31349 Toll CA VLP CLOSED?CITY OF LA QUINTA
SUBDIVISION IMPROVEMENT AGREEMENT
TRACT MAP NO. 31349
ON -SITE IMPROVEMENTS
THIS SUBDIVISION IMPROVEMENT AGREEMENT (the "Agreement") is made and entered into this
a q _ day of e-G.
®3 , by and between Toll CA V, L.P., a California Limited Partnership hereinafter referred to as
"Subdivider," and the City of La Quinta, a municipal corporation of the State of California, hereinafter
referred to as "City."
RECITALS:
A. Subdivider has prepared and filed a final map or Tract map (the "Map") of a unit of land in the City of
La Quinta, County of Riverside, which unit of land is known as Tract No. 31349 (the "Tract") pursuant
to the provisions of Section 66410, et sec. of the California Government Code (the "Subdivision Map
Act").
B. Prior to approval of the Map, Subdivider is required to install or agree to install certain public and
private improvements (the "Improvements").
).
C. The Improvements have not been installed and accepted at this time.
D. It is therefore necessary that Subdivider and City enter into an agreement for the installation of the
Improvements as provided in Section 66462 of the Subdivision Map Act.
NOW, THEREFORE, it is agreed by and between the parties hereto as follows:
1. Improvement Plans. Prior to submittal of the Map for approval by the City Council, Subdivider shall
furnish original improvement plans meeting the requirements of the City Engineer.
2. Improvements. Subdivider shall construct the public and private street, drainage, utility, landscaping,
and other improvements required to be constructed or agreed to be constructed under this
Agreement as listed in Exhibit "A", and shall bear the full cost thereof. The methods, standards,
specifications, sequence, and scheduling of construction shall be as approved by the City Engineer.
3. Improvement Security.
A. One class of security to be provided by Subdivider, hereinafter referred to as "performance
security," shall assure the faithful performance of this Agreement including construction of the
Improvements, payment of Subdivider's fair share of Improvements which have been or will be
constructed by others ("Participatory Improvements"), and payment of plan check and permit
fees. A second class of security to be provided by Subdivider, hereinafter referred to as
"payment security," shall assure the payment of the cost of labor, equipment and materials
supplied to construct the Improvements. A third class of security to be provided by Subdivider,
hereinafter referred to as "warranty security," shall serve as a guarantee and warranty of the
Improvements for a period of one year following the completion and acceptance of the
Improvements. Subdivider shall furnish performance and payment security prior to and as a
condition of City Council approval of the Map. Subdivider shall provide warranty security after
Improvements are complete and accepted by the City Council and prior to or concurrently with
the final release of performance security. Warranty security shall not be required for
Monumentation or Participatory Improvements. However, the City may utilize Monumentation
Security for performance of or payment for the work in accordance with the Subdivision Map Act.
As part of the obligation secured by each of the performance security, payment security and
warranty security, and in addition to the face amount of each such security, each such security
shall include and assure the payment of costs and reasonable expenses and fees, including
reasonable attorney's fees, incurred by City in successfully enforcing the obligations thereby
secured.
1 of 7
TvWDEFRCOUNCIL\2003Wovember 18, 2003\Toll Bros 31349\ONSITE_SIA.doc
c
B. Improvement security shall conform with Section 66499 of the California Government Code and
one or more of the following:
1) A cash deposit with City or a responsible escrow agent or trust company, at City's option.
2) Surety bonds, of the form specified in subsection 66499.2 of the California Government
Code, issued by a surety or sureties listed in the U.S. Department of Treasury Circular 570
(latest version).
3) Certificates of deposit, in City's name, from one or more financial institutions subject to
regulation by the state or federal government and having a financial quality rating of "A" or
better and a commitment reliability rating of "R-2" or better on the Investment Data Exchange
(of the Los Angeles County Treasurer's office).
4) Irrevocable letters of credit, issued by one or more financial institutions meeting the
requirements of Paragraph (3), pledging that the funds necessary to carry out the completion
of the Improvements are on deposit, guaranteed for payment, and constitute a trust fund
which is not subject to levy or attachment by any creditor of the depositor until released by
City. Letters of credit shall guarantee that all or any portion of the funds available pursuant to
the letters of credit will be paid upon the written demand of City and that such written demand
need not present documentation of any type as a condition of payment, including proof of
loss. The duration of any such letter of credit shall be for a period of not less than one year
from the execution of the agreement with which it is provided and shall state, on its face, that
the letter of credit will be automatically renewed until such time that City authorizes its
expiration or until sixty (60) days after City receives notice from the financial institution of
intent to allow expiration of the letter of credit.
5) A lien upon the subdivided property, if City finds that it would not be in the public interest to
require the installation of the Improvements sooner than two (2) years after recordation of the
final map or parcel map for which the Improvements are required. The lien shall provide a
collateral value of three (3) times the estimated cost of the Improvements and shall include
the power of sale of the real property, all buildings and improvements thereon, or that may be
erected upon or made thereto, together with all hereditaments and appurtenances thereunto
belonging, or in any wise appertaining, and the reservations, remainders, rents, issues, and
profits thereof. The collateral value of the property shall be established at Subdivider's
expense through an appraisal approved by City.
6) An instrument of credit from an agency of the state, federal or local government, when any
agency of the state, federal, or local government provides at least Twenty Percent (20%) of
the financing for the Improvements.
7) When Subdivider is a non-profit organization, security may be negotiable bonds, of the kind
approved for securing deposits of public moneys with City or in favor of City, as specified in
Section 16430 of the California Government Code, deposited, at City's option, with City or a
responsible escrow agent or trust company.
C. All securities shall be furnished in accordance with the provisions of Exhibit A. The amount of the
performance security shall equal One Hundred Percent (100%) of the estimated cost of
constructing the Improvements, including payment of plan check and permit fees, as estimated by
the City Engineer or a duly authorized representative of the City Engineer. The amount of
Payment security shall equal the amount of the amount of performance security, except as
otherwise set forth in Exhibit A, and shall be furnished as a separate security. Warranty security
shall equal Ten Percent (10%) of the amount of performance security except as otherwise set
forth in Exhibit A.
D. At the time of submittal of security, Subdivider shall pay to City administrative fees applicable to
the form of security provided. Administrative fees shall apply to the subdivision (final map, parcel
map or waiver of parcel map) rather than to individual security instruments. The fees shall be
paid separately for each different form and/or source (surety or financial institution) of security
initially submitted and for substitution of securities but shall not be required for submittal of
TAMDEPMOUNCILMOMovember 18, 2003\Toll Bros 3134910NSITE_SIA.doc
2of7
warranty security if the warranty security is of the same form and from the same source as the
performance security it replaces. Administrative fees for security shall be as follows:
1) For certificates of deposit, bonds and letters of credit as described in Paragraphs 2), 3) and
4) of SECTION 3.13., which require the establishment of evidence of the reliability of the
surety or financial institution, the administrative fee shall be One Hundred Fifty Dollars
($150.00).
2) For liens on real property as described in Paragraph 5) of SECTION 3.B., for which City will
prepare lien agreements and subordination agreements, administer valuation of the real
property and administer the agreements over the life of the lien, all of which require legal
assistance and financial advice, Subdivider shall pay to City an administration fee of One Half
of One Percent (0.5%) of the estimated cost of the improvements secured but not less than
Five Hundred Dollars ($500.00) nor more than Five Thousand Dollars ($5,000.00).
3) For other forms of security listed in Section 3 B, above, there will be no administrative fee.
E. Participatory Improvements, if any, are identified in Exhibit A. Security for Participatory
Improvements shall remain in place until the Participatory Improvements are constructed and
actual costs are known and paid by Subdivider, or until Subdivider pays to City the estimated cost
of the Participatory Improvements, and shall guarantee the reimbursement by Subdivider of
Subdivider's share of the cost of the Participatory Improvements. Payment security and warranty
security shall not be required for Participatory Improvements.
Upon written demand from City, Subdivider shall deposit cash with City in lieu of or in
replacement of security guaranteeing Participatory Improvements. If Subdivider fails to deposit
said cash within 30 days of the date of the written demand from City, City may present a written
demand to Subdivider's Surety for payment of said cash and Subdivider's Surety shall pay to City
the lesser of: 1) the amount demanded, or 2) the amount of the security.
F. Security shall not expire, be reduced or become wholly or partially invalid for any reason,
including non-payment of premiums, modifications of this Agreement and/or expiration of the time
for performance stated in this Agreement, without express authorization from City unless the
surety provides City with sixty (60) days written notice by registered or certified mail, return
receipt requested.
G. Security shall be released in the following manner:
1) Performance security shall be released upon the final completion and acceptance or
approval, by the City Council of the Improvements subject to the provisions of paragraph B.
2) The City Engineer may authorize partial reduction of performance security as work
progresses, upon application by Subdivider. However, no such reduction shall be for an
amount less than Ten Percent (10%) of the total performance security provided for the faithful
performance of the act or work. In no event shall security be reduced below that required to
guarantee the completion of the act or work or obligation secured, plus Ten Percent (10%).
The City Engineer shall not allow more than two partial reductions of security furnished for
any improvement agreement.
3) Participatory improvement security shall be released upon payment by Subdivider of
Subdivider's share of the cost or estimated cost of the Participatory Improvements.
4) If City receives no notice of recorded claims of lien, labor and materials security shall be
released in full 90 days after final acceptance and/or approval by the City Council, of the
Improvements. If City receives notice of any recorded lien, the provisions of the Subdivision
Map Act shall apply.
5) Warranty security not utilized during the warranty period shall be released one year after final
acceptance or approval by the City Council of all Tract Improvements. However, if at the end
of the one-year warranty, period, there are one or more outstanding requests by City for
performance of work or provision of materials under the terms of the warranty, warranty
TAMDEFRCOUNCIL\2003\November 18, 2003\Toll Bros 31349\ONSITE_SIA.doc 3 of 7
security shall be retained until the outstanding requests are satisfied or until Subdivider has
made other arrangements satisfactory to the City Engineer.
4. Permits Required. Prior to commencing any phase of work, Subdivider shall obtain all permits
required for that phase of work and pay all required fees. Work performed under a permit or permits
shall comply with all provisions of the required permits.
5. Off -site Improvements. When the construction of one or more of the Improvements requires or
necessitates the acquisition of real property not owned by Subdivider or City, Subdivider shall use its
best efforts purchase such real property at a reasonable price. In the event that Subdivider is
unsuccessful, despite its best efforts, to acquire such real property at a reasonable price, Subdivider
may request in writing that City attempt to acquire such real property. City may, but is not required to,
agree to attempt to acquire such real property on behalf of Subdivider. If City so agrees, City and
Subdivider shall enter a separate written agreement in a form acceptable to the City Attorney. Said
separate agreement shall provide that Subdivider advance to City One Hundred Fifty Percent (150%)
of the appraised fair market value of the real property. Any unexpended portion of said advance shall
be refunded to Subdivider. Any additional funds required for acquisition of the real property shall be
paid by Subdivider to City upon the conveyance of said real property to Subdivider. In no event shall
the failure of Subdivider or City to acquire such real property excuse, waive, or otherwise terminate
Subdivider's obligation to construct the applicable improvement pursuant to this Agreement or the
Conditions of Approval.
6. Completion of Improvements. Subdivider shall begin construction of the Improvements within ninety
(90) days and shall complete construction within twelve (12) months after the approval of this
Agreement. Portions of the Improvements may be completed at a later date, as determined by the
City Engineer or as set forth in Exhibit A. Failure by Subdivider to begin or complete construction of
the Improvements within the specified time periods shall constitute cause for City, in its sole
discretion and when it deems necessary, to declare Subdivider in default of this agreement, to revise
improvement security requirements as necessary to ensure completion of the improvements, and/or
to require modifications in the standards or sequencing of the Improvements in response to changes
in standards or conditions affecting or affected by the Improvements. Said failure shall not otherwise
affect the validity of this agreement or Subdivider's obligations hereunder.
7. Force Majeure. In the event that Subdivider is unable to perform within the time limits herein due to
strikes, act of God, or other events beyond Subdivider's control, the time limits for obligations affected
by such events will be extended by the period of such events.
8. Time Extension. Subdivider may make application in writing to the City Council for an extension of
time for completion of the Improvements. The City Council, in its sole and absolute discretion, may
approve or deny the request or conditionally approve the extension with additions or revisions to the
terms and conditions of this Agreement.
As a condition of the time extension, Subdivider shall furnish securities, similar in form and substance
to those required in SECTION 3 hereinabove, to cover the period of extension. The value of the
securities shall be sufficient to ensure the performance of and payment for Improvements that remain
incomplete at the time of the extension, and to provide warranty security on completed
Improvements.
9. Survey Monuments. Before final approval of street improvements, Subdivider shall place survey
monuments in accordance with the provisions of Sections 66495, et sec. of the Subdivision Map Act
and of the La Quinta Municipal Code. Subdivider shall provide the City Engineer written proof that
the monuments have been set, evidence of payment and receipt thereof by the engineer or surveyor
setting the monuments, and intersection monument tie -outs for monuments set in public streets.
10. Final Acceptance of Improvements. At the completion of construction and prior to acceptance of the
Improvements by City, Subdivider shall submit a request for final approval by City. The request shall
be accompanied by any required certifications from Subdivider's engineers or surveyors, approval
letters from other agencies having jurisdiction over and approval authority for improvements required
by this Agreement or the Conditions of Approval, and any required construction quality documentation
not previously submitted.
TAMDEFRCOUNCIU2003\November 18, 2003\Toll Bros 31349\ONSITE_SIA.doc
4of7
Upon receipt of said request, the City Engineer or a duly -authorized representative will review the
required documentation and will inspect the Improvements. If the Improvements are determined to
be in accordance with applicable City standards and specifications, and as provided herein,
obligations required by the Conditions of Approval and this Agreement have been satisfied, and
Subdivider has provided revised plans as required in Paragraph 11, hereinafter, the City Engineer
shall recommend acceptance of the Improvements by the City Council.
11. Revisions to Plans. When the Improvements have been inspected and approved by the City
Engineer, Subdivider shall make any necessary revisions to the original plans held by City so the
plans depict the actual Improvements constructed. When necessary revisions have been made, each
separate sheet of the plans shall be clearly marked with the words "As -Built," "As -Constructed," or
"Record Drawing," the marking shall be stamped by an engineer or surveyor, as appropriate for the
improvements thereon, who is licensed to practice in California, and the plans shall be resubmitted to
the City Engineer.
12. Improvement Warranty. Subdivider hereby guarantees the Improvements to City for a period of one
(1) year, beginning on the date of final acceptance of the Improvements by the City Council, against
any defective work or labor done, or defective materials furnished, and shall repair or replace such
defective work or materials.
13. Release of Security. City shall retain and release securities in accordance with the provisions of
Section 3 of this agreement. Prior to the release of payment security, the City Engineer may require
Subdivider to provide a title report or other evidence sufficient to show claims of lien, if any, that may
affect the amount of payment security released.
14. City Right to Cure. If Subdivider fails to perform any obligation hereunder and such obligation has not
been performed within sixty (60) days after written notice of default from City, then City may perform
the obligation, and Subdivider shall pay the entire cost of such performance by City including costs of
suit and reasonable attorney's fees incurred by City in enforcing such obligation. In cases of
emergency or compelling public interest, as determined by the City Engineer, the requirement for
written notice of default and/or the passage of sixty (60) days shall be deemed waived and all other
provisions of this Article shall remain in effect.
15. Indemnification. Subdivider hereby binds itself, its officers, employees, agents, representatives,
executors, administrators, guarantors, heirs, and assigns, and agrees to indemnify, defend and hold
City and its officers, employees, agents, representatives, and assigns harmless from and against any
losses, claims, demands, actions, or causes of action of any nature whatsoever, arising out of or in
any way connected with Subdivider's performance herein under, including costs of suit and
reasonable attorneys' fees.
16. No Modification of Conditions. This Agreement shall in no respect act to modify or amend any
provision of the Conditions of Approval. In the event that any requirement or condition of this
Agreement is inconsistent with or fails to include one or more provisions of the Conditions of
Approval, which document(s) is (are) incorporated herein by reference, the provisions in the
Conditions of Approval shall remain in effect and shall control.
17. Severability. In the event that any provision or provisions of this Agreement are held unenforceable,
all provisions not so held shall remain in full force and effect.
18. General Provisions.
A. All notices pursuant to this Agreement shall be in writing and shall be personally delivered or sent
by registered or certified mail, return receipt requested, to the parties at their respective
addresses indicated hereon. Notices personally delivered shall be effective upon delivery.
Notices mailed as provided herein and sent postage prepaid shall be effective upon the date of
delivery or refusal indicated on the return receipt. Either party may change its address for notices
hereunder by notice to the other given in the manner provided in this subparagraph.
B. The terms, conditions, covenants, and agreements set forth herein shall apply to and bind the
heirs, executors, administrators, assigns, and successors of the parties hereto.
TAPMEPMOUNCIU20031November 18, 20031Toll Bros 31349\ONSITE_SIA.doc
5 of 7
C. Neither party to this Agreement relies upon any warranty or representation not contained in this
Agreement.
D. This Agreement shall be governed by and interpreted with respect to the laws of the State of
California.
E. In the event of any dispute between the parties with respect to this Agreement, the prevailing
party shall be entitled to prompt payment of its reasonable attorneys' fees from the non -prevailing
party.
F. Any failure or delay by either party in asserting any of its rights and remedies as to any default
shall not operate as a waiver of any default or of any such rights or remedies provided for
hereunder.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the day and year first
written above.
CITY: City of La Quinta
78-495 Calle Tampico
La Quints, CA 92253
0/777-7075
Thomas P. Genovese, City Manager Date
ATTEST:
Headquarters California Place of Business
Toll Brothers, Inc. Toll CA V, L.P., A California Limited Partnership
3103 Philmont Avenue 73-121 Fred Waring Drive, Suite 100
Huntingdon, Pennsylvania 19006 Palm Desert, CA 92260
(760) 674-9389
By. 10 Al A
Date
Title:
By:
Date
Title:
Reviewed and Approv d:
'ot .' 4�
z- 2,3'e 'A4� f 1
� �3
C y Engineer Date
Approved as to Form:
Ably(Attq(her Date
6of7
TAMDEMCOUNCIU2003\November 18, 2003\Toll Bros 31349\ONSITE_SIA.doo
CALIFORNIA ALL-PURPOSE ACKNOWLEDGEMENT
STATE OF CALIFORNIA )SS
COUNTY OFF Riverside )
On / d/t9/'/�'3 before me, Amy Donegan
personally appeared Gary Lemon
personally known to me (or proved to me on the F,y�a�s of satisfactory evidence) to be the rsonI whose name( s re subscribed to the
'Auth instrument an acknowledged to me tha a be/they executed the same in is er/thei ;�horized ca achy and that by
r �s er/their signatureon the instrument the person or the entity upon behalf of w c the persoacted, executed the instrument.
V
WITNESS my han official seal.
AMY DONEGAN
Signature gemCommission # 72 L"W
A=-c°un*i
OPTIONAL SECTION
CAPACITY CLAIMED BY SIGNER
Though statute does not require the Notary to fill in the data below, doing so may prove invaluable to persons
relying on the document.
[ ] INDIVIDUAL
[ ] CORPORATE OFFICER(S)
[ ) PARTNER(S) - [ ] LIMITED [ ] GENERAL
[ ] ATTORNEY -IN -FACT
[ ] TRUSTEE(S)
[ ) GUARDIAN/CONSERVATOR
[ ] OTHER
SIGNER IS REPRESENTING:
Name of Person or Entity
TITLE(S)
Name of Person or Entity
OPTIONAL SECTION
Though the date requested here is not required by law, it could prevent fraudulent reattachment of this form.
THIS CERTIFICATE MUST BE ATTACHED TO THE DOCUMENT DESCRIBED BELOW
TITLE OR TYPE OF DOCUMENT:
NUMBER OF PAGES DATE OF DOCUMENT
SIGNER(S) OTHER THAN NAMED ABOVE
Exhibit A
SECURITY - PARCEL MAP NO. 31349
Improvements designated as "Participatory" have been or will be constructed by others. Security for
Participatory Improvements shall remain in place indefinitely until called upon or released by City.
Monumentation security shall guarantee performance of or payment for the work and shall be utilized or
released as specified in Chapter 4, Article 9 of the Subdivision Map Act.
As elements of the work are completed, Subdivider may request a maximum of two partial releases of
performance security. Partial releases shall be for not less than ten percent (10%) of the total
performance security for the tract and shall not reduce total performance security below the amount
necessary to complete the Improvements plus ten percent (10%) of the original amount. Partial releases
of performance security will be evaluated and may be granted, in whole or in part, by the City Engineer.
Requests for partial releases, setting forth in detail the amount of work completed and the value thereof,
shall be made in writing to the City Engineer.
Labor & materials security shall remain in place until 90 days after all required tract improvements are
complete and accepted by the City Council.
Improvement Description Performance Labor & Materials
Grading
$
200,000
$
200,000
Drainage
$
266,300
$
266,300
Street Improvements
$
859,900
$
859,900
Domestic Water
$
653,000
$
653,000
Sanitary Sewer
$
424,100
$
424,100
Dry Utilities
$
495,000
$
495,000
Monumentation
$
64,500
$
0
Totals
$
2,962,800
$
2,898,300
Standard 10% Contingencey
$
296,300
$
289,800
Total Construction Cost
$
3,259,100
$
3,188,100
Professional Fees, Design 10%
$
325,900
$
318,800
Professional Fees, Const 10%
$
325,900
$
318,800
No Plans Contingency 25%
$
814,800
$
797,000
Bond Amount
$ 41726,700
$ 41622,700
TAMDEPMOUNCIU2003%ovember 18, 20=Toll Bros 31349\ONSITE_SIA.doc 7 of 7
TOLL CA GP CORP.
SPECIAL MEETING OF THE BOARD OF DIRECTORS
A Special Meeting of the Board of Directors of Toll CA GP Corp., a California
corporation (the "Corporation") was held by telephone conference on March 20, 2002.
In attendance at the meeting by telephone conference were Robert I. Toll, Chairman
of the Board, Zvi Barzilay and Joel H. Rassman, constituting all of the members of the Board of
Directors. In addition, in attendance at the meeting at the invitation of the Board was Kenneth J.
Gary, Vice President, General Counsel and Assistant Secretary of the Corporation.
The Chairman called the meeting to order and appointed Mr. Gary to serve as
Secretary of the meeting. -
Was adjourned.
Upon motion duly made and seconded, the following resolution was adopted:
WHEREAS, the Corporation is General Partner of Toll CA V, L.P., a California
limited partnership (the "Partnership"), and is fully authorized as General Partner to
make decisions and act on behalf of the Partnership; now, therefore
BE IT RESOLVED, that the Chief Executive Officer, the President or any Vice
President or Assistant Vice President of the Corporation, including Gary Lemon in
his capacity as Assistant Vice President of the Corporation, be and they hereby are
authorized, empowered and directed to execute. and deliver on behalf of the
Corporation, as General Partner of the Partnership, and any, and* all limited
partnerships of which the Corporation may become a General Partner, to execute and
deliver any agreement, bond, application or any other document, with respect to the
applications for any and all permits, zoning and construction matters which are to be
applied for by the Partnership, upon such terms and conditions as they deem
appropriate and in the best interest of the Corporation and the Partnership.
There being no further business, upon motion duly made and seconded, the.meeting
Ke e . Gary
Secret of the ee 'ng
OUTSTANDING BOND REPORT
Name: Toll CA V, L.P.
Tract No. 31349
Date of Contract: December 29, 2003
Required Bond Amounts:
Grading
Drainage
Street Improvements
Water
Sewer
Utilities
Monumentation
Standard 10% Contingency
Prof. Fees Design 10%
Prof. Fees Const. 10%
No Plans Contingency
Dates of Bond Reductions:
$ 200,000
$266,300
$859,900
$653,000
$424,100
$495,000
$ 64,500 performance only
$296,300 / $289,800
$325,900 / $318,800
$325,900 / $318,800
$814,800 / $797,000
Outstanding Bonds and Bond Company: Fidelity and Deposit Company of Maryland
Amount: Bond No.
$4,725,700 08737009
$4,622,700 same
Date Cancelled/Released:
PERFORMANCE BOND
BOND #08737009
WHEREAS, THE CITY OF LA QUINTA, State of California, and TOLL CA V, L. P., A
CALIFORNIA LIMITED PARTNERSHIP OWNED BY WHOLLY -OWNED SUBSIDIARIES OF TOLL
BROTHERS, INC., (hereinafter designated as "principal") have entered into an agreement whereby
principal agrees to install and complete certain designated onsite public improvements, which said
agreement, dated November 18, 2003 and identified as project MOUNTAIN VIEW COUNTRY CLUB NEW
TRACT #31349, is hereby referred to and made a part hereof; and
WHEREAS, Said principal is required under the terms of said agreement to furnish a bond for the
faithful performance of said agreement.
NOW, THEREFORE, we, the principal and the FIDELITY AND DEPOSIT COMPANY OF
MARYLAND, as surety, are held and firmly bound unto THE CITY OF LA QUINTA, hereinafter called
("obligee"), in the penal sum of FOUR MILLION SEVEN HUNDRED TWENTY FIVE THOUSAND
SEVEN HUNDRED AND 00/100 ($4,725,700.00), lawful money of the United States (the "Bond Penalty"), for
the payment of which sum well and truly to be made, we bind ourselves, our heirs, successors, executors and
administrators, jointly and severally, firmly by these presents.
The condition of this obligation is such that if above bounded principal, his or its heirs, executors,
administrators, successors or assigns, shall in all things stand to and abide by, and well and truly keep and
perform the covenants, conditions and provisions in the said agreement and any alteration thereof made as
therein provided, on his or their part, to be kept and performed at the time and in the manner therein
specified, and in all respects according to their true intent and meaning, and shall indemnify and save
harmless THE CITY OF LA QUINTA, its officers, agents and employees as therein stipulated, then this
obligation shall become, null and void; otherwise it shall be and remain in full force and effect.
As a part of the obligation secured hereby and in addition to the face amount specified therefore,
there shall be included costs and reasonable expenses and fees, including reasonable attorneys' fees, incurred
by the City in successfully enforcing such obligation, all to be taxed as costs and included in any judgement
rendered. Notwithstanding anything contained herein to the contrary, in no event shall Surety's aggregate
liability under this Bond exceed the Bond Penalty as stated above.
The surety hereby stipulates and agrees that no change, extension of time, alteration or addition to
the terms of the agreement or to the work to be performed thereunder or the specifications accompanying the
same shall in anywise affect its obligations on this bond, and it does hereby waive notice of any such change,
extension of time, alteration or addition to the terms of the agreement or to the work or to the specifications.
IN WITNESS WHEREOF, this instrument has been duly executed by the principal and Surety
above named on the 10 TH day of DECEMBER, 2003.
ATTEST: TOLL CA V L.P., A CALIFORNIA LIMITED PARTNERSHIP
BY: TOLL CA GP CORP., A CALIFORNIA CORPORATION
GENERAL PARTNER
A
B rBy: __19T
WITNESS: FIDELITY AND DEPOSIT COMPANY O MARYLAND
Eliza h Kelly — Wi ess Daniel P. Dungan — Attorney-i
LABOR AND MATERIALS BOND
BOND #08737009
WHEREAS, THE CITY OF LA QUINTA, State of California and TOLL CA V, L. P., A CALIFORNIA
LIMITED PARTNERSHIP OWNED BY WHOLLY -OWNED SUBSIDIARIES OF TOLL BROTHERS,
INC., (hereinafter designated as "principal") have entered into an agreement whereby principal agrees to
install and complete certain designated onsite public improvements, which said agreement, dated November
189 2003, and identified as project MOUNTAIN VIEW COUNTRY CLUB NEW TRACT #31349, is hereby
referred to and made a part hereof; and
WHEREAS, Under the terms of said agreement, principal is required before entering upon the
performance of the work, to file a good and sufficient payment bond with THE CITY OF LA QUINTA to
secure the claims to which reference is made in Title 15 (commencing with Section 3082) of Part 4 of Division
3 of the Civil Code of the State of California.
NOW THEREFORE, said principal and the undersigned as corporate surety, are held and firmly
bound unto THE CITY OF LA QUINTA and all contractors, subcontractors, laborers, materialmen, and
other persons employed in the performance of the aforesaid agreement and referred to in the aforesaid Code
of Civil Procedures in the penal sum of FOUR MILLION SIX HUNDRED TWENTY TWO THOUSAND
SEVEN HUNDRED AND 00/100 ($4,622,700.00), lawful money of the United States (the "Bond Penalty"), for
materials furnished or labor thereon of any kind, or for amounts due under the Unemployment Insurance
Act with respect to such work or labor, that said surety will pay the same in an amount not exceeding the
amount hereinabove set forth, and also in case suit is brought upon this bond, will pay, costs and reasonable
expenses and fees, including reasonable attorney's fees, incurred by the City in successfully enforcing such
obligation, to be awarded and fixed by the court, and to be taxed as costs and to be included in the judgement
therein rendered. Notwithstanding anything contained herein to the contrary, in no event shall Surety's
aggregate liability under this Bond exceed the Bond Penalty.
It is hereby expressly stipulated and agreed that this bond shall inure to the benefit of any and all
persons, companies and corporations entitled to file claims under Title 15 (commencing with Section 3082) of
Part 4 of Division 3 of the Civil Code, so as to give a right of action to them or their assigns in any suit
brought upon this bond.
Should the condition of this bond be fully performed, then this obligation shall become null and void,
otherwise it shall be and remain in full force and effect.
The surety hereby stipulates and agrees that no change, extension of time, alteration or addition to
the terms of the agreement or the specifications accompanying the same shall in any manner affect its
obligations on this bond, it does hereby waive notice of any such change, extension, alteration or addition.
IN WITNESS whereof, this instrument has been duly executed by the principal and surety above
named on 10 TH day of DECEMBER, 2003.
ATTEST:
WITNESS:
I . i
TOLL CA V, L.P. A CALIFORNIA LIMITED PARTNERSHIP
BY: TOLL CA GP CORP., A CALIFORNIA CORPORATION
GENERAL PARTNER
FIDELITY AND DEPO T COMPANY OF MARYLAND
Daniel P. Dunigan — Attorney-in-