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2007 - 32751 Citrus El Dorado, LLC - Craftsmen Homes, LLC SIA On-SiteCONSENT CALENDAR ITEM N0, 10 IIIA (W a ...... L IIII YtG C.)....IIL., COLYNC.FIL.III; III; ...IIL.,INGIu� September 15, 2015 ...IIL., III III III III; III:: III III IIIIIIIIIIIIPJIIII': h":IIII""h'llll 11111 m ADOPT RESOLUTION TO EXTEND TIME TO COMPLETE ON-SITE IMPROVEMENTS FOR CITRUS EL DORADO LOCATED SOUTH OF AVENUE 50, WEST OF JEFFERSON STREET IIII. IIIIIIIIII C O M M IIIIIIIIII IIPJ IIII': ""h":IIII': O IIPJ Adopt a resolution to extend the time to complete on-site improvements, as specified in the approved Subdivision Improvement Agreement, for Tract Map No. 32751, Citrus El Dorado. II KI!!!C[ I StIMM Ifs. • The developer, Citrus El Dorado, LLC, has requested City Council approval of a time extension of the Subdivision Improvement Agreement to September 15, 2016 to complete on-site improvements. • The remaining on-site improvements include the final on-site street paving, adjustment of the manholes and valves to grade, and survey monuments. • There have been no public requests for completion of the on-site improvements; therefore, staff recommends that the extension to September 15, 2016 be approved. None. Bonds of sufficient value are currently in place to secure the incomplete improvements. I�3AQKGRQI i IIPJ IIII': Ill II yS':IIII': S On May 1, 2007, City Council approved Tract Map No. 32751 for the Citrus El Dorado development, located south of Avenue 50 and west of Jefferson Street (Attachment 1). The developer has constructed all on-site improvements except the final lift of pavement for the private street, adjustment of the manholes and valves to grade, and the survey monuments. In a letter dated July 16, 2015 (Attachment 2), the developer believes the remaining improvements will be constructed twelve to eighteen months from July 2015. Staff has received no public requests regarding completion of these on-site improvements, and no residents currently live on the private street; therefore, approval is recommended to extend the Subdivision Improvement Agreement to September 15, 2016. ALTERNATIVES Council may choose to not grant the time extension and require the improvements to be built now; however, since no requests for the required improvements have been received and requiring the improvements may create an unnecessary hardship for the developer, this alternative is not recommended. Report prepared by: Bryan McKinney, P.E., Principal Engineer Report approved by: Timothy R. Jonasson, P.E. Public Works Director/City Engineer Attachments: 1. Vicinity Map 2. Letter from Scott Shaddix 180 RESOLUTION NO. 2015 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA,GRANTING EXTENSION OF TIME TO SEPTEMBER 15, 2016 FOR THE COMPLETION OF THE ON- SITE IMPROVEMENTS AS SPECIFIED IN THE SUBDIVISION IMPROVEMENT AGREEMENT FOR TRACT MAP NO. 32751, CITRUS EL DORADO WHEREAS , the City Council approved the Subdivision Improvement Agreement (SIA) for Tract Map No. 32751, on May 1, 2007; and WHEREAS , Section 6. Completion of Improvements, of the approved SIA requires that the developer begin construction of the improvements within ninety days and complete the construction within twelve months after the approval of the Agreement; and WHEREAS , the recent six year recession caused multiple developer delays and hardship resulting in an extended gap in time since the last Council-approved extension to September 20, 2012; and WHEREAS , the developer, Citrus El Dorado, LLC, requested a time extension; 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 15, 2016. SECTION 2. The time extension for completing the on-site improvements shall expire when City offices close for regular business on September 15, 2016 if the installation of the on-site improvements has not been completed. SECTION 3. The provided security amount as required in the approved SIA is satisfactory. No additional securities are required. SECTION 4. All other terms, responsibilities and conditions as listed in the approved SIA shall remain in full force and effect. 181 Resolution No. 2015- Time Extension - Tract Map No. 32751 Adopted: September 15, 2015 Page 2 PASSED, APPROVEDADOPTED and at a regular meeting of the La Quinta City th Council held on this 15 day of September 2015, by the following vote: AYES: NOES: ABSENT: ABSTAIN: ______________________________ LINDA EVANS, Mayor City of La Quinta, California ATTEST: ___________________________________ SUSAN MAYSELS, City Clerk City of La Quinta, California (CITY SEAL) APPROVED AS TO FORM: _____________________________________ WILLIAM H. IHRKE, City Attorney City of La Quinta, California 182 ATTACHMENT 1 TM 32751 CITRUS EL DORADO V I C I N I T Y M A P NOT TO SCALE 183 �T °4 W OF T41F'9�w� COUNCIL/RDA MEETING DATE: September 20, 2011 ITEM TITLE: Adoption of a Resolution to Extend the Time for Completion of the On -Site Improvements for Tract Map No. 32751, Citrus El Dorado, LLC RECOMMENDATION: AGENDA CATEGORY: BUSINESS SESSION: CONSENT CALENDAR: IL 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 20, 2012 for Tract Map No. 32751, Citrus El Dorado, LLC. FISCAL IMPLICATIONS: None. CHARTER CITY IMPLICATIONS: None. BACKGROUND AND OVERVIEW: Tract Map No. 32751 is located west of Jefferson Street, north of Avenue 52, and south of Avenue 50 (Attachment 1). On May 18, 2007, the City and Citrus El Dorado, LLC entered into an SIA for Tract Map No. 32751. 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 improvements in 224 response to changes in standards or conditions affecting or affected by the improvements." On May 6, 2008, the City Council adopted a resolution granting a time extension for the completion of the on -site improvements to May 1, 2009. Since that time, staff has been working with the developer to provide a schedule or extension request for these improvements. In a letter dated August 10, 2011 (Attachment 2), the developer requests a time extension to complete the remaining on -site improvements. The remaining on -site improvements include the final lift of asphalt of the on -site street, which will be performed at the build out stage of the twenty nine homes. Staff has prepared the attached resolution which provides for approval of the second time extension of the SIA for one year to September 20, 2012. FINDINGS AND ALTERNATIVES: The alternatives available to the City Council include: Adopt a Resolution of the City Council to extend the time for completion of the on -site improvements as specified in the approved SIA to September 20, 2012 for Tract Map No. 32751, Citrus El Dorado, LLC; 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 SIA to September 20, 2012 for Tract Map No. 32751, Citrus El Dorado, LLC; or 3. Provide staff with alternative direction. Respectfully submitted, othy . ona s n, P.E. Public Wo s Di for/City Engineer 225 Approved for submission by: �ho4mas P. Genovese, City Manager Attachments: 1. Vicinity Map 2. Letter from Citrus El Dorado dated August 10, 2011 226 RESOLUTION NO. 2011- 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 20, 2012 FOR TRACT MAP NO. 32751 WHEREAS, the City Council approved the Subdivision Improvement Agreement (SIA) for Tract Map No. 32751 on May 18, 2007; 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 May 1, 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 20, 2012. Section 2. The time extension for completing the improvements shall expire when City offices close for regular business on September 20, 2012. 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. Section 4. All other terms, responsibilities and conditions as listed in the approved SIA shall remain in full force and effect. 99% Resolution No. 2011- Tract Map No. 32751, Citrus El Dorado, LLC Adopted: September 20, 2011 Page 2 PASSED,- APPROVED and ADOPTED at a regular meeting of the La Quinta City Council held on this 20th day of September 2011, 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 (SEAL) APPROVED AS TO FORM: M. KATHERINE JENSON, City Attorney City of La Quinta, California em ATTACHMENT 1 TM 32751 CITRUS ELDORADO L w U) z 0 c� z 1:0 50th 48th I AVENUE w F-- cn AVENUE PROJECT SITE NOT TO SCALE 54th 229 ATTACHMENT 2 LA QUINTA, CA August 10, 2011 CERTIFIED MAILNia Electronic mail RECEIVED Timothy R. Jonasson, City of La Quinta AUG 12 2011 Public Works Director/City Engineer: Development ServiCes 78495 Calle Tampico La Quinta, CA 92253 Subject: Subdivision Improvement Agreement (SIA), On -site Improvements, Extension Request Citrus El Dorado, Tract # (32751) Dear, Mr. Jonasson We are in receipt of City of La Quinta letter dated August 1, 2011. Citrus El Dorado has completed all of the Subdivision Improvements (SIA), On -site Improvements with the exception of the final lift of asphalt on Letter Lot "A" the Street specifically from Lot 1 through 29. This is to be performed at the build out stage of construction for the twenty-nine home community. We look forward that this will be finalized approximately twelve to eighteen months depending upon economic conditions for the home building market and request City of La Quinta to grant an extension of time for this punch list improvement. If you have any questions or concerns regarding this request for time extension, please contact myself at 714-624-9401 or you may email sshaddix@craftsmenhomes.com. Thank you for your cooperation in this matter. Respectfully, Scott Shaddix, member Citrus El Dorado LLC 230 1157 N. RED GUM STREET, ANAHEIM, CA 92806 PHONE: 714/630-7685 FAx: 715/630-7683 CITY OF LA QUINTA SUBDIVISION IMPROVEMENT AGREEMENT TRACT MAP NO. 32751 ON -SITE IMPROVEMENTS THIS SUBDIVIS�N IMPROVEMENT AGREEMENT (the "Agreeme� t)�s made and entered into this �"1 day of ��� by and between CITRUS EL DORADO, LLC. a OMITED LIABILITY COMPANY 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. 32751 (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. T\Ce Iopment Seances Dimmon0evelopment PMB=d g... XSWSIM,nPro.w\CNv El Dorado TM 32751\ONSITESIA d. t°t7 B. Improvement security shall conform to 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 Tt Mopment Semces Division\Development PmtecWa greements\SIAIAsin Progma\Cltms El Domd0TM3ZTS9pNSITE SlAdoc 207 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 3.6., 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 TU)evelopment Semms Dihsion\Development Pmfect greements\SIAZIAsln PmgmssCitms El Doretlo TM32751\ NSITE SIA,Coc 3&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 Maieure. 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. TOevelopment Seances Dmaion\Development PmfectaAgraementi;SIA\SIAs in Prognern itme El Dorado TM 32751MSITE__SlAdoc 4017 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. T\Development Serncos Drvu,on\Development Pm,elsWgmement,ASIAl [Assn Pmgmmm%Citms El Dorado TM 327511ONSITE SlA doc 5e7 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 Calls Tampico La Quinta, CA 92253 CITRUS EL DORADO 1157 N RED GUM ST ANAHEIM, CA 92806 By:_ / Title: C_.S � � Date By: Date Title: Reviewed and Approved: City Engineer Date j, 2 -ro Ap d as 'Cilf Attor y Date T \Development Semoes Drvmmn\Dewlopmenl Pn,ocnAAgreements\SIA\SIAs in Pmgmss\Qiw El Do ado TM 3275TONSITE_SIA doe 6 of 7 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT State of California County of _ 11)Aan 22 Cot /df,5 , Name and Title of ORmer (e g , "Jane Doe, Notary Public") •t • On .a)az� ? a007 before me, Date personally appeared Cammr4on 116111111M "*" wbsc • comali a omngs Cash III�yCOrm�6pMlybl6, Place Notary Seal Above LS"personally known to me ❑ (or proved to me on the basis of satisfactory evidence) to be the person(g) whose nameol is/ay§ subscribed to the within instrument and acknowledged to me that he/syfeft6y executed the same in his/tidr/tVir authorized capacity(io), and that by his/Wr/tVir signature($) on the instrument the person($), or the entity upon behalf of which the person() acted, executed the instrument. WITNESS my hand and official seal. Signature of Notary Public OPTIONAL VVVV 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: Signer(s) Other Than Named Above: Capacity(ies) Claimed by Signer(s) Signer's Name: ❑ Individual ❑ Corporate Officer — Title(s): _ ❑ Partner -- ❑ Limited ❑ General ❑ Attorney in Fact ❑ Trustee ❑ Guardian or Conservator ❑ Other: Signer Is Representing: RIGHTTHUMBPRINT OF SIGNER Number of Pages: Signer's Name: . ❑ Individual ❑ Corporate Officer — ❑ Partner — ❑ Limited ❑ Attorney in Fact ❑ Trustee Title(s): _ ❑ General ❑ Guardian or Conservator ❑ Other: Signer Is Representing: I © 2006 National Notary Association • 9350 be Soto Ave , P 0 Box 2402 •Chatsworth, CA 91313-2602 Item No 5907 Reorder Call Toll -Free 1-600-6]6-682] Exhibit A ON -SITE SECURITY — TRACT MAP NO. 32751 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 Rough Grading (-Mass Grade Bond) Street Storm Drain Domestic Water Sewer Dry Utilities Monumentation Totals Standard 10% Contingency Total Construction Cost Professional Fees, Design 10% Professional Fees, Const 10% Bond Amount Performance Labor & Materials $ 403,810 $ 403,810 $ 262,699 $ 262,699 $ 491,190 $ 491,190 $ 96,400 $ 96,400 $ 74,610 $ 74,610 $ 72,500 $ 72,500 $ 9,000 $ - $ 1,410,209 $ 1,401,209 $ 141,021 $ 140,121 $ 1,551,230 $ 1,541,330 $ 155,123 $ 154,133 $ 155,123 $ 154,133 $ 1,861,476 $ 1,849,596 T.-Development Ser am DivisionVD Iopmenl ProjeMs A9rftMn1Z\SWSIAs in Progress\GWs El Dorado TM 32751 W NSITE_SIA d= 7 of 7 T-wr 44aumrw MEMORANDUM To: Veronica J. Montecino, CMC, City Clerk From: Ed Wimmer, Development Services Principal Engineer Via: U�qrnothy R. Jonasson, Public Works Director / City Engineer Date: January 25, 2008 Re: Reduction Bond Rider to Performance Security for Citrus El Dorado, Tract Map No. 32751, due to Completed On -site Improvements Please attach the new reduction bond rider to the existing Performance security bonds for TM 32751, on -site improvements. Please find enclosed the new reduction bond rider (reduced amount) which will secure the completion of the remaining improvements. The amounts and addresses to the developer and the surety company are as follows: TRACT No. 32751 Bond Number Performance Reduced Performance Security Amount CWS70954 $1,861,476 $674,087 Developer: Scott Shaddix Craftsmen Homes Communities, Inc. 1 157 N. Red Gum Street Anaheim, CA 92806 Surety Company: Western Insurance Company P.O. Box 21030 Reno, NV 89515 Cc: Project File I, Tract Map No. 32751 Amy Yu, Assistant Engineer II TATracts_Parcel Maps_SP\30000-39999\32751\internal correspondence\Bond Reduction Rider - Memo to City Clerk TM 32751.doc Ti4 4 P.O. Box 1504 LA QUINTA, CALIFORNIA 92247-1504 78-495 CALLE TAMPICO (760) 7 7 7 - 7 0 0 0 LA QUINTA, CALIFORNIA 92253 FAX (760) 777-7101 February 8, 2008 Scott Shaddix Craftsmen Homes Communities, Inc. 1 157 N. Red Gum Street Anaheim, CA. 92806 Re: Tract Map 32751 (Citrus El Dorado) To Whom It May Concern: Per authorization from the Public Works Department, the City Clerk's Office has received Surety Rider CWD70954 in the amount of $674,087, which reduces the previously -held amount of $1,861,476. If you have any questions, please call me at (760) 777-7002. Sincere VERONICA J. NTECINO, City Clerk City of La Quinta, California cc: Tim Jonasson, Public Works Director/City Engineer Western Insurance Co. File SURETY RIDER To be attached to and form a part of Bond No.CWS70954 in the amount of $1,861,476.00 1157 N Red Gum Street, Anaheim, CA 92806 on behalf of Citrus El Dorado, LLC as Principal and executed by WESTERN INSURANCE COMPANY as Surety in favor of City of La Quinta Effective Date of Bond: March 23, 2007 Effective Date of Change: December 11, 2007 In consideration of the mutual agreements herein contained, the Principal and the Surety hereby consent to amend said bond by changing the following: Reduce Bond Amount: From: $1,861,476.00 To: $674,087.00 Nothing herein contained shall vary, alter or extend any provision or condition of this bond except as herein expressly stated. Signed, Sealed & Dated this 21st day of January 2008 WESTERN INSURANCE COMPANY Surety Caroline L. Brown, Attorney -in -Fact BONDNO.: CWS70954 NIZhe,I,pjM; 37,235.00 SUBJECT TORENEWAL SUBDIVISION IMPROVEMENTS PERFORMANCE BOND Tract #32751 - Subdivision improvements including grading, street, storm drain, dry utilities, and monumentation. KNOW ALL MIEN BY THESE PRESENTS: That we, Citrus El Dorado, LLC as Principal, and WESTERN INSURANCE COMPANY a corporation organized aril doing business under and by virtue of the laws of the State of Nevada and duly licensed to conduct a general surety business in the State of Cahfoniia as Suety, are held and firmlybound unto City of La Quinta as Obligee, in the sum One Million Eight Hundred Sixty One Thousand Four Hundred Seventy Six and NO/100************ ($1,861,476.00)Dollatss,forwhichpaymentwellandtrulytobemadewebindourselves,our heirs, executors and successors, jointly and severally firr*by these presents. THE CONDITION OF THE OBLIGATION IS SUCH THAT: ) VHEREAS, the above named Principal, as a condition of the filing of the fnal subdivision map of (Tract/Parcel) Map No. 32751 entered into an agremnent or agreemearts with said Obligee to complete the irrpmvements specified in said agreement or agreements. NOW THEREFORE, the condition ofthis obligation is such, that if the above Principal shall well and trulyperfonn. said agreement or ads during the original ten thereof or of any extension of said term that may be granted bythe Obligee with orwithoutnotice to the Surety, this obligation shall be void, otherwise it shall remain in full force and effect. INWlINESS WHEREOF, the seal and signatre of saidPruxipal is hereto armed and the ccgxx to seal and the name of the said Surety is hero mixed and attested. by its duly authorized Attorney-inFaCt at Las Vegas, NV this 23rd dayof March, 2007. "PRINCIPAL" Citrus El Dorado, LLC A - "SURETY" WESTERN INSURANCE COMPANY BY: `labia Caroline L. Brown, Attorney- in Fact MEMORANDUM TO: Veronica Montecino, City Clerk FROM: nthony Colarossi, Associate Engineer VIA: VY-1-1mothy R. Jonasson, Public Works Director/City Engineer DATE: October 6, 2006 RE: Rough/Mass Grading Bond (Tract Map No. 32751) The City Engineer has approved a mass grading plan (PSN 06152 or Permit 5170) for the Craftsmen Homes project located at Jefferson Street just north of Ave 52. 1 am transferring to you a copy of the rough grading bond that the contractor submitted to the Public Works Department yesterday. It is for the full amount for the rough grading bond. 1. Keep the original Performance/Rough Grading Bond with the following info: a. Bond Number: CWS70724 b. Amount $123,240.00 c. Surety: Western Insurance Company If you have any questions, please contact me at extension 7089. Thank.You. \\CLQADMFSI\Public Works - Engineering\STAFF\Colarossi\TRANSMITS\City Clerk\PMIO_RG Deposits\Craftsmen Homes RG Bond.DOC Bond Number CWS70724 Premium $2,465.00 FAUHFUL PERFORMANCE BOND (LQMC 8.02.01 & CBC 331 1) Grading Bond WHEREAS, the City of La Quints, Califomia, is prepared to issue Encroachment Permit #t5170 in accordance with the La Quints Municipal Code, and the California Building Code which is adopted by referenoe, to Craftsmen Homes, LLC , as Principal, whereby Principal will be authorized to perform certain grading improvements identified in the permit, and as further detailed on the grading plans referenced therein, to privately -owned property generally {mown to the City and others as Tract # 32751 , and WHEREAS, Said Principal is required underthe terms of the permit to fiumish a bond for the faithful performance of the grading worts in accordance with the approved plans, specifications, and permit requirements; or, if the work is abandoned (not completed as required), Principal shall correct or eliminate any hazardous conditions that may exist NOW, therefore, we the Principal and WESTERN INSURANCE COMPANY , as Surety, are held and firmly bound unto the City of La Quints, as Obligee, in the penal sum o�undred Twenty Three Thousand Two Hundred Forty and N01100 Dollars ($123,240.00 ) lawful money of the United States, for the payment of which sum well and truly to be made, we bind ourselves, our heirs, successors, executors and administrators, jointly and severally, firmly by these presents. The oondition of this obligation is such that if the above bonded 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 permit 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 Obligee, 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 therefor, there shall be included costs and reasonable expenses and fees, including reasonable attorneys fees, incurred by the Obligee in successfully enforcing such obligation, all to be taxed as costs and included in any judgment rendered. The surety hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of the permit 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 permit or to the work or to the specifications. Pagelof2 F210.1