons of a liquid County of Riverside substance, 500 pounds of a solid substance, DEH or 200 cubic feet of compressed gas, it shall be required to follow the procedures City Planning established in Chapter 6.95 of the HSC, which Department Prior to business Less than requires any business handling and/or storing Significant a hazardous material shall obtain a permit Project Applicant/ from the DEH and electronically submit a Developer business plan in the Statewide Informational Management System, under the administration of the County of Riverside DEH. City Planning & HAZ-7 If onsite wells are determined to be Engineering inoperable, they shall be properly capped and Department Less than abandoned prior to grading activities in the Prior to grading Significant existing wellsite areas. Project Applicant/ Developer City Planning & HAZ-8 The Project shall consult an asbestos inspection Engineering consultant for a comprehensive asbestos survey Department Prior to Less than prior to demolition of the project site. demolition Significant Project Applicant/ Developer Section 4.10 Hydrology HWQ-1 The Operations and Maintenance (O&M) plan CVWD Prior to approval Less than and Water Quality shall include provisions to monitor and remove of final design Significant sediment along the west bank to maintain the Travertine Final EIR 4-47 July 2024 DOC #2024-0314328 Page 165 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM civ. Impede or redirect flood flows d. risk release of pollutants due to project inundation required conveyance and freeboard conditions. Other aspects of the bank maintenance shall be identified based on the final design configuration of the systems. A Flood Control Facilities Operations and Maintenance Manual for the proposed improvements shall be prepared and submitted to CVWD for review and approval. The manual shall meet the requirements of Section 5.8.9 of the Development Design Manual. City Public Works and Engineering Department Project Applicant/Developer Section 4.11, Noise NOI-1 Grading and building plans shall require project construction activities comply with a. Generation of noise the City of La Quinta Municipal Code levels in excess of requirements pertaining to construction established noise. standards N0I-2 During all project site construction, the b. Generation of construction contractors shall equip all excessive construction equipment, fixed or mobile, with groundborne properly operating and maintained mufflers, Prior to the vibration consistent with manufacturers' standards. City Planning & approval of The construction contractor shall place all Public Works grading plans stationary construction equipment so that Department and/or issuance Less than emitted noise is directed away from the noise of building Significant sensitive receivers nearest the project site. Project Applicant/ permits N0I-3 The construction contractor shall locate Developer equipment staging in areas that will create the greatest distance between construction - related noise sources and noise -sensitive receivers nearest the project site during all project construction. NOI-4 The construction contractor shall limit construction haul truck deliveries to the hours permitted by the City of La Quinta. The contractor shall also design delivery routes to Travertine Final EIR 4-48 July 2024 DOC #2024-0314328 Page 166 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-49 July 2024 minimize the exposure of sensitive land uses or residential dwellings to delivery truck - related noise. NOI-S Prior to water well drilling, the construction City Planning & contractor shall provide a temporary 24 -foot- Public Works Prior to water high noise barrier capable of reducing noise Department well drilling Less than during well construction activities to 80 dBA Leq Significant or less. Project Applicant/ Developer Section 4.14, Public PS -1: Travertine Fire Master Plan (FMP) was Services developed to analyze emergency access to the Project and determine and implement a. Fire Protection strategies at the Project site to improve RCFD and CAL Fire operations and service delivery. The FMP and Addendum FMP were required to be prepared to address adequate fire protection for the area and mitigate potentially unacceptable response times in RCFD the interior of the Project. The FMP further states that conformance to the full circulation City Fire & Building Prior to issuance plan is required for any additional Department of Occupancy Less than development beyond Phase 1 of the Project. Permit Significant The later phases of development would Project include the improvement of Jefferson Street, Applicant/Developer which would provide emergency access to the Project. Full buildout of the Project is evaluated in the Addendum FMP. The Project applicant shall implement the safety measures established in the Travertine Fire Master Plan which include the following: • approved emergency access points; Travertine Final EIR 4-49 July 2024 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-50 July 2024 H H N 0 N 0 w w N 0 v cQ cD rn 4 0 0 • roadway design standards for fire protection vehicles; • minimum water quantity and pressure necessary for firefighting; All developer plans showing fire system connections shall provide information on the type of fire system that is being installed for the development (e.g., wet -pipe fire sprinkler systems, deluge fire sprinkler systems and dry pipe and precaution fire systems). A fire flow of 2,375 gallons per minute for 2 - hour duration at 20 psi shall be required at the Project in accordance with Appendix B of the California Fire Code. For residential areas, approved standard fire hydrants, located at each intersection, with no portion of any lot frontage more than a maximum of 500 feet from the hydrant shall be provided. Minimum fire flow for all residential structures shall be 875 gallons per minute for a 1 -hour duration at 20 psi operating pressure. Fire hydrant spacing shall be in accordance with Appendix C of the California Fire Code. Both requirements must be available prior to placing any combustible materials on the job site. The fire system plans shall be submitted to CVWD to review the complexity and type of proposed fire system. PS -2: The Addendum to the Fire Master Plan ensures adequate fire protection for the area through the following enhanced mitigation measures. • building construction standards; Travertine Final EIR 4-50 July 2024 H H N 0 N 0 w w N 0 v cQ cD rn 4 0 0 DOC #2024-0314328 Page 168 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-51 July 2024 • emergency power facilities for the proposed booster stations; • an area of refuge; • optic -con sensors located to open gates ahead of fire engine arrival; • implementation of a community emergency response team (FEMA) programs; and HOA/community training for CPR and AED and risk reduction programs. Section 4.13, Mitigation Measures Transportation TRA -1 Project mitigation may include a combination of a fair share of fee payments to the affected a. Conflict with jurisdiction, construction of specific applicable plann or improvements and reimbursement to the policy addressing Project proponent to account for proponent the circulation fair share of improvement, or a combination system of these approaches. The Summary of 2040 c. Increase hazards due to a geometric Intersection Improvements (Table 4.16-26) City Public Works Prior to the design feature are set forth below, are feasible and will Department issuance of Less than d. Result in inadequate mitigate Project impacts for all three access grading and Significant options discussed above to levels that are less Project Applicant building permits. emergency access than significant. The following improvements are recommended by the TIA: • Monroe Street at Avenue 52(#14) — Install traffic signal control; Provide separate northbound left turn lane, provide second northbound through lane. Travertine Final EIR 4-51 July 2024 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-52 July 2024 H H N O N A 0 CA) w N co v cQ CD rn 0 v OD • Monroe Street at Avenue 60 (#10) — Construct traffic signal improvements for eventual reimbursement via the City of La Quinta. In addition to General Plan geometrics, provide the following lanes: ■ SB Approach: Provide separate right turn lane ■ EB Approach: Provide separate right turn lane with right turn overlap phase ■ WB Approach: Provide 2"d through lane • Madison Street at Avenue 58 (#1) — Install traffic signal control; provide second eastbound through lane. In addition to General Plan geometrics, provide the following lanes: EB Approach: Convert inside through lane into 2"d left turn lane. • Madison Street at Avenue 54 (#3) — Install traffic signal control; Convert eastbound de facto right turn lane into free right turn lane. • Jefferson Street at Avenue 50 (#8) — Provide second westbound through lane. (This intersection is located in both the City of La Quinta and the City of Indio. The proposed improvement is in the City of Indio.) Travertine Final EIR 4-52 July 2024 H H N O N A 0 CA) w N co v cQ CD rn 0 v OD 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-53 July 2024 H H N O N A 0 CA) w N 00 v cQ CD O 0 v 00 • Jefferson Street at Avenue 54 (#6) — Install traffic signal control, convert 2nd eastbound through lane into right turn lane, provide westbound right turn overlap phasing. • Monroe Street at Avenue 58 (#11) — Install traffic signal control, provide separate northbound left turn lane, provide separate northbound right turn lane, provide separate southbound left turn lane, provide separate eastbound left turn lane, provide separate westbound left turn lane; Provide separate northbound left turn lane. In addition to General Plan geometrics, provide the following lanes: ■ NB Approach: Provide 2"d left turn lane, add right turn overlap phase to right turn lane ■ SB Approach: Provide 2"d left turn lane ■ EB Approach: Provide separate right turn lane • Monroe Street at Airport Blvd (#12) — Install traffic signal control • Monroe Street at Avenue 54 (#13) — Install traffic signal control, provide separate southbound left turn lane, provide separate westbound left turn lane; provide second northbound through lane, provide second southbound through lane. Travertine Final EIR 4-53 July 2024 H H N O N A 0 CA) w N 00 v cQ CD O 0 v 00 00 r- 0 r - a) rn cu a tbZOZ Alnf 17s -t 2113 leUl j aulIaaneJl VgVUDONd JNMIOd3U (INV ONlUO11NOW NOliVgliIW 0'17 auel IqSu-gSnoagl-:}al olid auel jgSp -g2noagl IJanuo0 :q:)eo.iddy 83 ■ auel uanl IgSla Sullslxe o} asegd delaano uanl jg2p ppe 'auel uanl l4al P„Z ap!noad :gaeoiddy 9S ■ :sauel 23ulmolloj aqj apinoid `saulawoaS ueld leJauag 01 uolllppe ul •(siaujo:) iseaglnos pue Isampnos `lseaq:pou aqj }e aplsaan1U jo Ajuno0 aqj ul pue `aauaou }samgijou aqj le ejuln'p el jo Aj!D aqj ul paleool sl umpas.ialm s!ql) 'auel uan} jgOp punoglsanA aleaedas apino.id 'auel uanl i4al punoglsea aleiedas apinoad `auel IgSu-gOnoaq}-ljal paaegs punoggljou apino.id `lo.quoa leuSis :)l}}e-jj Ilelsul — (6#) Z9 anuand is ;aaj4s aoauoW •(apis.aan12l jo A}uno:) aqj ul paleool sl uollaas.iawl slgl) 'loaluo:) leu2ls oij}eaj Ile}sul —(6t#) p malnos 4jodary ;n paj4S uos)13af . •(aplsa9AR1 jo A}uno:) aqj ul paleaol sl uol;:)asaajul sig -L) loa;uo:) leuSls al_4eil Ile}sul — (ST#) SS anuand in ;aajiS uosy.7ar . •suoipaalp punogq}nos pue punogq:pou aqj ul auel gSnoagj leuoljippe ue a}epowwooae of puelsl .ia;ua:) aqj punoae sauel Sul}elm ip Z aleaodioaul ol uOlsap pogepunoi }uaaanD aqj }analsuoaaa — (L#) ZS anuany in jaatjS uosia.4af VgVUDONd JNMIOd3U (INV ONlUO11NOW NOliVgliIW 0'17 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-55 July 2024 H H N O N O w w N co v cQ CD v N 0 v OD ■ WB Approach: Provide separate left turn lane • Jackson Street at Avenue 62 (#16) — Install traffic signal control. (This intersection is located in the County of Riverside.) • Jackson Street at Avenue 60 (#17) — Provide traffic signal. (This intersection is located in the County of Riverside.) TRA -2: Traffic Control Plan Prior to obtaining a grading permit, the applicant shall prepare and submit the City of La Quinta for review and approval detailed construction traffic management plans, including street closure information, detour plans, haul routes, and staging plans as necessary for any off-site work that would encroach on public right-of-way. The construction traffic management plans shall include the following elements, as appropriate: • Provisions for temporary traffic control during all construction activities adjacent to public right-of-way to improve traffic flow on public roadways (e.g., flag person); • Construction -related vehicles shall not park on surrounding public streets; • Provision of safety precautions for pedestrians and bicyclists through such measures as alternate routing and protection barriers; Travertine Final EIR 4-55 July 2024 H H N O N O w w N co v cQ CD v N 0 v OD 4.0 MITIGATION MONITORING AND REPORTING PROGRAM H H N O N A O W W N W N cQ fD Travertine Final EIR 4-56 July 2024 G' 0 v 00 • Schedule construction -related deliveries to reduce travel during peak travel periods; • Obtain the required permits for truck haul routes from the County of Riverside, the City of Rancho Mirage, the City of Palm Desert, and Cathedral City prior to the issuance of any permit for the project; and • Obtain a Caltrans transportation permit for use of oversized transport vehicles on Caltrans facilities. • Outline adequate measures to ensure emergency vehicle access during all aspects of the project's construction, including, but not limited to, the use of flagmen during partial closures to streets surrounding the project site to facilitate the traffic flow until construction is complete. Include the implementation of security measures during construction in areas that are accessible to the general public to help reduce any increased demand on law enforcement services, including fencing construction areas, providing security lighting, and providing security personnel to patrol construction sites. H H N O N A O W W N W N cQ fD Travertine Final EIR 4-56 July 2024 G' 0 v 00 DOC #2024-0314328 Page 174 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Section 4.17, Tribal Cultural Resources a. Cause substantial Qualified adverse change in Archaeologist significance of tribal cultural resource Native American Prior to and that is Monitors during ground Less than i. A site listed in the See CR -1 through CR -9 disturbing Significant CRHR or Local City Planning activities Register, Tribal Department Cultural Resources ii. A resource Project Applicant/ determined to be Developer significant to a California Native American tribe. Section 4.18, Utilities CVWD and Service Systems City Public Works a. stormwater impact See HWQ-1 and Engineering Prior to approval Less than Department of final design Significant Project Applicant/Developer Travertine Final EIR 4-57 July 2024 DOC #2024-0314328 Page 175 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Table 4-2 Travertine Specific Plan Amendment Project Design Features Protect DesignFeatures 4.1 Aesthetics PDF AES -1 All construction equipment will be stored onsite within a designated area that is fenced with opaque construction fencing in order to reduce temporary visual impacts. Construction waste will be stored in an area that is accessible to weekly refuse pick up. All construction waste will be taken to a recycling center. PDF AES -2 The Avenue 62 crossing over Dike No. 4 shall include a concrete barrier at the edge of the right-of-way of Avenue 62 over Dike No. 4. The concrete barrier shall be embossed in an aesthetically pleasing manner to further blend the crossing of Avenue 62 with its surroundings. 4.2 Air Quality PDF AQ -1 To reduce water demands and associated energy use, subsequent development proposals within the Project property would be required to implement a Water Conservation Strategy and demonstrate a minimum 20% reduction in indoor and outdoor water usage, consistent with the current CalGreen Building Code performance standards for residential and non-residential land uses, achieved in part through the schedule of plumbing fixtures and fixture fittings that will reduce indoor use and efficient irrigation systems for outdoor use. PDF AQ -2 In order to reduce the amount of waste disposed at landfills, the Project would be required to implement a 50% waste diversion as required by AB 939. 4.2 Air Quality PDF 13I0-1 Prior to issuance of a grading permit, the Project proponent shall implement the recommendations of the Project Drainage Study (DEIR, Appendix J.3) and in accordance with the recommendations of the Project Drainage Plan prior to issuance of a grading permit obtain a Conditional Letter of Map Revision (CLOMR) from the Federal Emergency Management Agency. The Project Proponent shall obtain a Letter of Map Revision (LOMR) prior to issuance of the first Certificate of Occupancy. 4.6 Energy Resources PDF ENR -1 The Project shall, consistent with the Specific Plan Amendment incorporate complementary land uses near one another in order to decrease VMTs since trips between land use types are shorter and may be accommodated by non -auto modes of transport. Travertine Final EIR 4-58 July 2024 DOC #2024-0314328 Page 176 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM PDF ENR -2 The Project property includes sidewalk connections, trail networks (i.e., strolling trails, Community Grand Loop trail, and interconnector trails), and a Class II bike path. The sidewalk connections, trails, and bike paths would minimize barriers to pedestrian access and interconnectivity. PDF ENR -3 The Project will be required to implement Title 24's Residential Mandatory Measures and Appliance Energy Efficiency Standards (Title 20) in effect at the time of construction, which require the installation of solar photovoltaic systems to newly constructed, low-rise residential buildings, high efficiency lighting, and application of energy efficient design building shells and building components, such as windows, roof systems, electrical lighting systems, and heating, ventilating and air conditioning systems. PDF ENR -4 The Project will install water -efficient plumbing fixtures and irrigation systems, LED technology, and drought - tolerant plants in landscaping. 4.8 Greenhouse Gas Emissions PDF GHG-1 The Project will consider the solar orientation of buildings to reduce impact of the development with natural environment. PDF GHG-2 The Project will implement passive and active solar systems to take advantage and consider the year -around abundant sunshine. 4.8 Greenhouse Gas Emissions PDF HWQ-1 The Grand Loop Trail may from, time to time, be declared temporarily closed due to heightened public safety concerns, with entry restricted or prohibited. Public safety conditions may include, but are not limited to, wet conditions, natural debris, or seasonal closure. PDF HWQ-2 Prior to grading, recordation, or other final approval, the Project proponent shall obtain coverage under the NPDES General Permit for Storm Water Discharges Associated with Construction and Land Disturbance Activities (Construction General Permit). Project construction shall comply with all applicable requirements specified in the Construction General Permit, including but not limited to, preparation of a Stormwater Pollution Prevention Plan (SWPPP), a signed certification statements, and any other compliance -related documents required by the permit, to the State Water Resources Control Board. Travertine Final EIR 4-59 July 2024 DOC #2024-0314328 Page 177 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM PDF HWQ-3 Prior to issuance of a grading permit, the Project proponent shall implement the recommendations of the Project Drainage Study (DEIR, Appendix J.3) and in accordance with the recommendations of the Project Drainage Plan prior to issuance of a grading permit obtain a Conditional Letter of Map Revision (CLOMR) from the Federal Emergency Management Agency. The Project Proponent shall obtain a Letter of Map Revision (LOMR) prior to issuance of the first Certificate of Occupancy. 4.11 Land Use and Planning PDF LU -1 Consistent with the Travertine Specific Plan Amendment, the Project will offer a variety of housing and recreational amenities. The housing sizes and styles will be designed to meet the needs of all age groups. The recreational amenities will include a 5 -mile -long public trail that will be developed around the perimeter of the Project property; a central private spine trail that bisects the residential areas of the property; on -street bike paths; preservation of natural open space; additional private parks located within the development area; a skills golf course and golf academy; and a resort and spa with restaurants, shops and activities. 4.14 Public Services PDF PS -1 The Project and residential areas shall be gated, with the intention of increasing community security and minimizing potential crimes, and consistent with standard operations of resort communities, the proposed resort will incorporate private security services to maximize security of the overall Project. Additionally, lighting features throughout the Project will enhance security and maximize visibility within the Project streets, intersections, and other crosswalks. PDF PS -2 All water mains and fire hydrants providing the required fire flows will be constructed in accordance with the City Fire Code Appendix B and Appendix C in effect at the time of development. 4.16 Transportation PDF TR -1 The project will implement marketing strategies to optimize interaction between on-site resort and residential uses. Information sharing and marketing are important components to successful trip reduction strategies. Marketing strategies will include: • Resident member benefits that include use of the resort amenities • Event promotions Travertine Final EIR 4-60 July 2024 DOC #2024-0314328 Page 178 of 178 4.0 MITIGATION MONITORING AND REPORTING PROGRAM Travertine Final EIR 4-61 July 2024 • Publications PDF TR -2 The Project property includes sidewalk connections and would minimize barriers to pedestrian access and interconnectivity. Travertine Final EIR 4-61 July 2024