2005 30092 K. Hovnanian Homes - SIA On-Site & Off-SiteCITY OF LA QUINTA
SUBDIVISION IMPROVEMENT AGREEMENT
TRACT MAP NO.30092
ON -SITE IMPROVEMENTS
THIS SUBDIVISION IMPROVEMENT AGREEMENT (the "Agr ment") is made and entered into this
day of 20
by and between K. Hovnanian Forecast Homes, Inc a Calif rnia Corporation 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. 30092 (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
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reasonable attorney's fees, incurred by City in successfully enforcing the obligations thereby
secured.
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 Tract 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, Tract
map or waiver of Tract map) rather than to individual security instruments. The fees shall be paid
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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 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.B., 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 3.6., 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
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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
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
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by this Agreement or the Conditions of Approval, and any required construction quality documentation
not previously submitted.
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.
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r
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.
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 Quinta, CA 92253
7 0/777-7075
Thomas P. Genovese, City Manager
Jaime Dana Banfield
K. Hovnanian Forecast Homes, Inc
3536
Onta
By:_
Title:
By:
Title:
Reviewed an
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Approv .
Sales
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City ngine
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Date
Marketing
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Date
App oved as t For
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Exhibit A
ON -SITE SECURITY — TRACT MAP NO.30092
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 (10% of Total, Already Bonded)
$
153,538
$
153,538
Drainage
$
59,600
$
59,600
Street Improvements
$
683,633
$
683,633
Domestic Water
$
546,896
$
546,896
Sanitary Sewer
$
225,130
$
225,130
Dry Utilities
$
819,000
$
819,000
Perimeter Walls
$
328,050
$
328,050
Monumentation
$
21,280
$
-
Totals
$
2,837,100
$
2,815,800
Standard 10% Contingency
$
283,700
$
281,600
Total Construction Cost
$
3,120,800
$
3,097,400
Professional Fees, Design 10%
$
312,100
$
309,700
Professional Fees, Const 10%
$
312,100
$
309,700
No Plans Contingency 25%
$
780,200
$
774,400
Bond Amount
$
49525,200
$
41491,200
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CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT
State of California
�L _ l ss.
County of _�N1 rl Cke-
On DE - ory�pzc before me,
Date
personally appeared
YVETTE ILER
COMMW51oft 0130420
Notary Public - CAIKonft
8tn bmrdkto County
lldfy Comm. Egos tray =AM
Name and Tale of Officer (e.g., "Jane Doe,
Name(s) of Signer(s)
X personally known to me
❑ proved to me on the basis of satisfactory
evidence
to be the persons whose named is/are
subscribed to the within instrument and
acknowledged to me that heMhe/they executed
the same in #isfFier/their authorized
capacityf g.a), and that by h s,4 w/their
signaturelgon the instrument the person, or
the entity upon behalf of which the person
acted, executed the instrument.
WITNESS my hand a officials I.
Signature of Notary Public
OPTIONAL
Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent
fraudulent removal and reattachment of this form to another document.
Description of Attached Document
Title or Type of Document:
Document Date: Number of Pages:
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Signer's Name:
❑ Individual Top of thumb here
❑ Corporate Officer — Title(s):
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❑ Attorney -in -Fact
❑ Trustee
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❑ Other:
Signer Is Representing:
01999 National Notary Association - 9350 De Soto Ave., P.O. Box 2402 - Chatsworth, CA 91313-2402 - www.nationainotary.org rroa. NO. aavi nuuluv.. tea..
y
CITY OF LA QUINTA
SUBDIVISION IMPROVEMENT AGREEMENT
TRACT MAP NO. 30092
OFF -SITE IMPROVEMENTS
THIS SUBD VISION IMPROVEMENT AGREEMENT (the "Agreement") is made and entered into this
day of 20
by and between K. Hovnanian Forecast Homes, Inc, a Californid Corporation 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. 30092 (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.
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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 Tract 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, Tract
map or waiver of Tract 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 warranty
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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.B., 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
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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 Maleure. 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.
CADocuments and Settingskschaparrolocal SettingsWemporary Internet Fi1es10LK1510FFSITE_SIA.d0C 4 of 7
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.
CADocuments and Settings\schaparro\Local Settings\Temporary Internet Fi1es\OLK15\OFFSITE_SIA doc
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i (A
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 Quinta, CA 92247
60/777-7075
Thomas P. Genovese, City Manager Date
Subdivider Address: Jaime Dana Banfield
K. Hovnanian Forecast Homes, Inc
3536 Concours Street, Ste 320
Ontar' , 91764
its,
A • ►_
Title:
Reviewed and Approved:
City ngine Date
or - • as 'y
� ' , _ IF
5. -
CADocuments and Settings\schaparro\Local Settings\Temporary Intemet Fi1es\0LK15\0FFSITE_SIA.doc
Exhibit A
OFF -SITE SECURITY — TRACT MAP NO. 30092
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
Street w/Median (Monroe Street)
$
192,570
$
192,570
188,600
Street (Avenue 58)
$
188,600
$
$
126,870
Sewer Improvements (Monroe)
$
126,870
Water Improvements
$
213,400
$
213,400
8,910
Storm Drain
8' Wide Meandering Sidewalk
$
$
8,910
61,630
$
$
61,630
Landscaping (Parkway)
$
394,170
$
394,170
Landscaping (Median)
$
53,650
$
53,650
Traffic Signal at Entrance
$
120,000
$
120,000
Totals
$
1,359,800
$
1,359,800
Standard 10% Contingency
$
135,980
'
$
$
135,980
1,495,780
Total Construction Cost
$
1,495,780
Professional Fees, Design 10%
$
149,580
$
$
149,580
149,580
Professional Fees, Const 10%
$
149,580
No Plans Contingency 25%
$
373,950
$
373,950
Bond Amount
$
21168,890
$
21168,890
TAProject Development Division\Development Projects\Agreements\SIA\SIAs in Progress\Forecast Piazza Serena 30092\OFFSITE_SIA.doc
7of7
CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT
State of California
%,/l ss.
l JC�.(�r1
County of G /gal d
On �P�PyYt �[XC.r 7� eQ07 before me, =;Z /e_4 0 L
Date _ � j Name and Title of Officer (e.g., "Jane Doe, Notary Pu ")
personally appeared
Allill YVETTE ILER
Commission * 'i 30S426 z
Notary Public - Califomia
San IBematdino County
My Comm. Expires May 28.2006
Name(s) of Signer(s)
`K personally known to me
❑ proved to me on the basis of satisfactory
evidence
to be the person whose name Is/are
subscribed to the within instrument and
acknowledged to me that heMhe/they executed
the same in 4isf4 w/their authorized
capacit ies , and that by #iefher/their
signatures on the instrument the person, or
the entity upon behalf of which the person(s)
acted, executed the instrument.
WITNESS my hand d offici I seal.
Signature of Notary Public
OPTIONAL
Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent
fraudulent removal and reattachment of this form to another document.
Description of Attached Document
Title or Type of Document:
Document Date: Number of Pages:
Signer(s) Other Than Named Above:
Capacity(ies) Claimed by Signer
Signer's Name:
❑ Individual Top of thumb here
❑ Corporate Officer — Title(s):
❑ Partner — ❑ Limited ❑ General
❑ Attorney -in -Fact
❑ Trustee
❑ Guardian or Conservator
❑ Other:
Signer Is Representing:
01999 National Notary Association - 9350 De Soto Ave., P.O. Box 2402 - Chatsworth, CA 91313-2402 - www.nationalnotary.org Prod. No. 5907 Reorder: Call Toll -Free 1-80D-876-6827
y --
P.O. Box 1504
LA QUINTA, CALIFORNIA 92247-1504
78-495 CALLE TAMPICO
LA QUINTA, CALIFORNIA 92253
February 4, 2005
Jaime Dana Banfield
K. HOVNANIAN FORECAST HOMES, INC.
3536 Concours Street, Suite 320
Ontario, CA 91764
Dear Mr. Banfield:
(760) 7 7 7 - 7 0 0 0
FAX (760) 777-7101
Please find enclosed fullyexecuted Subdivision Improvement Agreements by and between the City
of La Quinta and K. Hovnanian Forecast Homes, for On -site and Off -site improvements for Tract
Map No. 30092.
Should you have any questions, please contact the Public Works Department at (760) 777-7075.
Sincerely,
�7 JU /ES. GREEK, CMC
City Clerk
Enclosures
c: Timothy Jonasson, Public Works Director/City Engineer
W"o;2.O(
11
T4hf 4 44"
COUNCIL/RDA MEETING DATE: December 15, 2009
ITEM TITLE: Adoption of a Resolution to Extend the
Time for Completion of the Off -Site Improvements for
Tract Map No. 30092, Piazza Serena, K. Hovnanian
Forecast Homes, Inc.
RECOMMENDATION:
AGENDA CATEGORY:
BUSINESS SESSION:
CONSENT CALENDAR: JD
STUDY SESSION:
PUBLIC HEARING:
Adopt a resolution to extend the time for completion of the off -site improvements as
specified in the approved Subdivision Improvement Agreement (SIA) to September 3,
2010 for Tract Map No. 30092, Piazza Serena, K. Hovnanian Forecast Homes, Inc.
FISCAL IMPLICATIONS:
None.
CHARTER CITY IMPLICATIONS:
None.
BACKGROUND AND OVERVIEW:
Piazza Serena (Tract Map No. 30092) is located north of Avenue 58 and west of
Monroe Street (Attachment 1).
On February 3, 2005, the City and K. Hovnanian Forecast Homes, Inc. entered into a
SIA for Piazza Serena. Section 6 of the SIA requires: "that the subdivision
improvements shall be complete within twelve months after the approval of the SIA.
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 SIA, to revise
1
improvement security requirements as necessary to ensure complet
improvements, and/or to require modifications in the standards or sequen___
improvements in response to changes in standards or conditions affecting or affected
by the Improvements. "
On October 21, 2008, the City Council adopted a resolution granting a time extension
for the completion of the off -site improvements as specified in the approved SIA to
September 3, 2009.
In a letter dated November 17, 2009 (Attachment 2), the developer requests additional
time to complete the remainder of the off -site improvements due to the current
economic condition. The remainder of the off -site improvements includes median
landscaping along Monroe Street and a traffic signal at the entrance on Avenue 58.
The developer requests a time extension for the off -site improvements to September 3,
2010. Staff has prepared the attached resolution which provides for approval of the
second time extension of the SIA.
FINDINGS AND ALTERNATIVES:
The alternatives available to the City Council include:
1. Adopt a Resolution of the City Council to extend the time for completion of the
off -site improvements as specified in the approved Subdivision Improvement
Agreement to September 3, 2010 for Tract Map No. 30092, Piazza Serena; or
2. Do not adopt a Resolution of the City Council to extend the time for completion
of the off -site improvements time as specified in the approved Subdivision
Improvement Agreement to September 3, 2010 for Tract Map No. 30092,
Piazza Serena; or
3. Provide staff with alternative direction.
Respectfully submitted,
mothy R. on n, P.E.
Public Wo s D r for/City Engineer
2
Approved for submission by:
(-/- �-- Z. � � � �
Thomas P. Genovese, City Manager
Attachments: 1. Vicinity Map
2. Letter from K. Hovnanian Communities dated Nov 17, 2009
RESOLUTION NO. 2009-
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF LA QUINTA, CALIFORNIA, GRANTING
AN EXTENSION OF TIME FOR THE COMPLETION
OF THE OFF -SITE IMPROVEMENTS AS
SPECIFIED IN THE APPROVED SUBDIVISION
IMPROVEMENT AGREEMENT TO SEPTEMBER 3,
2010 FOR TRACT MAP NO. 30092, PIAZZA
SERENA.
WHEREAS, the City Council approved the Subdivision Improvement
Agreement (SIA) for Tract Map No. 30092, Piazza Serena, on February 3, 2005;
and
WHEREAS, Section 6. Completion of Improvements, of the approved SIA
requires that the Subdivider begin construction of the improvements within ninety
days and complete the construction within twelve months after the approval of the
Agreement; and
WHEREAS, failure by the Subdivider to complete construction of the
improvements by September 3, 2009, shall constitute cause for the City, in its sole
discretion and when it deems necessary, to declare the Subdivider in default of the
approved agreement; and
WHEREAS, Section 8. Time Extension, of the approved SIA allows for, at the
City Council's sole and absolute discretion, an extension of time for completion of
the improvements with additions or revisions to the terms and conditions of the
Agreement.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of La
Quinta, California, as follows:
Section 1. The time for the completion of the off -site improvements as
required by the approved SIA is extended to September 3, 2010.
Section 2. The time extension for completing the improvements shall expire
when City offices close for regular business on September 3, 2010. If the
Subdivider has not completed the improvements, the City, in its sole discretion and
when deems necessary, may declare the Subdivider in default of the Agreement.
Section 3. The provided security amount as required in the approved SIA is
satisfactory. No additional securities are required.
9
Resolution No. 2009N9WL il
-
Tract Map No. 30092, Piazza Serena
Adopted: December 15, 2009
Page 2
Section 4. All other terms, responsibilities and conditions as listed in the
approved SIA shall remain in full' force and effect.
PASSED, APPROVED and ADOPTED at a regular meeting of the La Quinta
City Council held on this 151h day of December 2009, by the following vote, to wit:
AYES:
NOES:
ABSENT:
ABSTAIN:
DON ADOLPH, Mayor
City of La Quinta, California
ATTEST:
VERONICA J. MONTECINO, CMC, City Clerk
City of La Quinta, California
(City Seal)
APPROVED AS TO FORM:
M. KATHERINE JENSON, City Attorney
City of La Quinta, California
TM 30092 - PIAZZA SERENA
y
STATE HIGHMY 111
PROJECT
SITE
ATTACHMENT 1
COACT
NRPVRT °D B�VD
AVM I 58
AVE. 66
VICINITY MAP
NOT TO SCALE
CITY COUNCIL MEETING: December 15, 2009
e ITEM TITLE: Adoption of a Resolution to Extend the Time for
" Completion of the Off -site Improvements for Tract Map No. 30092,
Piazza Serena
APPLICANT: Mr. James Crandall, K. Hovnanian Communities
7
ATTACHMENT 2
VIA OVERNIGHT DELIVERY
& FAX NO. (760) 777-7101
November 17, 2009
Timothy R. Jonasson, P.B. Public Works Director/City Engineer
City of La Quints, Public Works Department
78-495 Calle Tampico.
La Quinta, California 92253
Re: Piaz= Serena -Tract 30092 SIA On -Site & Off -Site Improvements
Dear Mr. 7onasson:
This letter is being written to request an approval on the extension for the On -site and
Offsite Subdivision Improvements for Tract 30092. Onsite improvements remaining to
complete include the Street improvements and retention basin. Offshe improvements left
to complete include our fair share of a traffic signal and median landscaping. Due to the
current economic condition I do not know when the improvements will be completed but
would like to request a one year extension.
Please let me know if there is anything else beyond this request letter necessary to meet
our obligations per the Subdivision Improvement Agreements and City Council approval
for the Subdivision Improvement extensions.
Please contact me should you have any questions or need further clarification on this
matter. Thank you
Sincerely,
amen Crandall
Land Planning Manager
K. Hovnanian Communities
Cc: Amy Yu; Assistant Engineer II
Darren Bolton, VP Land Development
0
(oa . OG
Tity4 44"
COUNCIL/RDA MEETING DATE: December 15, 2009
ITEM TITLE: Adoption of a Resolution to Extend the
Time for Completion of the On -Site Improvements for
Tract Map No. 30092, Piazza Serena, K. Hovnanian
Forecast Homes, Inc.
RECOMMENDATION:
AGENDA CATEGORY:
BUSINESS SESSION:
CONSENT CALENDAR:
STUDY SESSION:
PUBLIC HEARING:
Adopt a resolution to extend the time for completion of the on -site improvements as
specified in the approved Subdivision Improvement Agreement (SIA) to September 3,
2010 for Tract Map No. 30092, Piazza Serena, K. Hovnanian Forecast Homes, Inc.
FISCAL IMPLICATIONS:
None.
CHARTER CITY IMPLICATIONS:
None.
BACKGROUND AND OVERVIEW:
Piazza Serena (Tract Map No. 30092) is located north of Avenue 58 and west of
Monroe Street (Attachment 1).
On February 3, 2005, the City and K. Hovnanian Forecast Homes, Inc. entered into a
SIA for Piazza Serena. Section 6 of the SIA requires: "that the subdivision
improvements shall be complete within twelve months after the approval of the SIA.
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 SIA, 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
1
improvements in response to changes in standards or conditions affecting or affected
by the Improvements. "
On November 20, 2007, the City Council adopted a resolution granting a time
extension for the completion of the on -site improvements as specified in the approved
SIA to September 3, 2008.
On November 4, 2008, the City Council adopted a resolution granting a second time
extension for the completion of the on -site improvements as specified in the approved
SIA to March 3, 2009.
In a letter dated November 17, 2009 (Attachment 2), the developer requests additional
time to complete the remainder of the on -site improvements due to the current
economic condition. The remainder of the on -site improvements includes capping of
interior streets for those street portions in the tract that are currently vacant and
landscaping the retention basin. The developer requests a time extension for the on -
site improvements to September 3, 2010. Staff has prepared the attached resolution
which provides for approval of the third time extension of the SIA.
FINDINGS AND ALTERNATIVES:
The alternatives available to the City Council include:
1 . Adopt a Resolution of the City Council to extend the time for completion of the
on -site improvements as specified in the approved Subdivision Improvement
Agreement to September 3, 2010 for Tract Map No. 30092, Piazza Serena; or
2. Do not adopt a Resolution of the City Council to extend the time for completion
of the on -site improvements time as specified in the approved Subdivision
Improvement Agreement to September 3, 2010 for Tract Map No. 30092,
Piazza Serena; or
3. Provide staff with alternative direction.
Respectfully submitted,
Ti o t h y R. J na , P.E.
ublic Wo Dir for/City Engineer
2
Approved for submission by:
Thomas P. Genovese, City Manager
Attachments: 1. Vicinity Map
2. Letter from K. Hovnanian Communities dated Nov 17, 2009
3
RESOLUTION NO. 2009-
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF LA QUINTA, CALIFORNIA, GRANTING
AN EXTENSION OF TIME FOR THE COMPLETION
OF THE ON -SITE IMPROVEMENTS AS SPECIFIED
IN THE APPROVED SUBDIVISION IMPROVEMENT
AGREEMENT TO SEPTEMBER 3, 2010 FOR
TRACT MAP NO. 30092, PIAZZA SERENA.
WHEREAS, the City Council approved the Subdivision Improvement
Agreement (SIA) for Tract Map No. 30092, Piazza Serena, on February 3, 2005;
and
WHEREAS, Section 6. Completion of Improvements, of the approved SIA
requires that the Subdivider begin construction of the improvements within ninety
days and complete the construction within twelve months after the approval of the
Agreement; and
WHEREAS, failure by the Subdivider to complete construction of the
improvements by March 3, 2009, shall constitute cause for the City, in its sole
discretion and when it deems necessary, to declare the Subdivider in default of the
approved agreement; and
WHEREAS, Section 8. Time Extension, of the approved SIA allows for, at the
City Council's sole and absolute discretion, an extension of time for completion of
the improvements with additions or revisions to the terms and conditions ' of the
Agreement.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of La
Quinta, California, as follows:
Section 1. The time for the completion of the on -site improvements as
required by the approved SIA is extended to September 3, 2010.
Section 2. The time extension for completing the improvements shall expire
when City offices close for regular business on September 3, 2010. If the
Subdivider has not completed the improvements, the City, in its sole discretion and
when deems necessary, may declare the Subdivider in default of the Agreement.
Section 3. The provided security amount as required in the approved SIA is
satisfactory. No additional securities are required.
5
Resolution No. 2009-
Tract Map No. 30092, Piazza Serena
Adopted: December 15, 2009
Page 2
Section 4. All other terms, responsibilities and conditions as listed in the
approved SIA shall remain in full force and effect.
PASSED, APPROVED and ADOPTED at a regular meeting of the La Quinta
City Council held on this 15th day of December 2009, by the following vote, to wit:
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST:
VERONICA J. MONTECINO, CMC, City Clerk
City of La Quinta, California
(City aeai)
APPROVED AS TO FORM:
M. KATHERINE JENSON, City Attorney
City of La Quinta, California
DON ADOLPH, Mayor
City of La Quinta, California
11
TM 30092 - PIAZZA SERENA
STATE HIGHWAY III
PROJECT
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ATTACHMENT 1
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VICINITY MAP
NOT TO SCALE
CITY COUNCIL MEETING: December 15, 2009
4� ITEM TITLE: Adoption of a Resolution to Extend the Time for
Completion of the On -site Improvements for Tract Map No. 30092,
Piazza Serena
APPLICANT: Mr. James Crandall, K. Hovnanian Communities
W
ATTACHMENT 2
--
VIA OVERNIGHT DELIVERY
& FAK NO. (760) 777-7101
November 17, 2009
Timothy R. Jonasson, P.B. Public Works Director/City Engineer
City of IA Quinta, Public Works Department
78-495 Calle Tampico.
La Quinta, California 92253
Re: Piazza. Serena -Tract 30092 SIA On -Site & Off -Site Improvements
Dear Mr. Jonasson:
This letter is being written to request an approval on the extension for the On -site and
Of site Subdivision Improvements for Tract 30092. Onsite improvements remaining to
complete include the Street improvements and retention basin Offsite improvements left
to complete include our fair share of a traffic signal and median landscaping. Due to the
current economic condition I do not know when the improvements will be completed but
would like to request a one year extension.
Please Yet me know if there is anything else beyond this request letter necessary to meet
our obligations per the Subdivision Improvement Agreements and City Council approval
for the Subdivision improvement extensions.
Please contact me should you have any. questions or need further clarification on this
matter. Tbank you
sincerely,
]antes Crandall
Land Planning Manager
K. Hovnanian Communities
Cc: Amy Yu; Assistant Engineer II
Darren Bolton, VP Land Development
E
L.N� PUBLIC WORKS/ENGINEERING DEPARTMENT
.OF i�F4 INTEROFFICE MEMORANDUM
TO: June Greek, City Clerk
FROM: Anthony Colarossi, Assistant Engineer I
SUBJECT: Tract Map No. 30092, Piazza Serena
DATE: February 2, 2005
The City Council adopted a Resolution granting conditional approval of a Final Map and
Subdivision Improvement Agreements (SIAs) for Tract No. 30092, Piazza Serena. I am
transferring to you the Tract Map, four (4) SIA's, and bonds for you to perform the
following tasks:
1. Sign and return the Tract Map.
2. Have the City Manager, City Attorney, and yourself sign the SIA's. Keep the
original and provide a copy for our files.
3. Keep the following original bonds:
On -site Performance Bond No. 6280428 - $ 4,525,200;
On -site Labor and Material Bond No. 6280428 - $ 4,491,200;
Off -site Performance Bond No. 6280429 - $ 2,168,890;
Off -site Labor and Material Bond No. 6280429 - $ 2,168,890;
If you have any questions, please contact me at extension 7089.
Thank You.
T:\PWDEPT\STAFF\COLAROSSI\TRANSMITS\City Clerk\piazza_serena 30092_sia_map.doc
M
P.O. Box 1504
LA QUINTA, CALIFORNIA 92247-1504
78-495 CALLS TAMPICO (760) 7 7 7 - 7 0 0 0
LA QUINTA, CALIFORNIA 92253 FAX (760) 777-7101
February 4, 2005
Jaime Dana Banfield
K. HOVNANIAN FORECAST HOMES, INC.
3536 Concours Street, Suite 320
Ontario, CA 91764
Dear Mr. Banfield:
Please find enclosed fully executed Subdivision Improvement Agreements by and between the City
of La Quinta and K. Hovnanian Forecast Homes, for On -site and Off -site improvements for Tract
Map No. 30092.
Should you have any questions, please contact the Public Works Department at (760) 777-7075.
Sincerely,
777JU S. GREEK, CMC
City Clerk
Enclosures
c: Timothy Jonasson, Public Works Director/City Engineer
0
OUTSTANDING BOND REPORT
Name: Forecast Homes, Inc. (Piazza Serena)
IMWIV 1111;-30a
Date of Contract: No SIA
Required Bond Amounts:
PM 10 $ 57,750
Rough Grading $307,075
Dates of Bond Reductions:
Outstanding Bonds and Bond Company:
Amount:--
$ 57,750
$307,075
4401977
1976
' - �) a�v --TL *1 . - // /9; '62"l'
National Farmers Union Standard Ins.
Date Cancelled/Released:-'
0 QMkAAV
T4ht 4
PUBLIC WORKS/ENGINEERING DEPARTMENT
INTEROFFICE MEMORANDUM
OF
TO: June Greek, City Clerk
FROM: Anthony Colarossi, Assistant Engineer I
SUBJECT: Tract Map No. 30092, Forecast Homes, Piazza Serena
DATE: November 17, 2004
I received an email from Forecast Homes (Ms. Angela Wilson) requesting
that I give her the bonds back.
On November 8, 2004, 1 provided the City Clerk's department with the
following bonds:
1. Tract No. 30092 Fugitive Dust Control Bond
Performance = $ 57,750
Bond No 4401977
2. Tract No. 30092 Rough Grading Bond
Performance = $ 307,075
Bond No 4401976
May I have these bonds back or should I have Angela come over to the City
Clerks office and pick them up?
Thanks, Tony
T:\PWDEPT\STAFF\COLAROSSI\Deposits bond_Icredit\Forecast\Bond Return.doc
TWyll 4 4XP
PUBLIC WORKS/ENGINEERING DEPARTMENT
INTEROFFICE MEMORANDUM
TO: June Greek, City Clerk
FROM: Anthony Colarossi, Assistant Engineer I
SUBJECT: Tract Map No. 30092, Forecast Homes, Piazza Serena
DATE: November 22, 2004
The City Engineer is in the process of approving a Fugitive Dust Control and
Rough Grading Plans for the subject project. The developer is requesting to
place a Fugitive Dust Control Bond, Fugitive Dust Control Cash Deposit, and
Rough Grading Bond with the City. Please find the following enclosed:
1 . Tract No. 30092 Fugitive Dust Control Bond
Performance = $ 57,750
Bond No 8681933 (Fidelity and Deposit Company of Maryland)
2. Tract No. 30092 Rough Grading Bond
Performance = $ 307,075
Bond No 8691932 (Fidelity and Deposit Company of Maryland)
If you have any questions, please contact me at extension 7089.
Thank You.
T:\PWDEPT\STAFF\COLAROSSI\Deposits_bond_Icredit\Forecast\PM10 and RG Bond used.doc
Y
4
COUNCIL/RDA MEETING DATE: December 21, 2004
ITEM TITLE: Adoption of a Resolution Granting
Conditional Approval of a Final Map and Subdivision
Improvement Agreement for Tract Map No. 30092,
Piazza Serena, K. Hovnanian Forecast Homes, Inc.
RECOMMENDATION:
AGENDA CATEGORY:
BUSINESS SESSION:
CONSENT CALENDAR: I)
STUDY SESSION:
PUBLIC HEARING:
Adopt a Resolution granting conditional approval of a Final Map and Subdivision
Improvement Agreement (SIA) for Tract Map No. 30092, Piazza Serena, K. Hovnanian
Forecast Homes, Inc.
FISCAL IMPLICATIONS:
None.
CHARTER CITY IMPLICATIONS:
None.
BACKGROUND AND OVERVIEW:
Tract Map No. 30092 is located west of Monroe Street and north of Avenue 58
(Attachment 1). This residential development will consist of 97 lots on approximately
38.6 acres (Attachment 2).
On May 18, 2004, the City Council approved Tentative Tract Map No. 30092
Extension #2.
The developer has requested the City Council's conditional approval of the Final Map
which will allow 30 days for completion of its processing. To date, the SIA
(Attachment 3) has been executed by the developer, but the associated securities
have not yet been received. The Final Map is technically complete and is being routed
for signatures. The developer expects that all signatures will be in place within the
time allowed for its conditional approval.
As a result, City staff has prepared a Resolution which provides for conditional
approval of the Final Map and SIA. The approval is contingent upon receipt within 30
days (January 20, 2005), of a technically correct Final Map, suitable for recording by
the County Recorder, with all required signatures (except the City Clerk) and the
associated securities. Once these items are received, the City Clerk will affix the City
Seal to the Final Map and offer the Final Map for recording by the County Recorder. If
any of the required items are not received by City staff within the specified time
frame, the Final Map will be considered disapproved and will be rescheduled for City
Council consideration only after all required items have been receiyed.
FINDINGS AND ALTERNATIVES:
The alternatives available to the City Council include:
1. Adopt a Resolution of the City Council granting conditional approval of a Final
Map and Subdivision Improvement Agreement for Tract Map No. 30092, Piazza
Serena, K. Hovnanian � Forecast Homes, Inc.; or
2. Do not adopt a Resolution of the City Council granting conditional approval of a
Final Map and Subdivision Improvement Agreement for Tract Map No. 30092,
Piazza Serena, K. Hovnanian Forecast Homes, Inc.; or
3. Provide staff with alternative direction.
Respectfully submitted,
�` �imothy
"
I�J
na]�s
n, P.E.
Piihlir \A/r4r1
r)2
tnr/ r itxi Gnnincor
Approved for submission by:
Thomas P. Genovese, City Manager
Attachments: 1 . Vicinity Map
2. Tract Map
3. Stihdivision Improvement Agreement
2
RESOLUTION NO. 2004-(Clerk's Office will enter)
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF LA QUINTA, CALIFORNIA, GRANTING
CONDITIONAL FINAL MAP APPROVAL OF TRACT MAP
NO. 30092, PIAZZA SERENA, K. HOVNANIAN
FORECAST HOMES, INC, AND AUTHORIZING A TIME
EXTENSION FOR SATISFACTORY COMPLETION OF
THE CONDITIONAL REQUIREMENTS TO VALIDATE THE
APPROVAL
WHEREAS, the City Council conducts only two regular meetings per month
and the time interval between these meetings occasionally creates an undue
hardship for business enterprises and- individuals seeking approval of subdivision
maps; and
WHEREAS, the City Council, as a matter of policy, allows a subdivider to
have City staff present the map for approval consideration when the requisite items
necessary for final map approval are nearly, but not completely, finished thus
yielding to the subdivider additional production time for preparation of those items;
and
WHEREAS, the subdivider has demonstrated to City staff and the City
Council that it has made sufficient progress with items required for final map
approval, and it is reasonable to expect the subdivider to satisfactorily complete the
items, including City staff review time, within thirty (30) days without adversely
impacting other ongoing work commitments of City staff; and
WHEREAS, Section 66458(b) of the Subdivision Map Act grants the City
Council broad authority to authorize time extensions regarding final map approval,
or disapproval, upon receiving it for consideration; and
WHEREAS, the City Council relies on professional City staff to review all
required items for conformance with relevant requirements, and it is therefore
appropriate for the City Council to approve the final map subject to review and
confirmation of the required items by professional City staff, within a reasonable
period of time as specified by the City Council.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
La Quinta, California, as follows:
Section 1. The final map for Tract Map 30092 is conditionally approved
provided the subdivider submits all required items on or before January 20, 2005.
3
Resolution No. 200-
Tract Map No. 30092, Piazza Serena
Adopted: December 21, 2004
Page 2
Section 2. The City Council's approval of the final map shall not be
considered valid until the City Engineer has signed the map indicating that it
conforms to the tentative tract map, the Subdivision Map Act and all ordinances of
the City.
Section 3. The City Engineer shall withhold his signature from the map until
the subdivider has completed the following requirements to the City Engineer's
satisfaction.
A. Place appropriate securities in accordance with the approved
Subdivision Improvement Agreement.
B. Finalize the final Tract Map and obtain all necessary signatures.
Section 4. The City Clerk shall withhold affixing the City Seal to the map
title page, along with her attesting signature, until the City Engineer has signed_ the
map.
Section 5. The time extension for satisfying the requirements of the
conditional approval for this final map shall expire when City offices close for
regular business on January 20, 2005. If the subdivider has not satisfied the
requirements in Section 3, herein, by the expiration dcadlinc, the final map shall be
considered disapproved. Disapproval does not deny any rights the subdivider may
have under the Map Act to resubmit the final map for approval, or disapproval.
PASSED, APPROVED and ADOPTED at a regular meeting of the La Quinta
City Council held on this 21 st day of December, 2004, by the following vote, to
wit:
AYES:Council Members (Clerk's Office will enter)
NOES: None
ABSENT: None
ABSTAIN: None
DON ADOLPH, Mayor
City of La Quinta, California
4
Resolution No. 2004-
Tract Map No. 30092, Piazza Serena
Adopted: December 21, 2004
Page 3
ATTEST:
JUNE S. GREEK, CMC, CITY CLERK
City of La Quinta, California
(City Seal)
APPROVED AS TO FORM:
M. KATHERINE JENSON, City Attorney
City of La Quinta, California
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